IN ACCORDANCE WITH THE MANITOBA ENVIRONMENT ACT (C.C.S.M. c. E125)
THIS LICENCE IS ISSUED PURSUANT TO SECTION 10(1) TO:

THE TOWN OF DAUPHIN; "the Licencee"

DEFINITIONS

"accredited laboratory" means any facility accredited by the Standard Council of Canada (SCC), or facilities accredited by another accrediting agency recognized by Manitoba Environment to be equivalent to the SCC, or facilities which can demonstrate to Manitoba Environment, upon request, that quality assurance/quality control (QA/QC) procedures are in place equivalent to accreditation based on the Canadian Standard Can/CSA-Z753, extension of the international standard ISO 9000, Guide 25.

GENERAL TERMS AND CONDITIONS
This Section of the Licence contains requirements intended to provide guidance to the Licencee in implementing practices to ensure that the environment is maintained in such a manner as to sustain a high quality of life, including social and economic development, recreation and leisure for present and future Manitobans.
1. The Licencee shall, in addition to any of the following specifications, limits, terms and conditions specified in this Licence, upon the request of the Director:
   
   1. sample, monitor, analyse or investigate specific areas of concern regarding any segment, component or aspect of pollutant storage, containment, treatment, handling, disposal or emission systems, for such duration and at such frequencies as may be specified;
      
   2. determine the environmental impact associated with the release of any pollutants from the said plant;
      
   3. conduct specific investigations in response to the data gathered during environmental monitoring programs; or
      
   4. provide the Director, within such time as may be specified, with such reports, drawings, specifications, analytical data, flow rate measurements and such other information as may from time to time be requested.

2. The Licencee shall, prior to the commencement of operation of the Development, receive the approval of the Director for final plans for the Development.

3. The Licencee shall ensure that the design, construction and operation of the municipal water supply is in accordance with Manitoba Regulations under the Public Health Act and all operating requirements as recommended by Manitoba Environment.

4. The Licencee shall ensure that the operation of the Development is carried out by individuals properly trained or qualified to do so.

5. The Licencee shall ensure that all used oil products and other regulated hazardous wastes generated by the machinery used in the construction and operation of the Development are collected and disposed of in accordance with applicable Manitoba Environment and legislation requirements.

6. The Licencee shall revegetate soil exposed during the construction of the Development with native or introduced grasses or legumes. Native species shall be used to revegetate areas where native species existed prior to construction.

7. The Licencee shall, prior to December 31, 1998, submit to the Director a discussion of water conservation measures which are appropriate for the Development. The discussion shall report on leak detection and water loss monitoring, metering, pricing, ongoing public awareness, measures to promote low water use devices and other measures which may be used to promote water conservation. The discussion shall also contain a schedule for the implementation of measures which are planned for adoption.
   SPECIFICATIONS, LIMITS, TERMS AND CONDITIONS

8. The Licencee shall notify the Park-West Region of Manitoba Environment not less than two weeks prior to beginning construction of the Development. The notification shall include the intended starting date of construction and the name of the contractor responsible for the construction.

9. The Licencee shall ensure that non-reusable demolition and construction debris from the Development is disposed of at a waste disposal ground operating under the authority of a permit issued under Manitoba Regulation 150/91 respecting Waste Disposal Grounds. The landfill constructed for the storage of dewatered sludge solids associated with the Development shall also comply with this Regulation.

10. The Licencee shall ensure that fuel storage and equipment servicing areas established for the construction and operation of the Development are located a minimum distance of 100 metres from any waterbody, and shall comply with the requirements of Manitoba Regulation 97/88R respecting Storage and Handling of Gasoline and Associated Products.

11. The Licencee shall, prior to the construction of the dykes for the sludge storage facilities associated with the Development, remove all organic topsoil from the area where the dykes will be constructed.

12. The Licencee shall not discharge effluent from the sludge storage facilities where the suspended solids content of the effluent is in excess of 50 milligrams per litre. This limit may be changed by the Director if, in the opinion of the Director,
    
    1. visible sludge deposits form on the banks of Edwards Creek downstream of the point of discharge of the effluent; or
       
    2. suspended solids from the effluent cause or contribute to negative effects on water uses including instream uses in Edwards Creek downstream of the point of discharge of the effluent.

13. The Licencee shall conduct a plant effluent monitoring program as described in Clauses 14 to 17, of this Licence, for a period of two years commencing with the operation of the Development. The duration of the monitoring program may be varied by the Director if the results, in the opinion of the Director, indicate that a longer or shorter monitoring period is appropriate.

14. The Licencee shall, on a quarterly basis for the duration of the plant effluent monitoring program, collect grab samples at two locations approved by the Director. These locations shall be in the effluent stream discharging from the sludge storage facilities of the Development, and on Edwards Creek below the effluent discharge point.

15. The Licencee shall transport the grab samples collected pursuant to Clause 14, of this Licence, to an accredited laboratory for analysis. The samples shall be stored and transported in accordance with procedures specified by Manitoba Environment to ensure that the samples are suitable for analysis.

16. The Licencee shall, at an accredited laboratory, have the samples collected pursuant to Clause 14, of this Licence, analysed for the following parameters:
    
    1. pH;
       
    2. conductivity;
       
    3. total dissolved solids;
       
    4. total suspended solids;
       
    5. total alkalinity;
       
    6. chlorine; and
       
    7. aluminum.

17. The Licencee shall, not more than 60 days after the results of each quarterly analysis are available, submit the results to the Director.

REVIEW AND REVOCATION
1. If, in the opinion of the Director, the Licencee has exceeded or is exceeding or has or is failing to meet the specifications, limits, terms, or conditions set out in this Licence, the Director may, temporarily or permanently, revoke this Licence.

2. If construction of the development has not commenced within three years of the date of this Licence, the Licence is revoked.

3. If, in the opinion of the Director, new evidence warrants a change in the specifications, limits, terms or conditions of this Licence, the Director may require the filing of a new proposal pursuant to Section 10 of The Environment Act.

Client File No.: 4270.00