SUPPORTS ITEM NO. 1
                                                CS&B COMMITTEE AGENDA
                                                FEBRUARY 27, 1997    


                             ADMINISTRATIVE REPORT

                                      Date: February 12, 1997
                                      Dept. File No.
                                      CC File No. 3258


   TO:       Standing Committee on City Services and Budgets

   FROM:     General Manager of Engineering Services, in consultation with
             the General Manager of Community Services

   SUBJECT:  Proposal for a Successor Organization to the Fraser Basin
             Management Board


   CONSIDERATION

        A.   THAT Council support a successor organization to the Fraser
             Basin Management Board with representation through regional
             districts.

        If (A) is approved then staff RECOMMEND

        B.   THAT funding for the successor organization be applied through
             municipal levies.

        C.   THAT the $0.20 per capita financial contribution be contingent
             upon continued support from the federal and provincial
             governments and include the GVRD s contributions to the Fraser
             River Estuary Management Program and Burrard Inlet
             Environmental Action Plan.

        D.   THAT the new entity charged with overseeing the implementation
             of the Basin plan include a coordination role to ensure that
             the soon-to-be-finalized integrated Flood Hazard Management
             Strategy is implemented.

   COUNCIL POLICY

   One of the directions in the City Plan is to make improving the
   environment a priority in decision-making with particular attention to
   air and water quality.

   PURPOSE

   This report follows up on the attached December 24, 1996 report to
   Council which presented a proposal for a successor organization to the
   Fraser Basin Management Board and recommended the source of funding.

   BACKGROUND

   On January 7, 1997, Council approved the City Manager s recommendation
   to defer the decision on the successor organization until the last half
   of February and that the General Manager of Engineering Services report
   back on the saving which would flow to the City if a successor
   organization was not endorsed.

   DISCUSSION

   Based on the discussions at the January 7th Council meeting, staff
   addressed a letter to the Fraser Basin Management Program requesting
   additional information regarding the make up of the Board and its
   mandate, how the Board sees its role with the Flood Hazard Management
   Program, and how the Board s role differs and provides additional value
   to that of BIEAP/FREMP.  Attached is a response from David Marshall,
   Executive Director, Fraser Basin Management Program.  Also, as requested
   in the response, the Honorable Iona Campagnolo P.C., Chair of the Fraser
   Basin Management Program is available to speak to Council on this topic.

   Costs

   As requested by Council, staff have reviewed the savings to the City if
   the successor program is not endorsed.  There would be an annual savings
   of $52,300 ($180,000 x 523,000/1.8 million people in the region) which
   is currently being paid through the UBCM. 

   The proposal put forward to the January 7th Council meeting was
   contingent upon continued support and significant financial
   contributions from the federal and provincial governments.  It has now
   been confirmed by the Fraser Basin Management Program that the federal
   and provincial governments have both committed annual contributions of
   $350,000.

   As outlined in the Administrative report, dated December 24, 1996
   (Appendix A*) report, there is a cost increase of $8,700 to the City of
   Vancouver if the funding mechanism is moved from the UBCM to the GVRD.

   CONCLUSIONS

   The annual cost to the City of supporting a successor organization to
   the Fraser Basin Management Board is about $52,300, if it is continued
   to be funded through direct UBCM municipal levies (as per Recommendation
   B) or $61,000 if funded through the GVRD.  In the December 24, 1996
   report, staff indicated that the value of the successor Board to the
   City was unclear, and therefore did not recommend approval of the
   proposal, but put the proposal to Council for consideration.  This
   report provides the additional information requested by Council on
   January 7, 1997.  The attached letter from the Executive Director
   (Appendix B*) provides additional information about the proposed
   organization.  The same motions are presented for Council consideration.


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   *    Limited Distribution of Appendices - on file in City Clerk s
        Office.