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November 6, 2000
City of Toronto Confirms RCN Deal Is Dead
Works and Emergency Services (WES) --- The City of Toronto confirms it
has contracts in place for the City's solid waste to go to landfills in
Michigan, not to the Rail Cycle North Consortium's (RCN) Adams Mine Site near
Kirkland Lake. The deal with RCN fell through in late October when the City
realized it wasn't going to get agreement on crucial conditions set by Toronto
City Council required to ink the deal.

At its last meeting this past October, Council authorized various motions that
were provided to RCN as conditions for pursuing a signed contract with the City
for managing disposal capacity for its residual municipal waste. These
conditions were not met and negotiations were permanently terminated. Mayor
Lastman's motion, authorized by Council, provided immediately for alternate
arrangements for handling Toronto's waste. Consequently, the City proceeded to
execute an agreement with Republic Services of Canada Inc. for disposal at the
Carleton Farms Landfill in Michigan and to seek amendments to the City's
current Waste Transport and Disposal Agreement with Onyx (formerly BFI) for
disposal at the Arbor Hills Landfill, also located in Michigan.

According to Angelos Bacopoulos, General Manager of the Solid Waste Management
Services for Works and Emergency Services, "The RCN deal is dead. The contracts
with Republic and Onyx will handle all of the City's waste, both private and
municipal. Each scenario allows the City to move aggressively forward with our
waste diversion initiatives to further reduce the amount of waste we must
dispose of."

The City is undertaking a series of measures to expand recycling in order to
reduce disposal and achieve the City's diversion goals. Next steps in Toronto's
Integrated Solid Waste Resource Management ("TIRM") Process include the City
entering into contract negotiations with two proponents offering diversion
services (Conporec of Tracy, Quebec and Miller Waste Systems of Markham,
Ontario). The City is also proceeding in the early months of 2001 with a second
Request for Proposals aimed at engaging new diversion technologies.
Additionally, the City, in cooperation with Enwave, is exploring the
possibilities of anaerobic digestion of solid waste to produce heat and energy
for the downtown core.

For further information, see the City's Web site at:

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