Participant Funding Program — Aboriginal Funding Envelope
Funding Review Committee's Report

Allocation of Federal Funds for Phase II of the Morrison Copper- Gold Mine Project — Aboriginal Funding Envelope

The Participant Funding Program (PFP) is established pursuant to subsection 58(1.1) of the Canadian Environmental Assessment Act (the Act), which states: For the purposes of this Act, the Minister shall establish a participant funding program to facilitate the participation of the public in comprehensive studies, mediations and assessments by review panels. The PFP also includes an Aboriginal funding envelope (AFE) to support Aboriginal groups to participate in federal or joint environmental assessment (EA) processes and in related consultation activities.

A funding review committee (FRC), independent of the EA of the Morrison Copper-Gold Mine Project (the Project) being conducted by means of a comprehensive study, was established to assess the lone funding application received under Phase II of the PFP–AFE for the Project and recommend a funding award to this applicant.

Under Phase II of the AFE, a total of $40,000 was made available to support Aboriginal groups' input to the Environmental Impact Statement (EIS) and Comprehensive Study Report (CSR). In addition to the PFP-AFE funding being made available to assist Aboriginal groups to participate in the EA process, funding for this purpose is also being provided by the Province of British Columbia.

Under the earlier Phase I of the PFP-AFE, a total of $30,000 was made available to the Lake Babine Nation to assist with their participation in the early stages of the comprehensive study process for the Project.

On October 21, 2010 and October 28, 2010, the FRC met to review the one application received under Phase II of the PFP-AFE, requesting a total of $61,250 to participate in the EA process. The FRC members were Bruce Morgan, Executive Advisor to the Vice-President, Operations Sector, Canadian Environmental Assessment Agency (the Agency), acting as Committee Chairperson; Paul Scott, retired Regional Director of the Agency's Pacific and Yukon Office; and Ray Crook, Environmental Assessment Consultant.

Background

Pacific Booker Minerals Ltd. proposes to develop copper and gold deposits located adjacent to Lake Babine near Granisle, British Columbia. Various iterations of the Project have been proposed since 2003. The project description that forms the basis for the current EA was submitted to the British Columbia Environmental Assessment Office (BCEAO) and the Agency in September 2008. The Major Projects Management Office (MPMO) identified the Project as a major resource project and therefore subject to the Cabinet Directive on Improving the Performance of the Regulatory System for Major Resource Projects.

A Notice of Commencement of an EA pursuant to the Act was posted on the Canadian Environmental Assessment Registry Internet site on July 14, 2009. Based on the proposed mine extraction and milling capacities, the EA is proceeding by way of a Comprehensive Study (CS). On July 12, 2010, as a result of amendments to the Act, the Agency assumed responsibility for exercising the powers and performing the duties and functions of the responsible authority for the CS of this Project.

The Project is also subject to review under British Columbia's Environmental Assessment Act (BCEAA). A cooperative EA is being coordinated with the British Columbia Environmental Assessment Office.

Eligibility

Under the PFP-AFE, funding may be provided to Aboriginal groups to support their input to an EA and/or to support their engagement in consultation activities with the federal government. These activities must be linked to the EA of a proposed project through a CS, mediation or review panel.

Eligible recipients must plan to engage in Aboriginal consultation activities with the federal government that are linked to the EA of the Project and be able to demonstrate that they meet at least one of the following eligibility criteria:

• Have a direct, local interest in the Project, such as a residence in the area or historical or cultural ties to the area likely to be affected by the Project;
• Have community knowledge or Aboriginal traditional knowledge relevant to the EA; or
• Have expert information relevant to the anticipated environmental effects of the Project.

Funding from other sources that is known to have been made available to or received by Aboriginal groups related to the review of a project is considered by the FRC, as are any partnerships between PFP-AFE applicants and other participants in a project assessment.

Under the PFP, applicants can request funding for expenditures related to:

• professional fees;
• staff salaries and benefits;
• travel expenses;
• honoraria for Elders and Chiefs to attend meetings and functions;
• ceremonial offerings related to receiving traditional knowledge;
• administration and reporting;
• other expenses related to local collection and distribution of information;
• office supplies and telephone charges;
• rental of office space and meeting rooms;
• legal fees;
• general media, and advertising and promotion; and
• purchase of information material.

The lone applicant was found to be eligible for funding under the PFP-AFE.

Rationale for Allocation

The FRC was pleased with the quality of the application and noted that the applicant's contribution to the EA process could be valuable since the Lake Babine Nation may be affected by the Project. The FRC was advised by Agency staff that the applicant has effectively participated in the EA process to date.

Recommendation

The FRC recommends an award of $40,000 to the Lake Babine Nation to participate in the EA process of the Project.

The Participant Funding Review Committee
Morrison Copper-Gold Mine Project
Aboriginal Funding Envelope — Phase II

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Bruce Morgan, Committee Chairperson, Canadian Environmental Assessment Agency

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Paul Scott, Retired Regional Director of the Agency's Pacific and Yukon Office

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Ray Crook, Environmental Assessment Consultant

Recommended Phase II Participant Funding Allocations
Morrison Copper-Gold Mine Project
Aboriginal Funding Envelope

Applicant	Total award amount recommended
Lake Babine Nation	$40,000