This report recommends the appointment of persons to comprise the Compliance Audit Committee for the 2010 – 2014 term of City Council.

The financial impact is set out in the report from the City Clerk dated May 31, 2010.

The City Manager recommends that this report be received for information.

This report responds to Executive Committee’s motion with respect to establishing an Office of Independent Legal Counsel.   The City Manager has reviewed the proposal and does not recommend establishing a separate office for this purpose.  Processes and policies are already in place to enable City Council and Members to seek external legal advice on all matters related to City business.

This report also responds to Executive Committee's motion with regard to developing a Policy for Council to use its grant making powers to reimburse legal expenses of Members in particular circumstances.

There are no financial implications as a result of this report.

The purpose of this report is to advise that the City Solicitor will be submitting on the Supplementary Agenda of the Executive Committee a further report containing the recommendations of external counsel in the matter of the Divisional Court decision, dated July 19, 2010.  That decision, while it upheld the payment of legal expenses in respect of pursing a defamation action by a councillor relating to her role as a councillor, declared the City's By-law 1043-2008 quashed to the extent it permitted the payment of legal expenses for two compliance audits.

This report summarizes the findings of the external consultant(Hay Group) on the market survey of elected officials' compensation, as directed by City Council in 2006 and Executive Committee in 2009 and makes recommendations about Councillors' and Mayor's salary for the next term as well as future terms.

The Hay Group report observed that the city's current annual adjustment has not kept pace with the comparator market adjustments, as evidenced in the Mayor's salary position in the comparator group. An appropriate mechanism needs to be in place that provides for annual adjustments so that competitive market position is maintained. The staff report recommends a mechanism for annual salary adjustments beginning January 1, 2011.

In addition, the Hay Group report observed that the City should consider a modified pay policy that is not solely dependent on the residents per Councillor factor and on the notions, intents and changes of others, and that appropriately reflects the size, complexity, diversity and responsibility of the Toronto government, relative to other orders of government and not just municipalities.

As a result, the staff report provides recommendations for the level of compensation for elected officials beginning December 1, 2010, based on the current pay policy, as well as a modified pay policy that will be effective with the 2014 Term of Council. In addition,  the staff report recommends a time frame and mechanism for future compensation review reports.  

Approval of the recommendations will result in a financial impact of $1,477.84 (including $1,319.50 in increased salary and $158.34 in increased benefits) in the 2010 operating budget of the Mayor's Office and will be absorbed within the budget.  There is no financial impact on the Council budget as the Councillor salary remains unchanged.

The financial impact for the 2011 operating budget for the Mayor's Office will be $17,734.08 (including $15,834.00 in increased salary and $1,900.08 in increased benefits) which will be addressed in the 2011 operating budget process.

The financial impact of the proposed cost of living adjustment is unknown at this point, as the cost of living adjustment for management and non-union employees for 2011 has not yet been determined.

The Deputy City Manager and Chief Financial Officer has reviewed this report and agrees with the financial impact information.

The Guarantee by the City can be accommodated from our existing Corporate Guarantee limit, as a result there is no financial implications that would result from the adoption of this report.  Should Build Toronto default on the required payments to OMERS, the City would fund up to four months worth of related costs. 

This report responds to a direction from Council that staff report annually on the amount and purpose of draws by Build Toronto ("Build") and Invest Toronto from the $10 million start-up allocation originally approved by City Council.

It also responds to a request from the Board of Build that the City provide additional start-up financing assistance in the form of a $200 million loan guarantee program. This report recommends approval of an agreement under which the City would guarantee loans up to a total maximum value of $160 million. This is the amount that Build has indicated will be necessary during the first five years of Build's development program.

Over the next five years, Build has forecast that it will require loans with a total value of up to $160 million to finance the corporation's equity investments in its proposed projects. In order to provide for the lowest borrowing cost, and to leverage the value of its available land collateral, Build has requested that the City provide guarantees to the lenders providing this funding.

By entering into the requested loan guarantee Agreement, the City will be committing, in the event of a loan default by Build, to pay up to $160 million to Build's lenders, to cover any of Build's outstanding loan liabilities.

However, before providing each individual loan guarantee to Build's lenders, the City will require Build to provide collateral, primarily in the form of undeveloped property, with an appraised value that is at least equal to the amount of the loan being provided by the lender and guaranteed by the City. In the event of a loan default by Build, the City will be required to remedy the default using its own funds. It will then have access to the land collateral that has been set aside by Build. This land collateral could be liquidated by the City or held until it can be developed and sold more profitably.

With the large amount of collateral being provided by Build, it is very unlikely that the City would not have access to collateral at least equal in value to any amounts it has been required to pay to Build's lenders under the proposed loan guarantees. However, under extremely adverse economic conditions, there is a possibility that the value of Build's land collateral could fall during the term the Agreement. In this event, the City would be exposed to the potential shortfall between the outstanding loan amount and the diminished value of the collateral.

The Agreement with Build will require a reassessment by Build of the value of the collateral backing all outstanding guarantees each time a new guarantee is drawn from the City. Build will be required to certify that the value of the collateral provided to the City remains at least equal to the amount of the loans guaranteed by the City. When the total amounts guaranteed pass $40 million incremental thresholds (e.g. $40 million, $80 million, $120 million), these certifications will have to be backed by full appraisals of the collateral lands carried out by a third-party appraiser selected by the City. This should help limit the size of any potential shortfall between the liability of the City under any guarantees provided under the Agreement and the value of the land collateral.

Furthermore, through its business plan, Build has indicated that it will only pursue projects that are forecast to generate a solid financial return and which fall within Build's principal areas of focus and expertise. Build will spread risks on more complex projects by entering into joint venture partnerships.

In return for providing the loan guarantees, Build will be paying the City an annual fee equal to 1.0% of the average outstanding loan balance being guaranteed at any point in time. Thus, in the absence of a default, the loan guarantee Agreement should result in a positive financial impact for the City.

The small risk of a default must be weighed against the various benefits that will arise from Build's projects. If Build's projects are successful, the City will receive financial dividends that will significantly improve upon the financial outcomes that would have been realized if the City had simply sold its surplus properties in an unimproved state. Furthermore, unlike conventional developers, Build will be striving in its development projects to achieve important social, environmental and economic development objectives on behalf of the City and its agencies, boards and commissions.

Finance staff have discussed the proposed loan guarantee agreement with representatives of the major bond rating agencies and they currently anticipate that the agreement will not result in a material impact on the City's credit ratings.

There are no financial implications that would result from the adoption of this report.

There are no financial implications that would result from the adoption of this report

This is to advise that the above-noted report will be submitted to the Executive Committee for its meeting on August 16, 2010.

Staff of Toronto Community Housing Corporation (TCHC) have advised City staff that the TCHC Board of Directors will have before it a report concerning changes to the composition of its Board of Directors at its meeting to be held on August 6, 2010. At that time, the TCHC Board is expected to recommend that City Council change its composition. To allow time for the City Manager to consult with appropriate parties, conduct research and give due consideration to this request before making a recommendation, it is recommended that the City Manager report on this matter in the new term. If the number of Council members on the board is impacted, a report will be submitted to the Striking Committee for deferral of appointments, until the Executive Committee considers the recommendation to change the board composition.

This report recommends the nomination for the appointment of the Chair of Toronto Hydro Corporation.

The recommendations in this report have no financial impact.

This report follows-up on a request that the City Manager report to the Executive Committee on the strategy for the recruitment of a new Chief Planner, the process for the review of the Official Plan and options for a new administrative structure that would allow for the Chief Planner to report directly to City Council.

This report has no financial impact.

The purpose of this report is to respond to the City Council direction to the Deputy City Manager and Chief Financial Officer for a report on the feasibility of changing the City's Personal Vehicle Tax (PVT) refund policy to more closely resemble the Provincial vehicle registration system.  

Staff conclude that it is not cost-effective or appropriate for the City to implement further refinements of PVT refund (and charges) policy at this time (for the remaining months until the next renewal date). Instead, the feasibility for the PVT to more closely resemble the Provincial vehicle registration system, wherein the Province administers refunds and charges on behalf of the City, should be examined as part of the Provincial modernization project currently under development.          

There is no financial impact of the recommendation in this report.

The Deputy City Manager and Chief Financial Officer recommends that:

1.         This report be received for information.

Staff was requested to comment on whether the City needed additional policies to deal with the proceeds from the disposal of ‘stranded’ City-owned properties.  The City already has practices and processes in place determining (a) whether a property is surplus to the City’s requirements (b) the manner in which the sale will be undertaken (c) the process for the sale of surplus properties (d) the allocation of the net sale proceeds resulting from the disposition of surplus properties, (e) the incorporation of city-owned land into the planning and development application approval process, and (f) the need  for additional community benefits as part of the planning and development approval process.

There are no financial implications for this report.

The City Manager recommends that staff continue to work towards the achievement of a Five-Year Capital Works delivery model that would secure a fixed rolling five-year capital program thereby permitting project leads to initiate earlier stakeholder engagement and to proceed with project scoping, pre-engineering and design several years in advance of the project’s scheduled implementation date, resulting in predictable schedules and costs.

Effective "Project Lead" responsibility and accountability is clearly defined for all capital projects within the public right-of-way. Of the 350 projects in 2009 valued at $300 Million, 98% were completed within budget and 75% within the scheduled year. The capital delivery process is comprised of the three distinct phases of project planning, design and construction. The most significant challenge to effective capital delivery is the ability to provide more time for an effective project planning phase to allow stakeholder consultation to finalize project scope. Staff have been working toward earlier identification of a coordinated capital works plan that in turn will allow for earlier and increased emphasis on the planning phase, resulting in successful and more predictable delivery of capital works.

There are no financial implications arising from this report.

This report is submitted in response to a directive from City Council to report to the Executive Committee on the impact of the Government Procurement Agreement between Canada and the United States on the City of Toronto's purchasing and procurement policies and practices.

This report has no financial impact.

The Deputy City Manager responsible for the Affordable Housing Office recommends that Council encourage the Salvation Army to sell its property at 450 Pape Avenue to an organization or individual who would continue the use of the building and property for a charitable or non-profit purpose.             

This report responds to a request from Councillor Paula Fletcher, Ward 30, Toronto – Danforth, to the Affordable Housing Committee on June 3, 2010 that the Director, Affordable Housing Office work with the Salvation Army and the non-profit housing sector to determine the support for and economic feasibility of converting the surplus vacant buildings and site at 450 Pape Avenue to affordable non-profit live-work housing for artists and to investigate the possibility of the acquisition of the site by the City.

The property at 450 Pape Avenue, at the north-west corner of Pape and Riverdale Avenue contains a historic house originally built in 1899 and a newer 1960s addition.  It has been owned by the Salvation Army since 1930 and over the years has provided space for a number of non-profit uses, most recently as a licensed rooming house to accommodate homeless men who were accommodated during the construction of the new Salvation Army Harbour Light Centre on Jarvis Street. 

While the City and the Salvation Army both wish to continue the use of the building and property for charitable or non-profit purposes, this report is not recommending that the City purchase the site.  The reasons for this are that given the schedule for the sale of the property it has not been possible to conduct a building assessment and property appraisal.  Furthermore there is currently no unallocated available federal/provincial affordable housing program funding to support the purchase and renovation of the property and presently no identified city funding for the acquisition. 

However, in recognition of the importance of the property to the community it is being recommended that Council encourage the Salvation Army to sell the property to an organization who would continue the use of the building for charitable or non-profit purposes.

There are no financial impacts arising from this report.

This staff report is to recommend a minor amendment to Chapter 441 – Fees, of the City of Toronto Municipal Code, to show user fees for golf net of taxes, and introduce a new fee option at the Humber Valley golf course for seniors and adults as a pilot to encourage more play during off-peak times.

The current User Fee Schedule shows golf green fees inclusive of GST (5%).  Municipal Code section 441-3 stipulates that all fees are to be stated in the User Fee Schedule net of all taxes.  Therefore, this report updates the User Fee Schedule to show Golf fees net of taxes and with a minor rounding adjustment.  The rounding adjustment has no net financial impact and accounts for the ability to charge a flat dollar fee to the public.

The Division is also proposing a new discounted fee at Humber Valley Golf Course to increase usage during early morning periods. A 10-round package for early morning 18-hole round will be offered at a discount for senior and adult golfers.

Amending the User-Fee schedule and all related appendices of City of Toronto Municipal Code Chapter 441, Fees to show the golf fees net of taxes will not have a financial impact since the fees charged to the public will not change, other than a minor rounding adjustment.

The pilot program introduced at the Humber Valley Golf Course will allow patrons to purchase a package of 10 tickets, each for a round of 18 holes at a discounted price per round.  The 10-session package will be priced at $212.40 or $240, including taxes, which amounts to a $40 reduction.  The pilot program is anticipated to have a favourable financial impact on golf revenues in 2010 which will be taken into consideration and reported on during the 2011 Operating Budget process.

The Deputy City Manager and Chief Financial Officer has reviewed this report and agrees with the financial impact information.

The purpose of this report is to inform City Council of the results of Request for Proposal (RFP) No. 9155-10-7097 for the management, maintenance and operation of Centennial Park Ski/Snowboard Centre and North York Ski/Snowboard Centre. Because the RFP failed to attract a successful proponent, the two facilities will not operate for the 2010/2011 season. This report seeks authority to engage the ski and snowboard industry through market sounding and consultation in order to determine the best approach for a new RFP call, and finally, the report seeks authorization to terminate existing licence agreements for food and beverage concessions associated with the facilities.

There are no financial impacts resulting from the first recommendation in this report.  As part of the 2010 Operating Budget Process, a Service Level Reduction was approved and implemented for the Ski Hill Operations that resulted in a net operating budget reduction of $149,174 (gross of $541,784 and revenue of $392,610) for 2010, and a net operating budget reduction of $447,523 (gross of $1,625,352 and revenue of $1,177,829) for 2011.

There are financial implications resulting from the termination of the licence agreements.  Based on the results of the negotiations, there would be a one time buyout of each agreement as a result of the City’s early termination.  This impact cannot be quantified at this time, as it may adversely affect the pending negotiations. 

The Deputy City Manager and Chief Financial Officer has reviewed this report and agrees with the financial impact information.

The City Manager recommends that Division Heads continue to address those areas requiring action that are identified in Appendix 2 and Appendix 3.

The recommendations will have no financial impact beyond what has already been approved in program budgets.

The City Manager recommends that City Council extend congratulations to Leah Burke  as the 2010-2011 recipient of City of Toronto undergraduate scholarship in Women’s Studies at the University of Toronto.

This report advises Council that the University of Toronto has selected the 2010-2011 recipient of the City of Toronto Undergraduate scholarship in Women's Studies.  

The selection of recipients of other City scholarships at the University of Toronto will take place in the fall 2010.  These include scholarships in Community Health Nursing, Mathematics and Aboriginal Health and a graduate scholarship in Women's Studies.

There is no financial impact arising from this report.  In 1997, the City of Toronto transferred endowment funds to the University of Toronto to support these awards in perpetuity.  

Given that the loan's terms, conditions and interest rate remain unchanged, the City will collect an additional year of interest at 5% and will not experience a financial loss from extending the term of the loan.

This is to advise that the above-noted report will be submitted to the Executive Committee for its meeting on August 16, 2010.

This is to advise that the above noted action report will be submitted to the Executive Committee at its meeting on August 16, 2010.

The recommendations will have no financial impact beyond what has already been approved in the current year’s budget.

The Deputy City Manager and Chief Financial Officer have reviewed this report and agree with the financial impact information.

This report recommends the adoption of the 2011 interim tax levy and requests authority to introduce the necessary by-law at the inaugural meeting of Council on December 7 and 8, 2010.  The 2011 interim levy will provide for the cash requirements of the City until such time as the 2011 Operating Budget and 2011 final property tax levy are approved by Council.

This is an annual report which is procedural in nature.  Enacting a by-law that establishes an interim tax levy will permit the City to raise the property tax revenues needed to fund its early to mid 2011 operations until such time as the 2011 Operation Budget and 2011 final tax levy are approved by Council.

The Deputy City Manager and Chief Financial Officer has reviewed this report and agrees with the financial impact information.

This is to advise that the above noted action report will be submitted to the Executive Committee at its meeting on August 16, 2010.

The purpose of this report is to recommend amendments to the City of Toronto Municipal Code, Chapter 591, Noise, regarding a noise exemption for construction undertaken by the Toronto Transit Commission relative to the Transit City and Toronto York Spadina Subway Extension (TYSSE) initiatives.

The recommendations in this report will have no financial impact beyond what has already been approved in the current year’s budget.

This report seeks Council approval for the renewal of two capital loan guarantees for Artscape in the amounts of $250,000 for the Distillery District Studios and $3,200,000 for the Wychwood/Green Arts Barn project respectively from January 1, 2011 until December 31, 2014.

Issuance of a capital loan guarantee is considered to be a financial commitment of the City. However, there is no direct cost to the City for providing this guarantee unless the organization defaults on its obligation and the City cannot recover the funds beyond any grant funding to Artscape withheld by the City.

The purpose of this report is to advise that a staff report regarding the Port Lands Sports Centre Project is being prepared.  The report will present design options for the proposed facility at 85 and 95 Commissioners Street and provide recommendations on further steps.  The staff report will be submitted to Executive Committee on or before August 16, 2010.

The purpose of this report is to advise that a staff report with a confidential attachment is being prepared for the lands known as Bayside in the City’s East Bayfront area.  The report will present City staff’s review of a transaction negotiated by Waterfront Toronto with its selected proponent arising from a Request for Proposals process.  As the City owns the subject lands, the approval of Toronto City Council is required.  The staff report will be submitted to Executive Committee on or before August 16, 2010.

This report (a) recommends the establishment of new reserve/reserve fund accounts which have been identified since the last report on the administration of reserve funds was adopted by Council in January 2010, and (b) refines criteria associated with other accounts which results from the operational needs of Divisions/ABC’s with respect to the administration of reserves and reserve funds.  Where appropriate, the purpose for each account is identified in its respective appendix.

There are no direct financial implications on the operating or capital budgets as a result of this report.

When funds are requested from the appropriate reserve or reserve fund account for the respective purpose, the withdrawal will be approved through the budget process.

License agreements with parties outside of Ontario identified in Attachment 1, parties outside of Ontario that meet the criteria identified in Attachment 1 and for-profit parties will include cost recovery considerations which may be offset by in-kind resources.

The Deputy City Manager and Chief Financial Officer has reviewed this report and agrees with the financial impact information.

As part of its commitment to enhancing Toronto’s social infrastructure, the City of Toronto continually monitors school properties that may be declared surplus by the boards of education. These public assets have the potential to provide space for locating community services or to serve as green space in under-served neighbourhoods. In May 2010 City Council adopted a School Lands Acquisition Framework and Funding Strategy to bring a coherent and co-ordinated approach to the acquisition of school properties. This report updates progress on the implementation of the framework, identifies an immediate corporate priority for acquisition—Timothy Eaton Business and Technical Institute in Scarborough—and responds to several issues raised about school lands acquisition issues raised by Councillors.

At its meeting of May 11 and 12, 2010, City Council approved a School Lands Acquisition Framework and authorized funding from the land acquisition reserve in the amount of $7 million for 2011. Funding for the acquisition of school properties will be available in the 2011 Land Acquisition Reserve Fund. If purchase of the property proceeds, the transaction will be completed in 2011. Once the purchase price is determined, the cost will be reflected in the City's 2011 capital budget, funded from the Land Acquisition Reserve, for a net $0 impact.

The Deputy City Manager and Chief Financial Officer has reviewed this report and agrees with the financial impact information.

At its meeting held on April 15, 2010, City Council requested the General Manager of Economic Development and Culture to submit a report to the Executive Committee, within the current mandate, on possible strategies for Arts and Cultural Funding in future years, taking into consideration the new revenue stream created by the Billboard Tax and Council’s previously adopted Culture Plan, appended to the report from the Martin Prosperity Institute which evaluates the cost of addressing inflation, as well as matching expected growth in the sector.

The Culture Plan, adopted by Council in June 2003, recognized that great cities of the world are all Creative Cities whose citizens work with ideas, are intensely mobile and insist on a high quality of life.  Such cities, and their citizens, have an overwhelming impact on the economies of their countries and compete with one another directly for trade, investment and, most of all, for talent.  The Plan’s major aims were to enhance Toronto’s place as a leading international cultural centre and to increase the role of culture in the economic and social development of the city over a ten-year period.

The Culture Plan noted that it would take a major investment to reverse the decline that Toronto’s cultural sector had experienced during the 1990’s.  At the time Toronto was investing $14 per capita in culture while competitors like Montreal were investing $26 per capita.  Through the adoption of the Culture Plan, Council committed to reach an investment of $25 per capita within five years.  After seven years, the Toronto’s per capita investment in culture is $18 while the most recent research on Montreal shows that their investment in culture has increased to $33 per capita.  Meeting the Culture Plan investment target of $25 per capita would require an increased annual investment of $17.5 million.

The City has made progress in implementing the Culture Plan with action taken on 85% of the recommendations.  There are remaining gaps, however, in several important areas that have prevented the plan from reaching its full potential.  The Culture Plan identified the need for greater investment in arts and culture organizations, the need to invest in the upgrading of cultural facilities and the need to identify new sources of revenue to fund the City’s cultural investment.  These three unmet goals remain high priorities for the City if it is to achieve its overall economic, social and cultural objectives.

There are no financial impacts on the 2010 Operating Budget arising from the adoption of this report.  The current City investment in culture is $18 per capita for 2010 made up of arts and culture funding though the Community Partnership and Investment Program; net funding for Cultural Services and City Theatres; and net funding for Cultural Services capital.  In order to achieve the Culture plan investment target of $25 per capita would require an increase of $7 per capita or $17.5 million.  Achieving the Culture Plan annual investment target of $25 per capita by the end of the 10 year planning horizon (2013) would require an annual increase of $5.83 million for 2011, 2012 and 2013.

The Deputy City Manager and Chief Financial Officer has reviewed this report and agrees with the financial impact information.

There are no financial impacts to current or future year budgets that arise from the recommendations in this report.

The Deputy City Manager and Chief Financial Officer has reviewed this report and agrees with the financial impact information.

The Budget Committee on June 29, 2010, considered a report (June 24, 2010) from the Deputy City Manager and Chief Financial Officer, entitled "2009 Final Year-End Capital Variance Report and Capital Variance Report for the Four-Months Ended April 30, 2010".

The Budget Committee recommends to the Executive Committee that:

1.         City Council approve allocation of the additional 2009 year-end operating surplus of $4.780 million to the following: $0.446 million to the Exhibition Place Conference Centre Reserve Fund; $1.4 million to the Capital Financing Reserve to fund a shortfall in the Horse Palace Roof Replacement ISF capital project; and $2.934 million to the Property Tax Stabilization Reserve as a revenue source for the 2011 Operating Budget.

2.         City Council approve an increase to Facilities Management and Real Estate's 2010 Approved Staff Complement of three temporary positions with no financial impact on the 2010 Facilities Management and Real Estate Approved Operating Budget.

The Budget Committee on June 29, 2010, considered a report (June 23, 2010) from the Deputy City Manager and Chief Financial Officer, entitled "2009 Final Year-End Operating Variance Report and Operating Variance Report for the Five Months Period Ended May 31, 2010".

The Budget Committee recommends to the Executive Committee that:

1.         City Council extend and continue the Water and Wastewater Service Rates, and the water rebate for eligible low-income disabled persons and low-income seniors, set for 2010, approved by Council and enacted by By-law No. 1206-2009, until such time that Council adopts Toronto Water’s 2011 Operating and Capital Budgets and any corresponding changes, which may be necessary, to the Water and Wastewater Service Rates and water rebate.

The Budget Committee on June 29, 2010, considered a report (June 14, 2010) from the Deputy City Manager and Chief Financial Officer and the General Manager, Toronto Water, entitled "2011 Interim Water and Wastewater Service Rates".

Toronto Water and Wastewater Programs are fully funded on a ‘pay as you go’ basis through combined Water and Wastewater Service Rates without any reliance on borrowing/debenture financing. The property tax budget is not impacted by the adoption of the recommendations of this report.

Toronto Water customers will not experience any change in the rate charged on water consumption as a result of the extension and continuation of the current Water and Wastewater Service Rates nor in the water rebate for eligible low-income disabled persons and low-income seniors in 2011, as a result of the recommendation in this report.  However, it is anticipated that rate increases for 2011 will be required when the new Council considers the 2011 Water and Wastewater Capital and Operating Budgets.

The Budget Committee recommends to the Executive Committee that:

1.         City Council adopt and continue the 2010 Solid Waste Rates for Residential Curbside Collection, Residential Units Above Commercial Properties Customers, Curbside Residential Subscription Properties, Agencies, Boards, Commissions and Schools, as set-out in Appendix A of the report (June 11, 2010) from the General Manager, Solid Waste Management Services and the Deputy City Manager and Chief Financial Officer until City Council adopts the 2011 Solid Waste Management Services Operating Budget and Capital Plan and the corresponding solid waste rates are approved.

The Budget Committee on June 29, 2010, considered a report (June 11, 2010) from the Deputy City Manager and Chief Financial Officer and the General Manager, Toronto Water, entitled "2011 Interim Water and Wastewater Service Rates".

The City of Toronto Solid Waste Management Services is a fully funded program. Funding consists of various user fees on a ‘pay as you go’ basis through a volume-based solid waste rate system as well as other program revenues.  The recommendations of this report is to extend the current solid waste management fees as detailed in Appendix A until the new City Council can consider rates proposed as part of the Recommended 2011 Solid Waste Management Services Operating Budget.   The City of Toronto Solid Waste Management Services customers will not experience any change in their solid waste management bills due to the continuation of current 2010 solid waste rates into 2011, as recommended in the report.

This recommendation report does not affect the solid waste rates for multi-residential bulk collection customers.  The continuation of the multi-residential solid waste rates was addressed at the recent June 15, 2010 Public Works & Infrastructure Committee meeting through Recommendation No. 2, “PW34.3 Proposed New Multi-Residential Billing System and Rate Structure for Bulk Collection Customers” that will be before City Council for its consideration on July 6 and 7, 2010.

The Deputy City Manager and Chief Financial Officer has reviewed this report and agrees with the financial impact statement.

The Budget Committee recommends to the Executive Committee that:

1.         City Council direct that the accumulated surpluses of $14,235 be paid to the City of Toronto for two AOCCs and be used to partially fund the payment of operating deficits of $107,740 for the other eight AOCC Community Centres core administration operations resulting in a net payment of $93,505 as detailed in Appendix 1 of the report (June 3, 2010) from the Deputy City Manager and Chief Financial Officer.

2.         Effective immediately, all AOCCs adhere to the following existing City policies and guidelines in accordance with the AOCCs, City of Toronto Relationship Framework:

a.         AOCCs seek approval from the Director of the Financial Planning Division prior to incurring expenditures that are not included in the Approved Operating Budget;

b.         AOCCs submit quarterly operating variance reports in sufficient detail to the Financial Planning Division, including projected year-end variances and explanations; and

c.         AOCCs submit detailed Administration and Program budgets for the annual Operating Budget process, to the Financial Planning Division, consistent with operating budget guidelines and policies, and informal requirements.

3.         City Council circulate the report (June 3, 2010) from the Deputy City Manager and Chief Financial Officer to all AOCCs Boards of Management for information.

The Budget Committee on June 29, 2010, considered a report (June 3, 2010) from the Deputy City Manager and Chief Financial Officer, entitled "AOCC Settlement of Operating Results for Year 2008".

The total surpluses of $14,235 from two Community Centres will partially offset the funding of deficits totalling $107,740, resulting in a net payment of $93,505 from the City to the AOCCs in 2010 arising primarily from the Core Administration Operations’ year end results for 2008. The deficit payment will be funded from under-expenditures reported through the final 2010 year-end variance results.

The Budget Committee recommends to the Executive Committee that:

1.         City Council authorize the addition of five new sub-projects to the approved 2010 Capital Budget and 2011-2019 capital plan for Facilities Management and Real Estate, with funding provided through reallocations from within the Approved 2010 Capital Budget and 2011-2019 Capital Plan, as illustrated in Appendix 1 of the report (June 1, 2010) from the Chief Corporate Officer, with zero gross and net impact.

2.         City Council authorize the reallocation of funds in Facility Management and Real Estate’s 2010 Approved Capital Budget and 2011-2019 Capital Plan in the amount of $0.56 million, as illustrated in Appendix 1 of the report (June 1, 2010) from the Chief Corporate Officer, with zero gross and net impact.

The Budget Committee on June 29, 2010, considered a report (June 1, 2010) from the Chief Corporate Officer, entitled "Facilities Management 2010 Capital Budget and Plan Adjustments".

There are no additional costs to the City as a result of approval of this report.

The approval of this report will result in the reallocation of $0.56 million in the approved 2010 Capital Budget to 5 new sub-projects, as illustrated in appendix 1.  These amendments will have a zero net impact.

The Deputy City Manager and Chief Financial Officer have reviewed this report and agree with the financial impact information.

The Budget Committee recommends to the Executive Committee that:

1          City Council approve the creation of an in-year Capital project with Fire Services for the acquisition of Bunker Suits in the estimated amount of $5.0 million with offsetting funding from the Capital Financing Reserve, which will be repaid by contributions from Fire’s Operating budget over a five-year period.

2.         City Council direct that future required acquisitions of Bunker Suits be included as part of Fire Services’ submission for the 2011 to 2020 Capital Plan.

3.         City Council direct that a funding strategy be developed and reviewed as part of the 2011 Budget Process that would include the viability of annual operating budget contributions from Fire Services to the Vehicle Reserve - Fire Equipment to ensure sufficient funds are available for the ongoing replacement of Bunker Suits.

4.         City Council approve the donation of obsolete fire fighting equipment currently in Toronto Fire Services Inventory, consisting of 60 bunker suits and helmets, 40 pairs of firefighting boots and 6 Medical Equipment storage bags, which has no resale value in North America, to the Bulgarian Fire Services.

The Budget Committee on June 29, 2010, considered a report (June 7, 2010) from the Fire Chief and General Manager, Toronto Fire Services and the Deputy City Manager and Chief Financial Officer, entitled "Toronto Fire Service (TFS) 2010 Capital Project to Replace Firefighter Bunker Suits".

Since amalgamation, for the past two acquisitions of bunker suits, the City has used the Capital Financing Reserve as the acquisition financing source with funding in the Fire Services’ base operating budget used as a repayment to the reserve over the 5-year period equal to the life cycle of the bunker suits. Fire Services has now issued a request for proposal to purchase (RFP) 3,800 new bunker suits for firefighters. This includes an initial order of 2,800 bunker suits plus 200 bunker suits per year over 5 years for new recruits and suits damaged beyond repair. It is recommended that the initial order of 2,800 suits be capitalized while suit replacements and suits for new recruits will continue to be expensed through the operating budget.

Based on previous price submissions and cost escalations from the last acquisition in 2005, a capital project estimated at $5.0 million gross and zero debt to be funded from the Capital Financing Reserve is being recommended.  Due to the proposal process, the actual cost cannot be determined at this time, however, it is expected that the actual cost will be in the range of $3.5 to $5.0 million. The last acquisition in 2005 included pricing for cleaning and maintenance, this new RFP will only address the acquisition of bunker suits. A further separate request for quotations (RFQ) will be issued in 2011 for cleaning and maintenance. By separating the RFP for bunker suits and RFQ for cleaning and maintenance more advantageous pricing should be achieved.

Since 2005, the Capital Financing Reserve repayment schedule has been based on a 5-year repayment cycle with applied annual interest of 4.5%. The current annual loan repayment is $0.655 million, based on an original 2005 expenditure of $3.273 million. For the new acquisition of 2,800 suits, based on a 4% interest rate and a 5-year payback, the operating impact to replenish the reserve is estimated to be in the range of $0.7 million to $1.1 million per year.  The actual revised repayment schedule will be based on the results of the winning bid and current corporate financing arrangements.  If the winning bid reflects a favourable price then the operating impact will either be zero as contributions to replenish the reserve remain constant or will reflect a savings over current contributions. However, any repayment to the reserve over the existing base budget of $0.655 million would be a pressure on the 2011 Operating Budget.  With a cost of up to $5.0 million, the pressure on the operating budget may be up to $0.378 million to start replenishing the reserve. Any pressure will be included as necessary in the 2011 Operating Budget submission.

In addition, Fire Services has $0.520 million in the base operating budget to fund bunker suit maintenance, repair, cleaning, as well as replacement and new suits for recruits. A separate RFQ for cleaning and maintenance will be issued and it is currently anticipated that there will likely be no resulting operating budget pressure. Operating impacts will be clarified as part of the 2011 Operating Budget process.

It is recommended that future bunker suit acquisitions be planned capital projects and that a revised financing strategy be developed.

The Deputy City Manager and Chief Financial Officer has reviewed this report and agrees with the financial impact information.

The Budget Committee recommends to the Executive Committee that:

1.         City Council transfer an amount of $800,000 in capital funding from the Station 40 ISF Project (CAM850-04) and transfer a further $635,000 from the Station Security Project (CAM050-01) in Emergency Medical Services’ (EMS) approved 2010 Capital Program to the Station 19 ISF Project (CAM850-02), resulting in a net zero change in the EMS’ 2010-2011 capital program.

The Budget Committee on June 29, 2010, considered a report (June 14, 2010) from the Deputy City Manager and Chief Financial Officer, entitled "Transfer Capital Funding within Emergency Medical Services 2010 Approved Capital Program to Allow Federal Infrastructure Project for Station 19 to Proceed".

The recommended transfer is a zero net change to the EMS’ 2010 and 2011 capital program and will not impact current or future operating or capital budgets.  As stipulated in the Financial Control Bylaw, any transfer in excess of $250,000 between capital projects requires Council approval.

The Deputy City Manager and Chief Financial Officer has reviewed this report and agree with the financial impact information.

The Budget Committee recommends to the Executive Committee that:

1.         City Council amend the 2010 Operating Budget for the Municipal Licensing and Standards, Animal Services program by an increase of $316,000 gross, $0 net, to be funded from the Animal Services deferred revenue account to provide support for non-staff costs for pet sterilization, environmental enrichment and special medical care for animals.

The Budget Committee on June 29, 2010, considered a report (June 15, 2010) from the Executive Director, Municipal Licensing and Standards, entitled "Donation Fund – 2010 In-Year Budget Adjustments, Animal Services".

This recommended increase to the 2010 Municipal Licensing and Standards Operating Budget for Animal Services, with no impact on the net cost of operations, arises from the availability of public donations to benefit animals on a one-time basis.  Donated funds totalling $559,932 are currently held by the City for this purpose.  This one-time adjustment for $316,000 gross, $0 net will be

reversed in the 2011 Operating Budget submission.  Additional available funds may be included in future Operating Budget processes, for consideration by Council.

The Deputy City Manager and Chief Financial Officer has reviewed this report and agrees with the financial impact information.

The Budget Committee recommends to the Executive Committee that:

1.         City Council approve a cash flow increase of $2.45 Million (M) to the 2010 vehicle replacement project within the Toronto Police Service’s Vehicle and Equipment Reserve (Reserve) and a corresponding cash flow decrease in 2011 for a zero net impact on the Reserve, for the acquisition of 75 additional marked vehicles in 2010.

The Budget Committee on June 29, 2010, considered a report (June 2, 2010) from the Executive Director, Municipal Licensing and Standards, entitled "Toronto Police Service:  2010 Capital Budget Variance Report Period Ending March 31, 2010".

There are no financial implications related to the recommendations contained within this report.  The 2010 cash flow adjustment to the Reserve allows the Service to commence the implementation of a strategy to manage the planned phase-out of the current marked police vehicle.  The 2011-2020 capital program submission will reflect the appropriate adjustments to the Reserve to fully implement the strategy.

Capital projects are managed within a total approved project amount that can span over several years.  Any unspent budget allocation approved in a particular year can be carried forward for one year.

The Council-approved gross available funding for 2010 (including carryover from 2009) is $87.8 million (M).  Taking into consideration the recommendations in this report, gross available funding for 2010 will be adjusted to $90.3M ($87.8M + $2.45M + $0.023M).  Total adjusted funding is comprised of $70.8M (debt-funded) and $19.5M (other-than-debt funded).

As of March 31, 2010, the Service is projecting a total gross expenditure of $86.8M, compared to $90.3M in available funding (a spending rate of 96.1% for 2010).  From a net debt perspective, the Service is projecting total expenditures of $55.7M, compared to $57.9M in available funding (a spending rate of 96.1%).  The projected (net) under-expenditure for 2010 is $2.3M.  This amount is still required and will be carried forward to 2011.

The Budget Committee on June 29, 2010, considered a report (June 17, 2010) from the Government Management Committee, entitled "Acquisition of Toronto District School Board's 80 Lothian Avenue site (GM32.14)".

The total cost of acquiring the parking lot lands is approximately $1,790,893.00 including all taxes and charges. 

Funding for the acquisition in the amount of $1,790,893.00 is available in the Land Acquisition Reserve Fund (XR-1012).  It is recommended that the 2010 Approved Capital Budget for Parks, Forestry and Recreation be increased by $1,790,893.00 funded from the Land Acquisition Reserve Fund (XR-1012), for net $0 impact.

A break down of the contemplated costs for the parking lot can be found in Appendix “A-1”.

Acquisition of Parking Lot Lands

Total HST on Parking Lot Lands $225,645.00 *(of which $30,549.00 is non-refundable)

If Council were to approve the acquisition of the open space portion of the property, the cost would be approximately $4,711,637.00 including all taxes and charges. 

Funding for the acquisition, in the amount of $4,711,637.00 is available in the Land Acquisition Reserve Fund (XR-1012).  It is recommended that the 2010 Approved Capital Budget for Parks, Forestry and Recreation be increased by $4,711,637.00, funded from the Land Acquisition Reserve Fund (XR-1012), for a net $0 impact on the City’s budget.

The open space portion of the purchase price, approximately $4,711,637.00 will be repaid to the Land Acquisition Reserve Fund from Section 37 monies from development in Ward 5 and all cash-in-lieu of parkland dedication money over and above the initial 5% portion, collected for 3 years or until the acquisition price is refunded.

A break down of the contemplated costs for the entire property can be found in Appendix “A-2”.

Acquisition of Open Space Lands

Total HST on Acquisition of Entire Property $593,355.00 *(of which $80,331.00 is non-refundable)

The Deputy City Manager and Chief Financial Officer has reviewed this report and agrees with the financial impact information.

The Budget Committee recommends to the Executive Committee that:

1.         City Council approve funding for the expanded CINOT (Children in Need of Treatment) dental program totalling $356,460 gross, of which $268,845 is funded by the Ministry of Health Promotion and $89,615 is funded for 2010 only through reallocation from the approved 100 per cent City funded dental services budget.

2.         City Council increase the Toronto Public Health 2010 Operating Budget by $268,845 gross with $268,845 revenue from the Ministry of Health Promotion.

3.         The 2011 additional funding requirement of $358,460 gross/ $89,615 net for the expanded CINOT (Children in Need of Treatment) dental program be considered by the Budget Committee during the 2011 Operating Budget process.

The Budget Committee on June 29, 2010, considered a letter (June 28, 2010) from the Board of Health, entitled "Expansion of the Children in Need of Treatment (CINOT) Dental Program – 2010 Funding".

The increase in the 2010 TPH Operating Budget of $358,460 gross for the CINOT expansion program will be funded by revenue of $268,845 from the MHP therefore resulting in an additional expenditure for the City of $89,615 net.  In order to mitigate this budget pressure in 2010, the required funding of $89,615 will be reallocated on a one-time basis from 100 per cent City funded dental services that are included in the approved TPH 2010 Operating Budget. 

The additional funding requirement of $358,460 gross and $89,615 net for the expanded CINOT dental program in 2011 will be forwarded to Budget Committee for consideration during the 2011 Operating Budget process.

The Deputy City Manager, Chief Financial Officer has reviewed this report and agrees with the financial impact information.

Attaching a document entitled "The Vienna Declaration" which is a scientific statement seeking to improve community health and safety by calling for the incorporation of scientific evidence into illicit drug policies; advising that Scientists, health practitioners and the public are being invited to endorse this document in order to bring these issues to the attention of governments and international agencies, and to illustrate that drug policy reform is a matter of urgent international significance. 

Advising that, given that the City of Toronto has practised and supported several Harm Reduction models in the fight against AIDS, such as needle exchange since 1987, access to methadone treatment, alcohol management programs and condom distribution, requesting City Council to demonstrate its long held leadership on this matter.

This report recommends the approval of amended terms to finalize an agreement with Clarity Outdoor Media Inc. (“Clarity”) related to the operation of an existing Gardiner outdoor billboard sign at Strachan Avenue. As detailed below, these amended terms were negotiated and finalized with Clarity following the Council approvals of other terms and conditions in both August 2009 and January 2010 and generally relate only to the financial terms of the contract and reflect the changing financial return on investment for Clarity specifically and for this industry in general.

On March 27, 2009, a Request for Proposals (RFP) was released through the City of Toronto Purchasing Division that called for a qualified outdoor billboard operator to purchase, operate and maintain the existing Strachan Billboard for a period of 15 years commencing September 1, 2009. Qualified proposals were received from Clarity and Pattison Outdoor Advertising (“Pattison”). 

At its meeting of May 29, 2009 and August 5 and 6, 2009, the Board and City Council respectively, approved the Board entering into an agreement with Clarity for the purchase and operation of the existing outdoor billboard sign located at Strachan Avenue and the Gardiner expressway as the successful bidder. 

Negotiations to finalize the agreement with Clarity were ongoing since August 2009 and have resulted in amendments being approved at the Board meeting of December 4, 2009 and Council meeting January 26 and 27, 2010.

Despite approval of the requested change in the payment dates in January 2010, Clarity was unable to obtain financing and finalize the agreement on the terms approved and following receipt of advice from City Legal, Exhibition Place, on a without prejudice basis, approached both Clarity and Pattison for new proposals, which were then reviewed by the Board’s consultant, Allvision Canada Company (“Allvision”).  Allvision is recommending that the Board enter an agreement with Clarity on the basis that it has proposed the best financial package as detailed in the chart on the last page of the Confidential Attachment.  Given the past and existing negotiations with Clarity, Exhibition Place has insisted that Clarity execute the Agreement and provide a deposit to the Board and both conditions have been met.

Approval of the agreement between the Board and Clarity on the amended terms as set out in this report will have a negative financial impact to the Board in 2010 as detailed in Confidential Attachment 1 as the budget assumed an additional revenue stream commencing from September 2009 based on Clarity’s initial proposal as accepted by the Board and City Council.  However, Exhibition Place staff have initiated directions to minimize the negative financial impacts.  However, over the term of the agreement, the agreement with Clarity will result in a positive income stream to the Board as compared to the income received over the agreement with the previous third party provider which financial details are set out in Confidential Attachment 1.

It is recommended that City Council:

1.      Enter into a lease agreement with 1673081 Ontario Ltd. for the FDR substantially on the terms and conditions contained in this report and Schedule “A” attached and the Confidential Attachment 1 to this report and such other terms and conditions satisfactory to the Board’s Chief Executive Officer and the City Solicitor; and

2.      Direct that the confidential information contained in Attachments 1 to this report not be released publicly in order to protect the competitive position and future economic interests of Exhibition Place and the City of Toronto. 

The lease agreement with 1673081 Ontario Ltd. will provide an estimated positive financial return to the Board and the City of approximately $2,175,598 over the term of the agreement.

At its meeting on Wednesday July 14, 2010 the Commission considered the attached report and confidential attachment entitled “TTC Special Constable Services”.

The Commission took the following action:

1.      approved the recommendations as set out in the Confidential Attachment;

2.      forward this report and the Confidential Attachment to the City Clerk for submission to the City Executive Committee on August 16, 2010; and

3.      noted that the confidential information as set out in the Confidential Attachment remains confidential in its entirety as it contains information that involves the security of property belonging to the Commission.

The Commission’s recommendation is forwarded to Executive Committee for appropriate handling.

At its meeting of June 14, 2010 the Executive Committee directed the Chief General Manager of the Toronto Transit Commission and the City Manager to separately report to City Council, through the Executive Committee on their position on the issues raised of transit security and special constable services.

It is recommended that the Executive Committee receive this report.

The purpose of this report is to advise the Executive Committee about the Toronto Police Service’s response to concerns raised by members of the public about the need for increased police enforcement of parking regulations on bicycle lanes in Toronto.

There are no financial implications in regard to the receipt of this report.

The purpose of this report is to submit a copy of the Toronto Police Service’s 2009 Annual Hate/Bias Crime Statistical Report.

There are no financial implications in regard to the receipt of this report.