The Chief Corporate Officer recommends that:

1.         City Council approve the incorporation of the portion of the Jolly Miller property shown as Part 1 on Sketch No. PS-2009-116 into the abutting parkland/valley open space system to be operated and managed by Parks, Forestry & Recreation (“PF&R”) and the long-term operation of a public parking lot on Part 2 on Sketch No. PS-2009-116, as a municipal parking facility to be operated and managed by  the Toronto Parking Authority (“TPA”) in accordance with Chapter 179 of the Toronto Municipal Code in exchange for a fair market value (“FMV”) contribution of $525,000.

2.         City Council exempt the 3885 Yonge Street property from the City Real Estate policies set out in the Proceeds from Sale of Surplus City-Owned Real Property (the “Proceeds Policy”) and the Principles of a City Real Estate Strategy, so that  $425,000 of the FMV contribution amount by TPA for Part 2 on Sketch No. PS-2009-116 be allocated to PF&R for capital improvements on Part 1 on the said Sketch rather than being deposited in the Land Acquisition Reserve Fund (“LARF”), and the remaining $100,000 of the FMV contribution amount by TPA, subject to TPA Board approval be deposited into LARF.

3.         City Council authorize the TPA to design and manage the construction of the park located on Part 1 shown on Sketch No. PS-2009-116 to the satisfaction of the General Manager of PF&R at a total cost of $425,000 funded from the TPA 2010 Approved Capital Budget CPK144-01 Jolly Miller.

4.         City Council authorize and direct the appropriate City Officials to take the necessary action to give effect to the foregoing, including the introduction in City Council of any bills necessary to give effect thereto.

In 1997, the former City of North York Council approved the acquisition of the Jolly Miller property located at 3885 Yonge Street and the development of the northern portion of this property as a municipal parking lot in order to generate revenue to aid in recovering the acquisition costs.  Once such costs were recouped, City Council was to reconsider the appropriateness of the parking use.

The purpose of this report is to provide the final statement of recovery of the original acquisition of the Jolly Miller property and to seek Council authority on the disposition of the existing parking lot.

The FMV is $525,000.  TPA has approved funding for the FMV in the amount of $425,000 and would require TPA Board of Director’s approval for the additional $100,000. 

If City Council approves Recommendation No. 2, the City will forego the proceeds from TPA in the amount of $425,000 from being allocated into LARF as per Council Policy.  The remaining $100,000 will be allocated to LARF.  The $425,000 will be used to fund the removal of the parking lot on the portion of the site that is to become parkland.  In addition, that money will be used to re-establish the open space and build walkways and park features in the park.  Funding for the expansion of the parkland ($425,000) and contribution to the LARF ($100,000) are included in the TPA’s 2010 Capital Budget in account CPK144-01 Jolly Miller.

Once the parkland is built it will cost $12,840 in 2010 and in future years to maintain and keep this parkland. The cost for 2010 will be absorbed within PF&R’s 2010 Operating Budget.  Future year funding requirements will be included in the respective year’s operating budget submission for PF&R.

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