Updates to the CEO’s Delegated Authority

The Board's approval included a requirement to report back on a semi-annual basis on contracts awarded under the delegated authority that exceed $5 million. For single source contracts, including all amendments, the CEO's delegation of authority amount was not updated and remained at a total of $500,000. The proposed update as set out in this report requests additional delegated authority for the CEO to award single source contracts, including amendments, up to a cumulative value $5 million, inclusive of taxes. For single source contracts that exceed $5 million, additional approval from the Chair or Vice-Chair is required. The recommendations also ensure that any delegated authority provided by the Board to the CEO may be further delegated by the CEO to their designates. The report also provides additional delegated authority to the CEO during the break in Board meetings from July - December 2026 arising from the municipal elections. These changes support: TTC's Corporate Plan, Action 5.1.1 Efficiencies in Business Processes: streamlining and optimizing existing business processes to enhance operational effectiveness. City of Toronto Council and TTC Board requests for increased efficiencies related to the contract award process.

Notwithstanding any current policy, authorize the Chief Executive Officer to delegate any financial authority amount, which has been delegated by the Board to the Chief Executive Officer, to their designates as determined by the Chief Executive Officer in consultation with the Chief Financial Officer. 3. Direct the Chief Executive Officer to report to the Board on a semi-annual basis on the following: All contract awards that exceed $5 million, inclusive of taxes; All contract awards regardless of value where the term of the contract, including option years, exceeds 5 years, save and except if the projected term of capital funding for the project and contract, as approved by the Board and City Council, is greater than 5 years; and All single source contract awards that exceed $2.5 million, inclusive of taxes. 4. In order to ensure continuity of services during a municipal election year, that from the last scheduled Board meeting on July 22, 2026, until the next scheduled Board meeting (which is currently scheduled for December 15, 2026), the following additional authorities shall be delegated to the Chief Executive Officer (as may be further delegated by the CEO): Award, or amend existing contracts, in response to an emergency, otherwise defined as any situation of extreme urgency brought about by unforeseeable events that requires the immediate procurement of goods and services to address a material and imminent risk to health, safety, security, cybersecurity, property, the environment or other public interests of the TTC and/or the City of Toronto. Award, or amend existing, contracts required to ensure critical and time sensitive TTC operating and capital activities continue to move forward and are not delayed. In consultation with the Chief Financial Officer, to enter into agreements, including any amendments and extensions, with other orders of government, including their agencies, to take actions as required to preserve the TTC's ability to secure intergovernmental funding or financing opportunities that may arise, including entering into any necessary agreements with other levels of government to receive such funding. 5. Direct the Chief Executive Officer or designate to report to the first Board meeting of the new term on the exercise of any delegated authority under Recommendation 4 above.