Board of Governors of Exhibition Place
The full agenda, as filed
All 12 items in the clerk’s order. Each carries the city’s own words: the staff recommendation, what the body decided, and its status. Nothing below is written by us.
EP12.1adopted
One Year Extension of Electronic Meeting Rules
At its meeting of July 28 and 29, 2020, City Council adopted Item EX15.21, and in so doing has authorized its local boards to extend or adopt remote electronic meeting rules for a period of one year following the later of the termination of the Provincial emergency and the termination of the municipal emergency related to the issue of COVID-19.
The Board of Governors of Exhibition Place: 1. Amended By-law 1-2017 and adopt the draft bill in Attachment 1 to the report (September 9, 2020) from the City Clerk to extend the remote electronic participation rules for a period ending one year following the termination of the COVID-19 emergency declaration under section 4 of the Emergency Management and Civil Protection Act.
Staff recommendation as filed
The City Clerk recommends that: 1. The Board of Governors of Exhibition Place amend By-law 1-2017 and adopt the draft bill in Attachment 1 to extend the remote electronic participation rules for a period ending one year following the termination of the COVID-19 emergency declaration under section 4 of the Emergency Management and Civil Protection Act.
EP13.1adopted
Occupational Health and Safety Report - Second Quarter 2020
This report provides information on the status of the Exhibition Place health and safety system, specifically on activities, priorities, and performance during the second quarter of 2020. There were 0 lost time injuries and a 75 percent decrease in medical aid injuries in the second quarter of 2020 relative to the second quarter of 2019. Workplace Safety and Insurance Board (WSIB) invoice costs for the second quarter of 2020 were approximately 60 percent lower to those in the second quarter of 2019. This is attributable to decreased incident costs and lower Long Time Disability costs.
The Board of Governors of Exhibition Place: 1. Received the report (September 3, 2020) from the Chief Executive Officer, Exhibition Place for information.
Staff recommendation as filed
The Chief Executive Officer recommends that: 1. The Board receive this report for information.
EP13.2adopted
Exhibition Place Financial Report - Second Quarter (Q2) June 30, 2020
This report includes several detailed Appendices that provide a full financial summary of all program areas of Exhibition Place for the second quarter (Q2) ending June 30, 2020.
The Board of Governors of Exhibition Place: 1. Directed that Confidential Attachment 1 to the report (September 3, 2020) from the Chief Executive Officer, Exhibition Place remain confidential as it contains financial information that belongs to the Board of Governors of Exhibition Place and has monetary value or potential monetary value.
Staff recommendation as filed
The Chief Executive Officer recommends that: 1. The Board direct that Confidential Attachment 1 to this report remain confidential as it contains financial information that belongs to the Board of Governors of Exhibition Place and has monetary value or potential monetary value.
EP13.3adopted
Lake Shore Billboard Sign Agreement - Branded Cities
This report recommends entering into a ten (10) year sign agreement with Branded Cities Company Canada ("BCC") (formerly, "Clear Channel Outdoor Company Canada") for two digital signs at Lakeshore Boulevard which are proposed to replace the two existing static displays billboards signs. The agreement is conditional on obtaining the necessary City approvals, including any amendments, if applicable, to the City's Municipal Code Chapter 694, Signs, General. The agreement is to be effective on the date the new signs are installed and becomes operational, which is anticipated to be prior to the expiry of BCC current agreement. The current 15-year agreement with BCC is set to expire on July 31, 2022. BCC wrote and met with staff from both Exhibition Place and City Corporate Real Estate Management ("CREM") to indicate its desire to continue its relationship with Exhibition Place and subsequently provided a financial proposal and New Agreement terms. Staff from Exhibition Place and CREM have been in discussions and negotiations with BCC since September 2019, and this report recommends that the Board approve the terms and conditions that are reflected in this report, and forward these for the necessary City of Toronto authorization for approval.
The Board of Governors of Exhibition Place: 1. Subject to obtaining the necessary City of Toronto authorization for the transaction, and subject to Branded Cities Company Canada obtaining the necessary approvals set out in Part 2, approved an agreement with Branded Cities Company Canada substantially on the terms and conditions set out in the report and in Confidential Attachment 1 to the report (June 10, 2020) from the Chief Executive Officer, Exhibition Place, and such other terms and conditions as may be satisfactory to the Chief Executive Officer, the Deputy City Manager, Corporate Services, or her designate, and in a form satisfactory to the City Solicitor (the "New Agreement"). 2. Permitted Branded Cities Canada to submit an application to the City for the necessary approvals, including, but not limited to, any by-law amendments or permits, including a site specific amendment to Municipal Code Chapter 694 Signs, General, required to permit the proposed installation as more particularly set out in Appendix B to the report (June 10, 2020) from the Chief Executive Officer, Exhibition Place. 3. Directed that the confidential information contained in Confidential Attachment 1 to the report (June 10, 2020) from the Chief Executive Officer, Exhibition Place remain confidential and not be released publicly as it contains financial information that belongs to the Board of Governors of Exhibition Place and has monetary value or potential monetary value.
Staff recommendation as filed
The Chief Executive Officer recommends that: 1. Subject to obtaining the necessary City of Toronto authorization for the transaction, and subject to Branded Cities Company Canada obtaining the necessary approvals set out in Recommendation 2, the Board approve an agreement with Branded Cities Company Canada substantially on the terms and conditions set out in this report and in Confidential Attachment 1, and such other terms and conditions as may be satisfactory to the Chief Executive Officer, the Deputy City Manager, Corporate Services, or her designate, and in a form satisfactory to the City Solicitor (the "New Agreement"). 2. The Board permit Branded Cities Canada to submit an application to the City for the necessary approvals, including, but not limited to, any by-law amendments or permits, including a site specific amendment to Municipal Code Chapter 694 Signs, General, required to permit the proposed installation as more particularly set out in Appendix B. 3. The Board direct that the confidential information contained in Confidential Attachment 1 to this report remain confidential and not be released publicly as it contains financial information that belongs to the Board of Governors of Exhibition Place and has monetary value or potential monetary value.
EP13.4adopted
Toronto Fashion Incubator Lease
The Board and Toronto Centre for the Promotion of Fashion Design, carrying on business as Toronto Fashion Incubator (the "Tenant"), entered into a lease of the Music Building at 285 Manitoba Drive dated June 15, 2016, which expired on December 14, 2019 (the "Existing Lease"). Pursuant to Section 3.2 of the Existing Lease, the Tenant surrendered the portion of the Music Building known as Pod 1 from the Leased Property, effective December 14, 2016. The Tenant requested a 4 year extension of the Existing Lease with respect to Pods 2 and 3 of the Music Building, commencing December 15, 2019 and concluding December 14, 2023 which was approved by the Board at its meeting of September 19, 2019. In early March 2020 the Tenant found out that the annual operating grant the Tenant receives from the City of Toronto Economic Development is being significantly reduced in 2021 and 2022, with the funding cut retroactive to January 2020 and therefore at this time the Tenant is unable to commit to a 4-year lease. The Tenant's Board is requesting a two-year lease instead, commencing December 15, 2019 and ending December 14, 2021 with two one-year renewal options, with an early termination provision of June 1, 2021 and June 1st of each renewal option year. The early termination provision would require the Tenant to give two months written notice.
The Board of Governors of Exhibition Place: 1. Subject to obtaining the necessary City of Toronto authorization, approved a new lease (the "Lease") between the City of Toronto, as landlord (the "City"), Toronto Centre for the Promotion of Fashion Design, carrying on business as Toronto Fashion Incubator, as tenant, and the Board, for a term of two (2) years commencing December 15, 2019 and ending December 14, 2021, substantially on the terms and conditions set out in Appendix A and Confidential Attachment 1 to the report (September 3, 2020) from the Chief Executive Officer, Exhibition Place, and such other terms and conditions deemed appropriate by the Deputy City Manager, Corporate Services (the "DCM"), the Chief Executive Officer of the Board (the "CEO"), and in a form satisfactory to the City Solicitor. 2. Authorized the Chief Executive Officer to request the necessary City authorities to approve and enter into the Lease. 3. Directed that Confidential Attachment 1 to the report (September 3, 2020) from the Chief Executive Officer, Exhibition Place remain confidential in its entirety and not be released publicly as it pertains a proposed or pending acquisition or disposition of land by the City and the Board.
Staff recommendation as filed
The Chief Executive Officer recommends that: 1. Subject to obtaining the necessary City of Toronto authorization, the Board approve a new lease (the "Lease") between the City of Toronto, as landlord (the "City"), Toronto Centre for the Promotion of Fashion Design, carrying on business as Toronto Fashion Incubator, as tenant, and the Board, for a term of two (2) years commencing December 15, 2019 and ending December 14, 2021, substantially on the terms and conditions set out in Appendix A and Confidential Attachment 1, and such other terms and conditions deemed appropriate by the Deputy City Manager, Corporate Services (the "DCM"), the Chief Executive Officer of the Board (the "CEO"), and in a form satisfactory to the City Solicitor. 2. The Board authorize the Chief Executive Officer to request the necessary City authorities to approve and enter into the Lease. 3. The Board direct that Confidential Attachment 1 to this report remain confidential in its entirety and not be released publicly as it pertains a proposed or pending acquisition or disposition of land by the City and the Board.
EP13.5amended
Exhibition Place Hotel X Development - Phase 2 Lands
An RFP was released through the City of Toronto Purchasing on April 17, 2007. Both of the two hotel developers short-listed through a previous REOI process submitted a proposal and the Board approved HK Hotels LLC ("HKH") as the successful proponent. In March 2008, the Board approved a Letter of Intent (LOI) between the Board and HKH which set out general terms along with an exclusivity to negotiate. At its meeting of October 8, 2009, the Board of Governors approve of entering into a 49-year lease agreement with two 25-year renewal terms with HKH, which report was subsequently approved by City Council at its meeting of November 30, December 1, 2, 3, 4, 7, 2009 (EX36.3). The 750,000 square feet first phase Hotel opened for operations on March 20, 2018, with the hotel development consisting generally of a podium and tower (29 floors for the tower, 404 rooms, and 411 underground parking spots). Under the current lease for Hotel X, the tenant Princes Gate Hotel Limited Partnership ("HKH") has an option to lease certain phase 2 lands to the west of the current property. By letter dated July 31, 2020 HKH gave formal written notice to the Board Chair and CEO of Exhibition Place that it wishes to exercise that option for the 2nd tower and other related amenities. The financial terms and conditions and concept/specifications/design plan surrounding the phase 2 parcel of lands need to be negotiated in advance between the parties and once finalized shall be subject to review and approval by both the Board and City Council.
The Board of Governors of Exhibition Place: 1. Requested the Chief Executive Officer, Exhibition Place to commence discussions with City of Toronto Corporate Real Estate Management staff and Hotel X representatives to start negotiations on the Phase 2 development and report back to the Board on: a. the results of the discussions; b. terms and conditions for the development, including design concept; c. an overview of the approval process; and d. how the development will take into consideration the recent Exhibition Place Master Plan.
Staff recommendation as filed
The Chief Executive Officer recommends that: 1. The Board receive this report for information.
EP13.6adopted
Exhibition Place Management Report - 2nd Quarter 2020
The management report from the Chief Executive Officer is provided to the Board for information. A new format has been developed with graphs and tables for ease of reference of the information by the Board and the community. This Management Report and a separate Financial Report is produced on a quarterly basis.
The Board of Governors of Exhibition Place: 1. Received the report (September 3, 2020) from the Chief Executive Officer, Exhibition Place for information.
Staff recommendation as filed
The Chief Executive Officer recommends that: 1. The Board receive this report for information.
EP13.7adopted
Lease Agreement for the Horse Palace - Toronto Equestrian
This report recommends that the Board enter a four (4) year lease with Toronto Equestrian (the "Tenant") for the operation of an Equestrian Riding School in a portion of the Horse Palace stables at Exhibition Place commencing January 1, 2021 and ending on December 31, 2024, substantially on the terms and conditions of their response to our Request for Proposal.
The Board of Governors of Exhibition Place: 1. Subject to obtaining the necessary City of Toronto authorization, approved a new lease (the "Lease") between the City of Toronto, as landlord (the "City"), Toronto Equestrian, as tenant, and the Board, for a term of four (4) years commencing January 1, 2021 and ending December 31 2024, substantially on the terms and conditions set out in Appendix A and Confidential Attachment 1 to the report (September 3, 2020) from the Chief Executive Officer, Exhibition Place, and such other terms and conditions deemed appropriate by the Deputy City Manager, Corporate Services (the "DCM"), the Chief Executive Officer, Exhibition Place (the "CEO"), and in a form satisfactory to the City Solicitor. 2. Authorized the Chief Executive Officer, Exhibition Place to request the necessary City authorities to approve and enter into the Lease. 3. Directed that the confidential information contained in Confidential Attachment 1 to the report (September 3, 2020) from the Chief Executive Officer, Exhibition Place remain confidential, and not be released publicly as it contains financial information that belongs to the Board of Governors of Exhibition Place and has monetary value or potential monetary value.
Staff recommendation as filed
The Chief Executive Officer recommends that: 1. Subject to obtaining the necessary City of Toronto authorization, the Board approve a new lease (the "Lease") between the City of Toronto, as landlord (the "City"), Toronto Equestrian, as tenant, and the Board, for a term of four (4) years commencing January 1, 2021 and ending December 31 2024, substantially on the terms and conditions set out in Appendix A and Confidential Attachment 1, and such other terms and conditions deemed appropriate by the Deputy City Manager, Corporate Services (the "DCM"), the Chief Executive Officer of the Board (the "CEO"), and in a form satisfactory to the City Solicitor; 2. The Board authorize the Chief Executive Officer to request the necessary City authorities to approve and enter into the Lease. 3. The Board direct that the confidential information contained in Confidential Attachment 1 to this report remain confidential, and not be released publicly as it contains financial information that belongs to the Board of Governors of Exhibition Place and has monetary value or potential monetary value.
EP13.8adopted
2020 Operating Budget Financial Impact Update due to COVID-19
The City of Toronto made a decision in March to cancel all programs and events up to June 30, 2020 due to COVID-19 pandemic risk to public health and safety. Provincial Public Health Officials have further restricted gathering numbers to a limit of 50 persons indoors. Since March, nearly every Exhibition Place Show Organizer and Meeting Planner client have invoked their Force Majeure clause in their License Agreement to cancel or postpone their 2020 events. The same meeting and event cancellation is occurring in every convention centre across Canada. In addition to the cancellation of shows/meetings, Tenants such as Liberty Grand, QE Theatre, Aqua Dolce Resto Venue and Medieval Times have been completely closed while other tenants have opened in very limited capacity and therefore the loss of related ancillary revenue, such as Parking and Show Services from their closure. The Boards operations are highly dependent on the cash flow and net income from our trade and consumer shows, conferences, conventions, socials, galas, meetings and tenants operations. Since early in March, given the rise in concern over COVID-19, staff has been monitoring its cash flow from operations on a daily basis and have put a hold on all non-essential costs and discretionary expenditures such as travel, training, etc. Given the cancellation / postponement of all events up to August 31, 2020 Exhibition Place staff has been in constant communications with the City Managers Office and the City Financial Planning Department regarding financing opportunities to cover the Boards next 4 month cash shortfall requirements. Show Organizers and Meeting Planners of these cancelled events and conventions are requesting a full refund of their space rental fees due to Force Majeure. The Board approved 2020 operating budget is a surplus of $500,000. The estimated impact from COVID-19 to the Boards operating budget as at August 31, 2020 is a reduction of net income/surplus of $18.306 million (Schedule A). The loss of net income and resultant cash flow is a concern not only to Exhibition Place, but also to the City of Toronto as the Board operates, manages, and maintains Exhibition Place on behalf of the City, and the City is entitled to any surplus resulting from the Board's activities, and is responsible for any deficit the Board incurs. At its meeting of June 24, 2020 the Board received an update to the 2020 operating budget forecasted results, and directed the Chief Executive Officer to submit another update to the 2020 operating budget impact due to COVID-19 and the projected 2020 results at the September 18, 2020 Board meeting.
The Board of Governors of Exhibition Place: 1. Directed the Chief Executive Officer to submit another update to the 2020 operating budget impact due to COVID-19 and the projected 2020 results at the December 14, 2020 Board meeting.
Staff recommendation as filed
The Chief Executive Officer recommends that: 1. The Board direct the Chief Executive Officer to submit another update to the 2020 operating budget impact due to COVID-19 and the projected 2020 results at the December 14, 2020 Board meeting.
EP13.9adopted
Management and Non-Union Employees Benefits Plan Amendments
This report recommends that the Board adopt the changes to the Active Employee Benefits Plan for Management and Non-Union employees of Exhibition Place, which changes are in keeping with the recent directions taken by City Council in July 2020. The proposed changes outlined in this report arise from the City of Toronto staff's review of the benefit plan changes, following the recently concluded collective bargaining with TCEU, Local 416 and CUPE, Local 79. The provision of administrative and underwriting services for employee benefit plans for Agencies and Corporations including Exhibition Place is included in the City benefits administration through participation in a joint Request for Proposal with the City Purchasing Management and Materials Division, which provide the same benefits to our employees under the City's umbrella.
The Board of Governors of Exhibition Place: 1. Adopted the amended Active Employee Benefits Plan for Management and Non-Union employees, as outlined in Attachment 1 to the report (September 3, 2020) from the Chief Executive Officer, Exhibition Place. 2. Adopted the requirements to provide medical certificates for Management and Non-Union employees, as outlined in Attachment 1 to the report (September 3, 2020) from the Chief Executive Officer, Exhibition Place. 3. Adopted the Pre-65 Retiree Benefits Plan for Management and Non-Union employees, as amended, where applicable, for employees who retire on or after October 1, 2020, as outlined in Attachment 1 to the report (September 3, 2020) from the Chief Executive Officer, Exhibition Place.
Staff recommendation as filed
The Chief Executive Officer recommends that: 1. The Board of Governors adopt the amended Active Employee Benefits Plan for Management and Non-Union employees, as outlined in Attachment 1 to this report. 2. The Board of Governors adopt the requirements to provide medical certificates for Management and Non-Union employees, as outlined in Attachment 1 to this report. 3. The Board of Governors adopt the Pre-65 Retiree Benefits Plan for Management and Non-Union employees, as amended, where applicable, for employees who retire on or after October 1, 2020, as outlined in Attachment 1 to this report.
EP13.10adopted
Security Group Wages Market Analysis and Implementation Plan
On October 22, 2019, Exhibition Place received an Ontario Labour Relations Board (OLRB) ruling approving the termination of Bargaining Rights with CUPE Local 5116 and Exhibition Place Security Guards. As a result, the employees in this former Bargaining Unit were now required to become non-union Board employees. At its meeting of February 11, 2020, the Board of Governors authorized the Chief Executive Officer to engage a consultant to conduct a Market Analysis of compensation levels for the employees in the Security Group, and directed the Chief Executive Officer to report back in early 2020 on the design and financial implications of the implementation of the Market Analysis design. This report outlines the evaluation results from the consultant Korn Ferry (CA) Ltd. ("Korn Ferry") for the Security Group market analysis and the financial implications of the implementation plan, and recommends adoption of the Wage Plan for the Board employees in the Security Group.
The Board of Governors of Exhibition Place: 1. Approved the Security Group market analysis wage/job rate recommended in the Korn Ferry report dated September 3, 2020 attached as Confidential Appendix A and outlined in Confidential Attachment 1, for implementation in the Fiscal Year 2020 effective on October 1, 2020 and ending December 31, 2020 (stub year for 3 months), and authorized the Chief Executive Officer to implement the annual transitional plan in Confidential Attachment 1 that advances the active employees in the security group to the new wage structure. 2. Directed the Chief Executive Officer, Exhibition Place to provide written notice of the Board's decision, as soon as possible to each of the Exhibition Place employees affected by the Market Analysis study. 3. Directed that Confidential Attachment 1 - Appendix A to the report (September 3, 2020) from the Chief Executive Officer, Exhibition Place (Korn Ferry report) be released publicly following approval of the Board and provision of notification to the affected employees as set out in Part 2 above. 4. Directed that Confidential Attachment 1 to the report (September 3, 2020) from the Chief Executive Officer, Exhibition Place remain confidential in its entirety and not be released publicly as it pertains to personal matters about identifiable individuals.
Staff recommendation as filed
The Chief Executive Officer recommends that: 1. The Board approve the Security Group market analysis wage/job rate recommended in the Korn Ferry report dated September 3, 2020 attached as Confidential Appendix A and outlined in Confidential Attachment 1, for implementation in the Fiscal Year 2020 effective on October 1, 2020 and ending December 31, 2020 (stub year for 3 months), and authorize the Chief Executive Officer to implement the annual transitional plan in Confidential Attachment 1 that advances the active employees in the security group to the new wage structure. 2. The Board direct the Chief Executive Officer, Exhibition Place to provide written notice of the Board's decision, as soon as possible to each of the Exhibition Place employees affected by the Market Analysis study. 3. The Board direct that Confidential Attachment 1 - Appendix A (Korn Ferry report) be released publicly following approval of the Board and provision of notification to the affected employees as set out in Recommendation 2 above. 4. The Board direct that Confidential Attachment 1 remain confidential in its entirety and not be released publicly as it pertains to personal matters about identifiable individuals.
EP13.11adopted
Multi-year Agreement with Green Savoree Toronto (GST) ULC for Honda Indy at Exhibition Place
This report recommends a three-year agreement with Green Savoree Toronto ULC (GST) for 2021, 2022, and 2023 for the Honda Indy races. The terms and conditions also protect the Board's right with respect to redevelopment of the Exhibition Place site and take into account the 2017 - 2019 Strategic Plan of Exhibition Place.
The Board of Governors of Exhibition Place: 1. Approved the multi-year agreement with Green Savoree Toronto (GST) for a three (3) term commencing in 2021 and expiring in 2023 on the terms and conditions of the standard license agreements for Exhibition Place; the specific terms and conditions set out in Appendix A; the financial terms set out in Confidential Attachment 1 to the report (September 8, 2020) from the Chief Executive Officer, Exhibition Place; and such other terms and conditions satisfactory to the Chief Executive Officer and City Solicitor. 2. Directed that Confidential Attachment 1 to the report (September 8, 2020) from the Chief Executive Officer, Exhibition Place remain confidential in its entirety and not be released publicly as it pertains to a plan to be applied to any negotiations carried on or to be carried on by or on behalf of the Board.
Staff recommendation as filed
The Chief Executive Officer recommends that: 1. The Board approve the multi-year agreement with Green Savoree Toronto (GST) for a three (3) term commencing in 2021 and expiring in 2023 on the terms and conditions of the standard license agreements for Exhibition Place; the specific terms and conditions set out in Appendix A; the financial terms set out in Confidential Attachment 1; and such other terms and conditions satisfactory to the Chief Executive Officer and City Solicitor. 2. The Board direct that Confidential Attachment 1 to this report remain confidential in its entirety and not be released publicly as it pertains to a plan to be applied to any negotiations carried on or to be carried on by or on behalf of the Board.