Toronto Parking Authority
The full agenda, as filed
All 10 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.
PA6.1adopted
Toronto Parking Authority - 2023 June 30 Year-to-Date Financial Performance
Toronto Parking Authority's net income June 30 2023 Year-to-Date was $21.2 million; +$9.8 million versus plan. Total revenues $69.5 million; +$2.3 million favourable, driven by better than expected parking revenues (87 index vs 2019; +3 points.). Costs were $46.8 million; $4.6 million lower than plan driven by favourability on salaries due to timing of hiring, project consulting programs and facility costs. Financing income was $2.2 million better than plan due to the higher interest rates on the cash balance. The monthly income is expected to decrease throughout the year as capital is deployed. Current 2023 net income outlook is forecasted to be $37 to $41 million vs plan of $25.4 million. Capital spend was $10.8 million as at June 30th with in flight commitments of $31.9 million. Management is forecasting to achieve planned Toronto Parking Authority-led annual capital spend. We are actively engaging our City partners to ensure completion of total planned capital spend of $71.3 million.
The Board of Directors of the Toronto Parking Authority received the report (August 24, 2023) from the President, Toronto Parking Authority, for information.
Staff recommendation as filed
The Toronto Parking Authority - Audit and Risk Management Committee recommends that: 1. The Board of Directors of the Toronto Parking Authority receive the report (August 24, 2023) from the President, Toronto Parking Authority for information.
PA6.2adopted
Toronto Parking Authority Enterprise Risk Management Update Report
Enterprise Risk Management is a continuous process to identify and assess risks and opportunities at an enterprise level. The Toronto Parking Authority currently does not have a formal Enterprise Risk Management strategy and after the release of a Request for Proposals in the second quarter of 2023, the successful proponent, KPMG LLP, was engaged to support the setup of the Enterprise Risk Management Program. The purpose of this report is for KPMG to provide an overview of the Enterprise Risk Management Project and to provide a status update.
The Board of Directors of the Toronto Parking Authority received the report (August 24, 2023) from the President, Toronto Parking Authority, for information.
Staff recommendation as filed
The Toronto Parking Authority - Audit and Risk Management Committee recommends that: 1. The Board of Directors of the Toronto Parking Authority receive the report (August 24, 2023) from the President, Toronto Parking Authority for information.
PA6.3adopted
In 2019, Toronto Parking Authority embarked on a journey to implement a modernized Enterprise Resource Planning Solution to replace a system that was custom-built and implemented in the mid-1980s. The system had significant limitations and was approaching a state of obsolescence and was impairing the ability of the business to meet its financial mandate. Accordingly, Toronto Parking Authority initiated a comprehensive market scan, through a formal open Request for Information process, while taking into consideration the City of Toronto's "SAP First" policy to examine SAP before other Enterprise Resource Planning products in order to leverage existing investments in technology. Based on the results of the evaluation process, Toronto Parking Authority entered into a non-competitive contract with SAP Canada to provide software licensing and professional services, by leveraging the terms and conditions of the City of Toronto's Master Services Agreement with SAP Canada, for the delivery of a non-customized, single tenant cloud-based software-as-a-service Enterprise Resource Planning to support Toronto Parking Authority's financial and operational growth and transformation with a fully hosted, robust, standardized and scalable platform. In October 2020, Toronto Parking Authority successfully implemented SAP S/4 HANA (Phase One) (SAP) to replace its obsolete financial system. In January 2022, Toronto Parking Authority successfully implemented Phase Two with the launch of SAP SuccessFactors Employee Central and SAP SuccessFactors Pay for Performance applications. These initiatives provide the organization with the capability and fact-based insights necessary to elevate employee performance, drive business literacy, and ensure legislative compliance. Management met its objective of deploying a modern, cloud-based, scalable, Enterprise Resource Planning application which will drive organizational productivity, transparency, and efficiency. The purpose of this report is to provide the Board with a final update to mark the completion of the SAP implementation. A Request for Proposals was released in January 2023 to obtain consultant services to conduct a post-implementation review of the implementation of the SAP S4Hana project with the successful proponent being Deloitte LLP. Deloitte LLP will be providing their findings and opportunities that they were able to identify over the course of their engagement.
The Board of Directors of the Toronto Parking Authority received the report (August 23, 2023) from the President, Toronto Parking Authority, for information.
Staff recommendation as filed
The Toronto Parking Authority - Audit and Risk Management Committee recommends that: 1. The Board of Directors of the Toronto Parking Authority receive the report (August 23, 2023) from the President, Toronto Parking Authority for information.
PA6.4adopted
Delegation of Authority Update
At its meeting of November 8, 2021, the Board of Directors, Toronto Parking Authority reviewed, approved and endorsed an update to Toronto Parking Authority Policy Resolution 5-10: Delegation of Authority, as amended by resolution. Among other things, these amendments increased the Toronto Parking Authority President's authority to make commitments on behalf of Toronto Parking Authority from an amount not exceeding $250,000 to an amount not exceeding $500,000. At the same meeting, the Board of Directors also established an Audit and Risk Management Committee and adopted the mandate and Terms of Reference presented in Item PA27.13. Under the Roles and Responsibilities adopted by the Board, the Audit and Risk Management Committee shall review a list prepared by Management that summarizes the items where the Toronto Parking Authority President has used the increased delegation of authority. The purpose of this report is to provide a summary outlining the Toronto Parking Authority President's use of the increased delegation of authority between March 8, 2023 and August 23, 2023.
The Board of Directors of the Toronto Parking Authority received the report (August 23, 2023) from the President, Toronto Parking Authority, for information.
Staff recommendation as filed
The Toronto Parking Authority - Audit and Risk Management Committee recommends that: 1. The Board of Directors of the Toronto Parking Authority receive the report (August 23, 2023) from the President, Toronto Parking Authority for information.
PA6.5adopted
Summary of Legal Disputes - 2023 Third Quarter Update
As part of Toronto Parking Authority's operation of commercial parking, the management of tenanted properties and Bike Share Toronto, Toronto Parking Authority is dealing with a range of legal matters related to supplier disputes, personal injuries, commercial tenancy disputes and the protection of Toronto Parking Authority's registered trademarks. Toronto Parking Authority has suitable insurance in relation to such concerns, such as general liability insurance for all of its facilities; and has assigned/retained legal counsel and insurance adjusters to manage any claims. Details about the specific legal disputes are included in Confidential Attachment 1. This report is a reoccurring update provided to the Board about the status of ongoing legal disputes. The Board will be provided updates on a regular basis as substantive changes occur to the status of the specific legal disputes.
The Board of Directors of the Toronto Parking Authority: 1. Received the report (August 23, 2023) from the President, Toronto Parking Authority, for information. 2. Directed that Confidential Attachment 1 to the report (August 23, 2023) from the President, Toronto Parking Authority remain confidential in its entirety, as it contains advice about litigation or potential litigation that affects Toronto Parking Authority and contains advice or communications that are subject to solicitor-client privilege.
Staff recommendation as filed
The Toronto Parking Authority - Audit and Risk Management Committee recommends that: 1. The Board of Directors of the Toronto Parking Authority receive the report (August 23, 2023) from the President, Toronto Parking Authority for information. 2. The Board of Directors of the Toronto Parking Authority direct that Confidential Attachment 1 to the report (August 23, 2023) from the President, Toronto Parking Authority remain confidential in its entirety, as it contains advice about litigation or potential litigation that affects Toronto Parking Authority and contains advice or communications that are subject to solicitor-client privilege.
PA6.6not yet heard
Toronto Parking Authority - 2024 Operating Budget and 2024-2026 Capital Budget
The purpose of this report is to provide the Board of Directors with a preview of Management's proposed 2024 Operating Budget and 2024 - 2026 Capital Budget. Management will subsequently review the proposed budget in greater detail with the Audit & Risk Management Committee on November 2, 2023. Formal approval of the 2024 Operating Budget and 2024 - 2026 Capital Budget will be requested at the November 23, 2023 Board meeting where Management will also present the 2024 Annual Operating Plan. This timeline affords both the Board and Management sufficient opportunity to discuss the proposed budget and the 2024 Annual Operating Plan, while adhering to the City's Budgetary process. Building off a strong performance through the first two quarters of 2023, Management is forecasting full year net income of $35.2 million, which is +$9.8 million versus 2023 plan. Revenues are forecasted at $143.0 million, +$2.4 million versus plan while operating expenses are projected at $100.7 million; +$4.6 million versus plan. Cash reserves at the end of 2023 are expected to drop from $101.0 million to $50.0 million as a result of Management executing its capital plan of $67.1 million in 2023. Capital delivery highlights in 2023 include increasing the number of electric vehicle chargers from 117 to 402 (+285), increasing the number of Bike Share stations from 620 to 780 (+130), deploying 1,300 e-bikes, investing more than $20 million to address health & safety issues and state-of-good-repair projects at three (3) parking facilities and purchasing 225 new Pay-by-Plate machines to help modernize Toronto Parking Authority's parking equipment. Forecasted spend against plan of 81.3 percent represents a marked gain in productivity (+50% in 2022) from a professionalized capital delivery team that executed Toronto Parking Authority's capital plan with precision. In 2024, Management is planning full year Earnings before Interest, Taxes, Depreciation and Amortization (EBITDA) of $47.7 million which is +$5.4 million versus 2023 Forecast and +$12.4 million versus 2023 Budget. 2024 Net income is forecasted at $31.9 million, which includes $18.5 million of amortization due to spending of +$140 million of capital and $2.7 million of Finance Income. Management's 2024 proposed Capital Budget of $76.8 million is designed to support Management's continued execution against Toronto Parking Authority's five (5) Strategic Priorities: Build a Great Place to Work; Drive Sustainable Growth; Strengthen the Core, Execute with Excellence; Connect with our Customers; and Engage and Innovate with our Strategic Partners. This includes $19.5 million in carry forward and $57.3 million in new spending on priority projects that include critical health and safety initiatives, continued delivery of state-of-good-repair projects involving Toronto Parking Authority's parking structures, the modernization of legacy parking equipment and continued investments to expand Toronto Parking Authority's Bike Share Toronto and Electric Vehicle Charging programs. Based on the financial outlook for 2023 and 2024, Toronto Parking Authority expects that delivery of its operating plan and demonstrated capability to deliver its capital plan will fully deplete its cash reserves by the end of 2024. Discussions with City Finance about securing a sustainable net income sharing agreement that expired in December 2019 have been ongoing for the past year but remains in flight. It is Management's expectations that a new agreement will be secured as part of the City's budgetary process in 2024.
The Board of Directors of the Toronto Parking Authority received the proposed 2024 Operating Budget and 2024 - 2026 Capital Budget for Toronto Parking Authority as outlined in the report (September 22, 2023) from the President, Toronto Parking Authority, for information.
Staff recommendation as filed
The President, Toronto Parking Authority recommends that: 1. The Board of Directors of the Toronto Parking Authority receive the proposed 2024 Operating Budget and 2024 - 2026 Capital Budget for Toronto Parking Authority as outlined in this report for information.
PA6.7adopted
Electric Vehicle Program Update
Jeffrey Dea, Vice President, Business Development, Toronto Parking Authority, will provide a presentation to the Board.
The Board of Directors of the Toronto Parking Authority received the presentation from the Vice President, Business Development, Toronto Parking Authority, for information.
PA6.8adopted
As part of its vision to become the world's best provider of sustainable parking, bike share and last mile mobility experiences, Toronto Parking Authority is executing an ambitious rollout plan for Electric Vehicle (EV) charging across the City of Toronto. In recognition of Toronto Parking Authority's extensive assets and executional capabilities, City Council directed Toronto Parking Authority in June of 2022 to assume the responsibility for the operation, maintenance and continued expansion of the on-street EV Charging Program and further requested Toronto Parking Authority to deliver a minimum of 50 on-street EV chargers in 2023. Through its role in leading the on-street EV Charging Program, Toronto Parking Authority is seeking authority from Toronto Parking Authority Board of Directors to acquire the existing forty-seven (47) on-street electric vehicle EV charging assets from Toronto Hydro Electric Systems Limited (THESL) which, were installed as part of the 2020 joint EV Charging Pilot Program with Transportation Services. In tandem, Toronto Parking Authority is also seeking authority to enter into the associated licensed occupancy of THESL-owned power utility distribution poles that are needed to support all pole-mounted on-street EV chargers. Should Toronto Parking Authority Board of Directors adopt the recommendations of this report, Toronto Parking Authority will work with THESL to negotiate, finalize and execute the necessary agreements before the end of 2023. Once finalized, ownership and operation of the pre-existing 47 on-street EV chargers will transfer to Toronto Parking Authority including all revenue collection, maintenance and operating responsibilities.
The Board of Directors of the Toronto Parking Authority: 1. Authorized the President, Toronto Parking Authority to negotiate, enter into and execute a Purchase Agreement with Toronto Hydro-Electric System Limited for the purchase of the forty-seven (47) existing on-street EV charging stations, inclusive of all supporting electrical equipment, generally in accordance with the terms and conditions contained in Attachment A to the report (September 12, 2023) and any such other or amended terms and conditions as may be acceptable to the President, Toronto Parking Authority, and in a form satisfactory to the City Solicitor. 2. Authorized the President, Toronto Parking Authority to negotiate, enter into and execute a Pole Occupancy Agreement with Toronto Hydro-Electric System Limited, generally in accordance with the terms and conditions in Attachment B to the report (September 12, 2023), and any such other or amended terms and conditions as may be acceptable to the President, Toronto Parking Authority, and in a form satisfactory to the City Solicitor.
Staff recommendation as filed
The President, Toronto Parking Authority recommends that: 1. The Board of Directors of the Toronto Parking Authority grant authority for the President, Toronto Parking Authority to, negotiate, enter into and execute a Purchase Agreement with Toronto Hydro-Electric System Limited for the purchase of the forty-seven (47) existing on-street EV charging stations, inclusive of all supporting electrical equipment, generally in accordance with the terms and conditions contained in Attachment A and any such other or amended terms and conditions as may be acceptable to the President, Toronto Parking Authority, and in a form satisfactory to the City Solicitor. 2. The Board of Directors of the Toronto Parking Authority grant authority for the President, Toronto Parking Authority to negotiate, enter into and execute a Pole Occupancy Agreement with Toronto Hydro-Electric System Limited, generally in accordance with the terms and conditions in Attachment B to this report, and any such other or amended terms and conditions as may be acceptable to the President, Toronto Parking Authority, and in a form satisfactory to the City Solicitor.
PA6.9adopted
City Building Activity Update - 2023 Third Quarter
The purpose of this report is to provide Toronto Parking Authority Board of Directors with an update on the advancement of key policy initiatives, programs and projects impacting Toronto Parking Authority. The status of Toronto Parking Authority facilities that have been identified for city building opportunities and initiatives or which are otherwise being redeveloped through joint venture projects is also provided. Further updates about city building activities involving Toronto Parking Authority facilities will continue to be provided to the Toronto Parking Authority Board of Directors on a semi-annual basis. Updates about the City-Wide Parking Strategy and the Parking Portfolio Review will be provided as the work continues to progress.
The Board of Directors of the Toronto Parking Authority: 1. Received the report (September 21, 2023) from the President, Toronto Parking Authority, for information. 2. Directed that Confidential Attachment 1 to the report (September 21, 2023) from the President, Toronto Parking Authority, remain confidential in its entirety, as it deals with a proposed or pending acquisition or disposition of land by the City of Toronto.
Staff recommendation as filed
The President, Toronto Parking Authority recommends that: 1. The Board of Directors of the Toronto Parking Authority receive this report for information. 2. The Board of Directors of the Toronto Parking Authority direct that Confidential Attachment 1 remain confidential in its entirety, as it deals with a proposed or pending acquisition or disposition of land by the City of Toronto.
PA6.10adopted
City Council on July 19 and 20, 2023 considered Item EX6.1, and a copy is attached for the Board's information or appropriate action.
The Board of Directors of the Toronto Parking Authority received the letter (August 16, 2023) from the City Clerk for information.