CreateTO
The full agenda, as filed
All 7 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.
RA17.1adopted
Second Quarter Financial Results
For the six months ending June 30, 2020, CreateTO gross expenditures are $0.48 million favourable compared to budget. Annual expenditures are expected to be in line with the approved budget of $14.4 million gross, $0 net.
The Board of Directors of CreateTO: 1. Received the report (September 24, 2020) from the Chief Executive Officer, CreateTO for information.
Staff recommendation as filed
The Chief Executive Officer recommends that: 1. The Board of Directors of CreateTO receive this report for information.
RA17.2adopted
On January 30, 2019, City Council approved a signature affordable housing initiative, "the Housing Now Initiative," to leverage City-owned land for the purpose of creating new, mixed-use, mixed-income communities. Through the Initiative, 11 properties were identified for development, with the potential to create a total of 10,000 new residential units. On May 28, 2020, Council approved the addition of 6 more sites to the Housing Now Initiative with the potential to create 1,455 to 1,700 residential units. The Housing Now Initiative is coordinated through a Steering Committee composed of senior staff from the Housing Secretariat, City Planning and CreateTO. The purpose of this report is to provide a broad status update on the progress made to-date on the 17 properties.
The Board of Directors of CreateTO: 1. Received the report (September 25, 2020) from the Chief Executive Officer, CreateTO for information.
Staff recommendation as filed
The Chief Executive Officer recommends that: 1. The Board of Directors of CreateTO receive this report for information.
RA17.3adopted
Modular Housing Progress - Update
At its meeting on June 18 and 19, 2019, City Council requested Staff to report to the Planning and Housing Committee with a plan to implement a new Modular Supportive Housing Initiative. In response to Council's request, a staff report was prepared for the March 23, 2020 meeting of the Planning and Housing Committee which was subsequently canceled due to suspension of Council and Committee meetings due to the COVID-19 emergency. In late March 2020, staff were directed to find ways to expedite the delivery of modular supportive housing, with the aim of getting 110 new homes ("Phase One") open by the end of September 2020 as a direct response to the COVID-19 pandemic. On April 30th, 2020, Council approved a report that allowed staff to enter into an agreement with Horizon North Inc. and its subsidiary NRB Inc. and to deliver 250 modular homes over 2 phases; Phase 1 to provide 110 homes by fall 2020 and Phase 2 to provide 140 homes by spring 2021. The purpose of this report is to provide a status update on the progress as it relates to the planning, manufacturing and construction made to date on the Modular Housing program.
The Board of Directors of CreateTO: 1. Received the report (September 24, 2020) from the Chief Executive Officer, CreateTO for information.
Staff recommendation as filed
The Chief Executive Officer recommends that: 1. The Board of Directors of CreateTO receive this report for information.
RA17.4adopted
Proposal for Long-term Land Lease - Strategic City-owned Property
The purpose of this report is to provide an update to the Board of CreateTO on discussions between staff of CreateTO, Corporate Real Estate Management ("CREM"), the Toronto Transit Commission (the "TTC") and the Proponent regarding a proposed long-term lease renegotiation and redevelopment of a City-owned property located within Ward 11 - University-Rosedale (the "Subject Property"). The Proponent, which has an existing long-term ground lease in place with the City of Toronto, has proposed a redevelopment of the Subject Property that would occur in conjunction with a critical transit expansion project. A renegotiated ground lease is a critical requisite for both the TTC project requirements along with the proposed mixed-use redevelopment. The Subject Property and terms of leasehold interest are identified and detailed within Confidential Attachment 1. Collectively, the two major projects will result in a significant capital investment and major city building deliverables that include new improved transit services, a reimagined public realm and mixed-use development - including the potential for inclusion of affordable housing and other City uses and needs for the area. The combination of both projects, will potentially result in significant cost and construction schedule savings. As part of the renegotiation process, a Working Group has been formed to include staff from CreateTO, Corporate Real Estate Management, the Toronto Transit Commission, and the Proponent. CreateTO, with support from CREM, will play a lead role in the negotiation process while also facilitating and overseeing discussions with the numerous primary and secondary stakeholders involved in this complex project. Engagement with City Planning Staff, the Local Councillor, and other stakeholders has begun to understand the opportunities that exist within this proposal for Subject Property, and within the broader public realm in the area. The project is also expected to undergo an early public consultation process that would include the establishment of a working group with the local residents associations' to input into the guiding principles that would inform the overall design and public realm outcomes. As part of negotiating the lease agreement, obligations for design excellence, sustainability and connectivity along with ground level activation have been identified to the Proponent for consideration within their redevelopment. CreateTO, Urban Design, and Community Planning have identified this redevelopment of Subject Property as an excellent candidate to help advance the City's Urban Design Initiative which could see an open and transparent design competition for this transformational project. The Working Group is aiming to complete a draft memorandum of understanding on the terms of the renegotiated ground lease by the first quarter of 2021 for CreateTO Board endorsement. Subsequent to CreateTO Board endorsement, City Council approval of the final draft term sheet and final lease terms is targeted for the first quarter of 2021, which would align with the TTC's project schedule. A high-degree of planning and coordination is required by all parties to advance these two major projects in conjunction with one another.
The Board of Directors of CreateTO: 1. Authorized the Chief Executive Officer, CreateTO in consultation with the Executive Director, Corporate Real Estate Management, and the Chief Executive Officer, Toronto Transit Commission, to negotiate the terms and conditions of a long-term fair market-value lease agreement with the current lessee of the Property as identified and outlined in Confidential Attachment 1 to the report (October 1, 2020) from the Chief Executive Officer, CreateTO. 2. Directed the Chief Executive Officer, CreateTO to work with the Executive Director, Corporate Real Estate Management, and the Chief Executive Officer, Toronto Transit Commission to request necessary funding through City Council to engage third party services to negotiate the lease transaction. 3. Authorized the public release of Confidential Attachment 1 to the report (October 1, 2020) from the Chief Executive Officer, CreateTO following the closing of any lease transaction or lease amending agreements.
Staff recommendation as filed
The Chief Executive Officer, CreateTO recommends that: 1. The Board of Directors of CreateTO authorize the Chief Executive Officer, CreateTO in consultation with the Executive Director, Corporate Real Estate Management, and the Chief Executive Officer, Toronto Transit Commission, to negotiate the terms and conditions of a long-term fair market-value lease agreement with the current lessee of the Property as identified and outlined in Confidential Attachment 1. 2. The Board of Directors of CreateTO direct the Chief Executive Officer, CreateTO to work with the Executive Director, Corporate Real Estate Management, and the Chief Executive Officer, Toronto Transit Commission to request necessary funding through City Council to engage third party services to negotiate the lease transaction. 3. The Board of Directors of CreateTO authorize the public release of Confidential Attachment 1 following the closing of any lease transaction or lease amending agreements.
RA17.5adopted
Auditor General's Office - Review of 260 Eighth Street Land Transaction
This report provides the Auditor General's findings from reviewing the 2018 sale of a property at 260 Eighth Street in Etobicoke, Ontario (the Property). This review was initiated based on concerns brought forward by a complainant in relation to the sale of the Property. They included that the sale amount of the Property was less than market value, the approval process for the sale of the Property was not conducted in accordance with City guidelines, and the best value for the Property was not attained. We conducted an investigative review to evaluate whether there was evidence to support concerns of wrongdoing. This does not constitute an audit conducted in accordance with Generally Accepted Government Auditing Standards (GAGAS). However, we believe we have performed sufficient work in satisfaction that there was no wrongdoing in this transaction. The Auditor General's review including hiring a designated professional real estate appraiser to conduct an independent appraisal of the Property. Based on this review, it was concluded that there was insufficient evidence to support a claim that the Property was sold at less than market value. We also reviewed the process surrounding the special meeting related to this transaction. Proper procedures appear to have been followed in the process, including the notice for and conduct of the special meeting of the Boards of Build Toronto and Toronto Port Lands Company which occurred on April 15, 2019. Given that the sale price of the Property was at fair market value and the appropriate processes were followed in the notice for and conduct of the special meeting, we decided not to investigate the matter of obtaining the best value for the property by maximizing the number of jobs. It is important to note that during our review, no evidence came to our attention to sufficiently support or refute the job creation numbers by any of the proponents or that would suggest that the Property's successful purchasers are likely to create fewer jobs than other developers. Finally, there was a question regarding whether late, unsolicited offers received should have been accepted. In our view, it was appropriate for CreateTO to proceed with the agreement it already had in place, considering that fair market value was being received from the successful proponent, as well as the complexity of the transaction and environmental issues on the Property. In addition, it is important for the public to be able to rely on the City's open bidding process.
The Board of Directors of CreateTO: 1. Forwards the report (September 25, 2020) from the Auditor General to City Council for information through the City's Audit Committee.
Staff recommendation as filed
The Auditor General recommends that: 1. The Board forward this report to City Council for information through the City's Audit Committee.
RA17.6amended
CreateTO Staffing and Compensation - Update
The purpose of this report is to provide the Board with a confidential update on CreateTO staffing and human resources, including compensation matters and to advise the Board that a full compensation review will be initiated utilizing a consulting firm for assistance. The Board's approval is requested regarding compensation matters related to the 2019 fiscal year, and confirmation of next steps for 2020.
The Board of Directors of CreateTO: 1. Approved the payment of financial compensation related to the 2019 fiscal year, as set out in Confidential Attachment 1 to the report (September 25, 2020) from the Chief Executive Officer, CreateTO. 2. Requested the Chief Executive Officer, CreateTO to: a. Report to the Board prior to the end of 2020 regarding financial compensation related to the 2020 fiscal year, as set out in Confidential Attachment 1 to the report (September 25, 2020) from the Chief Executive Officer, CreateTO; and b. Request and review the guidelines for pay-for-Performance for the City of Toronto and its agencies Boards and Commissions and report to the December 4, 2020 meeting on CreateTO alignment. 3. Requested the Chief Executive Officer to report to the Board on the results of the compensation review when the report is finalized in the fourth quarter of 2020. 4. Directed that the information contained in Confidential Attachment 1 to the report (September 25, 2020) from the Chief Executive Officer, CreateTO remain confidential, as it is about employee negotiations and the receiving of advice that is subject to solicitor client privilege.
Staff recommendation as filed
The Chief Executive Officer recommends that the Board of Directors of CreateTO: 1. Approve the payment of financial compensation related to the 2019 fiscal year, as set out in Confidential Attachment 1. 2. Request the Chief Executive Officer to report to the Board prior to the end of 2020 regarding financial compensation related to the 2020 fiscal year, as set out in Confidential Attachment 1. 3. Request the Chief Executive Officer to report to the Board on the results of the compensation review when the report is finalized in the fourth quarter of 2020. 4. Direct that the information contained in Confidential Attachment 1 remain confidential, as it is about employee negotiations and the receiving of advice that is subject to solicitor client privilege.
RA17.7amended
Position of Chief Executive Officer, CreateTO
As previously announced, Chief Executive Officer Brian Johnston is stepping down from his position on October 16, 2020. The Board should discuss a recruitment process to fill the position. In order to facilitate the search for, and appointment of, a Chief Executive Officer, it is proposed that the recruitment process be initiated under delegated authority to the Vice Chair of the Board, with any additional instructions from the Board.
The Board of Directors of CreateTO: 1. Confirmed the appointment of Steven Trumper as the Interim Chief Executive Officer of CreateTO as of October 16, 2020 for a term that is the lesser of 18 months or until a successor is appointed. 2. Approved the replacement of Brian Johnston with Interim Chief Executive Officer Steven Trumper as an authorized signing officer and bank signing officer for CreateTO effective on October 16, 2020, and that effective October 16, 2020, the Board delegate the signing authorities of the Chief Legal Counsel and Corporate Secretary to the Associate General Counsel on an interim basis until the Interim Chief Executive Officer appoints a new Chief Legal Counsel and Corporate Secretary. 3. Directed the Interim Chief Executive Officer of CreateTO to report to the Board at a special meeting in November to be called by the Vice Chair, with a recommendation for an executive leadership team drawn from the current staff to assist in the daily financial, operational and development affairs of the business and the successful execution of CreateTO's corporate goals as established by the Board and City Council; and at this meeting the Interim Chief Executive Officer also provide the Board with an overview of the current human resources policies and procedures at CreateTO. 4. Established a recruitment process for the Chief Executive Officer (CEO) of CreateTO, including: a. A CEO Search Selection Panel of three members of the Board of CreateTO including the Vice Chair, the Mayor's Designate and Director Sandra Levy; b. directing the Interim CEO to assign the appropriate staff to support the work of the Selection Panel and request any further support from the City through the Deputy City Manager, Corporate Services; and c. directing the CEO Search Selection Panel to select an Executive Search Firm through the appropriate procurement process and report to the December 4, 2020 CreateTO Board meeting on the progress of the CEO recruitment.
Staff recommendation as filed
The Vice Chair, CreateTO recommends that the Board of Directors of CreateTO: 1. Delegate to the Vice Chair of the Board the recruitment process for the Chief Executive Officer of CreateTO, including: - establishing a selection panel to consider candidates; - consulting with the City of Toronto's Director of Strategic Recruitment, Compensation and Employment Services during the selection and recruitment process; and - bringing forward the final recommended candidate for the Board's consideration and decision. 2. Request the Vice Chair of the Board to update the Board on the recruitment process as needed.