Item - 2008.EX24.5

It is recommended that Council:

1.         Approve the Five-Year Business Plan/Ten-Year Forecast (2008 – 2017) for the Waterfront Revitalization Initiative, subject to the City’s annual budget process and approval by the Provincial and Federal Governments of the same Plan.

2.         Authorize the revision of the City’s 2008 – 2017 Capital Plan for the Waterfront Revitalization Initiative to reflect the following cash flows: $42.164 million (gross)/$41.805 million (net) in 2008, $65.723 million (gross/net) in 2009, $71.364 million (gross/net) in 2010, $88.778 million (gross/net) in 2011, $48.345 million (gross/net) in 2012, and $72.324 million (gross/net) in 2013 to 2017.

3.         Approve the following gross/net adjustments to sub-projects within the 2008 Capital Budget for the Waterfront Revitalization Initiative, resulting in a reduction of $15.886 million (gross/net) for the year.  This will bring the revised 2008 Capital Budget for Waterfront Revitalization to $42.164 million (gross)/$41.805 million (net), with no impact to the City’s overall net commitment of $500.00 million for the Waterfront Revitalization Initiative:

a.         an increase to Precinct Implementation ($5.329 million); and

b.         reductions to Union Station ($.035 million), Portlands Preparation ($.519 million), Port Union ($2.300 million), Mimico ($1.760 million), Transportation Initiatives ($.025 million), Naturalization of the Don River ($2.337 million), Pier 4 Rehabilitation ($0.200 million), Sports Fields, Facilities & Parks Development ($6.318 million), Financial Securities ($7.697 million), and Waterfront Secretariat ($.024 million).

4.         Authorize and direct appropriate City officials to take the necessary action to give effect thereto.

The Toronto Waterfront Revitalization Corporation Act, 2002 which came into effect on April 1, 2003 requires that Waterfront Toronto (WT, formerly the Toronto Waterfront Revitalization Corporation) prepare annual rolling five-year business plans for approval by the Federal, Provincial and Municipal governments.

This report outlines the deliverables, funding requirements, and cost-sharing arrangements for Waterfront Revitalization over the next ten-year period (2008 to 2017) as reflected in the Five-Year Business Plan/Ten-Year Forecast for the Project developed by WT in partnership with officials from the three governments.  The current Plan forms the basis for the 2009 – 2018 Capital Program submission for the Waterfront Revitalization Initiative, and recommends a reduction to the 2008 Capital Budget in the amount of $15.886M (gross/net).

During 2008, WT undertook a cost estimation validation process to determine current, comprehensive costs and cash flows for the projects that are currently under way and within its mandate, which in turn necessitated the prioritization and re-phasing of initiatives to focus on:

a.         the development of the West Don Lands and East Bayfront precincts, and the Central Waterfront Public Realm;

b.         the development of a Regional Sports Complex/Sports and Recreation Node in the Portlands; and

c.         completing priority strategic projects that are already under way; and

showing significant progress in construction over the next five years.

The current Plan reflects the results of these processes.  As well, it includes funding for two Gardiner Expressway EAs, improvements in the central area of the Gardiner Expressway, and reallocates the unexpended funding previously provided for the Front Street Extension to various public realm projects.

In 2007, Council directed WT to develop a comprehensive revenue generation and financing strategy, including a business and financial plan for achieving Waterfront Revitalization in the Portlands.  This Strategy has been recently completed and will be reviewed by members of the Intergovernmental Steering Committee consisting of senior officials from the three orders of government in the Fall of 2008.  The current Plan includes the updated revenue/financing projections as presented in the Strategy.

Council also directed that a Memorandum of Understanding be developed with WT confirming deliverables for WT’s 2008/09 fiscal year on a project-by-project basis.  This document was executed in August 2008, and is based on the current Plan.