Item - 2017.AU10.3
Tracking Status
- City Council adopted this item on November 7, 2017 with amendments.
- This item was considered by the Audit Committee on October 27, 2017 and adopted without amendment. It will be considered by City Council on November 7, 2017.
AU10.3 - A Review of Municipal Licensing and Standards Division's Management of Business Licences - Part Two: Licensed Holistic Centres
- Decision Type:
- ACTION
- Status:
- Amended
- Wards:
- All
City Council Decision
City Council on November 7, 8 and 9, 2017, adopted the following:
1. City Council request the Executive Director, Municipal Licensing and Standards, in consultation with the City Solicitor, to conduct a detailed and thorough review of the existing By-laws and legislative framework governing the licensing of body rub parlours and holistic centres, with a view to ensuring the City can exercise effective oversight and enforcement actions to stop licensed holistic centres from offering services outside of the parameters and conditions of the licensing category.
2. City Council direct the Executive Director, Municipal Licensing and Standards to report back to the February 26, 2018 Licensing and Standards Committee with recommendations and the feasibility of the following:
a. delisting the 10 Professional Holistic Associations from the Auditor General's report (October 24, 2017) headed "A Review of the Municipal Licensing and Standards Division's Management of Business Licences - Part Two: Holistic Centres";
b. delegating the authority to the Executive Director, Municipal Licensing and Standards to delist Professional Holistic Associations;
c. removing the restriction on the number of Body Rub Parlour licences; and
d. creating eligibility criteria for the issuance of Body Rub Parlour licences, including the requirement that any new Body Rub Parlour licence can only be issued to owners of a licensed holistic centres in areas where current zoning permits.
3. City Council direct the Executive Director, Municipal Licensing and Standards to ensure that in preparation of the report in Part 2 above, the necessary consultation is undertaken, including the Medical Officer of Health, community groups and advocates, specifically to identify opportunities to mitigate risks related to public health, exploitation, including human trafficking.
4. City Council direct the Executive Director, Municipal Licensing and Standards to report to the Budget Committee through the 2018 budget process, on the projected costs and potential revenue sources necessary to increase the enforcement complement of the division by one (1) Supervisor and four (4) Municipal Standards Officers, including appropriately marked and equipped vehicles and equipment to enhance dedicated enforcement efforts related to non-compliant businesses currently operating with holistic licences.
5. City Council direct the Executive Director, Municipal Licensing and Standards to report on the powers the City of Toronto already has to regulate holistic centres under the Health Protections and Promotion Act, the Police Services Act and the City's Zoning by-laws.
6. City Council request the Executive Director, Municipal Licensing and Standards, in consultation with the City Solicitor, to re-assess the merits and practicality of relying upon Professional Holistic Associations as governing and accreditation bodies for holistic licensees and practitioners.
City Council Decision Advice and Other Information
City Council considered Items AU10.2, AU10.3 and AU10.4 together.
Background Information (Committee)
https://www.toronto.ca/legdocs/mmis/2017/au/bgrd/backgroundfile-108171.pdf
Audit at a Glance - A Review of the Municipal Licensing and Standards Division's Management of Business Licences - Part Two: Holistic Centres
https://www.toronto.ca/legdocs/mmis/2017/au/bgrd/backgroundfile-108172.pdf
Attachment 1: A Review of the Municipal Licensing and Standards Division's Management of Business Licences - Part Two: Holistic Centres
https://www.toronto.ca/legdocs/mmis/2017/au/bgrd/backgroundfile-108173.pdf
(October 13, 2017) Placeholder Report from the Auditor General regarding a Review of Municipal Licensing and Standards Division's Management of Business Licences - Part Two: Licensed Holistic Centres
https://www.toronto.ca/legdocs/mmis/2017/au/bgrd/backgroundfile-108034.pdf
(October 27, 2017) Presentation material submitted by the Auditor General
https://www.toronto.ca/legdocs/mmis/2017/au/bgrd/backgroundfile-108294.pdf
Motions (City Council)
That
1. City Council direct the Executive Director, Municipal Licensing and Standards to report back to the February 26, 2018 Licensing and Standards Committee with recommendations and the feasibility of the following:
a. delisting the 10 Professional Holistic Associations from the Auditor General's report (October 24, 2017) headed "A Review of the Municipal Licensing and Standards Division's Management of Business Licences - Part Two: Holistic Centres";
b. delegating the authority to the Executive Director, Municipal Licensing and Standards to delist Professional Holistic Associations;
c. removing the restriction on the number of Body Rub Parlour licences; and
d. creating eligibility criteria for the issuance of Body Rub Parlour licences, including the requirement that any new Body Rub Parlour licence can only be issued to owners of a licensed holistic centres in areas where current zoning permits.
2. City Council direct the Executive Director, Municipal Licensing and Standards to ensure that in preparation of the report in Part 1 above, the necessary consultation is undertaken, including the Chief Medical Officer of Health, community groups and advocates, specifically to identify opportunities to mitigate risks related to public health, exploitation, including human trafficking.
3. City Council direct the Executive Director, Municipal Licensing and Standards to report to the Budget Committee through the 2018 budget process, on the projected costs and potential revenue sources necessary to increase the enforcement complement of the division by one (1) Supervisor and four (4) Municipal Standards Officers, including appropriately marked and equipped vehicles and equipment to enhance dedicated enforcement efforts related to non-compliant businesses currently operating with holistic licences.
Vote (Amend Item (Additional)) Nov-08-2017 11:51 AM
| Result: Carried | Majority Required - AU10.3 - Di Ciano - motion 1 Part 1a |
|---|---|
| Total members that voted Yes: 39 | Members that voted Yes are Maria Augimeri, Ana Bailão, Jon Burnside, John Campbell, Christin Carmichael Greb, Shelley Carroll, Josh Colle, Gary Crawford, Vincent Crisanti, Janet Davis, Glenn De Baeremaeker, Justin J. Di Ciano, Frank Di Giorgio, Sarah Doucette, John Filion, Michael Ford, Mary Fragedakis, Mark Grimes, Stephen Holyday, Jim Karygiannis, Norman Kelly, Mike Layton, Chin Lee, Giorgio Mammoliti, Josh Matlow, Mary-Margaret McMahon, Joe Mihevc, Denzil Minnan-Wong, Frances Nunziata (Chair), Cesar Palacio, James Pasternak, Gord Perks, Anthony Perruzza, Jaye Robinson, Neethan Shan, David Shiner, John Tory, Lucy Troisi, Kristyn Wong-Tam |
| Total members that voted No: 2 | Members that voted No are Paul Ainslie, Jim Hart |
| Total members that were Absent: 4 | Members that were absent are Joe Cressy, Paula Fletcher, Michelle Holland, Michael Thompson |
Vote (Amend Item (Additional)) Nov-08-2017 11:52 AM
| Result: Carried | Majority Required - AU10.3 - Di Ciano - motion 1 Part 1b |
|---|---|
| Total members that voted Yes: 39 | Members that voted Yes are Paul Ainslie, Maria Augimeri, Ana Bailão, Jon Burnside, John Campbell, Christin Carmichael Greb, Shelley Carroll, Josh Colle, Gary Crawford, Vincent Crisanti, Janet Davis, Glenn De Baeremaeker, Justin J. Di Ciano, Frank Di Giorgio, Sarah Doucette, John Filion, Michael Ford, Mary Fragedakis, Mark Grimes, Stephen Holyday, Norman Kelly, Mike Layton, Chin Lee, Giorgio Mammoliti, Josh Matlow, Mary-Margaret McMahon, Joe Mihevc, Denzil Minnan-Wong, Frances Nunziata (Chair), Cesar Palacio, James Pasternak, Gord Perks, Anthony Perruzza, Jaye Robinson, Neethan Shan, David Shiner, John Tory, Lucy Troisi, Kristyn Wong-Tam |
| Total members that voted No: 2 | Members that voted No are Jim Hart, Jim Karygiannis |
| Total members that were Absent: 4 | Members that were absent are Joe Cressy, Paula Fletcher, Michelle Holland, Michael Thompson |
Vote (Amend Item (Additional)) Nov-08-2017 11:53 AM
| Result: Carried | Majority Required - AU10.3 - Di Ciano - motion 1 Part 1c |
|---|---|
| Total members that voted Yes: 23 | Members that voted Yes are Maria Augimeri, Ana Bailão, Jon Burnside, John Campbell, Christin Carmichael Greb, Shelley Carroll, Gary Crawford, Vincent Crisanti, Glenn De Baeremaeker, Justin J. Di Ciano, Sarah Doucette, Mark Grimes, Mike Layton, Mary-Margaret McMahon, Joe Mihevc, Denzil Minnan-Wong, Frances Nunziata (Chair), Cesar Palacio, Gord Perks, Anthony Perruzza, Jaye Robinson, John Tory, Lucy Troisi |
| Total members that voted No: 18 | Members that voted No are Paul Ainslie, Josh Colle, Janet Davis, Frank Di Giorgio, John Filion, Michael Ford, Mary Fragedakis, Jim Hart, Stephen Holyday, Jim Karygiannis, Norman Kelly, Chin Lee, Giorgio Mammoliti, Josh Matlow, James Pasternak, Neethan Shan, David Shiner, Kristyn Wong-Tam |
| Total members that were Absent: 4 | Members that were absent are Joe Cressy, Paula Fletcher, Michelle Holland, Michael Thompson |
Adoption of the balance of motion 1 by Councillor Justin J. Di Ciano.
That City Council direct the Executive Director, Municipal Licensing and Standards to report on the powers the City of Toronto already has to regulate holistic centres under the Health Protections and Promotion Act, the Police Services Act and the City's Zoning by-laws.
AU10.3 - A Review of Municipal Licensing and Standards Division's Management of Business Licences - Part Two: Licensed Holistic Centres
- Decision Type:
- ACTION
- Status:
- Adopted
- Wards:
- All
Committee Recommendations
The Audit Committee recommends that:
1. City Council request the Executive Director, Municipal Licensing and Standards, in consultation with the City Solicitor, to re-assess the merits and practicality of relying upon Professional Holistic Associations as governing and accreditation bodies for holistic licensees and practitioners.
2. City Council request the Executive Director, Municipal Licensing and Standards, in consultation with the City Solicitor, to conduct a detailed and thorough review of the existing By-laws and legislative framework governing the licensing of body rub parlours and holistic centres, with a view to ensuring the City can exercise effective oversight and enforcement actions to stop licensed holistic centres from offering services outside of the parameters and conditions of the licensing category.
Decision Advice and Other Information
The Audit Committee considered the following Items together:
- AU10.2, headed "A Review of Municipal Licensing and Standards Division's Management of Business Licences - Part One: Licence Issuance, Inspection and Complaint Investigation Functions"
- AU10.3, headed "A Review of Municipal Licensing and Standards Division's Management of Business Licences - Part Two: Licensed Holistic Centres"
- AU10.4, headed "A Review of Municipal Licensing and Standards Division's Management of Business Licences - Part Three: Eating Establishments and Nightclubs".
Beverly Romeo-Beehler, Auditor General, and Jane Ying, Assistant Auditor General, gave a presentation to the Audit Committee on this Item.
Origin
Summary
The City of Toronto, through the Municipal Licensing and Standards Division (MLS), is responsible for regulating a myriad of businesses operating within its jurisdiction. The objective of this audit was to assess the effectiveness and efficiency of business licensing and By-law enforcement operations.
Our audit results are contained in three separate reports. This report, Part 2, focuses on MLS’s licensing and enforcement activities regarding holistic centres.
As of December 2016, there were 410 licensed holistic centres in the City. We identified 107 licensed holistic centres that had the appearance of offering unauthorized services. Aside from potentially being a violation to the City's licensing and zoning bylaws, holistic centres offering unauthorized services could potentially pose an array of health, safety and community issues, including the risk of human trafficking.
There is also a problem with many City-approved Professional Health Associations (PHAs). The City relies on the accredited PHAs to govern their members (licensed holistic practitioners) to ensure integrity and honesty of their services. We reviewed the top 10 PHAs, by membership, and found a number of them appear to operate on paper only. There is no By-law provision enabling MLS to revoke the approval of a PHA or to de-recognize PHA members even when MLS determines a PHA is not fulfilling the By-law requirements.
We recognize this is a complex, challenging issue to address. Much of the issue stems from the gaps in the existing By-law provisions. To address this, City staff need to undertake a comprehensive review of the existing legal framework and regulatory requirements, and re-assess the merits of relying on approved PHAs to govern licensed holistic practitioners.
Background Information
https://www.toronto.ca/legdocs/mmis/2017/au/bgrd/backgroundfile-108171.pdf
Audit at a Glance - A Review of the Municipal Licensing and Standards Division's Management of Business Licences - Part Two: Holistic Centres
https://www.toronto.ca/legdocs/mmis/2017/au/bgrd/backgroundfile-108172.pdf
Attachment 1: A Review of the Municipal Licensing and Standards Division's Management of Business Licences - Part Two: Holistic Centres
https://www.toronto.ca/legdocs/mmis/2017/au/bgrd/backgroundfile-108173.pdf
(October 13, 2017) Placeholder Report from the Auditor General regarding a Review of Municipal Licensing and Standards Division's Management of Business Licences - Part Two: Licensed Holistic Centres
https://www.toronto.ca/legdocs/mmis/2017/au/bgrd/backgroundfile-108034.pdf
(October 27, 2017) Presentation material submitted by the Auditor General
https://www.toronto.ca/legdocs/mmis/2017/au/bgrd/backgroundfile-108294.pdf
Speakers
Councillor Cesar Palacio
Councillor Glenn De Baeremaeker
Councillor Frances Nunziata