Item - 2019.IE3.5

The Infrastructure and Environment Committee recommends that:

1. City Council authorize the General Manager, Toronto Water to proceed with the construction of the Ashbridges Bay Treatment Plant Landform in accordance with the detailed design completed by the Toronto and Region Conservation Authority in 2018.

2. City Council authorize the General Manager, Toronto Water, to negotiate, enter into and execute one or more agreements as may be necessary to give effect to Recommendation 1, above, with the Toronto and Region Conservation Authority for the construction of the Landform on an actual direct construction cost recovery basis plus a reasonable administrative fee not to exceed five percent of the project cost, satisfactory to the General Manager, Toronto Water, and on such terms and conditions as are acceptable to the General Manager, Toronto Water, and in a form satisfactory to the City Solicitor.

3. City Council authorize the City's Chief Financial Officer and Treasurer, in consultation with the City Solicitor and the General Manager, Toronto Water, to issue  on behalf of the City and to sign all documentation related thereto, security in a form acceptable to the Fisheries and Oceans Canada (DFO) including a Letter of Credit if so required, in the amount required by DFO to cover the Aquatic Habitat Compensation Work up to a maximum of $3,000,000, on such terms and conditions as are satisfactory to them, as may be necessary to obtain the permit approvals required by the Fisheries and Oceans Canada for the Landform Project.

4. City Council authorize the City to receive the conveyance of a portion of the water lot owned by Toronto and Region Conservation Authority upon which the Landform is to be built, subject to the reservation of an easement in favour of the Toronto and Region Conservation Authority in, under, over or through those portions of the Landform necessary for access to and maintenance of those erosion control structures retained by Toronto and Region Conservation Authority, on such terms and conditions as are acceptable to the Director of Real Estate Services in consultation with the General Manager, Toronto Water, and in a form satisfactory to the City Solicitor.

5. City Council authorize the City to transfer an easement to Toronto and Region Conservation Authority in, under, over, or through City owned lands in vicinity of Ashbridges Bay Treatment Plant only if, upon completion of the Landform, the General Manager, Toronto Water, determines it necessary to facilitate access to the erosion control structures that will be retained by Toronto and Region Conservation Authority, provided said easement shall be on such terms and conditions as are acceptable to the Director of Real Estate Services in consultation with the General Manager, Toronto Water, and in a form satisfactory to the City Solicitor.

6. City Council determine, in accordance with Chapter 213 of the City of Toronto Municipal Code, that the requirements to give notice to the public of the proposed disposition and to obtain an appraisal of the fair market value do not apply to any City transfer of an easement to the Toronto and Region Conservation Authority granted in accordance with Recommendation 5, above.

7. City Council authorize the City to negotiate and enter into any agreements, amendments, consents or permissions required by Toronto Port Authority (c.o.b. Ports Toronto) as the owner of the lands upon which Ashbridges Bay Treatment Plant is located and upon which a small portion of the Landform will be built, on such terms and conditions as are acceptable to the Director of Real Estate Services in consultation with the General Manager of Toronto Water and in a form satisfactory to the City Solicitor.

The purpose of this report is to report back to Council on the detailed design, construction plan, and costs associated with building the Ashbridges Bay Treatment Plant ("ABTP") Landform (the "Landform" or "Landform Project") and to obtain Council approval to enter into one or more agreements with the Toronto and Region Conservation Authority ("TRCA") for the permitting, construction, and property transfers associated with construction of the Project.

The Landform Project is intended to provide erosion and sediment control in Ashbridges Bay and new ABTP property for the construction of a future combined sewer overflow ("CSO") High Rate Treatment ("HRT") Facility. Commencing in 2019, an estimated five to six year phased construction approach is required to construct the Landform. The estimated project cost for construction of the Ashbridges Bay Treatment Plant Landform Project is $96.0 million net of all applicable taxes ($97.7 million net of HST recoveries).