Item - 2020.EX16.6

The Executive Committee recommends that:

1. City Council authorize the City Manager or designate to execute the Design and Construction Agreement between the City and Metrolinx, based on the major terms outlined in Attachment 2 to the report (September 9, 2020) from the Executive Director, Corporate Real Estate Management and such other terms and conditions as may be satisfactory to the City Manager, the Chief Financial Officer and Treasurer, the Deputy City Manager, Corporate Services and the Deputy City Manager, Infrastructure and Development Services, and in a form satisfactory to the City Solicitor.

2. City Council authorize the City Manager or designate to execute amendments to the Funding Agreement for Union Station Enhancement, Package 1 to permit the addition of funding for two (2) full-time City staff to perform the scope of services outlined in Attachment 2 to the report (September 9, 2020) from the Executive Director, Corporate Real Estate Management, conditional upon full funding being provided by Metrolinx, and such other terms and conditions as may be satisfactory to the City Manager, the Chief Financial Officer and Treasurer, the Deputy City Manager, Corporate Services, and the Deputy City Manager, Infrastructure and Development Services, and in a form satisfactory to the City Solicitor.

3. City Council authorize the Deputy City Manager, Corporate Services to approve and execute any necessary easements, operating agreements and/or amendments to the existing reciprocal rights agreement between the City and Metrolinx that are required as a result of Metrolinx's expropriation of property at Union Station and construction of Union Station Enhancement Project Package 1, on terms and conditions satisfactory to the Deputy City Manager, Corporate Services, and in a form satisfactory to the City Solicitor.

4. City Council authorize an amendment to the existing retainer agreement with Davies Ward Phillips & Vineberg LLP (Purchase Order number 6025203) for property matters at Union Station in connection with the Union Station Revitalization Project, to include the provision of legal advice and expertise for any necessary easements, operating agreements and/or amendments to the existing reciprocal rights agreement between the City and Metrolinx related to Union Station Enhancement Project Package 1.

5. City Council authorize an amendment to the existing retainer agreement with Davies Ward Phillips & Vineberg LLP (Purchase Order number 6048193) for property matters in connection with Union Station Enhancement Project Package 1, in the additional amount of up to $35,000 (net of all applicable taxes) to provide legal advice and expertise to complete the proposed sale to Metrolinx of the elevator shafts connecting to Union Station Platform 20/21, and to provide legal services on property matters related to the finalization of the Design and Construction Agreement, increasing the current contract value form $580,000 (net of all applicable taxes) to $615,000 (net of all applicable taxes).

6. City Council authorize an amendment to the existing retainer agreement with Osler Hoskin & Harcourt LLP (Purchase Order number 6049837) for construction matters in connection with Union Station Enhancement Project Package 1, in the additional amount of up to $90,000 (net of all applicable taxes) to provide legal advice and expertise to complete the execution of the Design and Construction Agreement, increasing the current contract value from $530,000 (net of all applicable taxes) to $620,000 (net of all applicable taxes).

7. City Council amend the 2020 - 2029 Council Approved Capital Budget and Plan for Corporate Real Estate Management to increase total project cost and cash flow funding by $0.329 million in 2020, $0.514 million in 2021, $0.368 million in 2022, $0.372 million in 2023, and $0.526 million in 2024 for "Union Station Enhancement Project" (CCA913-01), from $1.250 million to $3.359 million, for additional resources for Union Station Enhancement Project Package 1, conditional upon full funding being provided by Metrolinx, with the exception of $0.125 million in 2020, to be funded within the existing Corporate Real Estate Management Council Approved 2020 Capital Budget to cover external legal costs to complete the proposed sale to Metrolinx of the elevator shafts connecting to Platform 20/21 and finalize the Design and Construction Agreement following the expropriation of City-owned lands.

8. City Council increase the 2020 Approved Operating Budget and Complement for Corporate Real Estate Management by 2.0 temporary positions and $0.104 million gross, $0 net for necessary project management resources, conditional upon full funding being provided by Metrolinx.

This report provides an update on the details of Metrolinx's expropriation of City-owned land at Union Station, outlined in Attachment 1, and presents the results of negotiations between City of Toronto ("City") staff and Metrolinx on the necessary agreements for the design and construction of Metrolinx's Union Station Enhancement Project (USEP), Package 1, for a new south concourse.

This report also recommends the allocation of additional resources, including two permanent City staff and third party subject matter experts, to allow for further City involvement in Union Station Enhancement Project, Package 1, conditional upon full funding being provided by Metrolinx, with the exception of legal fees required for the proposed sale of two heritage elevator shafts and certain legal services related to finalization of the Design and Construction Agreement with Metrolinx.