Item - 2021.EX24.6

The Executive Committee recommends that:

1.  City Council authorize the Toronto Atmospheric Fund loan of up to $2,841,800 net and $3,363,600 gross in the TowerWise project, subject to the terms and conditions approved by the Toronto Atmospheric Fund Board of Directors in Attachment 1 to the report (May 17, 2021) from the Chief Financial Officer and Treasurer.

2. City Council direct the Toronto Atmospheric Fund to provide detailed annual reporting to the Chief Financial Officer and Treasurer on the status of this loan and the remaining loan and grant from the Federation of Canadian Municipalities.

3. City Council direct that Confidential Attachment 1 to the report (January 22, 2021) from the Vice President, Impact Investing, Toronto Atmospheric Fund, included as Confidential Attachment 1 to the report (May 17, 2021) from the Chief Financial Officer and Treasurer, remain confidential in its entirety as it contains commercial and financial information, supplied in confidence to the Toronto Atmospheric Fund, which, if disclosed, could reasonably be expected to significantly prejudice the competitive position or interfere significantly with the contractual or other negotiations of a person, group of persons, or organization.

In June 2018, City Council authorized the Toronto Atmospheric Fund (TAF), pursuant to the City's Relationship Framework with TAF, to receive a loan of up to $5 million and a grant of up to $750,000 from the Federation of Canadian Municipalities (FCM) for the next phase of its TowerWise Project.  TowerWise supports deep energy retrofits in multi-residential buildings, aiming for a minimum of 40% reductions in greenhouse gases through the use of high-efficiency heat pump systems and other measures.

At the time of Council's approval, TAF outlined a funding arrangement for the use of these funds, which included seeking additional capital from other government funding programs and potentially third-party investors. The four multi-residential buildings to be retrofitted with these funds were not yet determined.

On February 5, 2021, the TAF Board of Directors approved funding of $2,841,800 net and $3,363,600 gross from the FCM loan to support the planned energy retrofits in a Toronto multi-residential building.  The building owner and project details are outlined in a Confidential Attachment included with the TAF Board decision.

Under the City's Relationship Framework with TAF, Council must authorize "loans, guarantees or security on loans or lines of credit in excess of $2,000,000."  Although Council approved TAF's receipt of the original FCM loan and grant in 2018, the full arrangements and specific buildings to benefit from this funding were unknown at that time.  Now that such details are available, TAF's Board has requested Council approval if deemed necessary by the Chief Financial Officer and Treasurer.