Item - 2022.CC42.9

City Council on April 6 and 7, 2022 adopted the following:

1.  City Council adopt the confidential instructions to staff in Confidential Attachment 1 to the report (March 29, 2022) from the City Solicitor.

2.  City Council authorize the public release of confidential instructions to staff in Confidential Attachment 1 and Confidential Appendices A and B to the report (March 29, 2022) from the City Solicitor.

3.  City Council direct that the balance of Confidential Attachment 1 to the report (March 29, 2022) from the City Solicitor remain confidential at the discretion of the City Solicitor as it contains advice that is subject to solicitor-client privilege.

The confidential instructions to staff in Confidential Attachment 1 to the report (March 29, 2022) from the City Solicitor, were adopted by City Council and are now public as follows:

1. City Council authorize the City Solicitor and appropriate City staff to attend the Ontario Land Tribunal in support of the settlement offer presented in the letter from Goodmans LLP dated March 25, 2022 and substantially in the form of drawings prepared by IBI Group dated March 19, 2022, attached respectively as Confidential Appendices A and B to the report (March 29, 2022) from the City Solicitor, subject to the parts set out below.

2. City Council authorize the City Solicitor to enter into an agreement pursuant to Section 37 of the Planning Act as follows:

a. the community benefits to be secured in the Section 37 Agreement are as follows:

i. a financial contribution in the amount of $3,500,000.00 payable to the City prior to the issuance of the first above-grade building permit for the proposed development, excluding demolition permits and any permits associated with the heritage alterations and conservation work, to be used as follows:

A. $1,250,000.00 to be allocated towards capital improvement for new or existing Toronto Community Housing or other affordable housing within Ward 13, to the satisfaction of the Chief Planner and Executive Director, City Planning, in consultation with the Ward Councillor;

B. $1,250,000.00 to be allocated towards capital improvement for new or existing City-owned community, recreation and cultural space within Ward 13, to the satisfaction of the Chief Planner and Executive Director, City Planning, in consultation with the Ward Councillor; and

C. $1,000,000.00 to be allocated towards local area streetscape and/or park improvements within Ward 13, to the satisfaction of the Chief Planner and Executive Director, City Planning, in consultation with the Ward Councillor;

ii. the required contribution described in Part 2.a.i. above is to be indexed upwardly in accordance with the Statistics Canada Non-Residential Construction Price Index for the Toronto Census Metropolitan Area, reported quarterly by Statistics Canada in Building Construction Price Index Table 18-10-0135-01, or its successor, calculated from the date of the Ontario Land Tribunal decision to the date of payment; and

iii. in the event the cash contributions referred to in Part 2.a.i. above has not been used for the intended purposes within 3 years of the site specific Zoning By-law coming into full force and effect, the cash contribution may be redirected for another purpose, at the discretion of the Chief Planner and Executive Director, City Planning, in consultation with the Ward Councillor, provided that the purpose is identified in the Toronto Official Plan and will benefit the community in the vicinity of the lands; and

b. the following are also recommended to be secured in the Section 37 Agreement as matters of legal convenience to support development:

i. the owner shall provide a minimum of 10 percent of the new residential dwelling units in the development as dwelling units containing at least three bedrooms and a minimum of 15 percent of the new residential dwelling units in the development as dwelling units containing at least two bedrooms, to the satisfaction of the Chief Planner and Executive Director, City Planning;

ii. the owner shall pay for and construct any improvements to the municipal infrastructure, at their sole expense, in connection with the Functional Servicing and Stormwater Management Reports or other reports accepted by the Chief Engineer and Executive Director, Engineering and Construction Services, should it be determined that upgrades to such infrastructure are required to support this development;

iii. prior to Site Plan approval, the owner shall develop a Construction Mitigation Plan for the proposed development of the Subject Site to the satisfaction of the Chief Planner and Executive Director, City Planning in consultation with the Ward Councillor;

iv. the owner will construct and maintain the development of the site in accordance with Tier 1 of the Toronto Green Standard, and the owner will be encouraged to achieve Tier 2 of the Toronto Green Standard;

v. the owner agrees to work with City staff and the members of the St. Lawrence Neighbourhood Association to include high-quality streetscape improvements within the pedestrian boulevards adjacent to the subject site along King Street East and Princess Street, including but not limited to relocating curbs, with consideration for the St. Lawrence Market Neighbourhood Public Realm Master Plan; and

vi. prior to Site Plan approval, to the satisfaction of the Senior Manager, Heritage Planning, the owner shall:

A. provide an updated Heritage Impact Assessment, and Conservation Plan, Heritage Lighting Plan, Interpretation Plan, and Signage Plan; and

B. enter into a Heritage Easement Agreement, to be registered on title, to manage the proposed alterations and secure the recommendations of the updated Heritage Impact Assessment.

3. City Council instruct the City Solicitor to request that the Ontario Land Tribunal to withhold its Order with respect to the Zoning By-law Amendment application until such time as the Ontario Land Tribunal has been advised by the City Solicitor that:

a. the proposed Zoning By-laws are in a form satisfactory to the Chief Planner and Executive Director, City Planning, and the City Solicitor;

b. the Owner has entered into an agreement with the City pursuant to Section 37 of the Planning Act, to the satisfaction of the Chief Planner and Executive Director, City Planning and the City Solicitor, securing community benefits and other matters in support of the development; and

c. the Owner has withdrawn its appeal of Official Plan Amendment 525, being the King-Parliament Secondary Plan, and the associated Zoning By-law 393-2021.

4. City Council authorize the City Solicitor to require the Applicant to complete all outstanding issues raised by Engineering and Construction services as they relate to the Zoning By-law Amendment application, to the satisfaction of the Chief Engineer and Executive Director, Engineering and Construction Services prior to the Ontario Land Tribunal hearing and, in the event that the outstanding issues have not been satisfactorily addressed, City Council further authorize the City Solicitor to request the Ontario Land Tribunal to withhold its final Order until such time as the Ontario Land  Tribunal has been advised by the City Solicitor that the outstanding matters have been completed or to request that the Tribunal impose as part of the Zoning By-Law Amendment a Holding (H) symbol be placed on the Subject Site until such time as the outstanding matters have been completed, all to the discretion and satisfaction of the City Solicitor.

5. City Council authorize the City Solicitor and other City staff to take any necessary steps to implement the settlement.

Confidential Appendices A and B to the report (March 29, 2022) from the City Solicitor are now public and can be accessed under Background Information (City Council).

The balance of Confidential Attachment 1 to the report (March 29, 2022) from the City Solicitor remains confidential at this time in accordance with the provisions of the City of Toronto Act, 2006,  as it contains advice that is subject to solicitor-client privilege. The balance of Confidential Attachment 1 to the report (March 29, 2022) from the City Solicitor will be made public at the discretion of the City Solicitor.