Item - 2023.CC7.23

City Council on June 14 and 15, 2023, adopted the following:

1. City Council adopt the confidential instructions to staff in Confidential Attachment 1 to the report (June 1, 2023) from the City Solicitor.

2. City Council authorize the public release of the confidential instructions to staff in Confidential Attachment 1 and Confidential Appendices A and B to the report (June 1, 2023) from the City Solicitor.

3. City Council direct that the balance of Confidential Attachment 1 to the report (June 1, 2023) 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 (June 1, 2023) from the City Solicitor were adopted by City Council and are now public as follows:

1. City Council accept the without prejudice settlement offer as described in Confidential Appendix A to the report (June 1, 2023) from the City Solicitor, and substantially in accordance with Confidential Appendix B (the "Settlement Offer") to the report (June 1, 2023) from the City Solicitor and subject to Parts below.

2. City Council authorize the City Solicitor and appropriate City Staff to attend the Ontario Land Tribunal hearing on this matter in support of the Settlement Offer for the lands municipally known as 18 Portland Street and 1-9 Niagara Street (the "Site").

3. In the event that the Ontario Land Tribunal allows the appeal of the Official Plan Amendment and Zoning By-law Amendment, in part, City Council authorize the City Solicitor to request the Ontario Land Tribunal to impose the following conditions on the consent to demolish the building on the designated heritage property at 18 Portland Street in accordance with Section 34.1 of the Ontario Heritage Act, subject to the following conditions:

a. prior to issuance of the Ontario Land Tribunal Order on the Official Plan Amendment and Zoning By-law Amendment for 18 Portland Street and 1-9 Niagara Street, the Owner shall, at its sole cost and expense:

i. provide a detailed Panelization Plan, including how these building components will be dismantled, protected and stored during construction, prepared by a qualified heritage consultant and engineer, with such Plan being satisfactory to the Senior Manager, Heritage Planning;

ii. provide a Reconstruction and Restoration Plan, prepared by a qualified heritage consultant, with such Plan(s) being satisfactory to the Senior Manager, Heritage Planning; and

iii. enter into, and register on title to the lands municipally known as 18 Portland Street and, if required, 1-9 Niagara Street, a Heritage Easement Agreement under Section 37 of the Ontario Heritage Act, satisfactory to the Senior Manager, Heritage Planning and the City Solicitor;

b. prior to final site plan approval in connection with the Zoning By-law Amendment for 18 Portland Street and 1-9 Niagara Street, the owner shall, at its sole cost and expense:

i. provide final Site Plan drawings substantially in accordance with the approved Reconstruction and Restoration Plan required above, to the satisfaction of the Senior Manager, Heritage Planning; and

ii. provide an Interpretation Plan satisfactory to the Senior Manager, Heritage Planning;

c. prior to the issuance of any permit for all or any part of the property at 18 Portland Street and 1-9 Niagara Street, including a heritage permit or a building permit, but excluding permits for interior alterations, repairs and maintenance and usual and minor works for the existing building(s) on the site as are acceptable to the Senior Manager, Heritage Planning, or the Chief Building Official and Executive Director, Toronto Building, as applicable, the Owner shall, at its sole cost and expense:

i. provide building permit drawings, including notes and specifications for the panelization, reconstruction and protective measures keyed to the approved Panelization Plan and approved Reconstruction and Restoration Plan required above, including a description of materials and finishes, to be prepared by the project architect and a qualified heritage consultant to the satisfaction of the Senior Manager, Heritage Planning;

ii. provide a Letter of Credit(s), including provisions for upwards indexing, in a form and amount and from a bank satisfactory to the Senior Manager, Heritage Planning, to secure all work included in the approved Panelization Plan; the approved Reconstruction and Restoration Plan; and the approved Interpretation Plan;

d. prior to the release of one or more of the Letters of Credit required above, the Owner shall:

i. provide a letter of substantial completion prepared and signed by a qualified heritage consultant confirming that the required works have been completed in accordance with the Panelization Plan, Reconstruction and Restoration Plan and Interpretation Plan, all to the satisfaction of the Senior Manager, Heritage Planning; and

ii. provide replacement Heritage Easement Agreement photographs to confirm works have been completed in the approved Plans the satisfaction of the Senior Manager, Heritage Planning.

4. City Council instruct the City Solicitor to request the Ontario Land Tribunal to withhold its Order on the Official Plan Amendment, Zoning By-law Amendment and Application to Demolish the Designated Heritage Property until such time as the Ontario Land Tribunal has been advised by the City Solicitor that:

a. the proposed Official Plan Amendment is in a final content and form satisfactory to the Chief Planner and Executive Director, City Planning and the City Solicitor, including a policy recognizing that the existing building subject of By-law 69-2023 may be temporary relocated from the Site to a secure location off-site to be reconstructed and restored prior to being returned to the Site to be incorporated into the new development, in accordance with the conditions on the consent to demolish the building on the designated heritage property at 18 Portland Street in accordance with Section 34.1 of the Ontario Heritage Act;

b. the proposed Zoning By-law Amendment is in a final content and form satisfactory to the Chief Planner and Executive Director, City Planning and the City Solicitor;

c. the Owner has completed the requirements under Part 3.a. above, to the satisfaction of the Senior Manager, Heritage Planning and to the Chief Planner and Executive Director, City Planning, where applicable;

d. the Owner has, at its sole cost and expense:

i. submitted a revised Functional Servicing Report, Stormwater Management Report, and Hydrogeological Review, including the Foundation Drainage Report or addendums ("Engineering Reports"), to the satisfaction of the Chief Engineer and Executive Director, Engineering and Construction Services, in consultation with the General Manager, Toronto Water;

ii. secured the design and provision of financial securities for any upgrades or required improvements to the existing municipal infrastructure identified in the accepted Engineering Reports, to support the development, all to the satisfaction of the Chief Engineer and Executive Director, Engineering and Construction Services and the General Manager, Toronto Water, should it be determined that improvements or upgrades are required to support the development, according to the accepted Engineering Reports, accepted by the Chief Engineer and Executive Director, Engineering and Construction Services and the General Manager, Toronto Water;

iii. ensured the implementation of the accepted Engineering Reports does not require changes to the proposed amending By-laws or any such required changes have been made to the proposed amending By-laws, to the satisfaction of the Chief Planner and Executive Director, City Planning and the City Solicitor, including the use of a Holding ("H") By-law symbol regarding any new or upgrades to existing municipal servicing infrastructure as may be required;

iv. submitted a revised Transportation Impact Study or addendum, including streetscape and curb extension provisions, acceptable to, and to the satisfaction of, the General Manager, Transportation Services and the Chief Engineer and Executive Director, Engineering and Construction Services and that such matters arising from such study, be secured if required; and

v. submitted a revised Arborist Report or addendum, Landscape Plan (with a public utility plan underlay in an updated soil volume plan) and Tree Protection Plan acceptable and satisfactory to the General Manager, Parks, Forestry and Recreation;

e. if the required upgrade and/or improvements to municipal infrastructure to Portland Street being constructed by the City are not in place at the time of requesting any final Order of the Tribunal, instead of Part 4. d.i. to iii. above, City Council direct that a Holding ("H") By-law Symbol shall be imposed on the Zoning By-law Amendment to be lifted generally as follows:

i. the Owner has demonstrated that the required upgrades to the existing watermain system located on Portland Street (the upgrade of the existing 150 millimetre watermain fronting the site on Portland Street) is constructed and operational to the satisfaction of the Chief Engineer and Executive Director, Engineering and Construction Services and the General Manager, Toronto Water;

ii. the Owner submitted a Functional Servicing and Stormwater Management Reports, including confirmation of water and fire flow, sanitary and stormwater capacity, acceptable to the Chief Engineer and Executive Director, Engineering and Construction Services;

iii. if there are any additional upgrades and/or improvements, the execution of a financially secured agreement between the owner of the lands and the City, securing the financing and construction of any improvements that may be required to the City's sanitary sewer, storm sewer and water supply systems to accommodate the proposed development; and

iv. the receipt of all necessary approvals for the infrastructure required, as described above.

5. City Council authorize the entering into of a Heritage Easement Agreement under Section 37 of the Ontario Heritage Act with the Owner of the 18 Portland Street and 1-9 Niagara Street in a form and content satisfactory to the City Solicitor and the Chief Planner and Executive Director, City Planning.

6. City Council authorize the City Solicitor to introduce the necessary bill in City Council authorizing the entering into of a Heritage Easement Agreement for the property at 18 Portland Street and, if required, on 1-9 Niagara Street.

7. City Council authorize the City Solicitor and appropriate City staff to take all necessary actions to implement City Council's decision.

Confidential Appendices A and B to the report (June 1, 2023) 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 (June 1, 2023) 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 (June 1, 2023) from the City Solicitor will be made public at the discretion of the City Solicitor.