Item - 2023.CC8.17

City Council on July 19 and 20, 2023, adopted the following:

1. City Council adopt the confidential instructions to staff in Confidential Attachment 1 to the report (July 5, 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 (July 5, 2023) from the City Solicitor.

3. City Council direct that the balance of Confidential Attachment 1 to the report (July 5, 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 (July 5, 2023) from the City Solicitor were adopted by City Council and are now public as follows:

1. City Council accept the without prejudice offer to settle dated June 27, 2023 set out in Confidential Appendix A to the report (July 5, 2023) from the City Solicitor, and City direct the City Solicitor to attend at the Ontario Land Tribunal in support of the settlement.

2. City Council instruct the City Solicitor to request the Ontario Land Tribunal to withhold its Order on the rezoning appeal until the City Solicitor has advised that:

a. the Owner has withdrawn its appeal of the King-Parliament Secondary Plan and implementing Zoning By-law (By-law 394-2021) to the Ontario Land Tribunal within Ontario Land Tribunal Cases OLT-21-001024 and OLT-21-00-1042, subject to confirmation that the Zoning By-law Amendments secured through Ontario Land Tribunal Case OLT-22-004232 prevail;

b. the final form and content of the draft Zoning By-law Amendment are to the satisfaction of the Chief Planner and Executive Director, City Planning, and the City Solicitor;

c. the Owner has resubmitted the Functional Servicing and Stormwater Management Report and Hydrogeological Report, which includes confirmation of water, sanitary, and stormwater capacity, to the satisfaction of the Chief Engineer and Executive Director, Engineering and Construction Services, or the Chief Engineer and Executive Director, Engineering and Construction Services has determined that holding provisions are required in the Zoning By-law Amendment;

d. the Owner has addressed all outstanding issues outlined in the Urban Forestry memo dated March 17, 2022 as they relate to tree planting, soil volume, utility conflicts, tree protection, and Toronto Green Standards, to the satisfaction of the Supervisor, Tree Protection and Plan Review;

e. the Owner has submitted a Revised Heritage Impact Assessment that includes a conservation strategy for the properties at 229 Queen Street East and 120-122 Sherbourne Street, to the satisfaction of the Senior Manager, Heritage Planning;

f. the Owner has entered into a Heritage Easement Agreement with the City for the properties at 229 Queen Street East and 120-122 Sherbourne Street substantially in accordance with the plans and drawings dated June 23, 2023, prepared by IBI Group and on file with the Senior Manager, Heritage Planning, the Heritage Impact Assessment dated November 4, 2021 and addendum dated June 22, 2023, prepared by ERA Architects Inc., all to the satisfaction of the Senior Manager, Heritage Planning, including execution and registration of such agreement to the satisfaction of the City Solicitor; and

g. the Owner has provided a detailed Conservation Plan, prepared by a qualified heritage consultant that is consistent with the conservation strategy set out in the Heritage Impact Assessment dated November 4, 2021 and addendum dated June 22, 2023, prepared by ERA Architects Inc., for 229 Queen Street East and 120-122 Sherbourne Street, to the satisfaction of the Senior Manager, Heritage Planning.

3.  City Council instruct the City Solicitor to request the Ontario Land Tribunal to withhold its Order on the Site Plan appeal until the City Solicitor has advised that:

a.  the City has issued Notice of Approval Conditions to the satisfaction of the Chief Planner and Executive Director, City Planning; and

b.  the Owner has completed all required road widenings and conveyances to the satisfaction of the Chief Engineer and Executive Director, Engineering and Construction Services.

4. City Council approve the alterations to the designated heritage properties at 229 Queen Street East and 120-122 Sherbourne Street, in accordance with Section 33 of the Ontario Heritage Act, to allow for the construction of a new mixed use building on the lands known municipally in the year 2022 as 225-229 Queen Street East and 120-134 Sherbourne Street, with such alterations substantially in accordance with the plans and drawings dated June 23, 2023, prepared by IBI Group and on file with the Senior Manager, Heritage Planning and in Confidential Appendix B to the report (July 5, 2023) from the City Solicitor, and the Heritage Impact Assessment dated November 4, 2021 and addendum dated June 22, 2023, prepared by ERA Architects Inc., and on file with the Senior Manager, Heritage Planning, all satisfactory to the Senior Manager, Heritage Planning.

4. City Council adopt the confidential instructions to staff in Confidential Attachment 1 to the report (June 28, 2023) from the City Solicitor. 

5. City Council authorize the public release of the confidential instructions to staff in Confidential Attachment 1 and Confidential Appendices A, B and C to the report (June 28, 2023) from the City Solicitor. 

6. City Council direct that the balance of Confidential Attachment 1 to the report (June 28, 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 28, 2023) from the City Solicitor were adopted by City Council and are now public as follows:

1. City Council approve the application to alter the designated properties at 229 Queen Street East and 120-122 Sherbourne Street, with conditions, under Part IV, Section 33 of the Ontario Heritage Act, substantially in accordance with the plans and drawings dated June 23, 2023, prepared by IBI Group and on file with the Senior Manager, Heritage Planning and the Heritage Impact Assessment dated November 4, 2021 and addendum dated June 22, 2023, prepared by ERA Architects Inc., and on file with the Senior Manager, Heritage Planning, all satisfactory to the Senior Manager, Heritage Planning.

2. City Council direct that it consents to the application to alter the designated properties at 229 Queen Street East and 120-122 Sherbourne Street under Part IV, Section 33 of the Ontario Heritage Act is also subject to the following conditions: 

a. that prior to any Ontario Land Tribunal Final Order issued in connection with the Zoning By-law Amendment and Site Plan Control appeal, the Owner shall:

1. enter into a Heritage Easement Agreement with the City for the properties at 229 Queen Street East and 120-122 Sherbourne Street substantially in accordance with the plans and drawings dated June 23, 2023, prepared by IBI Group and on file with the Senior Manager, Heritage Planning, the Heritage Impact Assessment dated November 4, 2021 and addendum dated June 22, 2023, prepared by ERA Architects Inc., subject to and in accordance with the Conservation Plan required in Part 2.a.2. below, to the satisfaction of the Senior Manager, Heritage Planning, including execution of such agreement to the satisfaction of the City Solicitor.

2. provide a detailed Conservation Plan, prepared by a qualified heritage consultant that is consistent with the conservation strategy set out in the Heritage Impact Assessment dated November 4, 2021 and addendum dated June 22, 2023, prepared by ERA Architects Inc., for 229 Queen Street East and 120-122 Sherbourne Street, to the satisfaction of the Senior Manager, Heritage Planning.

b. that prior to final Site Plan approval for the subject lands the Owner shall:

1. provide final Site Plan drawings substantially in accordance with the approved Conservation Plan required in Part 2.a.2. above to the satisfaction of the Senior Manager, Heritage Planning.

2. provide a Heritage Lighting Plan that describes how the exterior of the heritage properties will be sensitively illuminated to enhance their heritage character to the satisfaction of the Senior Manager, Heritage Planning and thereafter shall implement such Plan to the satisfaction of the Senior Manager, Heritage Planning.

3. provide a detailed landscape plan for the subject properties, satisfactory to the Senior Manager, Heritage Planning.

4. provide an Interpretation Plan for the subject properties, to the satisfaction of the Senior Manager, Heritage Planning and thereafter shall implement such Plan to the satisfaction of the Senior Manager, Heritage Planning.

5. submit a Signage Plan to the satisfaction of the Senior Manager, Heritage Planning.

c. that prior to the issuance of any permit for all or any part of the properties at 229 Queen Street East and 120-122 Sherbourne Street, including a heritage permit or a building permit, but excluding permits for repairs and maintenance and usual and minor works for the existing heritage buildings as are acceptable to the Senior Manager, Heritage Planning, the Owner shall:

1. have entered into a Heritage Easement Agreement with the City required in Part 2.a.1. above.

2. provide building permit drawings, including notes and specifications for the conservation and protective measures keyed to the approved Conservation Plan required in Part 2.b.2. 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.

3. provide a Letter of Credit, including provision 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 Conservation Plan, Heritage Lighting Plan and Interpretation Plan.

d. that prior to the release of the Letter of Credit required in Part 2.c.3. above, the Owner shall:

1. provide a letter of substantial completion prepared and signed by a qualified heritage consultant confirming that the required conservation work and the required interpretive work has been completed in accordance with the Conservation Plan, Heritage Lighting Plan and Interpretation Plan and that an appropriate standard of conservation has been maintained, all to the satisfaction of the Senior Manager, Heritage Planning.

3. City Council authorize the entering into of a Heritage Easement Agreement under Section 37 of the Ontario Heritage Act with the Owner of the properties at 229 Queen Street East and 120-122 Sherbourne Street in a form and content satisfactory to the City Solicitor and the Chief Planner and Executive Director, City Planning.

4. City Council authorize the City Solicitor to introduce the necessary Bill in Council authorizing the entering into of a Heritage Easement Agreement for the properties at 229 Queen Street East and 120-122 Sherbourne Street.

7. City Council request the General Manager, Transportation Services, to review and report back to the Toronto and East York Community Council on the realignment of Permit Parking Area "6J" to exclude the development located at 225-229 Queen Street East and 120-134 Sherbourne Street. 

8. City Council authorize the City Solicitor to take all necessary actions to implement City Council's decision.

Confidential Appendices A and B to the report (July 5, 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 (July 5, 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 (July 5, 2023) from the City Solicitor will be made public at the discretion of the City Solicitor.

Confidential Appendices A, B and C to the report (June 28, 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 28, 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 28, 2023) from the City Solicitor will be made public at the discretion of the City Solicitor.