Item - 2024.IE16.6

The Infrastructure and Environment Committee recommends that:

1. City Council authorize the Chief Engineer and Executive Director, Engineering and Construction Services, to negotiate and execute a Design and Construction Coordination Agreement with Toronto Hydro Electric System Limited and Toronto Hydro Energy Services Incorporated on terms similar to those outlined in this report and in a form that is acceptable to the City Solicitor.

2. City Council authorize the Chief Engineer and Executive Director, Engineering and Construction Services, to amend and update the Schedules to the Design and Construction Coordination Agreement from time-to-time and as necessary and agreed by the City and Toronto Hydro Joint Steering Committee which will be established under the terms of the Design and Construction Coordination Agreement.

3. City Council authorize the Chief Engineer and Executive Director, Engineering and Construction Services, the General Manager, Transportation Services, and the General Manager, Toronto Water, to negotiate and execute Project Specific Agreements in a form that is acceptable to the City Solicitor.

The purpose of this report is to seek Council's authority for the Chief Engineer and Executive Director, Engineering and Construction Services, to negotiate, finalize and execute a new Design and Construction Coordination Agreement (the "Agreement") with Toronto Hydro Electric System Limited and Toronto Hydro Energy Services Incorporated (collectively "Toronto Hydro"). This Agreement replaces a previous agreement, dated June 10, 2016, which expired on June 10, 2021. The previous agreement has been extended yearly while City and Toronto Hydro staff have negotiated the terms of the Agreement.

The purpose of the Agreement is to permit the City to relocate or replace Toronto Hydro assets that are affected by, or might act as an impediment to, City construction projects. This facilitates the initiation of City construction projects more quickly and reduces overall impacts to the public by allowing all work to be completed in a single City construction contract rather than in separate contracts administered by the City and Toronto Hydro.

The content of the Agreement is similar to the original 2016 agreement. It has been updated to clarify the application of, and respective responsibilities under, the Agreement as well as improvements to processes. These updates include a reduction in response times for the completion of various tasks, clarification of which projects are eligible to be coordinated under the Agreement, and the creation of a Joint Steering Committee of City and Toronto Hydro senior staff to monitor the performance of projects and consider possible future amendments to the Agreement as required.