Agenda

This meeting of the Executive Committee will be conducted with members participating in person and remotely.

Members of Council, City Officials, and members of the public who register to speak will be provided with the video conference details closer to the meeting date.

To provide comments or make a presentation to the Executive Committee

The public may submit written comments or register to speak to the Committee on any item on the agenda. The public may speak to the Committee in person or by video conference.

Written comments may be submitted by writing to exc@toronto.ca

To speak to the Committee, please register by email to exc@toronto.ca or by phone at 416-392-7033. Members of the public who register to speak will be provided with instructions on how to participate in to the meeting.

Special Assistance for Members of the Public: City staff can arrange for special assistance with some advance notice. If you need special assistance, please call 416-392-7033, TTY 416-338-0889 or e-mail exc@toronto.ca.

Closed Meeting Requirements: If the Executive Committee wants to meet in closed session (privately), a member of the Committee must make a motion to do so and give the reason why the Committee has to meet privately (City of Toronto Act, 2006).

Notice to People Writing to the Executive Committee: The City of Toronto Act, 2006 and the City of Toronto Municipal Code authorize the City of Toronto to collect any personal information in your communication to City Council or its Committees and Boards. The City collects this information to enable it to make informed decisions on the relevant issue(s). If you are submitting letters, faxes, e-mails, presentations or other communications to the City, you should be aware that your name and the fact that you communicated with the City will become part of the public record and will appear on the City’s website. The City will also make your communication and any personal information in it - such as your postal address, telephone number or e-mail address - available to the public, unless you expressly request the City to remove it.

If you want to learn more about why and how the City collects your information, write to the City Clerk's Office, City Hall, 100 Queen Street West, Toronto ON M5H 2N2 or call 416-392-7033. 

toronto.ca/council

This agenda and any supplementary materials submitted to the City Clerk can be found online at www.toronto.ca/council. Visit the website for access to all agendas, reports, decisions and minutes of City Council and its Committees and Boards.

Declarations of Interest under the Municipal Conflict of Interest Act

Confirmation of Minutes - January 28, 2025

Speakers/Presentations - The speakers list will be posted online at 8:30 a.m. on March 19, 2025.

Communications/Reports

Mayor Olivia Chow recommends that:

1. City Council request the City Manager to conduct a full review of winter maintenance operations to determine how to immediately optimize the available city resources and whether there are opportunities to improve the City’s management of winter maintenance contracts with private contractors.

2. City Council request the City Manager to investigate the gap between City reports that 100 percent of sidewalks were cleared of snow at least once and the reality of residents who can see no plow had visited a given stretch of sidewalk.

3. City Council request the City Manager to determine whether the private winter maintenance contractors have upheld their obligations under their contracts and, if not, pursue all options to hold the contractors accountable and recover public funds where appropriate.

4. City Council request the City Manager to evaluate all options to improve winter maintenance work, including renegotiating or breaking existing contracts, improving maintenance of the City-owned fleet of winter equipment, purchasing improved winter equipment that can handle heavier snow falls (particularly for sidewalks), developing contingency plans to redeploy more City staff to winter maintenance work when a Snow Condition is declared, and creating a policy to determine when snow removal should be undertaken.

5. City Council request the City Manager to report to the Executive Committee on the work outlined in Recommendations 1 to 4 above and City Council request the City Manager, as part of the 2026 budget process, to report on any recommendations that have a financial impact on the Transportation Services Operating Budget.

6. City Council request the Auditor General to consider adding, as part of the Auditor General’s 2025 Work Plan, an audit of the following:

a. the City of Toronto’s handling of the February 2025 major winter storm, taking into consideration prior audits of this winter service contract, and provide recommendations for improving winter maintenance during significant winter storms;

b. whether previous Auditor General recommendations related to winter maintenance operations were enacted by City management ahead of the February 2025 winter storm;

c. the City’s snow removal system to determine whether it was activated in a timely and effective manner;

d. the City’s sidewalk plow fleet to determine whether they are the optimal equipment based on local winter conditions, whether the plows are maintained in accordance with the manufacturer’s recommended practices, the average percentage of the plow fleet that is in service throughout a major snow event, and whether all warranties from the manufacturer have been leveraged to limit the City’s cost of sidewalk plow maintenance; and

e. the 2021 Negotiated Request for Proposals awards that resulted in the current suite of winter maintenance contracts to determine if they were awarded in a fair and competitive manner;

and recommend improvements to the City’s winter maintenance contracts.

Like many Torontonians, I am frustrated with the City of Toronto’s response to the recent snow storms. All Toronto residents, including seniors, people with mobility issues and parents with strollers, were left to contend with an inadequate and slow city response. It can’t continue like this. We know these storms happen every couple of years and yet each time our city is paralyzed by a big snowfall.

Last week, I had the opportunity to tour snow removal operations. It is painstaking work and the people who do it deserve to have the proper equipment and logistical plans to succeed. I am confident that through my recommendations in this letter, we will improve Toronto’s winter maintenance program both for the residents who rely on it and the people who deliver it.

In addition to my recommendations, I have also asked City Manager Paul Johnson to immediately review options to deploy additional City staff from other departments to clear and remove snow, as well as support flood prevention efforts, while also ensuring other essential City services continue their operations.

I look forward to our discussion on winter maintenance at our next Executive Committee meeting, including any further ideas you may have to improve Toronto’s responses to major storms.

The City Manager and the General Manager, Economic Development and Culture recommend that:

1. Executive Committee receive this report for information.

The City Manager and the General Manager, Economic Development and Culture will be submitting a report that provides information on the City of Toronto United States Tariff Response Action Plan, which will detail the City's response to United States' economic policies, to the Executive Committee before its meeting on March 19, 2025.  

Further information on financial impacts will be outlined in the forthcoming supplementary report.

The Chief Financial Officer and Treasurer has reviewed this report and agrees with the information as presented in the Financial Impact section.

The Deputy City Manager, Corporate Services recommends that:

1. City Council direct the Deputy City Manager, Corporate Services to report back to Executive Committee by Q4 2025 on implementation progress.

This report responds to City Council’s directive on October 9 and 10, 2024 (EX17.3), to  conduct a review to determine the organizational structure best suited to address the asset planning, management and maintenance, operations and user experience of the City of Toronto's ferry system, the Jack Layton Ferry Terminal and the Island ferry docks, and to report back to Executive Committee in the first quarter of 2025. This review comes at a pivotal time, recognizing the crucial role Toronto’s Ferry service plays for Torontonians, visitors, and the broader ferry network, new safety regulations coming into force in 2025, the introduction of two state-of-the-art electric ferries in 2026 and 2027, and related shoreside infrastructure and terminal improvements underway.

The City of Toronto engaged Greenline Marine Inc. (“the Consultant”) to support its operational review of the ferry system. The objective was to assess the service’s practises relative to industry standards and benchmarks and provide recommendations to staff to ensure the City’s ferry operation is aligned with those standards and can respond to the evolving ferry industry landscape in Canada. An executive summary of the Consultant’s report is attached.

The review first established that Toronto’s Ferry Service is an essential transportation link for both residents and visitors to the Toronto Islands, and the Toronto Islands Residential Community Stewardship Act, 1993 mandates that municipal services be provided to the island, including ferry services. Further, Toronto's ferry service handles one of the highest passenger volumes in Canada. According to 2023 ridership data, Toronto’s Ferry System ranks seventh amongst Canada’s busiest ferry routes who collectively carry more than 66 percent of the country’s passenger ferry volumes, and is among the top four routes during the height of the summer season, with over 18,000 daily passengers at peak times. It is a busy, high-volume service that has generally performed well and operated consistently and safely.

The review, informed by leadership and staff interviews, review of data and documentation, and stakeholder meetings, ultimately found that Toronto’s ferry service is compliant with all regulatory requirements and meets broad policy expectations.

However, it is not fully consistent with ferry industry norms in key areas such as asset management, safety management, organizational structure and workforce development. Additionally, enhanced stakeholder engagement and public communication strategies would benefit the service and those who use and rely on it.

The Consultant provided seven recommendations to enhance the service. Staff have accepted these recommendations and are taking and will continue to take a variety of actions, including establishing a structured asset management plan for the City’s existing and incoming ferry fleet, developing a robust Safety Management System aligned with Transport Canada's new regulations, continued and enhanced targeted recruitment and retention strategies for specialized marine staff, allocating resources to support a greater focus on areas like customer experience and safety management, and elevating ferry operations within a City division's structure.

Finally, the Consultant identified key principles to guide the City’s decision-making on the appropriate organizational position for the service, outlined in this report. On this basis, the City will reposition the ferry operation within the Fleet Services Division, which has attributes aligned with the guiding principles, including experience and capability in the opportunity areas identified by the Consultant. There will be no loss of ferry operations Full Time Equivalent positions (FTEs) resulting from this transition, and the City anticipates allocating additional resources over time to support the operation. For example, the City will ensure Fleet Services is equipped with the necessary customer experience expertise and focus to lead this important public-facing service.

Staff will formally transition the authority of the ferry operation from Parks and Recreation to Fleet Services by Q4 2025. In the interim, the Deputy City Manager, Corporate Services will oversee all aspects of implementation, including communications, resourcing and asset management, in partnership with the Deputy City Manager, Community and Social Services. Staff will also continue to implement the Consultant's recommendations outlined in this report over time.

There are no financial impacts resulting from the recommendations in this report in the current budget year. Any financial impacts for 2025 associated with the Consultant's recommendations can be accommodated within the existing Council approved 2025 operating budgets. Any future funding requirements will be submitted for consideration in future budget processes.

The Chief Financial Officer and Treasurer has reviewed this report and agrees with the financial impact information.

The General Manager, Transportation Services recommends that:   

1. City Council authorize the implementation of priority bus lanes on the following roadway sections:

a. Southbound Parliament Street from Lake Shore Boulevard to Small Street;

b. Westbound Queens Quay East from Small Street to Bay Street;

c. Eastbound Queens Quay East from Lower Jarvis Street to Bonnycastle Street; and

d. Eastbound Front Street West from a point 50 metres east of Bay Street to Yonge Street.

2. City Council authorize the alteration of the intersection of Queens Quay East at Lower Jarvis Street to include a westbound right-turn lane and a westbound priority bus lane generally as shown in Attachment 3 to the report (March 5, 2025) from the General Manager, Transportation Services

3. City Council authorize the alteration of the intersection of Dockside Drive (east leg) at Queens Quay East to include a northbound left-turn prohibition from 7:00 a.m. to 9:00 a.m. and from 3:00 p.m. to 7:00 p.m. generally as shown in Attachment 3 to the report (March 5, 2025) from the General Manager, Transportation Services.  

4. City Council enact the amendments to traffic and parking regulations associated with Recommendation 1 above, and generally as described in Attachment 1 – Amendments to Traffic and Parking Regulations to the report (March 5, 2025) from the General Manager, Transportation Services.

5. City Council delegate, despite any City of Toronto By-law to the contrary, to the General Manager, Transportation Services, until December 18, 2025, for the purposes of implementing and then addressing operational and safety issues that may arise in relation to the projects identified above, the authority to implement changes and process and submit directly to City Council, any necessary Bills for by-law amendments to the schedules, to City of Toronto Municipal Code Chapters on the streets and within the parameters found in Attachment 2.

On December 17, 2024, City Council directed Transportation Services to work with the Toronto Transit Commission (TTC) to report back on interim priority bus lane implementation along Queens Quay East between Bay Street and Parliament Street, in advance of the Waterfront East Light Rail Transit (WELRT) project. On February 24, 2025, the TTC Board received and endorsed the proposed transit priority measures on Queens Quay East and Front Street West. The interim priority bus lanes are intended to provide immediate improvements to approximately 4,000 daily customers prior to the implementation of WELRT.

This report seeks Council authority to install priority bus lanes to improve travel times and reliability for transit customers on the following street segments:

-Southbound Parliament Street from Lake Shore Boulevard to Small Street,

-Westbound Queens Quay East from Small Street to Bay Street,

-Eastbound Queens Quay East from Lower Jarvis Street to Bonnycastle Street, and

-Eastbound Front Street West from a point 50 metres east of Bay Street to Yonge Street.

No motor vehicle traffic lanes are proposed to be removed, and all existing traffic capacity would be maintained by optimizing the existing curb-to-curb space on the Queens Quay East, Parliament Street, and Front Street rights-of-way. Local access and right-turns would be maintained, and a left-turn prohibition at Dockside Drive (east leg) at Queens Quay East is proposed in the peak periods.

In addition to the interim painted bus lanes on Queens Quay East, the removal of approximately eight (8) on-street parking spaces on Front Street West, between Bay Street and Yonge Street, is proposed to provide a dedicated layover area for buses. This would facilitate better service reliability for customers, allow buses laying over to keep clear from general traffic, and simplify the customer experience for TTC bus transfers at Union Station.

Interim priority bus lanes will provide immediate improvements to the three bus routes operating on Queens Quay East and may be further utilized by other bus routes for future diversion routing, during construction of the various infrastructure and development projects in the surrounding area. The City, TTC, and Waterfront Toronto are continuing work to advance the Waterfront East Light Rail Transit (WELRT) project design, which would replace the proposed interim priority bus lanes in the future.

The estimated capital funding required to implement the transit priority measures on Queens Quay East outlined in this report is expected to be $800,000 and is funded as part of the TTC's 2025 to 2034 Capital Budget and Plan.

Transportation Services has consulted with Toronto Parking Authority (TPA), who assessed that the financial impact of permanent lost revenue and operating expenses will be approximately $300,000. This amount includes estimated lost revenue for eight (8) parking spaces and the operating expense of $1,500 for the removal of one Pay & Display machine.

The Chief Financial Officer and Treasurer has reviewed this report and agrees with the financial impact information.

Mayor Olivia Chow recommends that:

1.  City Council amend Chapter 546-51 to permit the maximum age limit of wheelchair accessible vehicles used as a taxicab or Private Transportation Company vehicle to be up to ten model years old.

2.  City Council amend Chapter 546 to permit a vehicle registered with Municipal Licensing and Standards for use as a taxicab or sedan limousine as of December 31, 2024 and that is required to be replaced by March 31, 2025 to continue to be used as a taxicab or sedan limousine until August 29, 2025.

The by-law regulating vehicles-for-hire in the City of Toronto mandates maximum allowable ages for vehicles used as a taxicab, limousine or for a private transportation company. I have heard from the vehicle-for-hire industry that a significant proportion of vehicles are due to expire as of March 31st, 2025.

Of particular concern is that 45 wheelchair accessible vehicles (WAVs), or approximately 10 percent of the existing fleet, are due to expire this year, and a further 203 are set to expire next year. Without a change to the by-law, there is a significant risk of losing these vehicles from the fleet, which would further reduce accessible service in the City.

In addition, according to staff about 1,300 sedan taxicabs (representing 37 percent of all current active taxicabs) reach their vehicle age limit on March 31, 2025. Many of those who have ordered their replacement vehicle are affected by severe delays in vehicle delivery and taxi outfitting (including installation of bylaw-required equipment). 

That is why I am proposing to take two actions to help the vehicle-for-hire industry: first I am asking that Council permanently extend the maximum vehicle age limit from seven to ten model years for all vehicles-for-hire that are wheelchair accessible. Second, I am proposing to temporarily extend the expiry date from March 31, 2025 to August 29, 2025 for sedan taxicabs or limousines to reflect current supply chain challenges.

While these two actions respond to an urgent, time-sensitive issue, I recommend that the Executive Director, Municipal Licensing and Standards be granted additional time to complete the work related to taxi data and accessibility that was requested of them as part of 2024.EX19.3.

The Executive Director, Social Development, Finance and Administration recommends that:

1. City Council direct the Executive Director, Social Development, Finance and Administration to negotiate with One Toronto Gaming to include the updated definitions of Woodbine Local Area and Equity Deserving Communities, as defined in Attachment 3 of this report, and authorize the City Manager to sign an Amending Agreement with One Toronto Gaming implementing the updated definitions, to the satisfaction of the City Solicitor.

2024 marked the sixth year since the inception of the Rexdale-Casino Woodbine Community Benefits Agreement. Adopted by City Council in 2018, the Agreement stands as a precedent-setting and award-winning[1] example of municipal policy innovation, community advocacy, and impactful public-private partnership towards inclusive economic development. By leveraging the expansion of gaming at the Woodbine Racetrack, the Agreement has harnessed a major development project into a vehicle for driving equity-focused opportunities and fostering meaningful community benefits.

This report provides an update on 2024 targets, the City's share of gaming revenues, and also reflects on the Agreement's progress and impact captured in a five-year review, led by City staff in 2024 in collaboration with One Toronto Gaming, the Agreements' Community Steering Committee and community partners. The 2018 Agreement requires annual progress reports from One Toronto Gaming to the City of Toronto, with corresponding updates from City staff to City Council. One Toronto Gaming's 2024 annual report is included in this report as Attachment 1.

Overall, the commitments within the agreement have been met or are on track for completion. Attachment 2 summarizes One Toronto Gaming's progress towards meeting the targets and requirements of the Agreement. Key Highlights of One Toronto Gaming's progress as of December 31,2024 include:

-Child Care Centre: Children's Services has confirmed that the future child care centre will be connected to a Toronto Community Housing Corporation building unit nearby to the Casino and is accessible by public transit. This target has not yet been fully met. Children’s Services is currently in the agreement negotiation stage with Toronto Community Housing Corporation and are working with City Legal to draft and execute an agreement. Upon completion, Children’s Services and Toronto Community Housing Corporation will be able to confirm construction development timelines for the child care centre. 

-Local and Social Hiring (Operations): Of the 3,160 new hires since 2018, 42 percent (1,319 individuals) self-identified as a social hire[2] and 8 percent (257 individuals) were local hires[3]. The social[4] hiring target has been met; the local hires target has not yet been met. Actions to meet this target are further detailed in this report.

-Construction Hiring: Of the 2,819 people employed on the construction site since 2018, 29 percent (807 individuals) self-identified as a social hire and two percent (65 individuals) self-identified as a local hire. The combined construction hiring target has been met.

-Full-time Employment: Of the 1,794 active employees, 61 percent (1,101 individuals) are employed on a full-time basis and 39 percent (693 individuals) are employed on a part-time basis. This target has been met.

-Supply-Chain Diversity: In 2024, One Toronto Gaming spent $100.5 million across 18 local suppliers, representing 33 percent of their total procurement spend. One Toronto Gaming spent $1.8 million across 3 diverse suppliers, representing less than one percent of their total procurement spend. The combined supply chain diversity target has been met.

-Community Access to Space: One Toronto Gaming finalized the Community Access to Space Policy and Procedures in November 2024 and hosted the first community event in December 2024. Four community events are scheduled to take place within the first half of 2025. This target has been met.

-Responsible Gambling: To identify negative impacts of expanded gaming and implement mitigation measures, Toronto Public Health and Ontario Lottery and Gaming Corporation developed a workplan with four workstreams that will guide Responsible Gambling work from 2025 to 2029 and fulfill Agreement requirements. This target has been met.

There is no financial impact from the adoption of the recommendation in this report.

The Chief Financial Officer and Treasurer has reviewed this report and agrees with the financial impact information.

The City Clerk recommends that:

1. City Council adopt the Municipal Diversity Plan for appointments to the Toronto Police Service Board in Attachment 1.

The purpose of this report is to recommend City Council adopt a diversity plan for appointments to the Toronto Police Service Board in accordance with the legislative requirement in section 28 of the Community Safety and Policing Act, 2019.

There are no financial implications.

The City-School Boards Advisory Committee recommends that the Executive Committee recommend that:

1. City Council request the Federal Government to reallocate unspent funding for the 2025 budget year through the National Student Food Program from jurisdictions where funding agreements have not been secured directly to jurisdictions with agreements in place including in Ontario for Toronto’s School Food programs. 

2. City Council request the newly elected Government of Ontario to increase its per-student financial contribution levels for Student Nutrition Programs in Toronto such that the province matches or exceeds the City’s contributions.

At its meeting on February 26, 2025 the City-School Boards Advisory Committee considered Item TS4.1 and made recommendations to Executive Committee.

The City-School Boards Advisory Committee recommends that:

1. Executive Committee request the Executive Director, Development Review to provide an update at the next City-School Boards Advisory Committee on the approval process for school projects and a list of outstanding projects in the City of Toronto.

At its meeting on February 26, 2025 the City-School Boards Advisory Committee considered Item TS4.3 and made recommendations to Executive Committee.

Summary from the letter (February 26, 2025) from Trustee Maria Rizzo

Some school boards have experienced a wait time of an average of approximately 33 months for city approvals like site plan and city other approvals slowing down renovations, additions or new builds for schools in the City of Toronto.

As you are aware school boards have recently lost childcare funding by the province due to in part the time frames to complete projects.

Although our school boards have not received capital funding from the province in the past two years there are past projects that require city approvals before they can begin the additions, renovations or new childcare and schools.

School boards like any other builder take advantage to construct projects in warmer weather and moreover, school boards attempt to do construction work in school communities when students are not attending school.

All of the members of this committee are aware of the issues facing school boards in completing capital projects.

The Confronting Anti-Black Racism Advisory Committee recommends that the Executive Committee recommend that:

1. City Council amend the Terms of Reference to require the Confronting Anti-Black Racism Advisory Committee to hold six meetings per year at the call of the Chair or Vice-Chair on delegation of the Chair.

 At its meeting on February 13, 2025, the Confronting Anti-Black Racism Advisory Committee considered CR5.4 and made recommendations to Executive Committee.

Summary from the Letter (January 30, 2025) from Councillor Amber Morley:

Currently, the Confronting Anti-Black Racism Advisory Committee can hold up to four meetings per year according to its Terms of Reference. By way of this letter, I am recommending that the Committee meet up to six times per year.

The Service Excellence Committee recommends that:

1. City Council direct all City Divisions to provide the Customer Experience Division with the necessary information to publicly report on their performance against service standards.

2. City Council direct the Executive Director, Customer Experience to start conducting ongoing analysis, reporting on performance trends, identifying areas for improvement, by and not limited to:

a. developing and maintaining a central repository for performance and service standards data; and

b. creating and maintaining user-friendly dashboards and reports for public consumption.

3. City Council direct the Executive Director, Customer Experience to report back to the Service Excellence Committee biannually on the ongoing analysis, reporting, and identified areas for improvement in recommendation 2.

4. City Council request the Executive Director, Customer Experience, to develop an initial top priority list of service standards to use as a basis for the initial reporting on performance and service standards, with an aim to expand the list over time.

At its meeting on February 28, 2025, the Service Excellence Committee considered Item SE7.2 and made recommendations to the Executive Committee.

Summary from the letter (January 28, 2025) from Councillor Paul Ainslie:

Meeting customer service targets remains a key focus for the City of Toronto. Currently, the Customer Experience Division does not publicly post divisional performance data. To address this, City Divisions need to provide the Customer Experience Division with the necessary information to publicly report on their performance against service standards.

While divisions would benefit from demonstrating resource needs based on performance standards, this data must be aggregated.  Customer Experience to conduct ongoing analysis of performance trends, identify areas for improvement, and develop central repository for performance data. User-friendly public dashboards and reports should be created and maintained, providing context, and highlighting service impact on residents.

This will enhance public trust, improve service delivery, and promote greater transparency and accountability within the City of Toronto.

Councillor Jennifer McKelvie recommends that:

1. City Council authorize the waiver of City planning application fees for an Official Plan Amendment and Zoning By-law Amendment set out in Schedule 13, Appendix C in Municipal Code Chapter 441 that would otherwise be payable by the Tamil Community Centre to the City for the property located at 311 Staines Road.

The Canadian Tamil community has been working tirelessly to advance the construction of a new community centre that will serve communities in northeast Scarborough. There is a longstanding need for increased community and social services in this area which is lacking city owned and operated community centres.

Building on more than a decade of foundational work done by long-standing community organizations and business leaders, a Steering Committee was established by the Canadian Tamil community to oversee the feasibility process for the design, construction and operation of a Tamil Community Centre.

The non-profit Tamil Community Centre will provide an inclusive, safe space where community organizations can offer programming and services to help address the evolving needs of the Tamil community and other racialized communities. The space will include cultural facilities, such as a library, museum and auditorium, multi-purpose spaces to facilitate educational programming and mental health services, and recreation facilities, including a gym and outdoor playing fields.

In October 2020, Toronto City Council voted unanimously in support of 311 Staines Road as the future site of the Tamil Community Centre, and a land lease was finalized the following year with an annual rent of $1 plus HST.

The Government of Canada and the Government of Ontario have announced $26.3 million in funding for the construction of the Tamil Community Centre through the Investing in Canada Infrastructure Program. The remaining costs of construction, approximately 25 percent, will be fundraised by the Tamil community.

The City-owned lands at 311 Staines Road being leased to the Tamil Community Centre do not currently benefit from Official Plan designation and Zoning By-law permissions necessary for the Community Building to be delivered in accordance with the terms of the Lease.  Representatives for the Tamil Community Centre have filed Official Plan and Zoning By-law Amendment applications to facilitate the necessary land use permissions to deliver the Community Building.  As an extension of the City’s in-kind support of the project, a waiver of the planning application fees associated with the Official Plan and Zoning By-law amendment applications would ensure the City upholds its commitment in offering the land lease, and enables the Tamil Community Centre to uphold their commitment to deliver the project.

The Deputy City Manager, Development and Growth Services and the Chief Financial Officer and Treasurer recommend that:  

1. City Council direct the Executive Director, Development Review and the Executive Director, Housing Secretariat to:

a. undertake a review process of residential development applications in the City’s Development Review pipeline that:

i. are intended to be developed as Condominiums;

ii. include at least 5 percent - 10 percent of total residential units as affordable units; and

iii. have submitted a complete Site Plan Application by March 1, 2025; and

b. prioritize projects that include a higher percentage of affordable housing. 

2. City Council authorize the Deputy City Manager, Development and Growth Services, in consultation with the Chief Financial Officer and Treasurer, to approve up to 3,000 condominium units in the class of projects described in Part 1 to benefit from:

a. deferral of development charge payments until the earlier of four years from the approval of the deferral, or Condominium approval, with the final payment date subject to the approval of the Deputy City Manager, Development and Growth, provided it is no later than Condominium approval;

b. waiving of interest on deferred development charge amounts; and

c. applying the development charge rates in effect as of June 6, 2024 for applications not subject to a lower frozen rate.

3. City Council authorize the Executive Director, Housing Secretariat and any other member of staff of whom it is requested, to enter into a non-disclosure or similar agreements, on terms and conditions satisfactory to the Executive Director, Housing Secretariat and in a form approved by the City Solicitor, with the appropriate legal entities for the development projects identified in Part 1 to allow relevant information to be provided to City staff.

4. City Council authorize the Deputy City Manager, Development and Growth Services, in consultation with the Chief Financial Officer and Treasurer, to enter into agreements, pursuant to Section 27 of the Development Charges Act, to defer the payment of development charges payable in relation to condominium units approved per Part 2  provided building permits are issued for the project within two-years of approval for development charges deferral, and on such other terms and conditions as may be satisfactory to the Deputy City Manager, Development and Growth Services and in a form satisfactory to the City Solicitor.

5. City Council direct the Deputy City Manager, Development and Growth Services, and the Chief Financial Officer and Treasurer to report to Council in Q2-2026 with the results.

Toronto is experiencing a continued housing supply slowdown as a result of high construction and financing costs, higher interest rates, and declining pre-construction sales and rents. Foreign trade risks and immigration changes add significant uncertainty to the growth outlook of housing supply. The slowdown in development activity could have a generational negative impact on Toronto's ability to accommodate the housing needs of current and future residents, and a potential permanent loss of development capacity if capital and labour are reallocated.

This slowdown is being experienced across the housing spectrum. Following the introduction of a new Purpose-Built Rental Supply Program in late 2024, this report is proposing measures to unlock and advance stalled multi-unit ownership housing projects that include at least 5 percent -10 percent affordable housing and are expected to start construction within the next two years. Subject to approval of this report, the City will provide deferral of the payment of development charges (DCs) for eligible multi-unit ownership units. The deferred DCs would then be payable, interest free and at June 2024 DC rates, four years following approval of the deferral or at the time of condominium approval, whichever occurs earlier.

Subject to adoption of this report, staff will undertake a review of projects already in the City’s development review pipeline to identify interested proponents with projects on private land that have submitted a Complete Site Plan Application as of March 1, 2025 and include at least 5 percent -10 percent of their units as affordable housing.

Based on a high-level preliminary review, staff estimate that there are at least approximately 14,000 units in the development review pipeline that will be developed as condominium buildings and that include an affordable housing component at various stages of development review status. Based on the City’s current financial capacity, up to 3,000 condominium units can be unlocked through these measures. Staff will report in Q2-2025 with the results of the implementation process.

In previous discussions with industry leaders, through Building Industry and Land Development (BILD), the City was asked to provide a full exemption of DCs for condominium units to unlock stalled developments. While this report does not recommend an exemption, the proposed measures aim to improve the financial viability of condominium housing projects by reducing upfront development and financing costs for developers, while considering the financial constraints of the City of Toronto and that these projects will contribute to the affordable housing supply and creation mixed-income communities in Toronto.

The City of Toronto hopes that municipal actions undertaken will be complemented by efforts by the provincial and federal governments to advance housing supply. For example, City Council has formally requested the Province amend the Development Charges Act to authorize municipalities to adjust or remove annual development charge indexing provisions without an amendment to the development charge by-law, with the objective of incentivizing housing development (Item CC27.2). This would allow the City of Toronto to have greater flexibility in responding to market conditions.

Recent trade developments between the United States (US) and Canada, notably US-initiated tariff disputes, have introduced new uncertainties which will have direct and indirect impacts on construction projects, and the overall economy. There is an opportunity to spur construction of ownership projects with an affordable housing component faster, so people can move into these new homes sooner. These actions will support Toronto and Canada’s efforts to ensure a more resilient economy, during the response to tariffs and beyond, while supporting local jobs and economic growth.

The report proposes deferring development charge (DC) payments for eligible multi-unit homeownership projects, shifting the payment date from the issuance of the first building permit to the earlier of four years following approval of the DC deferral, or the time of condominium approval, provided building permits are issued for the project within two-years of DC deferral approval. Final DC payment dates may be varied by the Deputy City Manager, Development & Growth, but in all cases DCs will be paid prior to Condominium approval.

For the purposes of this analysis, staff have considered that the average payable DC for a condominium unit today is $60,716, based on current rates (which are DC rates effective as of June 6, 2024). This assumes an average unit mix of: 25 percent studio, 45 percent 1 Bedroom, 20 percent 2 Bedroom, and 10 percent 3+ Bedroom.

Based on a preliminary review, it is expected that an interest-free DC deferral for a four-year period at current DC rates could provide a financial benefit of up to $18,792 per unit, based on estimated construction cost financing rates. This includes up to $16,788 per unit associated with an interest-free deferral period and up to $2,004 per unit associated with applying June 6, 2024 rates. The avoidance of this upfront financing cost for developments could help to advance or unlock stalled projects. Actual benefits will vary on an individual development basis, depending on their financing rates and construction timelines.

Provision of a DC deferral would result in a short-term cash flow deferral for the City, which can be accommodated within the 10-Year Capital Plan without having a negative impact on planned capital projects and spending. DCs would be received within a four-year period, or at an earlier date upon condominium approval. There is expected to be a minimal financial impact to the City of up to $9,426 per unit in total, which primarily reflects any foregone investment returns associated with deferred payments, based on the City’s long-term investment rate of return, which is different to the assumed cost of financing for development noted above.

The proposed measures in this report aim to improve the financial viability of condominium housing projects by reducing upfront development and financing costs for developers, while considering the financial constraints of the City of Toronto. Based on preliminary review, staff estimate that there are at least approximately 14,000 units in the development review projects that include a mix of condominium and affordable housing units at various stages of development review status.  

A maximum of 3,000 condominium units will be approved for measures proposed in this report, based on the City’s affordability and financial constraints. This would represent a maximum upset limit for the City of $182.1 million in deferred cash flow and $28.3 million in foregone investment returns, which can be accommodated without impacting planned capital investments. Staff will report in Q2-2026 with an updated financial impact, based on approved projects.

The City of Toronto has requested that the Province allow the City to adjust or remove planned annual indexing, which is currently scheduled for May 1, 2025, in accordance with the City’s in-force DC by-law. While units approved through measures proposed in this report will be subject to DC rates effective June 6, 2024, a change by the Province to indexing provisions would allow the City to potentially expand financial benefits to additional developments.   

The Aboriginal Affairs Advisory Committee recommends that:

1. City Council direct the City Manager to report to Executive Committee in the third quarter with a jurisdictional scan and recommendations required to initiate the creation of an Indigenous Member of Council.

2. City Council request the City Manager to report on the process of creating the Indigenous Member of Council to the Aboriginal Affairs Advisory Committee prior to submitting their report to Executive Committee.

At its meeting on January 30, 2025, the Aboriginal Affairs Advisory Committee considered Item AA3.3 and made recommendations to the Executive Committee.