Item - 2012.EX21.43
Tracking Status
- City Council adopted this item on July 11, 2012 without amendments.
- This item was considered by Executive Committee on June 12, 2012 and was adopted with amendments. It will be considered by City Council on July 11, 2012.
EX21.43 - Formal Briefing for Executive Committee on the Toronto Transit Commission's Current Contractual and Financial Obligations as Related to the Contract to Purchase Street Cars from a Third Party Supplier
- Decision Type:
- ACTION
- Status:
- Adopted
- Wards:
- All
City Council Decision
City Council on July 11, 12 and 13, 2012, adopted the following:
1. City Council request the Toronto Transit Commission to attend a full briefing, in closed session if necessary, for the Executive Committee on the City of Toronto's current obligations under an agreement to purchase streetcars under a third party contact. The briefing should include but not be restricted to:
a. Understanding fully the Province of Ontario's obligations under this contract and the state of the provincial account.
b. Understanding the City of Toronto's obligations under this agreement, including the schedule of payments, penalties and interest charges and the state of the current account.
c. The delivery date of the first and last vehicles and other important obligations of the vendor.
d. The TTC should advising City Council on its efforts to dispose of non-performing real estate assets such that it can more responsibility manage its own debt.
Background Information (Committee)
https://www.toronto.ca/legdocs/mmis/2012/ex/bgrd/backgroundfile-47862.pdf
Motions (City Council)
Vote (Adopt Item) Jul-11-2012 10:36 AM
| Result: Carried | Majority Required - EX21.43 - Adopt the item |
|---|---|
| Total members that voted Yes: 42 | Members that voted Yes are Paul Ainslie, Maria Augimeri, Michelle Berardinetti, Shelley Carroll, Raymond Cho, Josh Colle, Gary Crawford, Vincent Crisanti, Janet Davis, Glenn De Baeremaeker, Mike Del Grande, Frank Di Giorgio, Sarah Doucette, John Filion, Paula Fletcher, Rob Ford, Mary Fragedakis, Mark Grimes, Doug Holyday, Norman Kelly, Mike Layton, Chin Lee, Gloria Lindsay Luby, Giorgio Mammoliti, Josh Matlow, Pam McConnell, Mary-Margaret McMahon, Joe Mihevc, Peter Milczyn, Denzil Minnan-Wong, Frances Nunziata (Chair), Cesar Palacio, John Parker, James Pasternak, Gord Perks, Anthony Perruzza, Jaye Robinson, David Shiner, Karen Stintz, Michael Thompson, Adam Vaughan, Kristyn Wong-Tam |
| Total members that voted No: 0 | Members that voted No are |
| Total members that were Absent: 3 | Members that were absent are Ana Bailão, Doug Ford, Ron Moeser |
EX21.43 - Formal Briefing for Executive Committee on the Toronto Transit Commission's Current Contractual and Financial Obligations as Related to the Contract to Purchase Street Cars from a Third Party Supplier
- Decision Type:
- ACTION
- Status:
- Amended
- Wards:
- All
Committee Recommendations
The Executive Committee recommends that:
1. City Council request the Toronto Transit Commission to attend a full briefing, in closed session if necessary, for the Executive Committee on the City of Toronto's current obligations under an agreement to purchase streetcars under a third party contact. The briefing should include but not be restricted to:
a. Understanding fully the Province of Ontario's obligations under this contract and the state of the provincial account.
b. Understanding the City of Toronto's obligations under this agreement, including the schedule of payments, penalties and interest charges and the state of the current account.
c. The delivery date of the first and last vehicles and other important obligations of the vendor.
d. The TTC should advising City Council on its efforts to dispose of non-performing real estate assets such that it can more responsibility manage its own debt.
Origin
Summary
In recent months the of the City of Toronto's financial department has been requesting that City Council direct up to 75% of surplus funds to the payment of streetcars previously ordered by the Toronto Transit Commission. It is prudent that the Executive Committee understand the cost of this agreement and the consequences of our payment schedule. Moreover, the Province of Ontario has agreed to make a sizeable contribution to the cost of this order, the status of which is unclear. It is also important for Councillors to understand if this is the most expensive debt the city is carrying and whether penalties and interest charges are imminent. Finally, the TTC should be advising City Council on its efforts to dispose of non-performing real estate assets such that it can more responsibly manage its own debt.
Background Information
https://www.toronto.ca/legdocs/mmis/2012/ex/bgrd/backgroundfile-47862.pdf
Motions
That City Council request the Toronto Transit Commission to attend a full briefing, in closed session if necessary, for the Executive Committee on the City of Toronto's current obligations under an agreement to purchase streetcars under a third party contact. The briefing should include but not be restricted to:
a. Understanding fully the Province of Ontario's obligations under this contract and the state of the provincial account.
b. Understanding the City of Toronto's obligations under this agreement, including the schedule of payments, penalties and interest charges and the state of the current account.
c. The delivery date of the first and last vehicles and other important obligations of the vendor.
d. The TTC should advising City Council on its efforts to dispose of non-performing real estate assets such that it can more responsibility manage its own debt.