Item - 2015.GM1.4

That City Council adopt the following recommendations contained in the supplementary report (February 9, 2015) from the Chief Corporate Officer [GM1.4b]:

The Chief Corporate Officer recommends that City Council delete the Government Management Committee's Recommendations in Item GM1.4 and replace them with the following Recommendations:

1.  City Council authorize a lease amending agreement (the "Lease Amending Agreement") between the City and 1158093 Ontario Limited o/a Café on the Square ("Café on the Square"), to amend the existing lease (the "Lease") for the cafeteria at City Hall, 100 Queen Street West, substantially on the terms set out in Appendix 1 and such other and amended terms as may be acceptable to the Chief Corporate Officer, and in a form satisfactory to the City Solicitor, provided that on or prior to execution of the Lease Amending Agreement, Café on the Square pays all of the outstanding rent arrears owing to the City under the Lease.

2.  City Council authorize each of the Chief Corporate Officer and the Director of Real Estate Services severally to execute the Lease Amending Agreement and authorize the Chief Corporate Officer or his or her designate to administer and manage the amended Lease, including the provision of any consents, approvals, notices and notices of termination, provided that the Chief Corporate Officer may, at any time, refer consideration of such matters (including their content) to City Council for its determination and direction.

3.  If Café on the Square fails to pay the outstanding rent arrears and execute the Lease Amending Agreement by the deadline specified by the Chief Corporate Officer, City Council authorize the Chief Corporate Officer and/or the City Solicitor or their respective designates to demand rectification of the outstanding breaches under the Lease and if the breaches are not rectified as demanded, to terminate the Lease, evict Café on the Square and exercise all other remedies available to the City pursuant to the Lease or otherwise at law, including holding Café on the Square liable for all rent arrears under the Lease and all future damages as a result of the City losing the benefit of the Lease over its unexpired term, as well as all charges and expenses incurred by or on behalf of the City with respect to Café on the Square's default under the Lease.

4.  City Council request the Chief Corporate Officer to consult with the Ontario Restaurant Association and training organizations such as the YMCA, UNITE HERE Local 75, George Brown College and other social enterprise food service providers during the remaining term of Cafe on the Square's Lease, as amended, to determine the feasibility of and possible interest in a social enterprise food services operation being established at City Hall following the expiry or termination of the Lease and to report back to City Council, through the Government Management Committee, on the results of the consultations.

5.  If the results of the consultations with social enterprise food service providers indicate that a social enterprise model is not a feasible option for City Hall, City Council authorize the Chief Corporate Officer to undertake a new selection process during the remaining term of Cafe on the Square's Lease, as amended, substantially as described in the report   (February 9, 2015) of the Chief Corporate Officer entitled, "Café on the Square, 100 Queen Street West-proposed new selection process", to find a new food service operator(s) for City Hall to provide food services following the expiry or termination of the Lease with Café on the Square.

That the Government Management Committee recess its public session to meet in closed session to consider this item as it relates to the receiving of advice that is subject to solicitor-client privilege, litigation or potential litigation, including matters before administrative tribunals, affecting the City or local board and the security of the City's or a local board's property.

That the Chief Corporate Officer be requested to report directly to City Council Council on the proposed new selection process recommended in Recommendation 2 of the staff report, as amended by Motion 3 from Councillor McConnell.

That City Council, if the lease is terminated, authorize and direct the Chief Corporate Officer to consult with the Ontario Restaurant Association and training organizations such as the YMCA, UNITE HERE Local 75, George Brown College and other social enterprise food services, prior to undertaking a new selection process.

If the lease is terminated, City Council authorize and direct the Chief Corporate Officer to explore other options for the use of the property prior to undertaking a new selection process.

That Motion 5 by Councillor Ainslie be withdrawn.