Item - 2019.EX11.24

The Executive Committee recommends that:

1.  City Council authorize CreateTO to proceed with Phase Three of the Major Capital Project Approval Process, including Detail Design, Contract Documents and Tender, in consultation with the Deputy City Manager, Corporate Services.

2.  City Council direct the Deputy City Manager, Corporate Services, the Chief Financial Officer and Treasurer, and CreateTO to review opportunities to address the projected capital funding gap through future year budget processes, including the following options:

a.  exchange the use of unplanned office space in the new Etobicoke Civic Centre to the Toronto District School Board in return for the Toronto District School Board lands adjacent to the existing Etobicoke Civic Centre;

b.  identify third-party tenants to occupy unplanned office space in new Etobicoke Civic Centre and the potential to use such revenue sources to secure recoverable debt;

c.  identify other sources of capital including grants and financing programs available from the Provincial and Federal Governments; and

d.  maximize density opportunities within the appropriate City Planning context on City-owned property at Bloor/Islington, Westwood Theatre Lands, and current Etobicoke Civic Centre.

3. City Council direct the Deputy City Manager, Corporate Services, in collaboration with CreateTO, to apply ModernTO standards in planning office space requirements at the new Etobicoke Civic Centre.

4. City Council direct the Deputy City Manager, Corporate Services and CreateTO to consult with relevant stakeholders regarding the Etobicoke Civic Centre relocation initiative, including members of the Etobicoke York Community Council and impacted City Divisions, Agencies and Corporations.

5. City Council direct CreateTO, in consultation with the Deputy City Manager, Corporate Services, to report back to the Board of Directors of CreateTO and City Council in the fourth quarter of 2021 on the results of the Phase Three work, including tendered cost estimates, proposed funding model, and final business case including complete financials for the overall project with the recommended contract award.

At its meeting on November 25, 2019, the Board of Directors of CreateTO considered Item RA9.4 - Relocation of the Etobicoke Civic Centre - Update and Next Steps and made recommendations to City Council.

The purpose of the report (November 15, 2019) from the Chief Executive Officer, CreateTO is to inform the Board of Directors of CreateTO (the "Board") and City Council regarding the results of the work completed for Phase Two of the Major Capital Project Approval Process and to request City Council approval to proceed with Phase Three at a cost of $26.13 million, including Detail Design, Contract Documents and Tender. Upon receipt of a positive recommendation by the Board, this report will be transmitted to City Council for approval.

This report seeks to reinforce the Board and City Council's commitment to relocate the existing, outdated Etobicoke Civic Centre to the Westwood Theatre Lands as an integral City Building initiative. The establishment of this new civic centre will provide much needed services for a growing West District and act as a catalyst for revitalization of the Etobicoke City Centre. Additional social, economic, and financial benefits include:

- New civic and community infrastructure, including a recreation centre, library, childcare, and public square;

- Replacement of the existing old, functionally obsolete and costly Etobicoke Civic Centre facility;

- Positioning of municipal services at a transit hub, improving access for residents, staff and visitors;

- Improved public realm through internationally renowned, state of the art design;

- Support for TransformTO by building a Net-Zero community and incorporation of district energy systems;

- Support for ModernTO with efficient municipal office spaces and redistribution of jobs to Etobicoke;

- Prudent financial plan with significant funding contributed from unlocking underutilized City-owned land in the West District.

In November 2017, City Council accepted the selection of the winning design for the new Etobicoke Civic Centre and directed staff to proceed with Phase Two of the Major Capital Project Approval Process ("Phase Two"). Completed Phase Two activities include stakeholder consultations, detailed building program, site investigation, schematic design, class C cost estimates and updated project budget schedule. Details respecting these activities are provided in this report.

If approved by Council, CreateTO, in consultation with City staff, will proceed to Phase Three of the Major Capital Project Approval Process ("Phase Three"), which includes Detail Design, Contract Documents and Tender. Staff will report back to the Board and City Council in the fourth quarter of 2021 with the results of the Phase Three work, including tendered cost estimates, proposed funding model, and final business case for the overall project with the recommended contract award.