Item - 2022.CC41.11

City Council on March 9, 2022, adopted the following:

1. City Council adopt the confidential instructions to staff in Confidential Attachment 1 to the report (March 2, 2022) from the City Solicitor.

2. City Council authorize the public release of the confidential instructions to staff in Confidential Attachment 1 and Confidential Appendices A and B to the report (March 2, 2022) from the City Solicitor.

3. City Council direct that the balance of Confidential Attachment 1 to the report (March 2, 2022) from the City Solicitor remain confidential as it contains advice that is subject to solicitor-client privilege and litigation privilege.

The confidential instructions to staff in Confidential Attachment 1 to the report (March 2, 2022) from the City Solicitor, were adopted by City Council and are now public as follows:

1. City Council accept the without prejudice settlement offer dated February 28, 2022 in Confidential Appendix A to the report (March 2, 2022) from the City Solicitor, and the revised plans generally in accordance with Confidential Appendix B to the report (March 2, 2022) from the City Solicitor, for the lands municipally known as 1521 Queen Street West (the "Site"), subject to Part 2 to 7 below.

2. City Council authorize the City Solicitor and appropriate City Staff to attend the Ontario Land Tribunal hearing in support of the revised development proposal as described in the settlement offer and the revised plans in accordance with Confidential Appendices A and B to the report (March 2, 2022) from the City Solicitor.

3.  Should the Ontario Land Tribunal allow the appeal in whole or in part, City Council accept cash-in-lieu of a parkland contribution pursuant to Section 42 of the Planning Act and Chapter 415, Article III of the Toronto Municipal Code.

4. Should the Ontario Land Tribunal allow the appeal in whole or in part, City Council authorize the City Solicitor to request the Ontario Land Tribunal to withhold the issuance of any final Order(s) until such time as the Ontario Land Tribunal has been advised by the City Solicitor that:

a. the final form of the Zoning By-law Amendments are to the satisfaction of the Director, Community Planning, Toronto East York District and the City Solicitor, in consultation with the Chief Engineer and Executive Director, Engineering and Construction Services, and other appropriate divisions;

b. the owner has entered into an Agreement pursuant to Section 37 of the Planning Act, and any other necessary agreements, satisfactory to the Chief Planner and Executive Director, City Planning and the City Solicitor, with such agreement(s) registered on title to 1521 Queen Street West, in a manner satisfactory to the City Solicitor to secure the matters set out in Part 5 below;

c. revised Landscape Plans have been submitted that are in a form and with content satisfactory to the Chief Planner and Executive Director, City Planning, the General Manager of Parks, Forestry and Recreation and the City Solicitor; and

d. the owner has made satisfactory arrangements for the withdrawal of its appeal of Official Plan Amendment 445 (Parkdale Main Street and West Queen West Site and Area Specific Policy) and associated Zoning By-laws.

5. City Council authorize the entering into of an Agreement pursuant to Section 37 of the Planning Act, satisfactory to the City Solicitor to secure the following matters at the Owner's expense as a legal convenience to support the development:

a. a cash contribution of one million dollars ($1,000,000.00) to the City's Capital Revolving Reserve Fund for Affordable Housing, to be paid prior to the earlier of issuance of notice of approval conditions for site plan approval for the development, issuance of the first building permit for the construction of the development, or eighteen (18) months from the date of Council endorsement of the Settlement Offer, to be allocated towards the City’s Multi-Unit Residential Acquisition Program to facilitate the acquisition of affordable housing in the Parkdale neighbourhood;

b. the cash contribution referred to in Part 5.a. above shall be indexed upwardly in accordance with the Statistics Canada Residential Building Construction Price Index for the Toronto Census Metropolitan Area, reported quarterly by Statistics Canada in Building Construction Price Indexes Table 18-10-0135-01, or its successor, calculated from the date of the Agreement to the date of payment;

c. a cash contribution of two-hundred thousand dollars ($200,000.00) for tenant compensation and reasonable administration costs to be allocated to the 2022 Approved Operating Budget for Shelter, Support and Housing Administration and to be paid upon the execution and registration of the Section 37 Agreement and upon the issuance of a Final Order by the Tribunal approving the development, and administered in accordance with an agreement between the City and the Parkdale Neighbourhood Land Trust;

d. any remaining unused and unallocated funds referred to in Part 5.c. above shall be allocated towards the City’s Multi-Unit Residential Acquisition Program to facilitate the acquisition of affordable housing in the Parkdale neighbourhood;

e. the following transportation demand management measures to support the development:

i. a payment of fifty thousand dollars ($50,000.00) payable to the City prior to first above grade building permit to provide a new bike-share station on the Site or the surrounding area;

ii. one car-share membership per unit, offered in the first five years of occupancy;

iii. one bike-share membership per unit, offered in the first five years of occupancy;

iv. one pre-loaded Presto card ($150.00 value) per unit, offered in the first five years of occupancy; and

v. a minimum of one bike repair station provided on the Site;

f. the owner shall provide and maintain the residential dwelling units on the Site, once constructed, as rental dwelling units, together with the associated facilities and amenities, for a period of at least twenty (20) years beginning from the date of first residential occupancy with no applications for demolition or conversion from residential rental use made during such twenty (20) year period, to the satisfaction of the Chief Planner and Executive Director, City Planning and the City Solicitor; and

g. the owner shall at the time of and through the Site Plan Approval process for the proposed development secure improvements to the architecture and materiality of the building.

6. City Council acknowledge that an application under Chapter 667 of the City’s Municipal Code, “Residential Rental Property Demolition and Conversion Control” pursuant to Section 111 of the City of Toronto Act, 2006 is not required for the development proposal on the Site, and that the settlement offer referred to in Part 1 above and matters secured in the section 37 agreement referred to in Part 5 above, once secured, will comprehensively resolve any rental housing replacement issues in respect of the redevelopment of the Site; the Owner or any subsequent owners of the Site will have no further obligations to the City with respect to dwelling unit and/or dwelling room replacement in respect of the redevelopment of the Site and any matters arising prior to the date of this settlement offer.

7. City Council increase the 2022 Approved Operating Budget for Shelter, Support and Housing Administration on a one-time basis by up to $200,000.00 gross, $0 net, for transfer to Parkdale Neighbourhood Land Trust for the purposes of distributing compensation to former tenants and reasonable administration costs (Cost Centre: FD5101) fully funded by Section 37 (Planning Act Reserve Funds) community benefits from the development at 1521 Queen Street West (account number 220096), in the amount of $200,000.00.

8. City Council approve forwarding up to a maximum of $200,000.00 to the Parkdale Neighbourhood Land Trust, subject to the Parkdale Neighbourhood Land Trust signing an agreement with Shelter, Support and Housing Administration governing the transfer of the funds to tenants and administration requirements.

9. City Council authorize and direct the City Solicitor to take the necessary action to give effect to City Council's decision.

Confidential Appendices A and B to the report (March 2, 2022) from the City Solicitor are now public and can be accessed under Background Information (City Council).

The balance of Confidential Attachment 1 to the report (March 2, 2022) from the City Solicitor remains confidential in accordance with the provisions of the City of Toronto Act, 2006, as it contains advice that is subject to solicitor-client privilege and litigation privilege.