Item - 2022.CC43.20

City Council on May 11 and 12, 2022, adopted the following:

1. City Council adopt the confidential instructions to staff in Confidential Attachment 1 to the report (May 3, 2022) from the City Solicitor.

2. City Council authorize the public release of the confidential instructions to staff in Confidential Attachment 1 to the report (May 3, 2022) from the City Solicitor.

3. City Council authorize public release of Confidential Attachments 2 and 3 to the report (May 3, 2022) from the City Solicitor.

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

The confidential instructions to staff in Confidential Attachment 1 to the report (May 3, 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 April 30, 2022, in Confidential Attachment 2 to the report (May 3, 2022) from the City Solicitor and as generally shown on the Revised Plans dated April 29, 2022, in Confidential Attachment 3 to the report (May 3, 2022) from the City Solicitor, subject to Parts 2 to 7 set out below.

2. City Council authorize the City Solicitor and appropriate City Staff to attend the Ontario Land Tribunal hearing on this matter in support of the revised proposal as set out in the without prejudice Settlement Offer dated April 30, 2022, in Confidential Attachment 2 to the report (May 3, 2022) from the City Solicitor and as generally shown on the Revised Plans dated April 29, 2022, in Confidential Attachment 3 to the report (May 3, 2022) from the City Solicitor.

3. City Council approve the use of the over-dedication credit of 669.84 square metres of off-site parkland (the "Over-Dedication Credit"), which is related to the on-site parkland dedication for the rezoning approval for the property municipally known as 30 and 44 Zorra Avenue and that was secured in Section 4 of the Section 37 Agreement dated July 14, 2020 between Zorra Street Developments Inc. and the City (Instrument AT5503632) (the "30 and 44 Zorra Section 37 Agreement"), with such Over-Dedication Credit to be applied to the Applicant's parkland dedication requirements pursuant to Section 42 of the Planning Act for the proposed redevelopment of the Subject Site, which is identified as a Benefiting Future Development pursuant to the terms of that Agreement; City Council require that any parkland dedication remaining after the application of the Over-Dedication Credit shall be satisfied by the Applicant through payment of cash-in-lieu or off-site parkland dedication, to the satisfaction of the General Manager, Parks, Forestry and Recreation; and  City Council require, pursuant to section 4.3 of the 30 and 44 Zorra Section 37 Agreement, that as a condition of the application of the Over-Dedication Credit the Applicant must complete the following prior to any final approval of the Applicant's Zoning By-law Amendment for the Site, all to the satisfaction of the City Solicitor:

a. the Applicant shall:

i. if the Applicant is not Zorra Street Developments Inc., provide a solicitor's corporate opinion confirming that it is a Zorra Street Developments Inc. entity, authorized to benefit from the Over-Dedication Credit by Zorra Street Developments Inc., to the satisfaction of the City Solicitor;

ii. provide a sworn acknowledgement to the General Manager, Parks, Forestry, and Recreation confirming the amount of the Over-Dedication Credit that has been used; and

iii. acknowledge in a development agreement (with the appropriate agreement to be determined by the City Solicitor) for the Zoning By-law Amendment application for the Subject Site the extent to which the Applicant has drawn on the Over-Dedication Credit.

4. City Council authorize the City Solicitor to enter into an Agreement pursuant to Section 37 of the Planning Act as follows:

a. the community benefits recommended to be secured in the Section 37 Agreement are as follows:

i. an indexed cash contribution of $1,200,000 to be paid by the Application prior to the issuance of the first above-grade building permit for the proposed development, to be allocated to the following to the satisfaction of the Chief Planner and Executive Director, City Planning, in consultation with the local Ward Councillor:

a. streetscape improvements along The Queensway through the Shop the Queensway Business Improvement Area;

b. traffic control and street improvement measures for The Queensway, including but not limited to road safety and local traffic calming and future bicycle lanes;

c. improvements to local parks and trails located in Ward 3, including but not limited to The Queensway Park and Mimico Park Trail;

d. the provision of not-for-profit daycares in Ward 3; and

e. affordable housing units;

ii. in the event that the cash contribution in Part 4.a.i. above has not been used for the intended purpose within two (2) years of the Zoning By-law Amendment coming into full force and effect, the cash contribution may be redirected for another purpose at the discretion of the Chief Planner and Executive Director, City Planning, in consultation with the local Ward Councillor; and

b. the following are also recommended to be secured in the Section 37 Agreement as a legal convenience to support development:

i. the conveyance by the Applicant to the City of a road widening of 0.4 metres along the St. Lawrence Avenue frontage of the Subject Site;

ii. the Applicant shall shall construct and maintain the development of the site in accordance with Tier 1, Toronto Green Standard (Version 3), and the Applicant will be encouraged to achieve Tier 2, Toronto Green Standard, or higher, where applicable, consistent with the performance standards of Toronto Green Standards applicable at the time of the Site Plan Application for the building on the Subject Site;

iii. the Applicant shall satisfy the requirements of the Toronto District School Board regarding warning clauses and signage with respect to school accommodation issues;

iv. the Applicant shall provide a minimum of 10 percent of the dwelling units on the lands must be three-bedroom units and a minimum of 20 percent of the dwelling units on the lands must be two-bedroom units;

v. the Applicant shall secure any required noise mitigation measures identified in the peer review of the Environmental Noise Assessment and Odour Review – Letter of Opinion and the Applicant shall construct and maintain any such required noise mitigation measures, with such design to be secured through the Site Plan Application review process, all to the satisfaction of the Chief Planner and Executive Director, City Planning; and

vi. the Applicant shall secure any required wind mitigation measures identified in the peer review of the wind tunnel test and statistical wind analysis and the Applicant shall construct and maintain any such required wind mitigation measures, with such design to be secured through the Site Plan Application review process, all to the satisfaction of the Chief Planner and Executive Director, City Planning.

5. City Council authorize the City Solicitor to request the Ontario Land Tribunal to issue an Order containing the following:

a. the final form and content of the draft Official Plan and Zoning By-law Amendments to the satisfaction of the City Solicitor and the Chief Planner and Executive Director, City Planning, and containing the following provisions:

i. a minimum of 10 percent of the dwelling units on the lands must be three-bedroom units and a minimum of 20 percent of the dwelling units on the lands must be two-bedrooms unit;

ii. the residential use of the four (4) live/work units shall be restricted to the second storey of the live/work units and the work portion with the commercial/retail use shall be located in the ground floor of the live/work unit fronting The Queensway; and

iii. any mitigation and/or restrictions on the proposed built form to address the accepted and peer reviewed Environmental Noise Assessment and Odour Review – Letter of Opinion, and wind tunnel test, and statistical wind analysis satisfactory to the Chief Planner and Executive Director, City Planning; and

b. direction that the applicable community benefits and other matters in support of the development identified in Part 4 above, are to be secured in a Section 37 Agreement executed by the Applicant and the City and registered on title to the Subject Site, all to the satisfaction of the City Solicitor and the Chief Planner and Executive Director, City Planning.

6. City Council require the Applicant to complete the following matters prior to the Ontario Land Tribunal hearing and, in the event that one or more of these matters has not been completed by the Applicant, City Council authorize the City Solicitor to request, at the City Solicitor's discretion, the Ontario Land Tribunal to withhold its final Order until such time as the Ontario Land Tribunal has been advised by the City Solicitor that the outstanding matters have been completed or to request that the Ontario Land Tribunal impose as part of the Zoning By-law Amendment a Holding (H) Symbol be placed on the Subject Site until such time as the outstanding matters have been completed, all to the satisfaction of the City Solicitor:

a. the Applicant has provided a revised Functional Servicing Report, including confirmation of water and fire flow, sanitary, and storm water capacity, and Storm Water Management Report to the satisfaction of the Chief Engineer and Executive Director, Engineering and Construction Services, in consultation with the General Manager, Toronto Water;

b. the Applicant has submitted a revised Transportation Impact Study and Parking Utilization Justification Study to the satisfaction of the General Manager, Transportation Services;

c. the Applicant has made satisfactory arrangements with the City and has entered into the appropriate agreements for the design and construction of any improvements to the municipal infrastructure, should it be determined that upgrades are required to the infrastructure to support the development, according to the accepted Functional Servicing Report, Storm Water Management Report, Transportation Impact Study and Parking Utilization Justification Study accepted by the Chief Engineer and Executive Director, Engineering and Construction Services, in consultation with the General Manager, Toronto Water and the General Manager, Transportation Services;

d. the Applicant has provided space within the development for installation of maintenance access holes and sampling ports on the private side, as close to the property line as possible, for both the storm and sanitary service connections, in accordance with the Sewers Chapter 681-10 of the Municipal Code, to the satisfaction of the Chief Engineer and Executive Director, Engineering and Construction Services;

e. the Applicant has submitted a revised Landscape Concept Plan, Soil Volume Plan and Tree Preservation Plan, and all tree preservation matters are resolved, all to the satisfaction of the General Manager, Parks, Forestry, and Recreation;

f. both the submitted Environmental Noise Assessment and the Odour Review – Letter of Opinion have been peer reviewed by third-party consultants retained by the City of Toronto at the Applicant's expense and the Applicant has secured any mitigation measures and recommendations of the peer review, including obtaining City Council's approval to identify the Subject Site as a Class 4 Property, and with the design of any required mitigation measures to be secured through the site plan application review process, all to the satisfaction of the Chief Planner and Executive Director, City Planning; and

g. the Applicant has submitted updated Wind Studies, including a wind tunnel test complete with a statistical wind analysis to determine the impacts and efficacy of the recommended wind mitigation measures, with the design and construction of any required mitigation measures to be secured through the site plan application review process, all to the satisfaction of the Chief Planner and Executive Director, City Planning.

7. City Council authorize the City Solicitor and appropriate City staff to take such necessary steps, as required, to implement City Council's decision.

Confidential Attachments 2 and 3 to the report (May 3, 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 (May 3, 2022) from the City Solicitor remains confidential at this time in accordance with the provisions of the City of Toronto Act, 2006, as it contains advice that is subject to solicitor-client privilege. The balance of Confidential Attachment 1 to the report (May 3, 2022) from the City Solicitor will be made public at the discretion of the City Solicitor.