Board Meeting - November 28, 2001

B. Ashton (Chair), J. Mihevc, N. Kelly, H. Moscoe, S. Shaw and G. Altobello (Commissioners), R. Ducharme (Chief General Manager), V. Rodo (General Manager - Executive & General Secretary), G. Webster (General Manager – Operations), J. Sepulis (General Manager - Engineering & Construction), L. Hilborn (Deputy General Manager - Corporate), B. Leck (General Counsel), M. Walker (Chief Security Officer), A. Chocorlan (Manager - Materials & Procurement), M. Roche (Chief Financial Officer), S. Blakey (Manager - Human Resources), R. Hughes (Chief Marketing Officer), M. Stambler (Manager - Service Planning), W. Buffett (Assistant General Secretary), and F. Stanois (Coordinator - Secretariat Services) were present.

B. Ashton was in the Chair.

M. Anders, Market Research Director, Marketing & Public Affairs Department was present for Item #6.

R. Thacker, General Superintendent - Wheel-Trans was present for Item No. 7.

C. Wheeler, Manager - Property Development was present for Item No. 33.

Commissioner Altobello declared an interest with respect to Item #40 entitled, "Operation of Commuter Parking Lots - Proposal No. M26H01088", as he is a member of the Toronto Parking Authority:

Commissioner Altobello took no part in the discussions or decisions made by the Commission concerning this matter.

On Motion Of Commissioner Moscoe, The Commission Approved The Minutes From Meeting No. 1803 And Authorized The Chair And General Secretary To Sign The Same, Subject To Amending Item No. 21B) Entitled, "Accessible Ticket Agent Locations" By Adding The Words "The Commission Approved Commissioner Moscoe's Motion" At The End Of The Item.

Nil

Nil

a) Report #33 - Commuter Parking Lot Pricing Strategies

Lina Tonon

The Commission Received The Deputation.

(See Report No. 33 For Minute)

a) CC-1 - Commissioner Moscoe dated

November 23, 2001 Re: Natural Gas as an Alternative Fuel

Commissioner Moscoe Moved That His Communication Be Referred To Staff To:

A) Design A Testing Program;

B) Estimate The Costs Of This Test.

The Commission Approved Commissioner Moscoe's Motion.

Commissioner Mihevc Moved The Following Motions:

1. That Staff Review The Scientific Literature On Air Quality Issues As They Relate To Natural Gas, Diesel And Other Emerging Fuel Technologies.

2. That Staff Review The Types Of Fuel Used In Other Large Transit Authorities With Projections For The Future.

The Commission Approved Commissioner Mihevc's Motions.

1. Award of Merit Presentations

Chair B. Ashton introduced Operator Alex Villanueva who on August 17, 2001 was travelling to work and noticed a man standing on the railing of the Laird Bridge ready to jump. Operator Villanueva stopped his car and along with other people attempted to talk the man down from the railing. The man came down from the railing and at that precise time Operator Villanueva lunged toward the man and held him. Operator Villanueva then took the man to his car to await the arrival of Police. Police later attended and escorted the man to hospital.

On behalf of the Commission, Chair Ashton then presented Operator Villanueva with an Award of Merit in recognition of his actions.

2. Chair Brian Ashton to Rick Ducharme re: Ajax Pickering Transit Authority Incident on September 10, 2001

The Commission had before it a communication dated November 2, 2001 from Chair B. Ashton to Councillor M. Brenner Co-Chair Ajax Pickering Transit Authority thanking him for his letter following the troubles experienced by the Transit Authority on September 10, 2001.

The Commission Received The Communication.

3. Internal Audit

The Commission Deferred Consideration Of This Matter Until Its Next Meeting.

4. 2002-2006 Capital Program and 10-Year Capital Forecast

The Commission Received An Overhead Slide Presentation From R. Ducharme, Chief General Manager Concerning This Matter.

Chair Ashton Moved Adoption Of The Recommendations Contained In The Report.

The Commission Approved Chair Ashton's Motion.

Commissioner Mihevc Moved The Following Motions:

1. That Staff Be Requested To Report Back To The Commission In December 2001 On Ways And Means To Adjust The Capital Budget For 2002 And Beyond To Provide For The Scheduled Completion Of Easier Access Phase Ii In 2004.

2. That Staff Be Requested To Report Back To The Commission In December 2001 On Ways And Means To Integrate Into The 2002 Capital Budget The Next Steps Related To Subway Expansion.

The Commission Approved Commissioner Mihevc's Motions.

Commissioner Moscoe Moved The Following Motions:

1. That Staff Review The Feasibility Of Creative Utilization Of Section 37 Under The Planning Act For Assistance To Transit.

2. That Staff Review The Model That The 905 Region Has Used For Development Levies To Fund Public Transit i.e. Go Transit, And Make Recommendations With Respect To Development Levies For Public Transit Related Projects Within The City Of Toronto.

The Commission Approved Commissioner Moscoe's Motions.

Commissioner Shaw Moved That The Province Of Ontario Be Requested To Amend The Planning Act To Provide For Transit Benefits Under Section 37 And That This Request Be Referred To The City Planning And Transportation Committee For Consideration And A Report Thereon.

The Commission Approved Commissioner Shaw's Motion.

5. Procurement Authorization - Purchase of 220 Low-Floor Diesel City Buses

It is recommended that the Commission authorize the award of a contract to Orion Bus Industries, A Division of Freightliner Ltd., in the amount of $113,421,246.88 for the supply of 220

forty-foot low floor diesel city buses, subject to City of Toronto project funding approval.

Approved

Commissioner Moscoe Moved That City Council Be Urged To Support The Purchase Of The 220 Low-Floor Diesel Buses Detailed In The Aforementioned Report.

The Commission Approved Commissioner Moscoe's Motion.

6. 2002 TTC Operating Budget

The Commission Received Overhead Slide Presentations From V. Rodo, General Manager - Executive & General Secretary, M. Anders, Market Research Director, Marketing & Public Affairs Department And M. Stambler, Manager, Service Planning Department Concerning This Matter.

Commissioner Moscoe Moved Adoption Of The Recommendations Contained In The Report.

Commissioner Mihevc Moved That Recommendation No. 2 be amended by adding the words "and request the budget advisory committee and city council for a funding allocation of $169.6 Million In Order To Avoid A Fare Increase And/Or Service Cuts.

Chair Ashton Called For A Vote On Commissioner Mihevc's Motion.

The Commission Approved Commissioner Mihevc's Motion.

Chair Ashton Then Called For A Vote On Commissioner Moscoe's Motion, As Amended.

The Commission Approved Commissioner Moscoe's Motion, As Amended.

7. 2002 Wheel-Trans Operating Budget

The Commission Received An Overhead Slide Presentation From R. Thacker, General Superintendent, Wheel-Trans Concerning This Matter.

Commissioner Mihevc Moved That Recommendation No. 1 Be Amended By Striking Out "$46.3m" And "45.1m" And Replacing In Lieu Thereof "$46.7m" And "$45.5m" And Further Adding The Words "And Further Strive For A 2% Unaccommodated Rate By Maintaining The Percentage Of Trips Through Accessible Vehicles."

Chair Ashton Called For A Vote On Commissioner Mihevc's Motion.

Chair Ashton, Commissioner Moscoe, Commissioner Altobello And Commissioner Mihevc Voted In Favour. Commissioner Kelly Was Opposed. The Motion Therefore Carried On A 4 - 1 Vote.

Commissioner Shaw Was Not Present To Vote On The Foregoing Motion.

Chair Ashton Moved Adoption Of The Recommendations Contained In The Report, As Amended.

The Commission Approved Chair Ashton's Motion.

8. Chief General Manager's Report Period 9 September 2 to October 6, 2001

It is recommended that the Commission:

(1) receive for information the attached Executive Summary of the Chief General Manager's (CGM's) report covering the period September 2 to October 6, 2001, noting that:

• 2001 TTC Operating Budget

At this time, it is expected that the slowing economy and fallout from the September 11 tragic events will result in a ridership of only 418 million rather than the 422 million previously projected. At the 418 million level, passenger revenues would be only $634 million, rather than the $640 million previously forecast. Consequently, a shortfall in the order of $6 million is currently projected.

We will continue to monitor the situation closely and, at year-end, request a draw from the Riders Reserve necessary to offset this unexpected downturn in ridership.

• 2001 Wheel-Trans Operating Budget

The current projected year-end unaccommodated rate for Wheel-Trans remains at 3.5% and there is no projected budget shortfall.

• 2001 - 2005 Capital Program

The 2001 year-end cash flow is currently projected to be under budget by approximately $14.8 million; and

(2) forward a copy of this cover report and the Executive Summary to each City Councillor for information (noting that the detailed CGM's report is available on request from the Office of the General Secretary of the Commission).

Adopted

9. Procurement Authorization Sheppard Subway Department Consultant Services Contract Delcan Hatch

It is recommended that the Commission authorize additional funding in the amount of $4,602,000 for the contract with Delcan-Hatch for the continuation of consultant services for the Sheppard Subway Project for the period from January 1, through to December 31, 2002, bringing the total authorized amount to $143,334,471.

Approved

10. Procurement Authorization Sheppard Subway Structure Finishing - Contract SH-00-C6 Contract Change No. SH-00-C6-10

It is recommended that the Commission approve a Contract Change for Contract SH-00-C6, Structure Finishing, in the amount of $149,375.91 for the addition of post contract maintenance services for Leslie and Don Mills Stations bringing the total authorized for this change to $199,375.91.

Approved

11. Procurement Authorization Sheppard Subway Supervisory Control and Communication Installation Contract SH-00-X08 Change Directive No. 8 for Cabling Revisions

It is recommended that the Commission authorize funds in the amount of $130,000 for Change Directive No. 8 to Black & McDonald Ltd. bringing the total authorized amount of this Change Directive to $145,000.

Approved

12. Procurement Authorization Consulting Engineering Services Precast Concrete Tunnel Liner Evaluation and Rehabilitation Contract G85-121 Contract Amendment No. 2

It is recommended that the Commission authorize Contract Amendment No. 2 to Hatch Mott MacDonald in the amount of $748,000.00, bringing the total authorized amount to $972,100.00 for Contract G85-121 - Consulting Engineering Services - Precast Concrete Tunnel Liner Evaluation & Rehabilitation. This amount is required for the engineering services during detailed design and construction.

Approved

13. Procurement Authorization Consulting Engineering Services Scarborough RT Elevated Structure Rehabilitation Evaluation & Rehabilitation Contract J85-19 - Contract Amendment No. 1

It is recommended that the Commission authorize Contract Amendment No. 1 to Hatch Mott MacDonald in the amount of $420,293.00 bringing the total authorized amount to $620,293.00 for Contract J85-19 - Consulting Engineering Services - SRT Elevated Structure Evaluation & Rehabilitation. This amount is required for the detailed design and construction support services.

Approved

14. Procurement Authorization Birchmount Garage - Outdoor Bus Storage Contract E3-15 Contract Change E3-15-7 Rev.1

It is recommended that the Commission authorize an increase in the amount of $35,000.00 for Change Directive E3-15-7 Rev. 1 to Ashbridge Construction Incorporated bringing the total amount authorized to $135,000.00 in order to facilitate changes required for the Birchmount Garage Fleet Accommodation Program.

Approved

15. Procurement Authorization New Maintenance Facility T1 Cars (Wilson/Davisville) Electrical Upgrades Contract AW-18-E2

It is recommended that the Commission authorize acceptance of the proposal submitted by The State Group Limited in the amount of $611,700.00 for Contract AW-18-E2 - Electrical Upgrades.

Approved

16. Procurement Authorization Contract No. G85-136 Contract Amendments Geo-Environmental, Geotechnical, and Hydrogeological Biennial Services

It is recommended that the Commission authorize:

(a) additional funds in the total amount of $420,000, comprised of Barenco Inc., G35-136 - $85,000, Conestoga Rovers & Associates (CRA) G85-136A - $260,000, Jacques Whitford (JW) G85-136B - $50,000 and Barenco Inc. (Barenco) C31K0754 - $25,000, bringing the total authorization to $2,020,000, and;

(b) a one year extension of time to March 31, 2003 to each company for geo-environmental, geotechnical and hydrogeological services.

Approved

17. Procurement Authorization Easier Access Phase II TPA Connection at Dundas Station Contract S2-14 Purchase Order Amendment

It is recommended that the Commission authorize Contract Amendment S2-14-1 in the amount of $292,937.04 for work within the Toronto Parking Authority (TPA) Garage bringing the total authorization required for Contract S2-14 to $1,307,309.76.

Approved

18. Procurement Authorization - The Supply of Integrated Computer Hardware, Software, Office Equipment and Services

It is recommended that the Commission authorize awarding upset limit contracts for the Supply of Integrated Computer Hardware, Software, Office Equipment and Services for a thirty-six month period commencing December 1, 2001, to:

1) GE Capital Information Technology Solutions, Inc. in the amount of $13,075,000 for the requirements in:

• Integrated PC Hardware

• Internetworking Equipment

• Business Productivity Software

• Integrated PC Hardware - Off Warranty Repair Service; and

2) 4 Office Automation Ltd. in the amount of $1,535,000 for the requirements in:

• Photocopier Equipment

• Facsimile Equipment

• Photocopier - Off Warranty Repair Service

• Facsimile - Off Warranty Repair Service

Approved

19. Procurement Amendment Authorization - Advertising on the TTC

It is recommended that the Commission approve an amendment to the existing advertising contract with Transportation Displays Incorporated (TDI) to add the right to sell printed advertising in the five Sheppard Line Subway Stations (Yonge, Bayview, Bessarion, Leslie and Don Mills).

Approved

20. Procurement Authorization Design and Supply of Speed Control System

It is recommended that the Commission authorize the award of a contract to Alcatel Canada Inc., Transport Automation Division, in the amount of $25,892,430.13, for the design and supply of a Speed Control System for the TTC's Subway System.

Approved

21. Procurement Authorization Purchase Order Amendment for

Communications and Information System (CIS) Cellular Services

Commissioner Moscoe Moved Adoption Of The Recommendation Contained In The Report, Subject To Staff Meeting With Bell To Attempt To Reduce The Lease Rate.

The Commission Approved Commissioner Moscoe's Motion.

Commissioner Moscoe Moved That Staff Be Requested To Undertake A Review Of Cellular Phone Usage At The Commission.

Chair Ashton Moved An Amendment To Commissioner Moscoe's Motion That The Review Also Include Consideration Of Security Requirements In The Provision Of A Communication System At The TTC.

Chair Ashton Called For A Vote On His Motion.

The Commission Approved Chair Ashton's Motion.

Chair Ashton Then Called For A Vote On Commissioner Moscoe's Motion, As Amended.

The Commission Approved Commissioner Moscoe's Motion, As Amended.

22. Eglinton Bus Terminal Replacement Temporary Bus Terminal Conceptual Layout Approval

It is recommended that the Commission approve the conceptual layout of Eglinton Temporary Bus Terminal located within the Eglinton Bus Garage.

Approved

23. Purchase of Luminator Parts

It is recommended that the Commission authorize for inventory, additional authority in the amount of $175,000 for the additional supply of Luminator parts for the period ending December 31, 2003 from Mark IV Industries-Luminator, resulting in a revised upset limit of $548,000 including applicable taxes.

Approved

24. Purchase of Paint Supplies

It is recommended that the Commission authorize the following:

1) The award of three year inventory supply contracts for paint supplies to the following companies with a combined upset limit of $2,000,000 including applicable taxes for the period from December 2001 to November 2004:

• Fincham Automotive Supplier to be initially allocated a contract for $1,600,000 for 32 part types.

• ICI Canada Inc. to be initially allocated a contract for $53,000 for 7 part types.

2) Authorize the Manager of Materials and Procurement to amend the above contracts within the total upset limit of $2,000,000.

Approved

25. Supply of Diesel Fuel for the Period of April 1, 2002 to March 31, 2003

It is recommended that the Commission approve exercising the option for the second year of the contract with Sunoco Inc. for the supply of up to 58 million litres of diesel fuel for a one year period from April 1, 2002 to March 31, 2003 in the total upset limit of $30.2 million, including all applicable taxes.

Approved

Commissioner Mihevc Moved That Staff Be Requested To Report On Ultra Low Sulphur Diesel Fuel Prior To Considering The Next Tender, Including Ways And Means It Can Be Incorporated Into The Next Tender Process.

The Commission Approved Commissioner Mihevc's Motion.

26. Supply of ERG Farebox Parts

It is recommended that the Commission authorize the award of a three year inventory supply contract for ERG Farebox Parts for the period from December 1, 2001 to November 30, 2004 to ERG Transit Systems for an upset limit amount of $1,400,000 including applicable taxes.

Approved

27. Supply of Knorr Brake Parts

It is recommended that the Commission authorize the awarding of an inventory supply contract for Knorr brake parts to Knorr Brake Limited for an upset limit amount of $10,500,000 including applicable taxes for the period from December 1, 2001 to November 30, 2004.

Approved

28. Sale and Removal of Various Mixed Metals for a One Year Period Commencing December 1, 2001 to November 30, 2002

It is recommended that the Commission authorize the award of a one year contract for the period of December 1, 2001 to November 30, 2002 for the sale of various scrap metals to the following two companies:

• Inland Iron and Metal

• Turtle Island Recycling

Approved

29. Procurement Authorization Sand Silo Systems Roncesvalles/Russell Carhouses and Hillcrest Sand Silo Upgrade Contract G35-18

It is recommended that the Commission authorize the acceptance of the tender submitted by Jeviso Contracting Ltd. in the amount of $298,658.80, for Contract G35-18 Sand Silo Systems - Roncesvalles/Russell Carhouses and Hillcrest Sand Silo Upgrade.

Approved

30. Procurement Authorization Upgrade/Replacement of Above Ground Tanks at Various Locations - Contract G60-77

It is recommended that the Commission authorize the acceptance of the tender submitted by W.A. Stephenson Contracting Limited in the amount of $448,000.00, and a specified option to provide Environmental Impairment Liability Insurance in the amount of $1,000.00, for a total of $449,000.00, for Contract G60-77 - Upgrade/Replacement of Above Ground Tanks at Various Locations.

Approved

31. Notice of Award of Procurement Authorization Transit Road Retaining Walls - Structure Repairs Contract A17-14

It is recommended that the Commission receive the notice of award of the Chair, Commissioner Moscoe and The Chief General Manager to authorize acceptance of the tender submitted by G.C. Romano Sons (Toronto) Limited (Romano) in the amount of $577,000.00, for Contract A17-14 - Transit Road Retaining Walls - Structure Repairs.

Approved

32. Summary of Authorized Expenditures for the Period September 2, 2001 to October 6, 2001

It is recommended that the Commission receive this report for information. It lists expenditures ($100,000 up to $200,000) for the period September 2, 2001 to October 6, 2001, which were approved by Senior Management.

Received

33. Commuter Parking Lot Pricing Strategies

C. Wheeler, Manager - Property Development Department gave an overhead slide presentation with respect to this matter.

After Hearing The Deputant, Commissioner Moscoe Moved Adoption Of The Recommendations Contained In The Presentation, As Listed Below:

1. Terminate Test Effective January 1, 2002.

2. Return To Pre September 4 Situation.

3. Convert From Cash Only To Metropass/Cash

4. Investigate Other Pricing Options.

The Commission Approved Commissioner Moscoe's Motion.

Commissioner Moscoe Also Moved The Following Motions:

1. That Staff Be Requested To Rectify The Situation At The Wilson West Commuter Parking Lot, Effective Immediately, To Allow For The Use Of Metropasses.

2. That Staff Be Requested To Set-Up A Consumer Panel Comprising Of Users Of The Commuter Parking Lots To Assist In Designing Future Policies.

3. That Staff Be Requested To Meet With Hydro One To Discuss Potential Alternatives To The Current Property Lease Arrangements In Order To Avoid The Payment Of Property Taxes.

The Commission Approved Commissioner Moscoe's Motions.

34. Technical Assistance for Information Technology Services for Integrated Database Management Systems Based Applications

It is recommended that the Commission:

1) authorize the award of a sole source contract to QLogitek for the supply of technical assistance for computer systems based on the Integrated Database Management System database manager for the period December 1, 2001 to November 30, 2004, and

2) authorize a purchase order to be awarded to QLogitek in the upset limit amount of $1,900,000.

Approved

35. 2002 Commission Meeting Schedule

It is recommended that the Commission approve the attached 2002 Commission Meeting Schedule.

Approved

36. Confirmation of Request for Travel - Subway Operations Track Maintenance

It is recommended that the Commission confirm the approval of the Chair, Vice-Chair and Chief General Manager to authorize acceptance of the travel request for Mr. Bruce Janes - Supervisor - Subway/SRT Track, Track & Structure Department, to attend the Roadbed and Rails, Subgrade Ballast and Rail Problems, Track Maintenance and Inspection training course presented by the Institute for Railroad Engineering in Wilmington, Delaware from November 11 to 16, 2001 at an estimated cost of $4,800.00.

Confirmed.

Nil

a) Procurement Authorization - Supply of

Rock Salt for the 2001-2003 Winter Seasons

The Commission had before it a memorandum dated November 28, 2001 from R. Ducharme, Chief General Manager entitled, "Staff Response to Commission Inquiry - Procurement Authorization - Supply of Rock Salt for the 2001-2003 Winter Seasons."

Commissioner Mihevc Moved That The Memorandum Be Received And That Staff Be Requested To Report Back In Six Months On Progress Made In Relation To Implementing The City Of Toronto's New Road Salt Management Plan.

The Commission Approved Commissioner Mihevc's Motion

C-1 P.M. Madill, Regional Clerk, Durham Region advising that Durham Council at its meeting on October 24, 2001 received for information, the TTC's correspondence and recommendations pertaining to the Rapid Transit Expansion Study.

The Commission Received The Communication For Information.

C-2 J. Brooks, Senior Planner, Transportation Planning and Research, Durham Region advising that the Regional Transit Coordinating Committee received the TTC's report entitled, "Screening of Option - Rapid Transit Expansion Study."

The Commission Received The Communication For Information.

C-3 The Honourable Paul Martin, Minister of Finance thanking Mr. Ducharme for his letter dated September 21, 2001, which enclosed a copy of a report on federal funding for transit in the United States.

The Commission Received The Communication For Information.

a) Committee of the Whole Resolution

The Commission Approved A Resolution By Commissioner Kelly To Meet As The Committee Of The Whole On Wednesday, December 19, 2001 To Deal With Litigation Or Potential Litigation Matters, Labour Relations Or Employee Negotiations And To Receive Advice Which Is Subject To Solicitor-Client Privilege.

b) Taxi Stands at Transit Facilities

Commissioner Moscoe Moved That The Memorandum Dated November 26, 2001 From R. Ducharme, Chief General Manager Entitled, "Taxi Stands At Transit Facilities" Be Placed On The Commission's Agenda For Its February 2002 Meeting, And That A Copy Be Forwarded To The Taxi Advisory Committee For Their Information And Consideration.

The Commission Approved Commissioner Moscoe's Motion.

40. Operation of Commuter Parking Lots - Proposal No. M26H01088

It is recommended that the Commission approve:

1. The issuance of a purchase order to the Toronto Parking Authority (TPA) in the total upset limit amount of $6,793,468.26 for the operation and maintenance of the Commission's commuter parking lots for a five and a half year term commencing January 1, 2002;

2. The issuance of a purchase order to the Toronto Parking Authority in the total upset limit amount of $172,000 for the purchase of 11 (eleven) Schlumberger DG-4 pay and display machines; and

3. Assigning the recently awarded commuter parking snow clearing contracts (Metro Sodding and Amac Paving) to the TPA to manage and administer.

Approved

The meeting adjourned at 4:25 p.m.

Nil