Board Meeting - July 10, 2002

B. Disero (Chair), S. Shaw (Vice-Chair), H. Moscoe, B. Ashton, D. Shiner, P. Li Preti, J. Flint and N. Kelly (Commissioners), R. Ducharme (Chief General Manager), V. Rodo (General Manager - Executive & General Secretary), G. Webster (General Manager – Operations), J. Sepulis (General Manager - Engineering & Construction), B. Leck (General Counsel), M. Walker (Chief Security Officer), A. Chocorlan (Manager - Materials & Procurement), R. Richardson (Chief Accountant - Treasury Services), 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. Disero was in the Chair.

R. Boutilier, Deputy General Manager - Surface Operations and D. Langley, Transit Coordinator, World Youth Day Office were present for Item No. 1.

Commissioner Moscoe declared an interest with respect to Item No. 10 entitled, "Purchase Order Amendment Authority - Technical Assistance for Information Technology Services", as his brother owns one of the companies listed in the report. Commissioner Moscoe took no part in the discussions or decisions made by the Commission concerning this matter.

Commissioner Li Preti Moved That The Commission Approve The Minutes From Meeting Nos. 1814 and 1815 And That The Chair And General Secretary Be Authorized To Sign The Same.

a) Commission Minutes No. 1814 -

Deputation a) - College Street Track Reconstruction

R. Ducharme, Chief General Manager advised that the Commission request for a report on whether the project could be accelerated from the 2006 to 2004 is addressed within the context of Item No. 18b) on the agenda. He further advised that the other reports that were requested will come forward at the September 25, 2002 Commission meeting.

The Commission Noted The Foregoing.

b) Commission Minutes No. 1815 -

Item No. 4 - Appointment of TTC Audit Committee

R. Ducharme noted the request by the Commission to bring forward a report on the possible establishment of further Sub-Committees. He indicated that it was his preference not to set-up any additional Sub-Committees, but to simply continue with the current informal practice of having the Commission members work directly with staff on any matters where they may have a specific interest or expertise.

The commission concurred with r. Ducharme's suggestion.

V. Rodo, General Manager - Executive & General Secretary raised the issue of the Commission forming a TTC Budget Committee.
The Commission Proceeded To Appoint Chair Disero, Commissioner Shiner And Commissioner Li Preti As Members Of The TTC Budget Committee.
V. Rodo, General Manager - Executive & General Secretary also distributed his communication dated April 16, 2002 detailing the planned 2003 budget schedule.
The Commission Received The Foregoing Communication For Information.

Nil

Nil

CC-1 Commissioner Brian Ashton - Response from N. Sterling,

Minister of Transportation Re: TTC's Renewal Funding Allocation

Commissioner Ashton submitted a communication dated June 7, 2002 from Norman Sterling, Minister of Transportation responding to his letter dated February 22, 2002 concerning the TTC's renewal funding allocation.

The Commission Received The Communication For Information.

1. World Youth Days - Status

R. Boutilier, Deputy General Manager - Surface Operations gave a PowerPoint presentation with respect to this matter.

The Commission Received The Presentation For Information.

Commissioner Shiner Moved That Chair Disero Be Directed To Formally Write To The Federal Government Requesting That They Fulfil Their Financial Commitment Of $2.5 Million To The TTC For The World Youth Day Event, And The Chair Also Call The Minister Responsible For The GTA Urging His Assistance In Expediting This Request.

The Commission Approved Commissioner Shiner's Motion.

Commissioner Li Preti noted his opposition to the foregoing motion.

Commissioner Ashton Moved That The Commission Thank Staff Involved With The World Youth Day Event For Their Effort, Skill And Professionalism In Preparing And Planning For The Transportation Component Of This Event.

The Commission Approved Commissioner Ashton's Motion.

2. Chief General Manager's Report - Period 5 - May 5 to June 1, 2002

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 May 5 to June 1, 2002 noting that:

• 2002 TTC Operating Budget

as reported in last period's CGM's report, the year-end shortfall is currently projected to be about $32 million; this will be funded through a $24 million draw from the Riders Reserve Fund and an $8 million reduction in the Contribution to Capital;

• 2002 Wheel-Trans Operating Budget

that the current expenditures are projected to be on budget but that the unaccommodated rate will average approximately 3 to 4% for 2002;

• 2002-2006 Capital Program

that the 2002 year-end cash flow is now projected to be $16.9 million under budget; 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

Chair Disero Moved That The CGM Report Be Referred To The TTC Budget Committee, With A Request That Staff Report Back On The Following Matters Raised By Commissioner Shiner When The Item Is Brought Forward For Consideration At The Committee:

1. The Difference Between Actual Deadhead Costs And Those Originally Estimated For The Opening Of The New Eglinton Garage, And Further What Action Is Being Taken To Reduce Those Costs Back To The Estimated Level; And

2. What Items In The Capital Budget May Be Impacted As A Result Of The Reductions In The TTC'S Operating Budget Contribution To Capital.

The Commission Approved Chair Disero's Motion.

3. Procurement Authorization - Contract M1-42

It is recommended that the Commission authorize the acceptance of the tender submitted by Gazzola Paving Limited in the amount of $357,998.00, for Contract M1-42.

Approved

4. Procurement Authorization Structural Pavement Rehabilitation - Main Station - Contract E1-5

It is recommended that the Commission authorize the acceptance of the tender submitted by Torbridge Construction Ltd. in the amount of $828,000.00 for Contract E1-5 - Structural Pavement Rehabilitation - Main Station.

Approved

5. Procurement Authorization - Supply of One Dual Side Load Packer Truck

It is recommended that the Commission authorize the acceptance of the proposal submitted by Freightliner Mid-Ontario Inc., and award of a contract in the amount of $231,167.60, for the supply of one dual side load packer truck.

Approved

6. Procurement Authorization New Maintenance Facility - T1 Cars (Wilson/Davisville) Davisville Carhouse - Elevated Floor Slab Rehabilitation Contract AW-18-J10

It is recommended that the Commission authorize acceptance of the tender submitted by Ross Clair/Division of R.O.M. Contractors Inc. (Ross Clair) in the amount of $270,000 for Contract AW-18-J10 - Davisville Carhouse - Elevated Floor Slab Rehabilitation.

Approved

7. Purchase of Spadina LRT Overhead Material

It is recommended that the Commission authorize the awarding of an inventory supply contract for MAC parts to MAC Products Incorporated for an upset limit of $265,000 including applicable taxes for the period from July 2002 to July 2005.

Approved

8. Purchase of Bombardier Parts

It is recommended that the Commission authorize for inventory, additional authority in the amount of $2,500,000 for the additional supply of Bombardier parts for the period ending January 2004 from Bombardier Inc. resulting in a revised upset limit of $5,500,000.

Approved

9. Purchase Order Amendment Authority - Qlogitek MMS Client Server Support

It is recommended that the Commission authorize a Purchase Order Amendment to Qlogitek to increase the upset limit of the existing contract for computer technical assistance services by $275,000 to a revised upset limit of $2,175,000.

Approved

10. Purchase Order Amendment Authority Technical Assistance for Information Technology Services

It is recommended that the Commission authorize the following in connection with the Global Technical Assistance contracts:

1) Purchase Order Amendment Authority #2 to Purchase Order PC34673 to decrease the upset limit by $52,200 to a total upset limit of $450,000 for Ajilon Canada;

2) Purchase Order Amendment Authority #2 to Purchase Order PC34692 to decrease the upset limit by $145,900 to a total upset limit of $320,000 for GE Capital I.T. Solutions;

3) Purchase Order Amendment Authority #3 to Purchase Order PC34671 to increase the upset limit by $1,840,000 to a total upset limit of $3,650,000 for Ian Martin Information Technology Inc.;

4) Purchase Order Amendment Authority #2 to Purchase Order PC34672 to increase the upset limit by $133,400 to a total upset limit of $710,000 for IT/Net Consultants;

5) Purchase Order Amendment Authority #2 to Purchase Order PC34742 to decrease the upset limit by $402,200 to a total upset limit of $100,000 for Pinstripe Consulting;

6) Purchase Order Amendment Authority #3 to Purchase Order PC34744 to increase the upset limit by $89,100 to a total upset limit of $280,000 for Project Management Recruiting;

7) Purchase Order Amendment Authority #2 to Purchase Order PC34693 to increase the upset limit by $597,200 to a total upset limit of $1,210,000 for Qlogitek; and

8) Purchase Order Amendment Authority #2 to Purchase Order PC34674 to decrease the upset limit by $49,400 to a total upset limit of $490,000 for The Employment Solution (T.E.S).

Approved
11. Procurement Authorization – Computer Associates Software Maintenance

It is recommended that the Commission authorize the single source purchase of software maintenance services provided by Computer Associates Canada Ltd., in the total amount of $361,436.69 (including taxes), for the period ending February 27, 2005.

Approved

12. Purchase Order Amendment Authority Mechanical Technical Consultant Services Purchase Order No. C13K0772

It is recommended that the Commission authorize to the existing Consultant, Hatch Mott MacDonald Limited (HMM), additional funds in the total upset limit amount of $525,000 and a three-year extension of time from July 31, 2002 to July 31, 2005.

Approved

13. Sheppard Subway Change Directive SH-00-C6-65 Installation of Bird Control Measures at the Don Mills Station Bus Terminal

It is recommended that the Commission authorize Change Directive SH-00-C6-65 to Grascan Construction Ltd. in the amount of $150,000 for the installation of bird control measures at the Don Mills Station Bus Terminal.

Approved

14. Approval of Unbudgeted Expenditure - 1.1 Subway Track

It is recommended that the Commission approve proceeding with an unbudgeted expenditure of $1,007,000 for the removal of track ballast at Broadview Crossover, which is contaminated with asbestos as well as steel filings and silt.

Approved

15. Summary of Authorized Expenditures for the Period May 5, 2002 to June 1, 2002

It is recommended that the Commission receive this report for information. It lists expenditures ($100,000 up to $200,000) for the period May 5, 2002 to June 1, 2002 which were approved by Senior Management.

Received

16. Amendment 2002 Commission Meeting Schedule

It is recommended that the Commission amend its current meeting schedule for 2002 by striking out the Wednesday, November 6, 2002 date and replacing in lieu thereof Wednesday, October 30, 2002.

Approved

Commissioner Moscoe Moved That Staff Be Requested To Canvass The Commissioners As To Their Availability For The September 25, 2002 Commission Meeting.

The Commission Approved Commissioner Moscoe's Motion.

It is recommended that the Commission receive for information the attached list of outstanding Commission items for the period covering May 2000 to May 2002.

Received

a) Current Value Auditing Policies and Practices

The Commission had before it a memorandum dated June 12, 2002 from R. Ducharme, Chief General Manager entitled, "Staff Response to Commission Inquiry - Current Value Auditing Policies and Practices."

The Commission Received The Memorandum For Information.

Commissioner Ashton Moved That The Memorandum Be Referred To The City Audit Committee For Information.

The Commission Approved Commissioner Ashton's Motion.

b) College Street Track Reconstruction

The Commission had before it a memorandum dated July 10, 2002 from R. Ducharme, Chief General Manager entitled, "Staff Response to Commission Inquiry - College Street Track Reconstruction."

The Commission Received The Memorandum For Information.

Commissioner Moscoe Moved That Staff Be Requested To Meet With City Works Staff And The Local Area Councillors To Discuss The Contents Of The Memorandum, With A Report Back On The Results Of These Deliberations In Conjunction With The Full Report That Will Be Brought Forward On This Matter At The September Commission Meeting.

The Commission Approved Commissioner Moscoe's Motion.

c) Progress Made in Relation to the Implementation

of the City of Toronto's New Road Salt Management Plan

The Commission had before it a memorandum dated July 10, 2002 from R. Ducharme, Chief General Manager entitled, "Staff Response to Commission Inquiry - Progress Made in Relation to the Implementation of the City of Toronto's New Road Salt Management Plan."

The Commission Received The Memorandum For Information.

Commissioner Moscoe Moved The Following:

1. That TTC Internal Audit Staff Work With The Appropriate Operating Staff To Establish Procedures For Measuring Success In This Area; And

2. That Staff Be Requested To Submit An Annual Report To The Commission On This Matter.

The Commission Approved Commissioner Moscoe's Motion.

d) Solid Waste Management Plan

The Commission had before it a memorandum dated July 10, 2002 from R. Ducharme, Chief General Manager entitled, "Staff Response to Commission Inquiry - Solid Waste Management Plan."

The Commission Received The Memorandum For Information.

e) Optimizing Revenue from Development

Potential - TTC Schedule "A" Properties

The Commission had before it a memorandum dated July 10, 2002 from R. Ducharme, Chief General Manager entitled, "Staff Response to Commission Inquiry - Optimizing Revenue from Development Potential - TTC Schedule "A" Properties."

The Commission Received The Memorandum For Information.

Commissioner Moscoe Moved That TTC Staff Be Requested To Keep Ward Councillors Up To Date On The Process, And That The TTC Cooperate And Assist Any Councillor Who May Choose At Any Time To Hold A Community Meeting To Advise The Immediate Community Of The Project.

The Commission Approved Commissioner Moscoe's Motion.

Commissioner Li Preti Moved That Staff Be Requested To Provide Each Commissioner With The Complete List Of TTC Properties With Development Potential.

The Commission Approved Commissioner Li Preti's Motion.

Nil

a) Transit - New Official Plan - City of Toronto

Commissioner Flint Moved That TTC Staff Develop Language To Incorporate Into The New Toronto Official Plan, Such Language To Prescribe Ways To Ensure That Public Transit Capital Expansion And Additional Service Is Secured As Development, Re-Development And Intensification Of The City Occurs, With A Report Back To The Commission For The September Meeting.

The Commission Approved Commissioner Flint's Motion.

Commissioner Shiner Moved That TTC Staff Meet With City Finance Staff To Review The Possible Establishment Of A Development Levy Dedicated For Public Transit For New Developments That Would Occur Due To The Official Plan Amendments, With A Report Back To The September Meeting On The Results Of These Deliberations.

The Commission Approved Commissioner Shiner's Motion.

b) Payment Methods - Fares and Commuter Parking

Commissioner Shiner Moved That Staff Be Requested To Report Back On The Current Methods Accepted By The TTC For Payment Of Fares And Commuter Parking.

The Commission Approved Commissioner Shiner's Motion.

c) Parking Opportunities Along Transit Routes

Commissioner Shiner Moved That Staff Be Requested To Meet With Staff From The Toronto Parking Authority To Discuss Opportunities For The Establishment Of Parking Lots Along Major Transit Routes In Addition To Those Located At Subway Stations, With A Report Back On The Results Of These Deliberations.

The Commission Approved Commissioner Shiner's Motion.

d) Presentation - History of Transit in Toronto

Commissioner Flint suggested to Chair Disero that she consider including the above noted presentation as an agenda item for a future Commission meeting.

The Commission Noted Commissioner Flint's Suggestion And Referred It To Chair Disero For Consideration.

e) Committee of the Whole Resolution

The Commission Approved A Resolution By Vice-Chair Shaw To Meet As The Committee Of The Whole On Wednesday, August 28, 2002 To Deal With Litigation Or Potential Litigation Matters, Labour Relations Or Employee Negotiations And To Receive Advice Which Is Subject To Solicitor-Client Privilege.

The meeting adjourned at 3:15 p.m.