Board of Directors Meeting - June 24, 2020

Agenda

8:40 - Chair’s Remarks 

Action: Information 

Pre-read: Verbal Report 

Presenter: Chair 

8:45 - Consent agenda 

a. Approval of Public Meeting Agenda 

Action: Approval 

Pre-read: Agenda 

Presenter: Chair 

b. Chair’s Poll re: Conflict of Interest 

Action: Declaration 

Pre-read: Conflict of Interest Policy 

Presenter: Chair 

c. Confirmation of Board of Directors’ Public Meeting Minutes of February 20, 2020 and April 27, 2020 

Action: Approval 

Pre-read: Minutes 

Presenter: Chair 

8:45 - Ombudsman Reports 

8:50 - a. Ombudsman Report re: TCHC Complaint Trend Data/Recommendations 

Action: Information 

Pre-read: TCHC:2020-47 

Presenter: Ms. Opler, Toronto Ombudsman 

9:20 - b. Tenants Complaint Process – Update  

Action: Information 

Pre-read: Presentation 

Presenter: Acting Director, Strategic Planning & Stakeholder Relations 

9:30 - Q1 OCHE Quarterly Report 

Action: Information 

Pre-read: TCHC:2020-37 

Presenter: Commissioner of Housing Equity 

9:40 - BIFAC Chair’s Report 

Action: Information 

Pre-read: Verbal Report  

Presenter: BIFAC Chair 

9:45 - a. Review of Charters of: 

• Building Investment, Finance and Audit Committee; and 
• Procurement Award Committee 

Action: Approval 

Pre-read: TCHC:2020-38 

Presenter: General Counsel & Corporate Secretary 

9:50 - b. Leslie Nymark Rental Construction Budget Update 

Action: Approval 

Pre-read: TCHC:2020-39 

Presenter: Chief Development Officer 

10:00 - c. Contract Award: Termite Treatment Services 

Action: Approval 

Pre-read: TCHC:2020-40

Presenter: Chief Operating Officer 

10:05 - d. Contract Award: Combined Heat and Power (“CHP”) at 16 Locations (RFP 19453) 

Action: Approval 

Pre-read: TCHC:2020-41

Presenter: Acting Vice President, Facilities Management 

10:10 - e. Lease Agreement for 389 Church St. 

Action: Approval 

Pre-read: TCHC:2020-43 

Presenter: Acting Vice President, Facilities Management 

10:15 - f. August 2020 Mortgage Renewal with Canada Mortgage and Housing Corporation 

Action: Approval 

Pre-read: TCHC:2020-48 

Presenter: Chief Financial Officer & Treasurer 

10:20 - President and CEO’s Report on TCHC’s Operational Performance Measures 

Action: Information 

Pre-read: TCHC:2020-45 

Presenter: President and Chief Executive Officer 

10:50 - COO Reports 

10:50 - a. Tenant Engagement Update 

Action: Information 

Pre-read: TCHC:2020-46 

Presenter: Chief Operating Officer 

11:05 - b. Relocation Policy  

Action: Approval 

Pre-read: TCHC:2020-49 

Presenter: Chief Development Officer & Chief Operating Officer 

11:15 - Implementation of Rubin Thomlinson Recommendations 

Deferred from April 27, 2020 Board Meeting 

Action: Information 

Pre-read: TCHC:2020-33 

Presenter: General Counsel and Corporate Secretary 

TERMINATION

Minutes

The Board of Directors (“Board”) of the Toronto Community Housing Corporation (“TCHC”) held a virtual public meeting on June 24, 2020 at 9:08 a.m. in the Conference Room in 7A at 931 Yonge Street, Toronto via WebEx. 

Directors in Attendance: 

Tim Murphy (Chair) 

Councillor Ana Bailão (left meeting at 11:40 a.m.) 

Amanda Coombs  

John Campbell 

Debbie Douglas  

Ubah Farah 

Councillor Paula Fletcher 

Adele Imrie 

Linda Jackson 

Nick Macrae (departed at 11:15 a.m.) 

Brian Smith  

Directors Absent: 

N/A 

Management present: 

Luisa Andrews, Vice President, Information Technology Services 

Cathy Barker, Vice President, Human Resources 

Rose-Ann Lee, Chief Financial Officer & Treasurer (“CFO”) 

Bruce Malloch, Director, Strategic Communications 

Kevin Marshman, President & Chief Executive Officer (“CEO”) 

Darragh Meagher, General Counsel & Corporate Secretary 

Allen Murray, Vice President, Facilities Management 

Sheila Penny, Chief Operating Officer (“COO”) 

Cynthia Summers, Commissioner of Housing Equity 

Vincent Tong, Chief Development Officer (“CDO”) 

Lindsay Viets, Director, Transition 

Ceilidh Wilson, Assistant Corporate Secretary (Acting) 

Guest: 

Ms. Susan Opler, Toronto Ombudsman 

A quorum being present, Mr. Murphy, serving as Chair called the meeting to order and Ms. Wilson served as recording secretary.  

Item 1 - Chair's Remarks

The Chair welcomed everyone to the Board meeting and advised that he will be chairing today’s meeting. The Chair noted the Acknowledgement of the Land and notified everyone that due to the need for social distancing to limit the spread of COVID-19, TCHC is holding this Board meeting online. 

Virtual Meeting

The Chair notified everyone that TCHC’s conducting a virtual meeting with some changes since the April 27th Board meeting to enhance the manner in which the public can participate. TCHC is live-streaming this virtual meeting on TCHC's Board Live YouTube channel. Members of the public who wish to make a deputation to the Board can do so in real time via teleconferencing. 

Following the meeting, a recording of the live-stream will be posted on the TCHC's Board Live YouTube channel. 

CEO Succession Planning 

The Board has launched an executive search process for a new President and Chief Executive Officer following the decision by TCHC’s current CEO Kevin Marshman to retire in March 2021. 

The Chair thanked Kevin for his leadership in positioning TCHC for success through a relentless focus on improving service delivery and business performance to meet the needs of tenants. Mr. Marshman has been very transparent with the Board on his plans to retire in March 2021.  

The Board has retained Amrop Knightsbridge, which is the executive search division of LHH Knightsbridge, to lead the search. The Board has formed a search committee chaired by Brian Smith and the members of this committee include Deputy Mayor Bailão, Councillor Fletcher, Ubah Farah, Debbie Douglas, Adele Imrie and the Board Chair.  

The Board is confident that the search committee will find a successful candidate with the skills, experience, diversity and personal characteristics to lead the corporation forward to address its emerging priorities.  

Anti-Black Racism 

The Chair spoke to the issue of anti-Black racism. The Chair mentioned that over the past weeks there has been an outpouring of intense emotions in response to anti-Black racism following the murder of George Floyd in the United States and, here in Toronto, the call for answers in the tragic death of Regis Korchinski-Paquet. Regis was a young woman of Black and Indigenous descent who lived with her family at 100 High Park, a TCHC building. Her untimely death has deeply affected many people in our city. The Board extended their sincere condolences to Regis’s family at this very difficult time. 

Both the Board and Management are committed to confronting and eliminating anti-Black racism and are working closely with the Confronting Anti-Black Racism Unit at the City of Toronto. 

Pride

June is Pride Month and the Chair wished everyone a Happy Pride. Pride is an important event that brings people together to celebrate the history, courage, accomplishments and diversity of our city’s Lesbian, Gay, Bisexual, Trans, Intersex, Queer, Questioning and Two Spirit communities or LGBTQ2S+ communities.  

Pride is an opportunity to reflect on the progress made to recognize and protect the rights of LGBTQ2S+ communities, and much more needs to be done to confront intolerance and stand together against all forms of hatred or discrimination.

Report out of decisions   

There were no approvals or decisions made by the Board during the in-camera portion of the meeting this morning to report on.

Deputations

The Chair polled for any deputations to be heard at the meeting. The following deputations were presented: 

• Item 3A – Ombudsman Report re: TCHC Complaint Trend Data/Recommendations – Deputed by Miguel Avila and Walied Khogali 
• Item 3B – Tenants Complaint Process Update – Deputed by Miguel Avila 
• Item 6 -  President & CEO’s Report on TCHC’s Operational Performance Measures – Deputed by Walied Khogali 
• Item 7A – Tenant Engagement Update – Deputed by Susan Gapka and Janet McLeod (written deputation) 

Consent Agenda Items

Item 2 - Approval of Consent Agenda Items

The following items were not held for discussion: 

• Item 2A – Approval of Public Agenda; 
• Item 2B – Chair’s Poll re: Conflict of Interest; and 
• Item 2C – Confirmation of Board of Directors’ Public Meeting Minutes of February 20, 2020 and April 27, 2020. 

Motion carried 

ON MOTION DULY MADE by Mr. Macrae, seconded by Mr. Campbell and carried, the Board approved the following consent agenda items: Items 2A and 2C

Item 2B - Chair's Poll re: Conflict of Interest

The Chair requested members of the Board to indicate any agenda item in which they had a conflict of interest, together with the nature of the interest. No conflicts were declared. 

Item 2C - Confirmation of Board of Directors' Public Meeting Minutes of February 20, 2020 and April 27, 2020

The Board had before it the draft public meeting minutes for February 20, 2020 and April 27, 2020. 

Motion carried 

ON MOTION DULY MADE by Mr. Macrae, seconded by Mr. Campbell and carried, the Board confirmed the above-captioned minutes without amendments. 

Item 3A - Ombudsman Report re: TCHC Complaint Trend Data/Recommendations, TCHC:2020-47

Deputations by Miguel Avila-Velarde and Walied Khogali were received with respect to this item. 

The Board had before it the above-captioned report (TCHC:2020-47) from the Toronto Ombudsman, Ms. Susan Opler.   

Ms. Opler provided the Board with a PowerPoint presentation and some topics included the following: 

• This is not the usual kind of report that the Ombudsman’s office produces, but both TCHC Management and the Board have asked for more information about complaints about TCHC that come to the Ombudsman’s office. 
• In the best interests of tenants, the corporation and the public, this report is being shared publically. 
• All tenants are entitled to three types of fairness: a fair process, a fair outcome and fair treatment. 
• There is a critical difference between equal treatment (not fair) and equitable treatment (fair). 
• The number of cases related to TCHC dealt with by the Ombudsman has increased dramatically over the last five years (184 complaints in 2015 versus 449 complaints in 2019). There are more complaints about TCHC than any other agency, board or commissions that the Ombudsman’s office oversees (24% of all complaints relate to TCHC). 
• In more than half of cases received from TCHC tenants, complaints were premature because tenants did not know how to get their issues addressed, or tried and got no results. 
• More than one third of complaints are about maintenance issues. 
• Tenants are not calling the Ombudsman’s office about small issues.  
• Poor communication is at the root of the issues brought to the Ombudsman’s office. Having proper communication and timely responses is critical. 
• Things can be turned around by providing training to staff at every level of the organization on how to provide good public service. 
• Neither staff nor tenants have a good understanding of how to deal with complaints at TCHC. The process must be clearly and broadly communicated. 
• TCHC Management are always cooperative and open to the Ombudsman’s advice and recommendations to do their work better. 

Ms. Opler answered questions raised by the Board. Topics discussed included the following: 

• The Ombudsman’s office is currently exploring reporting on demographic data of individuals who contact them. 
• There is no central breakdown of communication; it is pervasive across the organization. 
• Tenants should have a final answer from TCHC before contacting the Ombudsman, but often reported that they did not because they did not know how to get that. 
• It would be ideal if every TCHC building had locked glass cabinet with bulletin board of essential communications for tenants posted, which management confirmed would occur 
• A good service organization encourages complaints to learn how to serve clients better. 

Motion carried 

ON MOTION DULY MADE by Councillor Fletcher, seconded by Ms. Douglas and carried, the Board received and referred to the Tenant Services Committee the Ombudsman’s recommendations. 

Item 3B - Tenants Complaint Process - Update (Presentation)

Deputation by Miguel Avila-Velarde was received with respect to this item. 

Ms. Penny, COO provided the Board with a PowerPoint presentation and some topics included the following: 

• Complaint trends can be a valuable tool for identifying systemic problems and improving services to tenants.  
• The information shared by the Ombudsman will be a good baseline for TCHC to measure itself against as changes to the complaints process are implemented and services are decentralized. 
• TCHC established a complaints policy in 2002, which was an escalation framework wherein complaints would be if they were not resolved. The new complaints policy will implement a first point of contact resolution model. 
• The Ombudsman flagged concerns with the complaints process in terms of awareness and effectiveness in 2018. Management have worked closely with the Ombudsman’s office to improve the complaints process as part of the corporate restructuring.  
• The Solutions team has been established to respond to complaints. These staff acknowledge the complaint within 24 hours, and then review the data related to the complaint, compile a report and make a recommendation for resolution within seven days. Solutions can be accessed via mail, email, phone or online form. 
• All buildings will have a copy of the complaints process posted in the locked bulletin board. The complaints process has also been communicated via social media.  

Ms. Penny answered questions raised by the Board. Topics discussed included the following: 

• Training is being developed for the Solutions team and the Client Care Centre (“CCC”), as well as training for front-line integrated teams who respond to regular service requests from tenants.  
• A Hub Playbook is being developed for how to respond to a series of tenant-facing situations.  
• Service quality indicators (“SQIs”) are being developed in consultation with front-line staff and tenants.  
• If tenants make requests through the CCC that they feel are not addressed, they can register a complaint with Solutions.  
• The ultimate decision for the resolution of the complaint lies with the General Manager for the region. 
• Solutions’ work has not yet been reported to the Board.  
• Interpretation is available for tenants who do not speak English. The Solutions brochure is in the process of being translated into 18 languages. Translation will also be available for posters. 
• Having everything up and running with the restructuring plan (e.g. communication, Hub Playbook, training, etc.) is likely at least 12 months away. 
• An opportunity exists to communicate the complaints process to tenants when they call to log a service request should they not be satisfied with the quality of service.  

Action items: 

• COO to provide a visual representation of the complaints process at the September Tenant Services Committee (“TSC”) meeting. 
• COO to provide a copy of the Solutions poster at the September TSC meeting. 
• COO to prepare complaints scorecard, including the race and gender of complainants, to be presented at the September TSC meeting. 

Motion carried 

ON MOTION DULY MADE by Mr. Smith, seconded by Councillor Fletcher and carried, the Board received the report for information and referred the update regarding the Tenant Complaint Process to the Tenant Services Committee for appropriate follow-up including the setting of recommended performance measures. 

Item 4 - Q1 OCHE Quarterly Report, TCHC:2020-37

The Board had before it the above-captioned report (TCHC:2020-37) from the Commissioner of Housing Equity.   

Ms. Summers presented the report. Highlights of the presentation included the following: 

• The OCHE is working well towards achieving the goals set out in the work plan.  
• The work of OCHE continues during COVID. The office has collaborated with TCHC to do calls to tenants to ensure they are safe and front-line OCHE staff are still responding to referrals.  

Ms. Summers was available to answer questions from the Board. Topics discussed included the following: 

• The OCHE is working closely with senior management at TCHC to create a new arrears collection process, which will be finalized quickly. 
• Starting next week, the OCHE and senior management at TCHC will be holding quarterly meetings to deal with issues identified in the arrears collection process. It is anticipated that changes will be evident by Q4 2020. 
• It will be important to ensure OCHE is reporting into the KPIs that get established to ensure TCHC is addressing issues where they are identified. 
• Reports could be made more meaningful if they included more information on the OCHE’s collaboration with TCHC to improve on identified issues. The opportunity exists for TCHC Management to provide a corresponding report to the OCHE’s quarterly updates regarding the bigger picture of arrears at TCHC. 

Motion carried 

ON MOTION DULY MADE by Ms. Douglas, seconded by Mr. Smith and carried, the Board received the report for information and referred the report to the Tenant Services Committee for further consideration in conjunction with the Ombudsman’s Report. 

Item 5A - Review of Charters of: Building Investment, Finance and Audit Committee, TCHC:2020-38

Deferred to the July 30, 2020 Board Meeting. 

Item 5B - Leslie Nymark Rental Construction Budget Update, TCHC:2020-39

The Board had before it the above-captioned report (TCHC:2020-39) from the CDO.

Mr. Tong answered questions raised by the Board. Topics discussed included the following: 

• In response to the $5M development charges levied for the above grade permit, a Member’s Motion was put forward at City Council that these charges would be reimbursed to TCHC. TCHC’s share is approximately $1.3M, which will be addressed through the budget process. 
• TCHC’s total cash in lieu payment for park space is $3M. 
• The original plan included a park, but this was dispensed.  
• The Confidential Board report from 2018 identified the development charges, cash in lieu of park charges, and construction charges as risks. 

Motion carried 

ON MOTION DULY MADE by Ms. Imrie, seconded by Mr. Campbell and carried, the Board unanimously approved the recommendations in this report: 

1. Approve the updated Leslie Nymark Business Plan with sources of funds of $37.3M and costs of $60.4M as outlined in Table 1 below; and 
2. Authorize the appropriate staff to take the necessary actions, incur capital commitments, and execute any and all documents as may be necessary, including negotiation and execution of such documents as may be required to give effect to the above recommendations. 

Item 5C - Contract Award: Termite Treatment Services, TCHC:2020-40

The Board had before it the above-captioned report (TCHC:2020-40) from the COO.

Motion carried 

ON MOTION DULY MADE by Ms. Imrie, seconded by Mr. Campbell and carried, the Board unanimously approved the recommendations in this report.  

1. Approve the award to Termi Guard 24/7 (“Termi Guard”) for up to $6,000,000.00 (exclusive of taxes) for termite management services at TCHC buildings that have termite issues or are at-risk of having termite issues, based on the outcome of Request for Proposal (RFP) 19173 for a term of up to five years (three years with the possibility of two one-year extensions at TCHC management’s discretion);  
2. Authorize the appropriate staff to take the necessary actions to give effect to the above recommendation. 

Item 5D - Contract Award Combined Heat and Power ("CHP") at 16 Locations (RFP 19453), TCHC:2020-41

The Board had before it the above-captioned report (TCHC:2020-41) from the Vice President, Facilities Management.   

Motion carried 

ON MOTION DULY MADE by Ms. Imrie, seconded by Councillor Fletcher and carried, the Board unanimously approved the recommendations in this report: 

1. Approve the award of the work to JTS Mechanical Systems Inc. totaling $18,264,051.66 (exclusive of taxes) for design, build, operate and maintain of CHP and emergency generator systems for Group 1 (8 locations) based on the outcome of RFP 19453 as follows and as further detailed in Public Attachment 2: 
   • $11,137,668.16 for design-build and seven years of operations and maintenance; 
   • $4,029,442.60 for an additional seven years of operations and maintenance at TCHC management’s discretion; 
   • $3,096,940.90 for an additional six years of operations and maintenance at TCHC management’s discretion;  
2. Approve the award of the work to JTS Mechanical Systems Inc. totaling $18,482,700.11 (exclusive of taxes) for design, build, operate and maintain of CHP and emergency generator systems from Group 3 (8 locations) based on the outcome of RFP 19453 as follows and as further detailed in Public Attachment 2:  
   • $11,356,316.61 for design-build and seven years of operations and maintenance; 
   • $4,029,442.60 for an additional seven years of operations and maintenance at TCHC management’s discretion; 
   • $3,096,940.90 for an additional six years of operations and maintenance at TCHC management’s discretion; and 
3. Authorize the appropriate staff to take the necessary actions to give effect to the above recommendation. 

Item 5E - Lease Agreement for 389 Church Street, TCHC:2020-43

The Board had before it the above-captioned report (TCHC:2020-43) from the Vice President, Facilities Management.

Motion carried 

ON MOTION DULY MADE by Ms. Imrie, seconded by Mr. Smith and carried, the Board unanimously approved the recommendations in this report: 

1. Authorize TCHC to execute: 
   1. A lease agreement for 389 Church Street with a non-profit housing provider (Tenant), for a term of fifty (50) years less a day for rent in the amount of $25,000,000 payable on the Commencement Date and in accordance with the following terms and conditions:  
      1. The Tenant will be selected by the City through a Request for Proposal (“RFP”) process issued on May 29, 2020;  
      2. The Tenant will be responsible for all realty taxes, maintenance, insurance and capital repairs for the length of the term;  
      3. A reserve fund will be established by the Tenant, based on a building condition assessment or if no building assessment is available, 5% of all rents, for the purpose of ensuring capital repairs are made to the building as required; and 
      4. Receive consent to proceed with the lease by the Canada Mortgage and Housing Corporation, pursuant to the National Co-investment Fund agreement negotiated in 2019. 
   2. An Assignment of the Contribution Agreement between TCHC and the City of Toronto regarding 389 Church Street to the Tenant. 
2. Approve and authorize the appropriate staff to execute all agreements and take all actions necessary or advisable to give effect to the above recommendation.  

Item 5F - August 2020 Mortgage Renewal with Canada Mortgage and Housing Corporation, TCHC:2020-48

The Board had before it the above-captioned report (TCHC:2020-48) from the CFO.

Motion carried

ON MOTION DULY MADE by Ms. Imrie, seconded by Councillor Fletcher  and carried, the Board unanimously approved the recommendations in this report: 

1. Approve transactions totaling a maximum of $11.3 million with Canada Mortgage and Housing Corporation, in connection with the mortgage due for renewal on August 1, 2020; and 
2. Authorize the CEO or the CFO to take necessary actions, including negotiation and execution of such documentation as may be required, in order to give effect to the above recommendation. 

Item 6 - President and CEO's Report on TCHC's Operational Performance Measures, TCHC:2020-45

Deputation by Walied Khogali was received with respect to this item.

The Board had before it the above-captioned report (TCHC:2020-45) from the CEO.

Points of discussion between the Board and Management included the following:  

• Directors recognized the efforts of staff from across the organization to keep buildings clean and communities safe amid the COVID-19 pandemic.  

Motion carried

ON MOTION DULY MADE by Mr. Campbell, seconded by Councillor Fletcher and carried, the Board received the report for information.  

Item 7A - Tenant Engagement Update, TCHC:2020-46

Deputations by Susan Gapka and Janet McLeod were received with respect to this item.

The Board had before it the above-captioned report (TCHC:2020-46) from the COO.

Ms. Penny presented the report and answered questions raised by the Board. 

Points of discussion between the Board and Management included the following:  

• the need for messaging and communication with respect to the importance of collecting race-based engagement data and data regarding other equity-seeking groups; 
• the process through which the current tenant engagement system was adopted by the Board; 
• the manner in which the COVID-19 outbreak has impacted the implementation of the tenant engagement system; 
• the need to move the process forward to elect tenant leadership; 
• the manner through which tenants have elected a mix of Building Committee and Building Representative models; 
• the rate of participation by tenants in the tenant engagement process and application of a representative vetting process; 
• the implication of tenant engagement levels for the robustness of the tenant engagement structure; 
• the need for breakdown of tenant engagement models by hub area; 
• the relationship between tenant engagement models and TCHC hub structure; and 
• the need to establish a tenant leadership structure in order to report on tenant satisfaction. 

Motion carried 

ON MOTION DULY MADE by Councillor Fletcher, seconded by Mr. Smith and carried, the Board received the report for information and referred the matter to the GCHRC for its consideration. 

Item 7B - Relocation Policy, TCHC:2020-49

The Board had before it the above-captioned report (TCHC:2020-49) from the COO and the CDO.   

Ms. Penny and Mr. Tong answered questions raised by the Board. Topics discussed included the following: 

• Under the existing policy, tenants who are overhoused and relocate for unit refurbishment cannot return to their former unit unless they agree to pay market rent. The changes proposed to the policy will permit tenants to return to their former units as RGI tenants and TCHC will initiate the process to right-size the household. 
• The proposed changes are the proper interpretation of legislative requirements. 
• In instances of revitalization, when households return to the revitalized community they are right-sized through the relocation process. 
• The changes to the policy expand the reasons a household may need to relocate; previously it only addressed revitalization relocations. 
• It is important to distinguish between relocation from revitalization sites, where the household will be right-sized, versus relocation due to unit renovations, where the household has the right of first refusal for their original unit even if they are overhoused. 
• When tenants are relocated, they sign an N13. 
• TCHC deserves praise for not ‘renovicting’ tenants. 
• When addressing overhoused situations, TCHC is required to comply with the legislation and local rules set out by the Service Manager. 

Motion carried 

ON MOTION DULY MADE by Councillor Fletcher, seconded by Ms. Imrie and carried, the Board of Directors unanimously approved the recommendations in this report. 

Item 8 - Implementation of Rubin Thomlinson Recommendations, TCHC:2020-33

Deferred to July 30, 2020 Board Meeting (Initially deferred from the April 27, 2020 Board Meeting).

TERMINATION 

The public meeting terminated at 12:53 p.m.