Board of Directors Meeting - October 14, 2016

Agenda

1. Chair’s remarks 

Action: Information 

Pre-read: Verbal report 

Presenter: Chair 

2. Consent agenda 

2. a) Approval of Public Meeting Agenda 

Action: Approval 

Pre-read: Agenda 

Presenter: Chair 

2. b) Chair’s Poll re: Conflict of Interest 

Action: Declaration 

Pre-read: Agenda and Conflict of Interest Policy 

Presenter: Chair 

2. c) Confirmation of Board of Directors’ Public Meeting Minutes of ​September 14, 2016​ 

Action: Approval 

Pre-read: Minutes 

Presenter: Chair 

2. d) Business Arising from the Public Meeting Minutes and Action Items Update 

Action: Information 

Pre-read: Action item list 

Presenter: Chair 

2. e) City and TCHC Staff - Strategic and Operational Meetings 

Action: Information 

Pre-read: TCHC:2016-46

Presenter: Interim President and CEO 

2. f) Q2 2016 OCHE Quarterly Performance Report 

Action: Information 

Pre-read: TCHC:2016-43 

Presenter: Chair, RSC 

2. g) 2016-2017 Corporate Insurance Program Renewal 

Action: Approval 

Pre-read: TCHC:2016-42 

Presenter: Chair, BIFAC 

2. h) TCHC Subsidiary Review Process 

Action: Information 

Pre-read: TCHC:2016-49 

Presenter: Director Compliance & Legal Counsel  

3. RSC Chair’s report 

Action: Information 

Pre-read: Verbal report 

Presenter: Chair, RSC 

3. a) Human Rights Harassment Fair Access Policy for Tenants 

Action: Approval 

Pre-read: TCHC:2016-45 

Presenter: Human Rights Diversity Specialist - Office of Diversity Fairness and Human Rights 

4. GCHRCC Chair’s report 

Action: Information 

Pre-read: Verbal report 

Presenter: Chair, GCHRCC 

5. BIFAC Chair’s report 

Action: Information 

Pre-read: Verbal report 

Presenter: Chair, BIFAC 

5. a) TCHC 2017 Budget Process 

Action: Information 

Pre-read: Presentation 

Presenter: Chief Financial Officer & Treasurer (Interim) 

6. Interim President and Chief Executive Officer’s remarks 

Action: Information 

Pre-read: Verbal report 

Presenter: Interim President and CEO 

6. a) Monthly President’s report 

Action: Information 

Pre-read: TCHC:2016-44 

Presenter: Interim President and CEO 

TERMINATION

Minutes

The Board of Directors of the Toronto Community Housing Corporation held a public meeting on October 14, 2016 at 9:17 a.m. in in the Main Floor Conference Room at 931 Yonge Street, Toronto and via teleconference. 

Directors in Attendance: 

Bud Purves (Chair) 

Councillor Ana Bailão 

Robert Carlo 

Councillor Joe Cressy (left at 11:00 a.m.) 

Councillor Frank Di Giorgio 

Vincent Gasparro 

Linda Jackson (left at 10:57 a.m.) 

Colin Lynch (via teleconference) 

Pamela Taylor 

Catherine Wilkinson 

Directors Absent: 

Joseph Kennedy 

Kevin Marshman (Vice Chair) 

Management present: 

Cathy Barker, Vice President, Human Resources 

Angela Cooke, Vice President, Resident and Community Services  

Leslie Gash, Chief Development Officer (Interim) 

Rose-Ann Lee, Chief Financial Officer & Treasurer (Interim) 

Mark Johnson, General Counsel & Corporate Secretary 

Hugh Lawson, Director, Strategic Planning and Stakeholder  Relations 

Graham Leah, Vice President, Asset Management 

Bruce Malloch, Director, Strategic Communications 

Mark McDonald, Vice President, IT 

Ted Millward, Legal Counsel, Corporate 

Lisa Murray, Manager, Media and Public Relations 

Sheila Penny, Vice President, Facilities Management 

Greg Spearn, President & Chief Executive Officer (CEO) (Interim)/ Chief Development Officer 

Wayne Tuck, Chief Operating Officer  

A quorum being present, the Chair called the meeting to order and Ms. Charmaine Zina served as recording secretary.  

Item 1 - Chair's Remarks

The Chair welcomed everyone to the meeting and advised that the meeting will begin with the public session and then the Board will proceed with the confidential session. Items approved during the closed session will be reported out on TCHC’s website after the meeting.  

The Chair welcomed Mark McDonald, TCHC’s new Vice President of Information Technology and Information Services. Mark joined TCHC on October 3. Mark is an experienced business and technology executive who has more than 25 years' experience in the private and public sectors.  Mark will lead the transformation process to refresh TCHC’s information technology strategy, which is critical to the success of the company.   

Additionally, the Chair provided a brief update on the CEO search. As mentioned at the September 14th Board meeting, the Board of Directors have commenced a process to hire for the position of President and Chief Executive Officer.  

Boyden Canada, a global executive search firm has been retained to conduct a national and international search. The selection from the list of candidates is anticipated to take place by the end of November with interviews beginning by mid-January 2017.  

The Chair identified the following items to be discussed in the public session: 

• Chair’s Reports. The Chairs of the Board committees will each provide a verbal report of their committee’s activities. 
• Resident Services Committee. A report on the Human Rights, Harassment and Fair Access Policy for Tenants will be brought forward for the Board’s approval. The current policy has not been updated since 2003 and the updated policy reflects changes made to the Ontario Human Rights Code, and is aligned to the City’s Human Rights and Anti-Harassment policy. New content added to the policy reflects resident input that was provided through a consultation process that took place earlier this year.   
• Building Investment, Finance and Audit Committee. A report on TCHC’s 2017 budget process that will include a presentation by TCHC’s Chief Financial Officer (Interim), Ms. Rose-Ann Lee. Work continues on the 2017 budget. A draft operating budget strategy reviewed by the Board was sent to the City Manager on October 7, as had been requested by the City.   
• President’s Monthly Report. Mr. Spearn will present the President’s Monthly Report for August 2016, which describes how the company is doing in meeting its public commitments and organizational priorities.

Deputations

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

• Item 2E – City and TCHC Staff – Strategic and Operational Meetings (Deputed by Clive Williams); 
• Item 3A – Human Rights Harassment Fair Access Policy for Tenants (Deputed by Cathy Birch); and 
• Item 5A – TCHC 2017 Budget Process (Deputed by Rebecca Keenean and Idil Abukar). 

Consent Agenda Items

Item 2A - Approval of Consent Agenda Items

The agenda was approved with the following consent agenda items approved and not held for discussion: 

• Item 2C – Confirmation of Previous Board of Directors’ Public Meeting Minutes of September 14, 2016; 
• Item 2F – Q2 2016 OCHE Quarterly Performance Report; and 
• Item 2G – 2016-2017 Corporate Insurance Program Renewal. 

Motion carried 

ON MOTION DULY MADE by Councillor Cressy, seconded by Councillor Bailᾶo and carried, the Board of Directors approved the consent agenda and those items not held for discussions (Items 2C, 2F and 2G). 

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

The Chair requested members of the Board of Directors to indicate any agenda item in which they have 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 September 14, 2016

The Board of Directors had before it the draft Board minutes for September 14, 2016. 

Motion carried 

ON MOTION DULY MADE by Councillor Cressy, seconded by Councillor Bailᾶo and carried, the Board of Directors confirmed the above-captioned minutes without amendments. 

Item 2D - Business Arising from the Public Meeting Minutes and Action Items Update

Motion carried 

ON MOTION DULY MADE by Councillor Cressy, seconded by Councillor Bailᾶo and carried, the Board of Directors received the report for information with following amendments: 

Page 1 of 4:  July 6, 2016 Public Meeting Minutes 

• Description Column: Management to report back on how the $635,000 rebate money provided by Enbridge will be used. 

Action Items:   

Management to: 

• Provide an update on the status of whether committee meetings can be webcast. 
• Arrange for the Board to receive AODA training. 

Item 2E - City and TCHC Staff – Strategic and Operational Meetings, TCHC:2016-46

The Board of Directors had before it the above-captioned report (TCHC:2016-46) from the President and Chief Executive Officer (Interim).   

Motion carried 

ON MOTION DULY MADE by Councillor Cressy, seconded by Ms. Jackson and carried, the Board of Directors received the report for information. 

Item 2F - Q2 2016 OCHE Quarterly Performance Report, TCHC:2016-43

The Board of Directors had before it the above-captioned report (TCHC:2016-43) from the RSC Chair.   

Motion carried 

ON MOTION DULY MADE by Councillor Cressy, seconded by Councillor Bailᾶo and carried, the Board of Directors received the report for information. 

Item 2G - 2016-2017 Corporate Insurance Program Renewal, TCHC:2016-42

The Board of Directors had before it the above-captioned report (TCHC:2016-42) from the GCHRCC Chair.  

Motion carried 

ON MOTION DULY MADE by Councillor Cressy, seconded by Councillor Bailᾶo and carried, the Board of Directors unanimously approved the following resolution: 

• Approve the renewal of the 2016-2017 Insurance Program, including all additional coverage as outlined in the attached report, which reflects total insurance cost of $4,902,437 before PST. 

Item 2H - TCHC Subsidiary Review Process, TCHC:2016-49

The Board of Directors had before it the above-captioned report (TCHC:2016-49) from the General Counsel and Corporate Secretary.   

The Board and Management discussed the report and Mr. Johnson answered questions from the Board.   

Some issues raised by the Board were the following: 

• Subsidiary reporting to the Board; 
• Spending commitments by subsidiaries flowing up to TCHC, where approvals are obtained and what items need to come to the Board for information/approval; and 
• Creation of subsidiaries and minimizing the creation of new subsidiaries. 

Mr. Johnson advised the Board that there will be a quarterly subsidiary report that will be brought to the Board. In addition, a new protocol has been implemented for the creation of subsidiaries which requires Board and Shareholder approval. 

Motion carried 

ON MOTION DULY MADE by Ms. Taylor, seconded by Mr. Gasparro and carried, the Board of Directors received the report for information. 

Item 3 - Resident Services Committee (RSC) Chair's Report

The Chair of the RSC provided a verbal update to the Board on the work at RSC, including the following: 

• Resident Charter: significant discussion took place at the last meeting and good progress has been made, however, the Charter will be refined further before it is brought to the Board. 
• RPATH: Ms. Jackson was invited to attend an RPATH meeting and was impressed with the collaborative, respectful approach taken by the group and its positive approach to conflict resolution. 

Item 3A - Human Rights Harassment Fair Access Policy for Tenants, TCHC:2016-45

The Board of Directors had before it the above-captioned report (TCHC:2016-45) from the RSC Chair.   

Ms. Hashmani presented to the Board, advising that four (4) tenant consultations were conducted with approximately 100 tenants.  Due to the policy being tenant focused, tenant feedback was incorporated in this newly created policy.   

New sections added are the following: 

• How to Request an Accommodation; 
• Hate activity; 
• How to file a complaint; and  
• Responsibilities. 

In Q1 2017, a communication plan will be implemented in TCHC communities to create awareness of the policy and procedures and to ensure staff are aware of the complaints procedure.   

The Board and Management discussed the report and Ms. Hashmani and Mr. Johnson answered questions raised by the Board.   

Ms. Wilkinson abstained from the motion due to the fact that there is no reference to service timelines in the new policy to hold TCHC accountable. 

Motion carried 

ON MOTION DULY MADE by Councillor Cressy, seconded by Ms. Jackson and carried, the Board of Directors approved the recommendations in this report with the following amendments: 

Attachment 1 to the Report 

Human Rights, Harassment and Fair Access Policy – Tenants (the “Policy”) 

• Page 2 of the Policy: Accommodation Definition:  An individualized process to improve equality and remove disadvantages barriers experienced by a person or groups relating to a prohibited ground, to the point of undue hardship. 
• Page 2-3 of the Policy: Discrimination: A practice or behaviour that treats people unequally or creates a distinction based on a prohibited ground under the Code resulting in an obligation, burden, or other disadvantage barriers by perpetuating prejudice or stereotyping. 

Board Report 

• Page 1 of 4 (Purpose Section): To provide the Board of Directors with an updated a new Human Rights Harassment and Fair Access Policy for approval. 

Item 4 - Governance, Communications, Human Resources and Compensation Committee (GCHRCC) Chair's Report

The Chair of the GCHRCC provided a verbal update to the Board on the activity at GCHRCC, including discussions on the following: 

• Corporate insurance program renewal. 
• Ongoing work on the subsidiary review process. 
• Collective bargaining – approved mandate for CUPE Local 79 and Carpenters and Allied Workers Local 27. 
• Ongoing work on TCHC’s compensation philosophy. 
• TCHC’s succession planning relating to hiring of senior management. 

Item 5 - Building Investment, Finance and Audit Committee (BIFAC) Chair's Report

The Chair of the BIFAC provided a verbal update to the Board on the activity at BIFAC and advised that the most significant item has been the budget process. 

Mr. Lynch communicated that thorough discussions took place over the summer and in September on the budget process and that this process has had to take place earlier than previous years given the change to the City`s process.  

Lastly, Mr. Lynch noted that the capital budget still needs to be addressed and the operating budget is still in draft and subject to finalization.  The final budget will be presented at the December Board meeting.  

Other Business

Councillor Cho was in attendance and advised the Board and Management that he will be speaking on the Affordable Housing Act bill next Thursday October 20th and requested to speak with Mr. Spearn and the Board Chair on such subject matter prior to next Thursday. 

Item 5A - TCHC 2017 Budget Process (Presentation)

The Board of Directors had before it the above-mentioned presentation from the Chief Financial Officer & Treasurer (Interim).   

Ms. Lee presented an overview on the previous budget process versus this year’s budget process and answered questions raised by the Board.  A brief discussion ensued.  

Ms. Lee confirmed that a ‘line-by-line’ budget will be posted on the external website after November 17th in order for the public to have sufficient time to review prior to approval of the budget at the December 8, 2016 Board meeting. 

The Board requested that Management keep them apprised as to whether the City will be inviting TCHC Management to give a Budget presentation to the City again this year.   

Motion carried 

ON MOTION DULY MADE by Ms. Taylor, seconded by Councillor Bailᾶo and carried, the Board of Directors received the report for information. 

Item 6 - Interim President and Chief Executive Officer's Remarks

Mr. Spearn highlighted activities TCHC has been engaged in throughout its communities since the last Board meeting on September 14, 2016, including the following: 

• Limitless Heights Scholarship Program 
• Toronto Community Housing wins a 2016 Ombudsman Award 
• TCHC’s - 99 Special Constable designations 
• All staff meetings/United Way staff BBQ 
• Alexandra Park celebration 
• Gyms opened in eight communities   

Housing grants confirmation / Toronto Housing Summit  

Mr. Spearn advised that the Deputy City Manager wrote to Mr. Spearn confirming that over the next two (2) years, TCHC will receive $91.6 million in grants for capital repair and energy retrofit programs announced in the 2016 federal and provincial budgets.  About $53 million must be spent in 2017, and Mr. Spearn indicated TCHC is well-positioned to deliver as there are many shovel-ready projects that can begin right away.  

Generous donation from Starkey Canada  

Through TCHC’s relationship with Jays Care Foundation, TCHC partnered this summer with Starkey Canada to provide some 40 senior tenants with free customized digital hearing aids—a tremendous gift that would be well beyond their financial means and will make a world of difference in their lives. The seniors received their hearing aids at a clinic hosted by Starkey Canada at the Rogers Centre on September 29, after which they enjoyed the Jays game.  

Item 6A - Monthly President's Report, TCHC:2016-44

The Board had before it the above-captioned report (TCHC:2016-44) from the President & Chief Executive Officer (Interim).   

Mr. Spearn presented the report and advised the Board that performance has improved in August.  Of TCHC’s 39 scorecard metrics with targets, the majority are showing improvement over July levels. 

Mr. Spearn addressed the following results/trends in the Monthly President’s Report: 

• Excess of Revenue over Expenses: year-to-date, TCHC has a $49-million excess of revenue over expenses. This is in contrast to the projected loss of $25 million which is a result of the timing of non-recurring items, such as gains on the sale of lands and the sale of standalone homes.  In addition to the $20.2 million in credits received to August 31 under the Ontario Clean Energy Benefit program. This trend is expected to continue for the remainder of 2016, with a resulting cash surplus. It is not expected to continue in future years. 
• Capital Repairs: capital repair program is steadily advancing, with $108 million spent to August 31 on more than 8,000 projects. TCHC’s within 10 per cent of its Q3 target of $120 million in capital repairs spending. 
• Community Safety: the Community Safety Unit conducted 53 joint patrols with the Toronto Police Service in August, a 36-per-cent increase over July. TCHC has also held nine (9) community safety education sessions with tenants and conducted nine community safety audits. 
• Customer Service: tenants made almost 35,000 calls to the Client Care Centre in August, TCHC’s busiest month of the year so far. Despite these high volumes, most service levels improved slightly over July levels and met the target of closing 80 per cent of administrative service requests within two days.  TCHC again exceeded the target of containing 90 per cent of emergency maintenance requests within four hours. Service levels for routine maintenance requests closed within five days, declining slightly to 70 per cent, from 72 per cent in July.   
  
  The Board noted that in past years staffing issues have been identified with the client care centre.  The Board emphasized the need to ensure that the client care centre is adequately staffed over vacation periods and at times when there are high call volumes.  
• Vacancy: vacancy rates for rent geared-to-income (RGI) units continue to remain above the target of 2 per cent. The RGI vacancy rate increased to 2.68 per cent in August, compared with 2.57 per cent in July. However, it is lower than it was in August 2015. Asset Management Division continues to focus on implementing planned and in-progress vacancy management strategies in order to lower RGI vacancies to the target level. 
  
  The Board and Management discussed the issues with the hard to rent portfolio and the 180 day average that units remain vacant. Management referred to the vacancy report provided at the last Board meeting and noted the request at the last meeting to bring a report forward with an in-depth analysis of the types of hard to rent units.  
• Arrears: the amount of rent-related and parking-related arrears decreased by 5 per cent in August. The majority of this balance is less than 60 days old (i.e., owing only this month and/or last month’s rent). 

The Board expressed the need to ensure there is sufficient focus on seniors in arrears of rent.  

Requests were made that Management report back on the following relating to the $250M capital spend: 

• Projects completed; 
• Projects that were planned but will not be completed; 
• Project budget amounts versus the actual project spend amounts; and 
• An in-time comparison of spending relative to what the capital plan intended and whether the Facility Condition Index measures are on target. 

Motion carried 

ON MOTION DULY MADE by Councillor Bailão, seconded by Councillor DiGiorgio and carried, the Board of Directors received the report for information. 

Action item: Relating to the $250M capital spend Management to report back on: 

• Projects completed; 
• Projects that were planned but will not be completed; 
• Project budget amounts versus the actual project spend amounts; and 
• An in-time comparison of capital spending relative to what the capital plan intended and whether the Facility Condition Index measures are on target. 

TERMINATION 

The public meeting terminated at 11:13 a.m.