11. RIDEAU
VALLEY CONSERVATION AUTHORITY - NEW HEADQUARTERS IN BERYL GAFFNEY PARK
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COMMITTEE RECOMMENDATIONS AS AMENDED
That Council
approve:
1. The
framework for agreement between the City and the Rideau Valley Conservation
Authority (RVCA), attached as document 1, including the following elements:
a) A
Ground Lease Agreement providing for the leasing of approximately 12.5 acres of
land within Beryl Gaffney Park at a nominal rate of $1 per year.
b) A
Building Development, Construction and Lease Agreement providing for funding by
the City of the construction of the new RVCA headquarters to a maximum of $5.6
million, a 20 year lease with an option to purchase
at the end of the term for a nominal amount and rent during the term of the
lease calculated to cover the City’s annual debt
charges.
c) A
Municipal Capital Facility Agreement to designate the land and buildings for
municipal purposes related to water, sewage, flood control and recreational
purposes, with the land and building to be exempted from municipal and school
property taxation and an exemption from the payment of development charges.
d) A
Park Development Framework Agreement applicable to the greater Beryl Gaffney
Park that provides for the RVCA to remit $32,000 to the City annually for 20
years to be spent on park development with a revised Park Development Master
Plan to be brought back to the Health, Recreation and Social Services Committee
in 2007.
2. That the Deputy City Manager, Community and
Protective Services, be delegated authority to finalize the negotiations,
conclude and execute all necessary Agreements in accordance with the framework
contained in Document 1.
3. The designation of the site in Beryl Gaffney
Park as described in Document 2, including the new building, as a Municipal
Capital Facility as permitted under Section 110 of the Municipal Act, 2001 and
Ontario Regulation 46/94 and that this designation be implemented by way of
Municipal Capital Facility Agreement that contains the terms outlined in
Document 1 and that after execution of the agreement by the City and the RVCA,
a by-law designating the site as a municipal capital facility be presented to
Council for enactment.
4. Approve that the City Treasurer be authorized
to issue a debenture in an amount not to exceed
$5.6 million to fund the construction of the building.
5. Approve a grant to the RVCA equivalent to the
building permit fees for the construction of the building.
6. Whereas the RVCA Best Use study for
Dickinson Square clearly indicates that the community preference is that these
significant buildings, which are an integral park of the Manotick Community,
remain in public ownership; and,
Whereas the City of Ottawa has a
primary interest in doing everything possible to ensure public ownership of the
properties; and,
Be it resolved that recommendation 6
of the report be replaced with the following:
· That recommendations 1 though 5 be
approved conditional on the RVCA providing at nominal consideration to the City
of Ottawa an "Option to Purchase" the Dickinson Square properties at
fair market value for a period up to a maximum of 18 months; and,
· That Staff enter into discussions
with the RVCA, the Dickinson Square Heritage Management (Inc.), and the broader
community in order to develop options that provide for the property to remain
under public ownership and to report back to Committee and Council at least 6
months prior to the expiration of the option period.
7. That
the following motion from the Arts, Heritage and Culture Advisory Committee be
referred to staff, for further review as part of the discussions with the RVCA,
the Dickinson Square Heritage Management (Inc.) and the broader community in
order to develop options that provide for the property to remain under public
ownership and to report back to Committee and Council at least six months prior
to the expiration of the option period:
Whereas AHCAC has been kept informed of
Dickinson Square Heritage Management Inc.’s efforts to ensure public ownership
and community use of the five heritage buildings to be vacated in 2007 by the
Rideau Valley Conservation Authority;
And
whereas the Rideau Valley Conservation Authority’s board has recently approved
a sequence of recommendations by Commonwealth Historic Management Ltd, in its
“Best Use” study of the buildings, the first recommendation (or option)
beginning as follows:
“The
clear preference of the community is for the Dickinson Square site in its
entirety to remain in community use – meaning being acquired by the City of
Ottawa. Accordingly, the RVCA should first approach the City to discuss the
plausibility of this scenario…..”
Therefore
this committee supports in principle the proposal of Dickinson Square Heritage
Management Inc. for the City to assume ownership of the five heritage buildings
and the open spaces amongst and around them (Watson’s Mill, Dickinson House,
the Carriage Shed, the Ayers Building and the Weaver’s House) to ensure the
Square’s future as a unique industrial heritage site, a centre for community
arts and cultural activities - and an outdoor gathering place and performance
space which has existed for 150 years.
RECOMMENDATIONS MODIFIÉES DU COMITÉ
Que le Conseil approuve :
1. L'accord-cadre entre la Ville et l'Office de
protection de la nature de la vallée Rideau (OPNVR), constituant le document 1
ci-annexé, y compris ses composantes suivantes :
a)
Un
accord de bail foncier prévoyant la location, pour un loyer symbolique de
1 $ par année, d'un terrain d'environ 12,5 acres à l'intérieur du parc
Beryl-Gaffney;
b)
Un
accord d'aménagement, de construction et de location d'immeuble prévoyant le
financement par la Ville, jusqu'à hauteur de 5,6 millions de dollars, de la
construction du nouveau bureau central de l'OPNVR, un bail de location à loyer
symbolique d'une durée de 20 ans assorti d'une option d'achat à son terme et
une rente, pendant la période du bail, calculée pour couvrir les frais annuels
de la dette de la Ville;
c)
Un
accord d'immobilisation municipale désignant le terrain et l'immeuble comme
bien municipal aux fins des services d'aqueduc et d'égouts, de la lutte contre
les inondations et des activités récréatives, le terrain et l'immeuble devant
être exonérés des taxes foncières municipales et scolaires ainsi que des
redevances d'aménagement;
d)
Un
accord d'aménagement de parc visant l'ensemble du parc Beryl-Gaffney et
prévoyant le versement par l'OPNVR à la Ville d'une somme de 32 000 $
par année pendant 20 ans aux fins d'aménagement du parc, le plan directeur
révisé d'aménagement du parc devant être présenté au Comité de la santé, des
loisirs et des services sociaux en 2007.
2. La délégation au directeur municipal adjoint,
Services communautaires et de protection, du pouvoir de négocier, de conclure
et de passer tout accord nécessaire, en conformité avec l'accord-cadre
constituant le document 1.
3. La désignation du terrain et du nouvel
immeuble dans le parc Beryl-Gaffney, décrits dans le document 2, en tant
qu'immobilisation municipale, comme l'autorisent l'article 110 de la Loi de
2001 sur les municipalités et le Règlement de l'Ontario 46/94, laquelle
désignation sera mise en application au moyen d'un accord d'immobilisation
municipale reprenant les conditions énoncées dans le document 1 et, après
passation de l'accord par la Ville et l'OPNVR, la présentation au Conseil d'un
projet de règlement municipal désignant le terrain et l'immeuble comme
immobilisation municipale.
4. Approuve l'émission par le trésorier
municipal d'une débenture qui ne dépassera pas 5,6 millions de dollars pour
financer la construction de l'immeuble.
5. Approuve l'octroi d'une subvention à l'OPNVR
équivalente aux droits exigibles pour le permis de construire de l'immeuble.
6. Attendu que l’étude de meilleure
utilisation de la place Dickinson, réalisée par l’OPNVR, indique clairement que
les habitants de Manotick souhaitent que ces immeubles particuliers qui font
partie intégrante de leur collectivité demeurent un bien public;
Attendu que la Ville d’Ottawa a manifestement
intérêt à prendre toutes les mesures voulues pour que ces biens immeubles
demeurent publics;
Il est résolu que la recommandation
6 du rapport soit remplacée par ce qui suit :
· Que les recommandations 1 à 5 soient
approuvées à la condition que l’OPNVR offre à la Ville d’Ottawa pour une
contrepartie nominale un droit de préemption d’une durée maximale de 18 mois
pour l’acquisition éventuelle des biens immeubles de la place Dickinson selon
leur juste valeur marchande;
· Que le personnel municipal entame
des discussions avec l’OPNVR, la société Dickinson Square Heritage Management
(Inc.) et la population en général dans le but de définir des options pour que
les immeubles demeurent des biens publics, et qu’il en fasse rapport au Comité
et au Conseil au plus tard six mois avant l’expiration du droit de préemption.
7. Que la motion suivante du Comité
consultatif des arts, du patrimoine et de la culture soit renvoyée au personnel
municipal pour qu’il en tienne compte lors des discussions avec l’OPNVR, la
société Dickinson Square Heritage Management (Inc.) et la population en général
dans le but de définir des options pour que les immeubles demeurent des biens
publics et d’en faire rapport au Comité et au Conseil au plus tard six mois
avant l’expiration du droit de préemption :
Attendu que le CCAPC a été tenu au courant des efforts déployés par
Dickinson Square Heritage Management Inc. pour que les cinq immeubles du
patrimoine que l’Office de protection de la nature de la vallée Rideau doit
quitter en 2007 demeurent des biens publics à la disposition de la communauté;
Attendu que les administrateurs de
l’Office de protection de la nature de la vallée Rideau ont entériné
dernièrement une suite de recommandations en marge de son étude « de
meilleure utilisation » des immeubles, la première recommandation (ou
option) commençant par ce qui suit :
« Les habitants de la localité
souhaitent clairement que tous les immeubles de la place Dickinson demeurent à
la disposition de la collectivité – c’est-à-dire qu’ils soient acquis par la
Ville d’Ottawa. Il convient donc que l’OPNVR s’adresse d’abord à la Ville pour
discuter de la réalisation possible de ce scénario […]. »
À ces causes, le Comité appuie en
principe la proposition de Dickinson Square Heritage Management Inc. invitant
la Ville à acquérir les cinq immeubles du patrimoine et les espaces ouverts
attenants (moulin Watson, maison Dickinson, hangar des voitures (Carriage
Shed), immeuble Ayers et maison du tisserand (Weaver’s House), pour que la
place demeure un site unique du patrimoine industriel, un centre pour les
activités artistiques et culturelles de la localité – et un lieu de
rassemblement et de manifestations en plein air tel qu’il existe depuis 150
ans.
DOCUMENTATION
1.
Community
and Protective Services, Deputy City Manager’s report
dated 22 June 2006 (ACS2006-CPS-PAR-0008).
2.
Extract
of Draft Minute, 04 July 2006.
Report
to/Rapport au:
Corporate Services and Economic Development Committee
Comité des services organisationnels
et du développement économique
and Council / et au Conseil
22 June 2006 / le 22 juin 2006
Submitted by/Soumis par: Steve Kanellakos, Deputy City Manager/Directeur
municipal adjoint,
Community and Protective Services/Services communautaires et de
protection
Contact
Person/Personne ressource : Aaron Burry, Director
Parks and Recreation/Parcs et Loisir
(613) 580-2424 x23666, Aaron.Burry@ottawa.ca
REPORT RECOMMENDATIONS
That the Corporate Services
and Economic Development Committee recommend that Council approve:
1. The Framework for Agreement between the
City and the Rideau Valley Conservation Authority (RVCA), attached as Document
1, including the following elements:
e)
A Ground Lease Agreement providing for the leasing of
approximately 12.5 acres of land within Beryl Gaffney Park at a nominal rate of
$1 per year.
f)
A Building Development, Construction and Lease
Agreement providing for funding by the City of the construction of the new RVCA
headquarters to a maximum of $5.6 million, a 20
year lease with an option to purchase at the end of the term for a nominal
amount and rent during the term of the lease calculated
to cover the City’s annual debt charges.
g)
A Municipal Capital Facility Agreement to
designate the land and buildings for municipal purposes related to water,
sewage, flood control and recreational purposes, with the land and building to
be exempted from municipal and school property taxation and an exemption from
the payment of development charges.
h)
A
Park Development Framework Agreement applicable to the greater Beryl Gaffney
Park that provides for the RVCA to remit $32,000 to the City annually for 20
years to be spent on park development with a revised Park Development Master
Plan to be brought back to the Health, Recreation and Social Services Committee
in 2007.
2. That the Deputy City Manager, Community and
Protective Services, be delegated authority to finalize the negotiations,
conclude and execute all necessary Agreements in accordance with the framework
contained in Document 1.
3. That Council designate the site in Beryl
Gaffney Park as described in Document 2, including the new building, as a
Municipal Capital Facility as permitted under Section 110 of the Municipal Act,
2001 and Ontario Regulation 46/94 and that this designation be implemented by
way of Municipal Capital Facility Agreement that contains the terms outlined in
Document 1 and that after execution of the agreement by the City and the RVCA,
a by-law designating the site as a municipal capital facility be presented to
Council for enactment.
4. That the City Treasurer be authorized to
issue a debenture in an amount not to exceed
$5.6 million to fund the construction of the building.
5. A grant to the RVCA equivalent to the
building permit fees for the construction of the building.
6. That staff review
options contained in the RVCA Best Use Study for Dickinson Square, in the
context of the City's Official Plan provisions and program needs, with a
report back to Committee and Council in 2007 respecting the disposition of the
current RVCA buildings.
RECOMMANDATIONS DU
RAPPORT
Que le Comité des services organisationnels et
du développement économique recommande au Conseil d'approuver :
1. L'accord-cadre
entre la Ville et l'Office de protection de la nature de la vallée Rideau
(OPNVR), constituant le document 1 ci-annexé, y compris ses composantes
suivantes :
e)
Un
accord de bail foncier prévoyant la location, pour un loyer symbolique de 1 $
par année, d'un terrain d'environ 12,5 acres à l'intérieur du parc
Beryl-Gaffney;
f)
Un
accord d'aménagement, de construction et de location d'immeuble prévoyant le
financement par la Ville, jusqu'à hauteur de 5,6 millions de dollars, de la
construction du nouveau bureau central de l'OPNVR, un bail de location à loyer
symbolique d'une durée de 20 ans assorti d'une option d'achat à son terme et
une rente, pendant la période du bail, calculée pour couvrir les frais annuels
de la dette de la Ville;
g)
Un
accord d'immobilisation municipale désignant le terrain et l'immeuble comme
bien municipal aux fins des services d'aqueduc et d'égouts, de la lutte contre
les inondations et des activités récréatives, le terrain et l'immeuble devant
être exonérés des taxes foncières municipales et scolaires ainsi que des
redevances d'aménagement;
h)
Un
accord d'aménagement de parc visant l'ensemble du parc Beryl-Gaffney et
prévoyant le versement par l'OPNVR à la Ville d'une somme de 32 000 $
par année pendant 20 ans aux fins d'aménagement du parc, le plan directeur
révisé d'aménagement du parc devant être présenté au Comité de la santé, des
loisirs et des services sociaux en 2007.
2. La délégation au directeur municipal
adjoint, Services communautaires et de protection, du pouvoir de négocier, de
conclure et de passer tout accord nécessaire, en conformité avec l'accord-cadre
constituant le document 1.
3. La désignation du terrain et du nouvel
immeuble dans le parc Beryl-Gaffney, décrits dans le document 2, en tant
qu'immobilisation municipale, comme l'autorisent l'article 110 de la Loi de
2001 sur les municipalités et le Règlement de l'Ontario 46/94, laquelle
désignation sera mise en application au moyen d'un accord d'immobilisation
municipale reprenant les conditions énoncées dans le document 1 et, après
passation de l'accord par la Ville et l'OPNVR, la présentation au Conseil d'un
projet de règlement municipal désignant le terrain et l'immeuble comme
immobilisation municipale.
4. L'émission par le trésorier municipal d'une
débenture qui ne dépassera pas 5,6 millions de dollars pour financer la
construction de l'immeuble.
5. L'octroi d'une subvention à l'OPNVR
équivalente aux droits exigibles pour le permis de construire de l'immeuble.
6. L'examen par le personnel municipal des
options contenues dans l'étude de meilleure utilisation de la place Dickinson,
réalisée par l'OPNVR, à la lumière des dispositions du Plan officiel de la
Ville et des besoins des programmes, lequel examen fera l'objet en 2007 d'un
rapport au Comité et au Conseil quant à l'aliénation des immeubles actuels de
l'OPNVR.
EXECUTIVE SUMMARY
Conservation Authorities are
local, watershed-based environmental agencies established to provide
environmental protection and water resource management.
The Rideau Valley Conservation
Authority (RVCA) works in cooperation with 18 municipalities, cities, towns and
villages located within the watershed area.
Each municipality contributes to the operating costs of the RVCA through
a levy on the municipal tax bill based on current value assessment. Because of
its large assessment, residents of the City of Ottawa contribute 90% of the
levy revenue collected from municipalities.
The RVCA has outgrown its
administrative headquarters in Manotick.
The RVCA conducted a business case for a new headquarters that
considered potential locations as well as the options of leasing, renting, or
owning space. The study identified that
a new, single-headquarter building located within the City-owned Beryl Gaffney
Park represents the most feasible and economic option to solve their office
space needs at least potential cost to Ottawa ratepayers.
Because Ottawa residents contribute 90% of the tax levy, it is financially beneficial to Ottawa taxpayers for the City to work with RVCA to assist in keeping costs incurred by the organization to a minimum.
Accordingly, at its meeting of
July 13, 2005 City Council approved a report that authorized City staff to
proceed with the negotiations with the RVCA including financing options for the
new headquarters. Negotiations were
also to include tax relief, and potential waiving of development charges as
well as potential contributions from the RVCA including park development
enhancements and maintenance options.
This report provides the results of negotiations with the RVCA and outlines details of the financial arrangements and leasing agreements to be finalized by staff as well as value added park development contributions to be reported back to the Health, Recreation and Social Services Committee as part of a revised Park Development Master Plan.
Given that the facility will not
be complete until the fourth quarter of 2007,
the Department proposes to report back in the
summer of 2007 with options respecting the disposition of current RVCA
buildings based on review of the RVCA Best Use Study, in the context of the City's
Official Plan provisions and program needs.
RÉSUMÉ
Les offices de protection de la nature sont des organismes locaux
chargés, dans un bassin versant donné, de la protection de l'environnement et
de la gestion des ressources en eau.
L'Office de protection de la nature de la vallée Rideau (OPNVR)
collabore avec 18 municipalités, villes et villages situés dans son bassin
versant. Chacune des municipalités assume une part des coûts de fonctionnement
de l'OPNVR par le truchement d'un prélèvement d'impôts sur les factures de
taxes municipales, qui sont basées sur la valeur foncière actuelle. Du fait de
l'importance de l'assiette foncière d'Ottawa, 90 % des revenus de l'OPNVR
provenant des prélèvements d'impôts auprès des municipalités sont à la charge
des résidents d'Ottawa.
Manquant d'espace dans son bureau central à Manotick, l'OPNVR a mené une
analyse de rentabilisation pour un nouveau bureau central dans laquelle il a
examiné divers emplacements ainsi que les options de crédit-bail, de location
et d'achat. Cette étude a établi que la construction d'un seul bureau central à
l'intérieur du parc municipal Beryl-Gaffney constituait l'option la plus
réalisable et la plus économique pour répondre aux besoins d'espace de bureau
et la moins onéreuse éventuellement pour les contribuables d'Ottawa.
Comme les résidents d'Ottawa comptent pour
90 % des prélèvements d'impôts de l'OPNVR, il est financièrement
avantageux pour les contribuables d'Ottawa que la Ville collabore avec l'OPNVR
pour aider à contenir les coûts de cet organisme.
C'est pourquoi le Conseil municipal, à sa
réunion du 13 juillet 2005, approuvait un rapport autorisant le personnel
municipal à entreprendre des négociations avec l'OPNVR portant, entre autres,
sur les options de financement du nouveau bureau central. Les négociations
devaient aussi aborder les questions d'un allégement fiscal et d'une éventuelle
dispense des redevances d'aménagement au profit de l'OPNVR, ainsi que des
éventuelles contributions de l'OPNVR, au chapitre notamment d'un aménagement
plus poussé et de l'entretien du parc.
Le présent rapport fait état des résultats de
ces négociations avec l'OPNVR et des détails des arrangements financiers et des
accords de location qui devront être finalisés par le personnel municipal de
même que des contributions qui ajouteront de la valeur à l'aménagement du parc,
lesquelles feront l'objet d'un rapport au Comité de la santé, des loisirs et
des services sociaux dans le cadre de la révision du plan directeur
d'aménagement du parc.
Étant donné que cette installation ne sera pas
achevée avant le dernier trimestre de 2007, le Service propose de présenter en
été 2007, après s'être penché sur l'étude de meilleure utilisation réalisée par
l'OPNVR, un rapport contenant des options quant à l'aliénation des immeubles
actuels de l'OPNVR à la lumière des dispositions du Plan officiel de la Ville
et des besoins des programmes.
Conservation Authorities are local, watershed-based environmental
agencies who receive the majority of their funding through a levy on the
municipal tax bill. The provincial
Conservation Authorities Act provides the regulation to establish a
Conservation Authority within a specific watershed area to undertake programs
of natural resource management.
The RVCA has outgrown its administrative headquarters in Manotick. The existing facilities include seven
separate buildings, four owned and three rented by the RVCA, that house 60
staff. Continued urban growth,
expansion of mandate and passage of time have all lead to a requirement for
Rideau Valley Conservation Authority (RVCA) to relocate to a new facility to
meet their growing needs.
The RVCA conducted a "Needs Analysis, Site Options and Business Case" study for a new headquarters that considered potential locations as well as the options of leasing, renting, or owning space. The study identified that a new, single-headquarter building designed to house up to 87 staff members and located within the City-owned Beryl Gaffney Park represents the most feasible and economic option to solve their office space needs and lessen potential impacts to the levy charged to Ottawa tax payers.
Accordingly, at its meeting of July 13, 2005 Council approved a report
authorizing staff to proceed with negotiations with the RVCA including
financing options for the new HQ. Since
approval of the first report, city staff and RVCA representatives have come to
terms on various parts of the original Framework for Agreement. A revised Framework for the necessary
agreements is appended as Document 1 and an overview of the framework is
provided in the following sections.
As part of the negotiations, it was agreed that the Parks and
Recreation Branch will be the project lead providing support to the RVCA during
the Site Plan Application process, public consultations and serving as an
interdepartmental liaison with respect to all City stakeholders. The Framework for Agreement is built around
4 separate agreements; Ground Lease; Headquarters building construction and
lease; Municipal Capital Facility Agreement, and; Park Development Agreement
that are described in the following sections.
It is proposed that the RVCA will lease approximately 12.5 acres of
park property at a nominal rate ($1.00) subject to the preparation of a
Reference Plan. Document 2 contains a
map showing the general area of the park that will be subject to the
lease. The land lease is proposed to be
for a 20 year term with one 20-year renewal and the option to renegotiate the
lease at end of 40 years. The nominal
lease rate ($1.00) is based on the site’s designation as a Municipal Capital
Facility. It is proposed that the RVCA
will be responsible for all maintenance, life cycle renewal and upkeep within
the conservation area. In addition, the
lease is to define common areas for public access both within and outside the
RVCA HQ building. Significant terms of
the proposed lease are contained in Document 1
It is proposed that the City fund the construction costs to a maximum of $5.6 million for the new building.
The RVCA will issue a request for tender, based on the requirements set out in its “Needs Analysis, Site Options and Business Case” study. The City will review and approve all tender documents, process and procedures including standard obligations such as change orders, contracts and certificates.
The RVCA would enter into a lease agreement that would include provisions that the RVCA would have the option to purchase the building for nominal consideration at the expiration of the term of the lease and that the rent payments would be calculated to cover the annual debt charges. The RVCA would be required to submit an operations and preventative maintenance plan prior to occupancy and will be responsible for all maintenance, operating costs and life cycle renewal within the life of the lease.
Under the provisions allowed to
municipalities in section 110 of the Municipal Act, 2001 and Ontario
Regulation 46/94, the new headquarters building and associated lands are
eligible to be declared a municipal capital facility. Municipal Capital Facilities receive certain benefits including
tax relief and waiving of some development related costs. In order to qualify as a Municipal Capital
Facility, an organization must be providing services that would otherwise need
to be provided by the City. The building will be designated as a Municipal
Capital Facility for municipal purposes related to sewage, drainage flood
control and recreation
In addition to exemption from tax relief it is proposed that the Development Charges of $144,264 and the Conservation Authority Fee of $385 be waived and that the Building Permit fee of $75,600 be granted back to the RVCA from City-wide reserves.
The City will prepare a Municipal Capital Facilities Agreement (MCFA)
to include the leased building and land in accordance with the significant
provisions contained in Document 1. Once the agreement is executed by the
parties, the formal by-law designating the site as a Municipal Capital Facility
will be placed on the Agenda of Council for enactment.
d)
Park Development Agreement
It is proposed that the City and RVCA enter into a park development
agreement that will provide for the development of the remainder of the lands
comprising Beryl Gaffney Park. The
agreement includes a provision for a capital contribution by the RVCA of
$32,000 annually during the term of the agreement. It is proposed that the City match the RVCA’s contribution to any
park project. There is also a provision
that the RVCA will attempt to raise additional funds through fundraising
initiatives and grants
It is proposed that implementation of park development master plan, outside of the reference plan boundary, is to be revised and brought back to the local community for consultation with a final report to Committee and Council in the fourth quarter of 2007. Any park projects would be initiated by the City and be consistent with the proposals in the master development plan for the park.
Recommendation 2 – Delegated Authority
It is proposed that the Deputy City Manager of Community
and Protective Services, be delegated authority to finalize the negotiations,
conclude and execute all necessary agreements in accordance with the framework
contained in Document 1.
As noted in
Recommendation 1(d), the Department will report back to the Health, Recreation
and Social Services Committee with a revised Park Development Master Plan in
2007.
Recommendation
3 – Municipal Capital Facility
This
recommendation gives effect to the designation of the proposed RVCA land and
buildings to be located in Beryl Gaffney Park, as described in Document 2, as a
Municipal Capital Facility (MCF), in keeping with the significant terms
outlined in the Agreement Framework attached at Document 1. The by-law designating the site as a MCF
will be presented to Council for enactment.
Recommendation
4 – Authority to Issue Debenture
This recommendation
gives authority to the City Treasurer to issue a debenture in an amount not
exceeding $5.6 million to fund the construction of the new RVCA building in
keeping with the significant terms outlined the Agreement Framework attached as
Document 1.
This recommendation proposes that Council
approve a grant to the RVCA equivalent to the building permit fees for the
construction of the building.
The RVCA has prepared a Best Use Study for its current holdings at Dickinson Square.
This report is focused on facilitating the process of constructing a new RVCA HQ and does not contemplate disposition of current RVCA assets, which is outside the direction approved by City Council in July 2005.
The RVCA Board has directed its
staff to approach the City separately to begin the process of reviewing this
matter. Given that the new RVCA HQ will
be not constructed until fourth quarter of 2007, the Department proposes to
review the RVCA Best Use Study, consult with the RVCA as required, and report
back to Committee and Council in 2007.
CONSULTATION
The Rideau Valley Conservation Authority Management and Board of Directors have approved the contents of this report.
The substance of this report was presented to the Agricultural and Rural Affairs Committee and the Parks and Recreation Advisory Committee.
Given that the RVCA will pay
interest to the City to compensate for lost interest earnings on the
construction period funding, and the building lease payments will be equivalent
to the annual debt charges on the debenture debt issued for this project, there
are no financial implications expected from this proposed undertaking.
SUPPORTING
DOCUMENTATION
Document 1 – Revised Framework For Agreement
Document 2 – Proposed
Location Plan
Community and Protective Services Department in consultation with Legal, Finance, Treasury, Real Estate, Planning and Growth Management and Building Services will implement the directions approved as part of this report and prepare all necessary Agreements.
RIDEAU VALLEY CONSERVATION AUTHORITY
OTTAWA PARKS AND RECREATION
Framework For Agreement
Subject to Council approval, The City of Ottawa will finalize all
negotiations with RVCA according to the significant provisions outlined in this
Framework for Agreement with both parties subsequently executing all necessary
agreements. City staff, in consultation
with the City Solicitor, shall have authority to add additional, non-monetary
provisions to each of the four agreements that would be customary in order to
protect the interests of the City.
Summary of Individual
Agreements Contemplated to Fulfill Framework:
1) Ground Lease
2) HQ Development, Construction and Lease
3) Municipal Capital Facility Agreement
4) Park Development Framework Agreement
In addition to the necessary Agreements above, the following understandings have been reached:
1) Parks and Recreation is the project lead and maintains stakeholder responsibilities. The Branch is to provide support to RVCA during the Site Plan Application process, public consultations, and interdepartmental liaison.
2) RVCA will maintain its role as lead, owner and manager for the best use study and sale of RVCA assets in Manotick.
3) RVCA Board received on Tuesday, June 6, 2006 a study it commissioned entitled Best Use Study: Dickinson Square Historic Buildings for information. This framework for agreement acknowledges that the report indicates as a first priority, that the Dickson Square site, in its entirety, be acquired by the City of Ottawa for community use. RVCA will undertake a market appraisal to estimate the current market value for the buildings on the site. This agreement does not contemplate City acquisition of the RVCA assets as it is outside the direction approved by Ottawa City Council in July 2005. The RVCA Board has directed their staff to approach the City formally, separately to begin the process of consideration of this matter.
Ground Lease
· RVCA will lease approximately 12.5 acres (subject to the reference plan) of park property at a nominal rate ($1.00). The area proposed to be leased is shown on Document 2 and will be defined in a reference plan to be prepared by the City.
· The term of the lease is 20 years with one 20-year renewal term. RVCA to be granted first option to lease and or to renegotiate the lease at end of 40 years.
· Rent is assigned at a nominal rate ($1.00) during the term of the Municipal Capital Facility Agreement
· If the site at any time loses its eligibility as a municipal capital facility and the RVCA is no longer making a capital contribution of $32,000 per annum under the Park Development Agreement, the rent for the site shall then be set at $32,000 per annum.
· RVCA will be responsible for all maintenance, life cycle renewal and upkeep within the reference plan boundary defined in the ground lease. The City will have no liability or responsibility for any of these costs and the RVCA will indemnify the City for any claims arising out of the lease and maintain insurance satisfactory to the City’s Risk Management group.
· Lease is to define outdoor common areas for public access within reference plan defined area and identify all tenant responsibilities for the leased land. The lease will contain a Schedule of outdoor common areas on the lands. As a minimum, the outdoor common areas will include:
· All Outdoor Common Areas are to be publicly accessible at all times, within the confines and protection of the City’s Parks By-Law.
· All improvements on the leased property will revert to City ownership at end of term at no cost to the City.
· The RVCA will permit no liens or other encumbrances to attach to the leased lands at any time and if such a lien or encumbrance occurs, the RVCA will take all necessary steps to remove it immediately. If Ottawa incurs any costs associated with the removal of any lien or other encumbrance, all associated costs will be recovered from levy revenue collected on behalf of the RVCA by Ottawa.
Headquarters
(HQ) Development, Construction and Lease
· The City will fund up to $5.6 million towards the construction costs of the new building subject to the RVCA demonstrating to the City Treasurer that the remainder of the funds necessary to complete the building and surrounding improvements and to meet all necessary contractual obligations are available prior to the tendering the construction project.
· The City (RPAM and Supply Services) will approve the tender documents and the final selection by the RVCA of the successful bidder.
· Once the City Treasurer is satisfied that all of the necessary funds are available, the City would then provide the RVCA construction financing (short term financing), as required, through the construction period based on approval by the Director of RPAM of the architect’s certificate of payment
· The RVCA would pay interest on the funds advanced at a rate of return equal to interest on the City’s investment portfolio. Interest payment is due and payable prior to occupancy of the building
· All development on the lands shall be in accordance with the approved site plan
· The Director of RPAM will appoint a staff person to monitor construction of the building and improvements to the leased land and all draw downs from the short term construction financing account will be based on Ottawa monitoring, verifiying and approving the RVCA’s OAA contracted architect payment certificate.
· Ottawa (RPAM and Supply Services as applicable) shall review and approve all tender documents, process and procedures including standard obligations such as change orders, contracts and certificates.
· Upon issuance of final certificate for occupancy, Ottawa is to be saved harmless of any and all costs associated with building and grounds maintenance, operating costs and life cycle renewal / replacement of any improvement on the lands identified in the reference plan.. To this end, RVCA is to establish and contribute to yearly, a life cycle reserve fund. Yearly contribution to be calculated at 1.5% of 80% of the constructed value of the project.
· The term of the lease for the building will be for a period of twenty years from the date of occupancy
· The amount of the annual rent for the building will be determined at the time a debenture for the funds advanced for the construction is issued and will be the equivalent of the annual debt charges calculated over a twenty year period
· The RVCA to provide a direction to the City to withhold the rent from the City’s share of the conservation authority levy for the RVCA
· The lease will include an option for the RVCA to purchase the building for a nominal amount at the end of the 20 year term
· The RVCA will be responsible for all building and ground maintenance, operating costs and lifecycle renewal and/or replacement during the term of the lease
· The RVCA is to maintain a life cycle reserve during the term of the lease with an annual contribution equivalent of one and one-half percent of 80% of the replacement value of the building
· Plans for operation, maintenance and life cycle to be submitted annually to the Director of RPAM
· The City will have no liability or responsibility for any costs associated with operating, maintenance or lifecycle
· The RVCA will indemnify the City for any claims arising out of the lease and maintain insurance satisfactory to the City’s Risk Management group.
· City to have the right to enter and inspect the condition of the building during the term of the lease
· The RVCA will permit no liens or other encumbrances to attach to the leased lands and building and if such a lien or encumbrance occurs the RVCA will take all necessary steps to remove it immediately. If Ottawa incurs any costs associated with the removal of any lien or other encumbrance, all associated costs will be recovered from levy revenue collected on behalf of the RVCA by Ottawa.
· Lease is to define indoor common areas for public access. The lease will contain a Schedule of indoor common areas. As a minimum, the indoor common areas include:
· The City will be entitled to four free uses of each of the atrium, boardroom and meeting rooms per month for general community use. Public Washrooms are to be available during the hours the building is open
· Rental of the indoor common areas by the RVCA to other parties will follow the RVCA rental policy. Any revenue realized after cost recovery will be applied to other external revenue sources to go to the future park development
· The Municipal Property Assessment Corporation (MPAC) has advised that within the current context of the Conservation Authorities Act, an RVCA owned head quarter facility could be defined as a “project” and as such taxes applicable to building could be waived. With City approval, RVCA may appeal MPAC assessments through existing processes in place, as needed and if desired. Ottawa approval to permit appeal may not be unreasonably withheld.
·
The City will designate the leased land and building as
a municipal capital facility for municipal purposes related to sewage,
drainage, flood control and recreational purposes
·
The City will prepare a Municipal Capital Facility
Agreement (MCFA) to include the leased building and land area for municipal
purposes.
·
The terms of
the agreement will include the following
§
A legal
description of the lands
§
The term of the
agreement which will be from a specified date (the date of the ground lease) to
the earliest of a date 20 years after the specified date, the date the lease
expires is surrendered or terminates or the date the City ceases to use the
land as a municipal capital facility
§
Rent for the
land in the amount of $1.00 per annum
§
Exemption from
property taxation for municipal and school purposes for the term of the
agreement pursuant to subsection 110(6) of the Municipal Act, 2001
§
A provision
that the zoning of the lands and permitted uses will not be affected by the
agreement
§
The by-law
designating the site as a municipal capital facility is to be registered on
title
· Providing the provision in the Municipal Act, 2001 (and the associated Provincial regulations) pertaining to Municipal Capital Facilities remains essentially unchanged throughout the term of the ground lease and, providing further, that the services historically provided by the RVCA to the City remain essentially the same, the new headquarters facility for the RVCA would enjoy the status and benefits of a Municipal Capital Facility throughout the entire term of the above contemplated ground lease.
· Once the agreement is executed by the parties, a by-law formally designating the building and lands as a municipal capital facility will be placed on the Agenda of Council for enactment. The by-law will include an exemption from municipal and school property taxation and an exemption from the payment of development charges
· This agreement to apply to the approximately 80 remaining acres in Beryl Gaffney Park
· The term of the Park Development Agreement to match the term of the ground lease
· Implementation of park development master plan, outside of the reference plan boundary, to be revised and brought back to community for consultation with final report to Committee in Q3 / Q4 2007. The City will lead the process; RVCA will be in a supporting role, taking part of in the public consultations and preparation of plans and reports
· Development of the park to be consistent with the park development master plan as approved by Council after the consultation process
·
The RVCA will submit to the City a contribution of
$32,000 annually to be used for development of Beryl Gaffney Park. This capital
contribution will be made annually for
a 20-year term with one 20-year renewal prior to which the amount of the annual
contribution will be reviewed. The
parties acknowledge that for the initial term of the agreement, the capital
contribution has been established based on a market rate of $100,000 per acre
with an 8% rate of return for the 4 acres needed to meet minimum Site Plan
Approval and Zoning requirements had this project been implemented without
aesthetic integration of the new headquarter into the existing park.
·
Ottawa to ensure that the funds received from the RVCA
will be spent on park development and agrees to match the total contribution of
the RVCA prior to undertaking a development in the park
· Ottawa to be responsible for implementation of the park development master plan
· RVCA to apply annually for external funding and investigate fund raising opportunities in partnership with local community and interest groups to further the development of Beryl Gaffney Park. It is understood by both parties that not every funding application will be successful. An annual report will be provided to City staff for information purposes.
· Any funds raised during each year by the above fund raising efforts will also be applied to the park development
· Ottawa retains the ability to proceed with capital development as needed even if all of the matching funds have not been contributed by the RVCA.
·
City to develop, manage and maintain all park property
outside reference plan boundary (Beryl Gaffney PARK).
·
The agreement will not rule out future opportunities
for Purchase of service of park maintenance from a third party or from the RVCA
RIDEAU
VALLEY CONSERVATION AUTHORITY - NEW HEADQUARTERS IN BERYL GAFFNEY PARK
NOUVEAU BUREAU CENTRAL AU PARC BERYL-GAFFNEY POUR L’OFFICE DE
PROTECTION DE LA NATURE DE LA VALLÉE RIDEAU
ACS2006-CPS-PAR-0008
Councillor
Stavinga noted she had circulated the following two motions to members of the
Committee prior to the meeting, and had advised of her intent to move
same.
Moved by
Councillor J. Stavinga
Whereas the RVCA Best Use study for Dickinson
Square clearly indicates that the community preference is that these
significant buildings, which are an integral park of the Manotick Community,
remain in public ownership; and,
Whereas the City of Ottawa has a primary
interest in doing everything possible to ensure public ownership of the
properties; and,
Be it resolved that recommendation 6 of the
report be replaced with the following:
· That recommendations 1 though 5 be approved
conditional on the RVCA providing at nominal consideration to the City of
Ottawa an "Option to Purchase" the Dickinson Square properties at
fair market value for a period up to a maximum of 18 months; and,
· That Staff enter into discussions with the
RVCA, the Dickinson Square Heritage Management (Inc.), and the broader
community in order to develop options that provide for the property to remain
under public ownership and to report back to Committee and Council at least 6
months prior to the expiration of the option period.
CARRIED
Moved by Councillor J. Stavinga
That
the following motion from the Arts, Heritage and Culture Advisory Committee be
referred to staff, for further review as part of the discussions with the RVCA,
the Dickinson Square Heritage Management (Inc.) and the broader community in
order to develop options that provide for the property to remain under public
ownership and to report back to Committee and Council at least six months prior
to the expiration of the option period:
Whereas AHCAC has been kept informed of
Dickinson Square Heritage Management Inc.’s efforts to ensure public ownership
and community use of the five heritage buildings to be vacated in 2007 by the
Rideau Valley Conservation Authority;
And whereas the Rideau Valley Conservation Authority’s board has recently approved a sequence of recommendations by Commonwealth Historic Management Ltd, in its “Best Use” study of the buildings, the first recommendation (or option) beginning as follows:
“The
clear preference of the community is for the Dickinson Square site in its
entirety to remain in community use – meaning being acquired by the City of
Ottawa. Accordingly, the RVCA should first approach the City to discuss the
plausibility of this scenario…..”
Therefore
this committee supports in principle the proposal of Dickinson Square Heritage
Management Inc. for the City to assume ownership of the five heritage buildings
and the open spaces amongst and around them (Watson’s Mill, Dickinson House,
the Carriage Shed, the Ayers Building and the Weaver’s House) to ensure the
Square’s future as a unique industrial heritage site, a centre for community
arts and cultural activities - and an outdoor gathering place and performance
space which has existed for 150 years.
CARRIED
The item,
as amended, was then approved by the Committee.
That the
Corporate Services and Economic Development Committee recommend that Council
approve:
1. The
framework for agreement between the city and the Rideau Valley Conservation
Authority (RVCA), attached as Document 1, including the following elements:
a) A
Ground Lease Agreement providing for the leasing of approximately 12.5 acres of
land within Beryl Gaffney Park at a nominal rate of $1 per year.
b) A
Building Development, Construction and Lease Agreement providing for funding by
the City of the construction of the new RVCA headquarters to a maximum of $5.6
million, a 20 year lease with an option to
purchase at the end of the term for a nominal amount and rent during the term
of the lease calculated to cover the City’s
annual debt charges.
c)
A Municipal Capital Facility Agreement to designate the
land and buildings for municipal purposes related to water, sewage, flood
control and recreational purposes, with the land and building to be exempted from
municipal and school property taxation and an exemption from the payment of
development charges.
d)
A Park Development Framework Agreement applicable to
the greater Beryl Gaffney Park that provides for the RVCA to remit $32,000 to
the City annually for 20 years to be spent on park development with a revised
Park Development Master Plan to be brought back to the Health, Recreation and
Social Services Committee in 2007.
2. That the Deputy City Manager, Community and
Protective Services, be delegated authority to finalize the negotiations,
conclude and execute all necessary Agreements in accordance with the framework
contained in Document 1.
3. That Council designate the site in Beryl
Gaffney Park as described in Document 2, including the new building, as a Municipal
Capital Facility as permitted under Section 110 of the Municipal Act, 2001 and
Ontario Regulation 46/94 and that this designation be implemented by way of
Municipal Capital Facility Agreement that contains the terms outlined in
Document 1 and that after execution of the agreement by the City and the RVCA,
a by-law designating the site as a municipal capital facility be presented to
Council for enactment.
4. That the City Treasurer be authorized to
issue a debenture in an amount not to exceed
$5.6 million to fund the construction of the building.
5. A grant to the RVCA equivalent to the
building permit fees for the construction of the building.
6. Whereas the RVCA Best Use study for Dickinson Square clearly indicates
that the community preference is that these significant buildings, which are an
integral park of the Manotick Community, remain in public ownership; and,
Whereas the City of Ottawa has a primary
interest in doing everything possible to ensure public ownership of the
properties; and,
Be it resolved that recommendation 6 of the
report be replaced with the following:
· That recommendations 1 though 5 be approved
conditional on the RVCA providing at nominal consideration to the City of
Ottawa an "Option to Purchase" the Dickinson Square properties at
fair market value for a period up to a maximum of 18 months; and,
· That Staff enter into discussions with the
RVCA, the Dickinson Square Heritage Management (Inc.), and the broader
community in order to develop options that provide for the property to remain
under public ownership and to report back to Committee and Council at least 6
months prior to the expiration of the option period.
7. That the following motion from the
Arts, Heritage and Culture Advisory Committee be referred to staff, for further
review as part of the discussions with the RVCA, the Dickinson Square Heritage
Management (Inc.) and the broader community in order to develop options that
provide for the property to remain under public ownership and to report back to
Committee and Council at least six months prior to the expiration of the option
period:
Whereas AHCAC has been kept informed of
Dickinson Square Heritage Management Inc.’s efforts to ensure public ownership
and community use of the five heritage buildings to be vacated in 2007 by the
Rideau Valley Conservation Authority;
And whereas the Rideau Valley Conservation Authority’s board has recently approved a sequence of recommendations by Commonwealth Historic Management Ltd, in its “Best Use” study of the buildings, the first recommendation (or option) beginning as follows:
“The
clear preference of the community is for the Dickinson Square site in its
entirety to remain in community use – meaning being acquired by the City of
Ottawa. Accordingly, the RVCA should first approach the City to discuss the
plausibility of this scenario…..”
Therefore
this committee supports in principle the proposal of Dickinson Square Heritage
Management Inc. for the City to assume ownership of the five heritage buildings
and the open spaces amongst and around them (Watson’s Mill, Dickinson House,
the Carriage Shed, the Ayers Building and the Weaver’s House) to ensure the
Square’s future as a unique industrial heritage site, a centre for community
arts and cultural activities - and an outdoor gathering place and performance
space which has existed for 150 years.
CARRIED as amended