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2020-08-31_Agenda Packet--Dossier de l'ordre du jourCity of Saint John Common Council Meeting AGENDA Monday, August 31, 2020 6:00 pm Meeting Conducted by Electronic Participation Si vous avez besoin des services en francais pour une reunion de Conseil communal, veuillez contacter le bureau du greffier communal au 658-2862. Pages 1. Call to Order 2. Approval of Minutes 2.1 Minutes of August 17, 2020 5 - 18 3. Approval of Agenda 4. Disclosures of Conflict of Interest 5. Consent Agenda 5.1 Service Delivery Upgrade for Innovation & Customer Service — Telephone 19 - 37 Software Solution (Recommendation in Report) 5.2 Rescheduling of Public Hearing dates and locations — 30 IC'ing George Court, 38 - 41 445 St. Martin's Rd, 4001 King William Rd and 910 Fairville Blvd (Recommendation in Report) 5.3 City Market Lease with RoseLynn Foods DBA Jeremiahs (Recommendation in 42 - 71 Report) 5.4 Fall 2020 - Debenture Application (Recommendation in Report) 72 - 73 5.5 Lighting Upgrades — City Arenas (Recommendation in Report) 74 - 77 5.6 Urban Development Incentive Grant Agreement - 29 Lower Cove Loop 78 - 123 (Recommendation in Report) 5.7 Fall 2020 — Saint John Energy Debenture Application (Recommendation in 124 - 134 Report) 6. Members Comments 7. Proclamation - nil 8. Delegations / Presentations - nil 9. Public Hearings - nil 10. Consideration of By-laws 10.1 Proposed Municipal Plan Amendment - 2304-2310 Ocean Westway 135 - 137 11. Submissions by Council Members - nil 12. Business Matters - Municipal Officers 12.1 Sustainability Update 138 - 154 12.2 2021 General Fund Operating Budget 155 - 162 12.3 Community Recovery Initiatives Update (Verbal) 12.4 Position Paper for Provincial Election 163 - 169 13. Committee Reports - nil 14. Consideration of Issues Separated from Consent Agenda 15. General Correspondence 15.1 Residents of Glenwood SubdivisionNVestside Estates - Request for 170 - 170 Exemption of specific section under Zoning Bylaw (Recommendation: Refer to City Manager) 15.2 Kit Melanson: Restoration of Building at 100 Victoria Street (Recommendation: 171 - 171 Refer to City Manager) 15.3 Active Transportation: Letters of Support (Recommendation : Receive for 172 - 187 Information) 15.4 Annual General Meeting - Pension Board of Trustees (Recommendation: 188 - 188 Appoint Council member to attend) 16. Supplemental Agenda 16.1 Cancellation of September 14, 2020 Common Council Meeting (Verbal) 2 17. Committee of the Whole 17.1 Request from Reversing Falls Skywalk Inc. to Reduce Lease Payments 189 - 191 18. Adjournment NOTICE: THE CITY IS COMMITTED TO TAKING IMPORTANT STEPS IN REDUCING THE SPREAD OF COVID- 19. THE PUBLIC, INCLUDING THE MEDIA, IS NOT PERMITTED TO ATTEND IN PERSON. THE MEETING IS AVAILABLE BY LIVESTREAMING ON YOUTUBE. ACCESS TO THE LIVESTREAMING OF THE MEETING IS AVAILABLE ON THE CITY'S WEBSITE. The public may view a live stream of the meeting on the City's website: https://www.youtube.com/channel/UCWOdmpd x2m-YiZluYABzow/live AVIS: LA VILLE S'EST ENGAGEE A PRENDRE DES MESURES IMPORTANTES POUR REDUIRE LA PROPAGATION DE COVID-19. LE PUBLIC Y COMPRIS LES MEDIAS NEST PAS AUTORISE A ASSISTER EN PERSONNE. LA REUNION EST DISPONIBLE EN DIRECT SUR YOUTUBE. L'ACCES AU LIVESTREAMING DE LA REUNION EST DISPONIBLE SUR LE SITE DE LA VILLE. Le public peut voir une diffusion en direct de la reunion sur le site Web de la Ville: https://www.youtube.com/channel/UCWOdmpd x2m-YiZluYABzow/live Committee of the Whole 1. Call to Order Si vous avez besoin des services en fran�ais pour une reunion de Conseil communal, veuillez contacter le bureau du greffier communal au 658-2862. Each of the following items, either in whole or in part, is able to be discussed in private pursuant to the provisions of subsection 68(1) of the Local Governance Act and Council / Committee will make a decision(s) in that respect in Open Session: 4:30 p.m., Electronic Participation 1.1 Approval of Minutes 68(1) 1.2 Financial Matter 68(1)(c) 1.3 Communication Messages: Saint John Information Update 1.4 Legal Matter 68(1)(f,g) 1.5 Employment Matter 68(1)(j) 1 Ville de Saint John Seance du conseil communal Lundi 31 aout 2020 18h Reunion tenue grace a la participation electronique Comite plenier 1. Ouverture de la seance Si vous souhaitez obtenir des services en fran�ais pour une seance du conseil communal, veuillez communiquer avec le bureau du greffier communal au 658-2862. Chacun des points suivants, en totalite ou en partie, peut faire l'objet d'une discussion en prive en vertu des dispositions prevues au paragraphe 68(1) de la Loi sur la gouvernance locale. Le conseil/comite prendra une ou des decisions a cet egard au cours de la seance publique : 16 h 30, Salle de conference, 8e etage, hotel de ville 1.1 Approbation du proces-verbal 68(1) 1.2 Question financiere — alinea 68(1)(c,g) 1.3 Message de communication : Nouvelles de Saint John 1.4 Question juriclique 68(1)(f,g) 1.5 Question relative 1'emploi 68(1)(j) Seance ordinaire 1. Ouverture de la seance 2. Approbation du proces-verbal 2.1 Proces-verbal du 17 ao6t 2020 3. Adoption de I'ordre du jour 4. Divulgations de conflits d'interets S. Questions soumises a I'approbation du conseil 5.1 Mise a niveau de la prestation de services pour l'innovation et le service a la clientele — Solution logicielle pour le telephone (recommanclation figurant clans le rapport) 2 5.2 Report des dates et des lieux des audiences publiques — 30, King George Court, 445, chemin St. Martin, 4001, chemin King William et 910, bout. Fairville (recommandation figurant clans le rapport) 5.3 Bail du Marche municipal avec Roselynn Foods DBA Jeremiahs (recommandation figurant clans le rapport) 5.4 Automne 2020 — Demande de debenture (recommandation figurant clans le rapport) 5.5 Amelioration de 1'eclairage des arenas de la ville (recommandation figurant clans le rapport) 5.6 Entente de subvention pour I'amenagement urbain — 29, Lower Cove Loop (recommandation figurant clans le rapport) 5.7 Automne 2020 — Demande de debenture de Saint John Energy (recommandation figurant clans le rapport) 6. Commentaires presentes par les membres 7. Proclamation 8. Delegations et presentations — neant 9. Audiences publiques — neant 10. Etude des arretes municipaux 10.1 Modification proposee au plan d'urbanisme — 2304-2310 Ocean Westway 11. Interventions des membres du conseil — neant 12. Affaires municipales evoquees par les fonctionnaires municipaux 12.1 Mise a jour sur la durabilite 12.2 Budget de fonctionnement du Fonds general de 2021 12.3 Le point sur les initiatives de retablissement communautaire (verbal) 12.4 Expose de position pour les elections provinciales 13. Rapports deposes par les comites — neant 14. Etude des sujets ecartes des questions soumises a I'approbation du Bureau 15. Correspondance generale K3 15.1 Residents de Glewood Subdivision/Westside Estates — Demande d'exemption d'un article particulier en vertu du reglement de zonage (recommandation : renvoi au directeur municipal) 15.2 Kit Melanson : Restauration du batiment au 100, rue Victoria (recommandation : consulter le directeur municipal) 15.3 Transport actif : Lettres d'appui (recommandation : recevoir pour information) 15.4 Assemblee generale annuelle - Conseil d'administration des regimes de retraite (recommandation : Nommer un membre du Conseil pour y assister) 16. Ordre du jour supplementaire 16.1 Annulation de la reunion de Conseil Communal du 14 septembre 2020 17. Comite plenier 17.1 Demande de Reversing Falls Skywalk Inc. pour reduire les paiements de location 18. Levee de la seance CI COMMON COUNCIL / CONSEIL COMMUNAL August 17, 2020 / le 17 ao6t 2020 MINUTES — REGULAR MEETING COMMON COUNCIL OF THE CITY OF SAINT JOHN AUGUST 17, 2020 AT 6:00 PM MEETING CONDUCTED BY ELECTRONIC PARTICIPATION Present: All Council Members present attended by video conference Mayor Don Darling Deputy Mayor Shirley McAlary Councillor -at -Large Gary Sullivan Councillor Ward 1 Blake Armstrong Councillor Ward 1 Greg Norton Councillor Ward 2 Sean Casey Councillor Ward 2 John MacKenzie Councillor Ward 3 David Hickey Councillor Ward 3 Donna Reardon Councillor Ward 4 David Merrithew Absent: Councillor Ward 4 Ray Strowbridge Also Present: All staff present attended by video conference City Manager J. Collin City Solicitor J. Nugent Q.C. Deputy Fire Chief M. Carr Commissioner Finance K. Fudge Commissioner Growth & Community Development J. Hamilton Deputy Commissioner Transportation and Environment J. Hussey Commissioner Saint John Water B. McGovern Common Clerk J. Taylor Deputy Common Clerk P. Anglin 61 COMMON COUNCIL / CONSEIL COMMUNAL August 17, 2020 / le 17 aoot 2020 To conform to the Government COVID-19 State of Emergency and Mandatory Order isolation requirements, City Hall is closed to the public. Council Members and senior staff participate by video conference. The City Clerk conducted roll call of the Council Members to determine quorum; with the exception of Councillor Strowbridge all were noted in attendance. To ensure access to the public and transparency of the meeting, livestreaming on the City's YouTube feed is provided. Rogers TV also provides the public live streaming of the Council meeting. 1. Call to Order 2. Approval of Minutes 2.1 Minutes of August 4, 2020 Moved by Councillor Sullivan, seconded by Councillor MacKenzie: RESOLVED that the minutes of August 4, 2020 be approved. MOTION CARRIED. 2.2 Minutes of August 10, 2020 Moved by Councillor Hickey, seconded by Councillor Merrithew: RESOLVED that the minutes of August 10, 2020 be approved. MOTION CARRIED. 3. Approval of Agenda Moved by Councillor Norton, seconded by Councillor Hickey: RESOLVED that the agenda of this meeting be approved with the addition of the following items: 16.1 Letter of invitation to Political Parties regarding municipal reform 17.1 General Counsel Appointment 17.2 Recommended Appointments to Committees — Police Commission MOTION CARRIED. 4. Disclosures of Conflict of Interest S. Consent Agenda 5.1 That as recommended by the City Manager in the submitted report M&C2020- 210: Proposed Public Hearing Date — 910 Fairville Boulevard, Common Council: 2 C.1 COMMON COUNCIL / CONSEIL COMMUNAL August 17, 2020 / le 17 aoot 2020 1. Schedule the public hearing for the Zoning By-law amendment application for Buland Akhtar (910 Fairville Boulevard) for Tuesday October 13, 2020 at 6:30 p.m. to occur via web conference, and 2. Refer these applications to the Planning Advisory Committee for a report and recommendation. 5.2 That as recommended by the City Manager, the following resolution be adopted: WHEREAS the Common Council of The City of Saint John has enacted certain by-laws pursuant to the authority of the Local Governance Act, S.N.B. 2017 c.18, and amendments thereto, (the "Local Governance Act") including the Saint John Parking By-law, By-law Number LG-8, and amendments thereto; AND WHEREAS section 72 of the Local Governance Act provides that a council may appoint by-law enforcement officers for the local government and may determine their terms of office; NOW THEREFORE BE IT RESOLVED that Everett LeBlanc, is hereby appointed as by-law enforcement officer for the administration and enforcement of the Saint John Parking By- law which received first and second reading by Common Council on January 13, 2020 and third reading on January 27, 2020, being enacted under the Local Governance Act, effective immediately, and this authorization shall continue until he ceases to be an employee of the Saint John Parking Commission or until rescinded by Common Council, whichever comes first. 5.3 That as recommended by the City Manager, the following resolution be adopted: WHEREAS the Common Council of The City of Saint John has enacted certain by-laws pursuant to the authority of the Local Governance Act, S.N.B. 2017 c.18, and amendments thereto, (the "Local Governance Act") including the Saint John Parking By-law, By-law Number LG-8, and amendments thereto; AND WHEREAS section 72 of the Local Governance Act provides that a council may appoint by-law enforcement officers for the local government and may determine their terms of office; NOW THEREFORE BE IT RESOLVED that Percy Totten, is hereby appointed as by-law enforcement officerforthe administration and enforcement of the Saint John Parking By- law which received first and second reading by Common Council on January 13, 2020 and third reading on January 27, 2020, being enacted under the Local Governance Act, effective immediately, and this authorization shall continue until he ceases to be an employee of the Saint John Parking Commission or until rescinded by Common Council, whichever comes first. 3 r51 COMMON COUNCIL / CONSEIL COMMUNAL August 17, 2020 / le 17 aoot 2020 5.4 That as recommended by the City Manager in the submitted report M&C 2020- 211: Fleet Replacement Procurement — August 2020, Common Council award the purchase of six (6) Sedans- Intermediate All -Wheel -Drive (AWD) vehicles at a total cost of $135,684.00 plus HST to Loch Lomond Mitsubishi. 5.5 That the submitted report M&C2020-212: Illegal Dumping, be received for information. 5.6 That as recommended by the City Manager in the submitted report M&C 2020- 206: Contract 2020-14: Musquash Water Pumping Station Upgrades, the contract be awarded to the lowest -compliant Tenderer, Avondale Construction Limited, at the tendered price of $3,703,000.00 (including HST) as calculated based upon estimated quantities, and further that the Mayor and Common Clerk be authorized to execute the necessary contract documents. Moved by Councillor Sullivan, seconded by Councillor Norton: RESOLVED that the recommendation set out in each consent agenda item respectively be adopted. MOTION CARRIED UNANIMOUSLY. 6. Members Comments 7. Proclamations 8. Delegations/Presentations 8.1 Active Transportation Referring to the submitted report entitled Active Transportation Funding Opportunity for Saint John Nick Cameron Coastal Link Trail Inc. presented 8 shovel ready projects in Saint John to build safe, accessible roads for walking and biking. The projects are ready to submit for funding applications. Moved by Councillor Hickey, seconded by Deputy Mayor McAlary: RESOLVED that the Active Transportation presentation be received for information. MOTION CARRIED. 9. Public Hearings 6:30 PM Councillor Norton withdrew for 3rd reading of rezoning items 10.1 — 10.6 having been absent for 111 and 2nd reading. 4 E:3 COMMON COUNCIL / CONSEIL COMMUNAL August 17, 2020 / le 17 aoot 2020 10. Consideration of Bylaws 10.1 Proposed Zoning By -Law Amendment with Section 59 Conditions — 90 Paradise Row Ord Reading) Moved by Deputy Mayor McAlary, seconded by Councillor Sullivan: RESOLVED that the by-law entitled, "By -Law Number C.P. 111-093, A Law to Amend the Zoning By -Law of the City of Saint John" rezoning a parcel of land having an area of approximately 3587 square metres, located at 90 Paradise Row, also identified as a portion of PID No. 55234835, from Corridor Commercial (CC) to Utility Service (US); and rezoning a parcel of land having an area of approximately 550 square metres, located at 90 Paradise Row, also identified as a portion of PID No. 55234835, from being unzoned to Corridor Commercial (CC), be read. MOTION CARRIED. The by-law entitled, "By -Law Number C.P. 111-093, A Law to Amend the Zoning By -Law of The City of Saint John," was read in its entirety. Moved by Councillor Mackenzie, seconded by Deputy Mayor McAlary: RESOLVED that Common Council, pursuant to the provisions of Section 59 of the Community Planning Act, impose the following conditions on the parcel of land having an area of approximately 3587 square metres, located at 90 Paradise Row, also identified as the southwestern portion of PID Number 55234835: (a) That a sound barrier absorption wall with a decorative finish and a minimum height of 2.44 metres be installed along the entire Paradise Row frontage of the proposed substation site, and along portions of the east and west sides of the proposed substation site, in the manner generally depicted in the renderings shown at the July 21, 2020 Planning Advisory Committee; (b) That, unless the required wall completely encloses the proposed substation site, that a chain -link fence with a minimum height of 2.44 metres and having privacy slats that completely cover the fence mesh with a colour complementary to the wall be installed around the remaining perimeter of the substation site; (c) That any gate associated with a chain -link fence be of the same height and design as the chain -link fence, as generally depicted in the renderings shown at the July 21, 2020 Planning Advisory Committee; (d) That the above wall, gate and, if applicable, chain -link fence, be installed prior to the operation of the substation; (e) That landscaping be developed and maintained along the entire Paradise Row frontage of the proposed substation site, except in front of any gate, between the wall and the existing sidewalk on Paradise Row, and that such landscaping include trees and shrubs in the manner generally depicted in the renderings submitted by the applicant, and that such landscaping be installed prior to the operation of the substation; 5 COMMON COUNCIL / CONSEIL COMMUNAL August 17, 2020 / le 17 aoot 2020 (f) That the development and use of the parcel of land be in accordance with a detailed site plan, prepared by the proponent and subject to the approval of the Development Officer, illustrating the design and location of the proposed substation, including the required wall, gate, landscaping and, if applicable, chain -link fence; and (g) The approved site plan be attached to the permit application for the development of the parcel of land. MOTION CARRIED. Moved by Councillor MacKenzie, seconded by Councillor Sullivan: RESOLVED that the by-law entitled, "By -Law Number C.P. 111-093, A Law to Amend the Zoning By -Law of the City of Saint John" rezoning a parcel of land having an area of approximately 3587 square metres, located at 90 Paradise Row, also identified as a portion of PID No. 55234835, from Corridor Commercial (CC) to Utility Service (US); and rezoning a parcel of land having an area of approximately 550 square metres, located at 90 Paradise Row, also identified as a portion of PID No. 55234835, from being unzoned to Corridor Commercial (CC), be read a third time, enacted, and the Corporate Common Seal affixed thereto. MOTION CARRIED. Read a third time by title, the by-law entitled, "By -Law Number C.P. 111-093, A Law to Amend the Zoning By -Law of The City of Saint John." 10.2 Proposed Zoning By -Law Amendment — 85 Peacock's Lane (3rd Reading) Moved by Councillor MacKenzie, seconded by Councillor Merrithew: RESOLVED that the by-law entitled, "By -Law Number C.P. 111-094, A Law to Amend the Zoning By -Law of the City of Saint John" amending Section 9.6 to allow for a caretaker dwelling at 89 Peacock's Lane and on other sites for Community Centres in the Park Zone, be read. MOTION CARRIED. The by-law entitled, "By -Law Number C.P. 111-094, A Law to Amend the Zoning By -Law of the City of Saint John", was read in its entirety. Moved by Deputy Mayor McAlary, seconded by Councillor MacKenzie: RESOLVED that the by-law entitled, "By -Law Number C.P. 111-094, A Law to Amend the Zoning By -Law of the City of Saint John" amending Section 9.6 to allow for a caretaker dwelling at 89 Peacock's Lane and on other sites for Community Centres in the Park Zone, be read a third time, enacted, and the Corporate Common Seal affixed thereto. IL Is] Ius] ►EWAall all Ia91 rd ito] COMMON COUNCIL / CONSEIL COMMUNAL August 17, 2020 / le 17 aoot 2020 Read a third time by title, the by-law entitled, "By -Law Number C.P. 111-094, A Law to Amend the Zoning By -Law of the City of Saint John." 10.3 Proposed Zoning By -Law Amendment with Section 59 Conditions —1020 Rothesay Road Ord Reading) Moved by Deputy Mayor McAlary, seconded by Councillor MacKenzie: RESOLVED that the by-law entitled, "By -Law Number C.P. 111-095, A Law to Amend the Zoning By -Law of the City of Saint John" amending Schedule "A", the Zoning Map of The City of Saint John, by re -zoning land comprising 8,781 square metres at 1020 Rothesay Road also identified as being PID No. 55195598 from Rural (RU) to Rural General Commercial (CRG) and PID No. 00369231 from Two -Unit Residential (R1) to General Commercial (CG), be read. MOTION CARRIED. The by-law entitled, "By -Law Number C.P. 111-095, A Law to Amend the Zoning By -Law of The City of Saint John," was read in its entirety. Moved by Councillor Sullivan, seconded by Deputy Mayor McAlary: RESOLVED that Common Council, pursuant to the provisions of Section 59 of the Community Planning Act, impose the following conditions on the parcel of land having an area of approximately 8,781 square metres, located at 1020 Rothesay Road, also identified as PID Numbers 00369231 and 55195598: a) An asphalt apron be installed that matches the width of the driveway at the intersection with Rothesay Road. MOTION CARRIED. Moved by Deputy Mayor McAlary, seconded by Councillor Merrithew: RESOLVED that the by-law entitled, "By -Law Number C.P. 111-095, A Law to Amend the Zoning By -Law of the City of Saint John" amending Schedule "A", the Zoning Map of The City of Saint John, by re -zoning land comprising 8,781 square metres at 1020 Rothesay Road also identified as being PID No. 55195598 from Rural (RU) to Rural General Commercial (CRG) and PID No. 00369231 from Two -Unit Residential (R1) to General Commercial (CG), be read a third time, enacted and the Corporate Common Seal affixed thereto. MOTION CARRIED. Read a third time by title, the by-law entitled, "By -Law Number C.P. 111-095, A Law to Amend the Zoning By -Law of The City of Saint John." rl 11 COMMON COUNCIL / CONSEIL COMMUNAL August 17, 2020 / le 17 aoot 2020 Not having been in attendance for 111 and 2nd reading Councillors MacKenzie and Merrithew withdrew from the meeting for the 3rd readings of the items 10.4 —10.6. 10.4 Proposed Zoning By -Law Amendment — Rural Mixed Residential Ord Reading) Moved by Deputy Mayor McAlary, seconded by Councillor Reardon: RESOLVED that the by-law entitled, "By -Law Number C.P. 111-096, A Law to Amend the Zoning By -Law of the City of Saint John" adopting a new zone that would permit a mobile or mini home in addition to those uses currently permitted in Rural Residential (RR) zone; and amending existing definitions and tables to recognize and list this new zone as a residential zone, be read. MOTION CARRIED. The by-law entitled, "By -Law Number C.P. 111-096, A Law to Amend the Zoning By -Law of The City of Saint John," was read in its entirety. Moved by Councillor Reardon, seconded by Councillor Casey: RESOLVED that the by-law entitled, "By -Law Number C.P. 111-096, A Law to Amend the Zoning By -Law of the City of Saint John" adopting a new zone that would permit a mobile or mini home in addition to those uses currently permitted in Rural Residential (RR) zone; and amending existing definitions and tables to recognize and list this new zone as a residential zone, be read a third time, enacted, and the Corporate Common Seal affixed thereto. MOTION CARRIED. Read a third time by title, the by-law entitled, "By -Law Number C.P. 111-096, A Law to Amend the Zoning By -Law of The City of Saint John." 10.5 Proposed Zoning By -Law Amendment — Nadiana Way Ord Reading) Moved by Councillor Reardon, seconded by Councillor Casey: RESOLVED that the by-law entitled, "By -Law Number C.P. 111-097, A Law to Amend the Zoning By -Law of the City of Saint John" amending Schedule "A", the Zoning Map of The City of Saint John, by re -zoning parcels of land having an area of approximately 73,829 square metres, located at Nadiana Way, also identified as being PID Nos. 55223135, 55223143, 55223150, 55223168, 55223093, 55223291, 55223119, 55223176, 55223069 and 55223077, from Rural Residential (RR) to Rural Mixed Residential (RMX), be read. MOTION CARRIED. 8 12 COMMON COUNCIL / CONSEIL COMMUNAL August 17, 2020 / le 17 aoot 2020 The by-law entitled, "By -Law Number C.P. 111-097, A Law to Amend the Zoning By -Law of The City of Saint John," was read in its entirety. Moved by Deputy Mayor McAlary, seconded by Councillor Reardon: RESOLVED that the by-law entitled, "By -Law Number C.P. 111-097, A Law to Amend the Zoning By -Law of the City of Saint John" amending Schedule "A", the Zoning Map of The City of Saint John, by re -zoning parcels of land having an area of approximately 73,829 square metres, located at Nadiana Way, also identified as being PID Nos. 55223135, 55223143, 55223150, 55223168, 55223093, 55223291, 55223119, 55223176, 55223069 and 55223077, from Rural Residential (RR) to Rural Mixed Residential (RMX), be read a third time, enacted, and the Corporate Common Seal affixed thereto. IL Is] Ius] ►[ye\IN NIa91 Read a third time by title, the by-law entitled, "By -Law Number C.P. 111-097, A Law to Amend the Zoning By -Law of The City of Saint John." 10.6 Proposed Zoning By -Law Amendment — 20 Bundy Lane Ord Reading) Moved by Councillor Sullivan, seconded by Councillor Reardon: RESOLVED that the by-law entitled, "By -Law Number C.P. 111-098, A Law to Amend the Zoning By -Law of the City of Saint John", amending Schedule "A", the Zoning Map of The City of Saint John, by re -zoning a parcel of land having an area of approximately 1,394 square metres, located at 20 Bundy Lane, also identified as being PID No. 55062616, from Rural Residential (RR) to Rural Mixed Residential (RMX), be read. MOTION CARRIED. The by-law entitled, "By -Law Number C.P. 111-098, A Law to Amend the Zoning By -Law of The City of Saint John," was read in its entirety. Moved by Councillor Sullivan, seconded by Deputy Mayor McAlary: RESOLVED that the by-law entitled, "By -Law Number C.P. 111-098, A Law to Amend the Zoning By -Law of the City of Saint John", amending Schedule "A", the Zoning Map of The City of Saint John, by re -zoning a parcel of land having an area of approximately 1,394 square metres, located at 20 Bundy Lane, also identified as being PID No. 55062616, from Rural Residential (RR) to Rural Mixed Residential (RMX), be read a third time, enacted, and the Corporate Common Seal affixed thereto. IL Is] Ius] ►[ye\IN NIa91 Read a third time by title, the by-law entitled, "By -Law Number C.P. 111-098, A Law to Amend the Zoning By -Law of The City of Saint John." 13 COMMON COUNCIL / CONSEIL COMMUNAL August 17, 2020 / le 17 aoot 2020 Councillors Norton, MacKenzie and Merrithew re-entered the meeting. 11. Submissions by Council Members 11.1 Active Transportation (Mayor Darling) Moved by Councillor Hickey, seconded by Deputy Mayor McAlary: RESOLVED that in accordance with the City of Saint John Capital Budget Policy, the City Manager, working with city staff and Saint John Cycling, be directed to prepare a business case and presentation for the Finance Committee in September. Furthermore, that the Finance Committee make its recommendation back to council for final deliberations in the month of September. MOTION CARRIED. 12. Business Matters - Municipal Officers 12.1 Sustainability Update (Verbal) The City Manager updated Council on COVID 19 and Sustainability matters. COVID 19 — Highlight some misunderstanding concerning the Mandatory Order on social distancing remain in effect: • A 2 meters social separation is required, unless while seated in a venue then a 1 meter social separation is required • If cannot maintain the 2 meter social separation or indoor seating 1 meter social separation people must wear a face mask • The City has a program to provide free face masks at certain locations in the City • The City is investigating expanding the free mask program to include City buses Sustainability — Prong 2 addressing the 2021 budget deficit. The Financial 2021 budget will be presented this evening for Council to consider. Council will be asked to approve the 2021 budget at a future meeting. Prong 1 and 3 are in progress. Recommendations are forthcoming. Moved by Councillor Sullivan, seconded by Deputy Mayor McAlary: RESOLVED that the verbal Sustainability Update be received for information. I► 1001us] ►[ye\all lIa91 10 14 COMMON COUNCIL / CONSEIL COMMUNAL August 17, 2020 / le 17 aoot 2020 12.2 Demolition of Vacant, Dilapidated and Dangerous Buildings at 149 Broad Street Commissioner Hamilton provided some context on the Dangerous Building program having been reinstated after a suspension during COVID 19. Service level standards are targeted to resolve 50 cases by the end of this year. Referring to the submitted report, Technical Services Engineer B. Purinton provided a case overview recommending demolition. Responding to question on a process to address last minute offers to purchase, The City Manager stated that staff is working on an enhanced policy to address this matter which will require specific documentation. The Mayor stated that Commissioner Hamilton and Technical Services Engineer B. Purinton provided sufficient overview of the case that satisfied the recommendation to demolish the building to remedy the dangerous conditions. Moved by Deputy Mayor McAlary, seconded by Councillor Reardon: RESOLVED that as recommended by the City Manager in the submitted report M&C2020- 213: Demolition of Vacant, Dilapidated and Dangerous Buildings at 149 Broad Street, Council adopt the following: RESOLVED that the buildings located at 149 Broad Street, PID# 00000604, are to be demolished as they have become a hazard to the safety of the public by reason of dilapidation; and BE IT FURTHER RESOLVED that said buildings are to be demolished as they have become a hazard to the safety of the public by reason of unsoundness of structural strength; and BE IT FURTHER RESOLVED that one or more by-law enforcement officers appointed and designated under the Saint John Unsightly Premises and Dangerous Buildings and Structures By-law are hereby authorized to arrange for the demolition, in accordance with the applicable City purchasing policies. IL Is] Ius] ►f[ye\IN NIa91 12.3 2021 Draft General Fund Operating Budget The Chair of the Finance Committee Councillor Merrithew introduced the draft budget. Referring to the submitted report entitled 2021 Draft General Fund Operating Budget Commissioner Fudge advised the Finance Committee unanimously endorsed the draft and described the budget as a milestone budget. The budget provides the context of the 11 15 COMMON COUNCIL / CONSEIL COMMUNAL August 17, 2020 / le 17 aoot 2020 past budgets during the term of Council from 2016 that were stressed with infrastructure deficit, no reserve funds, and reliant on short term government funding. The proposed 2021 draft budget provides a stable tax rate that has been held for 12 consecutive years at $1.785, addresses structural deficit and reduces debt by increasing Pay -as -you -Go - investment, maintains reserves at a minimum of $2 million, keeps annual wage escalation in line with tax base growth and eliminates the reliance on the government short term financial assistance. The policies put in place mitigate the risk of future structural deficits. The budget considers COVID 19 impacts and includes a transfer to an operating account to ensure financial flexibility around the uncertainty of COVID 19. The 2021 Operating Budget has met the target set out in the Sustainability Plan. Commissioner Fudge described the budget as a historical budget for the City. The budget includes the elimination of a $10 million structural deficit. This is the first budget to be guided by the City's first long term financial plan. Moved by Councillor Sullivan, seconded by Councillor Merrithew: RESOLVED that as recommended by the City Manager in the submitted report M&C2020- 214: 2021 Draft General Fund Operating Budget, Common Council reflect upon the submitted draft of the 2021 Draft General Fund Operating Budget and make any and all inquiries and recommendations to staff; and receive and file this report. IL [0111us] ►[ye\all lIa91 13. Committee Reports 14. Consideration of Issues Separated from Consent Agenda 15. General Correspondence 15.1 M. Kotlowski: City of Saint John participation in the Canada Eme Commercial Rent Assistance program Moved by Deputy Mayor McAlary, seconded by Councillor Norton: RESOLVED that the M. Kotlowski Letter City of Saint John participation in the Canada Emergency Commercial Rent Assistance program be referred to the City Manager. MOTION CARRIED. 15.2 Active Transportation Letters of Support Moved by Councillor Merrithew, seconded by Councillor Hickey: RESOLVED that the Active Transportation Letters of Support be received for information. MOTION CARRIED. 12 COMMON COUNCIL / CONSEIL COMMUNAL August 17, 2020 / le 17 aoot 2020 16. Supplemental Agenda 16.1 Invitation to Provincial Parties to Present their Platforms on Municipal Reform to Council Moved by Deputy Mayor McAlary, seconded by Councillor Hickey: RESOLVED that the Mayor send a letter of invitation to the New Brunswick registered political party leaders (or party designate) to present their election platform on municipal reform at an upcoming meeting of the Saint John Common Council. MOTION CARRIED. 17. Committee of the Whole 17.1 General Counsel Appointment Moved by Councillor Sullivan, seconded by Councillor Reardon: RESOLVED that as recommended by the Committee of the Whole, having met on August 4, 2020, Common Council adopts the following resolution: RESOLVED that Melanie Tompkins be appointed to the position of General Counsel for the City of Saint John effective Thursday, October 1st, 2020, at a Management salary level of (B-1); and that a step increase to Management salary level (B-2) be awarded January 1, 2021; and that Ms. Tompkins be recognised as an "officer" of the City in accordance with Section 71(2) of the Local Governance Act and be afforded the protection afforded under Section 71(4) of the same Act. MOTION CARRIED UNANIMOUSLY. 17.2 Recommended Appointments to Committees Moved by Councillor Hickey, seconded by Councillor MacKenzie: RESOLVED that as recommended by Committee of the Whole, having met on August 4, 2020, Common Council makes the following appointments: Saint John Board of Police Commissioners: to appoint Katelin Dean and Tamara Kelly each for a three-year term from August 17, 2020 to August 16, 2023. MOTION CARRIED. 18. Adjournment Moved by Deputy Mayor McAlary, seconded by Councillor: RESOLVED that the meeting of Common Council held on August 17, 2020 be adjourned. 13 17 COMMON COUNCIL / CONSEIL COMMUNAL August 17, 2020 / le 17 aoot 2020 MOTION CARRIED. The Mayor declared the meeting adjourned at 8:55 p.m. 14 iF:3 COUNCIL REPORT M&C No. 2020-219 Report Date August 25, 2020 Meeting Date August 31, 2020 Service Area Corporate Services His Worship Mayor Don Darling and Members of Common Council SUBJECT: Service Delivery Upgrade for Innovation & Customer Service — Telephone Software Solution OPEN OR CLOSED SESSION This matter is to be discussed in open session of Common Council. AUTHORIZATION Primary Author Commissioner/Dept. Head City Manager Rachel Van Wart Stephanie Rackley-Roach John Collin RECOMMENDATION The City Manager recommends that: 1. The City enter into a thirty-six (36) months Service Schedule with Bell Canada for the On Demand Contact Centre ("ODCC") services described therein in the form attached to M&C No. 2020-219; and 2. The Mayor and Common Clerk be authorized to execute the necessary contract documents. EXECUTIVE SUMMARY The implementation of the upgraded telephone software will support the new Innovation and Customer Service area; specifically, the City's new Integrated Customer Service Centre (ICSC) which is scheduled to go -live December 1, 2020 and the City's Information Technology (IT) Service, with increased functionality of their 24/7 technical support help -desk. Bell Canada's On Demand Contact Centre (ODCC) will be implemented as an extension of our existing telephone solution services. The total cost for implementation of the ODCC solution with two queues (ICSC and IT) is $7,710.00 plus HST. Implementation costs will be covered with offsets managed within Information Technology budget. The annual operating cost for both queues is $23,715.96 plus HST and are accounted for in the draft 2021 operating budget, as a replacement cost for our existing telephone solution with Bell. -2- PREVIOUS RESOLUTION During Open Session on November 28, 2016, Council entered into an agreement with Bell Aliant for landline telecommunications services. 5.8 That as recommended by the City Manager in the submitted report M&C 2016- 289: Voice Communication Services for the City of Saint John: 1. The City enters into a Unified Communications & Centrex Multi -Provincial Blended Rates Services Schedule agreement Bell Aliant Regional Communications, Limited Partnership (Bell Aliant) for the delivery of unified Centrex telephone services, 2. The City enters into a Loyalty Program Schedule agreement with Bell Aliant Regional Communications, Limited Partnership (Bell Aliant); and, 3. The Mayor and Common Clerk be authorized to execute the necessary documents. REPORT On August 4, 2020, Common Council received a presentation on the City's new Integrated Customer Service Centre model; Service Saint John. An overview of associated technology required to support this project was provided and presented to Council and as mentioned in the presentation, it was noted that the upgraded telephone solution would be brought forward to Council at a later date in August. The City's existing Centrex Analogue telephone solution that allows for automatic call distribution (ACD), currently being utilized both within Information Technology (IT) and at Rothesay Avenue for Customer Service Transportation and Environment Services and Saint John Water calls, is outdated and lacks functionality required to support an enhanced customer service centre. Phone lines must be installed and hard -wired to allow for use. For business continuity purposes, employees are not able to work from home or alternative locations in the event of adverse weather conditions, emergency situations or pandemics. In addition, there is no telephone logger in place to allow for quality control, dispute resolution, coaching or training opportunities. The current setting leads to limited flexibility, analysis and call taking performance monitoring for the citizens of Saint John. The current budget constraints demand efficiency improvements and citizens expect better community services for their property tax investment. The City has an obligation to search for better tools to facilitate the delivery of services. K91 -3- With the new Integrated Customer Service Centre, there will be one phone number for citizens to access all City services. Whether citizens are looking to report a pothole, report a by-law infraction or confirm what day their garbage will be picked up, they will call one phone number. Phone numbers to access various different service areas within the City will be routed to the central phone line, in a phased approach prior to the December 1, 2020 go -live date. The complete list of City telephone numbers planned to be included in this transition are provided as an attachment to this report. On Demand Contact Center (ODCQ solution The Bell Canada On -Demand Contact Center (ODCC) solution is an extension of existing telephony service provider. The subscription -based solution does not require additional specialized on premise infrastructure or software. The Service Schedule is attached to and forms part of the Bell Master Agreement and is governed by its terms and conditions. The City will be utilizing the 'Basic Bundle' as outlined in the service schedule, with the addition of enhanced recording storage of 100 days. The system will be used by front-line customer service employees within the new Integrated Customer Service Centre and IT technical support help -desk employees. Using the ODCC solution, there are various different functionalities that will support the continuous improvement of service delivery. There are 27 different standard reports with extensive filtering capabilities. The centralized call recording feature, with 100 days of storage, will allow for quality control, dispute resolution, coaching and training opportunities. Interactive Voice Response (IVR) capabilities may be an option for recorded information lines, however limited IVR will be utilized, in order to quickly connect citizens with customer experience representatives. Employees using the system, whether in IT or ICSC, will be able to login and take calls from any phone, in any location; this means the ability to work from home or alternate city offices without installing hard -ware. Public communications or announcements can be easily self -managed with flexible audio file management. Implementation services are also included in the upgrade, which will cover training modules for front-line employees and managers, configuration and contact flow strategies. The implementation and training will be included in the overall transition plan for Service Saint John. The implementation of the new queue for the Information Technology department will be completed after the City Hall move is complete. The ODCC solution is specifically designed for smaller contact centres, with less than 1,000 agents. Other municipalities are taking advantage of this system, including the City of Fredericton where the solution is used for their Service Fredericton contact centre. 21 -4- STRATEGIC ALIGNMENT The integration of customer service functions, with the support of an upgraded contact centre telephone solution, aligns with following Council priorities: 'Valued Service Delivery' to 'explore service improvements through innovation, technology and developing partnerships with other organizations' and to 'Define service levels for all City services'; and 'Fiscally Responsible' to 'report on performance metrics to show effective service delivery and good fiscal management' and to 'advance a culture of continuous improvement to drive operational efficiencies'. SERVICE AND FINANCIAL OUTCOMES Bell Canada's On Demand Contact Centre (ODCC) will be implemented as an extension of our existing telephone solution services. The total cost for implementation of the ODCC solution is $7,710.00 plus HST. The implementation will be funded using offsets found within the Information Technology budget. The annual operating cost is $23,715.96 plus HST and is included in the 2021 draft operating budget, as a replacement cost for our existing telephone solution with Bell. These items have been included in the 2021 draft operating budget that was provided to Common Council at the August 17, 2020 Council meeting. The enhanced telephone system for ICSC and IT will allow the City to take the next steps in providing efficient and effective service delivery to citizens through the Service Saint John model. Measurable response times, accountability and fiscal responsibility will all be outcomes of the improved processes and reporting capabilities associated with this digital transformation. INPUT FROM OTHER SERVICE AREAS AND STAKEHOLDERS The City's Finance team has reviewed the requirements for the upgraded telephone solution and is supportive of the recommendation. City Solicitor's Office has reviewed the attached Service Schedule Agreement. ATTACHMENTS List of Phone Numbers — Integrated Customer Service Centre Project On Demand Contact Centre Service Schedule - Bell Canada WA Integrated Customer Service Centre Project Phone Listings to be Routed to Central Phone Line: 506-658-4455 City of Saint John Telephone Listings # Department/ Service Telephone Number Garbage Collection Transportation & Environment Services — Customer Service (24/7) Pedestrian and Traffic Management Roadway Maintenance Sidewalk Maintenance Signs, Signals and Markings Solid Waste Collection Storm Water Management Water & Wastewater Saint John Water Customer Service (24/7) 506-658-4455 1 Asset Management/ Facilities 506-658-2869 2 City Manager's Office 506-658-2913 3 City Market Manager 506-658-2820 4 City Solicitor's Office (Legal) 506-658-2860 5 Common Clerk's Office 506-658-2862 6 Corporate Communications 506-649-6008 7 1 Emergency Management/ Fire Services 506-658-2910 8 Fleet 506-658-2817 9 Finance/ Pension Administration 506-658-2951 10 Geographic Information Systems 506-674-4229 11 One -Stop Development Shop — Customer Service Permitting & Inspection Property Related By-law Enforcement Infrastructure Development Heritage Growth & Community Planning 506-658-2911 12 Human Resources 506-658-2866 13 Materials Management/ Purchasing 506-658-2930 14 Mayor's Office 506-658-2912 15 PRO Kids 506-642-7529 16 Real Estate 506-639-6575 17 Risk Management 506-658-2807 18 Rockwood Park— Interpretation Centre 506-658-2883 19 Ticket Payments English (Billing & Collections) Water Payments & Account Inquiries English 506-652-1960 20 Ticket Payments French (Billing & Collections) Water Payments & Account Inquiries French 506-652-1967 21 Parks and Recreation 506-658-2908 22 Saint John Parking 506-632-7275 506-658-2897 506-658-2970 23 Dog Control 506-633-1228 24 Sports Fields Recorded Information 506-652-7529 25 Snow Parking Bans Recorded Information 506-658-4040 Future Phase: Saint John Transit* 506-658-4700 *Saint John Transit phone number will be included when the Commission is brought into the City of Saint John organization 23 Bell Master Agreement Number: CN-0807-8441 Service Schedule Number: CN-2008-68206 ON DEMAND CONTACT CENTRE SERVICE SCHEDULE Customer Name: City Of Saint John (the "Customer") The services described in this On Demand Contact Centre Service Schedule (the "Service Schedule") are provided in accordance with and governed by either: i) a Master Service Agreement between the Customer and Bell Aliant Regional Communications, Limited Partnership (`Bell Ahanf'), subsequently assigned by Bell Ahant to Bell Canada (the "MSA" ); or ii) a Master Communications Agreement between the Customer and Bell Canada (`Bell") (the "MCA"), whichever is applicable. The MSA and MCA, whichever is applicable, shall herein be referred to as the "Master Agreement". Bell and the Customer agree that this Service Schedule is attached to and forms part of the Master Agreement and is governed by its terms and conditions, with effect from the date of execution of this Service Schedule by the Customer. Capitalized terms used but not defined in this Service Schedule have the meanings given to them in the Master Agreement. For the purposes of this Service Schedule, references to the "Agreement" shall include both the Master Agreement and the Service Schedule. 1. TERM 1.1. Initial Service Term: The terms and conditions of this Service Schedule shall be effective as of the last dated signature at the bottom of this Service Schedule. The Services shall commence at Service availability declaration time that is calculated as 3 business days after Jumpstart training is provided to the customer and customer is set up and trained to use the Service. The Service Schedule shall remain in effect for a period of 36 months (the "Initial Service Term"). 1.2. Service Renewal Term: Upon completion of the Initial Service Term, there shall be consecutive Service Terms each equal in length to the Initial Service Term, unless either party provides the other with written notice of non -renewal at least 30 days prior to the end of the Service Term. 1.3. Use of Services bevond Service Term: If the Customer has sent a notice of non -renewal but for any reason continues to receive the Service after the expiration or Termination of this Service Schedule, the terms and conditions of the Agreement including this Service Schedule shall continue to apply for so long as the Customer receives the Services, except that the Fees shall be the month -to - month fees for the Service in effect from time to time. 2. SERVICES 2.1. Definitions Concurrent Access — An individual in a contact centre that can handle customer contacts via the phone, e-mail, web chat, or voicemail. Named User - Named User profile offered with Concurrent Access Seat. Only one Named User can log into system at certain point of time however several named users can share same Concurrent Access through Named User feature. Also referred to as "Agent". ACD — Automatic Call Distributor is a device or system that distributes incoming calls to a specific group of eligible Agents. DTMF - Dual -tone multi -frequency signaling is used for telecommunication signaling over analog telephone lines in the voice -frequency band between telephone handsets and other telephony end points. IVR — Interactive Voice Response is a technology that allows a customer to interact with a computer through DTMF dial tones. Network — The underlying voice, internet, and communication connectivity within and between the Customer and platform. Supervisor — An individual within the contact centre that has the ability to perform administrative and management tasks. On Demand Contact Centre ("ODCC") Service Schedule Version 1.0 Page 1 of24 September 14, 2017 Master Agreement Number: CN-0807-8441 Service Schedule Number: CN-2008-68206 Tenant - a unique and secure account within the Services that supports everything related to unique working group of incoming channels, routing scripts, skills, Agents, monitoring, recording, reports, billing telephone numbers and configuration management of these items. Subscription or License — The terms subscription or license can be used interchangeably in the hosted context. A subscription or a license refers to an Agent capability or ability, or a service feature within the contact centre. It will be outlined whether it is a monthly fee or a one-time fee. Voice Only — indicates that the Agent is only available to use voice related media types such as telephony and voicemail. 2.2. Description of the Services: Bell shall provide the following services to the Customer (the "Service(s)"): The On Demand Contact Centre ("ODCC") Service is a cloud based application that provides all the features of a sophisticated multi -site contact centre solution. The application allows simultaneous users ("Concurrent Access") to log in and use it for handling telephony, chat and voice mail interactions/transactions. Every customer is provisioned in an application as a tenant ("Tenant'). Each Tenant has multiple Agents and Supervisors. Full administration rights and web -based Administrator access are provided to the Customer to administer their tenant environment. 2.3. Tenant basic features This collection of features is referred to as the "Basic Bundle" and applies to all Tenants. 2.3.1. Administrator The Customer administrator profile is created during onboarding. This is not a chargeable feature. The Customer administrator can give permission to any Agent or Supervisor to become and administrator. The Customer administrator is able to administer environment (IVR, change names and passwords of Agents, build new queues, change routing tables of their contact centre). 2.3.2. Concurrent Access. The minimum number of Concurrent Accesses per Tenant is one. Basic Tenant set up is offered with Voice Only features. Tenant can be upgraded into a multi -media environment by adding the Enhanced Bundle. See 2.4.1 for details. All Concurrent Accesses are provisioned with two Voice Ports. If more ports are required they can be acquired at additional charge as listed in Appendix A Table 1. 2.3.3. Named User Customer has three Agent profiles available with each Concurrent Access. More Agent profiles can be enabled by ordering Named User service. Named User charges apply as per Appendix A Table 1. 2.3.4. Supervisor. Supervisor is a permission assigned by the Administrator. Authorized Supervisors can monitor live Agent calls from any location. A Supervisor can use a web browser to pick an Agent to monitor. The system calls the Supervisor's phone with the call in progress and the microphone muted. Application interface buttons allow the Supervisor to barge -in, select another Agent or quit monitoring. Supervisors have scoped visibility to monitor and playback recordings of their own Agent groups only. 2.3.5. Network Access Each Concurrent Access is required to have a Network Access. (one per Access). Network Access is a gateway from the ODCC platform to the public switched telephone network (PSTN) through the Bell IP network. Long distance fees are included as part of this feature for the following call flow segments: • Outbound calls made via the Application by Agents to destinations within North America; • Inbound calls routed to Agent phones, where the Agent is located in North America; On Demand Contact Centre ("ODCC") Service Schedule Version 1.0 Page 2 of25 September 14, 2017 Master Agreement Number: CN-0807-8441 Service Schedule Number: CN-2008-68206 2.3.6. JumpStart Implementation Services. There are two variations of the JumpStart Implementation Service: a remote webinar version and an in person version. Prices between the two are charged differently but materials covered will be similar. Including and not limited to the following: • Overview of Agent and Supervisor training modules; • Define business objectives and contact flow strategy; • Assistance with completion of requisite order form for telephone carriers; • Tenant configuration through configuration manager; 2.3.7. Phone Number in Tenant (Voice Channels). Each unique inbound/outbound Local or inbound Toll -free number requires a Voice Channel to be provisioned. One Voice Channel is required with each Tenant to support either an inbound or outbound Local number or an inbound Toll Free number. Every Phone Number in Tenant Voice channel is a chargeable item please see rates at Appendix A Table 1. 2.3.8. Custom Dial Plan Allows Administrators to setup and interpret unique digit sequences dialed (including internal extensions) and convert into specific formatting of outbound dialed numbers. This is a required feature of the ODCC platform. 2.3.9. Additional Voice Port - ACD/IVR Voice Resource Port Each Concurrent Access comes with two shared inbound calling resources ("ports"). These resources are available to the entire Tenant. <Example> a Tenant has 10 Concurrent Access and therefore can manage 20 inbound or outbound calls. If only 5 Agents are logged in, the 20 resources are still available to the Tenant. In this example the 5 Agents could be handling 5 live calls and 15 calls could be handled by the IVR and/or waiting in Queue. Charge applies per each additional Port ordered. 2.3.10. Built-in IVR The Service includes IVR (Interactive Voice Response) capabilities managed through the web Administrator interface. The IVR supports multi -tier menus, Customer -entered digits, queue look -ahead logic for number of calls in queue and expected wait time. Multiple schedules with special day exceptions are supported in the IVR Logic. Database dip results can be used to alter routing and call priority as well as being forwarded with the call to support intelligent screen pops. Each incoming channel (Phone Number In Tenant) can have its own IVR script and localized message set. Each queue or skill can have its own on -hold message. This supports varied applications including multi -language localizations. Testing can be done on test channels. Once the application is correct, a production channel can use the tested script. Changes can be made in real- time. IVR is not a chargeable feature. 2.3.11. Queued Voice Mail The Services support Voice Mail queues. These are associated with IVR script logic and waiting on hold timeouts. Messages left in voice mail queues are associated with skills and priorities similar to any other interaction. As soon as there is an available Agent with the appropriate skill and priority, the voice mail is pushed to the Agent. Full contact centre metrics are available for Voice Mail handling Queue. Voice Mail Queue is not a chargeable feature. 2.3.12. Centralized Call Recording The Service provides call recording. Selectable criteria for recording are i) percentage of calls by skill, ii) percentage by Agent id inbound and/or outbound and iii) on demand using a button on the Agent toolbar. Recordings are indexed and viewable from any authorized Supervisor position. Individual recordings can be played back or saved to disk as .wav files. A secure ftp site is provided to download recordings in bulk. Default storage retention is 10 days. On Demand Contact Centre ("ODCC") Service Schedule Version 1.0 Page 3 of26 September 14, 2017 Master Agreement Number: CN-0807-8441 Service Schedule Number: CN-2008-68206 2.3.13. Transaction Codes Call Labels The Service allows to add labels to each inbound or outbound call that explains reason for the call. For example: new order, payment inquiry etc. This is not a chargeable feature. 2.3.14. Status Codes The service allows Supervisors better tracking of an Agent time. Agents are able to select a code that describes their current state (ready, lunch, in training etc). This is not a chargeable feature. 2.3.15. Agents Anywhere Agents at home or office, local or remote, are handled in a uniform manner. Agent, Supervisor and Administration Application Interfaces are all securely assessable from anywhere through a broadband Internet connection. Calls are held in queue on the ODC C's infrastructure. When an appropriately skilled Agent becomes available, the system extends the call to the appropriate Agent logged wherever they are located. The Agent Application Interface provides office and ACD phone features such as multiple lines, conference, transfer, hold, mute, record, ready, after call work, break, etc. without any special phone set requirements. 2.3.16. Any Phone Anywhere A directly addressable voice terminal can be any ten digit number telephone regardless of technology. The platform Application Interface allows Agents and administrators to enter or change a direct dial phone number. This is limited to numbers in North America only. 2.3.17. CTI Anywhere without Special Equipment Bell provides CTI (Computer Telephony Interface) screen pop to Agents without CTI interfaces and equipment. The ODCC's technique leverages basic telephony signals (ringing, busy, and connected) with coordinated messages pushed to the Agent's browser. 2.3.18. Self -Managed Flexible Audio Files Wave files for announcements, prompts and music on hold are uploaded through the Administrator web interface. Audio files can be added or changed in real time. Managed by Customer Administrator. 2.3.19. Contact & Case Management Solution (CCM) This feature provides a built-in Customer Relationship Management (CRM) feature which enables the collection of end user customer data such as name, phone number. This feature is required for using the email, chat and voicemail routing feature. 2.3.20. Application Integration (API Prepackaged or Custom) Application Program Interface (API) is used for integrating 3rd party CCM, databases or applications with the On Demand contact centre platform. Provides access to Pre -packaged Integrations and Custom CRM. Available pre -packaged integrations include: • Microsoft • NetSuite • Salesforce (CTI & Multichannel Connect) • ZenDesk Integrations One API integration session is included in the Basic Bundle at no cost; additional sessions are chargeable items. 2.3.21. Wallboards Provides access to the web -based wallboard application used for displaying statistics. One wallboard connection is included in the Basic Bundle; additional connections are available by adding the Enhanced Bundle or by purchasing additional Wallboard connections. On Demand Contact Centre ("ODCC") Service Schedule Version 1.0 Page 4 of2f September 14, 2017 2.4. Master Agreement Number: CN-0807-8441 Service Schedule Number: CN-2008-68206 2.3.22. Reporting 2.3.22.1 Advanced Service Level Reporting and Alerting ODCC offers separate service level objectives for each queue/skill. Historical reports are organized to reflect the service level targets showing the intervals where the objectives are met and when they are not reached. In addition to historical reporting, the service level parameters can generate email notifications whenever the objective is not being met. 2.3.22.2 Real -Time Reporting Supervisor positions are able to see the real-time status of their Agents and the time the Agent has been on a particular status. They are also able to see the number of calls in progress, the number waiting and the longest waiting call per queue/skill. Supervisors have access to real-time service level screens and real-time Agent status graphs indicating the percentage of time in various states (e.g. on call, waiting, after work, on break, etc.). 2.3.22.3 Real -Time Display Window • Queue Management Statistics; • Agent Management Statistics; • Agent activity bar graph last 30 minutes; • Agent activity bar graph all day. 2.3.22.4 Historical Reporting ODCC provides 27 standard reports with extensive filtering capabilities. Reports are generated on demand and can be selected by date interval, Agent groups, queues and media type. Reports are accessible though the Supervisor Agent GUI and are delivered in CSV or Excel spreadsheet formats. 1.1.(List of reports is available on Appendix B). Optional Services 2.4.1. Enhanced Bundle The Enhanced Bundle is a set of features sold as a single package. The Enhanced Bundle is optional and requires that the Basic Bundle has also been selected. The Enhance Bundle is chargeable based on Concurrent Access. When selected the Enhanced Bundle must be licensed for all Concurrent Access licenses in the Basic Bundle, it is not possible to license only a subset of Agents in the same Tenant for the Enhanced Bundle. The Enhanced Bundle contains the following features: 2.4.1.1 Email Allows Agents to handle email contacts. Emails to the designated contact centre email addresses are queued and distributed to Agents using the common universal queue for all media types. Incoming email is subject to scripting to check for viruses and Spam and to deliver automatic responses/acknowledgements before being entered into the universal queue with an associated skill and priority. 2.4.1.2 Web Chat Allows Agents to Handle web chat contacts. Chat sessions initiated from a web page link are queued and distributed to Agents using the common universal queue for all media types. 2.4.1.3 Co -browse Allows Agents to conduct a collaborative web -browsing session with customers as part of a web chat session. On Demand Contact Centre ("ODCC") Service Schedule Version 1.0 Page 5 of2$ September 14, 2017 Master Agreement Number: CN-0807-8441 Service Schedule Number: CN-2008-68206 2.4.1.4 Enhanced Text to Speech Allows the use of different voices for Text to Speech playback as part of an IVR script, as well as playback elements for digits, phone numbers, currency dates and times. Supported voices are English (US), French, Italian and German. 2.4.1.5 Universal Queue for Multimedia The Services are built around a universal queue with skills based routing of voice, voice mail, email and chat interactions. Agents can be assigned multiple skills with multiple skill levels for each skill. Queue is not chargeable feature. 2.4.2. Enterprise Bundle The Enterprise Bundle is a set of features sold as a single package. The Enterprise Bundle is optional and requires that both the Basic Bundle and Enhanced Bundle has also been selected. The Enterprise Bundle is chargeable based on Concurrent Access. When selected the Enterprise Bundle must be licensed for all Concurrent Access licenses in the Basic Bundle, it is not possible to license only a subset of Agents in the same Tenant for the Enterprise Bundle. The Enterprise Bundle contains the following features: 2.4.2.1 Outbound Campaign Dialer Campaign dialer allows to create and manage outbound calling campaigns. Only preview dialling mode is supported. The Campaign dialer retrieves data from CCM. Only customers that already subscribed to CCM can use the service. 2.4.3. Quality Management Quality Management enables Supervisors to identify and monitor Agents for the purposes of ensuring quality customer experience. Quality Management is an optional feature that is chargeable based on Concurrent Access. Quality Management uses the recordings gathered by the ODCC voice recording platform and enables the following features: • Enhanced search and filtering of recordings; • Screen recordings; • Live Monitoring; • Quality Assurance evaluation forms and reports. 2.4.4. Collaborate (Desktop Sharing) With ODCC's desktop sharing tool, an Agent can take control of the caller's remote computer to solve an issue, stall and configure software, or help complete a transaction. The caller sees every action the Agent performs as it occurs in real-time and can disconnect the Agent at any time. Rate applies per Concurrent Access. 2.4.5. Web Call Back Allows Customer clients to request a call back through customer WEB site at particular point of time, when Agent is free or now. Rate applies per Concurrent Access. 2.4.6. Additional Phone Number In Tenant (Voice Channels) Each unique inbound/outbound Local or inbound Toll -free number requires a Voice Channel to be provisioned. One Voice Channel is required with each Tenant to support either an inbound or outbound Local number or an inbound Toll Free number. Additional voice processing channels, if required, may be purchased by Customer to add more voice channels to allow for more calls to be placed on hold in the event all Agents are busy. Charges apply per each additional channel added to Tenant. On Demand Contact Centre ("ODCC") Service Schedule Version 1.0 Page 6 of2s September 14, 2017 Master Agreement Number: CN-0807-8441 Service Schedule Number: CN-2008-68206 2.4.7. Additional Recording Storage Additional Storage is used for the storage requirements of Conversation Recordings only. Recorded Conversation extended recording storage retention is offered on a per Agent basis and recordings are indexed and viewable from any authorized Supervisor position. Individual recordings can be played back or saved to disk as .wav files. A secure ftp site is provided to download recordings in bulk at the end of each additional recording storage period. Additional storage retention is offered in 10, 40, 100, and 400 day options. Charge applies per each Concurrent Access. 2.4.8. Additional Screen Recording Storage Additional Screen Recording Storage is used for the storage requirements of Screen Recordings only. Screen recording storage retention is offered on a per Agent basis and recordings are indexed and viewable from any authorized Supervisor QM desktop. Individual recordings can be played back or saved to disk as video files. Additional storage retention is offered in 10 and 40 day options. Charge applies per each Concurrent Access. 2.4.9. Additional Extra Voice Port - ACD/IVR Voice Resource Port 2.4.10. If two ports per Concurrent Access seat does not provide enough capacity customer may choose to order additional ports. Charge Applies per each additional Port.Transaction Codes CLID. 2.4.11. The Service allows to create outbound calling line identification display (CLID). Charges apply per each phone number added to a list of displayed numbers. 2.4.12. Additional training Additional training is available on customer request. Training is delivered either on site or though Webinar. Per hour or daily rate applies. 2.4.13. Professional Services Professional Services that are requested to assist with Custom API set up or with implementation set up are offered at additional charge. Scope of Work document might be required for more complex work. The charge depends on complexity of the services offered. On Demand Contact Centre ("ODCC") Service Schedule Version 1.0 Page 7 of3o September 14, 2017 3. 3.1. Master Agreement Number: CN-0807-8441 Service Schedule Number: CN-2008-68206 Non -Malicious Use Clause You will not download or otherwise export or re-export the Software or information, directly or indirectly, to persons listed on the Foreign Affairs and International Trade Canada's Terrorist List, nor anything equivalent globally. 3.2. In addition to Customer's responsibilities described elsewhere in this Service Schedule, Customer shall be responsible for the following during the Service Term: 3.2.1. managing and procuring the necessary infrastructure and software that is required to use the Service; 3.2.2. assigning one or more Customer Administrators, whose job is to manage any configuration in an application for all Agents and provide support to all Agents. Ensure that only authorized users have access to on line service order tool; 3.2.3. maintaining the confidentiality and security of any user IDs and passwords; 3.2.4. providing Bell with all technical data and all other information Bell may reasonably request from time to time to allow Bell to supply the Services to Customer; 3.2.5. ensuring the accuracy of all information supplied to Bell by Customer or otherwise made available to Bell; 3.2.6. identifying business management and/or technical contacts for single point of contact & escalation purposes; list of authorized callers not more than 4 per client. 4. FEES AND CUSTOMER SELECTED -OPTIONS 4.1. Monthly Fees and Service Charles. 4.1.1. Minimum Monthly Fee Customer commits to a certain Minimum Monthly Fee of $1,976.33. Customer subscribes to ODCC services and features. Charges for ODCC services and features are calculated based on rates listed in a table 1 Appendix A. If in any given month Customer total ODCC charges are below Minimum Monthly Fee Customer will be charged Minimum Monthly fee. 4.1.2. Initial Tenant set up and additional services Customer orders ODCC services and features as per Initial Tenant set up table 2 Appendix A. Charges for Initial Tenant set up are calculated based on rates listed in a table 1 Appendix A. During the Term, Customer can add or discontinue services. Additional services are ordered through self serve ordering tool or by contacting Bell Service Desk. Additional services ordered during the Term are charged at rates listed at Appendix A. Customer can discontinue services and features without penalty however if Customer service charges get below committed Minimum Monthly fee (see 4.1.1.) Customer will be charged the Minimum Monthly fee. 4.1.3. Fees listed in this Services Schedule are exclusive of Sales and Use Taxes, as defined in the MSA, or Taxes, as defined in the MCA, whichever is applicable. On Demand Contact Centre ("ODCC") Service Schedule Version 1.0 Page 8 of39 September 14, 2017 Master Agreement Number: CN-0807-8441 Service Schedule Number: CN-2008-68206 5. SERVICE LEVEL OBJECTIVES 5.1. Help desk Help desk service is available 24*7*365. 5.2. Authorized users Customer assigns up to 4 authorised users (Administrators) that have authority to contact Bell Help desk. The Customer Administrators provide support to Agents and Supervisors. 5.3. Service availability, Mean Time to Notifv (ITTN) and Mean Time to Restore (MTTR) objectives Severity MTTN MTTR Availability Severity one — Production system is 1 hour 4 hours 99.9% down or severe degradation where the service is unusable Severity two — Business function 4 hours 8 hours limitation where 50% or more of a media type (voice, email, chat) or function is inoperable or 50% of Agents are inoperable. Severity three —Issue that does not 1 week significantly impair business operation and is limited to a single user, error or function. Severity four — Information Request 1 week or Enhancement Request Availability calculated as total amount of a downtime related to severity 1 incidents minus planned downtime divided by total time in a given month. On Demand Contact Centre ("ODCC") Service Schedule Version 1.0 Page 9 of3!P September 14, 2017 Bell Master Agreement Number: CN-0807-8441 Service Schedule Number: CN-2008-68206 5.4. Planned Downtime 5.4.1. Planned Downtime. Planned downtime occurs when Customer have no access to the Services due to scheduled maintenance by Bell or Bells data centre host ("Planned Downtime") 5.4.2. Scheduling of Planned Downtime. Bell will make commercially reasonable efforts to schedule Planned Downtime at a time and manner reasonably anticipated to minimize disruptions to all of its affected customers. It is anticipated that Planned Downtime will include scheduled maintenance and application upgrades. Bell anticipates and will use commercially reasonable efforts to ensure that scheduled maintenance and application upgrades will occur no more than four times a year, between the hours of 1:00 AM and 6:00 AM Eastern Standard Time. 5.4.3. Notice for Planned Downtime. Bell will use commercially reasonable effort to provide twenty-four (24) hours prior notice for scheduled Planned Downtime not to exceed one (1) hour. For all Planned Downtime scheduled to last one (1) hour or more, Bell will use commercially reasonable effort to provide at least seventy-two (72) hours prior notice. Notice provided under this Section will be via email. 5.5. Security and Access management Bell has implemented and will maintain high security practices, procedures and safeguards with respect to the Services, including a password policy and other technical and organizational safeguards against accidental, unlawful or unauthorized access to or use, destruction, loss, alteration, disclosure, transfer or commingling of Customer Confidential Information, which are equal to or better than applicable industry practices and standards. With limiting the foregoing, Bell will maintain all Customer Confidential Information in its Canadian data centres, protected by a combination of robust hardware and software, physical security and 24/7 monitoring. 5.5.1. Storage of Data Elements Bell will retain and store all non -voice recording data elements of the Service, including chat transcriptions and emails, throughout the Term. All such data elements will be Customer Confidential Information. At all times during the Term, Customer will have the ability to access and extract all such stored data.elements. Bell will delete each data element promptly after its required retention period has expired. Voice and Screen Recording elements are retained based on the recording retention option select by Customer in Appendix A. 5.5.2. Service Continuity and Disaster Recovery Throughout the Term and at all times in connection with its actual or required performance of the Services hereunder, Bell will maintain disaster and service interruption avoidance procedures designed to safeguard the Customer data and Customer's other Confidential Information and the availability of the Services, including data backup and maintenance of a business continuity and disaster recovery plan for the Services, designed and deployed in a manner consistent with the service level objectives set out in Section 5. Bell will actively and regularly test, review and update such plan. In the event of any unplanned interruption of the Services, Bell will implement such plan and will make every effort to restore the Services as soon as feasibly possible, which may include migration to a redundant data centre. 5.6. Termination Fees: Customer may terminate, in whole, the Service it has requested under this Service Schedule ("Terminated Service") at any time before the end of the Term by giving notice of termination to Bell at least 30 days before the proposed early termination date. If Customer terminates the Service under this Section, the Customer shall pay to Bell all Fees, Taxes and Late Payment Charges due for the Terminated Service up to the date of termination. Customer shall also pay to Bell (i) 100% of the reasonable out-of-pocket expenses that Bell incurs or will incur in connection with its contractual arrangements with the Bell Providers (as defined in the Agreement), and (ii) an amount equal to 50% of the remaining monthly Fees for the Terminated Service that would have been payable to the end of the Service Term (collectively, the "Termination Fees"), plus Taxes on the Termination Fees. The Termination Fees are liquidated damages and consideration for the Services, and are not a penalty. The parties acknowledge that the Termination Fees are a reasonable pre -estimate of the damage that would be anticipated to be suffered by Bell upon termination. On Demand Contact Centre ("ODCC") Service Schedule Version 1.0 Page 10 o813 September 14, 2017 Master Agreement Number: CN-0807-8441 Service Schedule Number: CN-2008-68206 6. MAJOR AND MINOR PRODUCT RELEASE VERSIONS Bell will have the option to patch and upgrade the services on a regular basis. When the service will be upgraded to a major next version, Customer will be given 2 week notice and will be made aware of when the upgrades will happen. By signing below, Bell and the Customer agree that this Services Schedule is attached to and forms part of the Master Agreement. City Of Saint John Bell Canada SIGNATURE: NAME: TITLE: I am authorized to bind Customer to the terms and conditions of this Services Schedule. DATE: YYYY-MM-DD City Of Saint John SIGNATURE: NAME: TITLE: I am authorized to bind Customer to the terms and conditions of this Services Schedule. DATE: YYYY-MM-DD SIGNATURE: NAME: TITLE: I am authorized to bind Bell Canada to the terms and conditions of this Services Schedule. DATE: YYYY-MM-DD On Demand Contact Centre ("ODCC") Service Schedule Version 1.0 Page 11 osi f September 14, 2017 Master Agreement Number: CN-0807-8441 Service Schedule Number: CN-2008-68206 Appendix A TO ON DEMAND CONTACT CENTRE ("ODCC") SERVICE SCHEDULE ODCC PRICEBOOK Table 1. ODCC price book. Per unit rates apply to initial Tenant set up and for add ins and disconnect done over the Term. Taxes are not included. #'s Price Jumpstart 1 $ 5,000.00 Jumpstart Multimedia 0 $ Jumpstart Outbound 0 $ Agents 11 $ 75.00 DID Activation 31 $ 10.00 Additional Training 0 $ 3,500.00 Quality Management Deployment 0 $ 4,500.00 WFM Deployment+Training 0 $ Jumpstart Disaster Recovery 0 $ 250.00 ADS - Bank Of Hours PS -sow 1 PS - SOW 2 DID Voice channels Test DID Voice Channel Total DID Voice Channels 10 days 40 days 100 days 400 days #'s Price 10 $ 1,575.00 0 $ 0 $ Total 31 $ 5.00 $ 1 32 $ 5.00 $ #'s Price Total 0 $ 0 $ 32.38 11 $ 37.00 $ 0 $ 55.50 $ Total #'s Price Total Price 5,000.00 Basic Bundle Concurrent Seats 11 $ 101.86 $ 1,120.46 Included Named Users (1:3) 22 825.00 Total Agent Profiles 33 310.00 Additional Named Users 0 $ 30.00 $ Total Agent Profile Count 33 Status and Transaction Codes 11 $ $ Custom Dial Plan 11 $ 1.00 $ 11.00 Network Access 11 $ 25.72 $ 282.87 Contact and Case Management (CRM) 11 $ $ Enhanced Bundle Email 0 $ $ Webchat (price rolled up in Email) 0 $ $ Other Features Web Callback 0 $ 5.00 $ 1,575.00 Outbound Preview Dialer 0 $ 32.38 $ Additional ACD/IVR Port 0 $ $ Transaction Codes - Calling Line ID 0 $ $ WAPI Tool 1 $ $ Additonal Wallboards 0 $ 32.38 $ 155.00 Disaster Recovery 0 $ 37.00 $ Customer Journey & Call Survey 0 $ 13.88 $ 155.00 puuuoi lJll II uu luu IIIIIIII011 IIII� IIIIIIIp1101 Illlllili III�I IIIIIIIII�II #'s Price Total QM Base Bundle 0 $ 32.38 $ 10 days screen recording 0 $ 32.38 $ 40 days screen recording 0 $ 37.00 $ 407.00 Speech Analytics 0 $ - $ On Demand Contact Centre ("ODCC") Service Schedule Version 1.0 Page 12 os,5 September 14, 2017 Master Agreement Number: CN-0807-8441 Service Schedule Number: CN-2008-68206 WS Price Total pill�llpllullllll�lgtil�lplllpl�ll Base Bundle 0 $ 27.75 $ Length of Contract $ 3.00 Advanced Bundle 0 $ 32.38 $ Total Concurrent Agents $ 11.00 LifeStyle Bundle 0 $ 7.40 $ Total One time +PS $ 7,710.00 Notify Bundle 0 $ 10.18 $ Total Monthly $ 1,976.33 Payrol Export 0 $ 10.18 $ Outbound Manager 0 $ 1.85 $ Total Contract Value $ 78,857.70 Dedicated Azure Instance 0 $ 10.18 $ Customer can issue 5 MACD orders per month free of charge. MACD fee is a flat fee that applies per each MACD order issued in excess of 5 free orders in a given month. MACD fee also applies to any change acknowledged by Bell and canceled before change is implemented. Additional MACDs beyond the initial 5 free per month are charged at an hourly rate of $160 per hour. The exact price to be confirmed by the Bell service desk based on the effort required for that MACD, with a minimum charge of $160. Professional service charge is not part of this Service Schedule. SoW or amendment to the Agreement will be required. Additional Professional Service change applies to Professional Services offered at off business hour. On Demand Contact Centre ("ODCC") Service Schedule Version 1.0 Page 13 o815 September 14, 2017 Master Agreement Number: CN-0807-8441 Service Schedule Number: CN-2008-68206 APPENDIX B TO ON DEMAND CONTACT CENTRE ("ODCC") SERVICE SCHEDULE STANDARD REPORT LIST List of Standard Historical Reports • Agents: Time on status • Groups: Time on status • Agents: Login time • Agents: Inbound transactions • Agents: Inbound transactions per media • Agents: Inbound transactions per media per queue • Agents: Inbound transactions per media per channel per queue • Agents: Processing and post processing times • Agents: Processing and post processing times per media • Agents: Processing and post processing times per media per queue • Agents: Processing and post processing times per media per channel per queue • Agents: Other transactions analysis • Media: Inbound transactions • Queues: Inbound transactions • Channels: Inbound transactions • Media: Abandoned transactions • Queues: Abandoned transactions • Media: Accepted transactions - on line media • Queues: Accepted transactions - on line media • Channels: Accepted transactions - on line media • Media: Accepted transactions - off line media • Queues: Accepted transactions - off line media • Channels: Accepted transactions - off line media • Agents: Detailed accepted transactions activity • Queues: Detailed entered transactions activity • Queues: Detailed accepted transactions activity • Agents: Detailed outbound call activity On Demand Contact Centre ("ODCC") Service Schedule Version 1.0 Page 14 os? September 14, 2017 COUNCIL REPORT M&C No. 2020-220 Report Date August 26, 2020 Meeting Date August 31, 2020 Service Area Growth and Community Development Services His Worship Mayor Don Darling and Members of Common Council SUBJECT. Rescheduling of Public Hearing dates and locations — 30 King George Court, 445 St. Martin's Road, 4001 King William Road and 910 Fairville Boulevard OPEN OR CLOSED SESSION This matter is to be discussed in open session of Common Council. AUTHORIZATION Primary Author Commissioner/Dept. Head City Manager Kenneth Melanson Jacqueline Hamilton John Collin RECOMMENDATION That Common Council: 1. Cancel the Public Hearings for Monday, September 14, 2020 for the rezoning and Section 59 applications for Gordon Breau (30 King George Court), Dana Whitenect (445 St. Martin's Road) and Natural Forces (4001 King William Road) and re -schedule these hearings to Monday, September 28, 2020 at 6:30 p.m. to occur in Council Chambers with a remote participation option; and, 2. Re -locate the proposed public hearing for the Zoning By-law amendment application for Buland Akhtar (910 Fairville Boulevard) to be held on Tuesday October 13, 2020 in Council Chambers with a remote participation option. EXECUTIVE SUMMARY The purpose of this report is to: 1) Cancel the public hearings scheduled for Monday, September 14, 2020; 2) Schedule a new public hearing date and location for items that had been scheduled for the September 14, 2020 to Monday, September 28, 2020, at 6:30 p.m. to be heard in Council Chambers with a remote participation option; and, 2) Establish a new location for the Tuesday, October 13, 2020 public hearing to occur in Council Chambers with a remote participation option. 011 -2- As the date for the recently announced provincial election is to occur on September 14t", staff is recommending to the reschedule the public hearing date. In addition, the City is proceeding with in -person meetings, starting in September. These meetings will respect mandatory orders for social distancing and this change will signify that the prior reliance on an exclusively digital public hearing process will be discontinued. PREVIOUS RESOLUTION At the July 20, 2020 and August 17, 2020 meetings, Common Council resolved to set public hearing dates, times and locations for the above noted applications. At its meeting of August 3, 2004, Common Council resolved that: 1. the Commissioner of Planning and Development receive all applications for amendments to the Zoning By-law and Section 39 [now referred as section 59] resolutions/agreements and proceed to prepare the required advertisements; and 2. when applications are received a report will be prepared recommending the appropriate resolution setting the time and place for public hearings and be referred to the Planning Advisory Committee as required by the Community Planning Act. REPORT On Monday, August 17, 2020—the Provincial Government announced that a provincial election will be held on Monday, September 14, 2020. As a result of this announcement, the public hearings originally scheduled for that date will need to be rescheduled. The proposed new date is Monday, September 28, 2020 at 6:30 p.m. in the Council Chambers. The Community Planning team has worked with applicants and determined that the date change will not cause any challenges for their development plans. Additional letters to adjacent residents will be circulated for those applications originally scheduled for September 14, 2020 to ensure citizens wanting to participate are aware of the date and location change. Updated Public Notices reflecting the change in date and location will be posted to comply with Community Planning Act timeline requirements. The proposed location change for the Tuesday, October 13, 2020 public hearing will correspond with the move back to in person Council meetings. No public notices or letters to adjacent residents have been circulated at this time and so any notices will be created with the new location. This signifies that the City will no longer offer an exclusively digital public hearing service for residents. The in -person meetings will also follow public health requirements for social distancing, in addition to City of Saint John requirements for self -assessment of -3- COVID-19 symptoms (for visitors to City Hall) and wearing of a mask in Council Chambers. Participants will also be required to register their contact information to enable contact tracing. Those wishing to participate without being in the Council Chambers will be accommodated through remote participation, which is currently being finalized by the Common Clerk's office. Public Advertisements for Public Hearings will continue to require the public to register since capacity of Council Chambers will be limited. Questions and registration will continue to be referred to the office of the Common Clerk, as had been setup during the virtual public hearing process. Listed below are the applications and the noted changes proposed with this report: Name of Applicant Location Proposed Changes Gordon Breau 30 King George Change of public hearing date to Monday, Court September 28, 2020 at 6:30 p.m. and location change to be in Council Chambers Dana Whitenect 445 St. Martin's Change of public hearing date to Monday, Road September 28, 2020 at 6:30 p.m. and location change to be in Council Chambers Natural Forces 4001 King Change of public hearing date to Monday, William Road September 28, 2020 at 6:30 p.m. and location change to be in Council Chambers Buland Akhtar 910 Fairville Public Hearing scheduled for Tuesday, October Boulevard 13, 2020. Change of public hearing location to be in Council Chambers STRATEGIC ALIGNMENT While the holding of public hearings is a legislative requirement of the Community Planning Act, it is also a key component of a clear and consistent land development process, which provides transparency and predictability to the development community and City residents. The development approvals process helps fulfill Council's priorities by: • ensuring Saint John has a competitive business environment for investment; • supporting business retention and attraction; and • driving development in accordance with PlanSJ which creates the density required for efficient infrastructure, services and economic growth. SERVICE AND FINANCIAL OUTCOMES The scheduling of the public hearing and referral to the Planning Advisory Committee satisfies the legislative and service requirements as mandated by the Community Planning Act. -4- INPUT FROM OTHER SERVICE AREAS AND STAKEHOLDERS Not Applicable ATTACHMENTS None !II COUNCIL REPORT M&C No. 2020 - 209 Report Date August 25, 2020 Meeting Date August 31, 2020 Service Area Finance and Administrative Services His Worship Mayor Don Darling and Members of Common Council SUBJECT: City Market Lease with RoseLynn Foods DBA Jeremiahs OPEN OR CLOSED SESSION This matter is to be discussed in open session of Common Council. AUTHORIZATION Primary Author Commissioner/Dept. Head City Manager Andrew MacDonald Ian Fogan/Kevin Fudge John Collin RECOMMENDATION 1. That the City enters into a Lease for the premises as referred to and described in Schedule "A" of the lease in the City Market with RoseLynn Foods DBA Jeremiahs, under the terms and conditions as set out in the Lease submitted with M&C 2020 - 209. 2. That the Mayor and Common Clerk be authorized to execute any necessary documents. EXECUTIVE SUMMARY City staff and the owners/operators of Jeremiahs have reached an agreement that will have the business lease space described in Schedule "A" of the lease in the City Market. The term will be for five (5) years, commencing September 1, 2020 with an option to renew for an additional five (5) years. Rents will be at market value as defined in Schedule C. The lease document as attached is standard and consistent with the leases granted to other tenants in the City Market, with a few exceptions to account for the different business nature, scope and investment of this tenant. PREVIOUS RESOLUTION N/A :1 -2- STRATEGIC ALIGNMENT Providing for continuing business at a staple in the City's Uptown Core which aids in maintaining a livable community that is vibrant and diverse, while providing an integrated approach to economic development. REPORT City staff has an agreement with RoseLynn Foods DBA Jeremiahs to operate the space described in Section 2.01 of the lease in the City Market that would commence effective September 1, 2020. Their business would be centered on the sales of Sandwiches, Soups, Sweets, Frozen Treats, Deli Meats as well as Catering. The initial term is for five years with an option to renew for an additional five years. The lease document is standard and consistent with the leases granted to other tenants in the City Market. SERVICE AND FINANCIAL OUTCOMES The operation and presence of Jeremiahs within the City Market will continue to add to a vibrant scene in the City's Uptown area, focusing on both local and visiting patrons. This Lease will generate revenue of approximately $32,000 per annum. INPUT FROM OTHER SERVICE AREAS AND STAKEHOLDERS Staff of the City Market and Facility Management has provided input into the preparation of this report and the City's Legal Department has prepared the Lease Agreement. ATTACHMENT 1. Lease Agreement with RoseLynn Foods DBA Jeremiahs. !i93 Form A19 LEASE Standard Forms of Conveyances Act, S.N.B. 1980, c. 5-12, s.2 The parties to this lease are: The City of Saint John, having its City Hall at 15 Market Square, Saint John, New Brunswick, a body corporate by Royal Charter, confirmed and amended by Acts of the Legislative Assembly of the Province of New Brunswick, the "Lessor" - and — RoseLynn Foods LTD., 47 Charlotte Street, Saint John, New Brunswick, E2L 2118 a corporation, registered under the laws of the Province of New Brunswick, "the Lessee". The "Rules and Regulations" attached hereto as Schedule "D" and the Form attached hereto as Schedule "D-1" form part of this Lease. The Lessor leases to the Lessee the premises described in Schedule "A" attached hereto on the following conditions: Duration: Date of Commencement: Date of Termination: Payment Dates: Place of Payment: 5 years September 1, 2020 August 31, 2025 First day of each and every month during the term hereof Cashier's Office City Hall Saint John, NB This lease contains the covenants and conditions which are attached and set out in Schedule "C„ DATED , 2020. SIGNED, SEALED & DELIVERED in the presence of: THE CITY OF SAINT JOHN Mayor Common Clerk Common Council Resolution: , 2020 RoseLynn Foods Ltd. Per: And 44 SCHEDULE "D" RULES AND REGULATIONS 1. All loading and unloading of goods shall be done only at such times, in the areas, and through the entrances, designated for such purposes by the Landlord. 2. The delivery or shipping of merchandise, supplies and fixtures to and from the Leased Premises shall be subject to such controls as in the judgment of the Landlord are necessary for the proper operation of the Leased Premises and/or the City Market. 3. All garbage and refuse shall be kept in the kind of containers specified by the Landlord and shall not be burned in or about the Leased Premises. 4. No radio, television, telegraphic or telephone or similar device and no water pipe, gas pipe or electric wire shall be installed or connected without obtaining in each instance the written consent of the Landlord. All such connections shall be installed in accordance with the Landlord's direction and without such direction no boring or cutting for wires or pipes shall be permitted. 5. The Tenant will be required to remain open for business as follows: a. Stalls shall be open for business at all times while the market is open to the public. b. Year round stands shall be open for business at all times while the market is open to the public. 6. The plumbing facilities shall not be used for any other purpose than that for which they are intended, and no foreign substance of any kind shall be thrown therein, and the expense of any breakage, stoppage or damage resulting from a violation of this provision shall be borne by the Tenant. 7. The Tenant shall use at the cost of the Tenant a nationally recognized pest extermination contractor. 8. The Tenant, its employees or agents, shall not mark, paint, drill or in any way deface any walls, ceilings, partitions, floors, wood, stone or iron without the written consent of the Landlord. 9. Except as permitted in the lease to which these rules and regulations are annexed, the Tenant shall not permit any cooking in the Leased Premises without the written consent of the Landlord. 10. No aisle, sidewalk, entry, passageway, elevator or staircase shall be obstructed or used by the Tenant, its officers, agents, servants, employees, contractors, customers, invitees or licensees for any purpose other than ingress to and egress from the Leased Premises. 11. The Tenant, its officers, agents, servants, employees, contractors, customers, invitees or licensees shall not bring in or take out, position, construct, install or move any safe or other heavy equipment or furniture without first obtaining the consent in writing of the Landlord. In giving such consent, the Landlord shall have the right in its sole discretion, to prescribe the weight permitted and the position thereof, and the use and design of planks, skids or platforms to distribute the weight thereof. All damage done to the City Market by moving or using any such safe, heavy equipment or furniture shall be repaired at the expense of the Tenant. The moving of all equipment and the furniture shall occur only during those hours when the City Market shall not be open for business or any other time consented to by the landlord. 12. All persons entering and leaving the building in which the Leased Premises are situated must do so during hours the City Market is staffed by City Market employees. The Landlord at its sole discretion may determine the hours the City Market is staffed. Tenants shall register in books if so required by the Landlord when accessing the Market "after Market hours". The Landlord is under no responsibility for failure to enforce this rule. 13. The Tenant shall not place or cause to be placed any additional locks upon any doors of the Leased Premises without the approval of the Landlord and subject to any conditions imposed by the Landlord. 14. No one shall use the Leased Premises for sleeping apartments or residential purposes, or for the storage of personal effects or articles other than those required for the purposes permitted by the lease to which these rules and regulations are annexed. 15. Subject to the Landlord's providing such service, the Tenant shall permit window cleaners to clean the windows of the Leased Premises from time to time and at reasonable times. 45 SCHEDULE"D" RULES AND REGULATIONS Page 2 16. Any hand trucks, carryalls or similar appliances used in any building in the Shopping Centre shall be equipped with rubber tires, side guards and such other safeguards as the Landlord shall require. 17. No animals or birds shall be brought into the Leased Premises except as permitted by the lease to which these rules and regulations are annexed. 18. Except as permitted in the lease to which these rules and regulations are annexed, the Tenant shall not permit the delivery of any food or beverage to the Leased Premises without the approval of the Landlord. 19. The Tenant shall not solicit business in the common areas or distribute any handbills or other advertising matter in the common areas or in automobiles parked in the parking areas. 20. The Tenant may only sell merchandise that is approved by the Landlord through their lease or otherwise. 21. The Tenant shall not keep or display any merchandise on or otherwise obstruct the common areas adjacent to the Leased Premises. 22. The Tenant shall not use or permit any of the Leased Premises to be used in such a manner as to cause annoying noises or vibrations or offensive odours. 23. The Tenant is responsible to remove garbage from their premises and deliver to the compactor designated by the Landlord and to place the garbage in the compactor. 24. A set of plans must be presented and the approval must be given by the landlord for any improvements or painting, etc. to the stands (including signs). 25. Merchandise, displays, shelves, etc., are not to exceed the height of the bottom meat hook bars on each stand. 26. No solid dividers are to be placed between the top and bottom meat hook bars. 27. Displays underneath the stands must be set up 6" offthe floor on legs or wheels so the floor can be swept and washed down properly. 28. Covers are not to be placed over merchandise on stands without the prior approval of the Landlord. 29. Signage is to be in keeping with the historic character of the City Market and must meet the following criteria: Materials: Wood and metal are considered to be appropriate materials. Plastic may be used provided that it looks like one of the acceptable materials. Internally -illuminated plastic faced box signs will not be acceptable; Number of Signs: Each tenancy will be permitted one bench -top sign on each bench (7'- 0" length), or one projecting sign on each aisle -side that identifies the business by name and type; Bench -top Signs: These signs are the preferred primary form of signage. They must be located Ito 2 inches above the top rail of the bench, and should display the business name. They will consist of a 8" high by 6'-0" long narrow band of material with the lettering printed, painted, composed of individual raised letters, or lettering cut into the material and painted a contrasting colour. The rear may not be used for signage over another tenancy; Projecting Signs: Projecting signs may be used and shall be constructed as two-sided signs. They may only be located at a bench post, and must be rigidly fastened in place. They shall be vertical in proportion. The maximum size for projecting signs shall be 18" high x 12" wide. Only one per tenancy per aisle side shall be permitted as Business identifications; Lighted Signs: Not permitted; Temporary Signs: Any number of signs advertising goods for sale, specials, etc. shall be permitted. They may not exceed 8.5" x 11" in size, and must not excessively obscure the view through the bench between the first and last rail above the bench. 46 SCHEDULE "D-1" Pre -Authorized Debiting Form Formulaire d'autorisation de pr6levement bancaire automati ue The City of Saint John is pleased to be able to The City of Saint John est heureuse d'offrir aux offer City Market Tenants a monthly debiting locataires du march6 municipal, l'option de payment option for payment of City Market payer par pr6levement bancaire mensuel rent. automatique leur lover du march6 municipal. We hope that the form is self-explanatory, Nous esp6rons que ce formulaire est Clair, however, please call us if you have any toutefois si vous avez des questions, n'h6sitez questions at (506) 652-1960. pas a nous appeler au (506) 652-1967 Please fill in and return this form to The City of Saint John Billings and Collections office with a VOID cheque (for account verification purposes). Veuillez remplir et retowner le present formulaire au bureau de la facturation et de la perception de The City of Saint John avec un cheque portant la mention « ANNULE» (aux fins de verification du compte). I/We, / Je/vous, Name / Nom : Address / Adresse Province : Postal Code City / Ville : / Code ostal : ******************************************************************************* AUTHORIZE AUTORISE/AUTORISONS ******************************************************************************* The City of Saint John, The City of Saint John, P.O. Box 1971, Saint John, NB, E2L 4L1, C.P. 1971, Saint John, N.-B., E2L 4L1, to debit my/our account, a &biter mon/notre compte Account # / No de compte held at / de la succursale Branch Address / Adresse de la succursale Transit for the purpose of payment of Market rent aux fins du paiement mensuel du loyer du march6 payable monthly. municipal. I/We have read and understood the terms Yai/vous avons In et compris les termes of this authorization. de la pr&sente autorisation. Signature : Date *Signature : Date *For joint accounts, all depositors must sign if more than *En ce qui concerne les comptes conjoints, si plus d'une one signature is required on cheques issued against the signature est requise sur les cheques &mis de cc compte, account. tons les d&posants doivent signer. Note: If a copy of this completed form is required, please Note : Si vous d6sirez obtenir une copie du present inform our office. formulaire dument rempli, veuillez en aviser notre bureau. TERMS AND CONDITIONS MODALITES ET CONDITIONS I/We will notify The City of Saint John Billing and Collections office, in writing, of any changes in the account information or termination of this authorization at least thirty (30) days prior to the next payment date. I/We understand that termination of this authorization does not affect my/our obligation to pay for goods or services contracted for/with The City of Saint John. My/Our financial institution will treat each debit as if I/we had personally issued a written direction authorizing The City of Saint John to debit the amount (s) specified to my/our account and need not verify that payments are drawn in accordance with this authorization. J'aviserai/nous aviserons, par &crit, le bureau de la facturation et de la perception de The City of Saint John, de tout changement apport& aux renseignements sur le compte on, de la r6siliation de cette autorisation, an moires trente (30) jours avant la date du prochain paiement. Je comprends/nous comprenons que la r6siliation de cette autorisation n'a aucune incidence sur mon/notre obligation de payer les produits on les services sous contrat pour on avec The City of Saint John. Mon/notre institution financi&re traitera chaque pr &vement bancaire comme si j'avais/nous avions personnellement &mis une directive &crite autorisant The City of Saint John a d&biter le(s) montant(s) d&termin&(s) de mon/notre compte et elle n'aura pas a v&rifier que les paiements sont perrus conform&ment a cette autorisation. I/We understand that any debits charged to my/our Je comprends/nous comprenons que tout pr &vement account will be reimbursed if: bancaire de mon/notre compte sera rembours& si : ❑ this debit was not drawn in accordance with this authorization; ❑ ce pr &vement n'a pas &t& effectu& conform6ment a cette autorisation; ❑ this authorization has been terminated; or ❑ cette autorisation a &t& r&sili&e ; on ❑ this debit was posted to the wrong account due to ❑ ce pr &vement a &t& effectu& du mauvais compte en invalid/incorrect account information supplied by raison de renseignements sur le compte invalides on the Billing & Collections office, The City of Saint incorrects, fournis par le bureau de la facturation et John, de la perception de The City of Saint John, by giving notice in writing to my/our branch of account en donnant un avis &crit a ma/notre succursale bancaire, within ninety (90) days of the debit to my/our account. daps les quatre-vingt-dix (90) jours suivant le retrait de mon/notre compte. The City of Saint John will charge $10.00 for each The City of Saint John facturera 10 $ pour chaque transaction returned for Non -Sufficient Funds. transaction retourn&e en raison d'insuffisance de fonds. PLEASE NOTE: EFFECTIVE JANUARY 1, 2016, THE FEE CHARGED BY THE CITY OF SAINT JOHN WILL INCREASE TO $25.00 PER ITEM ON ALL PAYMENTS RETURNED FROM YOUR BANK. VEUILLEZ NOTER QU'A COMPTER DUIER JANVIER 2016, LES FRAIS UNITAIRES EXIGES PAR LA VILLE DE SAINT JOHN POUR TOUS LES PAYMENTS RETOURNES PAR VOTRE BANQUE PASSERONT A 25 $. I/We acknowledge that delivery of this authorization to Je reconnais/nous reconnaissons qu'en accordant cette The City of Saint John constitutes delivery to my autorisation a The City of Saint John, je Faccorde/nous financial institution. Faccordons a mon/notre institution financi&re. I/We warrant that all persons whose signatures are required to sign up on this account have signed this authorization. ** Privacy ** The City of Saint John DOES NOT share or sell its client lists. Any information provided herein will be used only for the above noted purpose, and for no other purpose. Your signature on this form is your authorization for The City of Saint John to record this information. If you have any questions about this statement, please do not hesitate to call 652-1960 or the City Solicitor's Office at (506) 658-2860. Je garantis/nous garantissons que toutes les personnel dont la signature est requise sur ce compte ont sign& la pr&sente autorisation. ** Protection de la vie priv&e ** The City of Saint John NE partage pas et ne vend pas sa liste de clients. Toute information fournie daps ce formulaire sera utilis&e uniquement aux fins decrites ci- dessus. Votre signature sur ce formulaire repr&sente votre autorisation a ce que The City of Saint John enregistre Finformation qui y est contenue. Si vous avez des questions a propos de cette affirmation, n'h&sitez pas a composer le 652-1960 on a appeler le bureau de FAvocat Municipal an (506) 658-2860. !E:3 50 49 <IST, WALL WALL GROUND FLOOR (LEASEABLE AREA SCALE: LEASE PLAN for SIILWELL FOODS LTD. (COPIM '8 1/2" x 14-" ARE NOT TO SCALE) SCHED(TE ",V' page'22 LINE i MEZZANINE PLAN)�LEASEAKE AREIA-332 SCALE: 1/4"=I'_ ' i LEASE PLAN for STILWELL FOODS LTD. i (COPIES: 8 1/2" x 14" ARE NOT TO SCALE) 4 50 E L -_gip L..- -..tlj � - (D. E Oil L Q� F Lol IQ o ol GROUND FLOOR THE CITY MARKET saint john, 51 LEASE FOR STALL SPACE CITY MARKET RoseLynn Foods Ltd. doing business as Jeremiah's SCHEDULE "C" ARTICLE I DEFINITIONS 1.01 Definitions In this lease: a) "Additional Rent' means all and any monies required to be paid by the Lessee to the Lessor under or pursuant to the terms of this Lease, save only for Gross Rent; b) "Architect' shall mean the architect from time to time named by the Lessor or at the option of the Lessor, the Lessor's general contractor. Any certificate provided by the Architect and called for by the terms of this Lease shall be final and binding on the parties hereto; c) "Atrium Seating/Food Court' means those portions of the Common Areas designated by the Lessor from time to time for use in support of the operations of any group of premises providing quick food service to customers of the City Market and includes, without limiting the generality of the foregoing, public table and seating areas, waste collection facilities and other areas, facilities and equipment intended for such use; d) "City Market' means the lands and premises known by the civic address 47 Charlotte Street, Saint John, New Brunswick, as such lands and premises may be altered, expanded or reduced from time to time and the buildings, improvements, equipment and facilities erected thereon or situate from time to time therein; e) "Commencement Date" means a date determined in accordance with the provisions of Section 2.03; f) "Common Areas" means those areas, facilities, utilities, improvements, equipment and installations in the City Market which from time to time are not designated or intended by the Lessor to be leased to Lessees of the City Market, and those areas, facilities, utilities, improvements, equipment and installations which serve or are for the benefit of the City Market whether or not located in, adjacent to or near the City Market and which are designated from time to time by the Lessor as part of the Common Areas. Without limiting the generality of the foregoing, Common Areas includes all parking areas, all entrances and exits thereto and all structural elements thereof, access roads, truck courts, driveways, truckways, delivery passages, the roof, exterior weather walls, exterior and interior structural elements and bearing walls in the building and improvements comprising the City Market, package pick-up stations, loading and related areas, pedestrian stairways, ramps, electrical, telephone, meter, valve, mechanical, mail storage service and janitor rooms and galleries, fire preventions, security and communication systems, columns, pipes, electrical, plumbing, drainage, any central system for the provision of heating, ventilating or air conditioning to leaseable premises or any enclosed Common Areas and all other installations, equipment or services located therein or related thereto as well as the structures housing installations, including but not limited to all open and enclosed malls, courts and arcades, public seating and service areas, corridors, furniture, first aid and/or information stations, auditoria, conference rooms, nurseries, childcare play areas and related kitchen and storage facilities, escalators, elevators, public washrooms, music systems and any atrium seating/food court; g) "C.P.L" means the Consumer Price Index (All Items) for Canada (or any index published in substitution for the Consumer Price Index or any other replacement index reasonably designated by the Lessor, if it is no longer published) published by Statistics Canada (or by any successor thereof or any other governmental agency, including aprovincial agency); h) "Gross Rent' means the annual Gross Rent payable by the Lessee pursuant to Section 3.01; i) "Hazardous Substances" means any contaminant, pollutant, dangerous substance, potentially dangerous substance, noxious substance, toxic substance, hazardous waste, flammable, explosive or radioactive material, urea formaldehyde foam insulation, asbestos, PCB's or any other substances or materials that are declared or defined to be hazardous, toxic, contanunants or pollutants in or pursuant to any applicable federal, provincial or municipal statute, by-law or regulation; 52 Lease for Stall Space— City Market RoseLynn Foods Ltd. doing business as Jeremiah's Schedule "C" Page 2 - j) "HST" means harmonized sales taxes, value-added taxes, multi -stage taxes, business transfer taxes or other similar taxes however they are characterized and any taxes in lieu thereof, k) "Lease" means this indenture of lease and includes any riders and schedules hereto and shall also include any agreements entered into which have the effect of amending this indenture from time to time; 1) "Leased Premises" means the premises leased to the Lessee as referred to and described in Section 2.01 hereof. Save as mentioned below, the boundaries of the Leased Premises shall extend from the top surface of the structural subfloor to the bottom surface of the structural ceiling. If the Leased Premises have no ceiling abutting the demising walls, but rather are open to the ceiling of the City Market building, the boundaries of the Leased Premises extend from the top surface of the structural subfloor to the height of the demising walls; m) "Lease Year" shall mean a period of time commencing on September 1st, 2020 and ending on August 31 of the following year. Thereafter Lease Years shall consist of consecutive periods of twelve calendar months ending in each case on August 31, save for the last Lease Year of the Term which shall terminate upon the expiration or earlier termination of this Lease, as the case may be. n) "Lessee" means the party named as Lessee in this Lease; o) "Lessor" includes the Lessor and its successors and assigns; p) "Operating Costs" means the total cost and expense incurred in owning, operating, maintaining, managing and administering the City Market and the Common Areas, specifically including without limiting the generality of the foregoing, any capital or place of ownership taxes levied against the Lessor or any owners of the City Market on account of their interest in the City Market, in an amount equitably allocated to the City Market by the Lessor; gardening and landscaping charges; the cost and expenses of taking out the insurance described in Section 9.03; cleaning, snow removal, garbage and waste collection and disposal; lighting, electricity, public utilities, loud speakers, public address and musical broadcasting systems and any telephone answering service used in or serving the City Market, and the cost of electricity and maintenance for any signs designated by the Lessor as part of the Common Areas; policing, security, supervision and traffic control; salaries and benefits of all supervisory and other personnel employed in connection with the City Market and management office rent imputed to the City Market by the Lessor, acting reasonably; Management Fee, the cost of providing additional parking or other Common Areas for the benefit of the City Market, whether such costs be Taxes or other type of costs; the costs and expenses of environmental site reviews and investigations, removal and/or clean-up of Hazardous Substances from the Common Areas; the cost of the rental of any equipment and signs and the costs of supplies used in the maintenance and operation of the City Market and the Common Areas; accounting and audit fees incurred in the preparation of the statements required to be prepared and supplied by the Lessor under the terms of this Lease; heating, ventilating and air conditioning of the Common Areas; all repairs and replacements to and maintenance and operation of the City Market and the Common Areas; depreciation or amortization of the costs, including repair and replacement, of all maintenance and cleaning equipment, master utility meters, and all other fixtures, equipment, and facilities serving or comprising the City Market or the Common Areas; which are not charged fully in the Lease Year in which they are incurred, from the earlier of the date when the cost was incurred or the Commencement Date, at rates on the various items determined from time to time by the Lessor in accordance with sound accounting principles; q) "Proportionate Share" means a fraction, the numerator of which is the Rentable Area of the Leased Premises and the denominator of which is the Rentable Area of the City Market; r) "Rent' means all Gross Rent and Additional Rent payable pursuant to the terms of this Lease; s) "Rentable Area of the City Market' means the area in square feet of all rentable premises in the City Market set aside for leasing by the Lessor from time to time, except for any occupancy as designated by the Lessor for which there is no Gross Rent payable. Provided however that the Lessor shall credit to Operating Costs any contributions received in respect of such Operating Costs from the occupants of any of the areas excluded from the Rentable Area of the City Market in accordance with this definition. Provided further that in determining the fraction that is the Lessee's Proportionate Share, if the Leased Premises consists of any of the foregoing excluded categories, the Rentable Area of that category will be included in the Rentable Area of the City Market; t) "Rentable Area of the Leased Premises" means the area expressed in square feet of all floors of the Leased Premises measured from: 53 Lease for Stall Space— City Market RoseLynn Foods Ltd. doing business as Jeremiah's Schedule "C" -Page 3 - i. the exterior face of all exterior walls, doors and windows; ii. the exterior face of all interior walls, doors and windows separating the Leased Premises from Common Areas; if any; and iii. the centre line of all interior walls separating the Leased Premises from adjoining leasable premises. The Rentable Area of the Leased Premises includes all interior space whether or not occupied by projections, structures or colunms, structural or non-structural, and if the store front is recessed from the lease line, the area of such recess for all purposes lies within the Rentable Area of the Leased Premises; u) "Rules and Regulations" means the rules and regulations adopted and promulgated by the Lessor from time to time acting reasonably, including those listed on Schedule "D' ; v) "Taxes" means all duties, real property taxes, charges, assessments and payments, from time to time levied, assessed or imposed upon the City Market or any part thereof or upon the Lessor by reason of its ownership of the City Market, by any taxing authority. Taxes shall also include any penalties, late payment or interest charges imposed by any municipality or other taxing authority as a result of the Lessee's late payments of any taxes or instalments thereof. For greater certainty "Taxes" shall exclude any penalties or interest incurred by the Lessor as a result of its failure to pay Taxes in a timely manner, except Taxes shall include any interest in respect of a deferral of payment in accordance with sound accounting practices if permitted by statute or pursuant to an agreement with the taxing authority; and (ii) income, profit or excess profits taxes of the Lessor; and w) "Terns" means the period referred to in Section 2.03. ARTICLE II GRANT, TERM AND INTENT 2.01 Leased Premises In consideration of the rents, covenants and agreements hereinafter reserved and contained on the part of the Lessee to be paid, observed and performed, the Lessor demises and leases to the Lessee and the Lessee leases from the Lessor, the Leased Premises. The Leased Premises are presently designated as Stall No. "Al and Bl" as shown on Schedule "A" attached hereto and contain a Rentable Area of approximately Seven Hundred Eighty Eight Square Feet (788 ft) together with approximately Fifteen (15) Feet of the adjacent Bench situate on the southern side of the City Market as shown on Schedule "A", provided however, that vertical merchandising of the said bench is limited in the manner promulgated from time to time in Schedule "D" attached hereto. In addition hereto the Lessee shall have Three Hundred and Thirty Two Square Feet (332 ft2) of Mezzanine Space located above Stalls 9 and 10 and Ninety Four Square Feet (94 ft2) of Cooler Space. 2.02 Use of Common Areas The use and occupation by the Lessee of the Leased Premises shall entitle the Lessee to the use in common with all others entitled thereto of the Common Areas, subject however, to the terms and conditions of this Lease and to reasonable rules and regulations for the use thereof as prescribed from time to time by the Landlord. 2.03 Term of Lease TO HAVE AND TO HOLD the Leased Premises for and during the terns of five (5) years to be computed from September 1st, 2020 and fully to be completed and ended on August 31st, 2025 save as hereinafter provided for earlier termination. PROVIDED THAT if there is any Lessor's Work or Lessee's Work to be performed prior to the Lessee opening for business in the Leased Premises or the Leased Premises are occupied by a third party as of the date of this Lease, the Commencement Date shall be the earlier of: a) zero (0) days after the Lessor has delivered vacant possession of the Leased Premises to the Lessee notwithstanding that the Lessor may still, during such zero (0) day period, be completing its work; or b) the opening by the Lessee to the public of its business in the Leased Premises. Notwithstanding any change in the Commencement Date calculated in accordance with the preceding provisions hereof, the Terms shall expire on the date set for such expiry in the first paragraph of this Section 2.03, subject always to earlier termination as provided for in this Lease. 54 Lease for Stall Space— City Market RoseLynn Foods Ltd. doing business as Jeremiah's Schedule "C" Page 4 - PROVIDED THAT upon the Lessor or its Architect giving notice to the Lessee that the Leased Premises are available for the commencement of the Lessee's Work, the Lessee shall immediately take possession of the Leased Premises and shall occupy same for the purpose of fixturing and installing its inventory, at its own risk, for a period of zero (0) days after receipt of such notice or until the Lessee opens for business to the public in the Leased Premises, free of the payment of Gross Rent, and Additional Rent save for the obligation of the Lessee to pay for all utility charges used by the Lessee or consumed in the Leased Premises during the period of such fixturing, and shall during the period from the giving of such notice until the Commencement Date be a tenant in the Leased Premises subject to the same covenants and agreements as are contained in this Lease, mutatis mutandis. FURTHER PROVIDED THAT NOTWITHSTANDING ANYTHING TO THE CONTRARY, if the Lessor is unable to deliver vacant possession of the Leased Premises to the Lessee for any reason, including but not limited to the holding over or retention of possession of any other lessee or occupant, or the lack of completion of any repairs, improvements or alterations required to be completed before the Lessee's occupancy of the Leased Premises, then the time for commencement of the Terns shall be extended to correspond with the period of delay and the Lessee shall not be entitled to any abatement or diminution of Rent (except that Rent shall not commence to be payable until possession of the Leased Premises is given by the Lessor to the Lessee) nor shall the validity of this Lease or the parties' respective obligations hereunder be affected. However, if the Lessor does not give vacant possession of the Leased Premises to the Lessee within six (6) months of the date of this Lease, then the Lessor may, at is option, terminate this Lease by written notice to the Lessee and in such event this Lease shall be null and void and of no effect whatsoever. Any deposit paid by the Lessee to the Lessor shall be returned without interest or deduction, and neither party shall have any further liability to the other. Forthwith, upon the Commencement Date being determined in accordance with the foregoing, the Lessee shall execute an acknowledgement of same on Lessor's usual form The Lessee shall pay all Gross Rent and Additional Rent calculated on a per diem basis, from the end of the zero (0) day rent-free period to the last day of the month in which the Commencement Date occurs and thereafter all payments of Rent shall be made on the first day of each month throughout the Terns unless otherwise specified herein. 2.04 Option to Renew The Lessee shall have the option to renew this Lease for a further one (1) terns of five (5) years at the then prevailing market rate by providing written notice of its intention to renew to the Lessor no later than six (6) months prior to the expiration of the Initial Terns. In the event that the Lessor and the Lessee do not agree on the then prevailing market rate, such rate may be determined by a single arbitrator appointed by the agreement between the Lessor and the lessee or pursuant to the Arbitration Act. ARTICLE III RENT AND DEPOSIT 3.01 Gross Rent The Lessee shall pay annual Gross Rent to the average amount of Thirty -Four Dollars (S34.00) per square foot of leaseable retail area of the Leased Premises. The Gross Rent shall be paid in equal monthly instalments, monthly in advance. According to the following schedule: Years 1-5 Square feet Rate Total Retail 788 $34.00 $26,792.00 Mezzanine 332 $7.99 $1,762.92 Freezer 94 $19.99 $1,879.06 Promotion 0.06 $1,826.04 Total Annual $32,260.02 Monthly $2,688.33 +HST There shall be no Additional Rent payable under this Agreement save and except monies to be paid under Article VI of this Lease. 3.02 Rent Past Due If the Lessee fails to pay, when the same is due and payable, any Gross Rent Additional Rent or other amount payable by the Lessee under this Lease, such unpaid amounts shall bear interest from the due 55 Lease for Stall Space— City Market RoseLynn Foods Ltd. doing business as Jeremiah's Schedule "C" -Page 5 - date thereof to the date of payment, compounded monthly at the rate equal to four (4) percentage points in excess of the Prime Rate. 3.03 Deposit The Lessor acknowledges receipt of Zero Dollars (S0.00) which it will apply towards the payment of Gross Rent for the first and last months of the Term except that the Lessor may apply all or part of the amount retained for application towards the last month's Gross Rent as compensation for any loss or damage arising from the breach by the Lessee of any provisions of this Lease. This right will not be construed to limit the Lessor's other rights under this Lease or at law or to limit the amount recoverable by the Lessor for damages in respect of breaches by the Lessee of this Lease. If the Lessor uses all or part of the deposit for the last month's Gross Rent as provided above, the Lessee will, upon notification by the Lessor, pay to the Lessor the amount required to reimburse it for the amounts so applied. The Lessor will not be required to pay interest to the Lessee on any of the amounts paid to the Lessor or retained by it under this section. The Lessor may deliver the aforesaid deposit to any purchaser of the Lessor's interest in the City Market or any part thereof, whereupon the Lessor will immediately be discharged from any further liability with respect to the deposit. The Lessee will not assign or encumber its interest in the deposit except in connection with a permitted Transfer, in which case the Lessee's interest in the deposit will be deemed to have been assigned to the permitted Transferee as of the date of the Transfer. 3.04 Pre -Authorized Payments The Lessee shall participate in a pre -authorized payment plan whereby the Lessor will be authorized to debit the Lessee's bank account each month from time to time during each Lease Year in an amount equal to the Gross Rent and Additional Rent payable on a monthly basis, and, if applicable, generally any amount payable provisionally pursuant to the provisions of this Lease on an estimated basis. The Lessor shall sign a form of application which is the same or similar to Schedule `13-1", or as may be required by the Lessee's bank, credit union or other financial institution. ARTICLE IV TAXES 4.01 Taxes Payable by the Lessor The Lessor shall pay all Taxes which are levied, rated, charged or assessed against the City Market or any part thereof subject always to the provisions of this Lease regarding payment of Taxes by the Lessee. However, the Lessor may defer payment of any such Taxes or defer compliance with any statute, law, by-law, regulation or ordinance in connection with the levying of any such Taxes in each case to the fullest extent pernritted by law, so long as it diligently prosecutes any contest or appeal of any such Taxes. 4.02 Taxes Payable by Lessee a) The Lessee shall during the Term pay, without any deduction, abatement or set-off whatsoever, all Taxes levied, laid or assessed on or against the Leased Premises; b) In the case of assessments for local improvements or betterments which are assessed or imposed during the term and which may by law be payable in instalments, the Lessee shall only be obligated to pay such instalments as same fall due during the Term, together with interest on deferred payments; c) In any suit or proceeding of any kind or nature arising or growing out of the failure of the Lessee to keep any covenant contained in this Article, the certificate or receipt of the department, officer or bureau charged with collection of the Taxes, showing that the tax, assessment or other charge affecting the Leased Premises is due and payable or has been paid, shall be prima facia evidence that such tax, assessment or other charge was due and payable as a lien or charge against the Leased Premises or that it has been paid as such by the Lessor; d) The Lessee, if allowed by the taxing authority, shall have the right to contest or review by legal proceedings or in such manner as the Lessee in its opinion shall deem advisable (which proceedings or other steps taken by the Lessee shall be conducted diligently at its own expense and free of expense to the Lessor) any and all Taxes levied, assessed or imposed upon or against the Leased Premises or Taxes in lieu thereof required to be paid by the Lessee hereunder. No such contest shall defer or suspend the Lessee's obligations to pay the Taxes as herein provided pending the contest, but if by law it is necessary that such payment be suspended to preserve or perfect the Lessee's contest, then the contest shall not be undertaken without there being first deposited with the Lessor a sum of money equal to twice the amount of the Taxes that are the subject of the contest, to be held by the Lessor as an indemnity to pay such Taxes upon conclusion of the contest and all costs thereof that may be 56 Lease for Stall Space— City Market RoseLynn Foods Ltd. doing business as Jeremiah's Schedule "C" - Page 6 - imposed upon the Lessor or the Leased Premises. Any costs associated with an appeal undertaken by the Lessor, the Lessee shall pay their proportionate share of such costs; e) The Lessee upon request of the Lessor will promptly exhibit to the Lessor all paid bills for Taxes which bills after inspection by the Lessor shall be returned to the Lessee. 4.03 HST Payable by Lessee The Lessee shall pay to the Lessor all HST on Rent and any other HST imposed by the applicable legislation on the Lessor or Lessee with respect to this Lease, in the manner and at the times required by the applicable legislation. Such amounts are not consideration for the rental of space or the provision by the Lessor of any service under this Lease, but shall be deemed to be Rent and the Lessor shall have all of the same remedies for and rights of recovery of such amounts as it has for recovery of Rent under this Lease. If a deposit is forfeited to the Lessor, or an amount becomes payable to the Lessor due to a default or as consideration for a modification of this Lease, and the applicable legislation deems a part of the deposit or amount to include HST, the deposit or amount will be increased and the increase paid by the Lessee so that the Lessor will receive the full amount of the forfeited deposit or other amount payable without encroachment by any deemed HST portion. 4.04 Business Taxes and Other Taxes of Lessee The Lessee shall pay to the lawful taxing authorities, when the same becomes due and payable: a) all taxes, rates, duties, assessments and other charges that are levied, rated, charged or assessed against or in respect of all improvements, equipment and facilities of the Lessee on or in the Leased Premises; and b) every tax and license fee which is levied, rated, charged or assessed against or in respect of any business carried on in the Leased Premises or in respect of the use or occupancy thereof whether in any case any such taxes, rates, duties, assessments or license fees are rated, charged or assessed by any federal, provincial, municipal or other body. ARTICLE V UTILITIES 5.01 Utilities The Lessee shall pay all utilities directly to the utility company, on a metered basis. In the event that a Lessee leases cooler space with the Leased Premises, the Lessee shall pay to the Lessor the Lessee's proportionate share of any utility consumed. ARTICLE VI MERCHANTS' ASSOCIATION 6.01 Merchants' Association If and when an association or corporation of merchants or lessees (the "Association") is formed comprising tenants of the City Market, the Lessee shall forthwith become a member of such Association or if such an Association has already been formed, the Lessee shall forthwith become a member thereof and the Lessee shall retain its membership in such Association during the entire Term and shall abide by all rules, regulations, by-laws, decisions, directions, dues and assessments of the Association. Such Association shall in no way affect the rights of the Lessor and any by-laws, rules and regulations of such Association shall at all times be subject to the prior approval of the Lessor. 6.02 Promotion Fund The Lessee shall pay to the Lessor an amount equal to 6% of annual Gross Rent to be paid in twelve (12) monthly instalments each instalment payable on the I" day of each month during the Term. ARTICLE VII CONDUCT OF BUSINESS BY TENANT 7.01 Use of Leased Premises 57 Lease for Stall Space— City Market RoseLynn Foods Ltd. doing business as Jeremiah's Schedule "C" Page 7 a) The Leased Premises shall be used continuously, actively and diligently for the sole purpose of operating the business of a delicatessen, lunch counter, take-out food and catering of the following products — sandwiches, soups, salads, ice cream, beverages, cooked meats, cheeses, assorted breads, desserts and other related items. The Lessee will not use or permit or suffer the use of the Leased Premises or any part thereof for any other business or purpose. In connection with the business to be conducted by the Lessee on the Leased Premises, the Lessee shall only use the advertised name "Jeremiah's" and will not change the advertised name of the business to be operated in the Leased Premises without the prior written consent of the Lessor. The Lessee shall not introduce new product lines, or offer new services to its customers without first obtaining the written consent of the Lessor. The Lessee acknowledges that it would be reasonable for the Lessor to withhold its consent if the introduction by the Lessee of such product line or service would compete with the business of other tenants in the City Market or infringe on exclusive covenants granted by the Lessor. Unless otherwise specifically set out in this Lease to the contrary, nothing contained in this Lease shall: (i) confer upon the Lessee the exclusive right to sell or provide in the City Market any of the products or services permitted to be sold or provided from the Leased Premises pursuant to this Section 7.01; nor (ii) prevent the Lessor from leasing any other premises in the City Market to any other tenant(s) carrying on a business which is similar in whole or in part to the business permitted to be carried on from the Leased Premises pursuant to this Section 7.01. b) The Lessee acknowledges that its continued occupancy of the Leased Premises and the regular conduct of business therein are of utmost importance to neighbouring tenants and to the Lessor in the renting of space in the City Market, the renewal of other leases therein, the efficient and economic supply of services and utilities, and in the character and quality of other tenants in the City Market. The Lessee therefore covenants and agrees that throughout the Term it will occupy the entire Leased Premises, comply strictly with the provisions of Section 7.01 and not vacate or abandon the Leased Premises at any time during the Term. The Lessee acknowledges that the Lessor is executing this Lease in reliance thereupon and that the same is a material element inducing the Lessor to execute this Lease. The Lessee further agrees that if it vacates or abandons the Leased Premises or fails to so conduct its business therein, or uses or permits or suffers the use of the Leased Premises for any purpose not specifically herein authorized and allowed, the Lessee will be in breach of the Lessee's obligations under the Lease, and then, without constituting a waiver of the Lessee's obligations or limiting the Lessor's remedies under this Lease, all Rent reserved in this Lease will immediately become due and payable to the Lessor unless guaranteed to the satisfaction of the Lessor. The Lessor will have the right, without prejudice to any other rights which it may have under this Lease or at law, to obtain an injunction requiring the Lessee to comply with the provisions of this Section 7.01(b). 7.02 Conduct and Operation of Business The Lessee shall occupy the Leased Premises from and after the Commencement Date and thereafter shall conduct continuously and actively the business set out in Section 7.01, in the whole of the Leased Premises. In the conduct of the Lessee's business pursuant to this Lease the Lessee shall: a) operate its business with due diligence and efficiency and maintain an adequate staff to properly serve all customers; own, install and keep in good order and condition free from liens or rights of third parties, fixtures and equipment of first class quality; and carry at all times such stock of goods and merchandise of such size, character and quality as will produce the maximum volume of sales from the Leased Premises consistent with good business practices; b) conduct its business in the Leased Premises during such hours and on such days as the Lessor from time to time requires or permits and at no other time. However the Lessee is not required or permitted to carry on its business during any period prohibited by any law regulating the hours of business. If the Lessee fails to open during the days and/or hours required by the Lessor, then in addition to all other amounts of Rent payable under this Lease the Lessee shall pay as Additional Rent to the Lessor upon demand as liquidated damages and not as a penalty, an amount equal to two hundred fifty dollars ($250.00) per day for each and every day that the Lessee is in default. When not open for business the security of the Leased Premises is the sole responsibility of the Lessee; c) keep displays of merchandise in the display windows (if any) of the Leased Premises, and keep the display windows and signs (if any) in the Leased Premises well -lit during the hours the Lessor designates from time to time, acting reasonably; 58 Lease for Stall Space— City Market RoseLynn Foods Ltd. doing business as Jeremiah's Schedule "C" - Page 8 - d) stock in the Leased Premises only merchandise the Lessee intends to offer for retail sale from the Leased Premises, and not use any portion of the Leased Premises for office, clerical or other non -selling purposes except minor parts reasonably required for the Lessee's business in the Leased Premises; e) abide by all rules and regulations and general policies formulated by the Lessor, acting reasonably, from time to time relating to the delivery of goods to the Leased Premises; f) not allow or cause to be committed any waste upon or damage to the Leased Premises or any nuisance or other act or thing which disturbs the quiet enjoyment of any other lessee in the City Market or which unreasonably disturbs or interferes with or annoys any third party, or which may damage the City Market; g) not allow or cause to be done any act in or about the Common Areas or the City Market which in the Lessor's opinion, acting reasonably, hinders or interrupts the City Market's flow of traffic in any way, obstructs the free movement or parties doing business in the City Market; h) not allow or cause business to be solicited in any part of the City Market other than the Leased Premises, nor display any merchandise outside the Leased Premises at any time without the prior written consent of the Lessor; i) use the name designated for the City Market by the Lessor from time to time and all insignia or other identifying names and marks designated by the Lessor in connection with the advertising of the business conducted in the Leased Premises. Notwithstanding the foregoing the Lessee will not acquire any rights in such names, marks or insignia and upon the Lessor's request the Lessee will abandon or assign to the Lessor any such rights which the Lessee may acquire by operation of law and will promptly execute any documents required by the Lessor to give effect to this subparagraph (i); j) not install or allow in the Leased Premises any transmitter device nor erect any aerial on the roof of any building forming part of the City Market or on any exterior walls of the Leased Premises or in any of the Common Areas. Any such installation shall be subject to removal by the Lessor without notice at any time and such removal shall be done and all damage as a result thereof shall be made good, in each case, at the cost of the Lessee, payable as Additional Rent on demand; k) not use any travelling or flashing lights or signs or any loudspeakers, television, phonograph, radio or other audiovisual or mechanical devices in a manner so that they can be heard or seen outside of the Leased Premises without the prior written consent of the Lessor. If the Lessee uses any such equipment without receiving the prior written consent of the Lessor, the Lessor shall be entitled to remove such equipment without notice at any time and such removal shall be done and all damage as a result thereof shall be made good, in each case, at the cost of the Lessee, payable as Additional Rent on demand; 1) not install or allow in the Leased Premises any equipment which will exceed or overload the capacity of any utility, electrical or mechanical facilities in the Leased Premises or of which the Lessor has not approved. If the Lessee requires additional utility, electrical or mechanical facilities, the Lessor may in its sole discretion if they are available elect to install them at the Lessee's expense and in accordance with plans and specifications to be approved in advance in writing by the Lessor; m) not bring upon the Leased Premises any machinery, equipment, article or thing that by reason of its weight, size or use, night in the opinion of the Lessor, acting reasonably, damage the Leased Premises or overload the floors of the Leased Premises. Any such machinery, equipment, article or thing shall be subject to removal by the Lessor without notice at any time and such removal shall be done and all damages as a result thereof shall be made good, in each case, at the cost of the Lessee, payable as Additional Rent on demand; and n) observe and comply with all federal, provincial or municipal laws pertaining to or affecting the Leased Premises, the Lessee's use of the Leased Premises or the conduct of any business in the Leased Premises, or the making of any repairs, replacements, alterations, additions, changes, substitutions or improvements of or to the Leased Premises, and the regulations of any insurance underwriters in respect of the insurance maintained by the Lessor in respect of the City Market, and carry out all modifications to the Leased Premises and the Lessee's conduct of business or in use of the Leased Premises which may be required by any such authorities. 7.03 Prohibited Activities 59 Lease for Stall Space— City Market RoseLynn Foods Ltd. doing business as Jeremiah's Schedule "C" - Page 9 - a) The Lessee acknowledges that it is only one of many tenants in the City Market and that therefore the Lessee shall conduct its business in the Leased Premises in a manner consistent with the best interests of the City Market as a whole; and b) The Lessor shall have the right to cause the Lessee to discontinue and the Lessee shall thereupon forthwith discontinue the sale of any item, merchandise, commodity or the supply of any service or the carrying on of any business, any of which is either prohibited by this Section 7.03 or which the Lessor, acting reasonably, determines is not directly related to the business set out in Section 7.01. The Lessee will not allow or cause the use of any part of the Leased Premises for any of the following businesses or activities: i. the sale of secondhand goods or surplus articles, insurance salvage stock, fire sale stock or bankruptcy stock; ii. the sale of goods, except as may be specifically permitted by the provisions of Section 7.01; iii. an auction, bulk sale (other than a bulk sale made to an assignee or sublessee pursuant to a permitted assignment or subletting hereunder), liquidation sale, "going out of business" or bankruptcy sale, or warehouse sale; iv. any advertising or selling procedures which would, or any sale or business conduct or practice which would, because of the merchandising methods or quality of operation likely to be used, in either case in the Lessor's opinion, tend to lower the character of the City Market or harm or tend to harm the business or reputation of the Lessor or reflect unfavourably on the City Market, the Lessor or other tenants in the City Market or tend to confuse, deceive, mislead or be fraudulent to the public; or V. a mail order business, save and except for dulse and maple products or a department store, junior department store or variety store. 7.04 Hazardous Substances The Tenant covenants and agrees to utilize the Leased Premises and operate its business in a manner so that no part of the Leased Premises or surrounding lands are used to generate, manufacture, refine, treat, transport, store, handle, dispose of, transfer, produce or process any Hazardous Substance, except in strict compliance with all applicable federal, provincial and municipal statutes, by-laws and regulations, including, without limitation, environmental, land use and occupational and health and safety laws, regulations, requirements, permits, statutes, by-laws and regulations. Further the Lessee hereby covenants and agrees to indemnify and save harmless the Lessor and those for whom the Lessor is in law responsible from any and all loses, costs, claims, damages, liabilities, expenses or injuries caused or contributed to by any Hazardous Substances which are at any time located, stored or incorporated in any part of the Leased Premises. The Lessee hereby agrees that the Lessor or its authorized representatives shall have the right at the Lessee's expense, payable as Additional Rent within fifteen (15) days of receipt of an invoice therefor, to conduct such environmental site reviews and investigations as it may deem necessary for the purpose of ensuring compliance with this Section 7.04. The Lessee's obligations pursuant to this Section 7.04 shall survive the expiration or earlier termination of the Term ARTICLE VIII FIXTURES, ALTERATIONS AND REPAIRS AND LESSOR'S CONTROL OF CITY MARKET 8.01 Installations by the Lessee All equipment, fixtures and improvements installed by the Lessee in the Leased Premises shall be new or completely reconditioned. The Lessee shall not make any alterations, additions or improvements or install or cause to be installed any trade fixtures, exterior signs, floor covering, interior or exterior lighting, plumbing fixtures, shades or awnings or make any changes to the store front without first obtaining the Lessor's written approval and consent. The Lessee shall present to the Lessor plans and specifications in form, content and such detail as the Lessor may reasonably require for such work at the time approval is sought. The Lessee covenants that any work that may be done in respect of the Leased Premises by or on behalf of the Lessee shall be done in such a manner as not to conflict or interfere with any work being done or about to be done by the Lessor in or about the City Market, whether such conflict or interference shall arise in relation to labour unions or otherwise and the Lessee shall obtain all requisite permits, licenses and inspections in respect of any such work done by or on the Lessee's behalf. Notwithstanding anything herein contained, the Lessee shall make no alterations, additions or improvements that are of a structural nature or that would lessen the value or Rentable Area of the Leased Premises or the City Market, or would interfere with the usage of the Common Areas. Lease for Stall Space— City Market RoseLynn Foods Ltd. doing business as Jeremiah's Schedule "C" Page 10 All alterations, decorations, additions and improvements made by the Lessee or made by the Lessor on the Lessee's behalf by agreement under this Lease shall immediately upon installation or affixation become the property of the Lessor without compensation therefor to the Lessee, but the Lessor shall be under no obligation to repair, maintain or insure the alterations, decorations, additions or improvements. Such alterations, decorations, additions and improvements shall not be removed from the Leased Premises without prior consent in writing from the Lessor. Upon expiration of this Lease, the Lessee shall, at the option of the Lessor, remove all trade fixtures and personal property and shall remove all such alterations, decorations, additions and improvements and restore the Leased Premises as required by the Lessor. 8.02 Maintenance and Repair by the Lessee The Lessee will at all times keep the Leased Premises (including exterior entrances and all glass and show windows) and all partitions, doors, fixtures, equipment and appurtenances thereof (including lighting, heating and plumbing fixtures, and the electrical and mechanical systems) in good order, condition and repair (including periodic painting or redecorating and preventative maintenance as determined by the Lessor and including such repairs or replacements as are required to keep the Leased Premises in good repair and condition). All aforesaid maintenance, repairs, restorations and replacements shall be in quality and class equal to the original work or installations. 8.03 Signs, Awnings, Canopies The Lessee will not place or suffer to be placed or maintained on any exterior door, wall or window of the Leased Premises any sign, awning or canopy or advertising matter or other thing of any kind, and will not place or maintain any decoration, lettering or advertising matter on the glass of any window or door of the Leased Premises without first obtaining the Lessor's written approval and consent. The Lessee further agrees to maintain such sign, awning, canopy, decoration, lettering, advertising matter or other thing as may be approved in good condition and repair at all times, and in addition to the foregoing, the Lessee shall maintain any signs or displays of its goods or wares which may be seen from the exterior of the Leased Premises in a manner which is in keeping with the character of the City Market of which the LeasedPremises form apart and which is designed to enhance the business of the Lessee. 8.04 Surrender of Leased Premises Subject to Article 10.01, the Lessee will leave the Leased Premises in good repair, reasonable wear and tear only excepted. Without limiting the generality of the foregoing, at the expiration or earlier termination of the Term the Lessee shall surrender the Leased Premises in the same condition as the Leased Premises were in upon delivery of possession thereto under this Lease, reasonable wear and tear only excepted, and shall surrender all keys for the Leased Premises to the Landlord at the place then fixed for the payment of Rent and shall inform the Lessor of all combinations on locks, safes and vaults, if any, in the Leased Premises. Should the Lessee fail to remove its fixtures and personal property, such fixtures and personal property shall be deemed to be abandoned by the Lessee and may be appropriated, sold or otherwise disposed of by the Lessor without notice or obligation to compensate the Lessee or to account therefor. The Lessee's obligations to observe or perform this covenant shall survive the expiration or earlier termination of the Term of this Lease. 8.05 Lessee to Discharge all Liens The Lessee will ensure that no construction or other lien or charge, or notice thereof, is registered or filed against: a) the City Market or any part of it; or b) the Lessee's interest in the Leased Premises or any of the leasehold improvements in the Leased Premises. by any person claiming by, through, under or against the Lessee or its contractors or subcontractors. If such a lien or charge or notice thereof is registered or filed and the Lessee fails to discharge it within five (5) days after written notice from the Lessor, the Lessor may discharge it by paying the amount claimed to be due into court or directly to the claimant and the Lessee will pay to the Lessor as Additional Rent on demand all costs (including legal fees) incurred by the Lessor in connection therewith, together with an administrative overhead charge of fifteen percent (15%) thereon. 8.06 Rules and Regulations The Lessee will comply with the Rules and Regulations. The Lessor reserves the right from time to time to amend or supplement the Rules and Regulations. Notice of such amendments and supplements, if any, shall be given to the Lessee, and the Lessee agrees thereupon to comply with and observe all such amendments and supplements, provided that no Rule or Regulation shall contradict any provision of this Lease. The Lessor shall not be responsible to the Lessee for non -observance or violation of any of the provisions of such Rules and Regulations by any other tenant of the City Market or of the terms of any 61 Lease for Stall Space— City Market RoseLynn Foods Ltd. doing business as Jeremiah's Schedule "C" -Page 11 - other lease of premises in the City Market and the Lessor shall be under no obligation to enforce any such provisions. All Rules and Regulations shall be enforced against the Lessee in a non-discriminatory manner. 8.07 Maintenance and Repair by the Lessor The Lessor shall, subject to the other provisions of this Lease, maintain and repair or cause to be maintained and repaired, the structure of the City Market, including without limitation, the foundations, exterior weather walls, subfloor, roof, bearing walls and structural columns and beams of the City Market. If, however, the Lessor is required to maintain or repair any structural portions or any other portion of the Leased Premises or the City Market by reason of the negligent acts or omissions of the Lessee, its employees, agents, invitees, suppliers, agents and servants of suppliers, licensees, concessionaires or subtenants, the Lessee shall pay on demand as Additional Rent, the Lessor's costs for making such maintenance or repairs, together with an administrative fee of fifteen percent (15%) of such costs. 8.08 Control of City Market by Lessor The City Market and the Common Areas are at all times subject to the exclusive control and management of the Lessor. Without limiting the generality of the foregoing, the Lessor has the right in its control, management and operation of the City Market and by the establishment of rules and regulations and general policies with respect to the operation of the City Market or any part thereof at all times throughout the Term to construct, maintain and operate lighting facilities and heating, ventilating and air conditioning systems; provide supervision and policing services for the City Market; close all or any portion of the City Market to such extent as may in the opinion of the Lessor's counsel be legally sufficient to prevent a dedication thereof or the accrual of any rights to any third party or the public; grant, modify and ternimate easements or other agreements pertaining to the use and maintenance of all or any part of the City Market; obstruct or close off all or any part of the City Market for the purpose of maintenance, repair or construction, employ all personnel, including supervisory personnel and managers necessary for the operation, maintenance and control of the City Market; use any part of the Common Areas from time to time for merchandising, display, decorations, entertainment and structures designed for retail selling or special features or promotional activities; designate the areas and entrances and the times in, through and at which loading and unloading of goods shall be carried out; control, supervise and generally regulate the delivery or shipping of merchandise, supplies and fixtures to and from the Leased Premises, and other portions of the City Market; designate and specify the kind of container to be used for garbage and refuse in the manner and the times and places at which same is to be placed for collection (if the Lessor for the more efficient and proper operation of the City Market provides or designates a commercial service for the pickup and disposal of refuse and garbage instead of or in addition to the service provided by the municipality, the Lessee shall use same at the Lessee's cost); from time to time change the area, level, location, arrangement or use of the City Market or any part thereof, construct other buildings or improvements in the City Market and make changes to any part thereof, construct other buildings or improvements in the City Market and make changes to any part of the City Market; and do and perform such other acts in and to the City Market as in the use of good business judgment the Lessor determines to be advisable for the more efficient and proper operation of the City Market. Notwithstanding anything to the contrary, if as a result of the exercise by the Lessor of any of its rights as set out in this Section 8.08, the Common Areas are diminished or altered in any manner whatsoever, the Lessor is not subject to any liability nor is the Lessee entitled to any compensation or diminution or abatement of Rent nor is any alteration or diminution of the Common Areas deemed constructive or actual eviction, or a breach of any covenant for quiet enjoyment contained in this Lease. 8.09 Lessor's Right to Enter Leased Premises a) It is not a re-entry or a breach of quiet enjoyment if the Lessor or its authorized representatives enter the Leased Premises at reasonable times to: i. examine them; ii. make permitted or required repairs, alterations, improvements or additions to the Leased Premises (including the pipes, conduits, wiring, ducts, columns and other installations in the Leased Premises) or the City Market or adjacent property; or iii. excavate land adjacent or subjacent to the Leased Premises; in each case (to the extent reasonably possible in the circumstances) without unreasonably interfering with the Lessee's business operations in the Leased Premises, and the Lessor may take material into and on the Leased Premises for those purposes. Rent will not abate or be reduced while the repairs, alterations, improvements or additions are being made. The Lessor will take reasonable steps to minimize any interruption of business resulting from any entry. b) At any time during the Term, the Lessor may exhibit the Leased Premises to prospective purchasers and during the six (6) months prior to the expiration of the term of this Lease, the Lessor may exhibit the Leased Premises to prospective tenants and place upon the Leased 62 Lease for Stall Space— City Market RoseLynn Foods Ltd. doing business as Jeremiah's Schedule "C" - Page 12 - Premises the usual notice "To Let' which notice the Lessee shall permit to remain where placed without molestation; c) If the Lessee shall not be personally present to open and permit an entry into the Leased Premises, at any time, when for any reason an entry therein shall be necessary or permissible, the Lessor or the Lessor's agents may enter the same by a master key, or may forcibly enter the same, without rendering the Lessor or such agents liable therefor, and without in any manner affecting the obligations and covenants of this Lease; d) Nothing in this Section contained, however, shall be deemed or construed to impose upon the Lessor any obligation, responsibility or liability whatsoever for the care, maintenance or repair of the City Market or any part thereof, except as otherwise in this Lease specifically provided. ARTICLE IX INSURANCE AND INDEMNITY 9.01 Lessee's Insurance a) The Lessee shall throughout the Term, at its own cost and expense, take out and keep in full force and effect the following insurance: i. All-risk insurance upon property owned by the Lessee or for which the Lessee is legally liable (including, signs and plate glass) and which is located within the City Market in an amount of not less than the full replacement cost thereof, ii. Comprehensive General Liability with minimum limits of at least Five Million Dollars ($5,000,000.00) or such higher limits as the Lessor may reasonably require from time to time. This policy shall include: a) The City added as an Additional Insured; b) Inclusive limits for bodily injury and property damage; c) Personal injury liability; d) Tenant's Legal Liability; e) Contractual Liability with respect to this Lease; f) Premises, Property and (perations; g) Completed (perations; h) A Cross Liability Clause; i) A Thirty (30) days written notice of Cancellation shall be given to the City of Saint John. iii. The Lessee shall also provide any other form of insurance as the Lessee or the Lessor may reasonably require from time to time in form, in amounts and for insurance risks against which a prudent tenant would insure. b) All policies shall be taken out with reputable and recognized insurers acceptable to the Lessor and shall be in a form satisfactory from time to time to the Lessor. The Lessee agrees that certificates of insurance of each such insurance policy will be delivered to the Lessor as soon as practicable after the placing of the required insurance. All policies shall contain an undertaking by the insurers to notify the Lessor in writing not less than thirty (30) days prior to any material change, cancellation or termination thereof, c) The Lessee agrees that if the Lessee fails to take out or keep in force any such insurance referred to in this Section 9.01, or should any such insurance not be approved by the Lessor and should the Lessee not rectify the situation immediately after written notice by the Lessor to the Lessee, the Lessor has the right without assuming any obligation in connection therewith to effect such insurance at the sole cost of the Lessee and all outlays by the Lessor shall be immediately paid by the Lessee to the Lessor as Additional Rent without prejudice to any other rights and remedies of the Lessor under this Lease. 9.02 Increase in Insurance Premium 63 Lease for Stall Space— City Market RoseLynn Foods Ltd. doing business as Jeremiah's Schedule "C" Page 13 The Lessee will not allow or cause anything to occur in the Leased Premises which shall cause any increase of premium for any insurance on the Leased Premises or the City Market or any part thereof above the rate for the least hazardous type of occupancy legally permitted in the Leased Premises. If the Lessee is in default under this Section 9.02 the Lessee shall pay any resulting additional premium on any insurance policies taken out or maintained by the Lessor, or if any insurance policy upon the Leased Premises or the City Market or any part thereof shall be cancelled or refused to be renewed by an insurer by reason of the use or occupation of the Leased Premises or any part thereof or the acts or omissions of the Lessee, the Lessee shall forthwith remedy or rectify such use or occupation upon request to do so in writing by the Lessor, and if the Lessee shall fail to do so within twenty-four (24) hours of such written request, the Lessor shall have the right to enter the Leased Premises and rectify the situation, without liability to the Lessee for any loss or damage occasioned by such entry and rectification, or shall be entitled to hold the Lessee liable for any damage or loss resulting from such cancellation or refusal, or the Lessor may at its option determine this Lease forthwith by leaving upon the Leased Premises notice in writing of its intention to do so, and thereupon Rent and any other payments for which the Lessee is liable under this Lease shall be apportioned and paid in full to the date of such determination of the Lease, and together with an amount equal to the Gross Rent payable for a period of one (1) year as liquidated damages, and the Lessee shall immediately deliver up possession of the Leased Premises, a schedule issued by the organization making the insurance rate on the Leased Premises, showing the various components of such rate, shall be conclusive evidence of the several items and charges which make the fire insurance rate of the Leased Premises. Bills for such additional premiums shall be rendered by the Lessor to the Lessee at such times as the Lessor may elect and shall be due from and payable by the Lessee when rendered, and the amount thereof shall be deemed to be and be paid as Additional Rent. 9.03 Loss or Damage The Lessor shall not be liable for any death or injury arising from or out of any occurrence in, upon, at or relating to the City Market, or damage to property of the Lessee or of others located on the Leased Premises, nor shall it be responsible for any loss of or damage to any property of the Lessee or others from any cause whatsoever, except any such death, injury, loss or damage results from the negligence of the Lessor, its agents, servants or employees or other persons for whom the Lessor is in law responsible. Without limiting the generality of the foregoing, the Lessor shall not be liable for any injury or damage to persons or property resulting from fire, explosion, falling plaster, steam, gas, electricity, water, rain, flood, snow or leaks from any part of the Leased Premises or from the pipes, appliances, plumbing works, roof or subsurface of any floor or ceiling or from the street or any other place or other tenants or persons in the City Market or by occupants of adjacent property thereto, or the public, or caused by construction or by any private, public or quasi -public work. All property of the Lessee kept or stored on the Leased Premises shall be so kept or stored at the risk of the Lessee only and the Lessee shall indemnify the Lessor and save it harmless from any claims arising out of any damages to the same, including, without limitation, any subrogation claims by the Lessor's insurers. In no event shall the Lessor be liable for any injury to the Lessee, its servants, agents, employees, customers and invitees or for any injury or damage to the Leased Premises or to any property of the Lessee, or to any property of any other person, firm or corporation on or about the Leased Premises caused by an interruption, suspension or failure in the supply of any utilities to the Leased Premises. 9.04 Indemnification of the Lessor The Lessee will indemnify the Lessor, and save harmless from and against any and all claims, actions, damages, liability and expense in connection with loss of life, personal injury and/or damage to property arising from or out of any occurrence in, upon or at the Leased premises, the occupancy or use by the Lessee of the Leased premises or any part thereof, or occasioned wholly or in part by any act or omission of the Lessee, its agents, contractors, employees, servants, licensees, or concessionaires or invitees. In case the Lessor shall, without fault on its part, be made a party to any litigation commenced by or against the Lessee, then the Lessee shall protect and hold it harmless and shall pay all costs, expenses and solicitors' and counsel fees on a solicitor and client basis incurred or paid by them in connection with such litigation. ARTICLE X DAMAGE, DESTRUCTION AND EXPROPRIATION 10.01 Total or Partial Destruction of Leased Premises If, during the Term, the Leased Premises are expropriated or totally or partially destroyed or damaged by any cause in respect of which the Lessor is insured, the following provisions shall have effect: a) If the Leased Premises are rendered partially unfit for occupancy by the Lessee, Gross Rent only shall abate in part only, in the proportion that the part of the Leased Premises rendered unfit for occupancy by the Lessee bears to the whole of the Leased Premises or if the Leased Premises are rendered wholly unfit for occupancy by the Lessee the Rent hereby reserved shall be suspended in either event until the day following a reasonable period (taking into 64 Lease for Stall Space— City Market RoseLynn Foods Ltd. doing business as Jeremiah's Schedule "C" - Page 14 - account the extent of the Lessee's restoration) following completion of the Lessor's restoration; b) Notwithstanding the provisions of subparagraph (a), if the Leased Premises in the opinion of the Architect shall be incapable of being rebuilt and/or repaired or restored with reasonable diligence within 180 days of the happening of such destruction or damage, then the Lessor may at its option terminate this Lease by notice in writing to the Lessee given within thirty (30) days of the date of such destruction or damage and in the event of such notice being so given this Lease shall cease and become null and void from the date of such destruction or damage and the Lessee shall immediately surrender the Leased Premises and all interest therein to the Lessor and the Rent shall be apportioned and shall be payable by the Lessee only to the date of such destruction or damage and the Lessor may re-enter and repossess the Leased Premises discharged of this Lease; If the Leased Premises are capable of being rebuilt and/or repaired or restored within 180 days of the happening of such damage or destruction or if within the period of thirty (30) days referred to in Section 10.01(b) the Lessor shall not give notice terminating this Lease, the Lessor shall with reasonable promptitude proceed to rebuild and/or repair or restore the Leased Premises to the extent of the Lessor's repair obligations under the Lease and the Lessee shall immediately upon substantial completion of the Lessor's work and, within a reasonable period determined by the Lessor (given the extent of the Lessee's restoration) complete the restoration of the Leased Premises. The certificate of the Architect shall bind the parties as to the (i) extent to which the Leased Premises are unfit for occupancy; (ii) time required to rebuild and/or repair or restore the Leased Premises; and (iii) due completion of repairs. 10.02 Total or Partial Destruction of City Market In the event that a substantial portion of the City Market shall be expropriated or damaged or destroyed by fire or other cause, or in the event the costs as estimated by the Lessor of repairing, restoring or rebuilding will exceed by $250,000 or more the proceeds of insurance available to the Lessor, notwithstanding that the Leased Premises may be unaffected, or in the event the Lessor shall have the right, to be exercised by notice in writing delivered to the Lessee within sixty (60) days from and after said occurrence, to elect to cancel and terminate this Lease. Upon the giving of such notice to the Lessee, the Terns of this Lease shall expire upon the third (3,d) day after such notice is given, and the Lessee shall vacate the Leased Premises and surrender the same to the Lessor. 10.03 Abatement of Rent Notwithstanding anything herein before contained, all abatements of Rent set out in this Article X shall be limited to an amount equal to the amount which the Lessor collects under any rental income insurance. 10.04 Expropriation Awards The Lessor and the Lessee will co-operate with each other if there is an expropriation of all or part of the Leased Premises or the City Market, so that each may receive the maximum award that it is entitled to at law. To the extent, however, that a part of the City Market, other than the Leased Premises, is expropriated, the full proceeds that are paid or awarded as a result, will belong solely to the Lessor, and the Lessee will assign to the Lessor any rights that it may have or acquire in respect of the proceedings or awards and will execute the documents that the Lessor reasonably requires in order to give effect to this intention. ARTICLE XI STATUS STATEMENT, SUBORDINATION AND ATTORNMENT 11.01 Status Statement Within fifteen (15) days after request, the Lessee will sign and deliver to the Lessor a status statement or certificate, stating that this Lease is in full force and effect, any modifications to this Lease, the commencement and expiry dates of this Lease, the date to which Rent has been paid, the amount of any prepaid Rent or deposits held by the Lessor, whether there is any existing default and the particulars, and any other information required by the party requesting it. 11.02 Power of Attorney The Lessee hereby irrevocably appoints the Lessor as the attorney for the Lessee with full power and authority to execute and deliver in the name of the Lessee any instruments or certificates required to 65 Lease for Stall Space— City Market RoseLynn Foods Ltd. doing business as Jeremiah's Schedule "C" - Page 15 - carry out the intent of Section 11.01 which the Lessee shall have failed to sign and deliver within fifteen (15) days after the date of a written request by the Lessor to execute such instruments. ARTICLE XII TRANSFERS BY LESSEE 12.01 Transfer Defined "Transfer" means, (i) an assignment, sale, conveyance, sublease, or other disposition of this Lease or the Leased Premises, or any part of them or any interest in this Lease (whether by operation of law or otherwise), or in a partnership that is a Lessee under this Lease, (ii) a mortgage, charge or debenture (floating or otherwise) or other encumbrance of this Lease or the Leased Premises or any part of them, or of any interest in this Lease or of apartnership, or partnership interest, where the partnership is a Lessee under this Lease, (iii) a parting with or sharing of possession of all or part of the Leased Premises, and (iv) a transfer or issue by sale, assignment, bequest, inheritance, operation of law or other disposition, or by subscription of all or part of the corporate shares of the Lessee or an "affiliate" (as that terns is defined on the date of this Lease under the Canada Business Corporation Act) of the Lessee which results in a change in the effective voting control of the Lessee. "Transferor" and "Transferee" have meanings corresponding to the definition of "Transfer" set out above, (it being understood that for a Transfer described in clause (iv) the Transferor is the person that has effective voting control before the Transfer and the Transferee is the person that has effective voting control after the Transfer). 12.02 Consent Required The Lessee will not allow or cause a Transfer, without the prior written consent of the Lessor in each instance which consent may not be unreasonably withheld. Notwithstanding any statutory provisions to the contrary, Lessor's consent shall not be deemed to have been unreasonably withheld where Lessor refuses consent to a Transfer within twenty-four (24) months of either the Commencement Date or a previous Transfer. Without limiting the generality of the foregoing, no Transfer shall be effective and no consent shall be given unless the following provisions have been complied with: a) There is no default of the obligations of the Lessee under this Lease; b) The Lessee shall have given at least thirty (30) days' prior written notice of the proposed Transfer and the effective date thereof to the Lessor; c) A duplicate original of the documents affecting the Transfer shall be given to the Lessor within thirty (30) days after the execution and delivery thereof, d) The Transferee, except in the case of a Transfer described in Section 12.01(iv), shall have assumed in writing with the Lessor the due and punctual performance and observance of all the agreements, provisions, covenants and conditions hereof on the Lessee's part to be performed or observed from and after the effective date of the Transfer. The Lessee acknowledges that the factors governing the granting of the Lessor's consent to any Transfer may include, without limitation, the restrictive clauses entered into with other tenants by the Lessor, the financial background, business history and the capability of the proposed Transferee in the Lessee's line of business, and the nature of the business practices of the proposed Transferee. The consent by the Lessor to any Transfer shall not constitute a waiver of the necessity for such consent to any subsequent Transfer. If a Transfer takes place, the Lessor may collect rent from the Transferee, and apply the net amount collected to the Rent herein reserved, but no such action shall be deemed a waiver of the requirement to obtain consent or the acceptance of the Transferee as lessee, or a release of the Lessee or any Indemnifier from the further performance by the Lessee of covenants on the part of the Lessee herein contained. Notwithstanding any Transfer, the Lessee shall remain fully liable under this Lease and shall not be released from performing any of the obligations of the Lessee under this Lease. Any Transfer, if consented to by the Lessor, may at the Lessor's option be documented by the Lessor or its solicitors, and any and all legal costs and the Lessor's then -standard fee with respect thereto or to any documents reflecting the Lessor's consent to the Transfer shall be payable by the Lessee on demand as Additional Rent. 12.03 No Advertising of Leased Premises The Lessee shall not print, publish, post, display or broadcast any notice or advertisement to the effect that the Leased Premises are for lease or for sale or otherwise advertise the proposed sale or lease of the whole or any part of the Leased Premises and shall not permit any broker or other party to do any of the foregoing, unless the complete text and format of any such notice, advertisement or offer is first approved in writing by the Lessor. Without in any way restricting or limiting the Lessor's right to refuse any text or Lease for Stall Space— City Market RoseLynn Foods Ltd. doing business as Jeremiah's Schedule "C" - Page 16 - format on other grounds, any text or forniat proposed by the Lessee shall not contain any reference to the rental rate of the Leased Premises. ARTICLE XIII DEFAULT OF LESSEE 13.01 Right to Re -Enter When a) the Lessee shall be in default in the payment of any Rent whether lawfully demanded or not and such default shall continue for a period of five (5) consecutive days; or b) the Lessee shall be in default of any of its covenants, obligations or agreements under this Lease or of any term or condition of this Lease (other than its covenant to pay Rent) and such default shall continue for a period of fifteen (15) consecutive days or such longer or shorter period as the Lessor, acting reasonably, determines after five (5) days written notice by the Lessor to the Lessee specifying with reasonable particularity the nature of such default and requiring the same to be remedied; then and in any of such cases the then current month's Rent, together with the Rent for the three (3) months next ensuing shall immediately become due and payable, and at the option of the Lessor, the Terms shall become forfeited and void, and the Lessor may without notice or any form of legal process whatsoever forthwith re-enter upon the Leased Premises or any part thereof in the name of the whole and repossess and enjoy the same as of its former estate, anything contained in any statute or law to the contrary notwithstanding, provided however, that such forfeiture shall be wholly without prejudice to the right of the Lessor to recover arrears of rent or damages for any antecedent default by the Lessee of its covenants, obligations or agreements under this Lease or any terns or condition of this Lease and provided further that notwithstanding any such forfeiture the Lessor may subsequently recover from the Lessee damages for loss of Rent suffered by reason of this Lease having been prematurely determined. In addition, the Lessor shall have the right to remove and sell the Lessee's goods and chattels and trade fixtures and apply the proceeds thereof to Rent due under the Lease. 13.02 Right to Re -let Should the Lessor elect to re-enter, as herein provided, or should it take possession pursuant to legal proceedings or pursuant to any notice provided for by law, it may either terminate this Lease or it may from time to time without terminating this Lease, make such alterations and repairs as may be necessary in order to re -let the Leased Premises, and re -let the Leased Premises or any part thereof as agent for the Lessee for such terns or terms (which may be for a terns extending beyond the Terns of this Lease) and at such rental or rentals and upon such other terms and conditions as the Lessor in its sole discretion may deem advisable; upon each re -letting all rentals received by the Lessor from such re -letting shall be applied; first, to the payment of any indebtedness other than rent due hereunder from the Lessee to the Lessor; second, to the repayment of any reasonable costs and expenses of such re -letting, including brokerage fees and solicitors' fees and of costs of such alterations and repairs; third, to the payment of Rent due as the same may become due and payable hereunder. If such Rent received from such re -letting during any month be less than that to be paid during that month by the Lessee hereunder, the Lessee shall pay any such deficiency to the Lessor. Such deficiency shall be calculated and paid monthly. No such re-entry or taking possession of the Leased Premises by the Lessor shall be construed as an election on its part to ternunate this Lease unless a written notice of such intention be given to the lessee or unless the termination thereof be decreed by a court of competent jurisdiction. Notwithstanding any such re -letting without termination, the Lessor may at any time thereafter elect to terminate this Lease for such previous breach. Should the Lessor at any time terminate this Lease for any breach, in addition to any other remedies it may have, it may recover from the Lessee all damages it may incur by reason of such breach, including the cost of recovering the Leased Premises, and including the worth at the time of such termination of the excess, if any, of the amount of Rent and charges equivalent to Rent reserved in this Lease for the remainder of the Terns hereof over the then reasonable rental value of the Leased Premises for the remainder of the Terns hereof, all of which amounts shall be immediately due and payable from the Lessee to the Lessor. In determining the Rent which would be payable by the Lessee hereunder, subsequent to default, the annual Rent for each year of the unexpired Terns shall be equal to the greater of: (a) the average annual Gross Rent and Percentage Rent payable by the Lessee from the Commencement Date to the time of default or during the preceding three (3) full calendar years, whichever period is shorter; and (b) Gross Rent payable hereunder, together with all Additional Rent which would have been payable during the calendar year in which this Lease was terminated, prorated over a full calendar year, if required. 13.03 Legal Expenses In case suit shall be brought for recovery of possession of the Leased Premises, for the recovery of Rent or any other amount due under the provisions of this Lease, or because of the breach of any other 67 Lease for Stall Space— City Market RoseLynn Foods Ltd. doing business as Jeremiah's Schedule "C" - Page 17 - covenant herein contained on the part of the Lessee to be kept or performed and a breach shall be established, the Lessee shall pay to the Lessor all expenses incurred therefor, including reasonable solicitors' and counsel fees on a solicitor and his client basis. 13.04 Bankruptcy The Lessee covenants and agrees that if the Term or any of the goods and chattels of the Lessee on the Leased Premises shall be at any time during the Term seized or taken in execution or attachment by any creditor of the Lessee or if a receiver, interim receiver or receiver and manager is appointed for the assets or business of the Lessee or if the Lessee shall make any assignment for the benefit of creditors or any bulk sale or, becoming bankrupt or insolvent, shall take the benefit of any Act now or hereafter in force for bankrupt or insolvent debtors or if any order shall be made for the winding up of the Lessee, or if the Leased Premises shall without the written consent of the Lessor become and remain vacant for a period of fifteen (15) days, or be used by any other persons than such as are entitled to use them under the terms of this Lease, or if the Lessee shall without the written consent of the Lessor abandon or attempt to abandon the Leased Premises or to sell or dispose of goods or chattels of the Lessee or to remove them or any of them from the Leased Premises so that there would not in the event of such abandonment, sale or disposal be sufficient goods on the Leased Premises subject to distress to satisfy the Rent above due or accruing due, then and in every such case the then current month's Rent and the next ensuring three (3) months' Rent shall immediately become due and be paid and the Lessor may re-enter and take possession of the Leased premises as though the Lessee or the servants of the Lessee or any other occupant of the Leased Premises were holding over after the expiration of the Term and the Term shall, at the option of the Lessor, immediately without any notice or opportunity for cure provided to the Lessee, become forfeited and determined, and in every one of the cases above such accelerated Rent shall be recoverable by the Lessor in the same manner as the Rent hereby reserved and if Rent were in arrears and the said option shall be deemed to have been exercised if the Lessor or its agents given notice to the Lessee as provided for herein. 13.05 Lessor May Perform Lessee's Covenants If the Lessee shall fail to perform any of its covenants or obligations under or in respect of this Lease, the Lessor may from time to time at its discretion, perform or cause to be performed any such covenants or obligations, or any part thereof, and for such purpose may do such things upon or in respect of the Leased Premises or any part thereof as the Lessor may consider requisite or necessary. All expenses incurred and expenditures made by or on behalf of the Lessor under this Section, together with an administrative fee equal to fifteen (15%) percent thereon, shall be forthwith paid by the Lessee to the Lessor on demand as Additional Rent. 13.06 Waiver of Exemptions from Distress Despite any applicable Act, legislation or any legal or equitable rule of law: (a) none of the inventory, furniture, equipment or other property at any time owned by the Lessee is exempt from distress; and (b) no lack of compliance with any requirement concerning the day of the week, time of day or night, method of entry, giving of notice, appraising of goods, or anything else, will render any distress unlawful where the Lessee owes arrears of Rent at the time of the distress. 13.07 Remedies Cumulative No reference to nor exercise of any specific right or remedy by the Lessor will prejudice or preclude the Lessor from exercising or invoking any other remedy in respect thereof, whether allowed at law or expressly provided for in this Lease. No such remedy will be exclusive or dependent upon any other such remedy, but the Lessor may from time to time exercise any one or more of such remedies independently or in combination. ARTICLE XIV MISCELLANEOUS 14.01 Overholding If the Lessee remains in possession of the Leased Premises after the end of the Term and without the execution and delivery of a new lease, there shall be no tacit renewal of this Lease and the Term hereby granted, and the Lessee shall be deemed to be occupying the Leased Premises as a Lessee from month to month at monthly rent payable in advance on the first day of each month equal to the sum of: a) one and one half (1 ��/2) times the Gross Rent payable during the last month of the Term; and b) one -twelfth of the Additional Rent payable by the Lessee for the Lease Year immediately preceding the last Lease Year of the Term; Lease for Stall Space— City Market RoseLynn Foods Ltd. doing business as Jeremiah's Schedule "C" - Page 18 - and otherwise upon the same terms and conditions as are set forth in this Lease, except as to duration of Terns, and any right of renewal mutatis mutandis. 14.02 Successors This Lease applies to the successors and assigns of the Lessor and, if Article XII is complied with, the heirs, executors, administrators and permitted successors and permitted assigns of the Lessee. If there is more than one party named as Lessee, they are jointly and severally liable under this Lease. 14.03 Waiver Failure by the Lessor to require performance of any terns, covenant or condition herein contained shall not be deemed to be a waiver of such terns, covenant or condition or of any subsequent breach of the same or of any other terns, covenant or condition herein contained. The subsequent acceptance of Rent hereunder by the Lessor shall not be deemed to be a waiver of any preceding breach of the Lessee of any terns, covenant or condition of this Lease, other than the failure of the Lessee to pay the particular rent so accepted, regardless of the Lessor's knowledge of such preceding breach at the time of acceptance of such Rent. No covenant, terns or condition of this Lease shall be deemed to have been waived by the Lessor, unless such waiver be in writing by the Lessor. 14.04 Accord and Satisfaction No payment by the Lessee or receipt by the Lessor of a lesser amount than the monthly Rent herein stipulated shall be deemed to be other than on account of the earliest stipulated Rent, nor shall any endorsement or statement or any cheque or any letter accompanying any cheque or payment as Rent be deemed an accord and satisfaction, and the Lessor may accept such cheque or payment without prejudice to the Lessor's right to recover the balance of such Rent or pursue any other remedy in this Lease provided. 14.05 Entire Agreement This Lease sets forth all the covenants, promises, agreements, conditions and understandings between the Lessor and the Lessee concerning the Leased Premises and there are no covenants, promises, agreements, conditions or representations, either oral or written, between them other than are herein and in the said schedules and rider, if any, set forth. Except as herein otherwise provided, no subsequent alteration, amendment, change or addition to this Lease shall be binding upon the Lessor or the Lessee unless reduced to writing and signed by them. 14.06 No Partnership The Lessor does not, in any way or for any purpose, become a partner of the Lessee in the conduct of its business, or otherwise or joint venture or a member of a joint enterprise with the Lessee. 14.07 Force Majeure In the event that either party hereto shall be delayed or hindered in or prevented from the performance of any act required hereunder by reason of strikes, lock -outs, labour troubles, inability to procure materials, failure of power, restrictive governmental laws or regulations, riots, insurrection, war or other reason of a like nature not the fault of the party delayed in performing work or doing acts required under the terms of this Lease, then performance of such act shall be excused for the period of the delay and the period for the performance of any such act shall be extended for a period equivalent to the period of such delay. Notwithstanding anything herein contained, the provisions of this Section 14.07 shall not operate to excuse the Lessee from the prompt payment of Gross Rent, Additional Rent or any other payments required by the terms of this Lease, nor entitle the Lessee to compensation for any inconvenience, nuisance or discomfort thereby occasioned. 14.08 Notices Any notice herein provided or permitted to be given by the Lessee to the Lessor shall be sufficiently given if delivered personally to the Common Clerk, or if transmitted by telecopier or if mailed in Canada, registered and postage prepaid, addressed to the Lessor at: C/O The Common Clerk, The City of Saint John, P. O. Box 1971, 15 Market Square, Saint John, New Brunswick, E2L 4L1, with a copy to Facility Management Division, The City of Saint John, P. O. Box 1971, 15 Market Square, Saint John, New Brunswick, E2L 4L1, and any notice herein provided or permitted to be given by the Lessor to the Lessee shall be sufficiently given if delivered personally to the party being given such notice or to a responsible employee of the party being given such notice, or if transmitted by telecopier or if mailed in Canada, registered and postage prepaid, addressed to the Lessee at 47 Charlotte Street, Saint John, N.B., E2L 2H8. Any such notice given as aforesaid shall be conclusively deemed to have been given on the day on which such notice is delivered or transmitted or on the third day that there is postal delivery following the day on which such notice is mailed, as the case may be. Either party may at any time give notice in writing to the other of any change of address of the party given such notice and from and after the giving of such notice the address therein specified shall be deemed to include any request, statement or other writing 99 Lease for Stall Space— City Market RoseLynn Foods Ltd. doing business as Jeremiah's Schedule "C" - Page 19 - in this Lease provided or permitted to be given by the Lessor to the Lessee or by the Lessee to the Lessor. If there is more than one party named as Lessee, notice to one shall be deemed sufficient as notice to all. 14.09 Place for Payment of Rent The Lessee shall pay the Rent. Including all Additional Rent, at the office of the Lessor specified in Section 14.08 or as such place or places as the Lessor may designate from time to time by notice in writing: currently to the Cashier's Office, City Hall, P. O. Box 1971, 15 Market Square, Saint John, New Brunswick, E2L 4L1. 14.10 Approval in Writing Wherever the Lessor's consent is required to be given hereunder or wherever the Lessor must approve any act or performance by the Lessee, such consent or approval, as the case may be, shall be given in writing by the Lessor before same and shall be deemed to be effective. 14.11 Governing Law The Lease is to be governed by and construed according to the laws of the Province of New Brunswick. 14.12 Captions and Section Numbers The captions, section numbers and article numbers appearing in this Lease are inserted only as a matter of convenience and in no way define, limit, construe or describe the scope or intent of such sections or articles or of this Lease, nor in any way affect this Lease. 14.13 Partial Invalidity If any terns, covenant or condition of this Lease or the application thereof to any person or circumstance shall, to any extent, be invalid or unenforceable, the remainder of this Lease and/or the application of such terns, covenant or condition to persons or circumstances other than those as to which it is held invalid or unenforceable, shall not be affected thereby and each terns, covenant or condition of this Lease shall be separately valid and enforceable to the fullest extent permitted by law. 14.14 No Option The submission of this Lease for examination does not constitute areservation of or option for the Leased Premises and this Lease becomes effective as a Lease only upon execution and delivery thereof by the Lessor and the Lessee. 14.15 Time To Be of the Essence Time shall be of the essence of this Lease. 14.16 Quiet Enjoyment The Lessor covenants with the Lessee for quiet enjoyment. 14.17 Riders and Schedules Schedules attached hereto form part of this Lease. 14.18 Basement Storage Space Where the Leased Premises includes any area of basement storage space, notwithstanding any provision herein contained, the Lessee acknowledges and agrees that water and sewer lines are located within the basement area of the Leased Premises and that there is a possibility that water and/or sewage may escape from the lines as a result of breakage, blockage, overflow or other cause, and may cause damage to anything stored in the basement area of the Leased Premises. The Lessee acknowledges and agrees that if it chooses to store anything, whether belonging to it or to others, in the basement area of the Leased Premises, it does so at its own risk and the Lessee hereby releases and indemnifies and saves harmless the Lessor from and against any and all manner of actions, suits, damages, loss, costs, claims and demands of any nature whatsoever relating to or arising out of breakage, blockage, overflow or other problem of the water or sewage lines. 70 PROVINCE OF NEW BRUNSWICK COUNTY OF SAINT JOHN 1, LORETTA LANDRY, of the City of Saint J01111, in the County of Saint John and Province of New Brunswick, MAKE OATH AND SAY - I THAT I am the President of ROSELYNN FOODS LTD. (the "Corporation"), the Lessee named in the forgoing instrument and any duly authorized to make this affidavit, 2. THAT the corporate seal affixed to the within instrument is the corporate seal of the Corporation and was thereto affixed by order of the Board of Directors of the Corporation to and for the uses and purposes therein expressed and contained. 3, THAT the signature "Loretta Hodges" (now Landry) and "Margaret Bryson" subscribed to in the within instrument is the signature of me, the said President and "Margaret Bryson" the Secretary/Treasurer and was thereto subscribed by order of Board of Directors of the Corporation to and for the uses and put -poses therein expressed and contained. 4. THAT the President and Secretary/Treasurer are the duly authorized officers of the Corporation to execute the within instrument. SOLEMNLY AFFIRMED to at the City of Saint John, in the County of Saint John and Province of New Brunswick, this _AE ,,��',day of August, 2020, MEN= Veronica L. Ford A COMMISSIONER OF OATHS Being a Solicitor "41 e Loretta LanJw- 71 COUNCIL REPORT M&C No. 2020-217 Report Date August 24, 2020 Meeting Date August 31, 2020 Service Area Finance and Administrative Services His Worship Mayor Don Darling and Members of Common Council SUBJECT: Fall 2020 - Debenture Application OPEN OR CLOSED SESSION This matter is to be discussed in open session of Common Council. AUTHORIZATION Primary Author Commissioner/Dept. Head City Manager Craig Lavigne Kevin Fudge John Collin RECOMMENDATION RESOLVED that occasion having arisen in the public interest for the following Public Civic Works and needed Civic Improvements that the City of Saint John proposes issue of the following debentures to be dated on or after September 4, 2020: GENERAL FUND Transportation Services Parks and Recreation TOTAL $ 4,000,000 $ 3,000,000 $7,000,000 S7,000,000 THEREFORE RESOLVED that debentures be issued under provisions of the Acts of Assembly 52, Victoria, Chapter 27, Section 29 and amendments thereto, to the amount of $7,000,000. EXECUTIVE SUMMARY Notice of motion was giving at the August 4th, 2020 meeting of Common Council regarding the need to borrow $7,000,000 for capital projects approved under the General Fund. The next step in the debenture financing is to submit application to the New Brunswick Municipal Finance Corporation. In order to proceed with the debenture financing this recommendation requires Council's adoption. -2- PREVIOUS RESOLUTION M&C — 2020-193 — 2020 Fall Debenture Issue — Notice of Motion REPORT The New Brunswick Municipal Finance Corporation is planning a bond issue in the near future and applications are to be submitted by end of September 23, 2020. While the issue will not be sold until the Corporation feels that rates are reasonable, they have provided ranges within which the issue could be sold. These are as follows: Interest Rate: Not to exceed an average of 4.50% Price, Net: Not to be less than $98.00 per $100.00 of debenture Term: Serial form to mature in equal annual amounts over a term not to exceed 15 years for the General Fund. The funds being borrowed are for Capital projects approved by Council and the term of the debenture will be no longer than 15 years. SERVICE AND FINANCIAL OUTCOMES N/A INPUT FROM OTHER SERVICE AREAS AND STAKEHOLDERS N/A ATTACHMENTS N/A rig] COUNCIL REPORT M&C No. 2020 - 222 Report Date August 26, 2020 Meeting Date August 31, 2020 Service Area Finance and Administrative Services His Worship Mayor Don Darling and Members of Common Council SUBJECT: Lighting Upgrades — City Arenas OPEN OR CLOSED SESSION This matter is to be discussed in open session of Common Council. AUTHORIZATION Primary Author Commissioner/Dept. Head City Manager Samir Yammine Kevin Fudge John Collin RECOMMENDATION It is recommended that the tender submitted by Security Electrical Ltd., for the Lighting Upgrades at the three City Arenas: Gorman, Peter Murray and Hurley in the amount of $82,260 plus HST be accepted. Further to the base tender amount, it is recommended that a contingency allowance be carried for this project in the amount of $6500 plus HST, for a total project cost of $88,760 plus HST. Additionally, it is recommended that the Mayor and Common Clerk be authorized to execute the necessary contract documents. The projects are part of the approved Capital Budget and is funded 40% through the Low Carbon Economy Fund and 20% through NB Power commericial building retrofit program. The projects will also reduce the City's annual energy and maintenance costs by $14,005 and $1,500 respectively. The projects have a 2.3 year payback period. EXECUTIVE SUMMARY The purpose of this report is to seek Council's approval to award the Lighting Upgrades at City Arenas to the lowest compliant bidder. PREVIOUS RESOLUTION M&C 2019-312. It is recommended that the City enter into the Grant Agreement with Her Majesty the Queen in Right of Canada, as represented by the Minister of the Environment who is responsible for the Environment and Climate Change Canada under the Low Carbon Economy Fund (LCEF) for the Municipal Buildings Deep Energy Retrofit (MBDER) in the form and upon the terms and conditions as rL! -2- attached; and that the Mayor and Common Clerk be authorized to execute the said Agreement. REPORT Analysis In November 2019, Council entered into a Grant Agreement with the Federal Government under the LCEF for MBDER. The LCEF, which is 40% of the eligible cost, will be used toward the implementation of Energy Conservation Measures (ECM) on selected Municipal and Water Facilities. The lighting upgrades at the City Arenas is aligned with the LCEF criteria, the City of Saint John Corporate Greenhouse Gas (GHG) emissions and Energy Action Plan and the Climate Change Action Plan. As part of the City Asset Management Program, staff has developed methodology, a Risk Rating System and criteria to identify assets that are considered high risk, have immediate impact on the Level of Service (LOS) and positive net present value. This project was selected using the following criteria: • Alignment with asset management policy and capital investment policy; • High risk assets using adopted risk rating framework to identify these assets; • Level of impact on service to public and environmental effects; • Net present value of asset renewal; and • Greenhouse gas emissions impact. The work consists of the installation of new LED lamps or luminaires throughout the three City Arenas: Gorman, Peter Murray and Hurley. The proposed Project upgrades will result in the following benefits to the City: • Reduce the City energy cost by approximately $14,005 annually with a simple payback of 2.3 year; • Reduce City Capital Expenditure by $49,882; • Improve the indoor lighting quality and uniformity of the City Arenas through the installation of state of art lighting and control systems; • Reduce GHG emissions by 46 Tonnes of CO2; and • Reduce maintenance cost by approximately $1500 annually. STRATEGIC ALIGNMENT 01 -3- The Lighting Upgrades at the City Arenas is clearly aligned with the following City plans, policies, Council Priorities, programs and practices: • City of Saint John Corporate GHG and Energy Action plan to reduce GHG emissions by 30% by 2025 and achieve carbon neutral by 2040; • City of Saint John Asset Management Policy objectives to apply risk -based decision and life -cycle costing principles to prioritize capital investment, identify alternative measures, facilitate the leveraging of infrastructure funding from external sources, and improve the reliability of customer service; • City of Saint John Capital Investment Policy; and • City of Saint John Climate Change Action Plan. SERVICE AND FINANCIAL OUTCOMES The total cost to complete the Lighting Upgrades at the City Arenas, if awarded to the lowest bidder as recommended, will be $88,760 plus HST, including $6500 contingency. This project is part of the MBDER which has received funding from the LCEF. The Funding for this project will be provided by the Environment and Climate Change Canada under the LCEF (40% or $35,504) and the NB Power Commercial Building Retrofit Program ($16,978) with the remaining fund from the 2020 Capital Budget. INPUT FROM OTHER SERVICE AREAS — MATERIALS MANAGEMENT A public tender call was issued on August 6, 2020 and closed on August 25, 2020. Six (6) companies responded to the tender call by submitting bids. The results are as follows (excluding HST): COMPANY NAME TEN[7EFt PRICE' Gardner Electric Ltd. $91,000.00 New Wave Electric $100,600.00 Roadway Systems Limited $108,108.00 Ainsworth Inc. $125,400.00 Security Electrical Ltd. $82,260.00 Energy Network Services Inc. $89,527.02 *Exclusive of HST The staff of Materials Management have reviewed the tenders and have found them to be complete and formal in every regard. The staff believes that the low tenderer has the necessary resources and expertise to perform the work, and recommends acceptance of their tender. The above process is in accordance with the City's Procurement Policy and NQ -4- Materials Management supports the recommendation being put forth. ATTACHMENTS NA NFA COUNCIL REPORT M&C No. 2020-215 Report Date August 28, 2020 Meeting Date August 31, 2020 Service Area Growth and Community Development Services His Worship Mayor Don Darling and Members of Common Council SUBJECT: Urban Development Incentive Grant Agreement — 29 Lower Cove Loop OPEN OR CLOSED SESSION This matter is to be discussed in open session of Common Council. AUTHORIZATION Primary Author Commissioner/Dept. Head City Manager Andrew Reid Jacqueline Hamilton Phil Ouellette John Collin RECOMMENDATION That Common Council authorize the Mayor and Common Clerk of Saint John to execute the grant agreement for: a. The Infill Development Agreement with Mike Cavanagh Homes Inc. for the redevelopment of 29 Lower Cove Loop. EXECUTIVE SUMMARY The purpose of this report is to approve the grant agreement for the infill development of a 29 multi -unit building at 29 Lower Cove Loop with in -building parking. While the project is capable of satisfying the base eligibility criteria under the "Urban Development Incentive Grant Policy"; the applicant has applied for a unique construction challenge that requires Common Council consideration. PREVIOUS RESOLUTION On June 8, 2020, Common Council directed the City Manager to proceed with the implementation of six additional initiatives as part of Municipal Economic and Community Recovery Planning. Restoration of Development Incentive and N-11 -2- Heritage Grants, which were temporarily paused in response to the public health pandemic, were included in this list. On April 23, 2019, Common Council amended the Urban Development Incentive Policy, which contains a suite of grants including vacant buildings, infill, and upper floors residential grants. STRATEGIC ALIGNMENT Common Council adopted a set of Priorities for 2016-2020. The "Growth & Prosperity," goals include driving development in accordance with PlanSJ that creates density required for efficient infrastructure and services. The "Vibrant, Safe City," goals include developing neighbourhoods through streetscape beautification. The basis for the adoption of the Urban Development Incentive Grant program was to spur new development within the Central Peninsula that otherwise might not occur, while paying the cost of the grant off through new tax growth in a timely manner. REPORT The project at 29 Lower Cove Loop consists of a 29 unit building, opposite to the recently renovated former Salvation Army Building on 36 St. James Street. During site planning the applicant encountered a unique construction challenge — water and sewer lines were discovered that crossed the project site (see Attached letter). This required redirection and relocation of services, costing $76,250. Table I-Prgjeet and Gant Summag Project # of Construction Construction Construction Estimated 5-year Type units Cost Challenge Challenges Residential Cost Grant Density Grant Infill 29 $5,600,000 $76,250 $19,062.50 $138,136.61 The Urban Development Incentive Grant Policy provides the framework for determining which projects are eligible and for calculating payment schemes. The project is eligible for the base Residential Density Grant; however, requires Council approval for the Construction Challenge Grant, as the identified challenge is outside of those identified by policy. In the past, minor variations from the policy have gone to Council for added discretion, as the policy does not envision all possible scenarios. This is particularly true when it comes to the list of construction challenges. -3- Staff recommend approving this unique construction challenge, which would result in a Construction Challenge grant upon completion of $19,062.50 (25% of construction challenge cost), subject to the applicant evidencing the costs. The challenge is a reasonable one to consider and the policy does contain similar challenges related to services. In addition to the Construction Challenge Grant, the applicant is eligible to receive the Residential Density Grant over a 5-year payout period. Taking an estimated average assessment of $100,000 per unit over five years, this could mean an estimated payout of $138,136.61. The project is eligible for this 5-year grant without any variance from the policy criteria. Payment of grants will be subject to all provisions set out in the Policy and Grant Agreement. SERVICE AND FINANCIAL OUTCOMES Common Council, through adoption of the General Fund operating budget, allocated $50,000 to the Urban Beautification Program and $170,000 to the Urban Development Incentive Program for 2020 for Construction Challenges. INPUT FROM OTHER SERVICE AREAS AND STAKEHOLDERS The grant agreement was formulated with the Legal Department. The project was also circulated to the Finance Department. ATTACHMENTS 1. Grant Agreement 29 Lower Cove Loop E:ii] Schedule A Please note the following before completing this form: - Complete all relevant fields unless marked "If Applicable" or your Jo I application will not be considered. a� - The following attachments are required to deem the application complete: o Floor Plans and/or Elevation Drawings o Authorization from Property Owner F,1�E„ o Construction Challenge Cost estimates (if applicable)' o Building Permit Application o Project Schedule City Hall Building - Legal names of property owners are required. loth Floor -15 Market Square - All costs associated with the preparation and submission of an application Saint John, NB EA 1E8 is the responsibility of the applicants. OneSton(cDsointiohn.co (506) 658-2911 - Construction Cost Challenges Grants and Building Permit Grants are received, reviewed, and approved on a first -come, first -serve basis until annual budgets are exhausted. - The City may request an independent audit of the Construction Challenges Costs at the expense of the applicant. - The City's acceptance of an application does not guarantee eligibility. - Once determined eligible, projects are required to enter into a grant agreement with the City. - For applications that qualify for the Upper Floor Redevelopment or Vacant Building project type, the City may conduct an inspection of the building to confirm eligibility. Application Steps E:1iI (aussi disponible en frangais) 1. Grants 56 Residential Density Grant Construction Challenges Grant Building Permit Grant 2. Project Type and Construction Challenges (if applicable) Choose one project type and check any challenges that apply. Estimates are required in the form of a cost to construct budget approved by a professional architect, engineer, or accountant with attached invoices. Challenges / Infill Development Upper Floors Vacant Building Project Type Redevelopment Redevelopment The breaking and removal of rock outcrops as part of site preparation in excess of $10,000 ❑ or 5% of project costs, whichever is higher. Remediation of contaminated soils. ❑ Extension of sewer services where only combined sewers exist. Installation of new or full replacement of ❑ ❑ sprinkler systems for any floor of the building. Construction that will bring the building within Secondary Egress standards of the Building By- ❑ ❑ I aw. Installation of a new elevator ❑ ❑ Construction that will bring building within fire ❑ ❑ separation standards of the Building By-law.' Removal of asbestos or lead paint. ❑ ❑ Cutting of new windows through brick or stone. ❑ ❑ Structural or foundation repairs in excess of ❑ ❑ $20,000. Replacement of knob and tube electrical. ❑ ❑ 3. Applicant/Property Owner Information Property Owner Name of Registered Property Owner Milo C v n uah Homes INC Mailing Address (with Postal Code) 11 Watorview Place, Saint John NB, E2K 5 2 Home Telephone Number Work Telephone Number 636-1322 Fax Number E-mail cvnghnbnet.nb.c Applicant (if Applicable) 1 Eligible methods may include the following: The construction or upgrading of a service room; the construction of a fire separation greater than 1 hour; the construction of a fire wall; and non-combustible construction. E:YA Name of Applicant Mike Cavanaugh Homes INC Mailing Address (with Postal Code) Home Telephone Number Fax Number 4. Property Information 0MMIAMBUMMM Work Telephone Number 636-1322 E-mail cavanagh@nbnet.nb.ca Location 29 Lower Cove Loop 00001669,00001677, 00001685,00001750 Civic # Street PID Existing Use Ww"M Proposed Use 29 unit residential apartment building S. Property Tax Current annual property tax No accurate current tax paid for these lots as the are currently part of the assessment of the Ocean Side Lofts building. Estimated property taxes paid following project completion Is this property in tax arrears, if so how much? (if applicable) 6. Estimated Cost of Construction Estimated Cost of Construction Challenges Estimated Cost of Construction 7. Project Description $44,000 - $65,000 No $76,250 $5.6 Million +HST Describe what you propose to construct and detail the history of the property, including if there have been any demolitions. (Attach additional pages if necessary). Construct a 29 unit apartment building with in -building parking. See attached plans. Are you applying for financial assistance under the Affordable Rental Housing Program of the Province of New Brunswick? Yes ❑ No 5J If yes, how many units are eligible? How many units are not eligible?_ Is your property located within a Heritage Conservation District? Yes ❑ No W. 8. Project Schedule: Date of Building Permit Submission June 10, 2020 Estimated Project Start Date: July 2020 Estimated Project Completion Date: 2021 9. Authorization NOTE: If the applicant is NOT the owner, the Owner's signature or authorization (in writing) to submit this application is required. Signature of Applicant Date RECEIVED Signature of Owner See Owner Authorization Date For Office Use Only I g Andrew Reid at 8:43 am, Jul 03, 2020 Reviewed By: _ y Project Number: ••i Eligibility Confirmed: Yes ❑ olse Wait List Number: E:i! Are you applying for financial assistance under the Affordable Rental MpusiogProgromnfthePrnvnmcofNom Brunswick? YesE] No W if yes, how many units are eligible? _ How many units are not eligible? __ Is your property located within a Heritage Conservation District? Yes [:] NoW. June 102020 Estimated Project �� ect�Qate: �L�L��. Fall 2021 NOTE: Ifthe applicant isNOT the owner, the Owner's signature orauthorization (in writing) tosubmit this application isrequired. For Office Use Only Reviewed By: Date: Project Number: Eligibility Confirmed: Yes No Wait List Number: 10. Applicant's Checklist Complete Application Form - Submit attachments (Floor Plans, Elevations) - Authorization from Property Owner - Provide estimate of Construction Challenges Cost (if applicable) signed off by Engineer, Accountant or Architect - Submit Copy of Building Permit - Project Schedule Receive Letter confirming Eligibility and Payment Estimates Sign Grant Agreement Project Completed - Submit Occupancy Permit - Submit Construction Challenges Receipts (if applicable) E:11.1 June 29, 2020 Mr. Mark Reade City of Saint John PO Box 1971 Saint John, NB E2L 4L1 Dear Sir: RE: The Atlantic - Lower Cove Loop (219310) Construction Challenges Grant As requested by Mike Cavanagh, we provide construction -cost estimates for the above captioned, and specific commentary on construction and development challenges. Overall, the construction value of the project is currently estimated at $5,600,000 (plus HST). A specific challenge within the project is non -easement services relocations. Water and sewer lines were discovered, serving Germain Street residences, but lines were run from the rear of properties, directly across the project's site, connecting at Lower Cove Loop. No easement was identified for the location of these services. Water and sewer lines were directed to new manholes, and then relocated/reconstructed to run out to Germain Street. The cost of this work, including engineering design, execution of the work and inspection/as-buiIts, sums to $76,250 (plus HST). :ontact the undersigned if any further information is required. HITECTURE Peter G. MacKenzie BEDS, B.Arch. 183 Charlotte Street AANB, NLAA Saint John, New BrunsWck E2L OC7 Tel: (506) 657-1611 E-Mail: mackarch@nbnet.nb.ca E:1FA L D - St- Sa�t\wtnames / a� og Title Data PIDs 0001669.00016]].00001685.00001743. 00001750.00002394 Owner. Mike Cavanagh Homes Inc Document 37992667 Registered: 2018-05-11 Signature of Owners Mike Cavanagh.. President for: Mike Cavanagh Homes lnc. Easement Key Plan Seale =1:10,od0 Legend Q SMS - Standard survey marker set Q SMF -Standard survey mark,, found Q CALC - Calculated point RIB- Round iron bar found ■ SQIB-Squareironbarfo..d Q IP - Iron pipe found -13 Tabulated coordinate reference Lands dealt with by this plan Notes 1. All computations performed and coordinates shown are based on the NB stereographic double Projection and the NAD83ICSRS) ellipsoid as realized by Service New Brunswick's Active Control System. 2. All distances shown are in meters and are grid distances calculated using a combined scale factor utilizing geold model HT2.0. 3. All directions are NB grid azimuths established using ONSS. 4. Document and plan numbers referred to are those of the land titles or county registry office. 5. C,nfication is not made as to legal title, being the tlomaln of a lawyer, nor to the zoning $setback bylaws r regulations, being the domain of a development officer. 6. Certification is not made as to covenants set out in the documanlis) and the location of any underground ervlces and/or fl tmes permanent or otherwise. ]. Peripheral Informatlon and adjacent owner Informatlon was derived front SNB records. S. Fluid survey was completed In Month, 2019. Purpose of Plan To create 20-1 and 2o-2 To show Easement Elan access easement in favour of 20.2 To show a Common Right of Way to be extinguished Suhdivision Plan Mike Cavanagh Homes Inc. Subdivision St. James Street City of Saint John Saint John County, NB Scale =1:— E•1•3 Submission 2 Elevation Plan - T 11 . . . . . . . ........ . 7 11=1 dm IKOIIIIIN ®®® 11 SUNNI I UNNII- l NEI ilimi li ®©� • 0171� ,r F9„r 0 o0 fik lid 1 ECEVA'IONs Submission 2: Elevation Plan +, a s-- r+ r-------- y 4--- y--- 0 r 0 r r> 0, ,- ---- s s--- t ti -- - N.E. r 0 r r> 0, ,- ---- q--- t 1 NO FN�-900 �.v tti 0N1 FNJ rr 2 vRovosEo-East E�EvarioN A3 cage. ve =-o 0191 64'4" --_ —__— E 0 0 - -- 0 0 THIRD 0 0 0 0 51 o auaoiNc isirE sec�ioN w 021 ny m CX „m D ❑ / S m D Z � / _-_ oo� o� 3NIl Al 3d08 17'- 3B'-F A _ o =o _ r � O w r _ � a3 S of xj ~ PROPERLY LINE yin - = - / sr-ia A m m u� m m - e z n m � — n - 20•-e 21�,0�� ~ n BO, e, PROPE s TY LINE � s ° - GERMAIN STREET —ny 92 as B,.z. I I n O 17. W-B" tfi'-10- m Z y 12-2 V A 17t B, a mQ s i - P - -23 i i m 0 0 zA y v m y O 211 21-10- m 12 o 22. 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V , z voo = ti.so s s" s'-]" Ilan n'. • ° i? 44 S zii Simi W � N p P Emily O r > a gym' s _ MV z � 3 - m a®r o Wf 98 D 0 zyp im m O a r a� �N fiper, 12.1x 13.8% m mcl col x I w oz ........... - o s v N z I 0 0 y t 4•-�" b'I 1w:° 1'-1o/i' T Cp� �A s•-2. a o H3A y y `mJ m Nm i y 0 >)3�0 S1� Of 01)9VVHH w � N T _ 0� Of 0 O Z O I .l 44 l knoll al y J o FE a Aw Sao 5' 05-7 41 5•-2SA-Y 2,; —PEEP - �m m> _ _ ma a m� T 1 ga u'o 27 W 99 r Schedule B Q) Subject: Urban Development Incentive Grant Policy Category: Policy Policy No.: 16-77.1 M&C Report No.: Effective Date: Next Review Date: January 2020 Area(s) this policy applies to: Financial incentives Office Responsible for review of this Policy: Growth and supporting development in the Central Peninsula Community Development Related Instruments: Policy Sponsor: Commissioner of Growth and Urban Beautification Grant Policy Community Development Services Document Pages: This document consists of 29 pages. Revision History: Common Clerk's Annotation for Official Record I certify that the —Insert Title -Policy Statement was adopted by resolution of Common Council on Month -Day -Year. I certify that the —Insert Title -Policy was approved by the City Manager on Month -day -Year Common Clerk Date Contact: Andrew Reid Telephone: 506-658-4447 Email: andy.reid@saintjohn.ca `tell] 2 CONTENTS PolicyStatement............................................................................................................................................................3 1. Description of Program..............................................................................................................................................3 1.1 Development Incentive Reserve Fund................................................................................................................3 2. The Residential Density Grant...................................................................................................................................5 2.1 Eligibility Amounts...............................................................................................................................................5 2.2 Residential Density Grant Criteria.......................................................................................................................6 GeneralRequirements..........................................................................................................................................6 SpecificRequirements..........................................................................................................................................6 3. Construction Challenges Grant..................................................................................................................................8 3.1 Eligibility Amounts...............................................................................................................................................8 3.2 Construction Challenges Grant Criteria...............................................................................................................8 GeneralRequirements..........................................................................................................................................8 SpecificRequirements..........................................................................................................................................8 4. The Building Permit Grant.........................................................................................................................................9 4.1 Eligibility Amounts...............................................................................................................................................9 4.2 Grant Criteria.......................................................................................................................................................9 5. Application Review, Approval and Disbursement of Grants...................................................................................10 ApplicationRequirements..................................................................................................................................10 Review and Payment of Grants...........................................................................................................................10 Administration and Evaluation of Applications..................................................................................................11 GrantAgreement................................................................................................................................................11 Other...................................................................................................................................................................11 6. Program Monitoring and Review.............................................................................................................................12 7. Definitions................................................................................................................................................................13 Schedule 1— Eligibility Boundary: Central Peninsula / Infill and Vacant Building Projects.........................................16 Schedule 2 — Eligibility Boundary: Upper Floors Redevelopment...............................................................................17 Schedule3 —Application Form....................................................................................................................................18 Schedule 4 — Grant Agreement Template...................................................................................................................23 `Q 3 POLICY STATEMENT The City of Saint John (the "City") supports the revitalization of the Central Peninsula to achieve the growth targets defined in PlanSJ. The purpose of the Urban Development Incentive Policy (the "Policy") is to establish a financial incentive program to encourage developers and property owners to invest in strategic areas within the Central Peninsula (Uptown, South End, and Waterloo Village), as defined by Schedule 1 in this Policy and the goals and objectives of any future Neighbourhood Plan, by creating residential units through either new construction or the redevelopment of existing buildings. 1. DESCRIPTION OF PROGRAM The purpose of the Urban Development Incentives Program is to provide financial incentives to assist with development of three types of projects that may not have otherwise occurred: (1) infill, (2) vacant buildings, and (3) upper floors. The foundation of the program and requisite for eligibility is the Residential Density Grant, which seeks to catalyze new residential growth by making use of underutilized property. Stacked on top of this grant, there are two additional grants available to assist with the cost of developing on the Central Peninsula: the Construction Challenges Grant and Building Permit Grant. The Residential Density Grant is to be funded through the Development Incentive Reserve Fund. The Construction Challenges Grant and Building Permit Grant will be funded through an annually approved budget to be accessed by eligible projects on a first -come, first -serve basis until funds are exhausted. The goals of the grants are as follows: • The Residential Density Grant is to increase residential units on the Central Peninsula through strategic types of development. • The Construction Challenges Grant is intended as a supplementary grant for projects to address costs due to the unique challenges of developing on the Central Peninsula. • The Building Permit Grant offers a grant to offset the cost of obtaining a Building Permit for Non -market housing projects undertaken on the Central Peninsula. 1.1 DEVELOPMENT INCENTIVE RESERVE FUND (1) A Development Incentive Reserve Fund shall be established to finance the Urban Development Incentives Program and will operate under the following provisions: a) The calculation provided in section 2.1 "Amount Contributed to the Development Incentive Reserve Fund" from each development project receiving funding through this program will be directed to the Development Incentive Reserve Fund each year to pay for the Residential Density Grant; b) Where a surplus is generated by the Residential Density Grant, the surplus shall be returned to the City's general operating budget. A surplus will be calculated as the amount remaining in the Development Incentive Reserve Fund for a project that will not be required to be paid out; Ii[oya 9 c) Where an approved project will not be completed within the calendar year of application, money owing from the City's general operating budget for the Construction Challenges Grant and Building Permit Grant shall be carried forward into the next year. If a grant agreement is terminated, the grant funding previously committed shall be returned to the City's general operating budget. d) Where the estimated costs for the Construction Challenges Grant are less than specified by an approved grant agreement, any residual grant funding not issued for the project will be returned to the City's general operating budget. e) For any eligible infill project, where more than 50% of the ground Floor Area of an existing building on a property was demolished by the same property owner within two years of an application, the tax revenue of the building prior to demolition shall be deducted from the amount paid to the Development Incentive Fund. f) Payment of grant applications received from January 1, 2016 and September 1, 2018 will be paid out according to executed grant agreements made under the former Urban Development Incentive Policy, approved by Common Council on March 21S`, 2016. `NQ 5 2. THE RESIDENTIAL DENSITY GRANT The Residential Density Grant is the foundation of the incentive program and requisite to obtaining access to the additional grants within this policy. The grant is intended to strategically reduce financial barriers and leverage new private sector investment by offsetting the cost of improvements to properties. Success of the grant program will be evaluated based on the ability to encourage increased residential density, reinvestment in heritage assets and underutilized building stock, core area beautification; and, positive return on municipal investment. 2.1 ELIGIBILITY AMOUNTS Calculation of the Residential Density Grant is based on the formula described below in Table A. The grant is based on the value of the building permit at the time of application. The formula provides an estimate of what the grant is calculated to be but may vary depending on the Amount Contributed to the Development Incentive Fund, as described in the Table B below. (1) Payments will be made over a five (5) year term based on the following formula: Grant Base Amount formula= Building permit value x (% of commercial portion of building x 0.025 + % of residential portion of building x 0.015) The Grant Base amount calculated is applied to the table below to determine estimated schedule of payments over the 5 year period. Table A - Estimated Residential Density Grant Payment Schedule Grant Year Percentage of Grant Estimated Payout 1 90% Percentage of Grant x Grant Base Amount (calculated annually) 2 80% 3 60% 4 40% 5 20% (2) The amount paid out cannot be more than the amount contributed to the Development Incentive Fund as calculated below: Table B - Amount Contributed to the Development Incentive Reserve Fund Grant Year Percentage of Grant Actual Payout 1 90% Percentage of Grant x Incremental City Taxes (calculated annually) 2 80% 3 60% 4 40% 5 20% `[9LI C. 2.2 RESIDENTIAL DENSITY GRANT CRITERIA GENERAL REQUIREMENTS (1) To be eligible for the Residential Density Grant, projects must meet all criteria (1-5) of one of the three project types (infill, upper floors, vacant building) outlined below within the Specific Requirements section below. (2) Projects are subject to the Urban Design Guidelines set out in any future Central Peninsula Neighbourhood Plan. (3) Should a project be submitted respecting a property that is in arrears respecting real property tax payments, such property shall be ineligible for consideration for a Residential Density Grant until such arrears are paid in full. SPECIFIC REQUIREMENTS The Specific Requirements Table provides the specific criteria required based on the type of project undertaken. Objectives of each type of project are as follows: Infill Development: Intended to encourage new construction on vacant lots in the Central Peninsula. These types of projects provide strategically designed grants that help to offset costs and improve the financial return on developing in the Central Peninsula. The City hopes to encourage new development that increases residential density, promotes quality development and adds to the vibrancy of urban neighbourhoods. Upper Floors Redevelopment: Intended to support reinvestment in the commercial core of the Central Peninsula through residential intensification of vacant or undeveloped upper floor spaces. These types of projects provide strategically designed grants to developers that target the financial challenges of converting the upper floor spaces of the historic mixed use building stock of the Central Peninsula. The City hopes to re -invest in the preservation of its historic building stock and to enhance the vibrancy of the Uptown area as it is defined by Schedule 2 of this Policy. • Vacant Building Redevelopment: Intended to encourage reinvestment in projects that address instances of urban blight and encourage increased residential density. These types of projects provide strategically designed grants that target buildings that have experienced high levels of vacancy resulting in a cycle of financial loss and the deterioration of the building. The City hopes the redevelopment of these buildings will provide quality housing. `Wee 7 Criteria / Infill Development Upper Floors Redevelopment Vacant Building Project Type Redevelopment 1. Eligibility a. Located within the a. Located within the area as a. Located within the area as Boundaries area as shown on shown on Schedule 2. shown on Schedule 1. Schedule 1. 2. Vacant Land b. The project must be a. The project must meet one a. The building has been vacant and Vacant located on a lot that of the following criteria: for more than one (1) calendar Buildings has been vacant for a year. minimum of one (1) i. The upper floor is currently calendar year.' used for warehousing or storage; or, ii. The upper floor is currently vacant and comprised of Uninhabitable Floor Space. 3. New c. The project must a. The project must create a a. The project must create a Residential create a minimum of 2 minimum of 1 new residential minimum of 1 new residential Units new residential units'. unit. unit. 4. Additional d. Infill Development a. A minimum of 20% of the a. The project must meet one of Requirements projects must be project redeveloped floor the following criteria: located on their own space must be residential. PID(s), except where i. The building has a residential the development is an property assessment of less addition to an existing than $35,000 per unit, or building. $70,000 for a single unit dwelling. ii. The building's prior use or design was for an Institutional Land Use. iii. The building has a minimum 20% Uninhabitable floor space. 5. Construction NA a. The project has a minimum a. The project has a minimum Costs construction cost of $50,000 construction cost of $50,000 ' Subject to the exception that if the building was demolished and redeveloped with multiple PIDs of which a minimum 50% of the PIDs being developed have been vacant for a minimum of 1 calendar year and the PIDs being developed have a minimum lot frontage of 5.5 metres and a minimum lot area of 165 square metres. z Subject to the exception that if the building has a height greater than 4 storeys, the building floor area must be comprised of a minimum of 40% residential floor space `191-1 M. I CONSTRUCTION CHALLENGES GRANT The Construction Challenges Grant is intended as an add -on to the Residential Density Grant for projects which incur costs due to key challenges which are above and beyond standard residential construction projects. Applicants may be eligible to receive partial reimbursement of construction cost challenges upon the completion of the project. These challenges must be estimated in advance and evidenced by receipts. Consistent with the project type applied for under the Residential Density Grant, applicants may be eligible for challenges related to infill, upper floors, or vacant building projects. 3.1 ELIGIBILITY AMOUNTS Projects which involve one or more of the construction challenges as outlined in the Specific Requirements Section are eligible for the Residential Construction Challenges Grant. (1) The Residential Construction Challenges Grant will pay 25% of construction challenge costs, to a maximum of $50,000, or 5% of total construction costs, whichever is less. (2) Evidence for construction challenge work shall be provided by the applicant upon the completion of the project and the final grant amount shall be determined at this time. 3.2 CONSTRUCTION CHALLENGES GRANT CRITERIA GENERAL REQUIREMENTS (1) To be eligible for the Construction Challenges Grant, projects must be eligible for a Residential Density Grant. (2) The project type selected under the Residential Density Grant shall determine any eligible construction challenges (applicants are limited to no more than one project type). (3) Eligible Challenges are outlined in the Specific Requirements Table section below. SPECIFIC REQUIREMENTS The table below provides guidance on specific challenges eligible as per the type of project. Challenges/ Infill Upper Floors Vacant Building Project Type Development Redevelopment Redevelopment The breaking and removal of rock outcrops as part of site preparation in ✓ excess of $10,000 or 5% of project costs, x x whichever is higher. Remediation of contaminated soils. ✓ x x Extension of sewer services where only ✓ combined sewers exist. x x Installation of new or full replacement of sprinkler systems for any floor of the x ✓ ✓ building. Construction that will bring the building within Secondary Egress standards of the x ✓ ✓ Building By-law. Installation of a new elevator x ✓ ✓ Construction that will bring building within x ✓ ✓ Ii[orl M fire separation standards of the Building By-law.3 Removal of asbestos or lead paint. x ✓ ✓ Cutting of new windows through brick or ✓ ✓ stone. x Structural or foundation repairs in excess ✓ of $20,000. x x Replacement of knob and tube electrical. x x ✓ 4. THE BUILDING PERMIT GRANT The Building Permit Grant is intended to provide targeted assistance to Non -Market Housing projects, as defined by this Policy, as a means of incentivizing mixed -income properties on the Central Peninsula. 4.1 ELIGIBILITY AMOUNTS (1) The Building Permit Grant provides a grant equal to 80% of the cost of the building permit fee for the project to a maximum of $10,000. 4.2 GRANT CRITERIA (1) The Building Permit Grant is only available for projects eligible for the Residential Density Grant. (2) The Building Permit Grant is only available for Non -Market Housing projects. 3 Eligible methods may include the following: The construction or upgrading of a service room; the construction of a fire separation greater than 1 hour; the construction of a fire wall; and non-combustible construction. IiDU] 10 5. APPLICATION REVIEW, APPROVAL AND DISBURSEMENT OF GRANTS APPLICATION REQUIREMENTS (1) Applications for the Urban Development Incentive Program shall be made by completing Schedule 3, in compliance with all applicable eligibility criteria. (2) Applications shall be made prior to the project start date. Should a project commence prior to an application being made, the project will be ineligible for a grant under this Policy. (3) Applications shall include a building permit application appended to Schedule 3 — Application Form; however, all other criteria being met, an application may be submitted in advance of a building permit for the purposes of being added to a waiting list for one (1) month, thereby reserving any eligible construction challenges grant and/or building permit grant, after which time the application will be removed from the waiting list. (4) Applications must be submitted the same calendar year as a building permit application and the building permit shall be appended to the application form. (5) Projects shall generally be completed within two years, in accordance with the building permit. Projects submitted in more than one building permit phase may be allotted more time as per the executed Grant Agreement. (6) Legal names of the property owner(s) are required and if an applicant is acting on behalf of the owner, property authorization from the owner of the property. (7) All costs associated with the preparation and submission of an application under this Policy is the responsibility of the applicant. The City shall not pay any costs incurred by an applicant in the preparation and submission of an application under this Policy, or any costs incurred in relation to the execution and delivery of a grant agreement. REVIEW AND PAYMENT OF GRANTS (8) Prior to payment of any grant(s) under this Policy, the City may withhold payment should it be determined that the property taxes and/or water and sewage fees for the property have not been paid in full. (9) Construction Challenges Grants and Building Permit Grants will be received, reviewed, and approved on a first -come, first -serve basis until annual budgets approved by Council for this Policy have been exhausted or the Policy has been discontinued as the case may be. (10) Construction Challenge Cost estimates shall be evidenced by: a) A cost to construct budget approved by a professional architect, engineer, or project accountant; or b) Where an applicant is completing the approved work themselves and claiming only material costs, 1 set of cost estimates from a building supply store. Ii[ole.] 11 (11) Following the completion of the Project, the applicant shall submit evidence confirming the Construction Challenges Costs in the form of receipts for materials and work completed. (12) The City may request an independent audit of the Construction Challenges Costs at the expense of the applicant. ADMINISTRATION AND EVALUATION OF APPLICATIONS (13) Growth and Community Development Services shall administer the Urban Development Incentive Program with the support of the Urban Development Incentive Review Committee. a) The role of the Development Incentive Review Committee (DIRC) is to confirm eligibility of applications in the context of the Policy criteria contained herein and as demonstrated by Schedule 3 and any supporting attachments such as plans, elevations, and building permits. b) The DIRC will consist of five technical staff members from one or more of the following City departments: Growth and Community Development Services, Finance and Administration, and Communications. A representative from DevelopSJ may also be assigned to the Committee. c) Technical staff members of the DIRC will be determined by the Commissioner of Growth and Community Development and members of the Committee may be removed or assigned by the Commissioner. GRANT AGREEMENT (14) Applicants who meet the eligibility requirements must enter into a Grant Agreement in the form as attached in Schedule 4 to this Policy in order to receive the grants contemplated by this Policy. The City's obligation to pay the grants to an applicant is subject to the terms and conditions outlined in the grant agreement. (15) The Mayor and Clerk of the City are hereby authorized to execute grant agreements with applicants in the form as attached in Schedule 4 to this Policy when it is determined by those administering this Policy that an applicant meets all of the eligibility requirements of a grant program outlined in this Policy. OTHER (16) For applications that qualify for the Upper Floor Redevelopment or Vacant Building project type, the City may conduct an inspection of the building to confirm eligibility. (17) The City may terminate this Policy and close the incentive program to all new applications at any point in time and for any reason. (18) Should an applicant not be capable of meeting any of the criteria outlined in this Policy, a supplementary report, application, and grant agreement may be submitted to Common Council for consideration. `sK 12 6. PROGRAM MONITORING AND REVIEW (1) This Policy is intended to be monitored on an annual basis in the form of review, evaluation, and tracking of key performance indicators. a. Review will be conducted by the Development Incentive Review Committee and comprise an overview of grants issued, value of construction, new tax revenue, future grant commitments, status of the Development Incentive Fund, and housing assessment of the Central Peninsula. If deemed necessary changes are required, a report will be made to Growth Committee and/or Common Council. (Year) $$ Paid Out / Est. Value of Est. New Annual To be Paid Work Tax Revenue Out (Completed only) Vacant Building Grants Upper Floor Grants Infill Grants b. Evaluation of the program will inform annual budgeting for the program and any changes to the grants and eligibility criteria contemplated by the program. c. Annual key performance indicators shall be submitted to the City's dashboard for tracking program performance and consist of Grants Committed, Leveraged Investment, Number of New Residential Units, and Target of Leveraged Investment. 111 13 7. DEFINITIONS The following definitions apply to this Policy: Basic Facilities: Facilities as required under sections 7 and 9 of By-law Number M-14 A By- Law Respecting Standards for Maintenance and Occupancy of Buildings and Premises. Construction Costs: Construction costs are the total cost of the construction of the building, including site preparation, mechanical and electrical components. Construction costs do not include: a) The cost of any engineering or design work; b) The cost of purchase of a building, land or assembly of land; c) The cost of demolition of existing structures; d) Soft costs such as legal services, financing charges, marketing and any other similar activities; e) Fees for municipal applications, approvals & permits; f) Provincial or Municipal Taxes paid during planning, construction, sale or operation of the project, including the payment of arrears to render a project eligible for funding under this Policy; and, g) The cost of constructing accessory buildings or structures. Development Incentive Reserve Fund: This reserve fund will be used to set aside the funding requirements for the Residential Density Grants based on the"Amount Contributed to the Development Incentive Reserve Fund" formula. First Storey: The first building storey above grade. Flankage Fagade: The face of a building, with multiple sides fronting onto a street, which does not contain the Main Entrance. Floor Area: The total of all floor areas of a building or structure above and below grade measured between the exterior faces of the exterior walls of the building at each floor level, but does not include any area designed for parking. Front Fagade: The face of the building that fronts on a street and contains the Main Entrance. Infill Development Projects: New building developments located on Vacant Lots. Institutional Land Use: Means the following uses listed and defined within By-law Number C.P. 111, The Zoning By-law of the City: • Community Arena; • Community Centre • Community Policing Office; • Correctional Services; • Crisis Care Facility; • Cultural Establishment; • Day Care Centre; • Emergency Services Facility; • Hospital; • Library • Place of Worship; • Recreation Facility; • Rehabilitation Centre; • School(9-12); • School (K-8); • Supportive Facility; • Supportive Housing; • Technical or Vocational School; and • University or College. `M 14 Main Building: The building intended to accommodate the main use or uses permitted on a lot. Main Entrance: The primary entrance used for entering and exiting the building which fronts on the street used for the civic address of the building. Market Housing Projects: Means housing projects undertaken that are not receiving financial assistance under the Affordable Rental Housing Program of the Province of New Brunswick. Market housing projects exclude the following uses: A) Rooming houses; B) Special care facilities; C) Group homes; And D) Projects receiving the Province of New Brunswick's Rental Residential Rehabilitation Assistance Program funding. Non -Market Housing Projects: Means housing projects that are receiving financial assistance under the Affordable Rental Housing Program of the Province of New Brunswick. Non -market housing projects exclude the following uses: A) Housing developments where less than 50% of units are subsidized; B) Special care facilities; C) Group homes; D) Rooming houses; E) Office space for a not -for -profit corporation. Project Floor Area: The total Floor Area being redeveloped as part of a development project. Project Start Date, Infill Development Projects: For Infill Development Projects, project start date means the date at which the pouring of the footings or foundation has begun. Project Start Date, Upper Floors and Vacant Building Redevelopment Projects: For upper floors and Vacant Building redevelopment projects, project start date means the date at which all interior demolition associated with the proposed redevelopment has been completed and work for which a building permit was required and obtained has commenced. Projects with a construction cost greater than $1,000,000 may identify project phases for the purpose of determining the Project Start Date. Where phases are identified the Project Start Date means the date which all interior demolition associated with the proposed redevelopment has been completed and work for which a building permit was required and obtained has commenced the first phase of the project. A phase may not be less than 20% of the Project Floor Area. Project Type: Means one of three project types, as defined by the Residential Density Grant: Infill Development, Upper Floors Redevelopment, and Vacant Building Redevelopment. Applications may be eligible for no more than one project type and the project type selected on Schedule 3 shall determine eligible construction challenges for that project type. MCI 15 Reconstruct: To build or make something again where the structural integrity, functionality or physical appearance has been compromised beyond the extent of regular maintenance of the building. Substantial and Persistent Vacancy: When a building experiences vacancy rates at a level and duration of time that threatens its long term financial viability and physical maintenance. Townhouse: A building containing two or more dwelling units arranged side by side each with an independent exterior entrance and separated vertically by a common wall extending from the foundation to the roof. Uninhabitable Floor Space: Floor space proposed for residential conversion or upgrading that lacks Basic Facilities or is substantially damaged to the extent that new facilities must be installed or building components must be replaced or reconstructed to meet the following minimum requirements of By-law Number M-14 A By -Law Respecting Standards for Maintenance and Occupancy of Buildings and Premises: i) Section 7, Cooking Facilities; ii) Section 9, Toilet, Wash and Other Sanitary Facilities; iii) Section 11, Fire Protection Measures; iv) Section 12, Egress; and v) Section 16, Doors and Windows. Vacancy Rate: The sum of all months each residential unit of a building is unoccupied calculated as a percentage of the total number of units multiplied by 12. Vacant Building: A building that is not used or occupied by an owner or tenants of that owner. Vacant Lot: Land that does not contain a Main Building. `AEI We SCHEDULE 1 - ELIGIBILITY BOUNDARY: CENTRAL PENINSULA / INFILL AND VACANT BUILDING PROJECTS Infill Development Program Boundary `sk 17 SCHEDULE 2-ELIGIBILITY BOUNDARY: UPPER FU][]RSREDEVELOPMENT COUNTY OF SAINT JOHN PROVINCE OF NEW BRUNSWICK of the and Province of . MAKE OATH AND SAY: - 1. THAT I ant the of the Developer named in the foregoing instrument. 2. THAT the Developer does not have a corporate seal. 3. THAT the signature " " subscribed to the said instrument is my signature and as I am duly authorized to execute the said instrument and therefore legally bind the developer. 4 day of THAT the said document was executed as aforesaid at the in the Province of on the ,20 . SWORN TO before me at the in the Province of this day of , 20 Commissioner of Oaths Being a Solicitor 117 SCHEDULE 4 —GRANT AGREEMENT TEMPLATE r1:7e1►�reTrld►� ��il�1 THIS AGREEMENT made in duplicate this day of [2020]. BY AND BETWEEN: Mike Cavanagh Homes Inc. of the City of Saint John and Province of New Brunswick a body corporate duly registered under the laws of the Province of New Brunswick (hereinafter called the "Developer") OF THE FIRST PART 21TI THE CITY OF SAINT JOHN, a body corporate by Royal Charter, confirmed and amended by Acts of the Legislature of the Province of New Brunswick (hereinafter called the "City") OF THE SECOND PART WHEREAS the City supports the revitalization of the Central Peninsula Neighbourhood and acknowledges a need for additional financial support for residential development in this area; and WHEREAS at its meeting held the 215t of March, 2016 the City adopted an Urban Development Incentive Policy and amended it on April 23, 2019, ("Policy") to establish financial incentives to encourage developers and property owners in strategic areas within the City's Central Peninsula to invest in the creation of new residential units through either new construction or the redevelopment of existing buildings; and WHEREAS the Developer has applied for a the following grants: Infill Development (Residential Density Grant and Construction Challenges Grant) for a development on a property bearing the PID Numbers 00001669, 00001677, 00001685, 00001750 (the "Property"); and WHEREAS the Policy requires that an applicant who meets the eligibility requirement of a given Program under the Policy enter into a Grant Agreement in order to receive the Grants contemplated in a given Program; and WHEREAS the Developer's application was not granted under the Policy; and WHEREAS at its meeting held the 315t of August, 2020 the City decided to grant to the Developer a grant to be administered in the same manner as a Grant under the Policy; NOW THEREFORE THIS AGREEMENT WITNESSETH that the parties hereto covenant and agree each with the other as follows: 118 `'a 1. The development for which the Grants contemplated in this Agreement shall be paid is outlined in the prescribed application form, site plan and drawings attached hereto as Schedule "A" (hereinafter the "Project"). 2. The Urban Development Incentive Program is established by the Policy which is attached hereto as Schedule "B" and forms part of this agreement. 3. Construction of the Project shall begin within two (2) months of the date of the execution of the Agreement or on or before May 15th of the year this Agreement is executed, whichever is the later date. 4. Projects that are phased in nature, i.e. will require more than one building permit, must be completed and in receipt of an occupancy permit according to the following schedule: Project Type Required Completion Date Projects with estimated Construction Costs below Completed by November 1 three years following the submission of 2,000,000. an application. Projects with estimated Construction Costs greater Completed by November 1 five years following the submission of an than $2,000,000. application. 5. The Residential Density Grant shall be estimated according to (Table A, section 2.1) and will not pay out more than the amount outlined in (Table B, section 2.1) as described below. The first payment shall be made any time after the 1st of July the following year. Table B — Amount Contributed to the Development Incentive Fund Grant Year Percentage of Grant (Percentage of Grant x Incremental City Taxes calculated annual) 1 90% 2 80% 3 60% 4 40% 5 20% 6. The City's obligation to pay the Residential Density Grant is conditional upon: a. the City completing a final inspection which confirms that the relevant incentive program eligibility criteria have been met; b. the Developer being in receipt of an occupancy permit or a certificate of successful completion pursuant to the City's Building By -Law; and, c. availability of sufficient resources in the Development Incentives Reserve Fund, as provided in the City's annual operating budget and/or replenished per the mechanism set out in the Policy. 119 3 7. The City and the Developer acknowledge and agree that the City may choose at its sole and absolute discretion to amend or cancel the Policy at any time and that funding provided to the Development Incentives Reserve Fund by the City may change in future years or be cancelled altogether. Accordingly, the City and the Developer also acknowledge and agree that funding for projects outside of the first year could be reduced or not applicable at all depending on the resources that Common Council decides to allocate to the Development Incentives Reserve Fund in any particular year. Should this occur, the Developer acknowledges that it shall have no legal recourse against the City. Residential Construction Challenges Grant 8. The City shall, pursuant to the terms and conditions identified herein, pay to the Developer a Residential Construction Challenges Grant in the amount of $19,062.50 following the receipt by the Developer of an occupancy permit or certificate of successful completion under the City's Building By -Law. 9. The City's obligation to pay the Residential Construction Challenges Grant is conditional upon: a. the City completing an inspection which confirms that the relevant incentive program eligibility criteria have been met; and b. the Developer being in receipt of an occupancy permit or a certificate of successful completion pursuant to the City's Building By -Law. 10. The City and the Developer acknowledge and agree that the City may choose at its sole and absolute discretion to amend or cancel the Policy at any time and that funding provided to the Development Incentives Reserve Fund by the City may change in future years or be cancelled altogether. Accordingly, the City and the Developer also acknowledge and agree that funding for projects outside of the first year could be reduced or not applicable at all depending on the resources that Common Council decides to allocate to the Development Incentives Reserve Fund in any particular year. Should this occur, the Developer acknowledges that it shall have no legal recourse against the City. 11. Following the completion of the Project, the applicant shall submit evidence confirming the Construction Challenges Costs in the form of receipts for materials and work completed. 12. Prior to the payment of any grants contemplated in this Agreement and identified in this Policy, the City has the right to withhold payment should it be determined that the property taxes and/or water and sewerage fees for the Property have not been paid in full. Termination 13.The City may terminate this Agreement without notice upon the occurrence of one of the following events: a. the Construction of the Project does not begin on the date set out at section 3; 120 b. changes are made to the design of the building during construction that do not comply with the eligibility criteria of the relevant incentive program for the grants contemplated in this Agreement; and, c. Common Council, by resolution, rescinds the Policy. 14.This Agreement may not be assigned without the written consent of the City. 15.This Agreement shall be governed by the laws of the Province of New Brunswick. 16. No amendment of this Agreement is effective unless made in writing and signed by a duly authorized representative of each of the City and the Developer. No waiver of any provision of this Agreement is effective unless made in writing, and any such waiver has effect only in respect of the particular provision or circumstance stated in the waiver. No representation by either of the parties with respect to the performance of any obligation under this Agreement is capable of giving rise to an estoppel unless the representation is made in writing. 17. Each party shall be responsible for paying its own costs and expenses incurred in connection with the execution and delivery of this Agreement. 18.This Agreement shall be binding upon and enure to the benefit of the parties hereto, their respective successors and assigns. 121 IN WITNESS WHEREOF the parties hereto have caused these presence to be duly executed by the properly authorized officers and their respective corporate seals affixed hereto the day and year first above written. SIGNED, SEALED AND DELIVERED in the presence of: Per: Name: Title: THE CITY OF SAINT JOHN Mayor Common Clerk Common Council Resolution: 122 SCHEDULE A (Application Form) SCHEDULE B (Urban Development Incentive Grant Policy) SCHEDULE C (Affidavit of Corporate Execution) WIN COUNCIL REPORT M&C No. 2020 - 221 Report Date August 24, 2020 Meeting Date August 31, 2020 Service Area Finance and Administrative Services His Worship Mayor Don Darling and Members of Common Council SUBJECT: Fall 2020 — Saint John Energy Debenture Application OPEN OR CLOSED SESSION This matter is to be discussed in open session of Common Council. AUTHORIZATION Primary Author Commissioner/Dept. Head City Manager Craig Lavigne Kevin Fudge John Collin RECOMMENDATION RESOLVED that the City of Saint John entrust to the Power Commission of the City of Saint John, doing business as Saint John Energy, the design, operation and management of the Burchill interconnection and Paradise Row substation relocation projects. RESOLVED that Common Council approve the loan agreement between the City of Saint John and The Power Commission of the City of Saint John and direct the Mayor and Common Clerk to execute the agreement; RESOLVED that occasion having arisen in the public interest for the following Public Civic Works and needed Civic Improvements that the City of Saint John proposes issue of the following debentures to be dated on or after September 4, 2020: The Power Commission of the City of Saint John Burchill Interconnection $ 15,000,000 Paradise Row Substation $ 10,000,000 TOTAL S25,000,000 THEREFORE RESOLVED that debentures be issued under provisions of the Acts of Assembly 52, Victoria, Chapter 27, Section 29 and amendments thereto, to the amount of $25,000,000. -2- EXECUTIVE SUMMARY Notice of motion was giving at the August 4th, 2020 meeting of Common Council regarding the need to borrow $25,000,000 for two projects; the Burchill Interconnection and Paradise Row Substation. The next step in the debenture financing is to submit application to the New Brunswick Municipal Finance Corporation. In order to proceed with the debenture financing this recommendation requires Council's adoption. There is a loan agreement between the City of Saint John and Saint John Energy that requires approval from Common Council. This agreement will include the terms and conditions for payment of debenture as well as a $25,000 administration fee to be paid to the City to cover the cost of administering the debenture. PREVIOUS RESOLUTION M&C — 2020-193 — 2020 Fall Debenture Issue — Notice of Motion REPORT The New Brunswick Municipal Finance Corporation is planning a bond issue in the near future and applications are to be submitted by end of September 23, 2020. While the issue will not be sold until the Corporation feels that rates are reasonable, they have provided ranges within which the issue could be sold. These are as follows: Interest Rate: Not to exceed an average of 4.50% Price, Net: Not to be less than $98.00 per $100.00 of debenture Term: Serial form to mature in equal annual amounts over a term not to exceed 10 years for Saint John Energy. Saint John Energy made a presentation to the Finance Committee on August 13tn regarding the Burchill Interconnection Project and the Paradise Row Substation as well as the need to borrow $25,000,000 to finance these projects. The Finance Committee was supportive of these projects and borrowing through the New Brunswick Municipal Finance Corporation. SERVICE AND FINANCIAL OUTCOMES See attached Loan Agreement INPUT FROM OTHER SERVICE AREAS AND STAKEHOLDERS Input has been received from; Finance Committee, Common Council, Legal, Finance and Saint John Energy `P491 -3- ATTACHMENTS Loan Agreement City of Saint John and Saint John Energy `PU THIS LOAN AGREEMENT made as of the 3 1 " day of August, 2020. BETWEEN: THE POWER COMMISSION OF THE CITY OF SAINT JOHN, located at 325 Simms Street, Saint John, N.B., E2L 4C7 (herein referred to as the "Power Commission" or the "Borrower" -and- THE CITY OF SAINT JOHN, a body corporate by Royal Charter, confirmed and amended by Acts of the Legislative Assembly of the Province of New Brunswick, City Hall Building, 15 Market Square, P.O. Box 1971, Saint John, N.B., E2L 4L1 (herein referred to as the "City"). Whereas the City by resolution of its Common Council adopted on the 22 day of December, 1922 established the Power Commission of The City of Saint John (the "Power Commission") pursuant to the New Brunswick Electric Power Act, 1920 (10 Geo V c. 53); and Whereas the aforesaid resolution, amongst other things, entrusted to the Power Commission the 11 ... erecting, constructing, and operating works for the transmission and distribution of electrical power and energy in the City of Saint John, and of controlling and managing the same .... such Commission to proceed only so far as may be authorized by the Common Council from time to time."; and Whereas the Power Commission currently operates under the business name and style of Saint John Energy (SJE); and Whereas the Power Commission has proposed the construction, operation and management of electrical infrastructure projects referred to as the Burchill Windfarm Interconnection Project and the Paradise Row Substation Project (the Proposals), descriptions of which are more fully set out herein; and Whereas the City by resolution adopted on the 31 st day of August 2020 has approved the Proposals and has entrusted to the Power Commission the design, construction, operation and management of the Proposals; and `pArA Whereas the City by resolution adopted on the 31 st day of August 2020 has agreed to borrow the monies required to permit the design, construction and commissioning of the Proposals, and to provide those monies to the Power Commission for those purposes alone; and Whereas agreement has been reached upon the terms of repayment by the Power Commission to the City of the monies referred to in the immediately preceding recital, Now Therefore This Agreement Witnesseth that for and in consideration of these presents and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties agree as follows: 1. Interpretation (1) Definitions. In this agreement, unless otherwise stated the following terms shall have the meaning prescribed for each as follows: (a) "Applicable Laws" means all present or future statutes, regulations, municipal by-laws, rules, orders, applicable common law standards and principles, treaties, conventions, judgments, awards, and other lawful determinations of any government or governmental agency or other comparable body, or court or other tribunal of competent jurisdiction in any applicable jurisdiction; (b) "Business Day" means any day other than Saturday or Sunday or a statutory holiday so recognized by the Province of New Brunswick; (c) "Loan" means the funds lent by the City to the Borrower described in Article 2 of this Loan Agreement, and includes all accrued outstanding interest on the principal amount; (d) "Loan Agreement" means this agreement, including any schedules attached hereto, as same may be further amended, restated, extended, supplemented or otherwise modified from time to time. (e) "Loan Purposes" means the use by the Borrower of the Loan to achieve the design, construction, erecting and commissioning of the Proposals as more fully described herein; (f) "Parties" means the Borrower and City, and "Party" means one of them as the context provides; and (g) "Proposals" means: The Paradise Row Substation Project, having an estimated cost of ten million dollars ($10M), consisting generally of the purchase of a parcel of land and a building located at 90 Paradise Row_(PID 55234835) along with the construction of an electrical substation facility to step down voltage at this site. Included in the construction costs will be the acquisition of all necessary electrical transformation and switching equipment, civil works, labour and professional services required build the station. This project will consolidate and replace the Commission's existing Union and Crown Street substations and is part of a successful funding application under the Federal Disaster Mitigation and Adaptation Fund, AND the Burchill Wind 2 iIK-13 Farm Interconnection Project, having an estimated cost of fifteen million dollars ($15M) and consisting generally of an express distribution feeder line extending from the Burchill Wind Farm generation site, to be located in the Spruce Lake Industrial Park area, to various points of the Commission's Distribution System. The project will include the acquisition of supporting structures, cable, electrical transformation equipment, civil works and associated construction labour and professional engineering services. (h) "Provincial Loan Documents" means the debenture to be issued by the City to the Province of New Brunswick for the purposes, inter alia, of borrowing the monies which are to be loaned by the City to the Borrower pursuant to this Loan Agreement, as such loan documentation may be further amended, restated, extended, supplemented or otherwise modified from time to time. (2) Assignment. This Agreement will be binding upon the Parties' respective successors and lawful assigns, provided that a Party may only assign its rights or obligations under this Agreement with the written consent of the other party. (3) Invalidity. Any provision in this Loan Agreement which is held to be illegal or unenforceable shall be ineffective to the extent of such illegality or unenforceability without invalidating the remaining provisions of this Loan Agreement. (4) Further Assurances. The Parties shall with reasonable diligence do all things and provide all reasonable assurances as may be required to implement the provisions of this Loan Agreement, and each Parry shall provide such further documents, instruments and cooperation requested by the other Parry as may be reasonably necessary or desirable to give effect to this Loan Agreement and to carry out its provisions. (5) Sections, Headings and Contra Proferentem. The division of this Loan Agreement into Articles, Sections and Paragraphs and the insertion of headings are for convenience of reference only and shall not affect the interpretation or construction of this Loan Agreement. Unless otherwise indicated, any reference in this Loan Agreement to an Article, Section, Paragraph or Schedule refers to the prescribed Article, Section, Paragraph or Schedule to this Loan Agreement. Each Parry acknowledges that it has reviewed and participated in determining the terms and conditions of this Loan Agreement and agree that any rule of construction or doctrine of interpretation, including contra proferentem, construing or interpreting any ambiguity against the drafting Parry shall not apply. (6) Waiver. No waiver of any provision of this Loan Agreement, including waiver of a breach of this Loan Agreement, shall constitute a waiver of any other provision or breach of this Loan Agreement unless expressly provided otherwise. No waiver shall be binding unless executed in writing. (7) Governing Law. This Loan Agreement shall be governed by and construed in accordance with the laws of the Province of New Brunswick and the laws of Canada applicable therein. (8) Time of the Essence. Time shall be of the essence of this Agreement and of every part hereof, and no extension or variation to this Loan Agreement shall operate as a waiver of this provision. 3 11NO.1 (9) Amendment. This Loan Agreement may only be changed by a document in writing signed by both Parties. (10) Entire Agreement. This Loan Agreement constitutes the entire agreement between the Parties in regard to its subject -matter. It supersedes all prior agreements, understandings, representations, warranties, proposals, negotiations and discussions, whether oral or written, between the Parties. 2. Loan The City agrees to lend to the Borrower and the Borrower agrees to borrow from the City the sum of Twenty -Five Million Dollars ($25,000,000.00) of lawful money of Canada (the "Loan"). In the event that the Province of New Brunswick approves a debenture from the City which reflects Provincial support for only one of the Proposals, then in such event the amount of the Loan will be reduced accordingly. The Borrower shall use the funds solely for the Loan Purposes and for no other use. 3. Loan Repayment Terms (1)(a) the Loan including both principal and interest, shall be repaid by the Borrower to the City on the dates and in the amounts to be stipulated or provided for in the Provincial Loan Documents anticipated to be issued by the City to the Province of New Brunswick for the purpose, inter alia, of funding the Proposals; (b) the Borrower shall include with the first installment of the repayment an additional one- time payment o 0.1 % of the Loan amount. (2) the Parties expressly acknowledge and agree that the dates and amounts referred to in (1) are not known precisely as of the execution of this Agreement, and further acknowledge and agree that once established by the Provincial Loan Documents shall be irrevocably binding upon Parties; (3) the Borrower may repay the whole of the Loan balance then outstanding, at any time upon providing notice of its intention to do so, to the City and upon receiving the City's consent to such early repayment. (4) the City will accept the following forms of payment: wire transfer, cheque. 4. Conditions Precedent In addition to all other terms and conditions of this Loan Agreement, the provision of the Loan to the Borrower is conditional upon each of the following: (a) Receipt by the City of a copy of this Loan Agreement, duly executed by the Borrower; (b) Receipt by the City of such other information, records, and documentation from the Borrower as the City may request and that is satisfactory to the City in its absolute discretion; and (c) Subject to Article 2, the City's receiving from the Province of New Brunswick the sum of $25,000,000.00 pursuant to the Provincial Loan Documentation in order to enable it to make the Loan contemplated herein. .19 `Bill 5. Representations and Warranties of the Borrower (1) General. Borrower makes the following representations and warranties to the City acknowledging that the City is relying on the truthfulness and accuracy of each representation and warranty in entering into this Loan Agreement, and with the further acknowledgment that the City would not have entered into this Loan Agreement without any of such representations and warranties of the Borrower: (a) Authorization. Borrower represents and warrants to the City that this Loan Agreement has been duly authorized, executed and delivered by the Borrower and is a legal, valid and binding obligation of the Borrower, enforceable against the Borrower by the City in accordance with its terms except only as such enforcement may be restricted or limited by any applicable laws in regard to bankruptcy, insolvency or the enforcement of creditors' rights generally. No authorization or approval or other action by, and no notice to or filing with, any government authority or regulatory body or other parry is required for the due execution, delivery or performance by the Borrower of this Loan Agreement, except for authorizations, approvals, actions, notices or filings which have been duly obtained or made and are in full force and effect. (b) Authorization to do Business. Borrower represents and warrants to the City that the Borrower has all requisite licenses, permits, consents and other legal authority under Applicable Laws to carry on business in New Brunswick. (c) Conflicting Agreements. Borrower represents and warrants to the City that the entering into and performance of this Loan Agreement, does not conflict, nor with the passage of time will conflict or result in a breach or violation of, the Borrower's by-laws, or conflict with or breach any other agreement to which the Borrower is a parry. (d) Not Bankrupt or Insolvent. Borrower represents and warrants to the City that the Borrower has not made any assignment for the benefit of creditors, nor has any receiving order been made against the Borrower under the Bankruptcy and Insolvency Act, R.S.C. 1985, c. B-3, or other applicable bankruptcy and insolvency legislation, nor has any petition for such an order been served on the Borrower, nor any proceedings initiated or contemplated under the provisions of the Winding -Up and Restructuring Act, R.S.C. 1985, c. W-11, or the Companies' Creditors Arrangement Act, R.S.C. 1985, c. C-36, nor has any receiver, receiver and manager, monitor, custodian or official with similar powers been appointed by court order or privately respecting the Borrower or any of its assets. (e) No Default. Borrower represents and warrants to the City that the Borrower is not in default under any bond, guarantee or other instrument of indebtedness. (f) No Legal Proceedings. Borrower represents and warrants to the City that there is no claim, action, prosecution or other legal proceeding of any kind pending or threatened in any jurisdiction in which the Borrower does business, and before any court or other tribunal, including any administrative agency, in regard to any matter which, if adversely determined, might have a wt 131 material adverse effect on its financial condition or ability otherwise to undertake its business or meet its obligations under this Loan Agreement. (g) Compliance with Laws. Borrower represents and warrants to the City that the Borrower is in compliance with all Applicable Laws and, to the knowledge of the Borrower there is no fact, circumstance or event currently or with the passage of time that would cause or result in any violation of the same. (2) Continuation of Representations and Warranties. The representations and warranties of the Borrower described in this Clause 5 shall remain in effect for the term of this Loan Agreement. 6. Affirmative Covenants The Borrower covenants and agrees with the City to the following: (a) Borrower shall pay all amounts due to the City under this Loan Agreement; (b) Borrower shall maintain all licenses, permits, privileges, consents and other rights and authority for the ongoing conduct of its business in all jurisdictions in which it conducts business as of the commencement date of this Loan Agreement; and (c) Borrower shall maintain insurance with reputable insurers in such amounts and against such risks as is usually carried by prudent owners of comparable businesses in the same jurisdiction(s) in which the Borrower conducts business. 7. Negative Covenants (1) The Borrower covenants and agrees with the City to the following: (a) Without the prior written consent of the City, the Borrower shall not sell, lease, convey, transfer or otherwise dispose of any business, property or other assets of the Borrower other than in the ordinary course of business. 8. Events of Default On the happening of any of the following events of default the City shall provide notice to the Borrower of the details of such event of default and the Borrower shall remedy such default to the City's satisfaction within 30 days of receipt by the Borrower of such notice of default, provided that should the Borrower fail to remedy such default to the City's satisfaction within such 30 day period, the City may, at its option, forthwith and upon written notice, cancel the Loan and declare the outstanding principal balance of the Loan and accrued interest to be immediately due and repayable, and the same shall be immediately due and payable: (a) Borrower fails to make any of the payments in the amounts and at the times specified in this Loan Agreement; (b) Borrower is in breach of any covenant, representation and warranty, or condition precedent under this Loan Agreement; (c) Borrower is in breach of any other agreement between the City and the Borrower; m `9% (d) Borrower makes any assignment for the benefit of creditors or any petition for a receiving order has been made against the Borrower under the Bankruptcy and Insolvency Act, R.S.C. 1985, c. 13- 3; (e) Borrower suspends or otherwise fails to carry on its business; (f) Borrower defaults in the payment of moneys owing to any other creditor for the business; or (g) City in good faith believes that the prospect of repayment of the Loan or performance otherwise by the Borrower of its obligations under this Loan Agreement is impaired or doubtful. 9. Indemnification Whenever the City shall sustain or incur any losses and expenses in connection with: (a) the declaration by the City following the occurrence of an event of default, that the Loan is immediately due and payable; (b) the failure of the Borrower to pay when due principal, interest, fees or any other amount under this Loan Agreement when due (whether at maturity, by reason of acceleration or otherwise); or (c) any and all losses, claims, damages, liabilities and related expenses, including the fees, charges and disbursements of any counsel, which may be incurred by or asserted against the City in any way relating to or arising out of the Provincial Loan Documents, the Loan Agreement or the transactions therein contemplated as a result of the default of the Borrower hereunder, the Borrower indemnifies and holds harmless and agrees to pay the City, upon demand, an amount certified by the City to be necessary to compensate it for all such losses and expenses, which the Borrower hereby agrees to pay to the City together with interest thereon at the interest rate provided for herein. The certificate of the City shall also specify the computation and reasonable explanations of the amount to be paid. The agreements of the Borrower under this Section shall survive the repayment of the Loan. 10. Generals (1) Notices. All notices to be given under this Loan Agreement shall be in writing and either hand delivered or sent by registered mail to the address of the other Parry set out below. If by registered mail, any such notice shall be deemed to have been received on the fifth (5th) Business Day after mailing, and if hand delivered, on the date of delivery. Borrower Address: The Power Commission of The City of Saint John 325 Simms Street Saint John, N.B., E2L 4C7 Attention: e 7 133 City Address: The City of Saint John City Hall Building 15 Market Square P.O. Box 1971 Saint John, N.B., E2L 4L1 Attention: e Either Parry may change its address by written notice to the other given in the manner set out above. (2) Record of Indebtedness. The outstanding amount of the Loan owed by the Borrower to the City from time -to -time will be determined by the records of the City. The records shall constitute prima facie proof of the validity of the amount owing. IN WITNESS WHEREOF, the Parties have executed this Agreement, under seal, as of the date first written above. Witness: THE POWER COMMISSION OF THE CITY OF SAINT JOHN Ray Robinson, P. Eng. President & CEO Witness: THE CITY OF SAINT JOHN M. `Kz"! 1j �f ?�, �a y- 'o �srJ� Vkl�w'trzlm�rm August 27, 2020 His Worship Mayor Don Darling And Councillors SUBJECT: Proposed Municipal Plan Amendment — 2304-2310 Ocean Westway A Public Presentation was made on July 20, 2020 of a proposed amendment to the Municipal Development Plan which would re -designate on Schedule A of the Municipal Development Plan, a parcel of land with an area of approximately 1.61 hectares, located at 2304-2310 Ocean Westway, also identified as PID No. 55007074 and a portion of PID No. 00465856, from Stable Area to Employment Area; re -designate on Schedule B of the Municipal Development Plan, a parcel of land with an area of approximately 6258 square metres located at 2304-2310 Ocean Westway, also identified as PID 55007074 and a portion of PID No. 00465856 from Stable Residential to Stable Commercial; and re -designate on Schedule B of the Municipal Development Plan, a parcel of land with an area of approximately 9879 square metres located at 2310 Ocean Westway, also identified as a portion of PID 00465856, from Rural Resource to Stable Commercial to permit a commercial development. The required advertising has been completed, and attached you will find a copy of the public notice, and any letters of opposition or support received. If Council wishes, it may choose to refer the matter to the Planning Advisory Committee for a report and recommendation and authorize the necessary advertising with a Public Hearing to be held on Monday, November 9, 2020 in the Council Chamber at 6:30 pm, or not to proceed with the proposed amendment process and adopt a resolution to deny the application. Respectfully submitted, Jonathan Taylor Common Clerk M"In SAINT JOHN P.O. Box 1971 Saint John, NB Canada E2L 4LI I www.saintjohn.ca I C.R 1971 Saint John, N.-B. Canada E2L 4L1 PROPOSED MUNICIPAL PLAN AMENDMENT RE: 2304-2310 OCEAN WESTWAY Public Notice is hereby given that the Common Council of The City of Saint John intends to consider an amendment to the Municipal Development Plan which would: Re -designate on Schedule A of the Municipal Development Plan, a parcel of land with an area of approximately 1.61 hectares, located at 2304-2310 Ocean Westway, also identified as PID No. 55007074 and a portion of PID No. 00465856, from Stable Area to Employment Area as illustrated below; Re -designate on Schedule B of the Municipal Development Plan, a parcel of land with an area of approximately 6258 square metres located at 2304-2310 Ocean Westway, also identified as PID 55007074 and a portion of PID No. 00465856 from Stable Residential to Stable Commercial as illustrated below; Re -designate on Schedule B of the Municipal Development Plan, a parcel of land with an area of approximately 9879 square metres located at 2310 Ocean Westway, also identified as a portion of PID 00465856, from Rural Resource to Stable Commercial as illustrated below. A public presentation of the proposed amendment will take place at a regular meeting of Common Council, to be held via web conference, on Monday, July 20, 2020. PROJET DE MODIFICATION DU PLAN MUNICIPAL OBJET : 2304-2310, VOIE OUEST OCEAN Par les presentes, un avis public est donne par lequel le conseil communal de The City of Saint John a 1'intention d'6tudier la modification du plan d'amenagement municipal comme suit: Modifier la designation, a l'annexe A du plan, d'une parcelle de terrain d'une superficie d'environ 1.61 hectares, situ6e au 2304-2310, vole Ouest Ocean, et portant le NID 55007074 et une partie de NID 00465856, afin de la faire passer de secteur stable a secteur de d'emploi, comme it est indique ci-dessous; 2. Modifier la designation, a 1'annexe B du plan, d'une parcelle de terrain d'une superficie d'environ 6258 metres carres, situee au 2304-2310, vole Ouest Ocean, et portant le NID 55007074 et une partie de NID 00465856 afin de la faire passer de secteur residentiel stable a secteur commercial stable, comme it est indique ci-dessous; Modifier la designation, a 1'annexe B du plan, d'une parcelle de terrain d'une superficie d'environ 9879 metres carres, situee au 2310, vole Ouest Ocean, et etant une partie du NID 00465856, afin de la faire passer de secteur de ressources rurales a secteur commercial stable, comme it est indique ci-dessous. Une presentation publique du projet de modification aura lieu lors de la reunion ordinaire du conseil communal, qui aura lieu par conference Web le lundi 20 juillet 2020. REASON FOR CHANGE: To permit a commercial development. Written objections to the proposed amendment may be made to the Council, in care of the undersigned, by August 20, 2020. Enquiries may be made at the office of the Common Clerk or Growth and Community Development Services, City Hall, 15 Market Square, Saint John, N.B. between the hours of 8:30 a.m. and 4:30 p.m., Monday through Friday, inclusive, holidays excepted. Jonathan Taylor, Common Clerk 658-2862 REASON DE LA MODIFICATION: Permettre un developpement commercial. Veuillez faire part au conseil par ecrit de vos objections au pro.]et de modification au plus tard le 20 aofit 2020 a 1'attention du soussigne. Pour toute demande de renseignements, veuillez communiquer avec le bureau du greffier communal ou le bureau de service de la croissance et du developpement communautaire a l'hotel de ville au 15, Market Square, Saint John, N.-B., entre 8 h 30 et 16 h 30 du lundi au vendredi, sauf les.]ours feries. Jonathan Taylor, Greffiere communale 6582862 `19YA Budget 142 2015 0202002022ur2025 WE 2M 2017 2018 2019 0 144 IOf® ul Eff®r"I", 01 FAI// I 'w/m/n/w/w/K N COUNCIL REPORT M&C No. 2020 - 218 Report Date August 24, 2020 Meeting Date August 31, 2020 Service Area Finance and Administrative Services His Worship Mayor Don Darling and Members of Common Council SUBJECT: 2021 General Fund Operating Budget OPEN OR CLOSED SESSION This matter is to be discussed in open session of Common Council. AUTHORIZATION Primary Author Commissioner/Dept. Head City Manager Craig Lavigne Kevin Fudge John Collin RECOMMENDATION Based on the assumptions of 1.5% tax assessment growth over 2020 and Unconditional Grant of $17,204,756. RESOLVED: 1. That the sum of $158,046,896 be the total Operating Budget of the City of Saint John for 2021; 2. That the sum of $127,730,619 be the Warrant of the City of Saint John for 2021; 3. That the tax rate for the City of Saint John be $1.785; 4. That Common Council authorizes the Commissioner of Finance and Administrative Services to disburse, at a time acceptable to him, to the named Commissions, Agencies and Committees, the approved funds as contained in the 2021 budget. 5. That Common Council approves the 2021 Establishment of Permanent Positions at 577; 6. That Common Council approve $650,000 to the Capital Reserve Fund to fund infrastructure deficit; 7. That Common Council approve $905,000 to the Operating Reserve Fund to mitigate potential impacts of COVID 19 and other one-time emergencies that may arise in the future; 8. That Common Council approve funds be directed to or from Capital from Operating or Reserve Funds to balance the budget based on actual 2021 Property Tax Assessments and the Unconditional Grant. -2- EXECUTIVE SUMMARY The 2021 draft General Fund Operating budget was presented to the Finance Committee on August 13, 2020 with a recommendation to approve the budget and send the budget to the next meeting of Common Council with a recommendation to receive and file the report. The 2021 draft General Operating Budget was presented to Council on August 17 and staff addressed any questions and concerns regarding the budget from members of Council. The 2021 budget was presented as a historical financial reset for the City. The estimated $10 million structural deficit was eliminated; the budget included no short term provincial funding and will also be the earliest approval of an operating budget. This budget is based on a growth in tax assessment of 1.5% over 2020 and the unconditional grant remaining the same as the 2020 budgeted amount. Staff will bring back a final report for Council in late November to approve the City's warrant and total operating budget based on 2021 tax assessment and unconditional grant. PREVIOUS RESOLUTION M&C 2020-214 — 2021 Draft General Fund Capital Budget "It is recommended that members of Common Council; • Reflect upon the attached draft of the 2021 Draft General Fund Operating Budget and make any and all inquiries and recommendations to staff; and receive and file this report." REPORT The first draft General Fund Operating budget was presented to the Finance Committee on August 13, 2020 with a recommendation to approve the budget and to send the budget to the next meeting of Common Council, with a recommendation to receive and file the report. The 2021 draft General Operating Budget was presented to Council on August 17 and staff addressed any questions and concerns regarding the budget from members of Council. The 2021 budget was presented as a historical financial reset for the City. The estimated $10 million structural deficit was eliminated; the budget included no short term provincial funding and will also be the earliest approval of an operating budget. The budget being recommended has total revenue and expenditures of $158,046,896 which represents no change from the budget presented to Council on August 17th. `&V -3- Conclusion The 2021 draft General Fund Budget is a historical budget for the City of Saint John. The budget includes the elimination of a $10 million structural deficit. This is the first budget that has been guided by the City's first long term financial plan. The goals, strategies, and policies embedded in the long term financial have been met or exceeded in this budget. The budget includes more money for reserves, addresses the structural deficit, addresses wage escalation, reduction of debt, increasing pay as you go and keeping a stable tax rate. The budget sets the City on the path of long term financial stability. This budget ensures the City increases it flexibility, reducing its vulnerability, and ensuring accountability around how tax payer's dollars are spent. This budget is another step in long term financial plan of the City. There will be continued efforts to work with the Province on more sustainable items such as fair taxation, addressing collective bargaining issues, SJ Energy revenue options and various other items in the "Three Part Plan". STRATEGIC ALIGNMENT The 2021 General Fund Budget aligns with Councils priority of being fiscally responsible as well as the principles, policies and goals of the long term financial plan. The 2021 budget has been the result of Council and Staff being successful in dealing with barriers, implementing sustainability initiatives, and continuing to work with the Province on the "Three Part Plan". SERVICE AND FINANCIAL OUTCOMES See enclosed 2021 General Fund Operating Budget. INPUT FROM OTHER SERVICE AREAS AND STAKEHOLDERS Input has been received from all Service Areas, the ABCs, Senior Leadership Team and members of the Finance Committee and Common Council. ATTACHMENTS Appendix 1— 2021 General Fund Operating Budget `N' FA The City of Saint John 2021 General Fund Operating Budget 2021 Budget Revenues Property Taxes 127,730,619 PI LT Adjustment - Equalization & Unconditional Grant 17,204,756 Financial Assistance - Growth & Community Development Services 3,768,545 Transportation & Environment Services 3,773,749 Public Safety Services 2,451,188 Utilities & Infrastructure 332,039 Finance & Adminstrative Services 2,786,000 2020 Budget 125,842,974 1,185 17,204,756 9,293,235 4,968,607 4,094,853 1,975,300 192,514 3,135,000 Total Revenues 158,046,896 166,708,424 Expenditures Growth & Community Development Services 15,483,648 17,874,246 Transportation & Environment Services 38,587,208 41,887,339 Public Safety Services 54,635,169 57,425,302 Utilities & Infrastructure 5,625,504 4,019,478 Finance & Administrative Services 10,054,765 10,336,783 City Manager 3,224,617 3,245,058 Other Charges 30,435,985 31,920,218 Total Expenditures 158,046,896 166,708,424 Surplus (Deficit) 158 1 The City of Saint John 2021 General Fund Operating Budget 2021 2020 Budget Budget Revenues Property Taxes 127,730,619 125,842,974 PI LT Adjustment - 1,185 Equalization & Unconditional Grant 17,204,756 17,204,756 Financial Assistance - 9,293,235 Growth & Community Development Services 3,768,545 4,968,607 Transportation & Environment Services 3,773,749 4,094,853 Public Safety Services 2,451,188 1,975,300 Utilities & Infrastructure 332,039 192,514 Finance & Adminstrative Services 2,786,000 3,135,000 Total Revenues 158,046,896 166,708,424 Expenditures Growth & Community Development Services Growth & Community Planning Services 1,612,509 1,716,242 Development Services 102,884 121,345 Development Engineering 362,645 625,296 Community Development 473,101 259,186 Animal Control 91,244 91,244 Dangerous and Vacant Building Program 472,032 501,524 Minimum Property Standards 297,895 285,085 Heritage Conservation Service 195,630 194,358 Cultural Affairs 126,031 124,110 Other By -Laws 425,278 413,596 Permitting & Inspection Services 1,040,806 1,061,368 Regional Economic Development - 475,000 Destination Marketing (Tourism) - 2,018,608 Develop Saint John - 838,727 Regional Economic Development Agency 2,175,000 Market Square 2,250,000 2,488,248 Saint John Trade & Convention Centre 572,270 586,193 Imperial Theatre 344,165 367,285 Saint John Aquatic Centre 400,000 625,821 Saint John Arts Centre 152,920 139,471 TD Station 564,810 602,519 Library 472,892 497,892 City Market 1,022,824 1,012,480 Arts & Culture Board 70,000 70,000 Public Art Maintenance & Repair 16,000 16,000 Remembrance Day 1,500 1,500 159 2 The City of Saint John 2021 General Fund Operating Budget 2021 2020 Budget Budget Growth & Community Development Services (Continued) New Year/Canada Day Celebrations 15,000 15,000 Acadian Games - 19,750 PRO Kids 19,163 124,940 Succeed & Stay 205,863 200,343 Local Immigration Partnership 89,863 Carleton Community Center 182,700 190,211 Loch Lomond Community Center 45,000 45,000 North End Community Center 169,589 167,083 Recreation Programming 544,953 663,842 Neighbourhood Development 152,000 152,000 YMCA-FGCC/MCC - Contracted Services 137,661 135,627 Boys and Girls Club - Contracted Services 139,950 137,882 Unspecified Grants 184,000 184,000 Lifeguards 181,000 181,000 Play SJ 15,000 15,000 Lord Beaverbrook Rink 159,470 159,470 Growth Reserve - 350,000 Total Growth & Community Development Services 15,483,648 17,874,246 Public Safety Services Fire Rescue and Suppression Service 22,124,187 23,776,029 Fire Training 1,000 1,359 Medical First Responders - 17,830 Technical Rescue Response 46,256 75,850 Hazardous Materials 72,626 103,312 Fire Prevention 856,920 866,034 Fire Investigation 61,647 70,931 Emergency Management Services 341,535 336,152 Water Supply and Hydrants 2,500,000 2,500,000 Public Safety Communications Center 2,577,754 2,583,013 Street Lighting 959,982 999,159 Police Adminstration 1,893,381 2,023,778 Criminal Investigations 4,264,066 4,645,588 Police Commission 112,052 162,052 Automotive Equipment 1,059,833 1,000,500 Support Services 1,949,931 1,920,869 Dentention 174,000 174,000 Police Operations 14,695,871 15,212,146 Stations and Buildings 944,128 956,700 Total Public Safety Services 54,635,169 57,425,302 160 3 The City of Saint John 2021 General Fund Operating Budget 2021 2020 Budget Budget Transportation & Environment Services Snow Control Streets 5,334,943 5,700,022 Street Cleaning 1,678,357 1,556,365 Utility Cuts 710,263 727,403 Street Services - Surface Maintenance 8,455,908 7,122,040 Snow Control Sidewalk 917,182 1,101,593 Sidewalk Maintenance 587,428 793,399 Pedestrian & Traffic Management Service 1,986,389 2,241,753 Stormwater Management - 3,643,330 Solid Waste Management 3,766,069 3,781,035 Regional Services Commission 20,000 20,000 Landscape - Parks & Open Spaces 2,047,995 2,310,698 Rockwood Park 407,788 571,447 Urban Forestry 313,445 313,565 M ispec - 5,000 Saint John Horticultural Association 40,000 40,000 Arena Operation & Maintenance 1,168,546 1,568,144 Sportsfield Operation & Maintenance 1,195,592 1,393,873 Other Facilities Operation & Maintenance 406,222 449,103 Parking Administration 581,470 616,756 Transit Debt 1,961,195 2,037,026 Transit Subsidy 5,044,787 5,894,787 Fleet Stockroom 272,284 Stormwater Rural 1,691,345 - Total Transportation & Environment Services 38,587,208 41,887,339 Utilities & Infrastructure Engineering 914,136 572,934 Carpenter Shop 324,231 324,236 Facilities Management 1,408,663 1,476,376 City Hall Building 1,039,587 1,225,211 GIS 376,224 420,721 Stockroom 269,413 - Stormwater Urban 1,293,250 - Total Utilities & Infrastructure 5,625,504 4,019,478 161 4 The City of Saint John 2021 General Fund Operating Budget 2021 2020 Budget Budget Finance & Administrative Services Finance 1,17 6,140 1,640,459 Assessment 1,388,221 1,367,705 Supply Chain Management 407,376 1,207,895 Human Resources 1,826,083 1,565,654 Information Technology 3,073,774 2,966,799 Corporate Planning 311,448 503,224 Corporate Communications 573,001 573,547 Insurance 118,280 171,500 Liability Insurance 340,000 340,000 Customer Service 840,442 - Total Finance & Administrative Services 10,054,765 10,336,783 City Manager City Manager's Office 779,825 800,584 Mayor's Office 216,333 218,130 Common Council 519,902 549,067 Common Clerk 594,499 605,438 Legal Department 936,521 795,948 Real Estate 177,537 275,891 Total City Manager 3,224,617 3,245,058 Other Charges Fiscal Charges 15,941,014 16,650,273 Contingencies - - Deficit 2nd Previous Year 214,971 119,915 Landfill Closure 300,000 300,000 Special Pension Contributions 8,875,000 9,575,000 Long -Term Disability 550,000 661,572 Restructuring - 2,040,000 Transfers to Reserves 1,555,000 550,000 Other Charges - 23,458 Capital from Operating 3,000,000 2,000,000 Total Other Charges 30,435,985 31,920,218 Total Expenditures 158,046,896 166,708,424 Surplus (Deficit) - - 162 5 III NMI 0,�� w;"�,. Table of Contents 1.0 Background — City on the Move 2.0 Our Vision — Building a Sustainable Future 3.0 GNB Policy Considerations 3.1 Tax Reform 3.2 Binding Arbitration Affordability 3.3 Creating Regions for Growth 3.4 Revenue Generation Empowerment for Cities 3.5 Strategic Investment in Infrastructure 4.0 Municipal Social Mandate 5.0 Conclusion 6.0 Key Reference Documents (web links) iM-111 1.0 Background Saint John is positioned for growth. After deliberate planning and decisive action, the City is on a path to prosperity. In May of 2020, Common Council approved a Sustainability Plan that identifies a set of actions and goals to address the structural deficit in time for 2021. It also identifies the longer -term transformational reforms required to propel the City's and Region's growth over the next decade. Work to action the plan began in early 2020, and the City has already begun to see some significant, positive results. Early results: • The structural deficit has been eliminated. The draft 2021 budget is a historical financial reset with over $6 million reduced from employee wages and benefits, along with over $4 million in reductions in operating costs and an increase in City -sourced revenue by $900K. • A Long -Term Financial Plan has been adopted by Council. This includes a suite of financial policies that guided the development of future budgets and decision making. Guided by the Principles of the Long -Term Financial Plan, the City is now moving towards: Long-term Sustainability— Maintaining reserve fund balances and managing debt. Increased Flexibility — Balanced the structural deficit for 2021; reduced debt, principle and interest. Reduced Vulnerability— No longer reliant on Provincial interim transfers. Enhanced Accountability — Adopted Long -Term Financial plan along with a budget monitoring policy, wage escalation policy, and established financial goals. Additional accomplishments and work underway: • New Corporate Strategic Plan — in early stages of development • New Regional Economic Development Agency — to be established by January 2021 • Newly -integrated Saint John Customer Service Centre — expected launch date of December 2020 • Corporate realignment completed for all municipal service areas • City Hall move project completed — occupancy in September 2020 • CUPE Local 18 contract successfully negotiated to include Wage Escalation Policy. Other collective bargaining ongoing to achieve the same. • Management and professional staff salaries directly tied to Wage Escalation Policy. • Ongoing implementation of the City's Population Growth Framework and the Roadmap for Smart Growth. 2.0 Our Shared Vision — Building a Sustainable Future The Province of New Brunswick has been an important partner in making the fundamental changes needed to put Saint John on solid financial footing today, and into the future. Through extensive and collaborative work between provincial and city officials, and with a shared vision of growth for Saint John, the Province and Cityjointly released Sustaining Saint John —A Three -Part Plan in July 2019. The document outlines a plan to support short- and longer -term financial self-sustainability for the City; including reductions in the property tax rate. It recognizes that many of the actions identified for transformational reforms require, and will be strengthened by, the engagement of and partnership with regional communities, city employees, labour groups, and other community interests. The City will continue to champion the Plan, and is working with the provincial government, the Greater Saint John 1iW region and other New Brunswick municipalities to achieve success. For the Province to grow and prosper, cities must lead the way. Strong cities make for a strong province. Now is the time to focus on the City's future, and the vision for a strong and thriving Saint John Region. With a growing population of over 131,000 people living within the Saint John region, the City serves as a vital economic and social connection for all neighbouring communities and the entire province. Saint John welcomes some 18,000 people who commute every day for work. The Saint John CMA accounts for approximately 20% of the GDP for the province; employs close to 60,500 people; ranks 81" out of 20 urban centres in Atlantic Canada for its population growth rate; is home to a world -class industrial base; has a growing health and medical cluster; boasts some of the most diverse energy assets of any Canadian city; is the largest metropolitan area on the Bay of Fundy; offers an extensive air, water, rail and road global transportation network; has a growing tourism sector; and enjoys a thriving innovation sector. Saint John is proud to be the urban centre for the region and the industrial hub for New Brunswick. Saint John's ability to deliver on its historical role as the economic engine for New Brunswick will require continued leadership from the Government of New Brunswick to enable cities with the modern tools needed to maximize economic growth. Ultimately, it is the provincial government that has the power to make the meaningful and lasting reforms necessary to recognize and harness this critical role. Saint John has demonstrated that costs are under control. This has meant disciplining ourselves, and making choices about how to spend limited resources over an extended period of time. Through informed financial planning, decisions are being made based on greatest need, efficiency, and affordability. In other words, the City has found ways to deliver quality service within an affordable budget. 3.0 GNB Policy Considerations 3.1 Comprehensive Municipal Property Tax Reform Property tax reform is needed to better address the financial needs of municipalities and to modernize a system that dates back to the 1960s. Property tax reform is a key lever through which government can encourage economic growth and ensure that cities are able to keep more of the tax money generated within their communities to deliver core municipal services. Several current Provincial rules and exemptions erode City of Saint John property tax revenue. There are questions about tax revenue distribution, whether industry is paying its fair share, flexibility in setting differential rates, tax exemptions, and property assessment practices. All cities in New Brunswick have joined Saint John in advocating for a modernized property tax system that meets the needs of the 21st century. If the Province were to follow other Canadian provinces and leave property tax primarily as the economic tool for Saint John and other municipalities, residents could see enhanced municipal services and programs, and enjoy a more competitive property tax rate. ii11-1.1 3.2 Binding Arbitration Affordability The City of Saint John emergency services staff are highly valued in our community and their compensation reflects this. Under the New Brunswick Industrial Relations Act, firefighters and police officers cannot go on strike. Instead, binding arbitration is employed if they are not satisfied with the results of collective bargaining. The unintended consequence has been that over a 15-year period, police and firefighters have received a cumulative pay raise of about 70%. During that same period, CPI has increased by only 27.5%. The eight cities of New Brunswick have all advocated for legislative reforms to ensure that the original intent of the law is achieved. The amendment would require a single arbitrator, and ensure timely and efficient decisions that are more accountable and transparent. Importantly, decisions would be tied to meaningful assessments of a municipality's fiscal health, affordability and balance for any awarded settlements. 3.3 Creating Regions for Growth With Provincial leadership and support, and fundamental legislative changes, Saint John and surrounding communities can prosper to everyone's benefit. Saint John is the region's anchor, with services and infrastructure that support the needs of residents living across the entire region: • The City of Saint John is home to some of the most cherished and valued regional facilities, including the Imperial Theatre, TD Station, Canada Games Aquatic Centre, the Trade and Convention Centre, and Saint John Arts Centre. • Almost one-third of the people who use Saint John's City -subsidized recreational facilities are non residents who benefit from the subsidies although they do not pay City taxes. • Saint John also welcomes close to 18,000 work commuters from across the Greater Saint John Region who come into the city each day. • Saint John taxpayers cover 100% of the capital costs required to maintain aging infrastructure. Some method of regional cost -sharing must be put in place because Saint John's taxpayers simply cannot afford to continue paying for the needs of the entire region. The entire Greater Saint John Region has only approximately 131,000 people yet there are three or more of everything when it comes to providing services (fire, police, emergency management operations, waste management, road works, etc.). There are efficiencies to be found through regionalization of these overlapping services. The benefits of shared services could include lower costs, increased efficiencies, improved access to collective resources and expertise, increased purchasing power and, ultimately, improved services for citizens. Saint John's future lies in finding efficiencies through shared services and shared costs within the region — becoming a magnet for attracting growth on the East Coast — offering both quality urban and suburban lifestyle choices, core services and essential infrastructure. The Province must lead the effort to develop appropriate regional cost sharing. Additional details on the financial pressures of being a regional hub are found in the provincially mandated report produced by Gardner Pinfold in January 2020. The Province can also facilitate efforts to identify new areas and opportunities for regional cooperation. The regionalization discussion (cost sharing and shared services) fiMA is essential to the region's long-term sustainability and viability, and is far better accomplished with direct leadership from the Government of New Brunswick. 3.4 Revenue Generation Empowerment for Cities Broadly speaking, the City can only generate more revenue today by raising the municipal property tax rate. Opportunities to generate additional revenue are limited - meaning city taxpayers are forced to pay more for any new, enhanced or updated services or find corresponding offsets elsewhere. Municipalities, particularly the eight cities of New Brunswick, are professional service organizations with the knowledge and ability to develop economic generation ideas to improve services without raising taxes. Saint John would benefit from the opportunity to explore new revenue streams that could reduce the cycle of citizens always having to pay more. Removing restrictions within the Local Governance Act would allow the City to explore and develop new revenue streams for growth. 3.5 Strategic Investments in Infrastructure Significant federal funding is available for infrastructure renewal and to spur economic growth post pandemic. The City has an Asset Management Plan and a Capital Investment Plan that would leverage portions of available money for strategic renewal to enable further private sector investments to the benefit of both the City and the Province. Available funding requires the Government of New Brunswick to commit to modest investments through bi-lateral funding agreements and the City is prepared to work with the Province to develop detailed business cases to unlock portions of this money. 4.0 Municipal Social Mandate The City faces social issues that affect the daily lives of residents. Many within the City struggle with issues such as addiction, mental health issues, homelessness and affordable housing. The City has one of the highest child poverty rates in Canada and generational poverty is very real. While some innovative and strategic programs have been developed to change the narrative and lift citizens out of the generational struggle, an active provincial lead that is outcome -focused and a renewed effort are required to support awareness and investments in areas such as affordable housing, mental health and addiction support, community education centres and other support programs. 5.0 Conclusion By working together, we have the ability to shape a thriving future for the Greater Saint John Region, which will lead to a more prosperous New Brunswick. Saint John is positioned and ready for growth. Support of the Government of New Brunswick through implementation of the transformation reforms highlighted in this paper, and through empowerment of our cities to do more, will reap tremendous benefit to all. We look forward to understanding the Party platforms during this election campaign and how they will contribute to growth, prosperity and quality of life. 6.0 Key Reference Documents In Search of Balance —Strengthening NB's Municipalities to Benefit New Brunswick (8 Cities of NB Association) City of Saint John Restructuring Plan: City Manager's Report (City of Saint John, November 2019) Sustaining Saint John —A Three -Part Plan (Government of New Brunswick, July 2019) Greater Saint John Regional Task Force Analysis (Gardner Pinfold, 13 January 2020) Further information is available on www.saintiohn.ca/sustainablesaintiohn and 8citiesnb.com. iM- e7 Saint John Common Council 15 Market Square PO Box 1791, Saint John, NB E2L 4L1 Dear Mayor and Members of the City of Saint John Common Council, Glenwood Subdivision/Westside Estates is a community located off Manchester Avenue on the west side of Saint John. Despite the high property tax rate in Saint John, many residents have chosen to remain in the city and live in this area due to its quiet, safe, and family -friendly reputation. The original portion of the subdivision (Glenwood Subdivision) is currently zoned R1, with the newer portion (Westside Estates) zoned R2. To help preserve the type of community that residents have come to value, we are requesting an exemption from a portion of sections 10.5 (1) and 10.6 (1); specifically in regards to section 9.14 under the current City of Saint John Zoning By-law. In recent weeks, a business was established at 50 Glenwood Drive. The frequency with which emergency support vehicles respond to the residence has been distressing and disruptive to many in the area. We are concerned that similar organizations will open with the availability of other rental and sale properties in the area, thereby decreasing property values and permanently changing the type of neighbourhood that initially drew many of us to raise our families here. We are therefore asking Saint John Common Council to change the zoning in both sections of the subdivision to exclude these types of businesses. Thank you for your time and consideration of our request. Sincerely, Residents of Glenwood Subdivision/Westside Estates Erica and Kevin Beckwith Megan and Mike Blacquier Jennifer and Andrew Carhart Toby and Todd Clark Jennifer and Shawn Ervin Holly Fitzpatrick Gina and Jeff Matheson Jackie and Terry Keleher Trudy and Ralph Perry Yolande and Ian Pledge Gina and Kevin Simpson Lorraine and Harold Stears Ashley and James Totton Danielle and Trevor Watson Janice and Jerry Wilson `reel Kit Melanson 125 Victoria Street Saint John, NB E2K 1L5 506 609 0964 christophermelanson@gmaii.com AUG3 2020 I am a resident of the North End. I am writing with regard to 100 Victoria Street: a building that once added charm and grace to our community. 1 am informed that it is slated for an ignomious end. This building can be saved. On the advice of a civil engineer, I am reliably informed that this building has a sound of backbone and foundation. One area of concern is the basement apartment where the floor has subsided. This diffiency can be readily remedied through a straight forward deletion of the basement unit and covrting it to a storage area for the flats above. I am willing to work with the city to restore this building to its former stature. I am willing to buy the building from Grant Thorton and assume the back taxes. i would ask the city to forgive the water and sewage bill and provide me with 6 month to make progress on needed repairs. We can achieve this together. If it pleases this council I stand ready to invest in our community. Best wishes, Kit son 171 Taylor, Jonathan From: Catherine Pennington <nick@culturehub.ca> Sent: August 26, 2020 6:09 PM To: External - CommonClerk; And rea.AndersonMason @gnb.ca; Bill.Oliver@gnb.ca; Dorothy.Shephard@gnb.ca; Trevor. Holder@gnb.ca; Glen.Savoie@gnb.ca; Gerry. Lowe @gnb.ca; Wayne. Long@parl.gc.ca Subject: Active Transportation in Saint John Hello, I support the Coastal Link Trail and Saint John Cycling's proposal for improvements at: — Spruce Lake Trail — Main Street — Chesley Drive — City Road and Station Street —University Avenue — Ocean Westway — Manawagonish Road — and Heather Way I support this investment because of the many benefits active transportation provides, including: — Supporting the Tourism Industry — Promoting a Healthy Lifestyle — Providing More Pedestrian Space for Physical Distancing — Cleaner, More Sustainable Transportation — and Reducing the Road Maintenance Burden for Tax Payers I am a leisure biker that loves safe paved routes. It would be great to see families be able to ride safely together. Sincerely, Catherine Pennington 1121 Kennebecasis Dr E2K 5A7 cpennington nb@hotmail.com Taylor, Jonathan From: stephaniejack <nick@culturehub.ca> Sent: August 25, 2020 8:38 AM To: External - CommonClerk; And rea.AndersonMason @gnb.ca; Bill.Oliver@gnb.ca; Dorothy.Shephard@gnb.ca; Trevor. Holder@gnb.ca; Glen.Savoie@gnb.ca; Gerry. Lowe @gnb.ca; Wayne. Long@parl.gc.ca Subject: Active Transportation in Saint John Hello, I support the Coastal Link Trail and Saint John Cycling's proposal for improvements at: — Spruce Lake Trail — Main Street — Chesley Drive — City Road and Station Street —University Avenue — Ocean Westway — Manawagonish Road — and Heather Way I support this investment because of the many benefits active transportation provides, including: — Supporting the Tourism Industry — Promoting a Healthy Lifestyle — Providing More Pedestrian Space for Physical Distancing — Cleaner, More Sustainable Transportation — and Reducing the Road Maintenance Burden for Tax Payers Sincerely, stephanie jack 447 Argyle Street E2M 3A8 stephaniejack@hotmail.com Taylor, Jonathan From: johndornan962 <johndornan962@gmail.com> Sent: August 24, 2020 10:56 AM To: External - CommonClerk; And rea.AndersonMason @gnb.ca; Bill.Oliver@gnb.ca; Dorothy.Shephard@gnb.ca; Trevor. Holder@gnb.ca; Glen.Savoie@gnb.ca; Gerry. Lowe @gnb.ca; Wayne. Long@parl.gc.ca; sjc-advocacy@outlook.com Subject: Active Transportation in Saint John Hood morning, I am writing to ask for greater investment in Active Transportation in Saint John. I support Saint John Cycling's proposal for improvements at: - Spruce Lake Trail - Main Street — Chesley Drive — City Road and Station Street —University Avenue — Ocean Westway - Manawagonish Road — and Heather Way I support this investment because of the many benefits active transportation provides, including: - Supporting the Tourism Industry - Promoting a Healthy Lifestyle - Providing More Pedestrian Space for Physical Distancing - Cleaner, More Sustainable Transportation - and Reducing the Road Maintenance Burden for Tax Payers. Sincerely, John and Gail Doman 35 Wgterview Pl. Saint John 506.721.0176 ` FM Taylor, Jonathan From: Michael Saunders <nick@culturehub.ca> Sent: August 23, 2020 5:51 PM To: External - CommonClerk; And rea.AndersonMason @gnb.ca; Bill.Oliver@gnb.ca; Dorothy.Shephard@gnb.ca; Trevor. Holder@gnb.ca; Glen.Savoie@gnb.ca; Gerry. Lowe @gnb.ca; Wayne. Long@parl.gc.ca Subject: Active Transportation in Saint John Hello, I support the Coastal Link Trail and Saint John Cycling's proposal for improvements at: — Spruce Lake Trail — Main Street — Chesley Drive — City Road and Station Street —University Avenue — Ocean Westway — Manawagonish Road — and Heather Way I support this investment because of the many benefits active transportation provides, including: — Supporting the Tourism Industry — Promoting a Healthy Lifestyle — Providing More Pedestrian Space for Physical Distancing — Cleaner, More Sustainable Transportation — and Reducing the Road Maintenance Burden for Tax Payers Sincerely, Michael Saunders 4 second street E2K3L2 robertsonl95887@gmail.com Taylor, Jonathan From: Melissa Dumas <nick@culturehub.ca> Sent: August 21, 2020 5:48 PM To: External - CommonClerk; And rea.AndersonMason @gnb.ca; Bill.Oliver@gnb.ca; Dorothy.Shephard@gnb.ca; Trevor. Holder@gnb.ca; Glen.Savoie@gnb.ca; Gerry. Lowe @gnb.ca; Wayne. Long@parl.gc.ca Subject: Active Transportation in Saint John Hello, I support the Coastal Link Trail and Saint John Cycling's proposal for improvements at: — Spruce Lake Trail — Main Street — Chesley Drive — City Road and Station Street —University Avenue — Ocean Westway — Manawagonish Road — and Heather Way I support this investment because of the many benefits active transportation provides, including: — Supporting the Tourism Industry — Promoting a Healthy Lifestyle — Providing More Pedestrian Space for Physical Distancing — Cleaner, More Sustainable Transportation — and Reducing the Road Maintenance Burden for Tax Payers Sincerely, Melissa Dumas 18 Morley Crescent E2J 2X6 melissa.dumas@nbed.nb.ca Taylor, Jonathan From: Neil Dalton <nick@culturehub.ca> Sent: August 21, 2020 10:30 AM To: External - CommonClerk; And rea.AndersonMason @gnb.ca; Bill.Oliver@gnb.ca; Dorothy.Shephard@gnb.ca; Trevor. Holder@gnb.ca; Glen.Savoie@gnb.ca; Gerry. Lowe @gnb.ca; Wayne. Long@parl.gc.ca Subject: Active Transportation in Saint John Hello, I support the Coastal Link Trail and Saint John Cycling's proposal for improvements at: — Spruce Lake Trail — Main Street — Chesley Drive — City Road and Station Street —University Avenue — Ocean Westway — Manawagonish Road — and Heather Way I support this investment because of the many benefits active transportation provides, including: — Supporting the Tourism Industry — Promoting a Healthy Lifestyle — Providing More Pedestrian Space for Physical Distancing — Cleaner, More Sustainable Transportation — and Reducing the Road Maintenance Burden for Tax Payers Sincerely, Neil Dalton 4 Amberdale Dr. E2e4h5 neilcdalton@gmail.com `rrA Taylor, Jonathan From: Ruth McLaughlin <nick@culturehub.ca> Sent: August 21, 2020 6:41 AM To: External - CommonClerk; And rea.AndersonMason @gnb.ca; Bill.Oliver@gnb.ca; Dorothy.Shephard@gnb.ca; Trevor. Holder@gnb.ca; Glen.Savoie@gnb.ca; Gerry. Lowe @gnb.ca; Wayne. Long@parl.gc.ca Subject: Active Transportation in Saint John Hello, I support the Coastal Link Trail and Saint John Cycling's proposal for improvements at: — Spruce Lake Trail — Main Street — Chesley Drive — City Road and Station Street —University Avenue — Ocean Westway — Manawagonish Road — and Heather Way I support this investment because of the many benefits active transportation provides, including: — Supporting the Tourism Industry — Promoting a Healthy Lifestyle — Providing More Pedestrian Space for Physical Distancing — Cleaner, More Sustainable Transportation — and Reducing the Road Maintenance Burden for Tax Payers Sincerely, Ruth McLaughlin Inverness place E2J 3Z9 rmclaughlin347@gmail.com `rE:3 Taylor, Jonathan From: Danielle Burkett <nick@culturehub.ca> Sent: August 20, 2020 8:59 PM To: External - CommonClerk; And rea.AndersonMason @gnb.ca; Bill.Oliver@gnb.ca; Dorothy.Shephard@gnb.ca; Trevor. Holder@gnb.ca; Glen.Savoie@gnb.ca; Gerry. Lowe @gnb.ca; Wayne. Long@parl.gc.ca Subject: Active Transportation in Saint John Hello, I support the Coastal Link Trail and Saint John Cycling's proposal for improvements at: — Spruce Lake Trail — Main Street — Chesley Drive — City Road and Station Street —University Avenue — Ocean Westway — Manawagonish Road — and Heather Way I support this investment because of the many benefits active transportation provides, including: — Supporting the Tourism Industry — Promoting a Healthy Lifestyle — Providing More Pedestrian Space for Physical Distancing — Cleaner, More Sustainable Transportation — and Reducing the Road Maintenance Burden for Tax Payers Sincerely, Danielle Burkett 2 Anita Dr E2s 1 a8 flowerdandy@gmail-com Taylor, Jonathan From: Elizabeth Greer <nick@culturehub.ca> Sent: August 20, 2020 7:23 PM To: External - CommonClerk; And rea.AndersonMason @gnb.ca; Bill.Oliver@gnb.ca; Dorothy.Shephard@gnb.ca; Trevor. Holder@gnb.ca; Glen.Savoie@gnb.ca; Gerry. Lowe @gnb.ca; Wayne. Long@parl.gc.ca Subject: Active Transportation in Saint John Hello, I support the Coastal Link Trail and Saint John Cycling's proposal for improvements at: — Spruce Lake Trail — Main Street — Chesley Drive — City Road and Station Street —University Avenue — Ocean Westway — Manawagonish Road — and Heather Way I support this investment because of the many benefits active transportation provides, including: — Supporting the Tourism Industry — Promoting a Healthy Lifestyle — Providing More Pedestrian Space for Physical Distancing — Cleaner, More Sustainable Transportation — and Reducing the Road Maintenance Burden for Tax Payers Sincerely, Elizabeth Greer 11 Crestwood Drive E2E 5H3 elizabeth.greer@nbed.nb.ca `E:ii1 Taylor, Jonathan From: Kari Parsons <nick@culturehub.ca> Sent: August 20, 2020 7:18 PM To: External - CommonClerk; And rea.AndersonMason @gnb.ca; Bill.Oliver@gnb.ca; Dorothy.Shephard@gnb.ca; Trevor. Holder@gnb.ca; Glen.Savoie@gnb.ca; Gerry. Lowe @gnb.ca; Wayne. Long@parl.gc.ca Subject: Active Transportation in Saint John Hello, I support the Coastal Link Trail and Saint John Cycling's proposal for improvements at: — Spruce Lake Trail — Main Street — Chesley Drive — City Road and Station Street —University Avenue — Ocean Westway — Manawagonish Road — and Heather Way I support this investment because of the many benefits active transportation provides, including: — Supporting the Tourism Industry — Promoting a Healthy Lifestyle — Providing More Pedestrian Space for Physical Distancing — Cleaner, More Sustainable Transportation — and Reducing the Road Maintenance Burden for Tax Payers Sincerely, Kari Parsons Coldbrook Crescent E2JOH3 parsons_kari@hotmail.com Taylor, Jonathan From: Martina <nick@culturehub.ca> Sent: August 20, 2020 12:25 PM To: External - CommonClerk; And rea.AndersonMason @gnb.ca; Bill.Oliver@gnb.ca; Dorothy.Shephard@gnb.ca; Trevor. Holder@gnb.ca; Glen.Savoie@gnb.ca; Gerry. Lowe @gnb.ca; Wayne. Long@parl.gc.ca Subject: Active Transportation in Saint John Hello, I support the Coastal Link Trail and Saint John Cycling's proposal for improvements at: — Spruce Lake Trail — Main Street — Chesley Drive — City Road and Station Street —University Avenue — Ocean Westway — Manawagonish Road — and Heather Way I support this investment because of the many benefits active transportation provides, including: — Supporting the Tourism Industry — Promoting a Healthy Lifestyle — Providing More Pedestrian Space for Physical Distancing — Cleaner, More Sustainable Transportation — and Reducing the Road Maintenance Burden for Tax Payers Sincerely, Martina Shannon E2m5w7 martina.shannon@nbed.nb.ca Taylor, Jonathan From: Trevor Funk <nick@culturehub.ca> Sent: August 19, 2020 10:02 AM To: External - CommonClerk; And rea.AndersonMason @gnb.ca; Bill.Oliver@gnb.ca; Dorothy.Shephard@gnb.ca; Trevor. Holder@gnb.ca; Glen.Savoie@gnb.ca; Gerry. Lowe @gnb.ca; Wayne. Long@parl.gc.ca Subject: Active Transportation in Saint John Hello, I support the Coastal Link Trail and Saint John Cycling's proposal for improvements at: — Spruce Lake Trail — Main Street — Chesley Drive — City Road and Station Street —University Avenue — Ocean Westway — Manawagonish Road — and Heather Way I support this investment because of the many benefits active transportation provides, including: — Supporting the Tourism Industry — Promoting a Healthy Lifestyle — Providing More Pedestrian Space for Physical Distancing — Cleaner, More Sustainable Transportation — and Reducing the Road Maintenance Burden for Tax Payers Sincerely, Trevor Funk 264 Germain Street E2L 2G8 uptownsjrunner@gmai1.com `E:191 Taylor, Jonathan From: Theresa Koppert <nick@culturehub.ca> Sent: August 19, 2020 9:54 AM To: External - CommonClerk; And rea.AndersonMason @gnb.ca; Bill.Oliver@gnb.ca; Dorothy.Shephard@gnb.ca; Trevor. Holder@gnb.ca; Glen.Savoie@gnb.ca; Gerry. Lowe @gnb.ca; Wayne. Long@parl.gc.ca Subject: Active Transportation in Saint John Hello, I support the development of a SAFE cycling passage between Westfield and Quispamsis. Safety is always a concern when Pm out on the roads in our area. One can only do so much with helmets, neon, flashing lights, waving flags, and of course, following the safety and common sense rules of the road. Sincerely, Theresa Koppert 255 Bedell Avenue E2K 2C5 tkoppert99@gmail.com Taylor, Jonathan From: John Olive <nick@culturehub.ca> Sent: August 17, 2020 6:04 PM To: External - CommonClerk; And rea.AndersonMason @gnb.ca; Bill.Oliver@gnb.ca; Dorothy.Shephard@gnb.ca; Trevor. Holder@gnb.ca; Glen.Savoie@gnb.ca; Gerry. Lowe @gnb.ca; Wayne. Long@parl.gc.ca Subject: Active Transportation in Saint John Hello, I support the Coastal Link Trail and Saint John Cycling's proposal for improvements at: — Spruce Lake Trail — Main Street — Chesley Drive — City Road and Station Street —University Avenue — Ocean Westway — Manawagonish Road — and Heather Way I support this investment because of the many benefits active transportation provides, including: — Supporting the Tourism Industry — Promoting a Healthy Lifestyle — Providing More Pedestrian Space for Physical Distancing — Cleaner, More Sustainable Transportation — and Reducing the Road Maintenance Burden for Tax Payers Sincerely, John Olive 997 Duck Cove Lane E2M3G3 jcolive@nbnet.nb.ca `E:16'7 Taylor, Jonathan From: Carla Olive <nick@culturehub.ca> Sent: August 17, 2020 6:03 PM To: External - CommonClerk; And rea.AndersonMason @gnb.ca; Bill.Oliver@gnb.ca; Dorothy.Shephard@gnb.ca; Trevor. Holder@gnb.ca; Glen.Savoie@gnb.ca; Gerry. Lowe @gnb.ca; Wayne. Long@parl.gc.ca Subject: Active Transportation in Saint John Hello, I support the Coastal Link Trail and Saint John Cycling's proposal for improvements at: — Spruce Lake Trail — Main Street — Chesley Drive — City Road and Station Street —University Avenue — Ocean Westway — Manawagonish Road — and Heather Way I support this investment because of the many benefits active transportation provides, including: — Supporting the Tourism Industry — Promoting a Healthy Lifestyle — Providing More Pedestrian Space for Physical Distancing — Cleaner, More Sustainable Transportation — and Reducing the Road Maintenance Burden for Tax Payers Sincerely, Carla Olive 997 Duck Cove Lane E2M3G3 jcolive@nbnet.nb.ca `E:N Taylor, Jonathan From: Sent: To: Subject: Follow Up Flag: Flag Status: Hello, Luke Chapman <nick@culturehub.ca> August 16, 2020 2:28 PM External - CommonClerk; And rea.AndersonMason @gnb.ca; Bill.Oliver@gnb.ca; Dorothy.Shephard@gnb.ca; Trevor. Holder@gnb.ca; Glen.Savoie@gnb.ca; Gerry. Lowe @gnb.ca; Wayne. Long@parl.gc.ca Active Transportation in Saint John Follow up Flagged I support the Coastal Link Trail and Saint John Cycling's proposal for improvements at: — Spruce Lake Trail — Main Street — Chesley Drive — City Road and Station Street —University Avenue — Ocean Westway — Manawagonish Road — and Heather Way I support this investment because of the many benefits active transportation provides, including: — Supporting the Tourism Industry — Promoting a Healthy Lifestyle — Providing More Pedestrian Space for Physical Distancing — Cleaner, More Sustainable Transportation — and Reducing the Road Maintenance Burden for Tax Payers Sincerely, Luke Chapman 498 Norton Shore Rd e5n2a3 fubge2222@gmail.com `RYA August 27, 2020 Mayor and Common Council City of Saint John PO Box 1971 Saint John, NB E2L 4L1 Mayor Darling, Deputy Mayor and Councillors: Subject: Annual General Meeting — Pension Board of Trustees As mandated in article 2.5(e) of the City of Saint John Shared Risk Plan Declaration of Trust, the Annual General Meeting of the Pension Board of Trustees will be held on Wednesday, September 30, 2020 at 1:00 p.m. The meeting will be conducted electronically. Please confirm attendance and the name of the individual who will be attending on behalf of Common Council by Wednesday, September 23, 2020 by responding to Kelly Tibbits at the Common Clerks Office, email kelly.tibbits@saintiohn.ca. Please include an email address in order to receive the electronic invitation. Fred Slipp Chair City of Saint John Shared Risk Plan Board of Trustees City of Saint John Shared Risk Pension Plan P.O. Box 1971, 15 Market Square Saint John, N.B. E21L 4L1 506-658-2862 `E:1:3 COMMITTEE OF THE WHOLE REPORT M&C No. M&C 2020-216 Report Date August 25, 2020 Meeting Date August 31, 2020 Service Area Finance and Administrative Services His Worship Mayor Don Darling and Members of Common Council SUBJECT. Request from Reversing Falls Skywalk Inc. to Reduce Lease Payments CLOSED SESSION DISCUSSION REASON This matter is to be discussed in closed session pursuant to the provisions of subsection 68(1)(c) of the Local Governance Act. OPEN SESSION RESOLUTION REQUIRED? Yes, resolution and full report to be added to open session AUTHORIZATION Primary Author Commissioner/Dept. Head City Manager Curtis Langille Kevin Fudge/lan Fogan John Collin RECOMMENDATION That the request from Reversing Falls Skywalk Inc. for a short term reduction in rent, be denied. EXECUTIVE SUMMARY Reversing Falls Skywalk Inc. has requested a reduction on the monthly rent payable to the City for the lease of the Reversing Falls Restaurant. The tenant is aware the City does not qualify under the Canada Emergency Commercial Rent Assistance (CECRA) program offered by the Government of Canada for the Covid- 19 crisis. However, the tenant is seeking a reduction of 25 percent of the rent that the City would have been subsidizing if they had been able to take part in the CECRA program. The tenant is requesting a rent reduction for the same number of months the program is to be in effect. If granted, this would involve a rent reduction from $4,000.00 per month to $3,000.00 covering a period of five (5) months. The request is not supported by policy and would set a precedent to allow other lessees to make the same request. A relief in the rent cannot be supported at this time. `E:1%7 PREVIOUS RESOLUTION On April 6, 2020, Council adopted a resolution to deny the request for a rent reduction by Reversing Falls Skywalk Inc. but did authorize staff to offer tenants of the City a rent deferral program due to financial hardship from COVID-19. The offer would allow tenants who are affected to defer rent, interest free, with a payment plan over the final six months of 2020. BACKGROUND On October 15, 2015, Council approved a lease with Reversing Falls Skywalk Inc. which included financial terms of $4,000 a month in rent for the first 10 years of a 60-year lease. REPORT As Council is keenly aware, the Covid-19 pandemic is having a devastating impact on the local economy and the small businesses that are essential to keep that economy churning and growing. The Reversing Falls restaurant building was leased to Reversing Falls Skywalk Inc. in 2015 on a triple net lease basis for a period of 60 years. The lease provides for the lessee to be 100% responsible all costs associated with the property, including property tax. In addition to those terms, the lessee is also obligated to pay to the City (the lessor) $4,000 per month in rent for the first 10 years of the lease with rents to increase each 10-year period after that. The restaurant has not been open to the public this year and the tenant has indicated to staff they are switching to a seasonal operation in an effort to reduce operating costs. The tenant is now seeking a rent reduction by 25 percent for the same number of months the CECRA program is to be in effect to deal with the impacts of Covid-19. The federal government initiated the CECRA program back in April to aid in the support of small businesses that are dealing with the financial loses as a result of the COVID crisis. The CECRA program provides forgivable loans to qualifying commercial property owners; 50 percent covered by the Federal government, 25 percent covered by the property owner and 25 percent to be payable by the tenant. Municipal Governments do not qualify under this program. It is the 25 percent that would have been covered by the landlord that the lessee of the Reversing Falls restaurant is seeking a reduction in the monthly rent for a minimum period of five months; from $4,000.00 to $3,000.00 per month. Although this report is only dealing with the request by the tenant of the Reversing Falls restaurant, staff must also consider what ramifications could develop if the other tenants of the City were to come forward to request a similar reduction in their rent. The vast majority of City tenants are in the City Market, a few outdoor mobile tenants in the Loyalist Plaza area and TimberTops zip line at Dominion `RX Park. If the City were to favorably consider the request by Reversing Falls Skywalk Inc., undoubtedly, consideration would have to include all of the City's tenants. Over a period of five months this would result in lost revenues of approximately $50,000.00. As noted above, the City is also going through tough financial times with respect to balancing its budgets. Consequently, staff cannot support a reduction of rent for Reversing Falls Skywalk Inc. at this time. STRATEGIC ALIGNMENT The City takes a strategic approach to financial management that is equitable, balanced and efficient. Decision -making is in line with its strategic plans to ensure its financial sustainability. SERVICE AND FINANCIAL OUTCOMES There will be some small businesses who will not survive this crisis and in saying that, projected revenue for the year will not meet budget. The actual revenues will be closely monitored along with the increased financial scrutiny and reporting contemplated with the Covid-19 impacts. INPUT FROM OTHER SERVICE AREAS AND STAKEHOLDERS Finance and Administrative Services have provided input where applicable. ATTACHMENTS None