November 20, 1998

To:Strategic Policies and Priorities Committee

From:City Clerk

Subject:The Toronto Heritage Fund Grants Program

Recommendation:

The Municipal Grants Review Committee on November 20, 1998, recommended to the Strategic Policies and Priorities Committee the adoption of the following Recommendations Nos. (1) to (5) contained in the attached report (November 4, 1998) from the Managing Director, Toronto Historical Board:

"It is recommended that:

(1)the Toronto Heritage Fund grants program be expanded to cover the entire City of Toronto;

(2)Heritage Toronto continue to administer and manage the Toronto Heritage Fund grants program on behalf of the City of Toronto;

(3)Heritage Toronto, or its successor, report back to Council in one year with a review of the program and an appropriate long-term strategy for managing the Fund;

(4)applications be reviewed on a competition basis; and

(5)a representative of each former municipality be invited to participate in a cross-jurisdictional review committee."

The Municipal Grants Review Committee reports, for the information of the Strategic Policies and Priorities Committee, having deferred consideration of Recommendation No. (6), viz:

"(6)to successfully operate the expanded program, Council include an immediate contribution of $100,000.00 to the fund.",

pending receipt of:

(i)a further detailed report from the Managing Director, Toronto Historical Board, on the expansion plan; and

(ii)the detailed report requested of the Commissioner of Community and Neighbourhood Services on the establishment of priority service areas for the 1999 Municipal Grants Program, and on other requests for levelling up across all grants program areas.

Background:

The Municipal Grants Review Committee had before it the following report and communications:

-(November 4, 1998) from the Managing Director, Toronto Historical Board, respecting the Toronto Heritage Fund Grants Program;

-(November 19, 1998) from Ms. Allison Koturbash in support of the Toronto Heritage Fund Grants Program; and

-(November, 1998) from Ms. Eva Guinan in support of the Toronto Heritage Fund Grants Program.

City Clerk

R. Dyers/tl

Item No. 4

Sent to:Strategic Policies and Priorities Committee

Managing Director, Toronto Historical Board

Commissioner of Community and Neighbourhood Services

(Report dated November 4, 1998, addressed to the

Municipal Grants Review Committee from the

Managing Director, Toronto Historical Board)

Purpose:

This report describes the expansion of the Toronto Heritage Fund Grants Program, administered by Heritage Toronto, to the entire City of Toronto

Funding Sources, Financial Implications and Impact Statement:

It is recommended that, in order to successfully operate the expanded program, a $100,000.00 contribution by City Council is required.

Recommendations:

It is recommended that:

(1)the Toronto Heritage Fund Grants Program be expanded to cover the entire City of Toronto;

(2)Heritage Toronto continue to administer and manage the Toronto Heritage Fund grants program on behalf of the City of Toronto;

(3)Heritage Toronto, or its successor, report back to Council in one year with a review of the program and an appropriate long-term strategy for managing the Fund;

(4)applications be reviewed on a competition basis;

(5)a representative of each former municipality be invited to participate in a cross-jurisdictional review committee; and

(6)to successfully operate the expanded program, Council include an immediate contribution of $100,000.00 to the fund.

Council Reference/Background/History:

At its meeting of May 4, 1998, the Municipal Grants Review Committee requested Heritage Toronto to consult with stakeholders about expanding the program to cover the entire City of Toronto. Staff prepared a discussion paper, entitled "The Toronto Heritage Fund Grant Review, July 1998," that outlines the challenges arising from expanding the program. The paper was circulated to staff and LACAC representatives of the former municipalities, and to representatives of the restoration industry and former grant recipients for comment. Interested parties were invited to attend a meeting held on August 18, 1998, by Heritage Toronto, to discuss the questions outlined in the report.

Comments and/or Discussion and/or Justification:

At its meeting of Wednesday, October 21, 1998, Heritage Toronto (BD98-205) adopted the above-mentioned recommendations.

Heritage Toronto has reviewed and recommended grants under the Toronto Heritage Fund grants program on behalf of the former City of Toronto for over 12 years. The Toronto Heritage Fund grants program allows the municipality to aid owners of properties designated under the Ontario Heritage Act with approved restoration/conservation projects.

Property owners often ask what advantage there is for them to have their properties designated. Preserving historic buildings is a public benefit, yet private property owners bear the burden. Toronto Heritage Fund grants have been one way for the City to help. A total of $443,364.00 has been spent on 65 projects with an additional $90,000.00 committed to approved projects. On average, in the last five years, for every dollar of Toronto Heritage Fund grant money spent, the owner contributes five.

When the program's geographic scope is widened, two concerns raised are: (a) the depletion of the fund; and (b) ensuring there are opportunities to attract money from new sources to support the program.

Meeting with Stakeholders:

Heritage Toronto hosted a meeting on August 18, 1998, with representatives from the heritage community to discuss the issues related to expanding the program. In preparation for this meeting, Heritage Toronto prepared a paper that outlined several issues and questions to assist in the discussion. The following points were discussed at the meeting:

-It was noted that the Arts community and the Heritage community are not equally funded by the Municipality. Heritage gets little or no funding.

-The questions of who will administer the program in the long-term is uncertain at this time because of the unknown heritage governance structure. However, in the meantime, Heritage Toronto should continue to manage and administer the program for the City of Toronto and expand it to the former municipalities.

-The existing fund money could be used as leverage with to increase the fund.

-Heritage Toronto, as a non-profit agency, has the ability to pursue private fund raising.

-It was suggested that one way to raise funds would be to charge heritage property owners who demolish their buildings a penalty fee.

-While the discussion was mainly about how the program could be expanded to the former municipalities, it was suggested that the program should include grants for more than just restoration projects.

-It was noted that the City has an obligation to maintain its own heritage properties as well as supporting the private property owner.

Directions:

Determining the direction of the Toronto Heritage Fund grants program is problematic at a time when the heritage governance structure is uncertain. However, some immediate steps can be taken now to set the ground work for the future.

City Council has directed the program be expanded to the entire City of Toronto. Since Heritage Toronto is the only organization that has administered the program and has the most experience in the entire City, it makes economic and administrative sense for Heritage Toronto to continue in this capacity. Heritage Toronto has already expanded its Awards Programme to nominations from all of the former Metropolitan Toronto municipalities. Representatives from each were invited to sit on the review panel. A similar approach should be followed here. It is recommended that a review committee made up of representatives from each of the former municipalities be established. In this scenario, the approval process would operate as follows:

-Heritage Toronto staff, with help from appropriate municipal staff, receives and reviews the applications to ensure eligibility and completeness;

-a cross-jurisdictional committee reviews the eligible applications and makes recommendations as to which properties will receive grants;

-the committee's report is forwarded to the Heritage Toronto Board; and

-the Heritage Toronto Board report is sent on to the Economic Development Committee and then forwarded to City Council.

To bring greater public awareness and focus to the program, it is recommended that applications be reviewed on an annual or semi-annual competition basis. Presently, applications are handled on a first come first served basis.

To successfully operate the expanded program, Heritage Toronto requires additional monies to augment the fund. Based on the number of additional designated property owners that will now be eligible for restoration grants, which is a 15 percent increase, Council will be immediately asked for an additional $100,000.00 to support the fund. Heritage Toronto, or its successor, should report back to Council in one year with a review of the program and an appropriate long-term strategy for managing the Fund. That report should include an investigation of the potential for attracting private sector contributions.

Conclusions:

While the administration and management of the Toronto Heritage Fund grant program remains substantially the same, it is premature to make further changes until the future of the heritage governance structure is determined. A fuller review of the program will occur when the structure is known.

Contact Name:

Marisa Williams,

Preservation Officer, Architecture, Heritage Toronto,

Tel: 392-6827 extension 240

(A copy of each of the communication from the City Clerk, advising of the recommendation of the York Local Architectural Conservancy Advisory Committee, and Tables 1 and 2 was forwarded to all Members of Council with the agenda of the Municipal Grants Review Committee for its meeting on November 20, 1998, and a copy thereof is on file in the office of the City Clerk.)