HomeMy WebLinkAboutINF 07-25Report to Council
Report Number: INF 07-25
Date: June 23, 2025
From: Brian Duffield
Director, City Infrastructure
Subject: Provincial Grant Funding for Krosno Creek Culvert Replacements
Municipal Housing Infrastructure Program – Housing-Enabling Water Systems
Fund
File: A-1440
Recommendation:
1. That Report INF 07-25 regarding Provincial Grant Funding for the Krosno Creek Culvert
Replacements Project be received;
2. That Council authorize the Mayor and City Clerk to execute the Transfer Payment
Agreement with the Province of Ontario for the Housing-Enabling Water Systems Fund:
Intake 2 on such terms satisfactory to the Director, City Infrastructure and any other
necessary documentation, including the necessary by-law to permit the City of Pickering
to enter into the Housing-Enabling Water Systems Fund: Intake 2 Transfer Payment
Agreement; and,
3. That the appropriate officials of the City of Pickering be authorized to take the necessary
actions as indicated in this report.
Executive Summary: The purpose of this report is to authorize the Mayor and Clerk to
execute the Transfer Payment Agreement (TPA) with the Province of Ontario (Province) for the
Housing-Enabling Water Systems Fund: Intake 2.
The Housing-Enabling Water Systems Fund (HEWSF) is an application-based program
designed to help municipalities repair, rehabilitate, and expand core water, wastewater, and
stormwater infrastructure. Projects funded through the program aim to unlock more housing
opportunities, support the province’s growing population, protect communities, and enhance
economic growth. The HEWSF program offers reimbursement for recipients for up to a
maximum 73% of total eligible project costs.
City Staff identified the Krosno Creek Culvert Replacements as a strong candidate for the
HEWSF program as it is indirectly linked to upstream outlets for both the Universal City and
City Centre Developments which results in a possible 3,740 housing units tied to this project.
The scope will include replacing three culverts (Alyssum Street, Reytan Boulevard and Morden
Lane) located along the Krosno Creek drainage channel to increase capacity and significantly
mitigate flood plain impacts. The work includes installing one oil grit separator unit at each
culvert and will require several utility relocations, local realignments /raising /lowering of
watermain, and a sanitary sewer realignment at the Reytan Boulevard culvert. As this is
already an approved capital project, an application was submitted on November 1, 2024.
INF 07-25 June 23, 2025
Page 2
On January 27, 2025, the Ministry of Infrastructure informed the City of Pickering that the
Krosno Creek Culvert Replacements project was approved for a maximum of $5,110,000
towards the total estimated project cost of $7,000,000.
In order to receive the approved grant funding, the City must enter into a TPA with the
Province. In addition to the signed TPA, the City must provide a municipal by-law authorizing
the recipient to enter into the Agreement.
Relationship to the Pickering Strategic Plan: The recommendations in this report respond
to the Pickering Strategic Plan Priority of Lead & Advocate for Environmental Stewardship,
Innovation & Resiliency.
Financial Implications: Successful projects will be cost shared between the municipal
applicants and the Province. The Province will fund a maximum of 73% (up to $35 million) of
eligible costs with the municipality required to fund all remaining project costs (minimum 27%),
included any unexpected cost over-runs or escalations. Provincial stacking will not be
permitted with the exception of funding received from the Building Faster Fund and the Ontario
Community Infrastructure Fund.
Eligible costs include costs related to the Duty to Consult and EA requirements,
design/engineering costs, project management costs, materials, construction and contingency
costs (25%). All eligible costs must be incurred after April 1, 2023.
Funding will be flowed to successful recipients using a milestone-based approach as outlined
in the attached TPA.
1. Estimated Project Cost Summary
Construction
Morden Lane Culvert Replacement
Reytan Boulevard Culvert Replacement & Channel Restoration
$1,000,000.00
1,500,000.00
Alyssum Street Culvert Replacement
General Items
Subtotal – Construction
1,300,000.00
900,000.00
$4,700,000.00
Associated Costs
Contract Administration and Construction Supervision
Material Testing
Utility Relocations
$350,000.00
150,000.00
400,000.00
Construction Contingency (25%) 1,400,000.00
Sub Total – Associated Costs $2,300,000.00
Estimated Total Project Cost $7,000,000.00
INF 07-25 June 23, 2025
Page 3
2.Approved Source of Funds
Account Code Source of Funds Available Funds Required
C10575.1910
Total Funds
DC SWM Reserve
DC City’s Share
HEWSF
$2,304,000.00
$2,496,000.00
$5,110,000.00*
$9,910,000.00
907,200.00
982,800.00
5,110,000.00
$7,000,000.00
* Represents an upset limit of provincial grant funding at 73% of total eligible costs.
Estimated costs did not include net HST during the application process and a 25% contingency
was set as default by the Province.
Discussion: The purpose of this report is to authorize the Mayor and Clerk to execute the
TPA with the Province of Ontario (Province) for the Housing-Enabling Water Systems Fund:
Intake 2.
The HEWSF is an application-based program designed to help municipalities repair,
rehabilitate, and expand core water, wastewater, and stormwater infrastructure. Projects
funded through the program aim to unlock more housing opportunities, support the province’s
growing population, protect communities, and enhance economic growth. The HEWSF
program offers reimbursement for recipients for up to a maximum 73% of total eligible project
costs.
Projects submitted through the HEWSF program are assessed based on the following criteria:
1.Technical Merit (Water/Waste Water/Stormwater Systems)
2.Housing Impact
3.Project Readiness
4.Financial Capacity
5.Critical Public Health and Safety
City Staff identified the Krosno Creek Culvert Replacements as a strong candidate for the
HEWSF program as it is indirectly linked to upstream outlets for both the Universal City and
City Centre Developments which results in a possible 3,740 housing units tied to this project.
The scope will include replacing three culverts (Alyssum Street, Reytan Boulevard and Morden
Lane) located along the Krosno Creek drainage channel to increase capacity and significantly
mitigate flood plain impacts.
In addition to the culvert replacements, work includes installing one oil grit separator unit at
each culvert and will require several utility relocations, local realignments/raising/lowering of
watermain, and a sanitary sewer realignment at the Reytan Boulevard culvert. As this is
already an approved capital project, an application was submitted on November 1, 2024.
On January 27, 2025, the Ministry of Infrastructure informed the City of Pickering that the
Krosno Creek Culvert Replacements project was approved for a maximum of $5,110,000
towards the total estimated project cost of $7,000,000.
INF 07-25 June 23, 2025
Page 4
In order to receive the approved grant funding, the City must enter into a TPA with the
Province. In addition to the signed TPA, the City must provide a municipal by-law authorizing
the recipient to enter into the Agreement.
Attachment:
1.Location Map
2.Draft Transfer Payment Agreement
Prepared By: Approved/Endorsed By:
Kevin Heathcote, P.Eng. Brian Duffield
Division Head, Capital Projects & Infrastructure Director, City Infrastructure
Richard Holborn, P.Eng.
Director, Engineering Services
Stan Karwowski, MBA, CPA, CMA
Director, Finance & Treasurer
KH:mjh
Recommended for the consideration
of Pickering City Council
Marisa Carpino, M.A.
Chief Administrative Officer
Original signed by:Original signed by:
Original signed by:
Original signed by:
Original signed by:
Attachment 1 to Report INF 07-25
Location Map
Krosno Creek Culvert Replacements
Case: #2024-10-1-3010462909
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ONTARIO TRANSFER PAYMENT AGREEMENT
HOUSING-ENABLING WATER SYSTEMS FUND: INTAKE 2
THE AGREEMENT is effective as of the ________ day of ____________, 20___.
BETWEEN:
His Majesty the King in right of Ontario
as represented by the Minister of Infrastructure
(the “Province”)
-and -
CITY OF PICKERING
(the “Recipient”)
BACKGROUND
The Housing-Enabling Water Systems Fund (HEWSF) is an application-based program
designed to help municipalities repair, rehabilitate, and expand core water, wastewater,
and stormwater infrastructure.
Projects funded through the program aim to unlock more housing opportunities, support
the province’s growing population, protect communities, and enhance economic growth.
CONSIDERATION
In consideration of the mutual covenants and agreements contained in the Agreement
and for other good and valuable consideration, the receipt and sufficiency of which are
expressly acknowledged, the Province and the Recipient agree as follows:
1.0 ENTIRE AGREEMENT
1.1 Schedules to the Agreement. The following schedules form part of the
Agreement:
Schedule “A” - General Terms and Conditions
Attachment 2 to Report INF 07-25
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Schedule “B” - Project Specific Information and Additional Provisions
Schedule “C” - Project Description and Financial Information
Schedule “D” - Eligible and Ineligible Costs
Schedule “E” - Milestone Payment Plan
Schedule “F” - Reporting Requirements
Schedule “G” - Communications Protocol
Schedule “H” - Indigenous Consultation Protocol
1.2 Entire Agreement. The Agreement constitutes the entire agreement between
the Parties with respect to the subject matter contained in the Agreement and
supersedes all prior oral or written representations and agreements.
2.0 CONFLICT OR INCONSISTENCY
2.1 Conflict or Inconsistency. In the event of a conflict or inconsistency between
the Additional Provisions and the provisions in Schedule “A”, the following rules
will apply:
(a)the Parties will interpret any Additional Provisions in so far as possible, in
a way that preserves the intention of the Parties as expressed in Schedule
“A”; and
(b)where it is not possible to interpret the Additional Provisions in a way that
is consistent with the provisions in Schedule “A”, the Additional Provisions
will prevail over the provisions in Schedule “A” to the extent of the
inconsistency.
3.0 COUNTERPARTS AND ELECTRONIC SIGNATURES
3.1 One and the Same Agreement. The Agreement may be executed in any
number of counterparts, each of which will be deemed an original, but all of
which together will constitute one and the same instrument.
3.2 Electronic Signatures. This Agreement may be executed electronically. The
electronic signature of a Party may be evidenced by one of the following means
and transmission of this Agreement may be as follows:
(a)a manual signature of an authorized signing officer placed in the
respective signature line of this Agreement and this Agreement scanned
as a pdf file and delivered by email to the other Party;
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(b)a digital signature placed in the respective signature line of this
Agreement, including:
(i)the name of the authorized signing officer typed in the respective
signature line of this Agreement,
(ii)an image of a manual signature inserted in the respective signature
line of this Agreement,
(iii)an Adobe signature of an authorized signing officer, or
(iv)any other digital signature of an authorized signing officer with the
other Party’s prior written consent, and this Agreement delivered by
email to the other Party; or
(c)any other means with the other Party’s prior written consent.
4.0 AMENDING THE AGREEMENT
4.1 Amending the Agreement. The Agreement may only be amended by a written
agreement duly executed by the Parties.
5.0 ACKNOWLEDGEMENT
5.1 Acknowledgement. The Recipient acknowledges that:
(a)by receiving Funds it may become subject to legislation applicable to
organizations that receive funding from the Government of Ontario,
including the Broader Public Sector Accountability Act, 2010 (Ontario), the
Public Sector Salary Disclosure Act, 1996 (Ontario), and the Auditor
General Act (Ontario);
(b)His Majesty the King in right of Ontario has issued expenses, perquisites,
and procurement directives and guidelines pursuant to the Broader Public
Sector Accountability Act, 2010 (Ontario);
(c)the Funds are:
(i)to assist the Recipient to carry out the Project and not to provide
goods or services to the Province;
(ii)funding for the purposes of the Public Sector Salary Disclosure
Act, 1996 (Ontario);
(d)the Province is not responsible for carrying out the Project;
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(e)the Province is bound by the Freedom of Information and Protection of
Privacy Act (Ontario) and that any information provided to the Province in
connection with the Project or otherwise in connection with the Agreement
may be subject to disclosure in accordance with that Act; and
(f)the Province is bound by the Financial Administration Act (Ontario)
(“FAA”) and, pursuant to subsection 11.3(2) of the FAA, payment by the
Province of Funds under the Agreement will be subject to,
(i)an appropriation, as that term is defined in subsection 1(1) of the
FAA, to which that payment can be charged being available in the
Funding Year in which the payment becomes due; or
(ii)the payment having been charged to an appropriation for a
previous fiscal year.
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The Parties have executed the Agreement on the dates set out below.
HIS MAJESTY THE KING IN RIGHT OF
ONTARIO, as represented by the Minister of
Infrastructure
Date:
Date: _____________________
Date: _____________________
The Honourable Kinga Surma
Minister of Infrastructure
CITY OF PICKERING
Name: ________________________________
Title: _________________________________
I have authority to bind the Recipient.
Name: ________________________________
Title: _________________________________
I have authority to bind the Recipient.
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SCHEDULE “A”
GENERAL TERMS AND CONDITIONS
A1.0 INTERPRETATION AND DEFINITIONS
A1.1 Interpretation. For the purposes of interpretation:
(a) words in the singular include the plural and vice-versa;
(b) words in one gender include all genders;
(c) the headings do not form part of the Agreement; they are for reference
only and will not affect the interpretation of the Agreement;
(d) any reference to dollars or currency will be in Canadian dollars and
currency; and
(e) “include”, “includes” and “including” denote that the subsequent list is not
exhaustive.
A1.2 Definitions. In the Agreement, the following terms will have the following
meanings:
“Additional Provisions” means the terms and conditions set out in Schedule
“B”.
“Agreement” means this agreement entered into between the Province and
the Recipient, all of the schedules listed in section 1.1, and any amending
agreement entered into pursuant to section 4.1.
“Business Day” means any working day, Monday to Friday inclusive,
excluding statutory and other holidays, namely: New Year’s Day; Family Day;
Good Friday; Easter Monday; Victoria Day; Canada Day; Civic Holiday; Labour
Day; Thanksgiving Day; Remembrance Day; Christmas Day; Boxing Day and
any other day on which the Province has elected to be closed for business.
“Construction Contract Award Deadline” means the construction contract
award deadline set out in Schedule “E”.
“Contract” means an agreement between the Recipient and a third-party
whereby the third-party provides a good, service or both for the Project in
return for financial consideration that the Recipient wants to pay using the
Funds under this Agreement.
“Effective Date” means the date set out at the top of the Agreement.
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“Eligible Costs” means the costs in respect of the Project that the Recipient
has incurred and paid and that are eligible for payment under the terms and
conditions of the Agreement, and that are further described in Schedule “D”.
“Event of Default” has the meaning ascribed to it in section A13.1.
“Expiry Date” means the expiry date set out in Schedule “B”.
“Funds” means the money the Province provides to the Recipient pursuant to
the Agreement.
“Indemnified Parties” means His Majesty the King in right of Ontario, and
includes His ministers, agents, appointees, and employees.
“Indigenous Community”, includes First Nation, Métis, and Inuit communities
or peoples of Canada.
“Indigenous Consultation Record” means a document that summarizes the
Recipient’s consultation and engagement activities, including a list of
Indigenous Communities consulted, concerns raised, and how each of the
concerns have been addressed or, if not addressed, an explanation as to why
not;
“Ineligible Costs” means the costs in respect of the Project that are ineligible
for contribution by the Province under the terms and conditions of the
Agreement, and that are described in Schedule “D”.
“Loss” means any cause of action, liability, loss, cost, damage, or expense
(including legal, expert and consultant fees) that anyone incurs or sustains as a
result of or in connection with the Project or any other part of the Agreement.
“Maximum Funds” means the maximum set out in Schedule “B”.
“Notice” means any communication given or required to be given pursuant to
the Agreement.
“Notice Period” means the period of time within which the Recipient is
required to remedy an Event of Default pursuant to section A13.3(b), and
includes any such period or periods of time by which the Province extends that
time pursuant to section A13.4.
“Parties” means the Province and the Recipient.
“Party” means either the Province or the Recipient.
“Proceeding” means any action, claim, demand, lawsuit, or other proceeding
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that anyone makes, brings or prosecutes as a result of or in connection with the
Project or with any other part of the Agreement.
“Project” means the undertaking described in section C1.0 of Schedule “C”.
“Project Start Deadline” means the project start deadline set out in Schedule
“B”.
“Project Completion Deadline” means the project completion deadline set out
in Schedule “B”.
“Records Review” means any assessment the Province conducts pursuant to
section A7.4.
“Reports” means the reports described in Schedule “F”.
“Requirements Of Law” means all applicable statutes, regulations, by-laws,
ordinances, codes, official plans, rules, approvals, permits, licenses,
authorizations, orders, decrees, injunctions, directions and agreements with all
authorities.
A2.0 REPRESENTATIONS, WARRANTIES, AND COVENANTS
A2.1 General. The Recipient represents, warrants, and covenants that:
(a) it is, and will continue to be, a validly existing legal entity with full power
to fulfill its obligations under the Agreement;
(b) it has, and will continue to have, the experience and expertise necessary
to carry out the Project;
(c) it is in compliance with, and will continue to comply with, all federal and
provincial laws and regulations, all municipal by-laws, and any other
orders, rules, and by-laws related to any aspect of the Project, the
Funds, or both; and
(d) unless otherwise provided for in the Agreement, any information the
Recipient provided to the Province in support of its request for funds
(including information relating to any eligibility requirements) was true
and complete at the time the Recipient provided it and will continue to be
true and complete.
A2.2 Execution of Agreement. The Recipient represents and warrants that it has:
(a) the full power and capacity to enter into the Agreement; and
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(b) taken all necessary actions to authorize the execution of the Agreement,
including passing a municipal by-law authorizing the Recipient to enter
into the Agreement.
A2.3 Governance. The Recipient represents, warrants, and covenants that it has,
will maintain in writing, and will follow:
(a) procedures to enable the Recipient to manage Funds prudently and
effectively;
(b) procedures to enable the Recipient to complete the Project successfully;
(c) procedures to enable the Recipient to identify risks to the completion of
the Project and strategies to address the identified risks, all in a timely
manner;
(d) procedures to enable the preparation and submission of all Reports
required pursuant to Article A7.0; and
(e) procedures to enable the Recipient to address such other matters as the
Recipient considers necessary to enable the Recipient to carry out its
obligations under the Agreement.
A2.4 Supporting Proof. Upon the request of the Province, the Recipient will provide
the Province with proof of the matters referred to in Article A2.0.
A2.5 Adverse Fact or Event. The Recipient will inform the Province immediately of
any fact or event of which it is aware that has or will compromise, wholly or in
part, the Project.
A3.0 TERM OF THE AGREEMENT
A3.1 Term. The term of the Agreement will commence on the Effective Date and will
expire on the Expiry Date unless terminated earlier pursuant to Article A12.0 or
Article A13.0.
A3.2 Project Deadlines. The Recipient will:
(a) commence the Project by the Project Start Deadline;
(b) award the Project construction contracts that account for the bulk of the
construction work by the Construction Contract Award Deadline; and
(c) complete the Project by the Project Completion Deadline.
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A4.0 FUNDS AND CARRYING OUT THE PROJECT
A4.1 Funds Provided. The Province will:
(a) provide the Recipient with Funds up to the Maximum Funds for the
purpose of carrying out the Project;
(b) provide the Funds to the Recipient in accordance with the payment plan
attached to the Agreement as Schedule “E”; and
(c) deposit the Funds into an account the Recipient designates provided
that the account:
(i) resides at a Canadian financial institution; and
(ii) is in the name of the Recipient.
A4.2 Limitation on Payment of Funds. Despite section A4.1:
(a) the Province is not obligated to provide any Funds to the Recipient until
the Recipient provides the certificates of insurance or other proof
required pursuant to section A11.2;
(b) the Province is not obligated to provide instalments of Funds until it is
satisfied with the progress of the Project;
(c) the Province is not obligated to provide instalments of Funds until it has
received confirmation that an Environmental Assessment is complete or
exempt;
(i) Payments will be held until a Notice of Completion is received by
MOI and 60 days have passed since the Notice of Completion was
issued.
(d) the Province may adjust the amount of Funds it provides to the Recipient
in connection with any Payment Milestone based upon the Province’s
assessment of the information the Recipient provides to the Province
pursuant to section A7.2.
A4.3 Use of Funds and Carry Out the Project. The Recipient will do all of the
following:
(a) carry out the Project in accordance with the Agreement;
(b) use the Funds only for the purpose of carrying out the Project;
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(c) spend the Funds only in accordance with the Eligible Costs;
(d) not use the Funds to cover any cost that has been or will be funded or
reimbursed by one or more of any third party, ministry, agency, or
organization of the Government of Ontario.
A4.4 Interest-Bearing Account. If the Province provides Funds before the
Recipient’s immediate need for the Funds, the Recipient will place the Funds in
an interest-bearing account in the name of the Recipient at a Canadian
financial institution.
A4.4.1 Use of Interest. Unless otherwise directed by the Province by Notice, if the
Recipient earns any interest on the Funds, the Recipient must use any interest
earned on Eligible Costs.
A4.5 Interest. Upon Notice to the Recipient by the Province, if the Recipient earns
any interest on the Funds, the Province may do either or both of the following:
(a) deduct an amount up to the interest earned from any further instalments of
Funds;
(b) demand from the Recipient the payment of an amount up to the interest
earned.
A4.6 Recipient’s Acknowledgement of Responsibility for Project. The Recipient
will, in respect of the Project, assume full responsibility for the Project, including,
without limitation:
(a) complete, diligent, and timely Project implementation within the costs and
timelines specified in the Agreement and in accordance with all other
terms and conditions of the Agreement;
(b) all of the costs of the Project, including, without limitation, unapproved
expenditures, Ineligible Costs, cost escalations and cost overruns, if any;
(c) subsequent operation, maintenance, repair, rehabilitation, construction,
demolition, or reconstruction, as required and in accordance with industry
standards, and any related costs for the full lifecycle of the Project; and
(d) the engineering work being undertaken in accordance with industry
standards.
A4.7 Rebates, Credits, and Refunds. The Province will calculate Funds based on
the actual costs to the Recipient to carry out the Project, less any costs
(including taxes) for which the Recipient has received, will receive, or is eligible
to receive, a rebate, credit, or refund.
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A4.8 Increase in Project Costs. If, at any time during the Term, the Recipient
determines that it will not be possible to complete the Project due to cost
escalations or cost overruns (a “Shortfall”), the Recipient will immediately notify
the Province of that determination. The Province may exercise one or more of
the remedies available to it pursuant to section A13.2.
A4.9 Retention of Contribution. The Province will retain 15% of the Maximum
Funds in respect of the Project (“Holdback”) up until the following conditions
have been met:
5.2 the Recipient has fulfilled all of its obligations under the Agreement for the
Project; and
5.3 the Province has carried out the reconciliation, as set out in section A4.10
(Final Reconciliation and Adjustments), and has made any adjustments
required in the circumstances.
A4.10 Final Reconciliation and Adjustments. Without limiting the rights of the
Province under this Agreement or otherwise, following receipt and satisfactory
review of the Final Report and supporting material by the Province, the Province
will carry out a final reconciliation of payment in respect of the Project and make
any adjustments required in the circumstances.
A5.0 RECIPIENT’S ACQUISITION OF GOODS OR SERVICES, AND DISPOSAL
OF ASSETS
A5.1 Acquisition. If the Recipient acquires goods, services or both with the Funds, it
will:
(a)Do so through a process that is transparent, fair and promotes the best
value for the money expended and at competitive prices that are no greater
than fair market value after deducting trade discounts or any other discounts
available to the Recipient; and
(b)Comply with any Requirements Of Law that may be applicable to how the
Recipient acquires goods, services or both.
A5.2 Contracts. The Recipient will ensure that all Contracts:
(a)Are consistent with this Agreement;
(b)Do not conflict with this Agreement;
(c)Incorporate the relevant provisions of this Agreement to the fullest extent
possible;
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(d) Require that any parties to those Contracts comply with all Requirements Of
Law; and
(e) Authorize the Province to perform audits of the parties to those Contracts in
relation to the Project as the Province sees fit in connection with Article A7.0
of this Schedule “A”.
A5.3 Disposal of Assets. The Recipient will not, without the Province’s prior
consent, sell, lease or otherwise dispose of any asset purchased or created
with the Funds or for which Funds were provided, the cost of which exceeded
the amount as provided for in Schedule “B” at the time of purchase.
A6.0 CONFLICT OF INTEREST
A6.1 Conflict of Interest Includes. For the purposes of Article A6.0, a conflict of
interest includes any circumstances where:
(a) the Recipient; or
(b) any person who has the capacity to influence the Recipient’s decisions,
has outside commitments, relationships, or financial interests that could,
or could be seen by a reasonable person to, interfere with the
Recipient’s objective, unbiased, and impartial judgment relating to the
Project, the use of the Funds, or both.
A6.2 No Conflict of Interest. The Recipient will carry out the Project and use the
Funds without an actual, potential, or perceived conflict of interest unless:
(a) the Recipient:
(i) provides Notice to the Province disclosing the details of the
actual, potential, or perceived conflict of interest; and
(ii) requests the consent of the Province to carry out the Project with
an actual, potential, or perceived conflict of interest;
(b) the Province provides its consent to the Recipient carrying out the
Project with an actual, potential, or perceived conflict of interest; and
(c) the Recipient complies with any terms and conditions the Province may
prescribe in its consent.
A7.0 REPORTS, ACCOUNTING, AND REVIEW
A7.1 Province Includes. For the purposes of sections A7.4, A7.5 and A7.6,
“Province” includes any auditor or representative the Province may identify.
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A7.2 Preparation and Submission. The Recipient will:
(a) submit to the Province at the address set out in Schedule “B”:
(i) all Reports in accordance with the timelines and content
requirements set out in Schedule “F”;
(ii) any other reports in accordance with any timelines and content
requirements the Province may specify from time to time;
(b) ensure that all Reports and other reports are:
(i) completed to the satisfaction of the Province; and
(ii) signed by an authorized signing officer of the Recipient.
A7.3 Record Maintenance. The Recipient will keep and maintain:
(a) all financial records (including invoices and evidence of payment)
relating to the Funds or otherwise to the Project in a manner consistent
with generally accepted accounting principles applicable in Canada; and
(b) all non-financial records and documents relating to the Funds or
otherwise to the Project.
A7.4 Records Review. The Province may, at its own expense, upon twenty-four
hours’ Notice to the Recipient and during normal business hours enter upon the
Recipient’s premises to conduct an audit or investigation of the Recipient
regarding the Recipient’s compliance with the Agreement, including assessing
any of the following:
(a) the truth of any of the Recipient’s representations and warranties;
(b) the progress of the Project;
(c) the Recipient’s allocation and expenditure of the Funds.
A7.5 Inspection and Removal. For the purposes of any Records Review, the
Province may take one or both of the following actions:
(a) inspect and copy any records and documents referred to in section A7.3;
(b) remove any copies the Province makes pursuant to section A7.5(a).
A7.6 Cooperation. To assist the Province in respect of its rights provided for in
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section A7.5, the Recipient will cooperate with the Province by:
5.4 ensuring that the Province has access to the records and documents
wherever they are located;
5.5 assisting the Province to copy records and documents;
5.6 providing to the Province, in the form the Province specifies, any
information the Province identifies; and
5.7 carrying out any other activities the Province requests.
A7.7 No Control of Records. No provision of the Agreement will be construed to
give the Province any control whatsoever over any of the Recipient’s records.
A7.8 Auditor General. The Province’s rights under Article A7.0 are in addition to
any rights provided to the Auditor General pursuant to section 9.1 of the Auditor
General Act (Ontario).
A8.0 COMMUNICATIONS REQUIREMENTS
A8.1 Communications Protocol. The Parties agree to be bound by the terms and
conditions of the communications protocol provided for in Schedule “G”
(Communications Protocol).
A9.0 INDIGENOUS CONSULTATION
A9.1 Indigenous Consultation Protocol. The Parties agree to be bound by the
terms and conditions of the Indigenous Consultation Protocol provided for in
Schedule “H” (Indigenous Consultation Protocol).
A9.2 Legal Duty to Consult. In the event that the Province determines that a legal
duty to consult and, where appropriate, accommodate Indigenous Communities
(the “Duty to Consult”) arises in respect of the Province’s proposed funding of
the Project:
(a) no site preparation, removal of vegetation or construction will occur in
respect of the Project until the Province provides confirmation in writing to
the Recipient otherwise;
(b) the Province may, in writing, require the Recipient to suspend further site
preparation, removal of vegetation or construction pending completion of
the required consultation;
(c) despite section A.4.1, if the Province has not provided confirmation in
writing to the Recipient that site preparation, removal of vegetation or
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construction may begin or resume, the Province has no obligation to pay
any Eligible Costs that are capital costs incurred during that period, as
determined by the Province; and,
(d) the Province must be satisfied that:
(i) Indigenous Communities have been notified and, if applicable,
consulted;
(ii) where consultation has occurred, the Recipient has provided an
Indigenous Consultation Record;
(iii) the Recipient is carrying out accommodation measures, where
appropriate; and
(iv) any other information has been provided which the Province may
deem appropriate.
A10.0 INDEMNITY
A10.1 Indemnify. The Recipient will indemnify and hold harmless the Indemnified
Parties from and against any Loss and any Proceeding, unless solely caused by
the gross negligence or wilful misconduct of the Indemnified Parties.
A11.0 INSURANCE
A11.1 Insurance. The Recipient represents, warrants, and covenants that it has, and
will maintain, at its own cost and expense, with insurers having a secure A.M.
Best rating of B+ or greater, or the equivalent, all the necessary and appropriate
insurance that a prudent person carrying out a project similar to the Project
would maintain, including commercial general liability insurance on an
occurrence basis for third party bodily injury, personal injury, and property
damage, to an inclusive limit of not less than the amount set out in Schedule “B”
per occurrence, which commercial general liability insurance policy will include
the following:
(a) the Indemnified Parties as additional insureds with respect to liability
arising in the course of performance of the Recipient’s obligations under,
or otherwise in connection with, the Agreement;
(b) a cross-liability clause;
(c) contractual liability coverage; and
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(d) at least 30 days’ written notice of cancellation.
A11.2 Proof of Insurance. The Recipient will:
(a) provide to the Province, either:
(i) certificates of insurance that confirm the insurance coverage
required by section A11.1; or
(ii) other proof that confirms the insurance coverage required by
section A11.1; and
(b) in the event of a Proceeding, and upon the Province’s request, the
Recipient will provide to the Province a copy of any of the Recipient’s
insurance policies that relate to the Project or otherwise to the
Agreement, or both.
A12.0 TERMINATION ON NOTICE
A12.1 Termination on Notice. The Province may terminate the Agreement at any
time without liability, penalty, or costs upon giving 30 days’ Notice to the
Recipient.
A12.2 Consequences of Termination on Notice by the Province. If the Province
terminates the Agreement pursuant to section A12.1, the Province may take
one or more of the following actions:
(a) cancel further instalments of Funds;
(b) demand from the Recipient the payment of any Funds remaining in the
possession or under the control of the Recipient; and
(c) determine the reasonable costs for the Recipient to wind down the
Project, and do either or both of the following:
(i) permit the Recipient to offset such costs against the amount the
Recipient owes pursuant to section A12.2(b); and
(ii) subject to section A4.1(a), provide Funds to the Recipient to cover
such costs.
A13.0 EVENT OF DEFAULT, CORRECTIVE ACTION, AND TERMINATION FOR
DEFAULT
A13.1 Events of Default. Each of the following events will constitute an Event of
Default:
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(a) in the opinion of the Province, the Recipient breaches any
representation, warranty, covenant, or other term of the Agreement,
including failing to do any of the following in accordance with the terms
and conditions of the Agreement:
(i) carry out the Project;
(ii) use or spend Funds; or
(iii) provide, in accordance with section A7.2, Reports or such other
reports as the Province may have requested pursuant to section
A7.2(a)(ii);
(b) the Recipient’s operations, its financial condition, its organizational
structure or its control changes such that it no longer meets one or
more of the eligibility requirements of the program under which the
Province provides the Funds;
(c) the Recipient makes an assignment, proposal, compromise, or
arrangement for the benefit of creditors, or a creditor makes an
application for an order adjudging the Recipient bankrupt, or applies for
the appointment of a receiver;
(d) the Recipient ceases to operate.
A13.2 Consequences of Events of Default and Corrective Action. If an Event of
Default occurs, the Province may, at any time, take one or more of the following
actions:
(a) initiate any action the Province considers necessary in order to facilitate
the successful continuation or completion of the Project;
(b) provide the Recipient with an opportunity to remedy the Event of Default;
(c) suspend the payment of Funds for such period as the Province
determines appropriate;
(d) reduce the amount of the Funds;
(e) cancel further instalments of Funds;
(f) demand from the Recipient the payment of any Funds remaining in the
possession or under the control of the Recipient;
(g) demand from the Recipient the payment of an amount equal to any
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Funds the Recipient used, but did not use in accordance with the
Agreement;
(h) demand from the Recipient the payment of an amount equal to any
Funds the Province provided to the Recipient;
(i) demand from the Recipient the payment of an amount equal to the costs
the Province incurred or incurs to enforce its rights under the Agreement,
including the costs of any Records Review and the costs it incurs to
collect any amounts the Recipient owes to the Province; and
(j) upon giving Notice to the Recipient, terminate the Agreement at any
time, including immediately, without liability, penalty or costs to the
Province.
A13.3 Opportunity to Remedy. If, pursuant to section A13.2(b), the Province
provides the Recipient with an opportunity to remedy the Event of Default, the
Province will give Notice to the Recipient of:
(a) the particulars of the Event of Default; and
(b) the Notice Period.
A13.4 Recipient not Remedying. If the Province provides the Recipient with an
opportunity to remedy the Event of Default pursuant to section A13.2(b), and:
(a) the Recipient does not remedy the Event of Default within the Notice
Period;
(b) it becomes apparent to the Province that the Recipient cannot
completely remedy the Event of Default within the Notice Period; or
(c) the Recipient is not proceeding to remedy the Event of Default in a way
that is satisfactory to the Province,
(d) the Province may extend the Notice Period, or initiate any one or more of
the actions provided for in sections A13.2(a), (c), (d), (e), (f), (g), (h), (i)
and (j).
A13.5 When Termination Effective. Termination under Article A13.0 will take effect
as provided for in the Notice.
A14.0 FUNDS UPON EXPIRY
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A14.1 Funds Upon Expiry. Upon expiry of the Agreement, the Recipient will pay to
the Province any Funds remaining in its possession, under its control, or both.
A15.0 DEBT DUE AND PAYMENT
A15.1 Payment of Overpayment. If at any time the Province provides Funds in
excess of the amount to which the Recipient is entitled under the Agreement,
the Province may:
(a) deduct an amount equal to the excess Funds from any further
instalments of Funds; or
(b) demand that the Recipient pay to the Province an amount equal to the
excess Funds.
A15.2 Debt Due. If, pursuant to the Agreement:
(a) the Province demands from the Recipient the payment of any Funds, an
amount equal to any Funds or any other amounts owing under the
Agreement; or
(b) the Recipient owes to the Province any Funds, an amount equal to any
Funds or any other amounts owing under the Agreement, whether or not
the Province has demanded their payment,
(c) such amounts will be deemed to be debts due and owing to the Province
by the Recipient, and the Recipient will pay the amounts to the Province
immediately, unless the Province directs otherwise.
A15.3 Interest Rate. The Province may charge the Recipient interest on any money
owing to the Province by the Recipient under the Agreement at the then current
interest rate charged by the Province of Ontario on accounts receivable.
A15.4 Payment of Money to Province. The Recipient will pay any money owing to
the Province by cheque payable to the “Ontario Minister of Finance” and
delivered to the Province at the address set out in Schedule “B".
A15.5 Fails to Pay. Without limiting the application of section 43 of the Financial
Administration Act (Ontario), if the Recipient fails to pay any amount owing
under the Agreement, His Majesty the King in right of Ontario may deduct any
unpaid amount from any money payable to the Recipient by His Majesty the
King in right of Ontario.
A16.0 NOTICE
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A16.1 Notice in Writing and Addressed. Notice will be:
(a) in writing;
(b) delivered by email, postage-prepaid mail, personal delivery or courier
and
(c) addressed to the Province or the Recipient as set out in Schedule “B”, or
as either Party later designates to the other by Notice.
A16.2 Notice Given. Notice will be deemed to have been given:
(a) in the case of postage-prepaid mail, five Business Days after the Notice
is mailed; and
(b) in the case of email, personal delivery or courier, on the date on which
the Notice is delivered.
A16.3 Postal Disruption. Despite section A16.2(a), in the event of a postal
disruption:
(a) Notice by postage-prepaid mail will not be deemed to be given; and
(b) the Party giving Notice will give Notice by email, personal delivery or
courier.
A17.0 CONSENT BY PROVINCE AND COMPLIANCE BY RECIPIENT
A17.1 Consent. When the Province provides its consent pursuant to the Agreement:
(a) it will do so by Notice;
(b) it may attach any terms and conditions to the consent; and
5.8 the Recipient may rely on the consent only if the Recipient complies with
any terms and conditions the Province may have attached to the
consent.
A18.0 SEVERABILITY OF PROVISIONS
A18.1 Invalidity or Unenforceability of Any Provision. The invalidity or
unenforceability of any provision of the Agreement will not affect the validity or
enforceability of any other provision of the Agreement.
A19.0 WAIVER
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A19.1 Condonation not a waiver. Failure or delay by the either Party to exercise any
of its rights, powers or remedies under the Agreement will not constitute a waiver
of those rights, powers or remedies and the obligations of the Parties with respect
to such rights, powers or remedies will continue in full force and effect.
A19.2 Waiver. Either Party may waive any of its rights, powers or remedies under the
Agreement by providing Notice to the other Party. A waiver will apply only to the
specific rights, powers or remedies identified in the Notice and the Party
providing the waiver may attach terms and conditions to the waiver.
A20.0 INDEPENDENT PARTIES
A20.1 Parties Independent. The Recipient is not an agent, joint venturer, partner, or
employee of the Province, and the Recipient will not represent itself in any way
that might be taken by a reasonable person to suggest that it is or take any
actions that could establish or imply such a relationship.
A21.0 ASSIGNMENT OF AGREEMENT OR FUNDS
A21.1 No Assignment. The Recipient will not, without the prior written consent of the
Province, assign any of its rights or obligations under the Agreement.
A21.2 Agreement Binding. All rights and obligations contained in the Agreement will
extend to and be binding on:
5.9 the Recipient’s heirs, executors, administrators, successors, and
permitted assigns; and
(a) the successors to His Majesty the King in right of Ontario.
A22.0 GOVERNING LAW
A22.1 Governing Law. The Agreement and the rights, obligations, and relations of
the Parties will be governed by and construed in accordance with the laws of
the Province of Ontario and the applicable federal laws of Canada. Any actions
or proceedings arising in connection with the Agreement will be conducted in
the courts of Ontario, which will have exclusive jurisdiction over such
proceedings.
A23.0 FURTHER ASSURANCES
A23.1 Agreement into Effect. The Recipient will:
(a) provide such further assurances as the Province may request from time
to time with respect to any matter to which the Agreement pertains; and
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(b) do or cause to be done all acts or things necessary to implement and
carry into effect the terms and conditions of the Agreement to their full
extent.
A24.0 JOINT AND SEVERAL LIABILITY
A24.1 Joint and Several Liability. Where the Recipient comprises more than one
entity, each entity will be jointly and severally liable to the Province for the
fulfillment of the obligations of the Recipient under the Agreement.
A25.0 RIGHTS AND REMEDIES CUMULATIVE
A25.1 Rights and Remedies Cumulative. The rights and remedies of the Province
under the Agreement are cumulative and are in addition to, and not in
substitution for, any of its rights and remedies provided by law or in equity.
A26.0 FAILURE TO COMPLY WITH OTHER AGREEMENTS
A26.1 Other Agreements. If the Recipient:
(a) has failed to comply with any term, condition, or obligation under any
other agreement with His Majesty the King in right of Ontario or one of
Her agencies (a “Failure”);
(b) has been provided with notice of such Failure in accordance with the
requirements of such other agreement;
(c) has, if applicable, failed to rectify such Failure in accordance with the
requirements of such other agreement; and
(d) such Failure is continuing, the Province may suspend the payment of
Funds for such period as the Province determines appropriate.
A27.0 SURVIVAL
A27.1 Survival. The following Articles and sections, and all applicable cross-
referenced Articles, sections and schedules, will continue in full force and effect
for a period of seven years from the date of expiry or termination of the
Agreement: Article 1.0, Article 2.0, Article A1.0 and any other applicable
definitions, section A2.1(a), sections A4.4, A4.5, A4.7, A4.9, A4.10, section
A5.3, section0020A7.1, section A7.2 (to the extent that the Recipient has not
provided the Reports or other reports as the Province may have requested and
to the satisfaction of the Province), sections A7.3, A7.4, A7.5, A7.6, A7.7, A7.8,
Article A8.0, Article A10.0, section A12.2, section A13.1, sections A13.2(d), (e),
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(f), (g), (h), (i) and (j), Article A14.0, Article A15.0, Article A16.0, Article A18.0,
section A21.2, Article A22.0, Article A24.0, Article A25.0 and Article A27.0.
END OF GENERAL TERMS AND CONDITIONS
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SCHEDULE “B”
PROJECT SPECIFIC INFORMATION AND ADDITIONAL PROVISIONS
Maximum Funds $5,110,000.00
Expiry Date March 31, 2029
Project Start Deadline September 30, 2025
Project Completion Deadline March 31, 2028
Amount for the purposes of
section A5.3 (Disposal of
Assets) of Schedule “A”
$50,000
Insurance $2,000,000
Contact information for the
purposes of Notice to the
Province
Position: Manager, Housing Enabling Program Delivery
Unit
Address: Ministry of Infrastructure
Infrastructure Program Design Branch
777 Bay St
Toronto, ON M7A 2J4
Email: HEWS@ontario.ca
Contact information for the
purposes of Notice to the
Recipient
Position: Kevin Heathcote Division Head Capital
Projects
Address: 1 The Esplanade
Pickering, ON L1V 6K7
Email: kheathcote@pickering.ca
Additional Provisions:
None
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SCHEDULE “C”
PROJECT DESCRIPTION AND FINANCIAL INFORMATION
C1.0 PROJECT DESCRIPTION
The Recipient will enhance stormwater management and mitigate flood plain impacts in
the City of Pickering. The scope will include replacing three culverts (Alyssum Street,
Reytan Boulevard and Morden Lane) located along the Krosno Creek drainage channel
to increase capacity and significantly mitigate flood plain impacts. The work includes
installing one oil grit separator unit at each culvert and will require several utility
relocations, local realignments /raising /lowering of watermain, and a sanitary sewer
realignment at the Reytan Boulevard culvert. The outcomes of this project will enhance
the water system, promote growth, and enable housing.
C2.0 FINANCIAL INFORMATION
C2.1 Total Eligible Costs. The total Eligible Costs means $7,000,000.00
C2.2 Province’s Reimbursement Rate. Without limiting the generality of the
Province’s rights and remedies under this Agreement, the Province will
reimburse the Recipient for up to a maximum 73% of Total Eligible Costs, or up
to the Maximum Funds.
C2.3 Combining Funding from Other Government Sources (Stacking). The
Recipient may combine (i.e., stack) federal and municipal funding (including
development charges revenue) to fund a minimum of 27% recipient contribution
to Total Eligible Costs. The Recipient shall not stack other sources of provincial
funding, with the exception of funding received from the Building Faster Fund
(BFF) and the Ontario Community Infrastructure Fund (OCIF).
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SCHEDULE “D”
ELIGIBLE AND INELIGIBLE COSTS
D1.0 ELIGIBLE COSTS
D1.1 Eligible Costs are those direct costs that are, in the Province’s sole and absolute
discretion, properly and reasonably incurred and paid by the Recipient, are
necessary for the successful completion of the Project, and are paid to an arm’s
length third party, as evidenced by invoices, receipts or other records that are
satisfactory to the Province. Eligible Costs do not include Ineligible Costs. Eligible
Costs include the following costs incurred and paid after April 1, 2023:
(a) Costs associated with the planning, environmental assessments, design
and engineering, project management, materials and construction of the
Project;
(b) Costs associated with Indigenous consultation related to the Project; and
(c) Costs associated with any compliance audit undertaken in accordance with
Article F3.0.
D2.0 INELIGIBLE COSTS
D2.1 Unless a cost is considered an Eligible Cost pursuant to section D1.1, such cost
will be an Ineligible Cost. Without limiting the discretion of the Province in section
D1.1, the following costs are Ineligible Costs and are therefore ineligible to be
paid from the Funds:
(a) All capital costs, including site preparation, removal of vegetation and
construction costs, prior to confirmation in writing from the Province to the
Recipient that site preparation, removal of vegetation or construction may
begin or resume, as described in section A9.2;
(b) Financing and financing charges, debt restructuring, loan interest payments
bank fees, and legal fees including those related to easements;
(c) Costs associated with operating expenses for assets and regularly
scheduled maintenance work;
(d) Costs of relocating entire communities;
(e) Planning costs, if not tied to a capital project (i.e., planning-only project
submitted);
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(f) Land acquisition; leasing land, buildings and other facilities; real estate fees
and related costs;
(g) Leasing equipment other than equipment directly related to the construction
of the Project;
(h) Costs related to furnishing and non-fixed assets which are not essential for
the operation of the asset/Project;
(i) Any overhead costs, including salaries and other employment benefits of
any employees of the Recipient, any direct or indirect operating or
administrative costs of the Recipient, and more specifically any costs
related to planning, engineering, architecture, supervision, management
and other activities normally carried out by the Recipient's staff;
(j) Any goods and services costs which are received through donations or in
kind;
(k) Provincial sales tax, goods and services tax, or harmonized sales tax; and
(l) Any costs eligible for rebates.
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SCHEDULE “E”
MILESTONE PAYMENT PLAN
E1.0 MILESTONE PAYMENTS
E1.1. The table below sets out the milestones and, if the conditions for achieving the
milestone are met, the amount that the Recipient is entitled to be paid in
connection with the completion of that milestone, subject to the Recipient’s
compliance with the terms of the Agreement, calculated as a percentage of the
Maximum Funds.
PAYMENT MILESTONE PAYMENT AMOUNT REQUIRED REPORTS
(see Schedule “F” for
more detail)
Milestone 1: Execution of
the Agreement.
25% of the Maximum
Funds.
The following
documentation is required
prior to execution of the
Agreement:
• Municipal by-law as
described in section
A2.2(b), and
• Initial Project Report as
described in Schedule
“F”.
• Any other reporting
requested by the
Ministry.
Milestone 2: Subject to
the terms and conditions of
this Agreement, following
the receipt, to the
satisfaction of the
Province, of the
Construction Contract
Award Documentation and
Spring 2025 or Fall 2025
Project Progress Report.
Up to 60% of the Maximum
Funds.
The payment amount is
subject to the adjustments
set out in section A4.2(c).
• Construction Contract
Award Documentation,
• Spring 2025 or Fall
2025 Project Progress
Report, including a
revised expenditure
forecast, and
• Any other reporting
requested by the
Ministry.
Milestone 3: Subject to
the terms and conditions of
this Agreement, following
the receipt, to the
satisfaction of the
Release of Holdback as
defined in section A4.9: Up
to 15% of the Maximum
Funds.
• Final Report,
• Compliance with the
Financial Information
Return (FIR);
• Compliance audit
documentation if
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Province, of the Final
Report.
The payment amount is
subject to the reconciliation
and adjustments set out in
sections A4.2(c) and
A4.10.
required by the
Province, and
• Any other reporting
requested by the
Ministry.
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SCHEDULE “F”
REPORTING REQUIREMENTS
F1.0 DOCUMENTATION REQUIRED FOR EXECUTION OF THE AGREEMENT
Name of Document Description Submission Timeframe
Initial Project
Report
Recipient’s forecast of
timelines and costs
(expenditure forecast) to
Project completion.
Within two weeks of being
sent by the Province and prior
to execution of the
Agreement.
Council By-Law Municipal by-law as described
in section A2.2(b).
Prior to execution of the
Agreement.
Executed
Agreement
The executed Agreement
between the Province and
Recipient.
Required for Milestone 1
payment.
F2.0 REPORTS
F2.1 Reporting Requirements. The Recipient will submit to the Province the
following Reports in a format to be provided by the Province and in accordance
with the timelines below.
Required
Documentation
Description Submission Timeframe
Construction
Contract Award
Documentation
A report from council
including a resolution or by-
law recognizing the awarding
of the Project construction
contracts following tender.
This documentation is due
within 60 Business Days of
awarding the Project
construction contracts that
account for the bulk of the
construction work and must
be awarded no later than
September 30, 2026.
Required for Milestone 2
payment.
Project Progress
Report
A report that includes:
• an update on the Project’s
status and signage status;
• Revised expenditure
forecast, which must be
based on contracts
awarded to complete the
Project;
• interest earned on the
Funds; and
Project Progress Reports are
required twice per calendar
year, in the Spring and Fall,
for the duration of the project.
This Report is due within 30
Business Days of a written
notice from the Province
unless otherwise indicated by
the Province.
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• any other information as
requested by the
Province.
A Project Progress Report is
required for the Milestone 2
payment.
Final Report A report that summarizes the
Project’s final timelines, costs,
project and signage photos,
and outcomes, and includes
the information required under
the Project Progress Reports.
This Report is due within 60
Business Days of the Project
Completion Period.
Required for Milestone 3
payment.
Other Reports Reports with such content as
may be requested by the
Province, which may include
an Indigenous Consultation
Record.
Within the timeframe
requested in a written notice
from the Province.
F3.0 COMPLIANCE AUDIT
F3.1 Financial Information Return. Without limiting the generality of Article A7.0
(Reports, Accounting, and Review), the Recipient must have submitted
Financial Information Returns (FIR) for the preceding two fiscal years.
F3.2 Financial Information Return Compliance. If the Recipient does not submit
the FIR in accordance with F3.1, without limiting the Province’s rights under
Article A13.0, the Province will suspend the payment of Funds until the FIR are
satisfactorily completed.
F3.3 Compliance Audit. Without limiting the generality of Article A7.0 (Reports,
Accounting, and Review), the Recipient may be required to engage the services
of an external auditor to conduct a final compliance audit upon reaching the
project completion date.
Additional compliance audits may be conducted by the Province at its sole
discretion, for which the Recipient shall assist and disclose any information
requested by any independent auditor.
F3.4 Requirements of Compliance Audit. Each compliance audit will be conducted
in accordance with Canadian Generally Accepted Auditing Standards, as
adopted by the Canadian Institute of Chartered Accountants, applicable as of
the date on which a record is kept or required to be kept under such standards.
In addition, each compliance audit will assess the Recipient’s compliance with
the terms of the Agreement and will prepare a report that addresses, without
limitation:
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(a) whether the Funds were spent in accordance with the Agreement;
(b) the progress or state of completion of the Project;
(c) whether the financial information the Recipient provided to the Province
was complete, accurate, and provided in a timely manner;
(d) whether the Recipient’s information and monitoring processes and
systems are adequate to carry out its obligations under the Agreement;
(e) the Recipient’s overall management and administration of the Project;
(f) recommendations for improvement or redress of non-compliance of the
terms of the Agreement by the Recipient; and
(g) whether the Recipient took timely corrective action on any prior audit
findings, if any.
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SCHEDULE “G”
COMMUNICATIONS PROTOCOL
G1.0 DEFINITIONS
G1.1 Definitions. For the purposes of this Schedule “G” (Communications Protocol):
“Joint Communications” means events, news releases, and signage that relate
to the Agreement that are not operational in nature, and that are collaboratively
developed and approved by the Province and the Recipient.
“Communications Activities” means, but is not limited to, public or media
events or ceremonies including key milestone events, news releases, reports,
web and social media products or postings, blogs, news conferences, public
notices, physical and digital signs, publications, success stories and vignettes,
photos, videos, multi-media content, advertising campaigns, awareness
campaigns, editorials, multi-media products, and all related communication
materials under the Agreement.
“Contentious Issues” means matters that are, or may reasonably be expected
to be, of concern to the Legislative Assembly or the public, or are likely to result
in inquiries being directed to the Minister or the provincial government.
Contentious Issues may be raised by:
• Members of the Legislative Assembly
• The public
• Media
• Stakeholders
• Service delivery partners
G2.0 PURPOSE
G2.1 Purpose. This communications protocol outlines the roles and responsibilities
of each of the Parties to the Agreement in respect of Communications Activities
related to the Project.
G2.2 Guidance. This communications protocol will guide all planning, development
and implementation of Communications Activities with a view to ensuring
efficient, structured, continuous, consistent, and coordinated communications to
the public.
G2.3 Application to Communications Activities. The provisions of this
communications protocol apply to all Communications Activities related to the
Agreement and the Project.
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G3.0 GUIDING PRINCIPLES
G3.1 Information to public. Communications Activities undertaken through this
communications protocol should ensure that the public are informed about the
Project’s benefits, including the ways in which the Project helps improve their
quality of life.
G3.2 Factors to Consider. The scale and scope of Communications Activities
undertaken for any Project will take into consideration the financial value, scope
and duration of the Project and the feasibility of Joint Communications for such
Communications Activities.
G3.3 Deficiencies and Corrective Actions. The Province will communicate to the
Recipient any deficiencies or corrective actions, or both, identified by the
Province or, as applicable, the Committee.
G3.4 Approval of Communications Material. The announcement or publication of
the Project must be approved by the Parties prior to being carried out.
G3.5 Costs of Communication Activities. With the exception of advertising
campaigns outlined in Article G.9.0 (Advertising Campaigns), the costs of
Communication Activities and signage will follow the eligibility rules established
in Schedule “D” (Eligible and Ineligible Costs).
G4.0 JOINT COMMUNICATIONS
G4.1 Subject Matter. The Parties may have Joint Communications about the funding
and status of the Project, including recognition of key project milestones.
G4.2 Prior Knowledge and Agreement. Joint Communications in respect of the
Project should not occur without the prior knowledge and agreement of the
Parties.
G4.3 Recognition of the Province’s Contributions. All Joint Communications
material must be approved by the Province and will recognize the Province’s
contribution to the Project.
G4.4 Notice and Timing. The Recipient and the Province may request Joint
Communications. The Party requesting the Joint Communications will provide at
least 15 Business Days’ notice to the other Party. If the Communications
Activity is an event, it will take place at a date and location mutually agreed to
by the Parties.
G4.5 Participation and Representatives. The Party requesting a Joint
Communications will provide the opportunity for the other Party to choose to
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participate and, if they do so choose, their own designated representative (in
the case of an event).
G4.6 English and French. The Province has an obligation to communicate in
English and French. Communications products related to events must be
bilingual in many instances. In such cases, the Province will provide the
translation services and final approval on products.
G5.0 INDIVIDUAL COMMUNICATIONS
G5.1 The Province’s Obligations. Notwithstanding Article G.4.0 (Joint
Communications), the Parties agree that the Province has the right to
communicate information to Ontarians about the Agreement and the use of
Funds to meet its legislated and regulatory obligations through their respective
own Communications Activities.
G5.2 Restrictions. Each Party may include an overview in respect of the Project in
their own Communications Activities. The Province and the Recipient will not
unreasonably restrict the use of, for their own purposes, Communications
Activities related to the Project and, if the communications are web- or social-
media based, the ability to link to it.
G5.3 Publication. The Recipient will indicate, in respect of the Project-related
publications, whether written, oral, or visual, that the views expressed in the
publication are the views of the Recipient and do not necessarily reflect those of
the Province.
G5.4 Recognition in Documents. In respect of the Project where the deliverable is a
document, such as but not limited to plans, reports, studies, strategies, training
material, webinars, and workshops, the Recipient will clearly recognize the
Province’s respective financial contribution for the Project.
G5.5 Acknowledgement of Support. Unless the Province directs the Recipient to
do otherwise, the Recipient will, in respect of the Project-related publications,
whether written, oral, or visual, acknowledge the Province’s support for the
Project.
G6.0 OPERATIONAL COMMUNICATIONS
G6.1 Responsibility of Recipient. The Recipient is solely responsible for operational
communications in respect of the Project, including but not limited to calls for
tender, contract awards, and construction and public safety notices.
G7.0 MEDIA RELATIONS
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G7.1 Significant Media Inquiry. The Province and the Recipient will share
information promptly with the other Party if significant media inquiries are
received or if emerging contentious issues arise in respect of a
Project. Significant media inquiries include, but are not limited to, contentious
media requests where either or both the province and the recipient are
implicated. Note that any media request that impacts or falls under the purview
of the province (e.g., program guidelines, funding allocations) must be shared
with each partner to determine who is best positioned to respond.
G8.0 SIGNAGE
G8.1 Recognition of Funding Contribution. The Parties agree that the Province
and the Recipient may each have signage recognizing their funding contribution
in respect of the Project.
G8.2 Funding Recognition. Unless otherwise agreed by the Province, the Recipient
will produce and install a sign to recognize the funding contributed by the
Province at the Project site in accordance with, as applicable, their current
respective signage guidelines. Provincial sign design, content, and installation
guidelines will be provided by the Province.
G8.3 Notice of Sign Installation. The Recipient will inform the Province of sign
installations, including providing the Province with photographs of the sign once
the sign has been installed.
G8.4 Timing for Erection of Sign. If erected, signage recognizing the Province’s
contributions will be installed at the Project site(s) 30 days prior to the start of
construction, be visible for the duration of the Project, and remain in place until
90 days after construction is completed and the infrastructure is fully operational
or opened for public use.
G8.5 Size of Sign. If erected, signage recognizing the Province’s respective
contribution will be at least equivalent in size and prominence to Project signage
for contributions by other orders of government and will be installed in a
prominent and visible location that takes into consideration pedestrian and
traffic safety and visibility.
G8.6 Responsibility of Recipient. The Recipient is responsible for the production
and installation of Project signage, and for maintaining the signage in a good
state of repair during the Project, or as otherwise agreed upon.
G9.0 ADVERTISING CAMPAIGNS
G9.1 Notice of Advertising Campaigns. Recognizing that advertising can be an
effective means of communicating with the public, the Recipient agrees that the
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Province may, at their own cost, organize an advertising or public information
campaign in respect of the Project or the Agreement. However, such a
campaign will respect the provisions of the Agreement. In the event of such a
campaign, the Province will inform the Recipient of its intention no less than 21
Business Days prior to the campaign launch.
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SCHEDULE “H”
INDIGENOUS CONSULTATION PROTOCOL
H1.0 INDIGENOUS CONSULTATION
H1.1 Procedural Aspects of Consultation. If consultation with Indigenous
Communities is required, the Recipient agrees that:
(a) the Province may delegate certain procedural aspects of the consultation to
the Recipient; and
(b) the Province will provide the Recipient with an initial list of the Indigenous
Communities the Recipient will consult.
H1.2 Development of Indigenous Consultation Plan. The Province, based on the
scope and nature of the Project, may require the Recipient, in consultation with
the Province, to develop and comply with an Indigenous consultation plan
(“Indigenous Consultation Plan”).
H1.3 Provision of Plan to Province. If, pursuant to section H1.2, the Province
provides Notice to the Recipient that an Indigenous Consultation Plan is required,
the Recipient will, within the timelines provided in the Notice, provide the
Province with a copy of the Indigenous Consultation Plan.
H1.4 Changes to Plan. The Recipient agrees that the Province, in its sole discretion
and from time to time, may require the Recipient to make changes to the
Indigenous Consultation Plan.
H1.5 Requirement for Indigenous Consultation Record. If consultation with an
Indigenous Community is required, the Recipient will maintain an Indigenous
Consultation Record and provide such record to the Province, and any update to
it, as part of its reporting to the Province pursuant to section F2.1.
H1.6 Notification to and Direction from the Province. The Recipient will
immediately notify the Province:
(a) of contact by Indigenous Communities regarding the Project; or
(b) of any Indigenous archaeological resources that are discovered in relation
to the Project,
and, in either case, the Recipient agrees that the Province may direct the
Recipient to take such actions as the Province may require. The Recipient will
comply with the Province's direction.
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H1.7 Direction from the Province and Contracts. In any Contract, the Recipient
will provide for the Recipient's right and ability to respond to direction from the
Province as the Province may provide in accordance with section H1.6.
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