Bulletin

SAVE UNION STATION - Bulletin No. 25, June 16, 2004.

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1. Union Pearson snags Union Station for 100 years

In a sudden and unexpected decision, Toronto City Council on June 18 agreed to sign over Union Station to the Union Pearson Group for the next 100 years.

As reported in Bulletin No.24, staff had recommended that "City Council reject the Master Agreement requested by Union Pearson Group and that the City terminate the RFP process." Members of our group had strongly supported this recommendation at committee, and our understanding was that it seemed to have wide spread support.

But everything changed when city council met privately to consider advice from staff. On May 19 and then again on May 20 council met behind closed doors. The debate that occurred remains secret, as does a key staff report, but the decision is public - council decided to sign the 100 year lease agreement with Union Pearson. That was confirmed when, at suppertime on May 20 councillors filed into the council chamber where a pro forma public meeting was held with virtually no debate. A motion by councillor Michael Walker to abandon the arrangement with Union Pearson (as previously recommended by staff) attracted only six supporters - Walker, Rob Ford, Paula Fletcher, Pam McConnell, Cesar Palacio, and Sylvia Watson. The vote to enter into the 100 year lease was endorsed by a vote of 30 - 4, only Walker, Ford, Palacio and Watson dissenting.

The financial implications of the decision are not entirely clear. Council agreed to the lease with Union Pearson on condition that the rent accruing to the city will be reduced by $5.9 million. It appears a further abatement of $3 million is being provided by tinkering with the dates when various clauses click in. Union Pearson is guaranteeing a rent of $500,000 a year, so the cost of these concessions to the city - that is, the public - is equal to the first 17 years of rent.

The contract the city has agreed to sign includes concept drawings for the Union Pearson plan. That plan prevents, for the next 100 years, the train platforms from being widened, prevents the installation of escalators to bridge the 41 steps between the concourses and the platforms, and prevents the roof over the tracks from being replaced. If any of these changes are to take place, the contract must be renegotiated and Union Pearson will undoubtedly demand considerable compensation.

At the same time as this contract was being authorized, city council also approved proceeding with a master plan (as required by city council in 1991 as a first step to redevelopment), and to retain an independent planner to help with this. It is unclear exactly how this decision fits with the decision to sign the contract with Union Pearson. Several councilors have said the 100 year contract is `conditional' on the Master Plan, but the documents don't reveal how that works. The 100 year agreement and the staff report which has been made public, along with the council decision on May 20, are all found on the city's web site, http:www.toronto.ca/union_station . The web site also says the arrangement is `conditional.'

In fact, the documents imply that the 100 year contract and Master Plan are two different matters almost entirely unrelated, as explained in the letter we have sent to the mayor and several councilors (see below.)

This is a most unreasonable outcome for the city's main transportation hub - first to put it in private hands for 100 years, then to make an agreement which prevents it from being improved to meet the needs of contemporary users. It's even worse to think that council has forgone almost $9 million to allow this to happen. No wonder it was all done in private. Mayor David Miller has refused to be interviewed on the subject.

2. Questioning the city's contract and Master Plan process.

It appears city council has shut out any possibility, short of renegotiating the contract just signed with Union Pearson, of making much-needed changes to Union Station. It seems impossible that this occurred, but apparently it has. In an attempt to clarify the matter, we sent the following letter to Mayor David Miller and councillors Gary Altobello, Michael Walker, and Pam McConnell, on June 1:

"We have reviewed the decisions of City Council regarding Union Station at its meeting of May 20. We note that the decision to proceed with hiring an outside consultant to help create a draft Master Plan has been approved. As you know this is a recommendation that we have championed. As well, our group is specifically referred to as a participant in the Master Plan procedures.

"Before making suggestions as to how this outside planner might be selected and possible terms of reference, we would like to have assurances that a Master Plan can effectively influence the future form and function of Union Station. Without the secured assurance of implementation, any master planning process remains an exercise in public relations and a superfluous expenditure of public funds.

"Section 4.1(a) of the agreement with the Union Pearson Group authorized by Council states that "The Concept Design prepared by UPG satisfies in all material respects (particularly in the treatment of the Key Components) the Key Objectives of the city for the redevelopment." As we know from our strenuous but unsuccessful efforts to change that design during the past two years, the UPG Concept Design is based on ensuring that the platforms are not widened, that the tracks are not realigned, and that access to the platforms is generally by stairs, not escalators.

"Are we correct in assuming that the interpretation of this section is that a redesign which includes escalators, realigned tracks, wider platforms and a new roof over the tracks is not permitted? If not, how should Section 4.1 (a) beinterpreted?

"Our second question concerns Section 7.4 of the agreement which states, "It is a closing condition in favour of each of UPG and the City that they be satisfied with the outcome of the Master Plan review, including among other things having regard to the impact on the achievement of the Key Objectives." This is one of the few references in the agreement to the Master Plan (which has yet to be prepared) but it is clear that nothing in the agreement requires that redevelopment conform to the Master Plan. Being "satisfied" with whatever the Master Plan states does not mean that redevelopment incorporates any of its ideas.

"Where in the agreement is it made clear that the Master Plan will define the scope and shape of the redevelopment? If the agreement does not offer such terms, how can we be assured that the Master Plan prevails, not UPG's Concept Plan?

"Does the city express its satisfaction with the Master Plan by a simple vote? If the vote is negative, is the contract ended? If the vote is positive, must the redevelopment conform to the Master Plan?

"We look forward to your early answers to these questions since they have considerable impact on what might happen to Union Station over the next 100 years, and what involvement our group will have in the coming months."

As of June 16, none of the four who were sent the letter have replied. We can only assume that our interpretations are correct and that the 100 year lease is not `conditional' on the Master Plan as several councilors have claimed, and that to all intents and purposes Union Station is now in the control of Union Pearson.

3. Next steps

Those of you who are as concerned as we are about the Mayor's position on the agreement with Union Pearson, the secrecy around this decision and the debate leading up to its passing, the complete lack of accountability and explanation to anyone outside council for the actions council has taken, the inability to see the report which apparently determined the issue for council - if those matters concern you, now would be an excellent time to write a letter to Mayor Miller. Copies could be sent to members of council and to the newspapers. The mayor's contact information is: mayor_miller@toronto.ca , telephone 397 2489. Contacts for councillors can be found on the city's web site, http://www.toronto.ca .

Our Email address is signup@saveunionstation.ca and please visit our website at http://www.saveunionstation.ca

 

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