Building Investment, Finance and Audit Committee (BIFAC) Meeting - April 27, 2015

Public Agenda

Consent Public Agenda

The Consent Agenda items listed on the Consent Public Agenda will require a resolution of the Committee but are not scheduled for a full discussion at the Committee meeting. The Committee Chair will ask for approval of the following Consent Agenda items. Committee members must indicate if they wish to request to discuss the Item, question the Item or register a vote against the Item. If an Item is removed from the Consent Agenda, it will be discussed at the end of the meeting.

1. Approval of Agenda

Action: Resolution to approve the agenda 

Pre-read: Agenda

2. Confirmation of Public Meeting Minutes:

• February 5, 2015

Action: Resolution to confirm the public minutes

Pre-read: Minutes

3. Business Arising from the Minutes and Committee Action Items Update (Former BIC and CAAC)

Action: Resolution to receive for information

Pre-read: Action Item List

Building State of Repair and Environmental Sustainability:

4. Stand-Alone Properties Sales and Relocation Update

Action: Resolution to receive for information

Pre-read: BIFAC:2015-19

5. Update on Putting People First Recommendations

Action: Resolution to receive for information

Pre-read: BIFAC:2015-20

Internal Audit, Accounting Systems and Internal Controls:

6. Review of Board, President and CEO and Senior Management Expenses - Q4 2014

Action: Resolution to receive for information

Pre-read: BIFAC:2015-21

7. Internal Audit: Employee Expense Control Clerk 2014 Activities

Action: Resolution to receive for information

Pre-read: BIFAC:2015-22

Public Meeting Agenda Items

7:30 pm – 8:00 pm

8. Chair’s Poll re:  Conflict of Interest

Action: Declaration

Pre-read: Agenda and Conflict of Interest Policy

Presenter: Chair

Report from the BIFAC Chair:

9. Chair’s Report and Remarks

Action: Information

Pre-read: Verbal Report

Presenter: Chair

Internal Audit, Accounting Systems and Internal Controls:

10. Chief Internal Auditor 2014 Annual Report

Action: Information

Pre-read: BIFAC:2015-23

Presenter: Chief Internal Auditor

11. Internal Audit Report: Procurement Compliance Review

Action: Information

Pre-read: BIFAC:2015-24

Presenter: Chief Internal Auditor

12. Report on TCHC Programs

Action: Information

Pre-read: BIFAC:2015-25

Presenter: Chief Internal Auditor and VP Resident Community Services

Commissioner of Housing Equity Report:

13. OCHE – 2015 Work Plan

Action: Committee Approval

Pre-read: BIFAC:2015-26 (Deferred from February 5, 2015 meeting)

Presenter: Commissioner of Housing Equity 

14. OCHE – Performance Report (September – December, 2014)

Action: Information

Pre-read: BIFAC:2015-27

Presenter: Commissioner of Housing Equity

Consent Closed Agenda

The Consent Agenda items listed on the Consent Closed Agenda will require a resolution of the Committee but are not scheduled for a full discussion at the Committee meeting. The Committee Chair will ask for approval of the following Consent Agenda items. Committee members must indicate if they wish to request to discuss the Item, question the Item or register a vote against the Item. If an Item is removed from the Consent Agenda, it will be discussed at the end of the meeting.

A. Approval of Agenda

Recommendation: Resolution to approve the agenda  

Pre-read: Agenda

B. Confirmation of Closed BIFAC Meeting Minutes:

• February 5, 2015

Recommendation: Resolution to confirm the closed minutes

Pre-read: Minutes

C. Receipt of Closed Investment Advisory Committee Minutes:

• October 30, 2014

Recommendation: Resolution to receive for information

Pre-read: Minutes

D. Business Arising from the Minutes and Committee Action Items Update (Former BIC and CAAC)

Recommendation: Resolution to receive for information

Pre-read: Action Item List

Budget, Financial Reporting and Financial Statements:

E. Confidential report respecting matters that are or may be the subject of litigation or potential litigation, and recommendations of proposed policy or process

Recommendation: Resolution to receive for information

Pre-read: Report to follow

F. Confidential report respecting the financial status of the development projects, including projects with development partners, for the year ended December 31, 2014

Recommendation: Resolution to receive for information

Pre-read: BIFAC:C2015-29

Financial Compliance:

G. Confidential report respecting matters that are not required to be disclosed under the Municipal Freedom of Information and Protection of Privacy Act, including but not limited to personal matters about identifiable individuals, a proposed or pending transaction with a third party, and recommendations of proposed policy or processes

Recommendation: Resolution to receive for information

Pre-read: BIFAC:C2015-36

H. Confidential report respecting matters that are not required to be disclosed under the Municipal Freedom of Information and Protection of Privacy Act, including but not limited to personal matters about identifiable individuals, a proposed or pending transaction with a third party, and recommendations of proposed policy or processes

Recommendation: Resolution to receive for information

Pre-read: BIFAC:C2015-35

I. Confidential report respecting matters that are not required to be disclosed under the Municipal Freedom of Information and Protection of Privacy Act, including but not limited to personal matters about identifiable individuals, a proposed or pending transaction with a third party, and recommendations of proposed policy or processes

Recommendation: Resolution to receive for information

Pre-read: BIFAC:C2015-37

Capital Projects, Real Property and Building Revitalization:

J. Confidential reports respecting matters that are not required to be disclosed under the Municipal Freedom of Information and Protection of Privacy Act, including but not limited to personal matters about identifiable individuals, a proposed or pending transaction with a third party, and recommendations of proposed policy or processes 

Recommendation: Resolution to receive for information

Pre-read: BIFAC:C2015-14, BIFAC:C2015-15

K. Confidential report respecting matters involving the security of the property of the Corporation

Recommendation: Resolution to receive for information

Pre-read: BIFAC:C2015-30

Closed Meeting Agenda Items

L. Chair’s Poll re:  Conflict of Interest

Action: Declaration

Pre-read: Agenda and Conflict of Interest Policy

Presenter: Chair

Report from the BIFAC Chair:

M. Chair’s Report and Remarks

Action: Information

Pre-read: Verbal Report

Presenter: Chair

Budget, Financial Reporting and Financial Statements:

N. Confidential report respecting matters that are or may be the subject of litigation or potential litigation, and recommendations of proposed policy or process

Action: Committee and Board Approval

Pre-read: Report to follow

Presenter: Chief Financial Officer & Treasurer; PWC (Auditor)

O. Confidential report respecting matters that are not required to be disclosed under the Municipal Freedom of Information and Protection of Privacy Act, including but not limited to a proposed or pending transaction with a third party, and recommendations of proposed policy or processes

Action: Committee and Board Approval

Pre-read: BIFAC:C2015-31

Presenter: Chief Financial Officer & Treasurer

P. Confidential report respecting matters that are not required to be disclosed under the Municipal Freedom of Information and Protection of Privacy Act, including but not limited to a proposed or pending transaction with a third party, and recommendations of proposed policy or processes

Action: Information

Pre-read: BIFAC:C2015-32

Presenter: Chief Financial Officer & Treasurer

Q. Confidential report respecting matters that are or may be the subject of litigation or potential litigation, and recommendation of proposed policy or process

Action: Committee and Board Approval 

Pre-read: BIFAC:C2015-33

Presenter: Chief Financial Officer & Treasurer

R. Confidential report respecting a pending transaction with a third party

Action: Committee and Board Approval 

Pre-read: BIFAC:C2015-34

Presenter: Interim President and Chief Executive Officer

Capital Projects, Real Property and Building Revitalization:

S. Confidential item from the Chief Development Officer

Action: Information

Pre-read: Verbal Report

Presenter: Chief Development Officer

T. Confidential report respecting matters that are not required to be disclosed under the Municipal Freedom of Information and Protection of Privacy Act, including but not limited to personal matters about identifiable individuals, a proposed or pending transaction with a third party, and recommendations of proposed policy or processes

Action: Committee Approval

Pre-read: BIFAC:C2015-38, BIFAC:C2015-39, BIFAC:C2015-40, BIFAC:C2015-41

Presenter: Vice President, Facilities Management

U. Confidential report respecting matters involving the security of the property of the corporation

Action: Committee and Board Approval

Pre-read: BIFAC:C2015-42

Presenter: Vice President, Facilities Management

V. Confidential report respecting matters that are or may be the subject of litigation or potential litigation, including matters before administrative tribunals, affecting the corporation. 

Confidential report respecting matters that are not required to be disclosed under the Municipal Freedom of Information and Protection of Privacy Act, including but not limited to recommendations of proposed policy or processes. 

Action: Information 

Pre-read: BIFAC:C2015-43

Presenter: Vice President, Facilities Management

W. Confidential report respecting matters that are not required to be disclosed under the Municipal Freedom of Information and Protection of Privacy Act, including but not limited to personal matters about identifiable individuals, a proposed or pending transaction with a third party, and recommendations of proposed policy or processes

Action: Committee and Board Approval

Pre-read: BIFAC:C2015-44

Presenter: Interim President and CEO

Capital Funds and Investments:

X. Confidential report respecting matters that are not required to be disclosed under the Municipal Freedom of Information and Protection of Privacy Act, including but not limited to personal matters about identifiable individuals, a proposed or pending transaction with a third party, and recommendations of proposed policy or processes

Action: Committee and Board Approval

Pre-read: BIFAC:C2015-45

Presenter: Chair, Investment Advisory; Chief Financial Officer & Treasurer

Y. Confidential report respecting matters that are not required to be disclosed under the Municipal Freedom of Information and Protection of Privacy Act, including but not limited to a proposed or pending transaction with a third party, and recommendations of proposed policy or processes

Action: Committee and  Board Approval

Pre-read: BIFAC:C2015-46

Presenter: Chair, Investment Advisory; Chief Financial Officer & Treasurer

Information Technology:

Z. Confidential report respecting matters that are not required to be disclosed under the Municipal Freedom of Information and Protection of Privacy Act, including but not limited to personal matters about identifiable individuals, a proposed or pending transaction with a third party, and recommendations of proposed policy or processes

Action: Committee and Board Approval

Pre-read: BIFAC:C2015-47

Presenter: Vice President, Information Technology

In Camera Agenda Items

Oversight of the Commissioner of Housing Equity (CHE):

AA. Confidential report respecting personal matters about an identifiable individual, including an employee and labour relations or employee negotiations

Action: Committee Approval

Pre-read: BIFAC:C2015-48, Deferred from the February 5, 2015 meeting

Presenter/Notes: Commissioner of Housing Equity

Oversight of the Chief Internal Auditor (CIA):

BB. Confidential report respecting personal matters about an identifiable individual, including an employee

Action: Committee and Board Approval 

Pre-read: BIFAC:C2015-17, Report distributed directly to BIFAC by CIA

Presenter/Notes: Chief Internal Auditor

CC. Confidential report respecting personal matters about an identifiable individual, including an employee

Action: Committee Approval

Pre-read: BIFAC:C2015-18, Report distributed directly to BIFAC by CIA

Presenter/Notes: Chief Internal Auditor

Information Technology:

DD. Confidential report respecting matters that are not required to be disclosed under the Municipal Freedom of Information and Protection of Privacy Act, including but not limited to personal matters about identifiable individuals, a proposed or pending transaction with a third party, and recommendations of proposed policy or processes

Action: Information

Pre-read: Verbal Report

Presenter/Notes: Interim President and Chief Executive Officer and General Counsel and Corporate Secretary

TERMINATION

Public Minutes

The Building Investment, Finance and Audit Committee (“BIFAC”) of Toronto Community Housing Corporation (“TCHC”) held a public meeting on April 27, 2015, in the Main Floor Conference Room, 931 Yonge Street, Toronto, commencing at 8:27 p.m.

Committee Directors Present:

Zahir Bhaidani, Chair

Karen Newman

Committee Directors Absent:

Councillor Ana Bailao

Other Directors in Attendance:

Catherine Wilkinson

Also Present:

Marta Asturi, Legal Counsel and Assistant Corporate Secretary

Greg Spearn, Interim President and Chief Executive Officer/ Chief Development Officer

Pamela Spencer, General Counsel and Corporate Secretary

Cynthia Summers, Commissioner of Housing Equity

A quorum being present, the Chair called the meeting to order and Ms. Mirela Bolentiru served as recording secretary.

Item 1 - Approval of the Consent Public Agenda

Motion carried 

ON MOTION DULY MADE by Ms. Newman, seconded by Mr. Bhaidani and carried, the BIFAC unanimously approved the public meeting agenda and the consent public agenda items 1-3 and 5 - 7.

Declaration of Conflict of Interest

The Chair requested members of BIFAC to indicate any agenda item in which they had a conflict of interest, together with the nature of the interest.  None were declared.

Item 2 - Confirmation of Public Meeting Minutes

The BIFAC had before it the draft minutes from the February 5, 2015 public meeting.

Motion carried 

ON MOTION DULY MADE by Ms. Newman, seconded by Mr. Bhaidani and carried, the BIFAC unanimously confirmed the February 5, 2015 minutes. 

Item 3 - Business Arising from the Minutes and Committee Action Items Update

The BIFAC had before it the above captioned report. 

Motion carried

ON MOTION DULY MADE by Ms. Newman, seconded by Mr. Bhaidani and carried, the BIFAC unanimously received the report for information. 

Item 4 - Stand-alone Properties Sales and Relocation Update, BIFAC:2015-19

The BIFAC had before it the above-captioned report (BIFAC:2015-19) from the Interim President and Chief Executive Officer.

A discussion ensued with respect to the section in the report (page 4) entitled “Post-2015 Sales (Properties with Regulatory Restrictions)”.

Management explained that 15 properties (multi-unit dwellings) were approved for sale, but they are not targeted for sale in 2015, due to regulatory restrictions that will likely be resolved over an extended period of time. Of these 15 properties, 7 are vacant and 8 are occupied.  The 7 vacant properties will be repaired and rented at market rates as an interim measure to prevent further deterioration of the houses, raise new revenues and improve community safety in their respective neighbourhoods. The Shareholder and local councillors are aware of this approach.

Motion carried 

ON MOTION DULY MADE by Mr. Bhaidani, seconded by Ms. Newman and carried, the BIFAC unanimously received the report for information.

Item 5 - Update on Putting People First Recommendations, BIFAC:2015-20

The BIFAC had before it the above-captioned report (BIFAC:2015-20) from the Interim President and Chief Executive Officer.

Motion carried 

ON MOTION DULY MADE by Ms. Newman, seconded by Mr. Bhaidani and carried, the BIFAC unanimously received the report for information.

Item 6 - Review of Board, President and CEO and Employee Expenses Q4 2014, BIFAC:2015-21

The BIFAC had before it the above-captioned report (BIFAC:2015-21) from the Chief Internal Auditor.

Motion carried

ON MOTION DULY MADE by Ms. Newman, seconded by Mr. Bhaidani and carried, the BIFAC unanimously received the report for information.

Item 7 - Internal Audit: Employee Expense Control Clerk 2014 Activities, BIFAC:2015-22

The BIFAC had before it the above-captioned report (BIFAC:2015-22) from the Chief Internal Auditor.

Motion carried 

ON MOTION DULY MADE by Ms. Newman, seconded by Mr. Bhaidani and carried, the BIFAC unanimously received the report for information

Item 9 - Chair's Report and Remarks (Verbal)

The Chair noted an increase in materials for review by BIFAC, which has replaced the former 2 committees (Building and Investment Committee and the Corporate Affairs and Audit Committee). The Chair requested a review of the BIFAC work plan with a view to moving to monthly meetings if required with scheduled meetings for an average of 2 hours.

Item 10 - Chief Internal Auditor 2014 Annual Report, BIFAC:2015-23

The BIFAC had before it the above-captioned report (BIFAC:2015-23) from the Chief Internal Auditor.

Motion carried

ON MOTION DULY MADE by Mr. Bhaidani, seconded by Ms. Newman and carried, the BIFAC unanimously received the report for information.

Item 11 - Internal Audit Report: Procurement Compliance Review, BIFAC:2015-24

The BIFAC had before it the above-captioned report (BIFAC:2015-24) from the Chief Internal Auditor.

Motion carried

ON MOTION DULY MADE by Mr. Bhaidani, seconded by Ms. Newman and carried, the BIFAC unanimously received the report for information.

Item 12 - Report on TCHC Program, BIFAC:2015-25

The BIFAC had before it the above-captioned report (BIFAC:2015-25) from the Chief Internal Auditor.

The BIFAC Chair noted that he will discuss this item further with the Chief Internal Auditor to provide further guidance with respect to which TCHC programs should be audited.

Action item:

This report will return to BIFAC for further discussion.

Motion carried 

ON MOTION DULY MADE by Mr. Bhaidani, seconded by Ms. Newman and carried, the BIFAC unanimously received the report for information.

Item 13 - OCHE – 2015 Work Plan, BIFAC:2015-26

The BIFAC had before it the above-captioned report (BIFAC:2015-26) from the Commissioner of Housing Equity.  

A discussion ensued, including the following points:

• The OCHE reviewed 20 files in total submitted to the LTB in 2014.
• The Commissioner advised that the main goals of the OCHE are eviction avoidance and establishment of rent arrears repayment plans.
• The Commissioner noted that the absence of additional staffing resources may prevent the OCHE from achieving the results identified in the 2015 targeted timelines.
• The Commissioner suggested a random audit to determine whether there is a pattern with respect to submission of the resident files to the LTB.  The Chair stated that, in his view, a further audit would not necessarily provide any added value to the process.
• The Commissioner stated that the OCHE has been using the definition of “vulnerable residents” as approved at the December 2014 Board meeting.

Motion carried 

ON MOTION DULY MADE by Mr. Bhaidani, seconded by Ms. Newman and carried, the BIFAC unanimously adopted the report.

Item 14 - OCHE – Performance Report (September – December 2014), BIFAC:2015-27

The BIFAC had before it the above-captioned report (BIFAC:2015-27) from the Commissioner of Housing Equity.

Motion carried 

ON MOTION DULY MADE by Mr. Bhaidani, seconded by Ms. Newman and carried, the BIFAC unanimously received the report for information.

TERMINATION

ON MOTION DULY MADE by Mr. Bhaidani, seconded by Ms. Newman and carried, the BIFAC resolved to terminate the public meeting at 8:50 p.m.