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2015 Annual Report Annual Report 2015 Rapport Annuel 2015 ANNUAL REPORT 2015 ©Toronto Port Authority 2016. All rights reserved. To obtain additional copies of this report please contact: 60 Harbour Street Toronto, Ontario, M5J 1B7 PortsToronto Canada Communications and Public Affairs Department 60 Harbour Street The Toronto Port Authority, doing business as Toronto, Ontario, M5J 1B7 PortsToronto, is a government business enterprise Canada operating pursuant to the Canada Marine Act and Phone: 416.863.2075 Letters Patent issued by the federal Minister of E-mail: [email protected] Transport. The Toronto Port Authority is hereafter referred to as PortsToronto. PortsToronto Annual Report is available online at PortsToronto.com. Limited quantities of the report were printed digitally using FSC certified 100 per cent www.fsc.org post-consumer fibre paper. Table of Contents About PortsToronto 2 Mission and Vision 3 Message from the Chair 4 Message from the Chief Executive Offi cer 8 Corporate Governance 14 Business Overview 16 Billy Bishop Toronto City Airport 18 Port of Toronto 22 Outer Harbour Marina 24 Pedestrian Tunnel 26 Sustainability Report 28 30 Bay Commercial Development 30 Porter Proposal 32 Four Pillars 35 City Building 36 Community Engagement 38 Environmental Stewardship 44 Financial Sustainability 50 Statement of Revenue and Expenses 52 2016: A Look Ahead 53 About PortsToronto PortsToronto is a government business enterprise that owns and operates Billy Bishop Toronto City Airport (hereafter referred to as Billy Bishop Airport), Marine Terminals 51 and 52 within the Port of Toronto and the Outer Harbour Marina. PortsToronto is fi nancially self-suffi cient, as required under the Canada Marine Act, and its activities and operations are not funded by taxpayers. PortsToronto operates in accordance with the Canada Marine Act and its Letters Patent, and is guided by a nine-member board with appointments from all three levels of government. In addition to moving 2.5 million passengers through the airport each year, PortsToronto provides transportation, distribution, storage and container services to businesses at the Port of Toronto and owns and operates one of the largest freshwater marinas in Canada. Don River Keating Channel s n Ship Channel Wester Channel Outer Ashbridge’ Harbour Bay Toronto East Gap Marina Billy Bishop Inner Port of Toronto City Harbour Toronto Airport Toronto Outer Harbour Toronto Islands Jurisdiction of PortsToronto within the Port and Harbour of Toronto Leslie Street Spit Mission PortsToronto’s mission is to effectively manage the Billy Bishop Toronto City Airport, Marine Terminals 51 and 52 within the Port of Toronto and the Outer Harbour Marina on a self-sustaining basis, enabling the organization to reinvest funds into transportation infrastructure, marine safety, environmental protection Responsible for safety and efficiency of marine and community programming. Through the successful navigation in the Toronto Harbour, PortsToronto pursuit of this mission, PortsToronto plays an important exercises regulatory control and provides public city-building role in the economic growth and sustainable works services to the area, is responsible for future of Toronto. environmental protection in the Toronto Harbour, issues vessel operator permits to recreational boaters and manages the Leslie Street Spit construction site. Vision PortsToronto is committed to fostering As a guardian and steward of Toronto’s waterfront strong, healthy and sustainable communities, resources, PortsToronto works closely with the broader and has invested more than $8 million since waterfront community to ensure these assets will provide 2009 in charitable initiatives and environmental prosperity and enjoyment for future generations. programs that benefit communities along Toronto’s waterfront and beyond. Don River Keating Channel s n Ship Channel Wester Channel Outer Ashbridge’ Harbour Bay Toronto East Gap Marina Billy Bishop Inner Port of Toronto City Harbour Toronto Airport Toronto Outer CELL 1 Harbour CELL 2 CELL 3 Toronto Islands Leslie Street SpitPortsToronto | Annual Report 2015 3 Message from the Chairman We began 2015 with a new name and a new brand that better refl ects our approach to business and the vision we have for the future of our organization, including the role it will play in the City of Toronto. The name PortsToronto was chosen after a comprehensive review of where we excel as an organization and how we will grow in the future. In becoming PortsToronto, we pay homage to our 100-year past as the Toronto Harbour Commissioners and Toronto Port Authority, and our role as builders of the Port of Toronto and Billy Bishop Airport; we refl ect our present as the successful owners and operators of these two important initiatives such as powering all of our operations transportation links in the city of Toronto; and with renewable energy through Bullfrog Power, we look forward to a future of collaboration, using hybrid vehicles and conducting all of community and city building. our operations in a manner consistent with reducing our environmental impact. We also Since rebranding, PortsToronto has worked continue with larger projects such as dredging Welcome to undertake initiatives that demonstrate our the Keating Channel, cleaning Toronto’s harbour, commitment to these three concepts. We and building fish and wildlife habitats, including opened the pedestrian tunnel to Billy Bishop our new butterfly garden that was developed and Airport, which provides an important piece of constructed with Evergreen Canada. infrastructure in the city of Toronto at no cost to taxpayers. We made improvements to the airport With regard to community engagement, we that addressed community concerns, enhanced have built on our Community Liaison program the passenger experience and won top industry that began in 2010 with more meetings and more awards. We worked with the City of Toronto, opportunities to engage with our neighbours Waterfront Toronto and other stakeholders to and stakeholders. This has included meetings undertake initiatives to study the Porter Proposal for special projects such as the environmental to introduce jet aircraft and extend the landmass assessment related to the Porter Proposal at both ends of the main runway at Billy Bishop and the pedestrian tunnel construction; Airport. We engaged in important sponsorships participation in City of Toronto initiatives, with groups such as Evergreen Canada, Ireland such as the Bathurst Quay Neighbourhood Park Foundation and Harbourfront Community Plan and Expo 2025 stakeholder meetings; Centre to support our community, and partnered and regular briefings held with city staff, with the Toronto 2015 Pan Am/Parapan Am councillors and stakeholders. Games Organizing Committee to bring the Games to Toronto. Importantly, we formalized As for economic performance, we are proud a sustainability framework to guide our efforts of our financial record – having reported our and ensure transparency, measurement and eighth year of profitability in 2015 – and are mapping for ongoing success. pleased that this profitability enables us to invest back into the communities in which we Sustainability for us falls into three key areas: serve. PortsToronto is committed to fostering environmental stewardship, community strong, healthy and sustainable communities engagement and economic performance. and has invested more than $8 million since Environmental stewardship is a responsibility 2009 in community initiatives and environmental we take very seriously and we have invested in programs that benefit Toronto communities. PortsToronto | Annual Report 2015 5 Further, the Payments in Lieu of Taxes (PILTs) paid to the City and Gross Revenue Charge paid to the federal government by PortsToronto can be used to benefi t taxpayers in Toronto and across the country. As a government business enterprise, it is these opportunities for reinvestment that are behind our efforts to work toward continued strong performance. It will be increasingly important in the coming years to secure additional opportunities for revenue generation in order to ensure PortsToronto can undertake essential public works projects and reinvest in waterfront infrastructure, the environment and community organizations. For example, the 30 Bay Street development project would enable PortsToronto to showcase its historic headquarters in an enhanced public space while also creating a new and exciting commercial offi ce space to support the city’s expanding fi nancial services sector and overall growth in Toronto’s South Core. As a joint venture with Oxford Property Group and Canada Pension Plan, the project would also be a reliable source of revenue for PortsToronto, which is mandated by the federal government to be self-sustaining, as well as serve as a signifi cant provider of jobs and economic growth. These are exciting times for the City of Toronto and exciting times for organizations such as PortsToronto. Having fi rst served as a member of the Board of Directors, I was proud to assume the Port of Toronto, Outer Harbour Marina and the role of Chair in August 2015. With relevant our other businesses to provide gateways and expertise in all areas of its business, strong infrastructure that will drive the economy and governance and industry-leading transparency serve the people of Toronto for years to come. that includes publishing board and CEO expenses and correspondence, PortsToronto benefi ts from Welcome a highly effective board of skilled
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