LandLandThe EconomistEconomist Sp r i n g / S u m m e r 2002, Vol. 32, No.2

Municipal competitiveness ...... 2 New study is helping municipal- ities to align property taxation policies with economic initiatives. New members ...... 3 Cultural renaissance on hold? . . . . . 4 Since the govern m e n t ’s unilateral commitment to fund cultural projects, many people have been wondering when the Federal Liberals will follow suit. Opportunities for developers and investors ...... 6 First Gulf Group vice pres i d e n t Mike Hanna forecasts shifts in the real estate sector. News briefs ...... 6 Canada to top growth • Data on gr een roofs • Healthy investments • TO housing starts rec o rd ? Pr ofession of the Land ...... 7 A look at the Association’s beginnings. Honorary lifetime members ...... 7 Gerald Young and Alan Mott have been given special honours for their dedication. Legislative Beat ...... 8 New Premier and Cabinet • SGRO Re p o r t • Tenant Protection Act Th r eatened • Oak Ridges Moraine

Pr ofessional Journal of the

ASSOCIATION of ONTARIO LAND ECONOMISTS

1235 Bay Street, Suite 500 Toronto, Ontario M5R 3K4 Tel: (416) 934-5166 Fax: (416) 934-5021 Website: www.aole.org E-mail: [email protected] Municipal competitiveness by Jim Bruzzese CGA, PMM and Catherine Minshull MBA, BComm

Pr ovincial policy changes over the past recently that, for many municipali- • general statistics five years have had a significant impact ties, the impact was in fact not • tax policy analysis on municipal budgets, municipal revenue neutral. • relative tax burden using “like decision-making and ultimately the pro p e r ty comparisons”, and 2. The province-wide, regularly updated amount of prop e r ty taxes paid acros s • review of programs that prom o t e pro p e r ty reassessment improved the Ontario. A new study developed last year economic development. tr a n s p a r ency in the tax system and is helping to quantify and compare pr ovided the ability for taxpayers to Working in conjunction with Colliers res u l t s . make comparisons acros s In t e r national and Municipal Prop e rt y “This study has helped municipal municipalities using the same base Assessment Corporation, BMA analysed decision-makers to identify the factors year values. It also produced some a sampling of prop e r ties from each that impact prop e r ty taxes within each la r ge shifts in relative tax burde n . mu n i c i p a l i t y , across 14 prop e r ty types, mu n i c i p a l i t y ,” says Shaffee Bacchus, 3. New municipal tax policy tools to create a database in excess of 2,000 Commissioner of Corporate Services for pe r mit the shifting of tax burde n s pro p e r ties. The relative burdens for the Regional Municipality of Niagara. “It between classes of prop e r ties. These each prop e r ty type were calculated, also has been useful in aligning prop - include the ability to establish a including prop e r ty-based taxes, and er ty taxation policies with economic number of optional classes in the typical water and hydro consumption. development programs and initiatives.” Co m m e r cial and Industrial classes, Highlights Conducted by BMA Consulting, the ti e r ed tax rates, phase-in policies and T h e re was a large range in the Municipal Competitiveness Study aros e the ability to change the relative tax “richness of the assessment base” out of municipal concern about the bu r den between classes of prop e r ties. a c ross the surv e y. Assessment per impacts of provincial policy: 4. Education rates for Commercial capita ranged from a low of $41,000 1. The transfer of additional servi c e s and Industrial properties are far in Brantford to a high of $125,000 in and costs from the province to from uniform across Ontario. the City of Vaughan. Ty p i c a l l y, municipalities had varying impacts See Graph 1. municipalities with poor assessment bases tended to have less flexibility in ac r oss the province. While the The 44 municipalities surveyed for the ex e r cise was intended to be rev e n u e their tax policies, and tended to place 2001 study comprise more than 50% of a higher pro p o rtionate municipal tax neutral, an independent auditor the Ontario population. Analysis was hi r ed by the province indicated b u rden on their Commercial and un d e r taken in the following areas: Industrial pro p e rty classes. Graph 1 Municipal spending on a per capita basis ranged from a low of appro x i - Co m m e r cial Education mately $550 in Norfolk to a high of 3.0 Tax Rates $1,100 in Niagara on the Lake. Spending did not follow pre d i c t a b l e 2.5 p a t t e rns in terms of population, g rowth, or richness of assessment 2.0 base. It varied as a result of factors such as diff e rences in service levels, 1.5 locational factors, social assistance, and GTA pooling costs and user fee 1.0 policies. Municipalities with the highest level 0.5 of building permit activity included Vaughan, Richmond Hill, Niagara-on- 0 the-Lake, Markham, Mississauga and O a k v i l l e . For the majority of municipalities included in the survey, a significantly higher tax burden is placed on Multi-

2 Graph 2 Residential Loans Program, supported by a $10 million interest free line of cred i t , Ratio of Commercial aims to encourage almost 600 new dwelling units in the core on prop e rt i e s 2.5 to Residential Taxes 2001 fo r merly occupied by offices, wareh o u s e s or vacant sites. 2.0 “Our downtown programs are important 1.5 implementing features of council’s plans for the renewal in the core area of the 1.0 city,” says Ron Marini, Director of Downtown Development. 0.5 Future Studies The Municipal Competitiveness Study 0 “enables municipalities to identify their competitive strengths and weaknesses,” says Michael Real, Senior Consultant with Colliers International. It ultimately creates benefits for taxpayers, “as areas of weakness are addressed through the implementation of effective tax policy initiatives by the municipality.” residential, Commercial and Industrial Typ i c a l l y , municipalities with older urban properties compared to Residential ce n t r es and with slower growth patterns For 2002, the study is being updated by properties. tended to employ a wider range of BMA Consulting and expanded to include incentive programs. In the City of additional municipalities. Features are Graph 2 reflects the tax ratios for the Hamilton, for example, programs include being added to make the database Co m m e r cial class for some of the an Enterprise Zone with Tax Increm e n t a l accessible by the client municipalities in municipalities included in the surve y . Financing, a Downtown Residential a user-friendly manner. Some municipalities such as Chatham- Loans Program, waiver of all application Kent, Ottawa, Durham and Hamilton fees in the downtown, incentives to Jim Bruzzese and Catherine Minshull are have established optional classes (Office im p r ove building facades within Business pa r tners of Bruzzese Minshull & Building, Shopping Centre, Parking Im p r ovement Areas, and incentives to Associates – Management Consultants lot/Vacant Land and Large Industrial) to im p r ove heritage features of designated (BMA Consulting) www.bmaconsult.com address specific assessment-related heritage buildings. The Downtown issues. Relative burdens reflect significant differences in assessed values, the level Welcome New Members! of municipal taxation, differing education tax rates and tax policy Sean Allen MIMA, PLE Jonathan Hack MRTPI, CIP , decisions. For example the relative tax KPMG LLP RPP, PLE burden for comparable properties in the 519-747-8873 IBI Group Neighbourhood Shopping Class ranged Kevin Antonides BES, AACI, PLE 416-596-1930 on a square footage basis from $2.15 in Jacob Ellens & Associates Bradford J. Kelly AIMA, PLE Kitchener to $5.25 in Hamilton. 905-945-8821 Municipal Property Richard Atkinson AACI, PLE Assessment Corporation Development inducements vary from 416-480-2728 905-576-8563 city to city. Municipalities have creatively developed programs such as: Theodore J. Cieciura HBA, MSc, Brian Posey AACI, PLE • municipal land assembly MCIP, RPP, PLE Mackenzie, Ray, Heron & Edwardh • business incubators Design Plan Services 416-591-1515 • business retention programs 416-626-5445 Guy Wilson AACI, PLE • downtown/area specific programs Dominic Fiorda AACI, PLE Colliers International Realty • heritage programs Rajesky & Associates Advisors Inc. • brownfield redevelopment 905-763-9990 416-643-3707 • development charge exemptions and/or credits.

3 Cultural renaissance The first project out of the gate is Roy Thomson Hall. It by C a r closed to the public in March, and will open in August with mu c h - i m p r oved acoustics (the subject of long study and ince outgoing Ontario Premier Mike planning). Assuming the federal contribution appears, it will Harris made his unilateral announcemen also have a refurbished lobby, and new sponsor and donor Son cultural project funding this spring, a lounge. The $24 million enhancement project is being lot of people have been waiting breathlessly fo overseen by Tor onto architects Kuwabara Payne McKenna the other shoe (filled with the federal millions Bl u m b e r g (KPMB) and acoustic expert Russell Johnson. Lead to drop. contractor is Canadian construction company EllisDon. The main announcement on March 19 was billed as a move to create a corridor of world- The Canadian Opera Company is optimistic that its long saga to build a world- class cultural tourism attractions running fr class opera house in Tor onto will soon reach a happy conclusion. A firm commitment Bloor to Queen streets along University Avenu of $25 million from the federal government — matching the March equivalent-in- in Toronto. It committed $90 million in land donation from the province — would reignite the ambitious $150-million provincial SuperBuild funding towards six ma fundraising campaign, to cultural renovation and restoration projects include an endowment, worth close to $500 million: quietly underway for a • $30 million to the Royal Ontario Museum number of years. Alrea d y • $25 million in a land donation to the in discussion with Canadian Opera Company Diamond and Schmitt • $24 million to the Art Gallery of Ontario Ar chitects Inc., Toro n t o , • $7 million to the Royal Conserva t o r y of Mu the COC anticipates being • $2 million to the Gardiner Museum of able to turn sod and start Ceramic Art co n s t r uction at the • $2 million to Roy Thomson Hall landmark Queen Stree t and University Avenue site While talks had been under way among the within a year of pr ovincial and federal governments and co n f i r mation of or ganizations involved, the timing and pre- go v e r nment funding. emptive nature of the announcement took ma by surprise.

The Royal Conserv a t o ry of Music looks to a new $36 million Perf o rm a n c e The plans for all projects depend on significan and Learning Centre to build on the growing lustre of its To ronto home, private sector contributions - some of which a McMaster Hall, on Bloor Street. It will replace the east wing of the building, already in hand. which runs along the University of To ro n t o ’s Philosopher’s Walk, with a newly- They also depend on receiving matching c o n s t ructed 1000-seat multi-purpose facility for concerts, lectures and film, four funding from the federal government - floors of program and educational space, and a new-media technology centre. something normally done through co-ordinat announcements. The A rt Gallery of Ontario’s proposed expansion is predicated on a Background significant gift, now under active discussion, from publisher and art collector In 1999, responding to concerns and criticism Ken Thomson. This would include a financial contribution towards updating about crumbling provincial infrastructure - the gallery to house the donation of his renowned private art collection. The from roads to hospitals, heritage icons to aren AGO is in pre l i m i n a ry discussions with arc h i t e c t - the Ontario government announced Frank Gehry to design the changes, estimated to SuperBuild, a $10 billion, five-year program to cost $120 million, that would accommodate these leverage equal or greater private sector significant works if and when agreement is investment. Of that, $300 million was for its reached. Expansion plans for the neighbouring Sports, Culture and Tourism Partnerships Ontario College of Art and Design have attracted a (SCTP) initiative. In its 2000 Budget, the fede lot of comment. Appare n t l y, architects across the government announced a $680 million, six-ye city are wondering how Gehry will integrate his Canada-Ontario Infrastructure Program (COIP designs with OCAD’s proposed “big yellow with similar aims. It was widely expected that p o rtable on stilts”.

4 A partnership which includes the City of Hamilton, Dofasco n hold? and the local steel community is behind c o c k the plans to re c l a d $110 million of COIP’s $680 million and renovate the mmitment would be directed at cultural and A rt Gallery of eational facilities in Toronto. H a m i l t o n. T h e restoration and gether, these two initiatives represented the upgrading pro j e c t , st time in a number of years that government again by arc h i t e c t s fers had been open to major investment in KPMB, will bring the e cultural sector. building up to the e provincial and federal governments made stringent standards re q u i red to protect and better display its perm a n e n t mmitments to 122 sports, tourism and collection and to host major exhibitions each year. Local labour and materials tural projects. Then, negotiations stalled. will provide a clear ‘made in Hamilton’ identity. ere has been public speculation that Ontario’s willingness to fund the National Ballet School s a sticking point in these agreements – and The Ga r diner Museum of Ceramic Art, Ca n a d a ’ s only at relations between Harris and the federal specialized ceramic museum, wi l l vernment had been difficult for some time. use the anticipated $4 million in February 25, a frustrated then Minister of combined government funding urism, Culture and Recreation to anchor a campaign goal of nounced that the province was ready to $15 million. Its expansion will oceed. “We met our goal of having decisions cr eate a stronger street pres e n c e dy by last fall, but have had to wait to along prestigious Queen’s Park nounce these decisions,” Hudak stated. Cr es-cent, with additional gallery, espite assurances from my federal studio and education space. KPMB unterparts to the contrary, three months have ar chitects have been retained to ssed and we still don’t have any commitments pr ovide architectural servi c e s . m Ottawa.”

ee weeks later, Harris made his “legacy” Love it or hate it, architect Daniel Libeskind’s much-publicized cry s t a l l i n e nouncement on Toronto’s cultural projects. design for the new Bloor Street façade of the stately Royal Ontario Museum April, the province committed $3.6 million to has people talking. ROM hopes to begin the $150 million Phase I of the e Art Gallery of Hamilton, an integral part of ‘Renaissance ROM’ project in May 2003. On its completion in 2005, it will be at city’s downtown renewal. There have been a followed by a second phase $50 million renovation to the historic east and west mber of other SCTP announcements. And wings. Described as a ‘transformation’, the project will include 40,000 square e is a long lineup of other projects that have feet of new galleries, renovation of historic facilities and improvements to o requested SuperBuild funding. public amenities. Libeskind is working with To ronto architects Bregman + Hamman. Vanbots Construction Corporation has been selected to pro v i d e , there’ s a new Premier at the helm and hopes c o n s t ruction management serv i c e s . mp r oved relations. Negotiations are ongoing. federal government has yet to confirm any sions or timing, although proponents of all ects remain optimistic that the req u e s t e d ral share will be approved in the near future. r all parties involved, the answers cannot me too soon.

ol L. Hancock, Toronto consultant in urban airs and government policy, formerly headed e tourism agency relations branch of the tario Ministry of Culture, Tourism and eation.

5 Op p o r tunities for developers/investors A decade from now, the real estate By Rowena Moyes funds, foreign developers and investors investment market will feel the impact seek local knowledge and partners.” of demographics again, says Mike emphasized its high rise division.” There is a market opportunity for rental Hanna, executive vice president, corp- Today, 48% of its Canadian investment housing developed in a condo structure orate development, of First Gulf Group. activity is in industrial product. for liquidity. But it may not last, Hanna “The pension funds are the dominant “The market for privatization will grow, said. “It is only there today because of investor, buyer, lender and real estate especially for roads, universities, interest rates and the cap rate on force in the market today,” he told airports, and public sector buildings. valuations, which is currently 7.5%.” delegates to the Association of Ontario Municipalities are also very active and Future opportunities include: Land Economists’ March dinner involved at all phases. • student housing and joint ventures meeting. “By 2013, 25 per cent of our with universities “We will become merchant builders for population will be 65 or greater – and • redevelopment of downtown cores in pension funds and REITS, and multi these pension funds will be net sellers of Tier 2 cities joint ventures and alliances between product as they need to fund their • urban brownfield redevelopments two or more parties will become pension fund liabilities to an ageing • seniors housing (not regulated prevalent.” population. nursing homes), and • redevelopment of older industrial “I think a huge opportunity will exist. Private developers must offer something areas by rezoning, to take advantage I’m not sure if the opportunity is to the REITs and pension funds don’t have, of lower development charges and fo r m a public REIT to acquire the Hanna stressed. “Remember, they are existing infrastructure. pro p e r ties, hopefully at higher cap rates seeking product also. All REITs, pension and ret u r ns, or to align yourself with a deep-pocket foreign entity to acquire the pr oduct at discounted Canadian dollars — similar to oil and gas today.” News Briefs Canada to top growth He a l t h c a r e Hamilton (6.9), Hamilton Hanna traced the history of changes in In its April World Economic Outlook, Regional Cancer Centre (7.8), Ottawa the real estate market. As land supply, the International Monetary Fund Hospital (73), Sudbury Regional economic conditions, credit availability, predicted that Canada would have the Hospital (20.4), North Bay (109), tax and government policy changed, he strongest economic growth of any of Sc a r b o r ough Hospital (15.4), Cred i t said, there was a fundamental shift. the Group of Seven nations: 2.5% Valley Hospital (19), Windsor Regional “Today, there are a lot fewer Canadian this year and 3.7% in 2003. Hospital - Metropolitan site (19), Equivalent predictions for other G-7 Hotel-Dieu Grace Hospital in Win d s o r financial institutions lending in the areas were: U.S. (2.3 and 3.4), Japan (20), St. Joseph’s Health Care in market; there are fewer Canadian public (-1.0 and 0.8), and the European London (21.6), London Health real estate companies, as well as fewer Union (1.5 and 2.9). Sciences Centre (32), Kingston large private real estate companies. Now General Hospital (28), Lennox and Data on green roofs US firms are entering into the market Addington County General Hospital Interim study results show a “green” as we become the 51st state, i.e. (11.2), and Thunder Bay Regional (29). Higgens, Pauls, GE Capital, AEW, and roof with plant material can reduce Kimco/RioCan.” the overall heat entering a building TO housing starts record? during the day by more than 85% Canada Mortgage and Housing He expressed concern that capital taxes and that leaving the building at night Corporation has predicted that for Canadian companies “put us at a by about 70%. The study by the Toronto area housing starts will competitive disadvantage with pension Institute for Research in reach a record high of 47,000 units in funds and REITs. The REITs’ ability to Construction, Environment Canada, 2002. This would be a 15% increase obtain unsecured debentures allows the Climate Change Action Fund and from the almost 41,000 starts last them to move quickly on all purchases roofing companies, is ongoing. year. The jump expected in single family construction (up 13% to without the risk of needing financing.” Healthy investment 19,000) is almost as healthy as that in Between mid April and mid May, the To adapt to this changing market, condo projects (up 16% to 28,000). pr ovincial government announced private developers need to diversify their The growth will be spurred by a 3.7% reinvestments ofmore than $400 product line and expertise, he said. growth in employment, 65,000 – million at hospitals or health care “First Gulf has become a Nursing Home 75,000 additional population growth, facilities. These include (investment in low rental vacancies and continued registered builder, has been active in $millions in brackets): St. Joseph’s Design/Build for five years, and low mortgage rates, CMHC says.

6 Pr ofession of the Land H o n o r a ry By Gerald Young l i f e t i m e In 1963, the year this Association bring together the diverse members was founded, a typical house cost of the Profession of Land, in a m e m b e r s $17,500, a conventional mort g a g e c o m p rehensive body. was locked in for 25 years at seven The Association of Ontario Land We wanted to do this because there per cent interest, and the average Economists recently honoured two were some dozen or so separate worker earned $85 at the end of a long-time members for their dedication bodies for planners, property 40-hour week. and service. managers, real estate appraisers (four C a n a d a ’s flag was the Red Ensign. bodies in Ontario for appraisers The Liberals under Lester B. Pearson alone!), realtors, municipal assessors, had just taken office in April, after quantity surveyors, chartered the decision to accept U.S. nuclear surveyors and kindred professionals. Gerald Young a rms brought down John Each of these individuals belonged BSc (Est Man), FRICS, AACI, MAI, PLE D i e f e n b a k e r’s Conservatives. only to their several professional Gerald Young was founding president of organizations. That was the year U.S. Pre s i d e n t the AOLE, heading Council in 1963-5. John F. Kennedy’s life was ended by Bringing them together, we He oversaw the early years while the Lee Harvey Oswald’s bullet. The believed, would enlarge the scope, association sought incorporation and G reat Train Robbery in Britain understanding and competence of began operations, and served as a netted a haul of $8 million. the individual practitioner. Just as Council member until 1977. the Association of Professional The tallest building in To ronto was Born in Britain, he trained in Canada in Engineers, for example, was still the Bank of Commerce tower, 1943-4, with the Royal Air Force (RAF). composed of structural, electrical, built in the 1930s. City Hall was the mechanical and aeronautical and At 21, Young became a flying boat old sandstone building sitting just other types of engineers joined in captain with an air-sea rescue squadron east of Manning Chambers and one organization, so too could the in India and Ceylon. At the end of S h e a ’s Theatre. Metro consisted of Association of Ontario Land hostilities, he helped return British and one city and 12 townships, towns Economists be composed of various Allied prisoners of war released from and villages. disciplines joined in a Profession of Singapore camps. Malton airport operated out of some the Land. Seven years after emigrating to elderly brick and frame buildings and We incorporated this Association Canada in 1954, he part n e re d we walked across the tarmac to the with letters patent, given by the respected To ronto appraisal firm planes. Construction had just started P rovincial Secre t a ry on March 20, S t e w a rt, Young and Mason, which on the Bloor-Danforth subway line. 1963, and the first meeting took evolved into Integris Real Estate The Don Valley Parkway was about to place on May 27. Consultants after he re t i re d . be extended north to Lawrence. As you will know, the experiment has Highway 401 consisted of four lanes succeeded in bringing together Alan Mott crossing Toronto, and still had not numbers of diverse professionals who DFC, FRICS, PLE been completely built from Windsor have exchanged their expertise for Alan Mott joined the association in to the Quebec border. the individual and common good at 1966 and today serves as its member- Bilingualism and biculturalism meetings, seminars, and in various ship chair. w e re generally unconceived papers and public submissions. There Mott was also a pilot with Britain’s RAF notions. Computers were used only have been spirited and vital during WWII. He was awarded the by the largest corporations or exchanges, animated by many Distinguished Flying Cross for a stint g o v e rnment. But we were told by enquiring minds in the business. Canadian communications guru which included more than 90 flights We have not yet come as far as we over Egypt and Germany. Marshall McLuhan that our world had hoped. But there is today the was indeed only a global village. same reason for bringing us together. A quantity surveyor by training, Mott With the innocence of angels, We exist, if we really think about it, emigrated to Canada in 1956. He rose in the midst of this awesome to help lead members of a through the development industry, universe unfolding around us, some fragmented discipline to the working in several areas of Canada. 40 or 50 rather dedicated awareness of a truly representative When he retired from Olympia and individuals believed it was time to Profession of the Land. York Development Corporation, he had recently overseen major projects in Dallas, New York, and Boston.

7 New Premier and found that Toronto’s Official Cabinet The Plan Amendment No. 2 was Since the last report, here improper, and in conflict with are the major milestones for the Tennant Protection Act spring 2002: LegislativeLegislative BeatBeat (1998). March 23: wins When the City appealed, the the Tory leadership race and Divisional Court found that the rd becomes the 23 Premier OMB exceeded its jurisdiction in of Ontario. deciding that OPA2 was illegal. April 15: Swearing in of the The province did not intend to new Cabinet, with new preclude municipalities from responsibilities for three of this kind of bylaw when it Eves’ leadership rivals introduced the TPA, the Court (Deputy said. A municipality may impose Premier and education requirements parallel to those of minister); Jim Flaherty a province, so long as it is (Enterprise, opportunity and possible to comply with both. innovation); Chris Stockwell The Fair Rental Policy (environment and energy, Organization of Ontario (FRPO) government house leader). and other organizations retains his supporting a positive investment post at health and long-term climate for private sector rental care. Janet Ecker, who dropped out of for action on affordable housing, development are appealing the decision. transportation, and a National the leadership race when Eves Oak Ridges Moraine Infrastructure Program with stable announced his intention to re-enter In March, Municipal Affairs and funding over a 15-year period. politics last fall, becomes Finance Housing Minister Chris Hodgson faced Minister. Tina Molinari, Ontario’s new Associate criticism from the Save the Oak Ridges May 2: Two by-elections won by Minister of Municipal Affairs and Moraine (STORM) group, over plans to Tories. Ernie Eves took his new seat Housing, accepted the report in allow 4,150 new housing units in in the legislature by way of Dufferin- Toronto. “We must invest strategically Richmond Hill. STORM had Peel-Wellington-Grey. Al McDonald and work with a spirit of cooperation understood that these sensitive lands won in a squeaker in Nipissing. with all governments, including the would not be developed, based on the federal government, to ensure that Minister’s November 1, 2001 May 9: Speech from the Throne our cities continue to thrive,” announcement. Other environmental commits to review the education Molinari stated. groups, however, support the overall funding formula, consult more on the scope of the moraine plan, including Hydro One deal, create tax-incentive The Association of Municipalities of the 160 km long corridor, the 550 zones to encourage businesses to Ontario welcomed the report’s hectare park and the objective to invest in northern and rural corroboration that demands on protect 90 per cent of the moraine. communities and allow municipalities services and programs are beyond the to offer tax-exempt bonds to facilitate capacity of the property tax base. Development pressures on the moraine more infrastructure development. Municipal access to existing provincial remain contentious. Witness the strong and federal taxes has emerged as a key second place showing (36% of the vote) The Premier has decided to distance theme in the chorus for a ‘new deal’, of rookie Liberal candidate, 26-year-old himself from his predecessor Mike as has improved consultation and Josh Matlow, against Ernie Eves (47%) Harris by being more consultative and coordination on legislation and in the May 2nd by-election. Matlow’s by building better relationships with a programs. environmental platform focused on the number of groups, including teachers value of family farms, opposition to and nurses. Tenant Protection Act Threatened gravel pits, water source protection, In February, the Ontario Divisional and the importance of controlling Sgro Repor t Court decided that the City of Toronto development on the Oak Ridges On May 3rd, federal MP Judy Sgro, does have the right to control Moraine. Chair of the Prime Minister’s Task Force demolitions and conversions of rental on Urban Issues, released an interim properties. Reactions have been report titled “Canada’s Urban Strategy: A strong. This case arose after the Andy Manahan is Development Pr omotion Representative, Universal vision for the 21st century.” Sgro calls Ontario Municipal Board last year Workers Union, Local 183.

8 LandLandTheThe EconomistEconomist Fe d e r a l co ff e r s op e n by Carol Hancock Just after our “Cultural Renaissance” article was printed (see pages 4-5), the federal shoe finally did drop and it was filled with millions. And the shoe was actually a ballet slipper! On May 31, Prime Minister Jean Chrétien announced federal funding A g reement on the National Ballet School has released federal funds for decisions - and Premier Ernie Eves cultural projects. (Rendering courtesy of the National Ballet School.) co n f i r med and slightly increased the Ontario governm e n t ’ s March 19 was missing from the provincial Ontario Pre m i e r, Sir Oliver Mowat. commitment - for six major Toro n t o solo announcement in May. Consisting of both new constru c t i o n cultural infrastruc t u r e projects. Plus, • $10 million from each for the and renovation, it will provide the th e r e was a happy addition: funding Royal Conservatory of Music (up kind of training, perf o rm a n c e , fr om both governments that will from the $7 million earlier academic and residential space deliver state-of-the-art facilities for the announced as the provincial share) needed to secure the reputation of National Ballet School – the rum o u re d • $2.5 million from each for the the renowned school into the future. de a l - b r eaker in earlier negotiations. Gardiner Museum of Ceramic Art Private sector developer Context This successful outcome is credited to (up from the $2 million earlier Development, the City of Toronto and the new spirit of cooperation and provincial commitment) the CBC are partners in Grand Jeté. cabinet changes under Eves. • $2 million from each for Roy Thomson Hall The $5.5 million already in hand The announcement will bring up to from two lead donors will kick-start $232 million in combined federal and As of June 4, federal decisions on fundraising. Goldsmith, Borgal and provincial funding to a jubilant other projects, including the Art Company, working with KPMB, will cultural community and city, with Ga l l e r y of Hamilton, are still pending. provide architectural and heritage quality of life, tourism and broader The New Project restoration services. economic benefits being touted Project ‘Grand Jeté’, ballet-speak for among the anticipated results: The first phase of construction is ‘big leap’, is the apt title of the targeted to start on March 2003. • $30 million from each government National Ballet School’s long-awaited Total project costs are estimated in for the Royal Ontario Museum project to replace severely outmoded the $100 million range. Completion • $25 million from the federal facilities. is scheduled for March 2006. government and land valued at The project will pre s e rve two $30 million from the province for heritage buildings – the original Carol L. Hancock, Toronto the Canadian Opera Company H a v e rgal College (and form e r consultant in urban affairs and • $24 million from each for the Art Canadian Broadcasting Corporation government policy, formerly headed Gallery of Ontario building on Jarvis Street), and the tourism agency relations branch • $20 million from each for the neighbouring Northfield House, the of the Ontario Ministry of Culture, National Ballet School – which home of Father of Confederation and Tourism and Recreation.

Update to Spring/Summer 2002, Vol. 32, No.2