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Globe: Sprucing up public spaces with corporate cash

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CITY TO WOO MORE PRIVATE PARTNERSHIPS
Sprucing up public spaces with corporate cash

JENNIFER LEWINGTON

CITY HALL BUREAU CHIEF

September 3, 2007

A ferry ride to the Toronto Islands is one of the city's great urban pleasures.

There's only one catch: the obscure, hard-to-find entrance to the ferry terminal hidden away in Harbour Square Park.

That's about to change, with a $15,000 corporate donation matched by the city, to beautify the park just west of the Westin Harbour Castle Hotel on Queens Quay and roll out the welcome mat to ferry-goers.

"It's a shining example of how corporations can work with the city," said Councillor Pam McConnell (Ward 28, Toronto Centre-Rosedale), whose ward includes the ferry dock.

The cash donation from Nature Valley, a brand of General Mills, is the latest example of sporadic city efforts to woo the private sector as paying partners in sprucing up parks and "orphan" public spaces.

Now the city plans a more systematic approach to expand ties with business - what Mayor David Miller calls "public-interest partnerships."

In July, the city set up a new "office of partnerships," promised by Mr. Miller in his re-election campaign last year, as a bridge between would-be private donors and city departments with their own projects and points of contact.

"There is no one door in," said Phyllis Berck, director of the office. "Sometimes it is hard to figure out who does what and it can be difficult for people from the outside."

However, she is emphatic about the limits to the city's definition of partnerships.

"There is no interest whatsoever in having the private sector deliver public services," she said, adding, "that's not why this office was created."

The city's reluctance is a "missed opportunity," said Councillor Karen Stintz (Ward 16, Eglinton-Lawrence), given federal Finance Minister Jim Flaherty's call for municipalities to explore "innovative financing" options with the private sector to pay for costly infrastructure.

In some jurisdictions, private dollars already pay for new hospitals, roads and sewers, she said, adding, "these are demonstrated ways of building investments in the public sector" that benefit taxpayers.

Deputy mayor Joe Pantalone says the city already pursues deals with business that offer "mutual benefits."

He cites as a prime example the city's $72-million soccer stadium, funded with public and private dollars and built in time for this year's under-20 international soccer tournament.

The city put up $9.8-million and the value of the land at Exhibition Place (with $27-million and $8-million respectively from the federal and provincial governments), while Maple Leaf Sports and Entertainment Ltd. put up $8-million and advanced another $10-million, later recouped in naming rights to the Bank of Montreal.

"The city is interested in working with the private sector in terms of investing in the public realm," Mr. Pantalone said. Without MLSE's upfront cash, he added, the stadium "would not be there." The sports conglomerate operates its new professional soccer team at the stadium, also used by amateur soccer groups in the city.

But Mr. Pantalone said the city has no interest in deals that replace publicly delivered services such as child care and garbage collection. (Only Etobicoke garbage is picked up by a private contractor under a preamalgamation deal.)

Even with these limits, some councillors remain uneasy about courting corporate partners.

"The city is obviously looking for additional sources of revenue," said Councillor Janet Davis (Ward 31, Beaches-East York), a critic of the city's recent $1-billion, long-term deal for a private company to supply new garbage bins and other "street furniture" over the next 20 years. "Obviously I would prefer we had the resources to invest on our own," she said.

The Nature Valley deal came about after General Mills approached the city in late July, offering to pay for a beautification project. City parks officials suggested a renewal of the down-at-heel ferry entrance. The company did not seek recognition - the city refuses to permit permanent corporate logos, naming rights or ads in parks - but will be honoured with a brass plaque.

"We decided this [$15,000 grant] would be a great way to give back to Canadian cities," said Doug McGillivray, vice-president of marketing at General Mills, whose company also donated to projects in Calgary and Montreal.

"Depending on the partnership and the success we have, perhaps we will extend it going forward," he said.

Ms. Berck, of the partnership office, said her office plans to put together a comprehensive list of city and private-sector projects to date, with parameters for future projects.

Her office is expected to play a role in the search for private donors to help pay for a proposed $40-million renewal of Nathan Phillips Square.

The project has been slowed by recent cost-cutting directives from the city, but Mr. Miller hopes to find corporate donors (no naming rights allowed) to put up $24-million.

Back at the ferry project announcement, parks general manager Brenda Librecz said she hopes Nature Valley's donation will spur "all of corporate Canada to take notice."

Public-interest partners

The city has a variety of projects funded in part by the private sector. For example:

Under the city's "clean and beautiful" program, launched in 2005, more than 100 companies and institutions have donated funds to refurbish parks and public rights-of-way. In a makeover televised on HGTV, Percy Park near Queen and Sumach received $300,000.

Nike Run TO: As a "legacy" for its 10-kilometre run here in 2005, the sports company built a $750,000 outdoor facility in Malvern.

Franklin Children's Garden: For the $2-million project, TD-Canada Trust and others put up $1-million, matched by the city.

Tree Advocacy Planting Program: Since its inception in 1999, companies have chipped in $1.5-million for tree planting at 300 sites across the city.

Lakeshore Lions: In 2006, the city provided financial guarantees for a west-end service club to build a $29-million hockey arena at Lake Shore Boulevard and Kipling Avenue, replacing a 55-year-old, one-rink facility.

Vince Carter basketball court: In a rare example of naming rights, the former Raptors star donated $130,000 for a new court in an underserved city park.

Toronto Maple Leafs and the Home Depot: In each of the past two years, the companies have donated $100,000 to fix up aging outdoor artificial ice rinks, one per year.
 

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