Proposal in 2020-23 draft budget could bring new city hall to London

A proposal packed deep into London’s recently released draft budget for 2020-23 may lead to the construction of a new city hall before the end of the next decade — an endeavour that could cost the city upwards of $100 million.

A new city hall building is one of three potential outcomes presented in a business case for the city’s master accommodation plan, which aims to increase the efficiency of city services, address aging buildings and accommodate for future growth.

The proposal and its business case expand on a report that made its way to city council in 2017.

Similar to the 2017 report, city staff are presenting three options in their business case to city council:

1. Make no changes

This option is the only one of the three not recommended by city staff. It would see the City of London maintain its current facilities and properties, but city staff warn this would bring no improvement to customer service. City staff also identify this option as the most costly endeavour in the long term, as it would create no efficiencies that could lead to future tax savings.

2. Expand and optimize current properties and facilities the city uses

In this option, city hall would remain at 300 Dufferin Ave., but the building would “likely be repurposed to internal functions with an administrative focus.” Meanwhile, a new facility and/or expansion would be constructed in a “campus environment” to provide customer service and house the seat of municipal government in London.

3. Build a new city hall on an alternate site

The third option would see a new city hall built on an alternate site. This option aims to consolidate the seat of government with all civic administration while also providing a “high focus on customer service.”

The proposal remains in the very early stages, with no public consultations or preliminary designs having come to fruition for any of city staff’s three options.

Of the three options, costs have only been budgeted for the one that would see the construction of a new city hall at a new address. If approved, this would cost London $13 million over the course of four years for a consultation phase, followed by a construction phase from 2024-29 whose cost exceeds $125 million.

The capital costs would be paid for by a mix of reserve funds and debenture taken on by the city.

Operating costs for 2024-29 are projected to exceed $20 million.

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The proposal hopes to address the physical distance between a number of city services that are spread throughout London.

For example, city hall and a majority of its services are located at 300 Dufferin Ave., whereas London’s planning division is located at 206 Dundas St. and the city’s parking office is in a building at 824 Dundas St. City staff suggest this poses a limitation for collaboration and a detriment to customer service.

Another issue relates to the aging of buildings. The proposal notes that asbestos was used in the original construction of city hall, which first opened its doors at 300 Dufferin Ave. in 1971.

The majority of this asbestos remains as fire-separation material between floors, and its required removal poses a financial liability, according to the proposal.

A move for city hall is far from a new idea. City council was offered a chance to move into the Bell building at 100 Dundas St. in 2010 by owner Shmuel Farhi but ultimately passed. In 2008, London made an unsuccessful attempt to buy the Bell building, ultimately losing out to Farhi.

The proposal comes amid a months-long budget process that has left city council with tough decisions and Londoners with an average annual tax increase projected to exceed three per cent.

London’s draft budget for 2020-23 will remain untouched until city council returns as the strategic priories and policy committee on Jan. 7, 2020.

— With files from Devon Peacock