ADMINISTRATIVE REPORT

Date: August 23, 2000
Author/Local: Celeste Curran/7714

RTS No. 01613

CC File No. 4209

Council: September 12, 2000

TO:	Vancouver City Council
FROM:	Director of Legal Services
SUBJECT:	2010 Olympic Winter Games Bid: Appointment of City Representative and Indemnification of Directors

RECOMMENDATION

A. THAT Council appoint the Mayor (or, if the Mayor is not present or is unable to act, then the City Manager) as the City’s representative in matters relating to the City’s role as a member of the Vancouver/Whistler 2010 Bid Corporation (the “Corporation”).

B. THAT Council authorize the Mayor and City Manager to act as directors of the Corporation, including participating in any committees of the Corporation, and that such participation shall be deemed to be included in the performance of their duties as Mayor and City Manager respectively for the purposes of the Liability Indemnification By-law (By-law No. 6579).

COUNCIL POLICY

There is no Council Policy directly related to this matter.

PURPOSE

This report requests authority for the Mayor (or, if the Mayor is not present or is unable to act, then the City Manager) to act as the City’s representative as a member (shareholder) of the Corporation, as well as authority for the appointment of the Mayor and the City Manager as directors of the Corporation. Such activities will be considered to be in the performance of their duties as Mayor and City Manager respectively and will be covered by the indemnity provided by the Liability Indemnification By-law.
BACKGROUND

On February 5, 1998, the Vancouver/Whistler 2010 Bid Society (the “Society”) appeared before the Committee of Council to solicit its support for the 2010 Olympic Winter Games Bid (the “Bid”). At that time, Council unanimously approved the following recommendation:

“THAT Vancouver City Council support in principle the regional concept for the 2010 Winter Olympics.”

In November of 1998, the City and the Province entered into a Participation Agreement which indemnifies and releases the City for certain obligations arising out the Bid.

On December 1, 1998, the Canadian Olympic Association awarded to the Vancouver/Whistler Bid Society the right to represent Canada in the international bidding process for the 2010 Olympic Winter Games.

With the Participation Agreement in place, the City agreed to sign the Bid City Agreement with the Canadian Olympic Association, which Agreement governs the bidding process for the awarding of the 2010 Olympic Winter Games.

The Vancouver/Whistler 2010 Bid Corporation (the “Corporation”) was incorporated on June 11, 1999 pursuant to the Canada Corporations Act to replace the Society and proceed with the Bid. The Corporation’s membership (shareholders) are comprised of three classes:

(a) the Municipal members,
(b) the Canadian Olympic Association member, and
(c) the Provincial Government member.

The Municipal members are comprised of the City of Vancouver and the Resort Municipality of Whistler.

The Municipal members are jointly entitled to one vote, the COA member is entitled to one vote and the Provincial Government member is entitled to one vote. The members may vote by a proxy holder or by a duly authorized representative who is entitled to speak and vote and in all other respects exercise the rights of a member.

The COA member is entitled to appoint one-third of the directors of the Corporation. The Municipal members and the Provincial Government member jointly are entitled to appoint two-thirds of the directors. The Municipal members, jointly, and the Provincial Government member, are each entitled to designate one of the director so appointed to be specified to be the “Municipal Director” and the “Provincial Government Director” respectively.

The Corporation has asked the City to appoint an individual and an alternate to act as the City’s authorized representative in matters related to the City’s role as a member of the Corporation. Staff have determined that the Mayor should act as a City’s representative with the City Manager acting as his backup.

Staff further recommends that both the Mayor and the City Manager be authorized by City Council to act as directors of the Corporation as part of their City duties.

By-law No. 6579 the “Liability Indemnification By-law” was enacted by Council pursuant to Section 180 of the Vancouver Charter. The by-law states that the City shall indemnify every person being a member of its Council and an employee of the City against any claim for damages arising in connection with the honest performance of such person’s duties.

CONCLUSION

Staff considers it appropriate to appoint a City representative to act on behalf of the City as a member of the Corporation. Having the Mayor and the City Manager acting in this role demonstrates the City’s commitment to the Bid and ensures that Council and the City Manager are up-to-date on the Corporation’s activities. The Mayor and the City Manager have been appointed as directors to the Corporation and their activities as directors should be covered by the City’s Liability Indemnification By-law.

* * * * *

(c) 1998 City of Vancouver