City Hall shakeup sees public housing CEO move to deputy city manager role

TCHC’s Jag Sharma becomes one of two new deputy city managers, with his role aimed at speeding up housing development.

Thestar.com
June 15, 2023
Victoria Gibson
David Rider

The head of Toronto’s public housing agency is leaving after less than two years in the role to take a position at city hall, as part of an ongoing city effort to speed up housing development.

On Wednesday, following the approval of city councillors, TCHC CEO Jag Sharma was named as one of two incoming deputy city managers for Toronto, with his role to specifically focus on development and growth. Also appointed was Will Johnston, currently Toronto’s chief building official, who will become deputy city manager for infrastructure services.

The new hires come as the city loses its own chief financial officer and treasurer to the private sector.

Facing questions in the council chambers, city manager Paul Johnson described Sharma’s appointment as part of an ongoing municipal effort to speed up housing projects, through a new division aimed at streamlining approvals and combating existing siloes in the process.

Sharma took over as CEO of Toronto Community Housing Corp. -- a $10-billion public asset and the country’s largest landlord -- in August 2021, months after the retirement of predecessor Kevin Marshman. Previously, Sharma was chief administrative officer for Newmarket.

His departure thrusts the housing agency once again into a leadership search. The role of CEO at TCHC has been a tumultuous position in the last decade -- a series of executives who preceded Marshman left or were ousted following reports about lavish spending, allegations of improperly awarded contracts, and scandal over hiring and conflict of interest rules. (Marshman was credited by some officials with bringing stability to the agency when he began in 2019.)

A statement issued by the city hailed Sharma for his work on TCHC’s “overall strategic direction,” particularly on reporting and financial management, and Johnston -- an engineer -- for his involvement in the creation of the city’s new development and growth division.

“Both Jag and Will are accomplished and passionate strategic leaders who bring with them decades of progressive and impactful public service experience and success,” city manager Johnson wrote.

The news of Sharma’s move to city hall comes days after a report from Toronto ombudsman Kwame Addo on TCHC, which concluded the agency has been failing to protect its tenants’ human rights -- lambasting the organization for sharing “incorrect and misleading” information about its complaint process, including referrals to an office that hadn’t been active for years.

The pair of appointments were opposed only by Toronto--St. Paul’s Coun. Josh Matlow, when put to councillors for a vote on Wednesday afternoon after a period of in-camera questions.

In other staffing changes, the city -- which remains in the grips of deep financial crisis -- is losing its highly respected chief financial officer and treasurer, Heather Taylor.

In an email to councillors and senior staff, Johnson paid tribute to Taylor as an “innovative thinker” who joined the city in 2018, and has overseen both its $16-billion operating budget and $49-billion capital plan.

Taylor’s job got a lot harder during the pandemic, when city costs skyrocketed and TTC revenues plummeted, creating a $1.5-billion budget hole for 2022 and 2023 that is expected to grow in future years without a massive bailout, deep cuts or new revenue sources.

City hall sources say she is moving to a senior role with management consultants Ernst & Young.

The city is expected to appoint an interim CFO, who will greet the new mayor elected June 26 and introduce a major report on the city’s long-term fiscal plan, as well as another on potential new revenue tools going to city council July 19.