Tensions boiled over at Toronto city council Thursday, as foes Rob Ford and Adam Vaughan squared off in two fiery exchanges that saw the mayor call Vaughan a liar.

At issue were two developments proposed for Vaughan's downtown ward of Trinity-Spadina. In one case, Vaughan asked council to approve a Queen Street condo project staff had rejected. Vaughan had negotiated a deal whereby the developer would pay $1 million in fees to the city to improve sidewalks in the area.

Ford described the plan as a "shakedown" and said councillors shouldn't be able to circumvent staff experts to negotiate their own deals.

"Asking developers to pay a million dollars and go against staff, outright, that's problematic," Ford said. "If I offended the local councillor by saying it's a shakedown, I withdraw that, but I don't appreciate any councillor -- not just Coun. Vaughan -- going to developers and saying 'I want $1 million and then we'll get your project going.'"

Vaughan countered that he negotiated the fees transparently, with the counsel of city lawyers, and said developers should expect to pay additional fees for complicated projects.

In a second heated exchange, Ford and Vaughan traded words over a condo project proposed for Mercer Street, also in Vaughan's ward. Ford wanted to refer the proposal back to staff for further investigation, saying he wasn't satisfied with the project as the 27-unit building plan included parking space for only seven bicycles -- and no parking spots for vehicles.

"You think everyone that's going to live there is going to take the TTC? Or ride their bike in the middle of winter?" Ford asked.

Vaughan said he had attempted to speak with Ford about the project ahead of the council meeting, but was unable to do so. "For three days I've tried to get the mayor's office and ask the mayor directly to ask him why he held this item in my ward, and he shrugged his shoulders."

The mayor interrupted Vaughan on a point of privilege, saying the claim was false.

"Coun. Vaughan approached my staff and my staff told him go talk to the mayor himself. He has not said one word to me in this whole council meeting for the last three days so for him to come up and say he talked to me personally, that's an outright lie," Ford said.

He added: "And he can take me to the integrity commissioner, take me where he wants; that is not true and we can get the tapes."

At one point, Vaughan shot back that the mayor would not even be on council by the time staff completes such a report -- a reference to Ford’s ongoing legal battles.

Ford was ordered to vacate his position by Dec. 10 after a judge found the mayor in violation of a municipal conflict-of-interest law Monday over a council vote that took place last February. Ford is working to get the ruling overturned.

During Thursday’s debate over the building proposal, an irritated Vaughan asked repeated questions to Ford about the building -- such as the size of the building, the lot and its location -- in an apparent attempt to prove Ford had not read the proposal before rejecting it.

"You're just a little upset," Ford said. "You got caught sneaking something through and you're a little upset. At the last minute, you tried to sneak something through and you're upset."

Council eventually approved the Queen Street project, with Ford and several others dissenting, but decided unanimously to refer the Mercer Street development back to staff.