Hey Tyedye, I personally have known a few people that have been accepted into the program with a similar GPA in their last two years, which means that there is lots of hope. The catch is that you really have to buttress your grades with some pretty cool experiences, solid statement, and strong references. UofT is pretty competitive, and I know that there are lots of very competent, well rounded applicants, and I don't think that a 3.6 is competitive based on what I've been reading in these forums.
To give you an idea of where I personally stand, my annual GPA is 3.96 in my last year but about 3.15 CGPA. I've been waitlisted, which seems to indicate that my application was competitive, but missing something substantial to push it over the edge into first-round territory. I've got a reference letter from a professor who I did a non-policy related thesis project with, some work with non-profits in the public sector, with an emphasis on urban planning policy.
Sorry if that was a little harsh, I'm just trying to be as honest as I can (if I were in your shoes a year ago, I'd want someone to tell me how it is).
Hope that is helpful.