^Nope, the Park Lawn Loop would eliminate the regular use of the current Humber Loop. Kipling Loop wasn't going to be being removed, it would continue to be used to for unscheduled short-turns.
I dont know what this proposed Humber College route would accomplish to be honest, it's too close to Long Branch loop to accomplish anything asides from the very occational short-turn (ie: rush hour only). Lake Shore Blvd is seeing increasing amount of density west of Kipling, so the TTC cant cut service from the rest of Lake Shore for the sake of benefiting Humber College students.
I can see both the city and TTC getting on board with this plan (if Humber College pays for it in full), only because it it would allow them to deem Kipling Loop as surplus land and sell it off (potentially to Humber College).