Agenda - Finance Advisory Committee - 20230912Town of Aurora
Finance Advisory Committee
Meeting Agenda
Date:Tuesday, September 12, 2023
Time:5:45 p.m.
Location:Holland Room
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To participate, please visit aurora.ca/participation.
Pages
1.Call to Order
2.Land Acknowledgement
3.Approval of the Agenda
4.Declarations of Pecuniary Interest and General Nature Thereof
5.Receipt of the Minutes
5.1 Finance Advisory Committee Meeting Minutes of June 13, 2023 1
That the Finance Advisory Committee meeting minutes of June
13, 2023, be received for information.
1.
6.Delegations
7.Matters for Consideration
7.1 Memorandum from Manager, Financial Management: Re: Finance
Advisory Committee Updated 2-Year Work Plan
6
That the memorandum regarding Finance Advisory Committee
Updated 2-Year Work Plan be received; and
1.
That the Finance Advisory Committee comments regarding
Finance Advisory Committee Updated 2-Year Work Plan be
received and referred to staff for consideration and further
action as appropriate.
2.
7.2 Memorandum from Financial Management Advisor; Re: Budget Review of
Council Administration and Office of the CAO
10
That the memorandum regarding Budget Review of Council
Administration and Office of the CAO be received; and
1.
That the Finance Advisory Committee comments regarding
Budget Review of Council Administration and Office of the CAO
be received and referred to staff for consideration and further
action as appropriate.
2.
7.3 Memorandum from Project Management Office; Re: Town's Major
Capital Projects Performance Update
22
That the memorandum regarding Town’s Major Capital Projects
Performance Update be received for information.
1.
8.New Business
9.Adjournment
Town of Aurora
Finance Advisory Committee
Meeting Minutes
Date:
Time:
Location:
Tuesday, June 13, 2023
5:45 p.m.
Holland Room, Aurora Town Hall
Committee Members: Mayor Tom Mrakas (Chair)
Councillor Michael Thompson (Vice Chair)
Councillor Ron Weese
Other Attendees: Councillor Wendy Gaertner
Councillor Rachel Gilliland
Doug Nadorozny, Chief Administrative Officer
Robin McDougall, Director, Community Services
Rachel Wainwright-van Kessel, Director, Finance
Jason Gaertner, Manager, Financial Management
Phil Rose, Manager, Cultural Services
Palak Mehta, Council/Committee Coordinator
_____________________________________________________________________
1. Call to Order
Mayor Mrakas called the meeting to order at 5:45 p.m.
2. Land Acknowledgement
The Committee acknowledged that the meeting took place on Anishinaabe lands,
the traditional and treaty territory of the Chippewas of Georgina Island,
recognizing the many other Nations whose presence here continues to this day,
the special relationship the Chippewas have with the lands and waters of this
territory, and that Aurora has shared responsibility for the stewardship of these
lands and waters. It was noted that Aurora is part of the treaty lands of the
Mississaugas and Chippewas, recognized through Treaty #13 and the Williams
Treaties of 1923.
Page 1 of 26
Finance Advisory Committee Meeting Minutes
Tuesday, June 13, 2023 2
3. Approval of the Agenda
Moved by Councillor Weese
Seconded by Councillor Thompson
That the agenda as circulated by Legislative Services be approved.
Carried
4. Declarations of Pecuniary Interest and General Nature Thereof
There were no declarations of pecuniary interest under the Municipal Conflict of
Interest Act, R.S.O. 1990, c. M.50.
5. Receipt of the Minutes
5.1 Finance Advisory Committee Meeting Minutes of May 9, 2023
Moved by Councillor Weese
Seconded by Councillor Thompson
1. That the Finance Advisory Committee Meeting Minutes of May 9, 2023
be received for information.
Carried
6. Delegations
None.
7. Matters for Consideration
7.1 Memorandum from Manager of Cultural Services; Re: Aurora Town Square
Budget Update
Phil Rose, Manager, Cultural Services, accompanied by Robin McDougall,
Director, Community Services, presented an overview of the memorandum
outlining relevant background information, the original business plan and
financial strategy for Town Square approved in March 2019, which was
based upon a Municipal Services Board (MSB) model, versus a Not-for-
Profit/Municipal Hybrid Model, budget summary and strategy.
Page 2 of 26
Finance Advisory Committee Meeting Minutes
Tuesday, June 13, 2023 3
The Committee inquired about the key expenditure and revenue
differences between the original business and the proposed version.
Feedback was provided to staff asking that more information about the
Aurora Cultural Centre (ACC) and Aurora Public Library, community
partner organizations, and differences between the Municipal Services
MSB model and Not-for-Profit/Municipal Hybrid model be included in a
future report. The Committee also requested additional details regarding
the breakdown of the net incremental funding requirement.
The Committee sought clarity of the Aurora Town Square’s (ATS) revenue
model and suggested reviewing its business plan and projections over a 2
to 3-year planning horizon would be more beneficial in understanding the
ATS’ cost recovery performance.
The Committee inquired about the potential effects on the Town’s service
agreement with the ACC and sought clarification on the ACC’s and
Library’s roles in the ATS’ ongoing operations. Staff provided information
regarding ongoing discussions with the ACC about the business plan and
financial strategy, resources needed to operate the Town Square facility,
and the Cultural Services Agreement.
The Committee inquired if the noted $350,000 pressure included any
additional resources for the ACC. Staff advised that the draft multi-year
budget to be presented to Council in the fall will include incremental
requirements for the ACC, and that there will be opportunities for the ACC
to consider service expansion possibilities and all associated incremental
costs.
The Committee and staff further discussed the inclusion of donations and
public sponsorships revenues in the operating budget. Staff confirmed
that no proceeds of this nature have been included in the presented
budget plan. Staff advised that as per previous Council direction, these
proceeds have been allocated in support of the ATS’ capital costs.
The Committee inquired about the operating budget, and staff provided a
breakdown of the approved Aurora Museum and Archives and facility
funding. The Committee also provided feedback on the number of events
being planned identified in the budget.
Page 3 of 26
Finance Advisory Committee Meeting Minutes
Tuesday, June 13, 2023 4
Moved by Councillor Thompson
Seconded by Councillor Weese
1. That the memorandum regarding the Aurora Town Square Budget
Update be received; and
2. That the Finance Advisory Committee comments regarding the Aurora
Town Square Budget Update be received and referred to staff for
consideration and further action as appropriate.
Carried
7.2 Memorandum from Project Management Office; Re: Town's Major Capital
Projects Update
The Committee and staff discussed various aspects of the Town Square
project including: the remaining project scope, accuracy of project
timelines regarding substantial report completion by summer 2023 and
total project completion by fall 2023, and the potential budget overruns
due to post-project claims that Chandos will submit due to the schedule
extension.
The Committee and staff further discussed the financial system project,
and staff confirmed that Phase III(a) and its implementation was
completed on May 31, 2023.
Moved by Councillor Weese
Seconded by Councillor Thompson
1. That the memorandum regarding Town’s Major Capital Projects
Update be received; and
2. That the Finance Advisory Committee comments regarding the Town’s
Major Capital Projects Update be received and referred to staff for
consideration and further action as appropriate.
Carried
7.3 Memorandum from Senior Financial Management Advisor; Re: Reserve
Management Policy
Staff provided an overview of the memorandum regarding the Reserve
Management Policy, including items recommended as part of the fiscal
Page 4 of 26
Finance Advisory Committee Meeting Minutes
Tuesday, June 13, 2023 5
strategy as it relates to the reserve management pillar, documenting
practices to ensure healthy reserves, and advised that the capital plan
would be adequately funded and supported.
The Committee inquired about the included graph representing an
examination of the Town’s year end capital reserve balances over a ten-
year time horizon. Staff provided additional information regarding the
expected draws on these reserves based on the current capital plan, asset
cycles, growth of reserves, and funds available to replace assets.
The Committee further inquired about the potential capital reserve risk
factors. Staff identified areas of risk, such as the Town’s collection of
future development charges in support of Parks and Recreation
requirements like the proposed Stronach Aurora Recreation Complex
(SARC). Staff provided a response with respect to project revaluation and
growth.
Moved by Councillor Weese
Seconded by Councillor Thompson
1. That the memorandum regarding Reserve Management Policy be
received; and
2. That the Finance Advisory Committee comments regarding the
Reserve Management Policy be received and referred to staff for
consideration and further action as appropriate.
Carried
8. New Business
None.
9. Adjournment
Moved by Councillor Weese
Seconded by Councillor Thompson
That the meeting be adjourned at 6:35 p.m.
Carried
Page 5 of 26
100 John West Way
Aurora, Ontario
L4G 6J1
(905) 727-3123
aurora.ca
Town of Aurora
Memorandum
Finance
Re: Finance Advisory Committee Updated 2-Year Work Plan
To: Finance Advisory Committee
From: Jason Gaertner, Manager, Financial Management
Date: September 12, 2023
Recommendation
1. That the memorandum regarding the Finance Advisory Committee’s Updated 2-Year
Work Plan be received; and
2. That the Finance Advisory Committee comments regarding the Finance Advisory
Committee’s Updated 2-Year Work Plan be received and referred to staff for
consideration and further action as appropriate.
Background
To ensure that the Finance Advisory Committee is reviewing and offering feedback on
the Town’s highest priority subject areas, the Committee’s 2-year workplan has been
updated for the Committee’s endorsement. This workplan outlines its subject
discussion areas, as well as the order in which they will be reviewed.
Analysis
Attached for the Finance Advisory Committee’s review and endorsement is its updated
draft workplan for 2023 and 2024.
Attachments
Attachment #1 – Updated 2023 – 2024 Finance Advisory Committee Workplan
Page 6 of 26
2023 to 2024 FAC Workplan
2023
April 11, 2023
Finance Advisory Committee Terms of Reference Review and re-approval
Two Year Finance Advisory Committee workplan
Council budget principles policy review
May 9, 2023
Policy 57 review which will include eligible ward expenditures.
o Discussion of what might be an appropriate budget in support of eligible
ward expenses.
ERP Financial System Update
June 13, 2023
Major project update
Reserve policy and strategy
Aurora Town Square operating budget requirements
July 2023
No meeting
August 2023
No meeting
September 12, 2023
Major project update
Line by line budget review
o Council Administration
o Office of the CAO
October 10, 2023
Cancelled
November 14, 2023
Major project update
Service delivery review update
Annual audit plan update
Line by line budget review
o Aurora Sports Hall of Fame
Attachment 1 Page 7 of 26
2024
January 2024
2024 Finance Advisory Committee workplan revisit and endorsement
Possible extension of the Town’s existing diversity/exclusion policies into all Town
organization funding agreements Major project update
Line by line budget review
o Aurora Historical Society
February 2024
Water / Wastewater rate study recommendations
Line by line budget review
o Aurora Public Library
March 2024
2024 Asset management plan modernization update
Major project update
Line by line budget review
o Operational Services
April 2024
Line by line budget review
o Community Services
May 2024
Review of Council 2025 budget direction
Major project update
Line by line budget review
o Corporate Services
June 2024
Investment policy
Line by line budget review
o Planning & Development Services
July 2024
No meeting
August 2024
No meeting
Page 8 of 26
September 2024
Major project update
Annual audit plan update
Line by line budget review
o Finance
o Corporate Accounts
October 2024
2025 draft budget preview
Grant policy
November 2024
Revenue policy
Page 9 of 26
100 John West Way
Aurora, Ontario
L4G 6J1
(905) 727-3123
aurora.ca
Town of Aurora
Memorandum
Finance
Re: Budget review of Council Administration & the Office of the CAO
To: Finance Advisory Committee
From: Tracy Evans, Financial Management Advisor
Date: September 12, 2023
Recommendation
1. That the memorandum regarding the budget review of Council Administration & the
Office of the CAO be received; and
2. That the Finance Advisory Committee comments regarding budget review of Council
Administration & the Office of the CAO be received and referred to staff for
consideration and further action as appropriate.
Background
As per its budget process document, the Finance Advisory Committee is required to
undertake a detailed review of each department and community service partner’s core
operating budgets prior to the conclusion of the Council term. These detailed reviews
allow for a more strategic review of the Town’s draft operating budgets by the Budget
Committee. During the course of these detailed reviews any arising budget concern
areas can be explored and addressed as part of a future town budget process.
Attachments
1 - Council Administration & the Office of the CAO detailed budget materials
Page 10 of 26
20202021202220232023 2023 Forecast vs 2023 Forecast vsActualActualActualBudget Forecast 2022 Actual 2022 ActualVariance ExplanationGross Expenditures:61001: SALARIES - F/T343,847365,414439,005369,317342,408(96,597)(22.0%)61002: SALARIES - O/T--326--(326)(100.0%)61004: VACATION PAY----1,2881,288-61090: YEAR END ACCRUALS14,7644,9478,946--(8,945)(100.0%)61101: BENEFITS - OMERS45,09747,79648,12446,56249,4161,2932.7%61102: BENEFITS - EHT6,9017,3328,7657,2028,852871.0%61103: BENEFITS - WSIB1,3751,5292,0772,7703,4041,32863.9%61104: BENEFITS - CPP5,7967,12011,4017,40211,344(57)(.5%)61105: BENEFITS - EI2,3982,7994,4302,6944,324(107)(2.4%)61106: BENEFITS - DENTAL3,6073,8793,5623,7043,8492878.1%61107: BENEFITS - HEALTH6,0595,9995,7385,8146,2425048.8%61108: BENEFITS - LTD/ADD4,6646,2279,3769,4689,6102342.5%61109: BENEFITS - OTHER1,643809-1,407925925-61902:SALARY SAVINGS---(54,301)---Subtotal: 61000: SALARIES ANDBENEFITS436,149453,850541,751402,040441,663(100,088)(18.5%)62001: OFFICE SUPPLIES6301285611,3001,300739131.8%62003: RECEPTIONS--285,0002,5002,4728687.3%62005:SUBSCRIPTIONS/PUBLICATIONS163613171,000796479151.1%62044: STAFF INITIATIVES-6375,6256,0006,0003756.7%62045: MEETING EXPENSES3,9214,3498,0433,1005,679(2,364)(29.4%)Charges for Communications position were charged here in error in 2022. 1Attachment 1Page 11 of 26
62999: CLEARING/SUSPENSEACCOUNT8,427161,092-809(283)(25.9%)Subtotal: 62000: MATERIALS ANDSUPPLIES12,9955,49215,66616,40017,0851,4189.1%64008: MOBILE PLAN CHARGES7,0606,2492,2111,5751,575(636)(28.8%)64013: COURSES & SEMINARS(75)1112,0126,5276,5274,515224.5%64015: MEMBERSHIPS1,4441,2822,8332,800749(2,084)(73.6%)64016: MILEAGE664-2710010073270.1%64017: VEHICLE ALLOWANCE8,4008,7238,40011,70011,7003,30039.3%64018: GENERAL OFFICEEQUIPMENT8952182,1401,3001,300(840)(39.2%)64030: CONSULTING44,52251,31921,25286,60075,29954,047254.3%Due to COVID,ELT training and Regional Audits did not take place in 202264032: PHOTOCOPIER CHARGES6,4026,7366,8016,6006,600(201)(3.0%)64045: CONTRACTS---9,500---Subtotal: 64000: SERVICES ANDCONSULTANTS69,31274,63945,675126,702103,85058,174127.4%Expenses Budgeted518,456533,981603,092545,142562,597(40,495)(6.7%)Revenues:Total Levy518,456533,981603,092545,142562,597(40,495)6.7%2Page 12 of 26
20202021202220232023 2023 Forecast vs 2023 Forecast vsActualActualActualBudget Forecast 2022 Actual 2022 Actual Variance ExplanationGross Expenditures:61001: SALARIES - F/T380,394538,192527,314687,632708,841181,52734.4%Marketing position is charged to Communications and offset by cost recovery below from the ATS budget. Also, charges for additional Communications resources were charged to the CAO budget which reflects why 2022 is low.61002: SALARIES - O/T-3,4595,031-353(4,678)(93.0%)61003: SALARIES - P/T71,30074,326-10,3637,2107,210-61004: VACATION PAY--69-5,1925,1247453.7%61005: SICK PAY-14,08022,558-2,231(20,327)(90.1%)This variance represents a change in how charges are recorded61090: YEAR END ACCRUALS5,003(6,634)14,343--(14,344)(100.0%)61101: BENEFITS - OMERS40,73049,00255,08364,94556,9531,8703.4%61102: BENEFITS - EHT8,23912,29610,92811,81310,791(137)(1.3%)61103: BENEFITS - WSIB3,1694,3404,0064,5444,048421.1%61104: BENEFITS - CPP15,89922,08623,53722,57918,267(5,270)(22.4%)61105: BENEFITS - EI6,6598,6469,0048,2996,392(2,613)(29.0%)61106: BENEFITS - DENTAL8,04210,1768,75211,1119,8351,08312.4%61107: BENEFITS - HEALTH13,44916,64615,35917,44215,7704112.7%61108: BENEFITS - LTD/ADD9,48312,21617,65415,28114,299(3,355)(19.0%)61109: BENEFITS - OTHER2,0161,167-2,2711,5881,588-Subtotal: 61000: SALARIES ANDBENEFITS564,384759,999713,638856,279861,768148,13020.8%62001: OFFICE SUPPLIES3333233500500267114.6%62005:SUBSCRIPTIONS/PUBLICATIONS23,87652,13947,41131,21231,212(16,199)(34.2%)3Page 13 of 26
62007: OFFICE EQUIPMENT1416,2481,6247,3507,3505,726352.7%62045: MEETING EXPENSES--515450451(64)(12.5%)62046: WEB SITE MANAGEMENT6,16411,63010,94810,00010,257(691)(6.3%)Subtotal: 62000: MATERIALS ANDSUPPLIES30,21370,05060,73149,51249,771(10,960)(18.0%)64008: MOBILE PLAN CHARGES3,3003,8612,4222,7222,409(13)(.5%)64013: COURSES & SEMINARS7,5004,3091,8711,0701,070(801)(42.8%)64015: MEMBERSHIPS-1,771-1,0001,0001,000-64016: MILEAGE---500---64029: ADVERTISING SERVICES79,431100,31187,473124,120124,12036,64741.9% Less advertising in 2022 vs 2023 due to COVID64077: EVENTS AND PROMOTIONS4,04415127,99322,47222,472(5,522)(19.7%)65901: COST RECOVERY(19,807)(77,101)(19,089)(99,283)(46,873)(27,784)(145.6%)Cost Recovery was for Marketing position and is based on actual charges for the position.Subtotal: 64000: SERVICES ANDCONSULTANTS74,46833,301100,67152,601104,1983,5273.5%67001: COMMUNITY GRANTS28,50018,87541,637--(41,637)(100.0%)This budget has been moved to CMS, therefore the forecast will be in CMS for 2023Subtotal: 67000: GRANTS ANDEXTERNAL TRANSFERS28,50018,87541,637--(41,637)(100.0%)Expenses Budgeted697,565882,225916,677958,3921,015,73799,06010.8%Revenues:54001: FEDERALGRANTS/CONTRIBUTION- - (4,200) - - 4,200 (100.0%)54005: PROVINCIALGRANTS/CONTRIBUTIONS- - (92,025) - - 92,025 (100.0%)Safe Restart funding in 2022 was to offset additional Communications staff resources56401: SPONSORSHIPS - - (500) - - 500 (100.0%)56002: MERCHANDISE SALES (148) - (263) (300) (300) (37) 14.3%Subtotal: 50000: REVENUES (148) - (96,988) (300) (300) 96,688 (99.7%)41003: TRANSFERS FROMRESERVES(12,000)---- - -Subtotal: 41000: TRANSFERS FROMRESERVE(12,000)---- - -Revenues Budgeted (12,148) - (96,988) (300) (300) 96,688 99.7%Total Levy 685,417 882,225 819,689 958,092 1,015,437 195,748 (23.9%)4Page 14 of 26
20202021202220232023 2023 Forecast vs 2023 Forecast vsActualActualActualBudget Forecast 2022 Actual 2022 ActualVariance ExplanationGross Expenditures:61001: SALARIES - F/T468,959485,574476,574426,057444,163(32,411)(6.8%)61005: SICK PAY-5572,037--(2,037)(100.0%)61090: YEAR END ACCRUALS6,589(11,555)6,000--(6,000)(100.0%)61101: BENEFITS - OMERS30,80032,00431,07521,21024,330(6,745)(21.7%)61102: BENEFITS - EHT9,6359,9929,8368,3088,809(1,027)(10.4%)61103: BENEFITS - WSIB652687670682681101.5%61104: BENEFITS - CPP15,32517,03217,25119,86019,1411,89111.0%61105: BENEFITS - EI1,1991,3201,3371,3471,284(53)(4.0%)61106: BENEFITS - DENTAL3,4623,8793,2833,7043,4211384.2%61107: BENEFITS - HEALTH6,0595,9995,2745,8145,5032294.3%61108: BENEFITS - LTD/ADD2,1062,9413,5652,3302,413(1,152)(32.3%)61109: BENEFITS - OTHER898439-745490490-61901: WAGE RECOVERY(66,086)(33,806)(102,960)-(20,177)82,78380.4%The 2023 forecast only represents the amount paid in Regional salary as of the Interim Forecast vs 2022 is full-year actuals.Subtotal: 61000: SALARIES ANDBENEFITS479,597515,062453,942490,058490,05836,1158.0%62001: OFFICE SUPPLIES9791,5911,7861,9951,857714.0%62005:SUBSCRIPTIONS/PUBLICATIONS-406-600---62007: OFFICE EQUIPMENT5,0301,172922210595(328)(35.5%)62045: MEETING EXPENSES7761,0891,9812,0001,802(179)(9.0%)62999: CLEARING/SUSPENSEACCOUNT-196263--(263)(100.0%)Subtotal: 62000: MATERIALS ANDSUPPLIES6,7854,4534,9524,8054,254(699)(14.1%)64001: SPECIAL FUNCTIONS1,14237,59850,1446,0007,008(43,136)(86.0%)The Mayor's Golf tournament expenses are run thru this account and then offset by revenue in Other User Fees below.5Page 15 of 26
64002: CONFERENCES(949)-12,71322,47019,5576,84453.8%64008: MOBILE PLAN CHARGES5,4085,6264,5925,4464,9893978.6%64013: COURSES & SEMINARS---210---64015: MEMBERSHIPS12,31412,47312,75310,20013,0903382.6%64017: VEHICLE ALLOWANCE20,90621,90421,52722,20022,7661,2405.8%64029: ADVERTISING SERVICES-2611,3282,140-(1,328)(100.0%)64032: PHOTOCOPIER CHARGES4,2494,6154,8314,4004,358(474)(9.8%)64053: OPERATINGCONTINGENCIES---10,00010,00010,000-64076: CIVIC RESPONSIBILITIES1,3383,9634,81810,0007,2932,47551.4%Subtotal: 64000: SERVICES ANDCONSULTANTS44,40886,440112,70593,06689,062(23,643)(21.0%)Expenses Budgeted530,790605,956571,600587,929583,37311,7732.1%Revenues:56126: OTHER USER FEES-(36,414)(46,194)--46,194(100.0%)Mayor's Golf tournament revenue - did not know forecast for 2023 at the time forecast was completedSubtotal: 50000: REVENUES-(36,414)(46,194)--46,194(100.0%)Revenues Budgeted-(36,414)(46,194)--46,194100.0%Total Levy530,790569,542525,406587,929583,37357,967(11.0%)6Page 16 of 26
20202021202220232023 2023 Forecast vs 2023 Forecast vsActualActualActualBudget Forecast 2022 Actual 2022 Actual Variance ExplanationGross Expenditures:62045: MEETING EXPENSES101-8061,5001,34053466.2%Subtotal: 62000: MATERIALS ANDSUPPLIES101-8061,5001,34053466.2%64029: ADVERTISING SERVICES705---160160-64045: CONTRACTS254---- - -65901: COST RECOVERY---100,000100,000100,000-Subtotal: 64000: SERVICES ANDCONSULTANTS959--100,000100,160100,160-67001: COMMUNITY GRANTS121---- - -Subtotal: 67000: GRANTS ANDEXTERNAL TRANSFERS121------Expenses Budgeted1,181-806101,500101,500100,69412486.4%Revenues:41003: TRANSFERS FROMRESERVES- - - (100,000) (100,000) (100,000) -Subtotal: 41000: TRANSFERS FROMRESERVE- - - (100,000) (100,000) (100,000) -Revenues Budgeted - - - (100,000) (100,000) (100,000) -Total Levy 1,181 - 806 1,500 1,500 694 (86.0%)7Page 17 of 26
20202021202220232023 2023 Forecast vs 2023 Forecast vsActualActualActualBudget Forecast 2022 Actual 2022 ActualVariance ExplanationGross Expenditures:62045: MEETING EXPENSES1,526(1,695)134500500366274.1%Subtotal: 62000: MATERIALS ANDSUPPLIES1,526(1,695)134500500366274.1%65901: COST RECOVERY----5,0005,000-Subtotal: 64000: SERVICES ANDCONSULTANTS----5,0005,000-67001: COMMUNITY GRANTS1,272-3,0535,000-(3,053)(100.0%)Subtotal: 67000: GRANTS ANDEXTERNAL TRANSFERS1,272-3,0535,000-(3,053)(100.0%)Expenses Budgeted2,798(1,695)3,1865,5005,5002,31472.6%Revenues:Total Levy2,798(1,695)3,1865,5005,5002,314(72.6%)8Page 18 of 26
20202021202220232023 2023 Forecast vs 2023 Forecast vsActualActualActualBudgetForecast 2022 Actual 2022 ActualVariance ExplanationGross Expenditures:62045: MEETING EXPENSES---500500500-Subtotal: 62000: MATERIALS ANDSUPPLIES---500500500-Expenses Budgeted---500500500-Revenues:Total Levy---500500500-9Page 19 of 26
20202021202220232023 2023 Forecast vs 2023 Forecast vsActualActualActualBudget Forecast 2022 Actual 2022 ActualVariance ExplanationGross Expenditures:67005:EDUCATION GRANTS---4,0004,0004,000-Subtotal: 67000: GRANTS ANDEXTERNAL TRANSFERS---4,0004,0004,000-Expenses Budgeted---4,0004,0004,000-Revenues:Total Levy---4,0004,0004,000-10Page 20 of 26
20202021202220232023 2023 Forecast vs 2023 Forecast vsActualActualActualBudget Forecast 2022 Actual 2022 Actual Variance ExplanationGross Expenditures:62045: MEETING EXPENSES--27050050023085.1%Subtotal: 62000: MATERIALS ANDSUPPLIES--27050050023085.1%Expenses Budgeted--27050050023085.1%Revenues:Total Levy--270500500230(85.1%)11Page 21 of 26
100 John West Way
Aurora, Ontario
L4G 6J1
(905) 727-3123
aurora.ca
Town of Aurora
Memorandum
Corporate Services
_______________________________________________________________________________________
Re: Town’s Capital Projects Performance Update
To: Finance Advisory Committee
From: Project Management Office, Corporate Services
Date: September 12, 2023
Recommendation
1. That the memorandum regarding Town’s Major Capital Projects Performance Update
be received for information.
Background
The Town manages a portfolio of approximately 200 capital projects at varying stages of
completion and complexity. The Town’s Project Management Office sees an opportunity to
leverage the reporting benefits of the newly implemented Oracle financial system for
reporting to FAC on the Town’s project portfolio. The key performance indicators (KPIs) are
based on Earned Value Management, are internationally recognized and standard in project
portfolio reporting (Exhibit 1- Sample Dashboard & Exhibit 2 – Sample KPI List). These KPIs
will enable the Town to gain important insights into the project portfolio and support the
FAC’s mandate of prudent financial management.
Analysis
Implementing the proposed KPIs for our capital project portfolio management is a
strategic decision that supports good governance and aims to provide the following
advantages to the Town;
1. Enhanced Project Performance Visibility:
Utilizing the internationally recognized KPIs will provide us with real-time and
comprehensive visibility into each project's performance. The ability to monitor
progress at various stages of completion and complexity will enable us to
identify potential bottlenecks, assess project health, and ensure timely project
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delivery. With this enhanced visibility, we can proactively address any challenges
that arise, minimizing risks and optimizing project outcomes.
2. Informed Data-Driven Decision Making
Data is the foundation of informed decision-making. By employing Oracle which
is in the process of consolidating all project information we can employ
standardized KPIs, and rely on accurate and relevant data to make important
choices regarding project prioritization, resource allocation, and risk
management.
3. Early Issue Identification and Mitigation
KPIs serve as early warning indicators, allowing us to identify and mitigate
potential issues before they escalate. With timely insights into project
performance, we can take proactive measures to address challenges and avoid
costly delays. This early issue identification will enable us to maintain project
timelines and stay within budgetary constraints.
4. Alignment with Organizational Objectives
The proposed KPIs are internationally recognized and standardized in project
portfolio reporting. By employing these indicators, we ensure that our project
management practices align with best industry practices and global standards.
This alignment will strengthen our credibility as an organization committed to
excellence and continuous improvement.
5. Enhanced Accountability and Transparency
Transparency is a cornerstone of effective project management. The adoption of
KPIs fosters a culture of accountability among stakeholders, ensuring that
project performance data is accessible to all relevant parties. This transparency
promotes better communication, collaboration, and trust, both within our
organization and with external stakeholders. The KPIs will be adopted into the
Town’s performance management system (Viva Goals).
6. Support for Strategic Planning
Data obtained through the KPIs will empower us to make informed strategic
decisions. By analyzing project trends and performances, we can begin to
anticipate future needs, further support the prioritization of projects that align
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with our long-term vision, and assist us with allocating resources optimally. This
strategic planning will enable us to be proactive in addressing emerging
opportunities and challenges.
Draft Development/Implementation Timeline
Timeline (2023/24) Milestone(s)
August Develop FAC memo describing approach
Develop sample dashboard
September Present FAC Status Memo
Confirm data availability
Collect sample data
Confirm calculations
October Test the system and refine as needed
November Prepare/present FAC Report with live data
January 2024 Begin reporting to management team
Conclusion
By leveraging internationally recognized indicators, the Town will gain the means to
proactively monitor project performance, make data-driven decisions, and align with the
FAC's mandate of prudent financial management. The benefits of adopting these KPIs
are evident: enhanced visibility, informed decision-making, early issue identification,
alignment with best practices, increased transparency, and support for strategic
planning. Embracing the proposed KPI system will enable us to foster a culture of
excellence, ensuring the successful execution of our projects and the continued growth
and prosperity of the Town.
Attachments
Exhibit 1 - Sample Dashboard
Exhibit 2 - Sample KPI List
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Exhibit 1- Sample Dashboard – For Illustrative purposes only
Note: Dashboard can be scaled from organizational level to departmental, divisional as needed
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Exhibit 2 – Sample KPI List
Earned Value Management: is a project management methodology that keeps track of
how well a project is doing by comparing the work that was planned to be done with the
actual work that has been finished. It helps project managers see if the project is on
time and on budget, and if any changes are needed to stay on track. EVM uses a
number of KPIS to show if a project is going well or if adjustments need to be made.
Term Description
Planned Value (PV) How much work was supposed to be done by now.
Actual Cost (AC) How much money we've actually spent so far.
Earned Value (EV) How much work we've actually finished.
Schedule Variance (SV) Whether we're ahead or behind the schedule.
Cost Variance (CV) Whether we're under or over the budget.
Schedule Performance Index (SPI) How well we're sticking to the timeline.
Cost Performance Index (CPI) How well we're staying within the budget.
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