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Final 2015 Final Capital Budget Report COUNCIL REPORT No. CFS15-007 SUBJECT: 2015 Final Capital Budget Report FROM: Dan Elliott, Director, Corporate & Financial Services - Treasurer DATE: February 24, 2015 RECOMMENDATIONS THAT Report No. CFS15-007 be received; and THAT the 2015 Capital Budget for Repair and Replacement of existing infrastructure totalling $13,212,400 as listed in Attachment 1, be approved; and THAT the 2015 Capital Budget for Growth and New Capital totalling $3,890,200 as listed in Attachment 2, be approved; and THAT the 2015 Capital Budget for Studies and Other totalling $830,000 as listed in Attachment 3, be approved. PURPOSE OF THE REPORT To present for formal adoption the 2015 Capital Budget as recommended for approval by the Budget Committee on February 7, 2015. Additional capital items may be recommended for approval during the course of review of the Operating Budget by Committee. BACKGROUND On February 7, 2015, an overview of the first draft of the Town’s Capital Budget was presented to the Budget Committee. At that meeting the Budget Committee was asked to “Pull for Discussion” any projects that they would like to discuss in further detail. As in the past budgets, the capital budget has been presented in three parts: - Repair and Replacement Infrastructure Capital - Growth and New Infrastructure Capital - Studies and Other Non-Infrastructure Projects TOWN OF AURORA February 24, 2015 - 2 - Report No. CFS15-007 All capital budget estimated costs were assigned a class level indicating the maturity of the estimate. These class levels can be one of the following: - Class A: The cost has been verified by a tender submission - Class B: The estimate is based upon a detailed design - Class C: The estimate is based upon a preliminary design - Class D: The estimate represents an informed idea as to the magnitude of the work required. As a result of the concept of a “Cash to Capital” reserve allocation from tax levy, and the internal funding of capital coming from resultant “infrastructure” and other reserves, there is no longer a direct impact on the tax rate by the capital budget. As such, the Committee recommended capital budget is driven by asset need rather than impact on taxes. A number of projects have been noted in the schedules as “approved pending a detailed report back to council.” These projects have been approved in principle, yet Council has asked staff to provide additional information prior to any contractual commitments being entered into for the project. Repair and Replacement Infrastructure Projects - $13.2 million recommended for investment in existing infrastructure The proposed Repair and Replacement (R&R) Capital Budget for 2015 represents a gross cost of $13,212,400 funded mainly from capital reserves including specific R&R reserves. The 2015 R&R program includes restoration work to facilities, roads, water lines, trails, playgrounds, playing fields, some fleet vehicles and replacement equipment. Management has confirmed that they have the resource capacity to deliver the proposed capital program. Management have also confirmed that these are their priority projects in light of limited R&R reserves by asset group, and each asset manager agrees with the limited submissions presented for consideration. Attachment 1 outlines the recommended Repair and Replacement Capital program by project. Growth and New Infrastructure Projects - $3.89 million investment for new capital additions The proposed Growth and New Capital Budget represents a gross cost of $3,890,200, funded partially (72%) from development charges of $2,797,300. This capital program includes funding for the construction of new sidewalks, and the implementation of a community improvement plan. Additional funding was also committed to the records and information management project. Attachment 2 outlines the recommended Growth and New Capital program for 2015. February 24, 2015 - 3 - Report No. CFS15-007 Studies and Other Projects- strategic investments proposed at $830,000 The proposed Major Studies Capital Budget represents a gross cost of $830,000, funded mostly from town reserves (98%), with the balance funded from Development Charges. Studies and projects for this year include an update of the Town’s Strategic Plan, town owned Building Condition Report, a Community Buildings Use Study, as well as the review and update of the Parks & Recreation Master Plan. Attachment 3 outlines the recommended Studies and Other Projects program for 2015. COMMENTS Projects for which an additional report has been requested will be reported upon separately by the respective project manager/director directly to General Committee in the coming months. LINK TO STRATEGIC PLAN Developing, reviewing and presenting the annual capital investment plan supports all aspects of the Strategic Plan. Specifically, this report supports the Plan principles of Leadership in Corporate Management, Leveraging Partnerships, and Progressive Corporate Excellence and Continuous Improvement. ALTERNATIVE(S) TO THE RECOMMENDATIONS 1. May provide alternative directions with respect the recommendations arising from Special General Committee – Budget Committee. FINANCIAL IMPLICATIONS The recommendations include the apportioning of specific funding sources as budget allocations to each project, as set out in detail in the draft capital budget materials circulated. All funding is sourced from existing reserve funds of the Town, and not directly from the tax rate budget or utility rate budgets. Those operational budgets are only draft at this time for 2015, but do include fixed amount general allocations of funding into a variety of reserve funds, and not to any specific capital projects. Accordingly the capital budget as recommended may be approved independently of the operational budgets. February 24, 2015 -4-Report No. CFS15-007 CONCLUSIONS Staff worked to present to the Budget Committee a capital budget that balanced the repair and replacement of existing assets with new asset requests which are required in order to allow the Town of Aurora to maintain its existing levels of service that taxpayers have come to expect. Since the initial presentation, Budget Committee has reviewed each proposal in detail, and sees the recommended final capital budget as appropriate and responsible for the corporation for 2015. PREVIOUS REPORTS CFS15-003, General Committee, January 26, 2015 CFS15-003, Draft 2015 Business Plan with Operating and Capital Budgets -Overview Report ATTACHMENTS Attachment # 1 -2015 Repair & Replacement Capital Program Attachment# 2-2015 Growth and New Infrastructure Capital Program Attachment# 3-2015 Studies and Other Capital Program PRE-SUBMISSION REVIEW Executive Leadership Team -Thursday, February 19, 2015 Prepared by: Jason Gaertner, Manager Financial Planning Dan iott, CPA, CA Director of Corporate & Financial Services -Treasurer Neil Garbe Chief Administrative Officer Attachment 1 PRE-APPROVED 31096 Recon - Bluegrass, Steeplechase et al 1,800,000 31103 Recon - Centre St - Spruce St to Walton 802,000 42053 Rehabilitation of Culvert on Yonge St 445,000 TOTAL PRE-APPROVED BY COUNCIL 3,047,000$ BUDGET COMMITTEE APPROVED Facilities 72133 ACC - Re-pave Lot 1,419,500 72201 Work Station Refresh, Carpet, etc 90,000 72203 TH - Building Humidifiers 35,000 72204 Cameras - HDIP 25,000 72205 TH - Elevator Card Access 10,000 72219 22 Church St/Library - Exterior Repairs 35,000 72226 AFLC - Arena Dehumidifiers 135,000 72232 Library - Exterior Concrete Re & Re 40,000 72233 Library - Horizontal Interior Drain 50,000 72235 ACC - Roof Top H & S Equipment 48,000 72236 SARC - Ice Plant, Starters, Motors etc 35,000 72238 TH - Council Chambers A/V System 65,000 72239 ACC - Elevator Cab and Mech Controller 70,000 72241 89 Mosley - Condition Assessment Report (recommended repairs component only)150,000 72244 Sign Board - Yonge & Orchard Hts 15,000 Facilities Sub Total 2,222,500$ Fleet 34155 1/2 Tonne Pick-Up #500 30,000 34156 Ice Resurfacer Replacement #591 85,000 34189 GMC Savana #11 45,000 34190 GMC Savana #12 45,000 34194 Frt/FL80 #29 180,000 Fleet Sub-Total 385,000$ Roads 31025 Asphalt Paving - Old Bloomington Rd 25,000 31105 Recon - Haida Dr & Trillium Dr 75,000 31107 Recon - Brookland - Yonge - Banbury 48,000 31108 Recon - Algonquin Cres & Haida Dr 100,000 31111 Recon - Catherine Ave 50,000 31144 Field Asset Data Wireless Devices 90,000 31147 Pavement Condition Assessment 104,000 34710 Streetlight Poles - St John's 35,000 34711 Streetlight Poles - Bayview 75,000 Roads Sub-Total 602,000$ 2015 Repair and Replacement Capital Projects Summarized by Results of Council Discussions Project ID Project New 2015 Requests Parks & Recreation 73134 Parks/ Trails Signage Strategy Study 157,500 73154 Playground Surface Restoration 10,000 73160 Emerald Ash Borer Management Program 235,000 73193 Parks - Bridge Assessment 50,000 73206 Playground Replacement - E Hadar Park 100,000 73268 Wildlife Park - North Dam Rehabiliation 100,000 73272 Hillary House Heritage Fencing Repair 20,000 Parks & Recreation Sub-Total 672,500$ Discretionary 12002 Accessibility Committee 125,000 Discretionary Sub Total 125,000$ Information Technology 14047 Computer & Related Infrastructure 72,800 Information Technology Sub Total 72,800$ Rates 41007 Decommission Sewer - Wells St PS 300,000 41009 3 Phase Electrical Power 30,000 42052 Channel Improvements - Child Drive 721,000 42054 Maintenance of Culverts - Yonge/Batson 100,000 42058 Bridge Assessment 100,000 43038 Water Meter Replacement 400,000 43053 Reconnection - Bathurst/Orchard Hts 70,000 Rate Sub-Total 1,721,000$ TOTAL PROJECT FUNDING APPROVED AS PRESENTED 5,800,800$ 8,697,800$ APPROVED PENDING FURTHER REPORT 72164 SARC - Rubber Flooring 134,600 72228 AFLC - Rink Floor 30,000 72241 89 Mosley - alternations for future uses component only 100,000 72242 AFLC -Roofing 2,000,000 34191 GMC Savana #501 35,000 31112 Recon - Industrial Pkwy S - Wellington to Industry St 1,995,000 73269 Case Woodlot Perimeter Fencing 70,000 4,364,600$ 13,212,400$ DELETED PROJECTS 72151 52/56 Victoria Master Plan 280,000 72243 AFLC - Mould Abatement (duplicate - withdrawn)100,000 TOTAL PROJECT FUNDING DELETED 380,000$ TOTAL APPROVED FUNDING INCL. PRE-APPOVED TOTAL 2015 REPAIR & REPLACEMENT CAPITAL BUDGET APPROVED PENDING A DETAILED REPORT BACK TO COUNCIL Attachment 2 PRE-APPROVED 31101 Recon - Vandorf Sdrd IES 1,200,000 1,200,000 BUDGET COMMITTEE APPROVED 12030 Hydro-Seeding Leslie St Lands CAO 100,000 14065 Mobility Solutions CFS 30,000 13008 Meeting Mgmt Software LLS 75,000 14035 Records & Information Mgmt System LLS 200,000 72194 Water Bottle Fill Stations Facilities 40,000 24009 Pick-Up Truck Fleet 30,000 34182 Additional 2 Tonne Flatbed Truck w Plow Fleet 80,000 34522 Speed Message Board IES 12,000 34614 S/W - Murray - Kennedy - 275m north IES 57,700 34615 S/W - Edward St - Firehall - Dunning IES 109,800 34621 S/W - Bayview Ave - Hartwell to St. John's IES 152,000 34642 S/W - Civic Square Gate IES 15,000 43048 St John's Sdrd - Leslie to 2C IES 216,700 73085 Arboretum Development P & R 100,000 73107 Former Kwik Kopy Trail Connection P & R 35,000 73147 Trail Construction as per Trail Master Plan P & R 150,000 73161 Site Surfacing - Stewart Burnett P & R 200,000 73169 Wildlife Park - Phase 1/2/3 P & R 200,000 73252 Queen's Diamond Jubilee Park - Accessible Playgroun P & R 387,000 73271 Hartwell Way Overpass Contribution P & R 300,000 81015 Community Improvement Plan Planning 200,000 2,690,200 3,890,200$ 81016 Promenade Streetscape Design & Implementation Planning 200,000 200,000 TOTAL PRJECT FUNDING APPROVED AS PRESENTED TOTAL PRE-APPROVED BY COUNCIL TOTAL PROJECT FUNDING DEFERRED 2015 Growth and New Capital Projects TOTAL GROWTH & NEW APPROVED FUNDING INCL. PRE-APPROVED Project ID Project Dept New 2015 Requests Attachment 3 BUDGET COMMITTEE APPROVED 12015 Town of Aurora Strategic Plan CAO 50,000 12026 Organization Structural Review CAO 100,000 14062 Business Continuity/IT Disaster Recovery CFS 25,000 14064 Contamination Investigations CFS 65,000 72202 Building Condition Report Facilities 150,000 72237 Library - LED Light Study Facilities 15,000 41004 Wastewater Hydraulic Model IES 100,000 42057 Town Wide Stream Erosion Master Plan IES 100,000 43040 Water Hydraulic Model IES 100,000 73195 Community Buildings Use Study P & R 50,000 73270 Parks & Rec Master Plan Review P & R 75,000 830,000TOTAL 2015 STUDIES & OTHER CAPITAL BUDGET 2015 Studies and Other Capital Projects Project ID Project Dept New 2015 Requests