Financial Plan Meetings For the 2020-2024 Draft Financial Plan - - PowerPoint PPT Presentation

Financial Plan Meetings

For the 2020-2024 Draft Financial Plan

Departmental Presentations

• Planning
• Engineering
• Water Utility
• Sewer Utility

Capital Budget

March 10, 2020

Operating Budget

Planning, Environment & Sustainability

Department Overview

4 Divisions

• Community Planning
• Current Planning
• Environmental Services
• Sustainability & Climate Change
• Plus Administration
• 30.84 FTE
• Broad Range of Services most involving

Significant Community Engagement

2020 Major Projects

• Housing Strategy & Needs Assessment
• Resilient Saanich Strategy & Technical

Advisory Committee

• Implementation of the 2020 Climate Plan:

100 % Renewable& Resilient Saanich

• Development Process Efficiency Review
• Implementation of the Agriculture & Food

Security Plan

• Cordova & Cadboro Bay Local Area Plans
• Uptown Douglas Corridor Plan
• Garden Suite Bylaw
• Public Art Program

Planning Budget Comparison

Cost Drivers Wage increases and increments Full year for Planner, Planning Clerk and Community Engagement Coordinator approved in 2019

Challenges - Planning

• Growing Demand For Services
• Balancing Capacity & Service Levels
• Enhanced Community Engagement
• Support for our Partners
• Ongoing Retention & Recruitment

Opportunities - Planning

• Evolving Service Delivery
• Partnerships to enhance the delivery of
• ur and others work programs
• Supportive Technology

Planning, Environment & Sustainability

Discussion and Questions

Operating Budget

Engineering Water Utility Sewer Utility

Department Overview

Roads and Sidewalks 445 M 21% Potable Water 400 M 19% Sewers 451 M 21% Drainage 502 M 23% Facilities 305 M 14% Electrical 17.6 M 1% Fleet 28 M 1%

$2.1 B In Assets

• 350+ Staff
• Asset Value: $2.1B
• 4 Divisions, 16 Sections
• Facilities planning and operations
• Transportation planning and operations
• Water resource planning and operations
• Project management office
• Engineering development services
• Greener garbage program
• Fleet Services
• Dedication on safety and customer service

2020 Major Projects - Engineering

• Undertake a review of the engineering

specifications in the Subdivision Bylaw

• Fire Station II Rezoning and Development Permit

application

• Undertake a business case for the

redevelopment of Parks and Public Works Yard

• perations.
• Support CRD’s Active and Safe Routes to School

Program.

2020 Major Projects - Engineering

• Develop a staged strategy for an integrated

stormwater management plan and drainage master plan delivery.

• Develop a potable water metering strategy
• Obtain Organizational Quality Management

certification (Engineers and Geoscientists of BC)

Non-discretionary increase

• Annual Facilities Maintenance
• Budgets have not increased to meet rising costs for contracted services
• Increase to electrical and mechanical budgets to meet regulatory

requirements for regular servicing and maintenance.

• Water budget has not increased to meet hired equipment rentals rates
• Operational cost of curbside collection refuse trucks continue to rise

Operating increase

• Maintenance of new assets (bike lanes, bus shelters, traffic signals, litter

bins, hydrants, storm mains, catch basins, etc)

2019-20 Budget Comparison

Engineering Comparison

Cost Drivers: Increase for adjustment to labour costs Full year for Managers

• f Development

Services and Infrastructure Planning approved in 2019 Maintenance of new assets added in 2019

Water Utility Comparison

Cost Drivers: CRD bulk water rates Increase for adjustment to labour costs Increase to meet hired equipment costs New positions approved in 2019 budget process

2020 Utility Charges 23,525,500 $ 2019 Utility Charges 22,439,000 $ Net Change 1,086,500 $ Change by % 4.84% 2020 FTE 50.61 2019 FTE 50.61 FTE Change 0.00 FTE Change % 0.00% BUDGET SUMMARY

Sewer Utility Comparison

Cost Drivers: Regional Sewage Program Increase for adjustment to labour costs New positions approved in 2019 budget process Utility costs

2020 Utility Charges 25,460,500 $ 2019 Utility Charges 23,532,700 $ Net Change 1,927,800 $ Change by % 8.19% 2020 FTE 25.56 2019 FTE 25.52 FTE Change 0.04 FTE Change % 0.16% BUDGET SUMMARY

Challenges - Engineering

12,000

Total Calls for service per year

2016 2017 2018 2019

Transportation Calls for Service

• Significant call volumes for service related requests
• 49% increase in transportation related calls for service

Challenges - Engineering

54.2% 43.7% 33.0% 33.4% 18.7% 20.7% 26.6% 23.4% 27.1% 35.5% 40.4% 43.2% 2016 2017 2018 2019 Equipment Material Labour

• Equipment and Material costs

increasing at higher rate than Labour Development Servicing Cost Drivers

Challenges - Engineering

• The Saanich Operations Centre (Parks & Public

Works Yard) is in poor condition and is impacting

• perational efficiencies.
• Many large scale regional projects requiring staff

resources to ensure the District’s best interests are met

Opportunities - Engineering

• Increased energy efficiency realized through

renewals/replacements

• Planned construction activities allows for value

added approach to subsequent works

• Leveraging infrastructure related grant funding
• Outreach to schools/ participation in job fairs to

promote public works and engineering as a viable career

• Partnering with academic institutions to develop

creative solutions to municipal challenges while providing practical curriculum to students.

Engineering

Discussion and Questions

What other factors are there?

• Grants from other levels of government
• Annual surplus transfers into the IT and Facilities Reserve

Funds

• Changes in technology can reduce project costs
• Other revenue sources
• Sharing service delivery with other municipalities

Capital Funding Levels

• Reflects the District’s commitment to asset

stewardship – taking care of what we already own, balanced with

• Commitment to moving forward with significant

transportation projects – Shelbourne Valley and Active Transportation Plan

Capital Budget

Capital Budget

Vehicles Equipment Technology

Divided into 6 Sections Presenter

• Police Vehicles, Equipment and Technology

Finance

• Fire Vehicles, Equipment and Technology

Finance

• Engineering Equipment

Engineering

• Fleet Vehicles (Parks & Public Works)
• Parks and Recreation Equipment

Parks & Rec

• Information Technology

Corporate Services

Vehicles, Equipment & Technology

• The expenditures in 2020 are for annual fleet

replacement, new computer hardware and software and equipment for offices, investigations and officer safety

• Funding is a combination of core, reserves,

carryforward and grants.

Police Vehicles, Equipment and Technology

All Fire Vehicle acquisitions are funded from the Vehicles and Equipment Replacement Reserve. Reserve has annual budgeted funding to manage the replacement of the current fleet. Impact of USD exchange rate, rising costs

Fire Vehicles and Equipment

All vehicle replacements are funded from the Vehicles and Equipment Replacement Reserve. Vehicles identified for replacement in 2020 include:

• 4 hybrid cars
• 7 half tonne pickup trucks
• 2 two tonne trucks
• 5 one tonne trucks
• 1 ten yard packer

Criteria to determine vehicles due for replacement includes age, mileage, condition, and GHG reduction potential

Engineering Equipment / Fleet Vehicles

Annual replacements from core and reserves

• Golf course grounds equipment - $105,000
• Paramobile - $40,000
• Recreation equipment - $216,200
• Ice resurfacer - $169,300
• Parks equipment - $266,300

Parks and Recreation Equipment

Capital Budget

Corporate Technology

Council Strategic Plan Initiatives

Organizational Excellence

Corporate Technology Principles

• Maintain integrity and security of large, complex systems
• Maintain functionality of products and services
• Maintain compliance with licensing and maintenance
• Maintain up-to-date versions of corporate applications
• Average life cycle of hardware and software of 3-5 years

Principles

Life Cycle and Costing

As a project becomes better defined, budget estimates become increasingly accurate. The project budgets covers three distinct phases:

• 1. Discovery and Requirements Gathering – the assessment of needs

and scope of project followed by design and planning for resources, budget, interdependencies with other systems and creation of RFP

• 2. Awarding of RFP, creating contractual agreement with vendor

followed by construction and installation

• 3. Implementation – partnership between business and vendor to

implement software and adjust internal workflows

• 4. Maintenance of asset and work; budgeting towards replacement

and return to phase 1

Assets

IT Infrastructure End user systems and

• ther tools that support

all of the computer applications, security and data storage as well as mobile and remote access Business Systems Core systems upon which the entire

• rganization depends

to meet legal, statutory, business and citizen requirements New Assets / Projects Projects and items as identified in Council’s strategic plans or by departments

2020 2021 2022 2023 2024 Total Capital $6,051,400 $4,612,000 $5,385,400 $5,142,100 $3,577,300 Associated Operating Costs $300,000 $630,900 $142,400 $373,900 $313,000

5 Year Technology Capital Plan

• Data for 2020 and 2021 is accurate, data for 2022-2024 is a best estimate
• Operating costs of new hardware and software is estimated at 22% of original cost
• Current sustainable funding insufficient
• Current estimates see technology capital requests supporting existing IT

technologies stabilizing between $4 and $5 million annually

Capital – IT Infrastructure

2020 Capital Plan - $2,187,185 Estimated operating increase 2020 - $165,013 Infrastructure being upgraded includes:

• Network - Move off Muni-link; Upgrade Wireless Access

Points; Enhance wireless networks

• Email - Implement MS Outlook
• Desktops / Laptops - Replace all desktop hardware and

move to current software versions

• Cell phones - New Cellular contract
• Printers - Implement new hardware and processes

Capital – Existing Business Systems

2020 Capital Plan - $2,187,185 Estimated operating increase 2020 - $165,013 Systems being upgraded (either major and minor) include:

• Tempest database conversion
• JDE - ongoing improvements
• Council Technology Refresh
• GIS - ongoing improvements
• Privacy Project completion

Capital – New Business Systems

New initiatives

• Budget Software (continuation of project from 2019)
• Fire staffing (continuation of project from 2019)
• Agenda Management software
• Fuel Software and hardware
• Business Intelligence tool for Fire
• Reporting software for JDE
• Council Chambers update (to be reduced to $30,000)
• Safety, disability management and training software

2020 Capital Plan - $1,305,040 Estimated operating increase 2020 - $32,380

• Maintenance
• Support for all hardware and software
• Licensing
• Vendors changing their licensing models
• Cloud systems vs in-house applications
• Complexity of systems
• Special resources required
• Limiting down time – operations need to keep functioning

Funding Changes – Increase Operating / Decrease Capital

Questions?

Capital Budget

Engineering Water Utility Sewer Utility

Engineering Capital Investments

Transportation 12.3 M 29% Water 10.2 M 24% Sewer 8.6 M 20% Drainage 7.5 M 17% Facilities 4 M 9% Fleet 0.3 M 1%

$42.9 M

Expected Outcomes

• Meet Regulatory Requirements
• Continue Rehabilitation and

Renewal of aging assets

• Deliver Growth Related Utility

Upgrades in high growth areas

• Provide Safe and Inclusive

Streets

• Deliver on Council Strategic

Plans

• Meet Climate Change Priorities
• Leverage Grant and Funding

Partner opportunities

Facilities

Major Facility Repairs ($1.5 M)

• Building interior and exterior repairs (e.g., roofs, washrooms, kitchens)
• Electrical (e.g., emergency lighting, network, distribution, emergency

backup power)

• Elevator replacement

Energy Retrofits ($1.3 M)

• Mechanical upgrades to heating and cooling plants (e.g., design, RTU

replacement)

• Upgrades to Gold Arena ice slab
• Lighting upgrades

Facility Redevelopment ($1.1 M)

• Facilities replacement: Saanich Operations Centre, Fire Station #2
• Building expansion

Future Replacement Reserve ($2.8 M)

2019 Carry Forward

• SCP HVAC design
• Annual Roof Replacement Program
• Pearkes Slab Remediation
• 3500 Blanshard / Mun Hall-Annex
• perational re-fits

2020 Capital Plan

• SCP Main Electrical Distribution

Replacement

• Municipal Hall Envelope

Remediation Phase 1

• Public Safety Lighting Replacement
• Pearkes Elevator Replacement

Facilities

Transportation

Bridges

Roads, Transit Stops and Bridges ($4.42M)

• Repaving streets
• Upgrading transit stops
• Replacing and upgrading bridges

Walking ($4.82M)

• Building new sidewalks
• Reconstructing existing sidewalks
• Upgrading curb ramps
• Installing new crosswalks
• Implementing Safe Routes to School plans

Cycling ($2.23M)

• Building new bike routes
• Upgrading existing bike routes

Streetlights and Traffic Signals ($775k)

• Upgrading traffic signals
• Building new traffic signals
• LED Streetlights

Roads, Transit and Bridges - $4.42M Streetlights and Traffic Signals - $775k Cycling - $2.23M Walking - $4.82M

2019 Carry Forward

• Shelbourne Phase 1
• Prospect Lake / West Saanich /

Sparton Intersection Improvements

2020 Major Projects

• Wilkinson Rd Upgrade
• Cordova Bay Rd Sidewalk
• Vanalman Bike Route
• McKenzie Paving

Transportation

• The SSIP is 3 phase project to deliver the short term improvements

identified in the Shelbourne Valley Action Plan

• Phase 1, from McKenzie Avenue to Torquay Drive, includes:

Buffered bike lanes Improvements to pedestrian facilities Improvements to transit infrastructure Renewal or upgrades to sewer, storm and water infrastructure New traffic signal at Cedar Hill Rd and Feltham Rd

• Phase 1 design is complete and construction is anticipated to begin

in early to mid-2020, and to take approximately 18 months

• Phase 2 design will begin in 2020, and is anticipated to take

approximately 12 months

Shelbourne Street Improvements Project (SSIP)

Water Resources Infrastructure

Sewer, Drainage, and Watermain replacements ($26.3M)

• Infrastructure replacement based on end-of-lifecycle (age, condition, material,

break history, continual maintenance)

• Infrastructure upgrades to add capacity for pre-existing system deficiencies and

to support growth

• Planning for future investments
• Major maintenance repairs

Growth Related Projects ($2.1M)

• Growth related Utility upgrades for DCC’s

Pump Stations ($1.25M)

• Infrastructure replacement and upgrades

2020 Investment Breakdown

• Water Utility: $10.2M
• Sanitary Sewer: $8.6M
• Storm Drainage: $7.5M

2019 Carry Forward

• Shelbourne Phase 1
• Gorge Road (Admirals to

Tillicum) storm drain replacement

2020 Major Projects

• Regina Avenue, mulit-utility

(Tillicum to Wascana)

• Vanalman Ave, multi-utility

(Commerce Circle to Mann)

• Albina Sewer (Gorge to Obed,

interim works)

Water Resources Infrastructure

Questions?

Capital Budget

Parks and Recreation

Parks Assets

• Over 100 km of trails
• 62 sportsfields
• 35 tennis/pickleball courts
• 21 sports courts
• 56 playgrounds
• 1 water park
• 1 skate park
• 21 public washrooms
• 36 beach accesses
• Over 350 km of irrigation lines
• Over 100 bridges and stairs

Parks Capital Programs

Playgrounds Sportsfields Tennis Sportscourts Irrigation Bridges / Structures Parking lots Signs Trails Washrooms Horticulture Islands & Streetscapes Natural Areas Urban Forestry

Major Parks Projects

Horner Park Renewal ($650,000) Mount Douglas Park new trail and bridge ($205,000) Cedar Hill Park Plan implementation ($100,000) George Tripp Youth Park ($286,700)

Other Parks Projects

McMinn Phase 2 ($282,900) Cuthbert Holmes Management Plan ($150,000) Hampton Park path & parking ($300,000)

Parks Projects

Recreation

• Cedar Hill Community Recreation Centre – Ceramic

Studio upgrades, front desk ergonomic improvements, liquor area bounding

• Gordon Head Community Recreation Centre –

Feltham Room improvements, Lighting upgrades, Continuation of acoustic tiling work in natatorium (Leisure Pool), Doors for Universal Change Rooms; miscellaneous building improvements

Recreation

• G.R. Pearkes Community Recreation Centre – During

Gold arena shutdown complete various upgrades (change-room, Score Clock), Lighting upgrades, Lobby space public seating

• Saanich Commonwealth Place –renovations in aquatic
• ffice, complete design plan for new health and wellness

space, continue locker repair/replacements

Questions