Planning & Public Works Committee December 6, 2017 1 Budget - PowerPoint PPT Presentation

Planning & Public Works Committee December 6, 2017 1

Budget Process  Council Information Session – November 15  Health & Social Services – December 5  Planning & Public Works – December 6  Administration & Finance – December 7  Council Approval – December 13 2

Regional Taxes Property Tax Impact of Regional Government Services (Per $100,000 CVA)** 2017 2018 Change Actual Budget $ % Regional Services $ 189 $ 192 $ 4 1.9% Police Services * 110 112 2 2.0% Total Regional Taxes $ 299 $ 305 $ 6 1.9% Schedule may not add due to rounding. * Approved by Police Services Board ** Based on projected 1.5% assessment growth  2018 Total Regional Taxes per $100,000 CVA is $305, increase of $6 or 1.9% over 2017  Tax impact based on a projected assessment growth of 1.5%  2018 Police Services Budget approved by the Police Services Board requires a net expenditure increase of 3.5%, with a 2.0% tax impact after assessment growth 2018 Budget – Pg 18 3

2018 Tax Supported Budget Net Operating Budget for Tax Supported Services (Excluding Police Services) Levy Requirement by Program $000s 2017 2018 Change in Budget Approved Base Strategic Requested 2018 Base to 2018 Requested Budget Budget Investments Budget 2017 Budget to 2017 Budget Public Health Resources $ 2,285 $ 2,359 $ - $ 2,359 $ 74 3.2% $ 74 3.2% Healthy Environments & Communicable Disease 5,116 5,247 - 5,247 131 2.6% 131 2.6% Healthy Families 5,917 5,873 - 5,873 (44) -0.7% (44) -0.7% Clinical Health Services 4,182 4,426 - 4,426 243 5.8% 243 5.8% Paramedic Services 18,594 19,473 963 20,437 879 4.7% 1,843 9.9% Children's Services 11,366 10,243 - 10,243 (1,123) -9.9% (1,123) -9.9% Employment & Social Services 6,557 6,262 - 6,262 (294) -4.5% (294) -4.5% Housing Services 37,114 35,930 - 35,930 (1,184) -3.2% (1,184) -3.2% Quality & Service Integration 6,334 6,313 280 6,593 (22) -0.3% 259 4.1% Services for Seniors 18,079 18,140 27 18,167 61 0.3% 89 0.5% Planning 12,182 13,084 134 13,219 902 7.4% 1,036 8.5% Economic Development 2,571 2,598 - 2,598 27 1.1% 27 1.1% Waste Management 41,404 42,111 - 42,111 707 1.7% 707 1.7% Road Operations 51,291 52,917 85 53,001 1,626 3.2% 1,711 3.3% Non-Program 14,288 18,454 455 18,909 4,166 29.2% 4,621 32.3% Boards & Agencies 10,031 10,436 - 10,436 405 4.0% 405 4.0% Net Regional Impact 247,310 253,865 1,945 255,811 6,556 2.7% 8,501 3.4% Assessment Growth (3,710) 1.5% Regional Levy Requirement $ 247,310 $ 253,865 $ 1,945 $ 255,811 $ 6,556 2.7% $ 4,791 1.9% Schedule may not add due to rounding. 2018 Budget – Pg 24 4

Utility Rates Rate Impact On a Typical Household (250 m³ / Year) 2017 2018 Change* Budget Budget $ % Water $ 420 $ 444 $ 24 5.7% Wastewater 509 520 11 2.2% Total $ 929 $ 964 $ 35 3.8% *Based on 0.0% consumption growth and 1.6% customer growth  The 3.8% increase is the total of: 3.1% increase for capital financing of the State-of-Good-Repair program  0.7% increase to operate and maintain the system   3.8% has been reduced from the 4.5% target as a result of the asset management plan and one-time savings and efficiencies 2018 Budget – Pg 19 5

Rate Trends Municipality 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 Average Halton 6.5% 6.7% 0.0% 4.1% 3.5% 4.8% 4.3% 4.9% 5.0% 5.1% 4.5% Toronto 10.2% 9.0% 9.0% 9.0% 9.0% 9.0% 9.0% 8.0% 8.0% 5.0% 8.5% Peel 9.0% 6.1% 5.0% 9.1% 8.0% 7.0% 7.4% 7.0% 9.0% 4.3% 7.2% Durham 9.7% 7.6% 7.2% 4.5% 6.4% 8.4% 6.5% 5.0% 5.0% 3.6% 6.4% Hamilton 8.9% 4.5% 4.0% 4.3% 4.3% 4.3% 4.0% 4.2% 4.7% 4.9% 4.8% 6

Rate Revenue Halton Average Consumption per Residential Customer Base Seasonal 400 361 351 350 341 333 320 305 300 281 276 280 275 275 261 m 3 254 251 245 243 250 241 240 314 307 200 298 282 272 265 257 259 248 242 239 230 227 226 217 216 215 214 150 100 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2017 2018 Budget Proj Budget  2018 Budget continues to include 52.9 million m 3  The 2018 rate forecast includes a decline in consumption in later years to address continuing trend of declining consumption per household 2018 Budget – Pg 195 7

Budget Highlights  Investments to Maintain Existing Infrastructure Total Water and Wastewater State-of-Good-Repair (including Basement Flooding Mitigation) State-of-Good-Repair 2018 Annual Operating Contribution* 2017 Annual Operating Contribution* $200 168.6 158.6 148.8 143.8 $150 140.4 135.7 135.6 Capital Expenditure ($Millions) 125.8 120.1 109.5 119.6 98.3 112.5 $100 89.0 105.0 81.3 96.5 88.2 64.8 144.5 136.3 134.5 78.1 127.1 121.1 108.9 105.5 $50 91.5 79.5 75.3 70.8 $- 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 * Includes Gas Tax Transfers; Excludes Vehicles, New Meters and Water & Wastewater related Information Technology 2018 Budget – Pg 48 8

Ten-Year Operating Forecast - Rate Ten Year Operating Budget Forecast For Rate Supported Services 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 Requested Budget Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Forecast Net Program Impact ($000's) $ 197,117 $ 206,722 $ 216,957 $ 227,469 $ 238,468 $ 248,784 $ 259,376 $ 269,908 $ 280,734 $ 292,044 Annual Water Consumption m 3 (000s) 52,913 52,913 52,913 52,913 52,913 52,421 51,934 51,452 50,974 50,500 Residential Bill (250 m 3 p.a.) $ 964 $ 1,004 $ 1,048 $ 1,092 $ 1,138 $ 1,186 $ 1,236 $ 1,286 $ 1,337 $ 1,391 Annual % Rate Increase 3.8% 4.2% 4.3% 4.2% 4.2% 4.3% 4.2% 4.0% 4.0% 4.0% Rate Impact: State-of-Good-Repair 3.1% 2.5% 2.6% 2.5% 2.5% 2.0% 1.8% 1.7% 1.6% 1.5% Operating Expenses 0.7% 1.7% 1.7% 1.7% 1.7% 1.8% 1.9% 1.8% 1.9% 2.0% Consumption Change 0.0% 0.0% 0.0% 0.0% 0.0% 0.5% 0.5% 0.5% 0.5% 0.5% $ 129.43 $ 141.61 $ 65.83 $ (154.47) $ (42.04) $ 59.56 $ (50.61) $ (84.11) $ (12.25) Rate Budget Forecast as Projected in the 2017 Budget Net Program Impact ($000's) $ 199,785 $ 211,164 $ 223,856 $ 236,544 $ 249,842 $ 263,782 $ 278,539 $ 292,746 $ 306,989 Annual Water Consumption m 3 (000s) 52,913 52,913 52,913 52,913 52,913 52,913 52,913 52,913 52,913 Residential Bill (250 m 3 p.a.) $ 977 $ 1,026 $ 1,081 $ 1,135 $ 1,192 $ 1,251 $ 1,312 $ 1,371 $ 1,429 Annual % Rate Increase 5.2% 5.0% 5.3% 5.0% 5.0% 4.9% 4.9% 4.5% 4.3% Rate Impact: State-of-Good-Repair 3.7% 3.4% 3.8% 3.5% 3.6% 3.6% 3.6% 3.2% 3.0% Operating Expenses 1.5% 1.6% 1.5% 1.5% 1.4% 1.3% 1.3% 1.3% 1.3% Consumption Change 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 2018 Budget – Pg 72 9

Ten-Year Capital Forecast ($million) 2018 2019-22 2023-27 Total Rate Program: Water $ 94.8 $ 315.8 $ 584.9 $ 995.5 Wastewater 78.8 384.4 657.1 1,120.2 Sub-total $ 173.6 $ 700.2 $ 1,242.0 $ 2,115.7 Planning & $3.9 Tax Program: billion Public Works Transportation $ 207.0 $ 677.0 $ 721.9 $ 1,606.0 Waste Management 2.7 12.9 25.2 40.9 Planning 22.1 75.3 76.8 174.2 Asset Management 15.2 44.0 18.8 78.1 Public Health & Paramedic Svcs 7.9 7.7 16.8 32.4 Social Services 0.7 2.8 3.5 7.0 Corporate Admin 5.5 19.1 24.8 49.4 Police 7.4 42.5 22.4 72.3 Sub-total $ 268.6 $ 881.5 $ 910.3 $ 2,060.4 Total $ 442.2 $ 1,581.6 $ 2,152.3 $ 4,176.1 Includes financing cost. Schedule may not add due to rounding. 10

Ten-Year Capital Budget Trends ($billion) Rate Capital Tax Capital - Region Tax Capital - Police $4.5 $4.1 $4.2 $4.0 $3.7 $3.8 $3.7 $3.5 $3.2 $3.2 $3.0 $3.0 10-Year Plan Cost ($billion's) $2.8 $3.0 $2.6 $2.5 $2.0 $2.0 $1.8 $1.7 $1.8 $1.4 $1.5 $1.1 $1.0 $1.1 $1.1 $1.0 $0.5 $- 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2018 Budget – Pg 82 11

Ten-Year Capital Financing ($4.2 billion) Development Charges $1.6B State of Growth-related (69.6%) Regional Good Repair Infrastructure Reserves $1.9B $1.9B $2.3B (100.0%) (44.2%) (55.8%) Regional Interim Financing $0.7B * (30.4%)* * To be recovered from future development charges 12

Ten-Year Capital Financing Roads & W/WW Development 13

Halton Region Budget and Business Plan 2018 Public Works Department 14

2018 Priorities Wastewater Roads Waste Infrastructure Water Management Addressing Development of Continue the Completion of the climate change an Advanced development and long term water Continue the through continued Transportation implementation of meter strategy to review of a new investment in Management a comprehensive support Solid Waste infrastructure to System to Asset Automated Meter Master Plan ensure Halton’s improve the flow Management Plan Reading Implement the resiliency of traffic on acceptance of Begin the Completion of the Regional roads plastic bags and Continue the development of an replacement of film in the Blue targeted Continue the LED integrated Water, 12,500 pulse Box Downspout streetlight Wastewater and meters and Disconnection conversion Transportation applicable large program program Master Plan meters to increase bill accuracy 15