School Capital Planning Workshop February 21, 2018 Calgary February - - PowerPoint PPT Presentation

Education and Infrastructure School Capital Planning Workshop

February 21, 2018 – Calgary February 22, 2018 – Edmonton

Welcome address

Curtis Clarke Deputy Minister of Education Shannon Flint Deputy Minister of Infrastructure

Introductions

School Capital Projects

• Since 2011:
• Over 250 school capital projects announced, with an

estimated total provincial capital commitment of over $4.5 billion

• Over 800 modular classrooms approved as part of the

Modular Classroom Program

• Currently over 80 projects are in various

stages of planning, design, and construction.

Report of the Auditor General of Alberta, April 2016

• October 2015 announcement that many

projects would not meet anticipated completion timelines

• Office of the Auditor General asked to

examine why, and to advise on improvements

• April 2016 report: Education and

Infrastructure – Systems to manage the School-Building Program

Report of the Auditor General of Alberta, April 2016

• Recommendations covered many aspects of

the program, e.g.:

– Clarification of roles and responsibilities – Planning and approval processes – Systems to manage and control projects – Change management procedures – Communication – Reporting and key performance indicators – Cash flow and capital funding requests

Report of the Auditor General of Alberta, April 2016

Number one recommendation:

• Clarify Roles and Responsibilities—We

recommend that the Department of Education improve its oversight of the school-building program by:

– working with the Department of Infrastructure to clarify the roles and responsibilities of each department and establishing supporting policies and procedures – developing clear decision-making authorities for the program

• Our response – a new Memorandum of

Understanding between the two departments

Education and Infrastructure School Capital Program Management

• Memorandum of Understanding (MOU)

– signed February 17, 2017 by both ministers – addresses April 2016 OAG report recommendations

• Capital Program management remains status

quo until transition (April 1, 2018)

Governance Structure:

• Address OAG recommendations
• Clarity of roles and responsibilities
• Key performance measures - school projects:

– On-time – On-budget - supported by a high degree of accuracy in estimating and forecasting – Facilities meet the educational needs of students

MOU:

• Defines high level ministry accountabilities
• Education is responsible for:

– Capital Planning and project scope

• Infrastructure is responsible for:

– Implementing assigned school projects – Providing oversight for jurisdiction managed projects – Procuring modular classrooms – Communicating project performance and reporting

School Capital Program Management Transition

• Program transition includes:

– Budget transfer for active projects announced since 2011, modular program, and future project/modular approvals

• Close out of completed projects (schools and modulars)
• Capital Program financial reconciliation

– Process updates – Organizational structure realignment – School Capital Manual amendment

Transition Implementation by April 1, 2018:

INFRASTRUCTURE:

• Accountable for project implementation in

support of the School Capital Program New accountability:

– Oversight for grant funded school projects – Grant payments, includes FFE and modulars

Enhanced accountability

– Program Reporting – includes reports to Education and Treasury Board – Project Communication

Transition Implementation by April 1, 2018:

EDUCATION:

• Planning/program role of Education and

school jurisdictions remains unchanged

• Infrastructure Maintenance and Renewal

Program (IMR) with Education

Accountability Alignment:

• Inter-organizational oversight/leadership

– Joint Steering Committee – ADM level – Joint Operations Committee – ED level

• Developing supporting documents

– Redevelopment of School Capital Manual

• Alignment with Capital Planning Process

– Reporting framework and measures review

• Improved support for jurisdiction managed

projects during planning and implementation

• Transparent cash flow and portfolio

management, using standard protocols

Summary

Program transition includes:

• Budget transfer for active projects, modular

program, and future project/modular approvals

– Close out of completed projects (schools and modulars) – Capital Program financial reconciliation

• Process updates
• Organizational structure realignment
• School Capital Manual amendment

Infrastructure Updates

Organizational changes effective February 12, 2018

• Capital Projects Delivery Division
• Brian Fedor – retired
• ADM – Neil McFarlane
• Learning Facilities Branch

Process updates

• Grant Process – overview
• Key contacts / Website links
• Financials
• Reporting
• Modular Classroom Program
• School Capital Manual
• Infrastructure Maintenance Renewal (IMR)
• Area Capacity Utilization (ACU)

Grant Process

Project Approval

• Joint announcement by Education and Infrastructure

Infrastructure accountable for management of:

• Grant Agreements
• Grant Agreement Amendments
• Design and Tender process
• Payment process

Jurisdictions maintain project responsibilities during the pre-tender, tender, project delivery stages, and project close out.

Key Contacts

Education – Capital Planning Sector is responsible for:

• Capital Planning
• Capital Funding Requests
• IMR Program

Infrastructure – Learning Facilities Branch is responsible for:

• Approved Capital Plan – project implementation
• Project Management Support
• Project Design (meets approved scope)
• Cost Analysis

Website Access: https://education.alberta.ca/school- infrastructure/planning-school-projects/everyone/resources/

Financials

Payment process

• Prior to April 1, 2018 – status quo
• Year end process
• As of April 1, 2018
• Request For Payment submissions to Infrastructure
• Shared email address
• Request For Payment form
• Changed form
• Required to process F&E, CTS payments
• Payment inquiries – Infrastructure

Financials cont’d

Statement of Final Cost (SFC)

• As of April 1, 2018

SFC process managed by Infrastructure

• Purpose
• Submission process – shared email address
• SFC form updated

Reporting

Purpose / Challenges Infrastructure reports for Jurisdictions

• Monthly reporting continues
• Report format changes
• Education SharePoint site

School Capital Projects website Next Steps:

• Capital Infrastructure Dynamics (CID)

Reporting (cont’d)

Jurisdiction project updates

• SCRS – status quo for project data updates
• Cash Flow Forecasting (12 months, future years)

Existing SCRS Cash Flow data

• f March 31,

New SCRS Cash Flow data requirement

• f March 31,

Additional 6 months / future year totals

Modular Classroom Program

• Modular allocation – Education
• Priority list
• Annual Modular Classroom Approval
• Approval letter:

Jointly signed by Education and Infrastructure

• Budget Approval (Project) – Infrastructure
• Challenges

School Capital Manual (March 2015)

• Addendum to be issued – effective April 1, 2018
• Amends priority clauses/sections to align with changed

accountabilities and processes

• Replaces some Sections and Appendices
• School Capital Manual update
• Review to commence after April 1, 2018
• Major update
• Collaborate with Jurisdictions

Infrastructure Maintenance and Renewal (IMR)

Changes in Process

• IMR Actual Expenditure Reports are now to be

submitted to Education

• Format and deadline is unchanged
• Jurisdictions are still required to report through VFA

Area Capacity Utilization Reports (ACU)

Changes in Process

• ACU reports will now be generated by Education
• The ACU report will no longer have the gross area information

included.

• Updated Utilization Formula Instructional Area forms with

Small Scale Plans need to be submitted to Education to allow for the updating of instructional area.

BREAK

Capital Planning Gated Approval Process and Project Readiness

Alberta Education

Outline

• Alberta Education Capital Planning Gated

Approval Process

– Phase 1: Capital Plan Submission – Phase 2: Project Evaluation & Prioritization – Phase 3: Project Definition – Phase 4: Budget & Scope – Phase 5: Provincial Capital Planning Process

• Project Readiness

– Why Is Project Readiness Important? – Project Readiness Evaluation

• Questions

Capital Planning Gated Approval Process

Alberta Education Capital Planning Gated Approval Process

Phase 1: Capital Plan Submission

• Activities

– School Board Submission

• Meeting

Submission Requirements

• Purpose

– Project Justification & Supportability – Overall Planning & Management

Capital Plan Submission Gate 1  School Authority’s Three-Year Capital Plan – April 1 submission deadline  Information provided is complete

Phase 2: Project Evaluation & Prioritization

• Activities

– Assessment of Capital Projects – Prioritization of Capital Projects

• Based on Project

Driver Criteria

• Based on Level of

Need Criteria

Gate 2  Projects have been assessed and prioritized based

• n the criteria as established by Education Capital

Planning Sector Project Evaluation and Prioritization

Phase 2: Project Drivers

Health & Safety

• Health and Safety

issues that require resolution may include serious structural deficiencies, presence of hazardous materials, documented air quality issues, etc.

Building Condition

• There are

demonstrated and documented deficiencies in the key areas of structural, envelope, interior, mechanical, electrical, building codes and/or standards compliance issues due to age that could not be resolved through the use of Infrastructure Maintenance and Renewal (IMR) funding.

Enrolment Pressures

• Enrolment Growth:

The school authority’s existing facilities are insufficient to accommodate current and future students within a specified geographical area.

Functionality & Programming

• Project provides

new and/or improved program space functionality through reconfiguration, relocation, or technology.

Legal

• Projects are

evaluated on legal rights for equity of access and assessed regarding existing legal judgement or potential legal action (e.g. Rights to Francophone education under Section 23 of the Canadian Charter

• f Rights and

Freedoms).

Phase 2: Level of Need

High Need (Tier 1)

• Projects that will

address school facilities that are unsuitable, unsafe or pose a high risk to students and/or staff. Medium/High Need (Tier 2)

• Projects that are

considered immediate need. An active mitigation strategy may be in place to address the immediate need. Medium Need (Tier 3)

• Projects that are

considered to have emerging needs. Low Need (Tier 4)

• Projects that may

be addressed in the long-term future (i.e. seven to ten years).

Phase 3: Project Definition

• Activities

– Preliminary Site Assessment – Value Scoping Sessions

Gate 3 Project Definition  Needs Validated  Passed readiness assessment test

Phase 4: Budget & Scope Development

• Activities

– Functional Plan – Scope and Budget Development

Gate 4 Budget & Scope Development  Alignment with GoA Priorities  Project Scope & Budget Summary Document Complete  Provides value for money  Functional Plan has been developed

Phase 5: Provincial Capital Planning Process

• Activities

– Recommendation to Treasury Board & Finance – Approval & Implementation Phase

Project Readiness

Why is Project Readiness Important?

• Identifying and Mitigating

Risks

• Implementation ‘Ready’
• No Surprises!

Project Readiness Evaluation

Project Readiness Evaluation

Legal Adequate Size Access Site/Area Hazards Geotechnical Scope Development Functional Plan

MGA Amendments & Link to School Act

Joint Use and Planning Agreements (JUPAs)

Background

• On April 10, 2017 Bill 8, An Act to Strengthen

Municipal Government was introduced to amend the MGA

• Significant consultation was conducted with

school boards across Alberta on potential changes to be included in Bill 8

• One of the changes in Bill 8 that is relevant to

K-12 Education in Alberta is:

– Mandatory joint use and planning agreements for school boards and municipalities

Bill 8 & Vision for the MGA

• A new vision for the MGA is based upon three

pillars:

– an enhanced partnership relationship with municipalities in providing effective and responsive governance to Albertans; – strengthened accountability mechanisms to allow Albertans to hold their local governments accountable; and – a shift away from competition to collaboration, with new tools to ensure that municipalities work with neighbouring communities to better serve their collective residents.

Bill 8 & Vision for the MGA

• A Joint Use Agreement (JUA) between

municipalities and school boards is voluntary, which allows for flexibility to address matters that are of mutual interests

• In the absence of a JUA, a subdivision

authority determines the land allocation for reserve lands based upon the needs of the municipality and each school board(s) within its boundary. Current

Bill 8 & Vision for the MGA

• Municipalities will be required, within 3 years
• f the requirement coming into force, to have

JUPAs with school boards that are operating within the municipalities’ boundaries.

• JUPAs will establish a process to discuss

matters related to:

– the planning, development, use, (including the matters relating to the maintenance of facilities and fields), transfer, disposal and servicing of school sites – the municipality and the school board work collaboratively together, including a process for resolving disputes and – A time frame for regular review of the agreement

New

Bill 8 & the School Act

• Key Consequential School Act Amendments:

– All boards operating within municipal boundaries must enter into a JUPA within three years of the requirement coming into force – More than one board may be a party to an agreement – Agreements may be amended from time-to-time as necessary

New

Bill 8 & the School Act

• Key consequential School Act Amendments

continued:

– In section 197 of the School Act, subsections (a) and (b) are retitled subsection (1) and the following is added:

• Subject to the regulations, subsection (1) does not apply to

JUPA’s

• The Minister may make regulations respecting the extent to

which subsection (1) applies to JUPA’s

New

Bill 8 & the School Act

• Next Steps

– Education to determine whether a regulation will be developed under Section 197 of the School Act

Questions

Closing Remarks

Thank you