Confirmation of Minutes

On motion by Councillor Rae, the Minutes of the meetings of the Budget Committee held on February 26, March 3 and March 10, 2009, were confirmed.

The Budget Committee:

1.         deferred the item:

a.         to a special meeting of the Budget Committee which will be called by the Chair, to educate the members on the Creative City framework;

            b.         for consideration during the 2010 Operating Budget process;

2.         forwarded the item to the Staff Working Group on the Sign By-law for information.

Advising that the Economic Development Committee on November 20, 2008, forwarded the report (November 3, 2008) from Deputy City Manager Sue Corke, respecting the Creative City Framework Implementation for consideration.

The purpose of this report is to seek approval for adjustments to the carry-forward of unspent funding from Toronto Water’s approved 2008 Capital Budget to allow the continuation of 2008 approved projects; and in accordance with the City’s Financial Control Bylaw, seek approval for reallocations in Toronto Water’s approved 2009 Capital Budget and 2010-2013 Capital Plan to better align project budgets with Toronto Water's 2009 work program.

The Budget Committee recommended to the Executive Committee that:

1.         City Council authorize the reallocation of funds in the 2009 approved Facilities and Real Estate Capital Budget in the amount of $1.259 million, as illustrated in schedule “A” of the report (April 20, 2009) from the Chief Corporate Officer, with zero gross and net impact.

This report requests Council’s authority to amend the Facilities and Real Estate Division’s (F&RE) 2009 approved capital budget by reallocating funding to better meet program requirements.  The adjustment of funds will have a zero net impact and will better align 2009 cash flows with F&RE’s program requirements.

The Budget Committee:

1.         requested the City Manager and the Deputy City Manager and Chief Financial Officer to submit a full report to Council, through the Executive Committee, on the infusion of funds by way of the Canada Infrastructure Program.

2.         referred the following motion to the General Manager of Transportation Services for consideration and report to the Public Works and Infrastructure Committee:

“That the General Manager, Transportation Services be requested to report to the Public Works and Infrastructure Committee on a comprehensive list of the roads that need to be resurfaced and reconstructed.”

The Ontario Municipal CAO's Benchmarking Initiative (OMBI), has determined that the condition of Toronto’s roads, overall, are rated “good to very good” and that compared to their member municipalities across the Province are ranked the highest.  Nevertheless, the Transportation Services state-of-good repair backlog currently sits at $320 million, which is comprised of work that is past due for road repairs in the amount of $175 million, for bridges in the amount of $55 million and for the westerly section of the Gardiner Expressway in the amount of $90 million. What is often misinterpreted by many, however, is that even though the total quantity of work making up the backlog has remained relatively stable over the last several years, the cost to rehabilitate individual assets has increased by the cost of inflation. Therefore, one needs to distinguish between the physical extent of backlog assets against the associated cost.  Moreover, individual locations that make up the backlog listing are continually changing as infrastructure that has been rehabilitated is replaced with new locations.

Also important to recognize is that there is an upcoming wave of infrastructure built in the 1950’s and 1960’s, as the suburbs expanded, that is coming due for rehabilitation, which is exclusive of the defined level of backlog today. To deal with this concern, it is necessary to consider two alternative funding sources: the reallocation of approved funds in-year or the pursuit of third party assistance. In this regard, candidate ready-to-go projects have been identified that are currently beyond the City's current fiscal capacity to implement this year but could be advanced on an as needed basis. Consideration could be given to advance various local resurfacing projects, bridges, traffic plant improvements and major roadways. Various improvements were initially deferred in order to accommodate corporate and legislative priorities including those governing the abatement of basement flooding problems as well as those pertaining to the replacement of lead water services. The advancement of any combination of the above noted works will generate much needed construction jobs and many associated spin-off jobs. To put the matter into some context, the approval of an additional $30 million has the capacity to create 125 new jobs. Of course, the advancement of any infusion or reallocation of funding for any of the aforementioned work activity would have to be weighed against other council mandated initiatives/undertakings including, but not limited to, recently announced work for the Revitalization of Union Station and the Transit City needs for Sheppard, Finch and Eglinton Avenues.

The Budget Committee:

1.         forwarded the item to the Executive Committee without recommendation; and

2.         requested the Deputy City Manager and Chief Financial Officer to meet with the Chief General Manager of the Toronto Transit Commission regarding this matter prior to the meeting of Executive Committee and report directly to the Executive Committee if necessary.

Providing further information regarding Item BU48.5, “Procurement Authorization Kipling Station East Entrance Contract F7-25”.

The Budget Committee recommended to the Executive Committee that:

1.         City Council authorize the General Manager, Solid Waste Management Services, to provide waste loading services to the private sector for waste generated within City boundaries and within the Regions of Peel, York and Durham at a rate of $13.00 per tonne, exclusive of G.S.T. beginning May 1, 2009.

2.         Subject to the adoption of Recommendation 1, City Council approve the financial procedures outlined in Attachment 1 of the report (March 24, 2009) from the General Manager, Solid Waste Management Services, and authorize the General Manager to apply these procedures to all customers wishing to utilize the City’s waste loading services.

3.         City Council authorize the General Manager to apply the financial procedures set out in Attachment 1 of the report, with any necessary modifications, to all transfer station and Green Lane Landfill customers.

 4.        City Council adopt the transfer station fee of $100.00 for the new category of recyclable leaf and yard waste greater than 7.5cm (3”) in diameter shown in Attachment 2 of the report.

5.         City Council confirm the revised transfer station fees based on axle weights as shown in Attachment 2 of the report.

6.         City Council amend the 2009 Approved Operating Budget for Solid Waste Management Services as indicated in the Financial Impact section of the report.

Advising of the action taken by the Public Works and Infrastructure Committee on April 8, 2009.