HomeMy WebLinkAboutFCS Agenda - 2019-05-13Finance & Corporate Services Committee
Agenda
Monday, May 13, 2019
2:00 p.m. 4:30 p.m.
Office of the City Clerk
Council Chamber
Kitchener City Hall
nd
200 King St.W. - 2 Floor
Kitchener ON N2G 4G7
Page 1 Chair - Councillor S. Davey Vice-Chair - Councillor P. Singh
Consent Items
The following matters are considered not to require debate and should be approved by one motion in accordance
with the recommendation contained in each staff report. A majority vote is required to discuss any report listed
as under this section.
1. DSD-19-097 - Declaration of Surplus and Sale City Owned Lands
- Lancaster Street West
2. DSD-19-105 - Environmental Committee Recommendation
- 2019 Community Environmental Improvement Grant (CEIG)
Delegations
-law, delegations are permitted to address the Committee for a maximum of five
(5) minutes.
Item 3 C. Binning, Hemson
Item 3
Discussion Items
3. FIN-19-038 - 2019 Development Charges Public Input (120 min)
(Staff will provide a 5 minute presentation on this matter)
4. FIN-19-039 - Additional Federal Gas Tax Funding Allocation (30 min)
Information Items
None
Jeff Bunn
Manager, Council & Committee Services/Deputy City Clerk
** Accessible formats and communication supports are available upon request. If you require assistance to
take part in a city meeting or event, please call 519-741-2345 or TTY 1-866-969-9994 **
REPORT TO:Finance and Corporate Services Committee
DATE OF MEETING:May 13, 2019
SUBMITTED BY:Brian Bennett, Manager, Business Development, 519-741-2200 x7230
PREPARED BY:Rob Morgan, Capital Investment Advisor/ Brownfield Co-ordinator,
519-741-2200 x7734
WARD (S) INVOLVED:Ward1
DATE OF REPORT:April15, 2019
REPORT NO.:DSD-19-097
SUBJECT:Declaration of Surplus and saleCity owned lands Lancaster Street
West
_________________________________________________________________________________________
RECOMMENDATION:
described as Part 1 on Plan 58R-
That the closure of the unimproved Right of Way described as Waterloo Street Plan 577
be approved in principle;
That the Mayor and Clerk be authorized to execute an Agreement of Purchase and Sale
with 528 Lancaster Street West Inc. for their acquisition of two City-owned parcels of land,
as follows:
i)escribed as Part 1 on Plan 58R-18133 at a
purchase price of $585,000.00; and,
ii)
purchase price of $184,050.
That the Agreement of Purchase and Sale be conditional on the following:
i)The purchaser obtaining a Record of Site Condition, at their cost, for both
parcels ofland prior to closing;
ii)
iii)The City retains the right to re-purchase the subject lands at 90% of the
purchase price in the event that the purchaser has not commenced construction
with two years of Council approval; And further
***This information is available in accessible formats upon request. ***
Please call 519-741-2345 or TTY 1-866-969-9994for assistance.
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Thatthe Mayor and Clerk be authorized to execute all documentation required to
complete the transaction, said documentation to be to the satisfaction of the City
Solicitor.
BACKGROUND/ REPORT
Staff have been approached by Vive Development Corporation, requesting to purchase the
0.15 acre unimproved road allowance (Parcel 1) and the 0.65 acre City owned lot (Parcel2)
located immediately at the end of the road allowance. Their intention is to consolidate these
lands with the parcel of land they own at 528 Lancaster Street West in order to facilitate the
construction of a multiple dwelling unit.
currently zoned MU-2, Medium
Intensity Mixed Use Corridor Zone with Special regulation 625R which allows for freestanding
retail. The 0.65 acre City property to the rear iszoned B-2 Restricted Business Park with a
Special Use provision 40U which allows for an office use on the property.
with no concerns raised as to the sale of the road allowance or the lot. As the unimproved road
allowance is still considered open, it will be required to be closed.
Transportation Services has no concerns with the closure of the right of way as it is not needed
to serve local traffic and only provides a secondary access to 544 Lancaster Street West. To
accommodate this access, the purchaser has agreed to provide an easement in favour of the
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owner of 544 Lancaster Street. There are currently no other easements within the right of way
and therefore no other easements are required.
Further, the perspective purchaser will be required to secure a Record of Site Condition (RSC)
for all City lands at their expense prior to closing the transaction.The City will also retain the
right to re-purchase the subject lands at 90% of the purchase price in the event that the
purchaser has notcommenced construction within two years of Council approval.
The City retained the services of Coldwell Banker Commercial to provide values for the two
parcels. The 0.15 acre unimproved right of way (Parcel 1) was valued at $184,050 and the
0.65 acre (Parcel 2) was valued at $585,000 representing a total purchase price for the two
parcels of $769,050.00.
ALIGNMENT WITH CITY OF KITCHENER STRATEGIC PLAN:
the delivery of core service.
FINANCIAL IMPLICATIONS:
The sale proceeds in the amount of $769,050.00 will be deposit
account upon closing of the transaction.
COMMUNITY ENGAGEMENT:
INFORM
council / committee meeting.
ACKNOWLEDGED BY: Justin Readman, General Manager Development Services
Department
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REPORT TO:Finance & Corporate Services Committee
DATE OF MEETING:May 13, 2019
SUBMITTED BY:Cody Boomer,Executive Assistant,519-741-2200 Ext. 7407
PREPARED BY:Cody Boomer,Executive Assistant,519-741-2200 Ext. 7407
Carrie Musselman,Senior Environmental Planner,519-741-2200 Ext.
7068
WARD (S) INVOLVED:All
DATE OF REPORT:April 29, 2019
REPORT NO.:DSD-19-105
SUBJECT:ENVIRONMENTAL COMMITTEE RECOMMENDATION -2019
COMMUNITY ENVIRONMENTAL IMPROVEMENT GRANT (CEIG)
__________________________________________________________________________________________
RECOMMENDATION:
That the eight thousand dollars ($8,000) availablethrough the Community Environmental
Improvement Grantthis year be allocated as follows:
Six hundred dollars ($600) to Kitchener Master Gardeners specifically for room
rentals; and
Eight hundred dollars ($800) to Sunshine Montessori School to purchase terra-
cycle boxes for the school; and
One thousand and five hundred dollars ($1,500) to Transition Kitchener-Waterloo
for room rentals and workshop supplies associated with Neighbourhood Climate
Change Adaptation/Mitigation Workshops; and
Two thousand and seven hundred and twenty dollars ($2,720) to Divest Waterloo
for aResiliency and Regeneration Climate Conversations for Faith Communities
Event that would be inclusive to all and marketed to the broadest audience; and
further,
Two thousand and three hundred and eighty dollars ($2,380) be prorated toward
the 2020 Community Environmental Improvement Grant program.
BACKGROUND:
The Community Environmental Improvement Grant (CEIG) was created in 2004 tofoster a
sense of environmental stewardship throughout the City. The aim of the CEIG Program is to
encourage residents to actively participate in environmental initiatives, by undertaking projects
that meet the following objectives:
Increase awareness of how we view and treat air, water and land resources, and
encourage solutions to improve the quality of these resources;
***This information is available in accessible formats upon request. ***
Please call 519-741-2345 or TTY 1-866-969-9994for assistance.
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Promote healthy lifestyle practices
Foster a sense of environmental stewardship;
Promote and initiate the development of short-term, intermediate and long-term
community-based environmental program; and,
Support environmental research.
REPORT:
The Committee was in receipt of four applications for the 2019 Community Environmental
Improvement Grant (CEIG) program from the following groups:
Kitchener Master Gardeners
Divest Waterloo
Sunshine Montessori School
Transition Kitchener-Waterloo
To facilitate the evaluation process, the applications were included in the March 21, 2019
Environmental Committee Agenda. Additionally, applicants were invited to make short
presentations on their grant requests. Two (2) of the four (4) applicants opted to make
presentations to the Committee at March 21, 2019, meeting. On March 26, 2019, the 2019 CEIG
Sub-Committee evaluated of all four applications received based upon the criteria for funding
and the merits of the applications.Based on its deliberations, theSub-Committee brought
forward a recommendation which was circulated to the Committee for consideration at the April
18, 2019 meeting.
The CEIG Sub-Committee recommend 2019grant allocations as follows:
GroupRequested GrantRecommended
Grant Funding
Kitchener Master Gardeners $2,800.$600.
Sunshine Montessori School$400.$800.
Transition Kitchener-Waterloo$975.$1,500.
Divest Waterloo $1,800.$2,720.
At the April 18, 2019 Committee meeting, members expressed support for the sub-committee
recommendation.
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Funding Allocation Rationale:
The Kitchener Master Gardeners grant is to be used for expenses specifically for room
rentals.The recommended funding amount is less than requested asthe Sub-Committee
determined the room rentals were most beneficial to the community and did not include
funding to purchasing a new laptop and projector.
The Sunshine Montessori School grant is to be used to purchase terra-cycle boxes for
the school. The Sub-Committee recommendedadditional fundingto increase the number
of times theterra-cycle boxprogram can be executedin a school year.
Transition Kitchener-
associated with Neighbourhood Climate Change Adaptation/Mitigation Workshops. In
reviewing the budget for Transition Kitchener-plan, the Sub-Committee, based
on past experience, recommended additional funding toensure adequate funds are
available for the activities and number of workshops they intend to hold.
egeneration Climate
Conversations for Faith Communities Event that would be inclusive to all and marketed
Sub-
Committee, based on past experience, recommended additionalfunding to ensure the
group meets their goalswith this event.
total of $5620. be allocated to the four (4) CEIG applicants, and the remaining funds be allocated
to the 2020 CEIG program, as outlined in the recommendation contained herein.
Council Policy I-590 (Grant Program Community Environmental Improvement) and grant
ALIGNMENT WITH CITY OF KITCHENER STRATEGIC PLAN:
The recommendation of this
the delivery of core service.
implement the Community Vision for the Community Priority ENVIRONMENT, in which our
community focuses significant energy and resources on becoming more environmentally
friendly.
FINANCIAL IMPLICATIONS:
The Community Environmental Improvement Grant capital account has $8000 available for use
towards the 2019 CEIG program. Once the funds have been provided to the awarded grant
recipients there will be a balance of $2380. remaining in the account.
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COMMUNITY ENGAGEMENT:
INFORM
council / committee meeting.
Memos and other supporting materials including the applications were included in the
Environmental Committee agendafor the March 21, 2019 meeting.
In January, Planning staff provided the Environmental Committee with CEIG informational
brochures. In February, Planning staff sent an email to Environmental Committee members with
the CEIG process Timeline. Staff also promoted the grant opportunity through social media such
At the April 18, 2019 Environmental Committee, two (2) of the four (4) applicants made short
presentations on their grant requests.
COLLABORATE The initiative was done in collaboration with a Sub-Committee of community
volunteers from the Environmental Committee.
ACKNOWLEDGED BY: Justin Readman, General Manager, Development Services
Attachments
Appendix A Council Policy I-590 (Grant Program Community Environmental Improvement)
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2 - 5
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REPORT TO:Finance and Corporate Services Committee
DATE OF MEETING:May 13, 2019
SUBMITTED BY:Ryan Hagey, Director of Financial Planning, 519-741-2200 x 7353
PREPARED BY:Ryan Hagey, Director of Financial Planning, 519-741-2200 x 7353
WARD (S) INVOLVED:All
DATE OF REPORT:April 26, 2019
REPORT NO.:FIN-19-038
SUBJECT:2019Development Charges Public Input
___________________________________________________________________________
RECOMMENDATION:
THAT the Finance and Corporate Services meeting datedMay 13, 2019 be deemed as the
statutory public meeting for the 2019 Development Charges By-law update and it is
determined that no further public meetings will be held in respect to the passage of the
by-law; and further
BACKGROUND:
The Development Charges Act and its associated regulation allow municipalities to impose
development charges to pay for growth-related capital costs to service new development.
In order to do so, under the terms of the Act, municipalities must prepare a development charge
background study and pass a bylaw to determine the development charges, taking the following
into account:
A forecast of the amount, type and location of development anticipated in the municipality
for which development charges can be imposed.
The average capital service levels provided by the municipality in the 10-year period
immediately preceding the preparation of the background study.
A review of future capital projects, including analysis of gross expenditures, funding
sources and net expenditures incurred or to be incurred by the municipality, to provide
for the expected development.
An examination of the long term capital and operating costs for capital infrastructure for
each service to which the development charges relate.
Develo
expires on July 1, 2019. In order to update the bylaw, a background study must be published,
and at least one public meeting must be held.
Council has already provided direction to publish a background study, which was posted to the
th
.In addition, Council has also provided direction to schedule a
statutory public meetingwhich is the main focus of the time dedicated to this report on the May
th
13Committee agenda.
to the DC Study and bylaw, followed by an opportunity for stakeholders to provide theirinput.
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Council will consider this input prior to approving the 2019 DC Study and Bylaw (and all
th
supporting documentation) on June 24.
The purpose of this report is to:
Provide the calculated DC rates
Outline the financial consideration of a balanced cash flow
Identify changes to the DC bylaw
REPORT:
Calculated DC Rates(pages 24 & 25 of linked DC Background Study)
In an earlier report, staff provided multiple rate options for Council to choose from and noted the
associated impacts on the growth related capital program for each scenario. Council ultimately
provided dire
draft DC Study and Bylaw. The table below shows the proposed rate increases.
Proposed Development Charge Rate Changes
Current Calculated
Charge TypeLocation%Change
RateRate
Residential (Single)Suburban$11,572$19,64870%
Residential (Single)Central Neighbourhood$6,030$12,331104%
22
Non-ResidentialSuburban$59.60/m$63.79/m7%
22
Non-ResidentialCentral Neighbourhood$18.01/m$19.36/m7%
As shown in the table, DC rates are calculated for both residential growth (per unit) and non-
residential growth (per square metre of gross floor area). The residential and non-residential
rates are determined by adding up the total amount of DC eligible costs by service, and then
dividing those costs by the amount of forecasted growth. Kitchener further subdivides these rate
increases by geography, into the suburban area and central neighbourhood area. The central
neighbourhood area includes the downtown and expands out to the Expressway (on the east
and south), Westmount Road (on the west) and the City of Waterloo (on the north).
As can be seen in the table, the non-residential charges arenot increasing as muchas the
residential charges. This is primarily due to the following reasons:
1.Non-
to only be a benefit to residential growth. This means the overall cost pool to be funded by
non-residential development is smaller than the residential cost pool. And for this DC Study,
the largest increases are in Indoor Recreation and Outdoor Recreation, which are residential
only services.The lists below outline the services included in the residential and non-
residential cost pools.
Residential cost pool includes:
o Library, Fire, Indoor recreation, Outdoor recreation, Public Works, Parking,
Cemeteries, Development Related Studies, Sanitary, Roads & Related, Water,
Engineering Studies, Stormwater, Intensification Allowance
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Non-residential cost pool includes:
o Fire, Public Works, Parking, Development Related Studies, Sanitary, Roads &
Related, Water, Engineering Studies, Stormwater, Intensification Allowance
2.The growth projection for this DC Study includes increased non-residential growthcompared
to the previous study. This means the cost pool for non-residential growth is spread over
more development, which drives down the rate increase compared to residential growth.
Financial Consideration of a Balanced Cash Flow
When preparing the DC background study, staff were mindful of moving forward with priority
capital projects, but also having adequate funding to complete these projects.
financial consideration in preparing the DC background study was to have a balanced cash flow
and avoid deficits in the DC reserve funds. As shown in the graph below, this has been achieved
in the first 5 years of the forecast period, and at the end of the planning DC period(2036).
Projected DC Reserve Fund Balance (in $000s)
The DC reserve funds are projected to be just above break even in 2023, which corresponds
with the term of this DC Study and bylaw. From 2024 to 2036 the DC reserve funds are projected
to be in deficit, sometimes significantly (e.g. 2028 shows a projecteddeficit of $60M). The deficit
isa result of costlyinfrastructure investments related to both recreational facilities as well as
engineered infrastructuresuch as roads and sewers. Recreation projects reflect the priorities
approved by Council through the Leisure Facilities Masterplan and engineering projects reflect
the priorities identified in the Kitchener Growth Management Plan.
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The DC reserve funds then improve starting in 2029before ending the forecast period of 2036
in a balanced position. The cash flow forecast for the 2019 DC study is similar to the 2014 DC
study which forecasted deficit DC reserve fund balances of up to $40M in 2025 before ending
the forecast period of 2031 in a balanced position.
It is more important that the cash flow be balanced in the short-term than the long-term, as the
City will have the opportunity to update the revenue projections and the timing/costing of capital
projects in future iterations of the DC background study to reflect actual growth patterns and
project costs. The commitment of the current background study and bylaw is to 2023 (at the
latest), so staff have focused on being at a breakeven point the next time the DC study would
typically be updated. This has been achieved, and there is minimal capacityto advance any
other capital projects and still maintain a balanced cash flow at 2023.
During the next DC Study,balancing cash flow beyond 2023will likelybe a significant topic of
consideration. Council may have to decide whether they would prefer deferring capital projects
or issuing debt to fund projectednegative DC reserve balances.
Changes to the DC Bylaw
The majority of the content for the 2019 DC bylawis similar to the 2014DC bylaw. Staff have
made some minor wording changes to better clarify some sections, and have also tried to better
align wording with the Regional bylaw so people paying DCs are treated the same way by the
City and the Region. That being said there are three changes to the bylaw to which staff believe
it is worth drawing attention (note: all page numbers refer to the linked 2019 DC bylaw)
1.Existing Industrial Building Definition(p. 246)
Updated date in definition from June1, 2014 to July 1, 2019. Qualifying industrial buildings
willbe able to expand their July 1, 2019 footprint by up to 50% without paying DCs.
2.Indexing of DC Rates(clause 7.2, p. 257)
DC rates are indexed annually by the City of Kitchener and many othermunicipalities. As
st
part of the 2019 DC bylaw, the indexing date is being moved from January 1to December
st
1. All of the municipalities in the Region have agreed to standardize their date of indexing
st
to December 1to help avoid rushes on building permit issuance at the end of the year
when Building departments often have many staff off on vacation.
3.Redevelopment Allowances(clauses 6.8 to 6.11, pages 255-256)
When an existing building is demolished, developers qualify for a redevelopment allowance
(RA) equal to the value of the DCs for the building that was demolished. As part of the 2019
DC bylaw, the City proposes to implement time limits for RAs,which is the practice ofall
other municipalities in the region. The City iscurrently an outlier within the region as it has
no time limits for RAs, which can cause confusion with the development industry and makes
record keeping very difficult. Timing for RAs in the 2019 DC bylaw (clause 6.10 a) matches
the Region of Waterloo and is split based on existing use:
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Residential = 5 years from building permit issuance
Non-Residential = 10 years from building permit issuance
In addition, staff heard some initial feedback from the Waterloo Region Homebuilders
Associationthat there should consideration given to some sort of grandfathering provision
bylaw does this by doubling the time limits for RAs on these properties(clause 6.10b).The
timeframes for grandfathered properties are:
Residential = 10 years from building permit issuance
Non-Residential = 20 years from building permit issuance
Further, the Waterloo Region Homebuilders Associationalso asked for considerationon
properties that have environmental sensitivities and require a record of site condition. The
time limit for RAs by up to an additional 10 years in these situations.
ALIGNMENT WITH CITY OF KITCHENER STRATEGIC PLAN:
Strategic Priority:Effective and Efficient City Services
Strategy:5.4 Ensure the responsible stewardship of public funds within a supportive policy
framework.
Strategic Action:#CS41 Development Charges Background Study (2019)
FINANCIAL IMPLICATIONS:
Development charges are used to fund growth related capital infrastructure, with the specific
projects and timing detailed in the DC Study. The proposedrates are summarized earlier in this
th
report and will be formally set by Council on June 24. Once approved, the 2020-2029 Capital
Budget and Forecast will be updated to reflect the approved capital program to be funded by the
new DC rates.
COMMUNITY ENGAGEMENT:
INFORM
council / committee meeting.
As noted in the report, the mandatory public meeting relatedto development charges will happen
on May 13, 2019.
In addition to the statutory public meeting required by the Development Charges Act, staff met
twice with the Waterloo Region Homebuilders Association (WRHBA) Liaison committee. Once
in January to provide a generalupdate about the DC process timelines, and again in April once
Council had provided direction about rate increases. At the April meeting, staff provided draft
versions of the DC rate tables, growth projections, historicalservice levels, and capital forecasts
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(two weeks in advance of the statutory 60-day requirement). As well, staff provided theWRHBA
draft versions of the Engineering project sheets in January.
nd
Further, staff organized a meeting with industry stakeholders for the morning of May 2to
provide an overview of the 2019 DC Study and bylaw, clarify the assumptions used in the Study,
answer questions, and solicit their feedback in advance of public meeting and prior to Council
passing the DC bylaw.
PREVIOUS CONSIDERATION OF THIS MATTER:
Two previous reports about the 2019 Development Charges process have already been
provided to Council. They are:
FIN-19-013,2019 Development Charges Overview(February 25, 2019)
FIN-19-029, 2019 Development Charges Priorities & Rate Options (April 1, 2019)
ACKNOWLEDGED BY: Jonathan Lautenbach, Chief Financial Officer, Financial Services
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REPORT TO:Finance and Corporate Services Committee
DATE OF MEETING:May 13, 2019
SUBMITTED BY:Ryan Hagey, Director of Financial Planning, 519-741-2200 x 7353
PREPARED BY:Ryan Hagey, Director of Financial Planning, 519-741-2200 x 7353
WARD (S) INVOLVED:All
DATE OF REPORT:April 5, 2019
REPORT NO.:FIN-19-039
SUBJECT:Additional Federal Gas Tax FundingAllocation
___________________________________________________________________________
RECOMMENDATION:
That a total of $6,900,000.00 of the federal gas tax, as outlined inFinancial Services
Department report FIN-19-039, be allocated as follows:
A.$1,100,000 Woodside Park
B.$1,000,000Sportsfields Infrastructure
C.$300,000Vanier Park Splash Pad
D.$650,000Park Bridge Replacements
E.$1,000,000Roofing Replacement: The Aud
F.$1,000,000Roofing Replacement: Recreation & Culture Facilities
G.$975,00091 Moore Sustainable Building Improvements
H.$225,000Building Automation Systems Replacement/ Upgrades
I.$650,000HVAC Replacement: Breithaupt Centre
BACKGROUND:
On March 19, 2019 the Government of Canada tabled its 2019 Federal Budget and announced
that it would be providing an additional $2.2 billion to Canadian municipalities ($820 million for
Ontario) to address short-term priority infrastructure needs through a one-time allocation of
Federal Gas Tax Funding. These details were confirmed in a letter from the Minister of
Infrastructure and Communities dated March 27, 2019.
ded in
the Canada-Ontario Integrated Bilateral Agreement(COIBA). Based on the information from the
letter, The funding available under Federal
Gas Tax and COIBA are summarized in the table below.
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Federal Funding Available to Ontario Municipalities
Funding Ontario AnticipatedKitchener
StreamPortionKitchener PortionEligibility
Federal Gas Tax$820 million$7 millionConfirmed
Public Transit$8.3 billion$0Not eligible
Green Infrastructure$2.8 billionTo be determinedLikely
Community, Culture & Recreation$407 millionTo be determinedLikely
Rural & Northern$250 million$0Not eligible
The remainder of this report outlines the eligible areas for Federal Gas Tax investment and
providesoptions for how the additional funding could be allocated.
REPORT:
How Federal Gas Tax Can Be Spent
As noted in a recent report to Committee(FIN-19-031 Additional Federal Gas Tax Funding), the
City is anticipating an additional $7 million of Federal Gas Tax based on the 2019 Federal Budget
announcement. These funds can be used for a number of eligible categories including:
public transitshort-line rail
wastewater infrastructureshort-sea shipping
drinking waterdisaster mitigation
solid waste managementbroadband and connectivity
community energy systemsbrownfield redevelopment
localroads and bridgesculture
capacity buildingtourism
highwayssport
local and regional airportsrecreation
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Asummary document prepared by Infrastructure Canadathatprovides more detail about the
types of projects that would fall into the various categories has been attached to the end this
report.
How Federal Gas Tax Is Currently Planned ToBe Spent
The 2019-2028 Capital Budget & Forecast included just over $73 million of Federal Gas Tax
funding for 38 projects. Nearly 70% (or $50 million) of the total funding included in the 10-year
forecast is allocated to roads and bridges, with the other 30% (or $23 million) of the funding
being allocated to culture, tourism, sport, and recreation. The single biggest benefactor of
, which is forecast to receive
approximately $36 million of funding over the next decade.
Options For The Additional $7 Million
A cross-functional team of staff met in mid-April to identify projectsthat could be funded from the
additional $7 million of Federal Gas Tax. These options were then vetted by the Corporate
Leadership Team prior to being included in this report. Some of the criteria considered when
reviewing specific projects included:
Does this help achieve a goal of the Strategic Plan or other masterplan?
Does this work help address
Can the work be mobilized quickly to commence during this construction season?
Does the City have adequate resources to coordinate the additional work?
Are there other potential funding sources (specifically grants) that could fund this work?
Is there a financial payback for completing this work?
listing of potential projects, which includes all of the projects recommended in this report, as well
as a few othersthat could be considered instead. Alternatively, Council could choose to hold
back some portion of the funding and allocate it at a future date, either through a staff report or
the budget process.
The projects recommended by staff focus on addressing aging City facilitiesand Leisure
Facilities Masterplan (LFMP) priorities
related to energy efficiency. City facilitieswere identified through the Long Term Financial Plan
work that is underwayas an area requiring additional investment based on newinformation from
program. Moreinformation about City facilitieswill be coming to
Council later this spring, but staff believe allocating a portion of the additional Federal Gas Tax
funding to facilitiesis a prudent step to safeguarding these City assets. The LFMP also identified
maintaining existing facilities as a high priority, whether it be recreational buildings or sportsfield
mendation (as noted below) reflects this.More details about each
of the projects are included as an appendix to the report.
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Table 1 -Summary List of Projects for Additional Federal Gas Tax Funding
#ProjectName$ AmountProject Summary
RECOMMENDEDPROJECTS
Replace existing artificial turf fields and improve
AWoodside Park$1,100,000
the existing parking lot.
Replace lighting, backstops, and bleachers at a
BSportsfieldsInfrastructure$1,000,000
number of existing sportsfields.
CVanier Park Splash Pad $300,000Replace existing splash pad with new features.
DPark Bridge Replacements$650,000Replace three park pedestrian bridges.
Roofing Replacement:Replace a portion of the roof at the Kitchener
E$1,000,000
The AudMemorial Auditorium Complex
Roofing Replacement:Replace the roofs at Victoria Hills Community
FRecreation & Culture$1,000,000Centre, THEMUSEUM, Homer Watson Gallery,
Facilitiesand both golf courses.
91 MooreSustainable Replace building exterior components to improve
G$975,000
Building Improvementsenergy use.
Building Automation
Update control systems to improve energy
HSystems Replacement/ $225,000
efficiency.
Upgrades
HVACReplacement: Replace existing conventional boiler system with
I$650,000
Breithaupt Centremore energy efficient system.
TOTAL$6,900,000
OTHERPOTENTIAL PROJECTS
Update and enhance the Kitchener Operations
KOF Yard Reduce, Reuse
J$500,000Facility (KOF) for reuse and recycling of materials
& Recycle Excess Material
gathered from roadway maintenance and repair.
KOF Green Energy Repair geothermal loop, install charging stations
K$1,250,000
Optimization & Expansionfor electric vehicles, and update lighting to LEDs.
Replace spandrel glass panels and repair/replace
LCity Hall Building Envelope$2,200,000
other exterior granite/terra cotta panels.
ALIGNMENT WITH CITY OF KITCHENER STRATEGIC PLAN:
The
the delivery of core service.
FINANCIAL IMPLICATIONS:
The additional $7 millionof Federal Gas Tax funding will be allocated to capital projects based
on further discussion with Council.
COMMUNITY ENGAGEMENT:
INFORM
council / committee meeting.
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PREVIOUS CONSIDERATION OF THIS MATTER:
An overview report about the additional Federal Gas Tax allocation was provided to Committee
earlier this year in report:
FIN-19-031, Additional Federal Gas Tax Funding(April 15, 2019)
ACKNOWLEDGED BY: Jonathan Lautenbach, Chief Financial Officer, Financial Services
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Project Name A) Woodside Park
Funding Request $1,100,000
Description
Woodside park is a major sports and recreation venue in the heart of Kitchener. Consisting of an
outdoor artificial turf field it provides unique early season and late season access to outdoor sports
facilities. This project would focus on two key elements:
The replacement of the existing artificial turf surface: the existing surface is nearing the end
of its operational life and ensuring uninterrupted access to this facility is key as the City
undertakes implementation of the LFMP ($1,000,000)
The addition of an exit from the park lot: the existing parking lot was designed with a one
way in, one way out design in mind, however the exit was never implemented. At peak
times this causes some significant challenges. ($100,000)
Timing This work could occur in 2020; with spring already started, the field is open for
use so this would need to be aligned to happen off season.
Resourcing It is likely that this could be accommodated within existing workloads.
Project Name B) Sportsfields Infrastructure
Funding Request $1,000,000
Description
This work will target a number of infrastructure enhancements and improvements at existing sports
facilities across the City and will be will be aligned with needs demonstrated through the LFMP.
Parks such as Rosenberg, Bridgeport and Crosby all have deficiencies that this investment would
help address. The focus of this work will be on:
Lighting improvements where we have existing sportsfields lights, upgrading these to
modern standards. This improves efficiency, they are more sustainable and enhance
usability of fields. Through remote operation, they are more efficient on staff resources.
Backstop improvements a number of backstops have been identified as in need of
enhancements and infrastructure replacements. This work will extend the lifespan of these
assets and enhance user satisfaction
Bleacher Upgrade and Replacement many bleachers at sportsfields are older and will
soon need replaced. A program of replacements will leverage potential cost savings,
enhance usability of sites and provide modern facilities for both players and spectators.
Timing Work would be performed by outside contractors and would require minimal
design elements. It is likely that most work could be completed in 2019, with
some element potentially in 2020 if its not possible to complete through the
sports season.
Resourcing As this is enhancements to existing assets, and largely outsourced, it is not
consider that any additional resources would be required.
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Project Name C) Vanier Park Splash Pad
Funding Request $300,000
Description
Rehabilitation of the Vanier Park Splash Pad at a cost of $300,000 for demolition, new features and
concrete replacement.
Timing Design and tendering in 2019. Construction in early spring 2020.
Resourcing Project design and construction will be contracted.
Project Name D) Park Bridge Replacements
Funding Request $650,000
Description
A 2016 OSIM bridge inspection report noted a number of pedestrian bridges that were in need of
immediate repair or replacement. As part of the 2019 budget, the replacement of the Trestle Bridge
on the Iron Horse Trail was funded and will be replaced. Work, up to an including full replacement,
on additional bridges was deferred to future budget processes. This project would address the most
immediate and pressing needs identified in the 2016 report, namely the following bridges:
Removal of existing and replacement of bridge at Park Street, Victoria Park. The bridge
would be replaced with bridges similar to those implemented at other sites in the park that
have newer bridges. Estimated cost: $310,000
Removal of two bridges at Lynnvalley Park, and installation of one new bridge. The new
bridge would functionally replace the two bridges being removed. Estimated cost: $185,000
Removal and replacement of a bridge at Montgomery Court. There are two bridges in need
of replacement here, sufficient funding is available for replacing one of the two. Estimated
Cost: $155,000
Timing Some initial work has been done through the OSIM report and
recommendations. Initial design concepts have been discussed through the
budget 2019 preparation. Most of the solutions would be designed and project
It is anticipated that work would start in 2019 and be completed in 2020.
Resourcing As this is enhancements/replacements to existing assets, and largely
outsourced, it is not consider that any additional resources would be required.
Project Name E) Roofing Replacement: The Aud
Funding Request $1,000,000
Description
This project would replace the Dom Cardillo arena main bowl roof and small Annex roof section
based on a condition assessment completed in 2016.
Timing Specification and tendering in 2019. Construction in Spring/Summer of 2020.
Resourcing Project design, specifications and construction will be contracted.
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Project Name F) Roofing Replacement: Recreation & Culture Facilities
Funding Request $1,000,000
Description
A number of recreation facilities have roofs systems that are nearing the end of their useful lives.
This project would replace roof assemblies based on the condition assessment completed in 2016.
Community Centres: Victoria Hills Community Centre $150,000
Arts & Culture: THEMUSEUM $400,000; Homer Watson Gallery $100,000
Sport: Doon Valley Golf $250,000; Rockway Golf $100,000
Timing Specification and tendering in 2019. Construction in Spring/Summer of 2020.
Resourcing Project design, specifications and construction will be contracted.
Project Name G) 91 Moore Ave (future mausoleum)
Sustainable Building Envelope Improvements
Funding Request $975,000
Description
In advance of the purchase of 91 Moore Avenue, a Building Condition Assessment (BCA) was
completed to understand the asset conditions and long-term maintenance needs. As a result of the
BCA, recommendations for improvement were provided in a detailed report. The significant body
of work required to improve the energy performance of the building envelope include a number of
cladding system repairs (siding, insulation, brick repointing $725,000), replacement of original
windows ($100,000) and two sloped roof sections (built-up and steel $150,000).
Timing Design, specification, tendering and award in 2019.
Construction start in spring 2020; Project completion in Summer of 2020.
Resourcing Project design through construction will be contracted.
Project Name H) Building Automation Systems (BAS) Replacement/Upgrades
Funding Request $225,000
Description
Older BAS systems in some facilities (e.g. Kiwanis and Kinsmen Ice Pads) are at end of life and
incompatible with newer related systems. This project will redesign and integrate systems to
improve control and energy efficient operations.
Timing Design and specification in 2019.
Installation in off-season of 2020.
Resourcing Project will be designed with internal staff and prequalified vendors.
Installations will be contracted.
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Project Name I) HVAC Replacement: Breithaupt Community Centre
Funding Request $650,000
Description
Older HVAC systems are not energy efficient as are current day replacement options. This project
would replace onventional boiler system with more energy efficient
condensing boiler systems (including piping and pumping systems). This project would reduce
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energy by approximately 15,330 m resulting in annual carbon emissions reduction of 38 tonnes
and financial savings of approximately $28,000.
Timing Specification and tendering in 2019.
Installation in Winter through Fall of 2020. Completion in 2020.
Resourcing Project design, specifications and construction will be contracted.
Project Name J) KOF Yard Reduce, Reuse, Recycle Excess Material
Funding Request $500,000
Description
The City generates over 50,000 tonnes of excess material annually maintaining infrastructure within
the right of way. The project will provide an environmentally responsible facility for reusing and
recycling excess material. Approximately 35 % can be recycled for use on City infrastructure
maintenance work, another 58% can be reused as fill on private developments leaving only 7% of
the excess material generated having to go to a waste treatment facility. This project would
ensure all processes are compliant with Ministry of Environment Conservation and Parks as well as
waste handling legislation.
Timing Design work Fall of 2019, work completed Spring 2020.
Resourcing Project Design and construction will be contracted.
Project Name K) Kitchener Operations Facility Green Energy Optimization & Expansion
Funding Request $1,250,000
Description
This project includes actions in the corporate climate action plan and establishes keystone
infrastructure that is necessary to grow our sustainability program in priority areas. For example,
without fast charging stations the City cannot expand its electric fleet because of the full project
cost it has not been budgeted. In furthering the actions in the corporate climate action plan, this
action. . This project has significant associated carbon emission reduction, totaling 400 tCO2e.
Increased utility costs from optimizing the geothermal loop with be offset with the financial savings
from the LED upgrades. With this project, KOF truly will be a state-of-the-art sustainable
operations facility. Project costs include:
$325,000 for materials (e.g. transformers, charging stations, conductors, concrete)
$325,000 for labour = $325,000
$275,000 for geothermal loop repair
$325,000 for LED Remaining
Timing Spring 2019 start with project scope and final design (geothermal loop already
has been designed), construction fall to winter 2019 to mid-2020
Resourcing Project will be designated with internal staff. Design and installations will be
contracted.
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Project Name L) City Hall Building Envelope
Funding Request $ 2,200,000
Description
In fall of 2018, MTE Building Restoration division staff were retained to review the conditions of the
spandrel panels and cladding at City Hall. Approximately 65% of the panels have experienced
debonding of the coating film, but the function of the curtain wall is not affected. Complete
replacement of all panels, weather seals and structural seals is recommeneded.
Cost Estimate = $1,800,000
Further, MTE investigated the condition of the granite and terra cotta wall panels and
recommended several repairs: replace broken panels; repair/replace failed sealants and anchors;
replace sheet metal flashings and transition membranes and clean and seal panels.
Cost Estimate = $400,000
Timing Design, specification in 2019; tendering and award in early 2020.
Construction start in spring 2020; continue in 2021. Must ensure separation of
time and space from Carl Zehr Square & College construction in 2020.
Pedestrian access through Duke St. required. Reverse for 2021.
Resourcing Project design through construction will be contracted.
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