HomeMy WebLinkAboutINS-13-075 - Rapid Transit Engineering Update
REPORT TO:
Community & Infrastructure Services Committee
DATE OF MEETING:
September 9, 2013
SUBMITTED BY:
Pauline Houston, DCAO, Infrastructure Services
PREPARED BY:
Barbara Robinson, Director of Engineering (519-741-2200 x
7410)
WARD(S) INVOLVED:
All
DATE OF REPORT:
August 30, 2013
REPORT NO.:
INS-13-075
SUBJECT:
Rapid Transit Engineering Costs Update
RECOMMENDATION:
For Information
BACKGROUND:
ReportINS 12-007, City and Region Cost Sharing Agreement – Infrastructure Relocation
related to Region Rapid Transit Project, was presented to Community and Infrastructure
Services Committee on April 16, 2012, by Grant Murphy.
This report outlined and recommended endorsement of the proposed cost sharing arrangement
as defined in a memorandum of understanding between the City and Region (based on age of
infrastructure) for the relocation of the City’swatermains, sanitary and storm sewers to be
affected by the RT project.
The report identified that $18.7 million (Class C estimate) would be required to relocate this
infrastructure, with costs shared between the Region and City. For City’s portion, sources of
this funding were previously identified in the then-current 10 year forecast, along with some
newly identified deferrals to the financing/timing of some plannedCity/Regional reconstruction
projects to accommodate the RT needs. In the latter case the Region agreed to either front end
finance the City’s portion of the cost of these City/Region projects, or defer them beyond the 10-
year window of the capital forecast,so as to not adversely affect the City’s cash flow or force the
City to defer its own previously identified infrastructure projects scheduled in the 2014 – 2019
time frame. Since the report, a third option to have the Region simply front end finance the
City’s unallocated portion of the RT relocation work has been identified and is being discussed
with Regional staff. The timing of payment for the City’s portion will be determined in the
upcoming formal cost sharing agreement. Adequate funding to accommodate all of these
options has been identified in the 2020 – 2022 time frame of the City’s capital forecast since
2012.
In summary, INS 12-007 concluded that the funding requirements for infrastructure replacement
as part of the rapid transit projects, placed no additional financial burden on Kitchener, and did
not adversely impact other reconstruction priorities in the near to mid-term. Reallocation of
existing funding in the then-current approved capital forecast was adequate for all RT costs.
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REPORT:
Region of Waterloo staff has now provided the City of Kitchener with Class C+/B- cost estimates
of the City share of RT costs associated with relocation of this infrastructure.
These updated unit costs and cost estimates are considered to be very thorough by engineering
staff.
Based on the information available to us now, it appears that our original allocations in the
capital budget forecast are appropriate to complete this work.
In the next several months, City and Region staff will be meeting to develop a formal cost
sharing agreement for the relocation of the City’s watermains, sanitary, and storm sewers
affected by the rapid transit project. The basis of those negotiations will be the cost sharing
formula as outlined in the MOU, and the financing options both as outlined above. Once
complete, staff will bring this agreement to council for consideration.
ALIGNMENT WITH CITY OF KITCHENER STRATEGIC PLAN:
City of Kitchener’s work on the Regional Rapid Transit Project aligns with, and contributes to, all
of the “Community Priorities” in the City’s Strategic Plan.
FINANCIAL IMPLICATIONS:
There are no financial implications at this time, as all costs associated with RT projects are
already accounted for in capital forecasts.
COMMUNITY ENGAGEMENT:
This information report regarding the City of Kitchener Rapid Transit initiatives is intended to
inform the public.
CONCLUSION:
The engineering costs associated with the RT project are currently on budget and accounted for
in our 10 year capital forecast.
ACKNOWLEDGED BY:
Pauline Houston, Deputy CAO
Infrastructure Services Department
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