HomeMy WebLinkAboutFIN-19-078 - 2019 State of the Infrastructure ReportREPORT TO: Finance and Corporate ServicesCommittee
DATE OF MEETING:September 30, 2019
SUBMITTED BY: Jason Winter, Director – Asset Management & Business Solutions
(519)741-2600 x.4630
PREPARED BY:Jason Winter, Director – Asset Management & Business Solutions
(519)741-2600 x.4630
WARD (S) INVOLVED:All
DATE OF REPORT:August 26, 2019
REPORT NO.:FIN-19-078
SUBJECT:2019 State of the Infrastructure Report
___________________________________________________________________________
RECOMMENDATION:
That staff be directed to report annually on the state of the City’s infrastructure.
BACKGROUND:
The City is legislated by the Province of Ontario’s Infrastructure for Jobs and Prosperity Act,
2015 to create and maintain thorough asset management plans (AMPs) for all asset categories.
The most consistent and cost effective asset management strategiesinclude a data-driven, risk-
based approach that combines long-range financial planning and effective maintenance
activities. The goal is to sustain a systematic approach that optimizes the management of the
City’s assets with minimal risk and in the mostcost effective way.
REPORT:
Starting this year, an annual ‘snapshot’ of the City’s most critical infrastructure will be shared
with Council as a means of highlighting the current state of our assets. The 2019 State of the
Infrastructure Reportprovides a current reportof the City’s most critical infrastructure groups
and highlights key aspects of each category. By using a consistent approach, this annual report
will act as a regular “report card across” the City’s 13 asset categories.
Several noticeable changes to information that may have been presented in other recent
sessions:
1.The overall replacement value has increased to $7.5B. This value has changed due to
newly available data leading to updated replacement valuations primarily for Gas Utility
and Facility asset categories.
2.The overall infrastructure gap across all asset categories total $341.7M over 10-years.
This value is based on useful life calculations across asset categories. The notable
exception to this is for Water, Sanitary and Stormwater categories. The Water
*** 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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Infrastructure Program (WIP) includes condition and risk as well as useful life to determine
the required investment to replace infrastructure and close the gap by 2044.
3.Overall, the gap analysis and grade for each asset category is based on available
information and financial forecasts for a 10-year period. This is a relatively short timeline
for assets that have a typical lifespan of more than 80 years. As more and new
information becomes available, each category will be updated accordingly.
With the on-going development of asset management plans across the different infrastructure
categories, the opportunity to enhance the information and to illustrate a more data-driven
analysis of the current state of the category. Emphasis will continue to be placed on developing
inspection programs that introduce condition informationwhich is another vital component to
assessing the state of an asset.
ALIGNMENT WITH CITY OF KITCHENER STRATEGIC PLAN:
Strategic Priority:Sustainable Environment and Infrastructure
Strategy:4.5 – Strengthen the capability and capacity within the organization to manage all of
the city’s assets so that they are affordable, dependable and sustainable in the long-term
FINANCIAL IMPLICATIONS:
Thereis no direct cost impact, however asset management plans influence long-term financial
forecasting for assets under City management.
COMMUNITY ENGAGEMENT:
INFORM – This report will beposted to the City’s website with the agenda in advance of the
council / committee meeting.
ACKNOWLEDGED BY: Jonathan Lautenbach, Chief Financial Officer
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CITY OF KITCHENER
2019 STATE OF THE
INFRASTRUCTURE REPORT
19 September 2019
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Table of Contents
Introduction.......................................................................................................................................... 1
Kitchener’s Infrastructure at a Glance............................................................................................. 3
Asset Components.............................................................................................................................. 4
State of the City’s Infrastructure........................................................................................................ 5
Summary of Key Findings.................................................................................................................... 7
Asset Category Report Cards............................................................................................................ 9
Water Utility.....................................................................................................................................10
Sanitary Utility..................................................................................................................................11
Stormwater Utility............................................................................................................................12
Gas Utility.........................................................................................................................................13
Roads & Bridges.............................................................................................................................14
Facilities...........................................................................................................................................15
Other Asset Categories.................................................................................................................16
Future Outlook –‘Improving the Grade’........................................................................................18
Appendix A –Explaining the Scorecard.........................................................................................20
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Introduction
The City of Kitchener is a growing, vibrant and innovativecentre within the Region of
Waterloo. With a populationestimateof 257,000 (2019Census) and coveringover 136
square kilometers,the populationhas already surpassed the most current forecast
projections(Figure 1). The fastest growing areas of the City include the southwest,
downtown and southeast. The southwest is projected to grow at the fastest rate or 28,787
residents and almost double its total population by 2041. The downtown core is expected
1
to grow by 10,236 residents and the southeast will grow by 17,484 residents by 2041.
City of Kitchener Population Growth
350,000
300,000
250,000
200,000
150,000
100,000
50,000
0
2011201620212026203120362041
Population
227,200241,800254,300269,800286,500301,470315,100
Figure 1 – City of Kitchener Population Growth
Appropriate long-term investments in coreinfrastructure iscrucial to maintain the growing
expectations of our community and to ensure we sustain our obligation to optimize the
management of our City’s assets.
In addition to safeguardingthe health of the City’s assets, factors outside of our control are
continuing to impact the status quo of maintaining our infrastructure. The widespread scale
and complexity of climate change poses considerable environmental, economic and
social risks to the City. Theeffects of climate change are creating more extreme variations
in local weather patternsandlonger term changes to local climatic conditions.
Infrastructure fails to perform as it should under these conditions in the following ways:
increased pressure on the energy grid, facility heating and coolingsystems which in turn
1
2019 Leisure Facility Master Plan
CITY OF KITCHENER | STATE OF INFRASTRUCTURE REPORTPAGE | 1
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create higher costs and potential outages; road and walkway damage along withliability
from increased freeze/thaw cycles; invasive species migrate to new habitat and decimate
local urban forests(e.g. Emerald Ash Borer); frequent heat waves puttingvulnerable
populations at risk; etc. Climatechange is expected to affect a broad range of municipal
assets and government services. Preparing for climate changeis a matter of risk
management, good governance and development of effective asset management
practices. This can significantly improve community resilience and reduce the severity of
2
these effects over time.
The 2019 State of the Infrastructure Reportprovides a current snapshot of the City’s most
critical infrastructuregroups and highlights key aspectsof each category.For each core
3
asset category, an overall “grade”
is given to illustrate the current state of thatcategory.
This grade is a holistic assessment of the asset category and isbased on a number of
factors. These factorsinclude:
A thorough financial strategy to maintain the expected levels of service
throughout the lifecycle of the asset
Condition information that leads to understanding the health of the asset
throughout it’s useful life
The existence of preventative maintenance and/or rehabilitation programs to
ensure the assets meet their expected lifecycle
The availability of complete and reliable data for which to create and sustain
asset management plans focusingon optimizing the management of the assets.
As mentioned above, an evaluation of data reliability is provided to illustrate the quality of
information available to inform a detailed lifecycle management plan.
Little or no reliable Some ‘high level’ or Reliable data, but Quality data, but High quality and
information availablehistorical information gaps in detail and/or lacking some detailreliable detailed
foundcurrencydata
When assessing the overall condition of an asset category, data reliability is only one factor
in a number of components. Although there might be gaps in detail and/or currency of
information, evaluating work activities, maintenance programs, achieving service levels
and other capital projects, the overall condition is formulated.
2
INS-18-017– Corporate Asset Management Policy
3
A further explanation of grading is outlined in Appendix A – Explaining the Scorecard
CITY OF KITCHENER | STATE OF INFRASTRUCTURE REPORTPAGE | 2
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Kitchener’s Infrastructure at a Glance
4
ASSET VALUATION
Facilities
15%
Total Replacement
Water Utility
24%
Value - $7.5Billion
Stormwater
Utility
9%
Water Utility$1,781M
Gas Utility$1,554M
Other
5%
Facilities$1,110M
Roads & Bridges
13%
Sanitary Utility$1,038M
Roads & Bridges$945M
Stormwater Utility$719M
4
Gas Utility
Other$378M
Sanitary Utility
20%
14%
Please note that changes from previous totalsare as a result of newly available data leading to
updated valuationsprimarilyfor Gas Utility and Facility asset categories.
1,169 (lane-km)| Paved Local Streets
1,054km| Gas mains14| Community centres
1,171km| Sidewalks72,225| Gas meters7| Fire Stations
85| Bridges2,147 ha| Parks & Open Spaces5| Community pools
891km| Water mains219| Playgrounds9| Splash pads
4,374| Hydrants155km| Trails2| Golf Courses
845km| Sanitary sewer mains111| Sports fields10| Arenas
23| Pumping Stations62,416|Boulevardtrees24| Parking structures & lots
381km| Stormwater mains26,902| Traffic Signs6| Cemeteries
165|Stormwater facilities18,895| Street Lights1,893| Fleet Vehicles & Equipment
4
The “Other” category consists of the followingasset categories: Parks & Open Spaces, Cemeteries, Forestry, Parking,
Golf, Transportation Services and Fleet.
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Asset Components
Within each asset category, there are a number of major components that make up the
total valuation and lifecycle management strategy. The table below outlines the major
asset components within each asset categoryacross the City. As asset management plans
are developed and updated, additional asset components may be added in order to
ensure the most comprehensive analysis of the City’s assets.
Water UtilitySanitary UtilityStormwater Utility
water main pipessanitary main pipesstormwater pipes
water service pipessanitary service pipesstormwater manholes
valvessanitary manholescatchbasins
hydrantspumping stationsstormwater management ponds
water metersoil & grit separators
stream reaches & creeks
Gas UtilityRoads & BridgesFacilities
gas mainsroad pavementcritical facilities & structures
gas service pipescurbscommunity facilities & structures
gas valvessidewalksother facilities & structures
gas metersmulti-use pathways
gas regulator pits & stationsbridges (greater than 3m span)
rental water heatersculverts
Parks & Open SpacesForestryParking
sports fieldsstreet treesrevenue generating surface lots
hard surface sports facilitieswood lotscommunity surface lots
parks & turfparks & open spaces treesunderground parking structures
playgroundsparking garages
trailson-street parking
pedestrian bridges & parking equipment
boardwalks
parking sundry/misc. items
horticulture
CemeteriesGolfTransportation Services
course featuresbike racks & bollards
cemeteryinfrastructure (roads,
horticulture, water services, etc.)
buildingspedestrian railings and guiderails
cemetery buildings (including
course infrastructurestreet lights & poles
mausoleum, crematorium,
utilitiesroad & pedestrian islands
storage structures, etc.)
golf course vehicles & traffic calming features
cemetery land
equipment
traffic signs & poles
Fleet
arena equipment
dump/fire trucks
fire equipment
lawn/turf equipment
licensed equipment
miscellaneous small equipment
off road equipment
two-way radios
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State of the City’s Infrastructure
Asset Management is an integrated and data-driven approach to effectively manage
existing and new assets. The intent is to maximize benefits, reduce risk and provide
expected levels of service to the community in a sustainable manner. Effective asset
management practices are fundamental to achieving asustainable and resilient
community.
The City is legislated by the Province of Ontario’s Infrastructure for Jobs andProsperity Act,
2015 to create and maintain thorough asset management plans (AMPs) for all asset
categories. The most consistent and cost effective asset management strategies include a
data-driven, risk-based approach that combines long-range financial planning and
effective maintenance activities. The goal is to sustain a systematic approach that
optimizes the management of the City’s assets with minimal risk and in the most cost
effective way. Asset management planning is cyclical to ensure that growth, new
technologies and the introduction of new services are added to the framework. This
process ultimately ensures that sustainable and resilient infrastructure is provided for through
a process of continuous improvement.
When the Corporate Asset Management Program Policy and Framework (INS-11-082) was
adopted in January 2012, it defined specific asset groups that shape the physical assets
whichmake up the large and complex estimation of value. Since that time, the numberof
groups have expanded to 13categories to best reflect the distinct types of assets across
the city. The value of these assets are either derived through an Enterprise or Tax base
(Figure 2).
VALUATION SOURCE
Tax
30%
Enterprise
70%
Figure 2 - ValuationSource
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As asset management plans aredeveloped for the 13asset categories, collaborative
support from cross functional teams and dedicated asset management leads provide new
insights intothe balance between optimizing the health of the asset while meeting
expected level of service for which the assetsupports.
Funding for asset replacement and rehabilitation is addressed through the City’s capital
budget. The 2019 capital budget proposed approximately $100M in capital spending for
2019 and $1.2B over a ten-year timeframe. This level of investment is not insignificant, but
still short of what is required to address the City’s infrastructure and asset replacement
needs(Figure 3).
The infrastructure gap analysis (Figure 3) provides a point-in-time assessment of the current
need across categoriesfor those assets that are at the end or nearing the end of their useful
lifespan. This financial requirement is compared to the available capital budget over a 10-
year period. As asset management plans are completed, this gap analysiswill be
combined with level of service and condition data to round out a current state of the asset
category.
Overall Gap
10-Year Infrastructure Gap
$341.7M
$50,000,000
$0
($50,000,000)
($100,000,000)
($150,000,000)
($200,000,000)
($250,000,000)
FacilitiesStormwaterOtherGas UtilitySanitary UtilityWater UtilityRoads &
UtilityBridges
Gap
($227,133,075)($55,864,000)($30,717,648)($24,839,730)($22,859,848)($15,406,180)$14,578,381
Figure 3-Infrastructure Gap
(*)
Please note:
1.The Stormwater Utility gap is reflective of the recent Disaster Mitigation & Adaptation Fund
announcement for the City earlier this year.
2.The Water and Sanitary gap are reflective of the financial model used for the Water Infrastructure
program over the next 10 years.
CITY OF KITCHENER | STATE OF INFRASTRUCTURE REPORTPAGE | 6
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Summary of Key Findings
The gap analysis and associated forecasts are for a 10-year period. This is a relatively
short timeline for assets that have a typical lifespan of more than 80 years. Each
year, the financial information will continue to improve and be updated
accordingly.
The overall total of the infrastructure gap at this point is $341.7M. For most asset
categories, a calculation of useful life was used to identify those assets that are near
or at the end of their lifecycle.A replacement valuewas used to calculate the
required investmentfor each of those assets. This required investment was then
compared to the current 10-yr capital budget for that category. The only variation
from this approach was for categories for which a formal replacement strategyis in
place. An example of this is the Water Infrastructure Program, wherein addition to
useful life, factorssuch as condition and risk are also included to determine the
replacement need(and costs)over the useful lifeof those assets.
A comprehensive model has been developed as part of the Water Infrastructure
Program (WIP) which combines multiple factors as mentioned aboveto assess the
overall need for water, sanitary and stormwater infrastructure replacement.Overall,
WIP is forecasting to close the gap of needed infrastructure replacement by 2044 as
outlined in the report to Council (INS-17-070).
The total valuation of the Sanitary Utility category includes data related to the City’s
23 pumping stations.The valuation for those pumping stations are currently under
review and new information will be more accurately reflected in future versions of
this annual report.
Asset management plans typically outline the need for maintaining and/or replacing
an asset based on a standard lifecycle and expected level of service. The Gas Utility
however has additional larger scale drivers that require replacement and/or
additions of assets at a faster pace. The 10-year forecast outlined in this report only
takes into account those assets that are at or near end of life. This gap constitutes
only 11% of the annual need, whereas customer driven requests make up over 60%
of the required investment and are outside the scope of any asset management
plan.
As mentioned underFigure 3, the gap information for the Stormwater Utility category
now reflects the recent funding received through the Disaster Mitigation and
Adaptation Fund earlier in 2019.
With the development of asset management plans forthe 13 categories, emphasis
willcontinue tobe placed on developing inspection programs that introduce
condition information. This isa vital component to an overall comprehensive
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assessment of those assets. Arecent example of this kind of program is the
development of a comprehensive Building Condition Assessment (BCA)program for
the City’s most critical facilities and structures.
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Asset Category Report Cards
Overall, the state of the City’s infrastructure is graded at a B-.
This grade is an overall average of the individualcategory evaluations and as such will
continue to be re-evaluated as new information becomes available.
In the following pages, a summarized ‘report card’ for each category and major asset
component willsummarize the relevant information leading up to the 2019State Of The
Infrastructure.
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Data Reliability
Water Utility
The role of the water utility is to safely and efficiently deliver water to Kitchener residents. As
part of that, the utility is responsible to maintain the infrastructure of pipes and valves that
keep the city’s water flowing. Through the Water Infrastructure Program (WIP), an approved
rate model was established to address the overall gap related to its underground
infrastructure by 2044.
Overall, the water utility assets category is graded at a C+.
Although there is an established replacement strategy, the City is still experiencing a higher
than normal number of watermain breaks on an annual basis. Focus on achieving the
targets outlined in the Water Infrastructure Program and associated funding is a crucial
component to improve the grade of this asset categoryand close the gap of infrastructure
replacement by 2044.
WATER MAIN MATERIAL TYPE
AC -ASBESTOS
ST -STEEL
CEMENT
0.02%
0.26%
CI -CAST IRON
19.71%
COP -COPPER
PVC -POLYVINYL
0.09%
CHLORIDE
44.41%
DI -DUCTILE IRON
35.51%
% Consumed
100%
(4)
10-Year Forecast
Required Current Gap
50%
InvestmentInvestment
$145,044,180 $129,638,000 ($15,406,180)
0%
AC - ASBESTOSCI - CAST IRONCOP - COPPERDI - DUCTILE IRONPVC - POLYVINYLST - STEEL
CEMENTCHLORIDE
% Consumed
56%133%65%49%13%59%
(4)
Current and Required investment based on WIP
projections to2028
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Data Reliability
SanitaryUtility
The SanitaryUtility is responsible for the installation and disposal of the variety of sanitary
network assets, which includethe likes of wastewater pipes,manholes, syphons, forcemains,
and pumpingstations. Similar to the Water Utility, through the Water Infrastructure Program
(WIP), an approved rate model was established to address the overall gap related to its
underground infrastructure by 2044.
Overall, the sanitaryutility assets category is graded at a B-.
Effort is underway to develop a detailed asset management plan for pumping stations for
which data is currently limited.
SANITARY MAIN MATERIAL TYPE
Vitrified
Other
Clay
0.31%
Asbestos
17%
Cement
27%
Cement
11%
Plastic
45%
(5)
10-Year Forecast
Required Current Gap
InvestmentInvestment
$215,226,848$192,367,000 ($22,859,848)
(5)
Current and Required investment based on WIP
projections to 2028. Required investments for
pumping stations currently under review.
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Data Reliability
Stormwater Utility
The Stormwater Utility maintains a ‘state-of-the-art’ approach to managing stormwater
across the city. The utility is made up of infrastructure that collect surface water and
dischargeintothe natural environment. As the City urbanizes and more hard surfaces are
introducedas well as climate change resulting in more intense rainfall events, additional
runoff is generated requiring appropriate management. The Stormwater Utility provides
critical infrastructure to prevent flooding and protect the natural environment by removing
pollutants from runoff. Stormwater management infrastructure and approaches are rapidly
evolving and the City is incorporating green infrastructure and low impact development
stormwater design to minimize the impact of urban land use to the natural environment.
Overall, the stormwater utility asset category is graded at a B+.
STORMWATER MAIN MATERIAL TYPE
CORRUGATED
OTHER
STEEL PIPE
3%
3%
POLYVINYL
CHLORIDE
(PVC)
20%
REINFORCED
CONCRETE
7%
CONCRETE
67%
% Consumed
60.0%
50.0%
40.0%
30.0%
20.0%
10-Year Forecast
10.0%
Required Current Gap
0.0%
CSP -CP - CONCRETEOTHERPVC -RCP -
InvestmentInvestment
CORRUGATEDPOLYVINYLREINFORCED
CONCRETE
STEEL PIPECHLORIDE
$231,341,000 $175,477,000($55,864,000)
% Consumed
53.9%49.5%40.4%17.9%13.3%
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Data Reliability
Gas Utility
Kitchener Utilities provides a safe natural gas delivery service for over 65,000 customers
across Kitchener. Through a heavily regulated set of processes, Kitchener Utilities provides a
heat source to homes and businesses through the installation and maintenance of key
infrastructure such as gas mains, valves, meter sets, regulator stations, water heaters, etc.
Overall, the gas utility category is graded at a C-.
The rationale for this grade is the lack of a current asset management plan (in progress)
which informs a detailed lifecycle management plan as well as a data-driven condition
framework across asset components. Once completed, this asset management plan is
intended on increasing the overall gradedue to the availability of new information.
GAS MAIN MATERIAL TYPE
STEEL
40%
PLASTIC
60%
% Consumed
(6)
10-Year Forecast
100.0%
Required Current Gap
InvestmentInvestment
75.0%
$122,160,730 $97,321,000 ($24,839,730)
50.0%
(6)
Note: The required investment is onlyfor asset
25.0%
replacement at the end of useful life. This constitutes
only 11%of the overall requirement as outlined in the
0.0%
PLASTICSTEEL
key findings.
% Consumed
29.9%70.8%
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Data Reliability Data Reliability
(pavement)(bridge/culvert)
Roads & Bridges
Roads and bridges are among the most valuable infrastructure assets and need frequent
maintenance and rehabilitation. Roads and bridges are widely used and highly visible to
residents therefore the planning and execution of rehabilitation and reconstruction projects
need a data-driven approach to ensure the expected level of support at a reasonable
cost. Specific to pavement, City Council set a level of service –Pavement Quality Index
(PQI) of 70 (based on a scale of 0-100).
Through heavily regulated legislation, city-owned bridges are defined to be more than 3.0m
in span and are inspected on a 2-year cycle.
Pavement assets portion of this category is graded as an A.
Bridge assets are graded as a B-.
BRIDGE/CULVERT CONDITION
PAVEMENT QUALITY STATUS
25
KITCHENER ROADS 2018
20
Good
15
55.5%
10
Excellent
# of Assets
8.2%
5
0
Very GoodGoodFairPoorVery Poor
Unknown
1.7%
Vehicle BridgesConcrete CulvertsCorrugated Stee Pipes
Pedestrian BridgesRailway Bridges
Poor
7.3%
Fair
27.3%
10-Year Forecast -Pavement
Required Current Gap
InvestmentInvestment
$22,752,064 $61,575,000 $38,822,963
10-Year Forecast –Bridges & Culverts
Required Current Gap
InvestmentInvestment
$29,611,555 $5,367,000 ($24,244,555)
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Data Reliability
Facilities
The City of Kitchener owns and maintains 255 active facilities varying in function and age.
Facilities and structures are categorized as Critical(39 facilities/structures); Community(160
facilities/structures); and Other(56 facilities/structures). As outlined in the recent Strategic
Council Session on the Long Term Financial Plan, facilities are by far the most underfunded
asset category, with a $227 million funding gap. Age information along with condition data
is used to determine when individual components within a facility should be replaced. A
thorough building condition assessment program will more effectively identify specific
needs across the City’s most important facilities and outline the costs associated for those
investments within the 10-year capital budget process.
Overall, the facility asset category is graded at a D.
FACILITY CATEGORY
Other
Critical
FACILITY AGE BY CATEGORY
Facilities
Facilities
22%
15%
70
60
50
40
30
20
10-Year Forecast –Bridges & Culverts
10
Required Current Gap
0
InvestmentInvestment
Community
Greater than 5030-50 years10-30 yearsLess than 10
Facilities
$29,611,555 $5,367,000 ($24,244,555)
Yearsyears
63%
CriticalCommunityOther
LIFECYCLE COSTS
Upfront Design &
Construction
Major Repairs &
Costs
Maintenance
20%
30%
10-Year Forecast –Facilities
Required Current Gap
InvestmentInvestment
Operational
$284,835,915$57,702,840($227,133,075)
Costs
50%
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Other Asset Categories
“Other” asset categories include Parks & Open Spaces, Cemeteries, Forestry, Parking, Golf,
Transportation Services and Fleet. Due to limited condition information or detailed lifecycle
management plans, these asset categories are currently in the process of developing asset
management plans (AMPs) which include a data-driven approach to assessing the health
of the asset and measuring the expected levels of service.
As wemove ahead on developing AMPs, the remaining asset categories will have full plans
that monitor the current condition of their assets, as well as determine a long-term estimate
and lifecycle management plan. This information will rank resources across the groups and
5
identify how to develop proactive maintenance actions.
Parks & Open SpacesForestry
• The Sustainable Urban Forest Strategy will provide the
• Phase 1 AMP completed 2016
framework for developing a detailed asset management plan
• Several asset types still require condition inspection
• Once an inventory is completed, a data-driven inspection
programs to be established
program will be developed
Data ReliabilityData Reliability
10-Year Forecast10-Year Forecast
Required Required
Current InvestmentGapCurrent InvestmentGap
InvestmentInvestment
$34,106,993 $21,602,000 ($12,504,993)$11,081,105 $4,609,000 ($6,472,105)
ParkingCemeteries
• Limited asset information available
• Phase 1 AMP completed 2019
• Comprehensive inventory required before developing a phase 1
• Community based parking lots require condition
AMP
inspection programs to be established
Data ReliabilityData Reliability
10-Year Forecast10-Year Forecast
Required Required
Current InvestmentGapCurrent InvestmentGap
InvestmentInvestment
7
$12,134,460 $8,606,000 $16,010,220 $1,094,000 ($14,916,220)
($3,528,460)
7
10-yr gap for Parking is specific to non-revenue generating Community Lots only
CITY OF KITCHENER | STATE OF INFRASTRUCTURE REPORTPAGE | 16
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GolfTransportation Services
• Phase 1 AMP completed 2018• Phase 1 AMP completed 2017
• Several asset types still require condition • Several asset types still require condition
inspection programs to be establishedinspection programs to be established
Data ReliabilityData Reliability
10-Year Forecast10-Year Forecast
Required Current Required Current
GapGap
InvestmentInvestmentInvestmentInvestment
$4,423,967 $1,153,000 $3,005,463 $6,392,000
($3,270,967)$3,386,537
Fleet
• Phase 1&2 AMP completed 2018
• Comprehensive inspection programs in place
Data Reliability
10-Year Forecast
Required Current
Gap
InvestmentInvestment
$62,362,440 $68,951,000
$6,588,560
CITY OF KITCHENER | STATE OF INFRASTRUCTURE REPORTPAGE | 17
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Future Outlook – ‘Improving the Grade’
This State of the Infrastructure report is meant to be an annual “check-in” to the overall
condition and management of the City’s most critical asset categories. On an annual
basis, an analysis of new and/or changed information will be completed to update each
category’s grade. This analysis will better determinethe overall health of the asset category
while balancing the need to maintain an expected level of service. Specific examples of
activities and programs that influence the annual grade of an asset category include:
A continued commitment towards the Water Infrastructure Program, forecasted to
close the gap of replacement need for aging water infrastructure by 2044.
Development and implementation of a Building Condition Assessment program
across City facilities.
Continueto implement low impact development (LID) options to further enhance
the stormwater mitigation strategies across Kitchener.
Beginthe implementation of the Sustainable Urban Forest Master Plan which is very
closely aligned to a detailed asset management plan for forestry assets.
Continue to enhance inspection programs across parks, playgrounds, sports fields
and trails to better assess the on-going condition of those assets.
Although these are but a fewspecific improvement opportunities, there are some common
elements that can be applied across all asset categories:
Detailed asset management plans(AMPs)provide long term strategies to ensure we
optimize themanagement of our infrastructure. Creating, updating and integrating
these AMPsinto annual workplans willensurethat long term financial and lifecycle
management strategiesare maintained. Several asset categories have yet to
complete asset managementplans, while other categories require updating based
on new information or changes in service levels.
Understanding the health of an asset is a crucial component in assessing the overall
condition and useful life of that asset. This information influences preventative
maintenance and rehabilitation programs whichidentify those priority assets
requiringthe most care and maintenance.Several asset categories have yet to
develop inspection programs which if implemented couldimprove the ‘grade’ of
that category.
Similar to the Water Infrastructure Program (WIP) which outlines a prioritized asset
replacement schedule to reduce the risk of failing infrastructure, other rehabilitation
and replacement programs need to be implemented across categories. This will
improve the ability to maintain the expected levels of service and optimizes the
resources needed to maintain the infrastructure.
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Quality data is the cornerstone of understanding and influencing decisions
surrounding the lifecycle of all assets. A data-driven approach allows decision
makers to understand the cause and effect of maintenance activities to the overall
health of the asset. The total costof ownership helps to inform strategies that
optimize the management of the City’s assets while minimizing the risk of failure or
degraded services.
Continued adoption of the asset management framework supportsthe ability to minimize
the risk of failure or decreased service levels across Kitchener’s 13 asset categories. The
collaborative approach between operational teams and the Asset Management Division
will ensure strategies are in place to optimize the management of the City’s infrastructure
and increaseresiliency against changes in our environment.
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Appendix A – Explaining the Scorecard
In order to consistently assess the overall “grade” of an asset category, a point system was
used in the four factors outlined below (also includedthe Introduction section onPage 2of
this report).
A thorough financial strategy to maintain the expected levels of service
throughout the lifecycle of the asset
Condition information that leads to understanding the health of the asset
throughout it’s useful life
The existence of preventative maintenance and/or rehabilitation programs to
ensure the assets meet their expected lifecycle
The availability of complete and reliable data for which to create and sustain
asset management plans focusingon optimizing the management of the assets.
In essence, if a category had met all four factors, they would be assigned a total of 4 points.
If they had three factors, 3 points would be assigned, etc.
Those points, then would be associated to a grade, as shown below.
GradeFactor Points
A4
B3
C2
D1
The “+” and “-” were aligned with the data reliability associated to that asset category. If
there was relatively high data reliability, then a “+” was included. If there were gaps in the
detail of the data or missing elements, then a “-” was included.
The overall grade for the city is an overallaverage of each category combined. As we
continue to evolve our asset management program and include more condition related
data, a further quantitative evaluation will be included.
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