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HomeMy WebLinkAboutCouncil Agenda - 2023-05-08 S1 KiTc�ivER Special Council Meeting Agenda Monday, May 8, 2023, 11:00 a.m. Council Chambers - Hybrid City of Kitchener 200 King Street W, Kitchener, ON N2G 4G7 People interested in participating in this meeting can register online using the delegation registration form at www.kitchener.ca/delegation or via email at delegation(a)kitchener.ca. Please refer to the delegation section on the agenda below for registration in-person and electronic participation deadlines. Written comments received will be circulated prior to the meeting and will form part of the public record. The meeting live -stream and archived videos are available at www.kitchener.ca/watchnow *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.* Pages 1. Commencement The electronic meeting will begin with a Land Acknowledgement given by the Mayor. 2. Disclosure of Pecuniary Interest and the General Nature Thereof 3. Delegations Pursuant to Council's Procedural By-law, delegations are permitted to address the Committee for a maximum of five (5) minutes. All Delegations where possible are encouraged to register prior to the start of the meeting. For Delegates who are attending in-person, registration is permitted up to the start of the meeting. Delegates who are interested in attending virtually must register by 9: 00 a.m. on May 8, 2023, in order to participate electronically. 3.1 Item 7.1 - Judy Stephens -Wells, Chair of Compass Kitchener advisory committee 4. Strategic Session - Part One 4.1 CorCAP (Corporate Climate Action Plan) 2.0, 60 m 4 DSD -2023-216 (A presentation will be provided on this matter.) 5. In -camera Meeting Authorization Note: Any member of Council may question the appropriateness of a listed in - camera item. This may be done during the special Council meeting or at the beginning of the in -camera session. Council is asked to enact the following resolution to authorize an in -camera meeting: "That an in -camera meeting of City Council be held immediately following the special council meeting this date to consider three items including a matter with item information supplied in confidence to the municipality or local board by Canada, a province or territory or a Crown agency, a security of property and solicitor client -privilege and a land acquisition matter as authorized by Sections 239 (a) (c) (f) and (h) of the Municipal Act, 2001, respectively." The Special Council meeting will then recess following the in -camera authorization and reconvene at approximately 1:00 to consider the balance of the agenda. In -Camera Items for Consideration: 5.1 Affordable Housing Initiative (Information 30 m explicitly supplied in confidence to the municipality or local board by Canada, a province or territory or a Crown agency - Section 239 (h)) 5.2 Housing and Homelessness Update (Security 20 m of Property and Solicitor Client Privilege - Section 239 (a) (f)) 5.3 Community Facility Land Acquisition (Land 30 m Acquisition - Section 239 (c)) Page 2 of 44 6. Strategic Session - Part Two (Approximately 1:00 p.m.) 6.1 2023-2026 Strategic Plan Development - 120 m 31 Vision, Key Priorities and Approach to Action Planning, CAO -2023-217 (A presentation will be provided on this matter.) 7. Adjournment Page 3 of 44 Staff Report r NJ :R Development Services Department www.kitchener.ca REPORT TO: Special Council DATE OF MEETING: May 8, 2023 SUBMITTED BY: Anna Marie Cipriani, Corporate Sustainability Officer, 519-741-2200 ext. 7322 PREPARED BY: Anna Marie Cipriani, Corporate Sustainability Officer, 519-741-2200 ext. 7322 WARD(S) INVOLVED: Ward(s) All DATE OF REPORT: May 4, 2023 REPORT NO.: DSD -2023-216 SUBJECT: CorCAP (Corporate Climate Action Plan) 2.0 RECOMMENDATION: For Discussion. REPORT HIGHLIGHTS: • City of Kitchener closed -out its first -generation corporate climate action plan (CorCAP) in 2022 and there is an opportunity to renew our plan and deepen our commitment more in line with the magnitude of the Council approved TransformWR community GHG reduction targets • As recent re -inventories indicate neither corporate nor community greenhouse gas (GHG) emission reductions have been sustained over time • There is a broad, global consensus that net -zero emissions (reducing GHG emissions to as close to zero as possible with any remaining GHG emissions being re -absorbed from the atmosphere) are needed by mid-century in order for the planet's temperatures to stay below the 1.50C -20C threshold to avert the worst impacts of climate change • Over 90% of City of Kitchener's Corporate GHG emissions come from Facilities, and Fleet and Equipment • Greater than 80% of our corporate GHG emissions come from our use of fossil fuels (natural gas, gasoline, diesel, and propane) • As staff renew the City's corporate climate action plan (Part 1 of CorCAP 2.0) we are seeking feedback from Council on whether the focus should be on energy demand from two corporate focus areas: Facilities, and Fleet and Equipment and three pathways: energy conservation, fuel switching and generating local renewable energy • Staff anticipate that sustained corporate GHG emission reductions will require strategic, systemic, and deeply integrated changes to corporate processes, business planning and policies *** This information is available in accessible formats upon request. *** Please call 519-741-2345 or TTY 1-866-969-9994 for assistance. Page 4 of 44 • With Council input and guidance staff will build the next generation plan EXECUTIVE SUMMARY: In this strategic session of Council, staff are seeking to provide Council with insight into our corporate GHG emissions and seek Council's guidance to develop the next generation Corporate Climate Action Plan. Council will be asked the first three questions as listed below and Council will be invited to use Menti to provide responses on a 5 -point agreement scale. For consideration by Council: 1. For consideration by Council: "I am interested in exploring strategies to achieve net -zero corporate emissions by 2050, which goes beyond Council's community commitment of an 80% reduction by 2050, recognizing that this may increase the associated costs over the next 26 years." 2. "I am interested in prioritizing corporate efforts in the next Corporate Climate Action Plan on GHG reductions along these three pathways: Energy Conservation, Fuel Switching and Generating Local Renewable Energy" 3. For consideration by Council: "I am interested in prioritizing efforts in the next Corporate Climate Action Plan on corporate GHG reductions from two focus areas: a. Facilities - especially arenas, pools, and administrative buildings b. Corporate Fleet, and Equipment - especially fuel switching gasoline vehicles now to electric and fuel switching diesel vehicles in the future" The fourth and final question listed below will provide Council with an opportunity to provide further guidance through a more open, roundtable -type discussion: 4. For Discussion: "It is anticipated that sustained corporate GHG emission reductions will require strategic, systemic, and deeply integrated changes to corporate processes, business planning and policies. As we develop the plan and seek support to adopt a new plan with a deeper commitment what are you looking for in a plan?" BACKGROUND: The organization has the opportunity to strategically focus, deepen and align its commitment to municipal climate action having closed -out its first -generation corporate climate action plan (CorCAP) in 2022. Through the Council approved TransformWR plan the organization has committed to supporting community targets of 50% GHG reduction by 2030 and an 80% reduction by 2050 (from 2010 baseline). Table 1 below illustrates the three phases of CorCAP 2.0. Part 1 of this next generation corporate plan focusses on corporate demand for energy and is the focus of this report. Part 2 will be focussed on community demand and corporate supply of energy to the community and Part 3 on Adaptation. Parts 2 and 3 will be discussed in future reports. Table I CorCAP 2.0 Phases Mitigation Adaptation Corporate Part 1 Part 3 Community Part 2 Page 5 of 44 Our community is already experiencing climatic changes. Our decade long efforts have not demonstrated sustained GHG emission reductions. Net -zero GHG emissions by mid- century are needed globally to keep global temperatures below a 1.50C -20C threshold to avert the worst impacts of climate change. The impact of cumulative GHG emissions from decisions we make now are locked -in for generations. Our corporate GHG emissions profile illuminates priority areas to focus on and pathways to developing our next generation corporate climate action plan (Part 1 focussed on corporate energy demand). REPORT: Municipal climate action is increasingly focussed on an energy transition. This is because burning fossil fuels releases greenhouse gases that are warming the planet. Local climate modelling completed in 2015 by the Interdisciplinary Centre on Climate Change at the University of Waterloo shows that our community's climate will be warmer, wetter, and wilder as a result of climate change. By 2050 our community's projected average temperature increase is approximately 2-3° Celsius. Current global surface temperatures have already increased by approximately 1.1 °C. Municipal climate action work involves four domains: Adaptation: actions to manage the risks of climate change impacts (e.g., convert to permeable surfacing, plant shade trees) Mitigation: actions to reduce emissions that cause climate change (e.g., right size equipment, fuel switch, heat recovery) Corporate Emissions: GHG emissions our organization emits through the delivery of service to the community; we have some direct control Community Emissions: GHG emissions within our region; we have some influence (e.g., complete communities, increased density, active transportation infrastructure, etc.) 1. For consideration by Council: "I am interested in exploring strategies to achieve net -zero corporate emissions by 2050, which goes beyond Council's community commitment of an 80% reduction by 2050, recognizing that this may increase the associated costs over the next 26 years." Our community mitigation work has evolved through two generations of plans (Our Progress, Our Path, and TransformWR). Through the Council approved TransformWR plan the organization has committed to supporting community targets of 50% GHG reduction by 2030 and an 80% GHG reduction by 2050 (from 2010 baseline). Our corporate mitigation work has completed one generation with a 2026 target of 8% GHG reduction from our 2016 baseline year. What we are seeing in the climate action work locally is that our collective efforts to date have not led to sustained GHG emission reductions over time. The decisions we make now lock -in the impacts of GHGs for generations. There is a broad, global consensus that net -zero emissions (reducing GHG emissions to as close to zero as possible with any remaining GHG emissions being re -absorbed from the atmosphere) are needed by mid-century in order for the planet's temperatures to stay below the 1.50C -20C threshold to avert the worst impacts of climate change. There is need for a many fold increase in financing and resourcing for this work. Staff propose that sustained corporate emission reductions will require strategic, systemic, and deeply integrated changes to corporate processes, business planning and policies. Page 6 of 44 2. Cor consideration by Council: "I am interested in prioritizing corporate efforts in the next Corporate Climate Action Plan on GHG reductions along these three pathways: Energy Conservation, Fuel Switching and Generating Local Renewable Energy" The TransformWR plan as approved by Council points to three action pathways to GHG reductions and staff propose that our organization align our next plan with these pathways as well: • Energy Conservation — use less/demand less energy and use energy more efficiently • Fuel Switching —convert to lower carbon energy sources • Generate Energy — generate local renewable Energy 3. For consideration by Council: "I am interested in prioritizing efforts in the next Corporate Climate Action Plan on corporate GHG reductions from two focus areas: a. Facilities - especially arenas, pools, and administrative buildings b. Corporate Fleet, and Equipment - especially fuel switching gasoline vehicles now to electric and fuel switching diesel vehicles in the future" Understanding our corporate GHG emissions helps to illustrate what to prioritize in the municipal climate action work we will undertake in this second -generation effort. Figure 1 below illustrates that over 90% of our corporate emissions come from two focus areas: our Facilities, and Fleet and Equipment focus areas. 2021 Corporate Emissions by Focus Area (eCO2 1% Facilities 39% Corporate Fleet and Equipment ■ Streetlights ■ Corporate Waste Figure 12021 Corporate GHG Emissions by Focus Area 53% M The majority of the emissions from Facilities come from three facility types: arenas, pools, and administrative buildings (Figure 2). The top ten facilities within these categories contribute approximately 67% of our total corporate GHGs. Page 7 of 44 ■ Utility Biodiesel 20 diesel ■ Ethanol 10 ■ Natural gas ■ Waste GHG ■ Biodiesel5 ■ Electricity ■ Gasoline ■ Propane Figure 2 GHG emissions by asset tvpe Figures 3 and 4 illustrate how some sources of energy we rely on are more carbon intense than others. While almost half of our corporate energy use comes from electricity, this energy source only accounted for 10% of our corporate GHGs in 2021. By contrast, 33% of our energy use was natural gas which accounts for 44% of our emissions. Similarly, diesel, gasoline and propane combined accounted for 21% of our energy use and 39% of our corporate GHG emissions. 2021 Corporate Energy by Source Electricity Figure 3- 2021 Corporate Energy Use by Source ■ Fuel (Diesel, Gas, Propane) Page 8 of 44 ems Pump. g Gaeaaes C�df � II Markel ' II ' CEs VYasle Mal[nals ' ' FSS G4 Hall MF ' Pods Arerus ' uenmes, Fw�urnem o su0 loco 1,w0 lav 2,w0 3000 awn 4 D GHG emissions (CO2e�Y,) ■ Utility Biodiesel 20 diesel ■ Ethanol 10 ■ Natural gas ■ Waste GHG ■ Biodiesel5 ■ Electricity ■ Gasoline ■ Propane Figure 2 GHG emissions by asset tvpe Figures 3 and 4 illustrate how some sources of energy we rely on are more carbon intense than others. While almost half of our corporate energy use comes from electricity, this energy source only accounted for 10% of our corporate GHGs in 2021. By contrast, 33% of our energy use was natural gas which accounts for 44% of our emissions. Similarly, diesel, gasoline and propane combined accounted for 21% of our energy use and 39% of our corporate GHG emissions. 2021 Corporate Energy by Source Electricity Figure 3- 2021 Corporate Energy Use by Source ■ Fuel (Diesel, Gas, Propane) Page 8 of 44 2021 Corporate Emissions by Source (eCO2 ) Figure 4- 2021 Corporate GHG emissions by energy source ■ Electricity ■ Natural Gas ■ Fuel (Diesel, Gas, Propane) Approximately 80% of natural gas use in facilities goes towards space heating and domestic hot water. Gasoline is often used in lighter duty vehicles and diesel in heavier duty vehicles. Transitioning away from fossil fuel reliance is part of a focus of what is called an energy transition. GHG reduction modelling completed in December 2022 by WalterFedy for the City of Kitchener offers key insights into the strategic paths forward to corporate GHG reduction. There are four key observations (Table 2) on what to prioritize and how to focus efforts. Table 2 Corporate GHG emissions profile observations — what to prioritise and how OBSERVATIONS PRIORITIZE - WHAT PRIORTIZE - HOW City Facilities followed Prioritize GHG reduction from Reduce energy demand by Corporate Fleet and Facilities, and Fleet and and switch to lower Equipment have the Equipment. carbon energy sources. greatest contribution of GHG emissions. The other focus areas make a minor contribution to corporate GHGs. Arenas and pools have Natural gas use has the Focus on water heating the greatest contribution greatest contribution to GHG (ice resurfacing, pools, to GHG emissions of all emissions. Prioritize fuel and showers) and space facility types. And most switching, retrofitting many heating of the GHG emissions facilities especially the top 10 are due to natural gas greatest contributing assets consumption which contribute >67% of the total corporate GHGs. Administrative buildings Focus on reducing energy Increase efficiency. (KOF, CH) demand and fuel switching. Reduce natural gas use Most significant end use GHG Page 9 of 44 OBSERVATIONS PRIORITIZE - WHAT PRIORTIZE - HOW emissions come from water and associated with water and space heating space heating. Fleet and Equipment Reduce fleet and equipment Increase efficiency, fuel fossil fuel use switch, and convert to electric vehicles and equipment In addition to these more tactical approaches, staff anticipate that a sustained reduction in corporate GHG emissions will require strategic, systemic, and deeply integrated changes to corporate processes, business planning and policies. 4. For Discussion: "it is anticipated that sustained corporate GHG emission reductions will require strategic, systemic, and deeply integrated changes to corporate processes, business planning and policies. As we develop the plan and seek support to adopt a new plan with a deeper commitment what are you looking for in a plan?" With Council's support in this strategic session, staff across the organization will begin to build the corporate demand side plan strategies in the remainder of 2023 as part of phase 1 of CorCAP 2.0 and will report back for endorsement. STRATEGIC PLAN ALIGNMENT: This report supports Environmental Leadership by implementing a Corporate Climate Action Plan. FINANCIAL IMPLICATIONS: Significant capital investments will be required to sustain deeper corporate GHG reductions. It is estimated that $250M in additional capital funding will be needed over the next 25 years (or $10M/year) to work towards achieving net -zero GHG emissions by mid-century. Such a substantial investment in this corporate focus would likely require the use of several financing options such as external grant funding, ongoing funding from the City's energy reserve fund, issuing debt, and consideration of other funding strategies such as a special tax levy. For context, a 1% increase to the City's tax rate generates $1.4M in additional revenue. Ongoing advocacy with other levels of government for funding will be important as well. COMMUNITY ENGAGEMENT: The Climate Change and Environment Committee was informed of this work at their March 2023 meeting. They will be consulted throughout the next phase of the plan's development. The terms of reference for this project outlines a working and steering committee comprised of staff from across all focus areas that the project lead regularly collaborates with to develop the plan. PREVIOUS REPORTS/AUTHORITIES: There are no previous reports on developing this second -generation corporate climate action plan. APPROVED BY: Justin Readman. General Manager of Development Services ATTACHMENTS: none Page 10 of 44 �/ CORCAP 2.0 Y-..iTCHE-NER paw, follo TIT M m&.w Je r. 40. 10 0 • • 71 PF JIPPW - I I IF .0 m "N • Climate Change Primer • Municipal Climate Action Recap • Corporate GHG profile • Calls to Action • Discussion Page 12 of 44 Climate Change Primer Page 13 of 44 Greenhouse gases (GHGs) (including carbon dioxide CO2 and methane CH4) trap heat from the sun inside Earth's atmosphere. As more greenhouse gases are released into our atmosphere (largely through the burning of fossil fuels) more GHGs are released into atmosphere and more heat is trapped. This raises the temperature of this planet, changing our living conditions and increasing the likelihood of extreme weather events both globally and locally. F,i,l comha O,nn LW dmposag 4'rcuu[:1 ,r ,r JA 140.4 C7uF9aurved ac Qie3 ue'h ides Global planet surface temperatures are already 1.1°C above pre -industrial temperatures... Call to action = net -zero GHG emissions by mid-century The Changing Climate of Waterloo Region Our local climate is projected to get WARMER, WETTER, AND MORE EXTREME More Extreme Summer Heat Global Greenhouse Gas Emission scenarios • If current emissions continue Aggressive emissions reduction 0 Net -zero emissions i Annual average temperature projection t 2-30C by the 2050s' Projected average number of days over 30°C per year currant' More Intense Rain and Storms Large-scale rainfalls and wind storms are projected to happen more Irequeriliv 00 jo� 7, annual precipitation is proMaed to increase by approximately 4-6% by Me 20201' and 8+11% �n 4©% mor freezing rain events by tnr- . . December' January and February iamok i� tt 60 that's like 28 two full months 15 of extreme heat Warmer Winters The nKantt:iy average temperature in February in the 2050s is expected to be 3-5'C higher than it is today, meaning it will hover around 0°C Municipal Climate Action Recap Page 16 of 44 Adaptation: actions to manage the risks of climate change impacts - e.g. convert to permeable surfacing, plant shade trees Mitigation: actions to reduce emissions that cause climate change - e.g., right size equipment, fuel switch, heat recovery Community Emissions — GHG emissions within our region; we have some influence (e.g., complete communities, increased density, active transportation infrastructure) Corporate Emissions — GHG emissions our organization emits through the delivery of service to the community; we have some direct control Page 17 of 44 Looking back... Adaptation Corporate Climate Action Plan Waterloo Region Community Climate Adaptation Plan (2019) Mitigation June 26, 2019 Council declaration CSD -13-108 of climate emergency CSD -17-046 INS -18-024 Corporate Climate Action Plan Our Progress our Path 2022 Update and Close Out DSD -2021-94 Transform WR Lookin rward CorCAP 2.0... April 17, 2023 progress update Part 3 Part 1 Part 2 (corporate energy demand) community demand for and corporate supply of energy (TransformWR, Kitchener Transition Strategy) Page 18 of 44 Corporate GHGs Community GHGs • City of Kitchener Corporate GHG emissions account for <1% of community total GHG emission • Municipalities have influence 50%-70% of GHG emissions nationally/globally (FCM, UN) Page 19 of 44 Corporate GHG emissions profile Thinking about the City of Kitchener as an organization and the GHGs we produce as we deliver core services to the community... Looking Back Moving Forward... Page 20 of 44 2021 Corporate Emissions by Focus Area (eCO2 Facilities ■ Corporate Fleet and Equipment ■ streets ghts ■ Corporate tial a st e 53% Page 21 of 44 Waste Materials '4,'e.ncies. Equipnsent 3HG emissions (tCO2eJyr) ■ Uii lift' Siodiesel 20 ■ Diesel ■ Ethanal 10 ■Natural gas NP.—Waste (:,HG ■ Siodiesel 5 ■ Electricity ■ Gasoline Propane Page lY52 44 I 1 Pumping Stations ' Waste Street Lighting Corporate Fleet Buildings 2, 000 1 I I I 3,000 GHG emissions (ICO2ejyr) 4,000 ® Utility Biodiesel20 ® Diesel ■ Ethanol 10 ■ Blodiesel5 ■ Electricity ■ Gasoline r, COC 6.c"'i Natural gas Waste [,HCS Propane 1 Page 1 of 44 2021 Corporate Energy by Source E I estrklty ■ Nivtural Gas ■ Fusel I Diel, Gar, Pro pa, -,l ej 2021 Corporate Emissions by Source (e ■ Electricity ■ Natural Gas i Fuel (Diesel, Gas, Propane ■ Wa5te Page 24 of 44 Corporate GHG reduction priority focus areas: — Facilities — Fleet and Equipment Corporate pathways forward: 1. Energy Conservation — use less/demand less energy and use energy more efficiently 2. Fuel Switch — convert to low carbon energy sources - switch facilities off natural gas 3. Generate Energy —generate local renewable Energy Page 25 of 44 Corporate Target Reduction of greenhouse gases by "o y 2026 Community Target 'ICLIMAI FAcTinNvm 80by5O and 50x30 • Renew, deepen and align our commitment • Net -zero by mid century • Strategic,, systemic, deeply integrated • Corporate processes, business planning and policies Page 26 of 44 Phase 1 Initiate (March 2022 -June 2022) / Phase 2 Scan (July 2022 - February 2023) Phase 3 Develop Plan (2023) Phase 4 Implement Plan (2023 -forward) Page 27 of 44 Go to: httDSGa www.menti.com enter the code 16963317 Page 28 Y44 For consideration by Council: 1. For consideration by Council: "I am interested in exploring strategies to achieve net -zero corporate emissions by 2050, which goes beyond Council's community commitment of an 80% reduction by 2050, recognizing that this may increase the associated costs over the next 26 years." 2. "1 am interested in prioritizing corporate efforts in the next Corporate Climate Action Plan on GHG reductions along these three pathways: Energy Conservation, Fuel Switching and Generating Local Renewable Energy" 3. For consideration by Council: "I am interested in prioritizing efforts in the next Corporate Climate Action Plan on corporate GHG reductions from two focus areas: a. Facilities - especially arenas, pools, and administrative buildings b. Corporate Fleet, and Equipment - especially fuel switching gasoline vehicles now to electric and fuel switching diesel vehicles in the future" Page 29 of 44 For Discussion: "Itis anticipated that sustained corporate GHG emission reductions will require strategic, systemic, and deeply integrated changes to corporate processes,, business planning and policies. As we develop the plan and seek support to adopt a new plan with a deeper commitment what are you looking for in a plan?" Page 30 of 44 Staff Repoil Chief Administrator's Office REPORT TO: Special Council DATE OF MEETING: May 8, 2023 SUBMITTED BY: Dan Chapman, CAO, 519-741-2200 ext. 7350 www.kitchener.ca PREPARED BY: Angie Fritz -Walters, Strategic Plan Engagement and Program Manager, 519-741-2200 ext. 7059 Kathryn Dever, Director, Strategy and Corporate Performance, 519-741-2200 ext. 7370 WARD(S) INVOLVED: All Wards DATE OF REPORT: May 3, 2023 REPORT NO.: CAO -2023-217 SUBJECT: 2023-2026 Strategic Plan Development — 20 -Year Vision, Key Priorities and Approach to Action Planning RECOMMENDATION: For discussion REPORT HIGHLIGHTS: • The purpose of this report is to provide Council a progress update on work underway to define the City's next Strategic Plan for 2023-2026, with a focus on engaging Council in a discussion to establish a set of strategic goal areas for the Strategic Plan. • Staff continue to work with Compass Kitchener to implement meaningful, inclusive and enhanced community engagement to inform the Strategic Plan, with the Resident Panel actively underway. • This report supports the creation of a new Strategic Plan with key goals and actions for the next 4 -year timeframe, and defining a new 20 -year vision for the City of Kitchener to proactively plan for the future. • There are no financial implications associated with this staff report. BACKGROUND: The City's Strategic Plan sets priorities and a plan for action that guides progress over the four- year term of Council towards our long-term community vision, and represents a commitment to the public to move forward on those things that are most important to them. Each term of Council represents an opportunity to set a new four-year agenda that builds on the progress made, while planning for the future to take advantage of new opportunities to better serve the community and respond to emerging issues, trends and shifts in citizen priorities. Discussions have deliberately spanned the previous and new terms of Council, to access both the depth of knowledge gained over the previous term, and engage with Council following the *** This information is available in accessible formats upon request. *** Please call 519-741-2345 or TTY 1-866-969-9994 for assistance. Page 31 of 44 municipal campaign and election. The May 8 Council strategic session will provide opportunity for discussion surrounding a new 20 -year Vision, key priorities and the approach to identify actions for the next 4 -year cycle. The feedback provided and direction established by Council will be used by staff to identify potential actions in which the City could make progress over the life of the Strategic Plan, for discussion at a future Council session. REPORT: Strategic Plan Workplan Progress The workplan to define the 2023-2026 Strategic Plan has six stages as shown below, we are currently in stage 5- 1 2 Current Situation Foresight & Analysis Community Priorities Jan — May 2022 Apr —Sep 2022 4 Nq 5 Strategic Goals & Strategic Indicators Indicators & Actions Oct 2022 — Feb 2023 Mar — Apr 2023 3 Vision & Purpose Sep — Oct 2022 6 Finalize Strategic Plan May—Jun 2023 Given the increasing complexities facing the city, Kitchener is innovating new approaches to develop the next Strategic Plan, by working with the REFOCUS team and their Enterprise Evolution approach which combines scientific knowledge and management processes to pursue economic, equity and environmental objectives. A working group of 20+ staff representing all departments and various levels is engaging in a series of progressive sessions with REFOCUS to learn and apply these methods. The staff group is generating ideas, options and making recommendations together with the Corporate Leadership Team to develop a proposed 2023- 2026 Strategic Plan. Council Leadership To support Council in its leadership role to oversee and direct development of the 2023-2026 Strategic Plan, staff have identified several points for discussion and direction in Council strategy sessions throughout the process. Council and staff have already held five meetings in relation to the 2023-2026 Strategic Plan; a summary of Council's input and direction to date, and how it has shaped the planning process in a meaningful way is included in Appendix A. Strategic Planning Roles and Inputs The Strategic Planning process includes a variety of inputs from a number of groups outlined in the visual below. Compass Kitchener, staff and the Resident Panel each contribute different perspectives, functions and develop deliverables for Council's consideration. Key learnings are Page 32 of 44 being shared between the various groups, and all of these inputs are considered by Council in its leadership role to oversee development of the 2023-2026 Strategic Plan. Approval of Strategic Plan blit Engagement ialysis )mmunity Priorities -Organizational Perspective -Analysis & Strategic Foresight • Draft Strategic Plan )mmunity rspective ialysis edback and commendations As noted in previous discussions with Council including on Compass Kitchener community priorities, there is a high degree of alignment between inputs gathered from the various phases of community engagement — which are reflected in the Vision and key priorities featured in this report. Strategic Plan Components The Strategic Plan includes several key components which together reflect the City's aspirations and commitments for Kitchener as outlined in the visual below; the Vision, priority Strategic Goal Areas that will lead to Action development, and the approach to Action Planning are the focus of this report and Council discussion. Vision Strategic Goal Areas Actions The Vision is our 20 -year community vision for a desired future of Kitchener and what we as a City organization are striving for on behalf of the community. Within this 20 -year timeframe the City establishes a series of Strategic Plans aligned to each term of Council, to make meaningful progress on what is possible to achieve over that 4 -year cycle. Strategic Goal Areas are focus Page 33 of 44 areas in which the City can take action to make change in themes that are important to the community in the 4 -year cycle, and aligned to the Vision. Actions outline the specific commitments and progress the City will make within the Goal Areas, often reflected as projects in the annual Business Plan. New 20 -Year Vision for Kitchener An exciting aspect of this strategic planning cycle has been gathering significant and diverse community input to help cast a new long-term 20 -year vision for Kitchener as a community. Broad community feedback from hundreds of people who were engaged in providing ideas and aspirations for the future of Kitchener has been thoughtfully considered in developing this vision and deliberated upon by many stakeholders. Residents told us that the vision should be inspiring and reduce "intimidating" language, so staff have taken a plain language and storytelling approach intended to resonate with people from all walks of life. Staff have written a compelling story of the future of Kitchener in 20 years, supported by a short aspirational statement — which will have broader application beyond the Strategic Plan within the 20 -year timeframe; both are included in full in Appendix B. The vision is intended to inspire and instill pride in the community for residents, staff and other stakeholders. As such, it creates a sense of belonging and reflects the aspiration that what we collectively do together changes things for the better, and there is a role for everyone to play in building the future: Building a city for everyone where, together, we take care of the world around us — and each other Compass Kitchener, all City Advisory Committees, residents and staff have meaningfully contributed to creating this picture of what Kitchener can be in 20 years, and that staff and Council can use to guide our work together moving forward. 2023-2026 Strategic Goal Areas and Statements Within the 20 -year vision, Council will define a series of 4 -year Strategic Plans with unique goal areas of importance to each period. At the February 2023 strategic session, Council supported 5 Strategic Goal areas for the 2023-2026 Strategic Plan as accurately summarizing community and Council priorities for this cycle, and provided early input on areas of emphasis for the 4 -year cycle. The Strategic Goal Areas have been renamed to be a strong complement and companion to the 20 -year Vision around a theme of `forward together'— acknowledging that multiple stakeholders collaborating on this work will lead to better and more timely outcomes. Previous Strategic Goal Area Title Updated Strategic Goal Area Title Belonging and Participation Fostering a Caring City Together Housing, Land Use and Mobility Building a Connected City Together Environment and Climate Action Cultivating a Green City Together Economic Prosperity and Opportunity Creating a Thriving City Together Good Government Stewarding a Better City Together Page 34 of 44 Goal statements were written to reflect the aspirations of the community and Council, which identify where we will focus energy and resources in the next 4 years to address opportunities, needs and gaps, while also working toward our long-term vision. The goal statements are included in full in Appendix C. Approach to Strategic Action Planning An innovation REFOCUS introduced and staff have brought into the 2023-2026 strategic planning process is around an adaptive approach to defining actions and projects, within established Strategic Goal Areas. Cities and organizations' operating context have changed and continue to evolve — with several key elements that present as challenges and opportunities, outlined in the diagram below: predictions Conditions are rapidly changing O'N't" plitte datacollection ;: Data is cheap and abundantly available recognition executionfrom execution by the the top down Communication is rapid and constant zvhole • Traditional strategic plans rely on straight-line predictions of trends, yet in reality conditions are rapidly changing and often unpredictable — and so there is a need to be open, observe, learn, and respond to changing conditions, even within our 4 -year planning cycle and term of Council. • Data collection can be a key investment of time and energy in defining classic strategic plans; with data proliferating and being readily available, it is more critical to recognize patterns in data to make informed choices and decisions. • Communication and execution of strategy was traditionally a top-down structure; in our current environment, communication is rapid and constant, with execution happening up, down and across hierarchies. The pandemic and other emerging trends have demonstrated the need for Cities to have capacity to respond to other emerging issues — and opportunities — as they arise. Our previous 2019-2022 Strategic Plan ambitiously articulated 5 clear, measurable Actions within 5 Goal Areas, designed to respond to the key issues and needs of 2018. While many were completed in the 4 -year period, a significant number took longer than expected due to complexity and shifting needs/resources partnership opportunities, while still others were paused and restarted due to the pandemic. We also saw some strategic priorities become more prominent during this timeframe including active transportation, Housing for All and Make It Kitchener; staff and Council flexed, changed and re -aligned resources to respond. The key lessons learned by staff and supported by Resident Panel deliberations are that we are in a new reality of rapidly changing circumstances. Attempting to predict or plan 4 years' of Actions can constrain expectations and the ability to respond to what emerges within that period. Page 35 of 44 To formally enable this new approach through the 2023-2026 Strategic Plan, staff will identify Actions for the first 1-2 years, as well as longer-term known Actions that will span beyond 1 year, to provide a balance between immediate and longer-term progress. By improving the cadence of setting and forecasting projects, instilling better measurement of outcomes, as well as innovation into the work, an ongoing approach to strategy development throughout the 4 -year term of Council will provide greater adaptability and resilience. Council in its governance role will have the opportunity to adjust/refine resources to emerging priorities annually within the 4 -year timeframe through enhanced and better -integrated Budget and Business Planning processes. Staff will create capacity to measure, manage and communicate progress in order to communicate with Council and provide confidence of progress made throughout the Strategic Plan. This measurement will see Kitchener applying the MultiCapital Scorecard approach to track and communicate progress on the Strategic Plan across a triple bottom-line (financial, environmental and social) and aligned to the United Nations Sustainable Development Goals. The collaborative approach to planning with residents through the Resident Panel has provided staff with ongoing input and suggestions from a group who are deeply engaged and knowledgeable about the complex issues the City is grappling with and are representative of the diversity of the community. Their perspectives have been incredibly helpful to the process, and they report having a greater understanding and appreciation for the work that staff and council do. The Resident Panel encouraged the City to take a more flexible approach to adjust priorities based on changing conditions and ongoing stakeholder engagement, and to adopt new actions over the next 4 years as circumstances and opportunities change, specifically stating "Swerve within your lane." Key Priorities Within Strategic Goal Areas Not all potential areas can be considered of equal importance or effectively resourced and actioned. Recognizing this, staff identified key priorities to focus on for the first 1-2 years of the Strategic Plan drawn from the original list of -r20 shared with Council in February. Staff assessed the importance of each priority in comparison to others, the potential for the City to make progress. Staff also applied different lenses including strategic foresight, urgency and interdependency, and considered Council's previous input on priorities. This new way of thinking and considerable deliberation resulted in the following grouping of priorities into 3 levels, which are also visually represented in the diagram below by 3 degrees of shading (dark for top priorities, medium for secondary, light for third). Top Priority - representing top priorities for the initial 1-2 years of the 2023-2026 Strategic Plan; anticipated to be the primary focus of actions, budget investments, business planning and resource requests: • Connection & Belonging • Newcomer Experience • Housing & Sustainable Urban Growth • Climate Adaptation & Mitigation and Energy Mix • Employer Identity/Value Proposition • Data Strategy/Management • Leadership & Organizational Capabilities Page 36 of 44 Secondary Priority - representing priorities to be actioned over the term of Council through the business plan with moderate potential budget/resource requests: • Physical & Mental Health • Parks & Open Space • Transportation & Trails • Stakeholder Engagement Third Priority - representing priorities to be actioned over the term of Council through the business plan primarily within existing resources: • Community Participation • Tree Canopy • Natural Systems & Areas • Innovation Culture (external) • Workforce & Employment (external) • Entrepreneurship & Small Business Community Health Core Services are represented in the centre of the diagram, as a focus of service to the community every day which also contributes to the Goal Areas. Improving the capabilities of staff Page 37 of 44 and the organization through strategic investments in Stewarding a Better City (previously Good Government) has an impact across the organization in the delivery of core service, and also contributes to delivering on the strategic actions that the City undertakes through the Strategic Plan; as such, these have emerged as key priorities for the initial phases of the 4 -year cycle. Discussion with City Council At Council's May 8 Strategic Session, staff will engage Council around a new 20 -year Vision and Key Outcomes for the 2023-2026 timeframe within that, including the following: 1. What are your reflections on, and reactions to, the Vision Story and Vision Statement? Have Community and Council aspirations for a desired Kitchener 20 years from now been captured? 2. Do the Key Priorities within each Strategic Goal Area capture Council's broad and collective priorities? 3. What opportunities or challenges to you see with establishing an initial set of Actions for the 2023-2026 Strategic Plan? The outcomes of Council's discussion will provide focus and inform the approach for staff to identify proposed actions which the City might undertake in the next 4 years to make progress; these will be shared with Council in June for discussion, and final approval of main content of the 2023-2026 Strategic Plan. Final Steps in the Strategic Planning Process: • Development of final recommendations for strategic actions informed by Resident Panel, staff and Compass Kitchener (May 2023) • Refinement of key priorities, options and actions through an iterative process with Corporate Leadership Team direction and guidance (May -June 2023) • Final online public survey (EngageKitchener) and targeted engagement on proposed key priorities and actions (May -June 2023) • Council engagement on prioritizing actions, receiving Resident Panel report and recommendations and final approval of 2023-2026 Strategic Plan content (June 2023) • Strategic Plan launch and communications (fall 2023) STRATEGIC PLAN ALIGNMENT: This report supports the development of the 2023-2026 City of Kitchener Strategic Plan. FINANCIAL IMPLICATIONS: Capital Budget — The recommendation has no impact on the Capital Budget. Operating Budget — The recommendation has no impact on the Operating Budget. COMMUNITY ENGAGEMENT: CONSULT AND COLLABORATE — This report included input from broad and diverse community engagement to support and inform the creation of Kitchener's 2023-2026 Strategic Plan, including a new 20 -year Vision for Kitchener, community priorities, and potential goals and actions for the 2023-2026 Strategic Plan. Page 38 of 44 INFORM — This report has been posted to the City's website with the agenda in advance of the council / committee meeting. PREVIOUS REPORTS/AUTHORITIES: CAO -2022-160 Preparing for the 2023-2026 Strategic Plan CAO -2022-198 Results of Environics 2022 Survey of Kitchener Residents CAO -2022-413 Strategic Foresight and Community Engagement Update CAO -2023-047 Compass Kitchener Advisory Committee Community Priorities CAO -2023-081 Prioritizing Strategic Goal Areas APPROVED BY: Dan Chapman, CAO ATTACHMENTS: Appendix A - Summary of Council Input into the 2023-2026 Strategic Plan to Date Appendix B - 20 -year Vision Statement and Story for Kitchener Appendix C - 2023-2026 Strategic Goal Areas and Statements Page 39 of 44 Appendix A: Summary of Council Input into the 2023-2026 Strategic Plan to Date At the March 2022 discussion about the overall strategic planning approach, Council advised on two key items as important to include in preparing the strategic plan and related community engagement: • Include a focus on core City services: An overview of services the City of Kitchener is responsible was incorporated in online and in-person engagement tactics. Educational components have been included in each of the Engage page ideas boards to provide context for residents when they respond with their ideas. Context about the City's responsibilities was included as context for the Neighbourhood Conversations sessions. The `We Are Kitchener' campaign launched in 2022 is continuing, with social media and physical banners and signage throughout the community building awareness of key City services in an engaging way. • Apply broad/open approaches and engage through different means: A broad variety of online and in-person means were used to engage residents, with a focus on open- ended questions, exploratory discussions/exercises, use of new tools within the Engage online platform, and a staff street team doing pop-up engagements at more community locations and events than previous strategic planning cycles. During the May 2022 review of the Environics survey results Council requested staff ensure the following through the next phases of community engagement: • Seek a broad range of voices and equity deserving groups: Engagement reached a broader diversity of Kitchener residents, provided a variety of ways for people to participate in-person and online, maximized community connections to encourage participation from equity deserving groups; the current Resident Panel was selected to mirror the demographic diversity of Kitchener. • Learn more about satisfaction with City services, public engagement processes, sustainability, housing affordability and recreation programs: These topics were all included as key topics in the engagement. Exploring willingness to pay more for services / satisfaction with value for tax dollars formed part of engagement later this year to support the 2023 Budget. In the August 2022 discussion on broad community engagement efforts underway, and key trends shaping Kitchener's future from a horizon scan summary as in put into future scenario development, Council noted the following: • Ensure focus on what the City can do or influence within its mandate: Staff and Compass Kitchener continued to hear broad ideas and aspirations as wider community engagement concluded; staff will filter these to actions that the City can take to respond, including working closely with the Resident Panel to focus on the City's accountability. • Key trends impacting Kitchener include belonging, placemaking, sustainability, housing affordability, innovation, technology and institutional trust: Staff incorporated these key trends into scenario development toward a proposed new 20 -year Vision (which will be shared with Council in May), and the proposed strategic goal areas highlighted in this report. In January 2023, the Compass Kitchener Advisory Committee provided Council their community priorities for the new Strategic Plan. While no direction was sought at that meeting, Council engaged with the committee Chair and Vice -chair to explore the priorities a bit more deeply, while noting the close alignment to what Council heard during the election campaign. Page 40 of 44 At the February 2023 discussion on key goal areas, based on synthesis of broad community engagement inputs, to be used by staff to identify indicators of success and potential actions in which the City could make progress over the life of the 2023-2026 Strategic Plan, Council provided the following feedback: • Support for the proposed 5 Strategic Goal Areas as reflecting key priorities toward which to make progress over the next 4 years (draft working titles): Belonging and Participation; Housing, Land Use and Mobility; Environment and Climate Action; Economic Prosperity and Opportunity; and Good Government. • Include the following when developing proposed Actions for the term of Council: engagement, newcomer experience; housing attainability, protecting good rents, green space; 15 -minute neighbourhoods; climate; creative industries, film/music/arts; government relations strategy, technology/innovation, data -driven decisions. Page 41 of 44 Appendix B: 20 -year Vision Statement and Story for Kitchener VISION STATEMENT Building a city for everyone where, together, we take care of the world around us — and each other. VISION STORY TOGETHER IN 2043 Whether you've lived here your whole life, or you just arrived last week, Kitchener feels like home. We're a city that has come together behind a common purpose. A city committed to progressing our connection to one another, well-being, happiness, potential and quality of life — for everyone. A city where everyone belongs. Our neighbourhoods are more connected and diverse today than ever before. Our streets and sidewalks know all kinds of people. Our kitchen tables, meeting rooms and council chambers do, too. Creating more opportunities for people to meet, connect, participate in and enjoy civic life has brought more diverse voices and lived experiences to those tables. This has shown us new possibilities. Helped us to make better decisions. And pointed us toward considerate solutions to some of our most challenging problems. We step up to help and care for one another. In an equitable city that's a reflection of our caring community, we work together — and with community partners — to offer accessible services and to address disparities among communities of greatest need. Our programs are open to everyone with equal access for all, without financial or other barriers. Because of our work, more people than ever feel a deep sense of belonging in Kitchener. Kitchener is where we feel at home. And where we can each have a safe, comfortable and affordable home. Our "housing for all" approach has led to smarter solutions, more creative designs and a home for everyone. Today, the city is more compact—filled with well-designed, adaptive reuses and new mixed-use and mixed -income housing options as diverse as our neighbourhoods and the people who live in them. Our neighbourhoods are connected and pedestrian -friendly and full of businesses and services that meet the daily needs of their residents. Our community centres, arenas and pools — and our soccer fields and cricket pitches — are where we get together and where we get active. We've designed our busy public parks, open spaces and squares with residents. They welcome and work for people of all ages and abilities — and they're an extension of our kitchen tables, our homes, our unique world views and the inclusive way we live. Our libraries are, too. Full of ideas and wonder and people — they bring us together and offer equal access to the knowledge and tools we need to learn about and navigate in the world around us. The places and spaces that bring us together are connected by reliable ways to get people moving around the city in active, clean and accessible ways. Our sidewalks see community connection every day — people who walk, roll, glide and wander — easily and safely getting where they want to go. We use cars and parking lots less and trails, protected cycling lanes and transit more. Fewer homes and businesses Page 42 of 44 use fossil fuels to heat and cool. We've reduced our impact on our environment, transitioning to a low - carbon future and using more renewable energy. Consistent awareness and incentives – to do more that causes the climate to change less – have made climate responsibility second nature for residents and businesses. We serve as stewards of our natural environment, and we remain steadfast in our commitment to reconciliation — and to the Indigenous caretakers of these lands who came before us. We preserve and protect our natural environment for future generations to enjoy and explore. Our urban forests and our tree canopy soften the boundaries between the built and natural worlds. They are the natural backdrop – along our streets, sidewalks, squares, paths and parks – to the unique arts and cultural experiences, events and exhibitions that nourish our souls, make us think – and give us hope. Every time we leave home, we enjoy the cool shade of these investments. Our investments in creating an agile and innovative local economy have strengthened our key industries and kept our job market healthy and diverse. We've supported local businesses of all sizes to continue to adapt and lead, addressing the unique challenges they face and helping them to connect and work together. Our city's difference -makers – the talented and resourceful local entrepreneurs, makers and artists, whose innovative new approaches reflect their daily pursuit of building a better world – continue to diversify and grow our economy and help create jobs for everyone. The public servants who work alongside our businesses and residents are difference -makers, too. We don't just make decisions. We listen. We are the stewards of our city's present – and its future. We champion our collective goals and work alongside residents to build our city – one neighbourhood at a time. We invite civic action on the issues that matter most to residents. We are accountable, and we measure the right things and report on our progress. We're honest about what's not working. And diligent about working together to change course when it's needed. Our legacy reflects a diverse and caring workforce that mirrors the diverse and caring city we've helped to build. We've built trust with residents. And because of this, people from diverse backgrounds vote and take part in public processes in unmatched numbers. We all tell stories of the challenges we came together to face over the years. And of how doing so led to a greater understanding of what we share and what makes us unique. By working together and making the most of our differences, residents have helped staff remove existing barriers and disadvantages, giving more people the opportunity to thrive in Kitchener. We're building a city for everyone where, together, we take care of the world around us – and each other. This is a legacy – a piece of the fabric – left behind by those who came before us. Threads woven into the future by the Indigenous peoples who first built communities and lived sustainably on these lands. A legacy of wisdom, community connection and caretaking that's sewn into both the tapestry of our past and the canvas of our future. These lessons of our past – and the promise of tomorrow – remind us that people who love their city can always change it for the better. The future always was, and is, ours to create. Together. Page 43 of 44 Appendix C: 2023-2026 Strategic Plan Goal Areas and Statements FOSTERING A CARING CITY TOGETHER (previously Belonging and Participation) We welcome residents of all ages and from all backgrounds and lived experiences at our tables. We work together on the decisions that matter most to us and have a meaningful influence in our community. We're healthy and thriving because we can easily access the diverse and inclusive programs and services that we need to succeed. BUILDING A CONNECTED CITY TOGETHER (previously Housing, Land Use and Mobility) We're all kinds of people living in all kinds of neighbourhoods. We work together to ensure that we each have secure, healthy and affordable homes. We get around easily, sustainably and safely to the places and spaces that matter most to us. CULTIVATING A GREEN CITY TOGETHER (previously Environment and Climate Action) We follow a sustainable, equitable path to a greener, healthier city. We work together to enhance, preserve and protect our natural environment while transitioning to a low -carbon future. We support businesses and residents to make more environment and climate -positive choices. CREATING A THRIVING CITY TOGETHEI (previously Economic Prosperity and Opportunity) We use our collective strengths to enhance and grow an agile and diverse local economy powered by talented and well -supported entrepreneurs, business leaders, makers and artists. We work together to create opportunities for everyone and a resilient future that propels our city, and its people, forward. STEWARDING A BETTER CITY TOGETHER (previously Good Government) We, the City's employees, are stewards of Kitchener's present and its future. We're responsive, diverse and accountable public servants and we work together efficiently to serve residents. We remove barriers and champion residents' collective vision for a better city — and a better world. Page 44 of 44