April 14, 1999

To:Budget Committee

From:Joe Halstead, Commissioner of Economic Development, Culture and Tourism

Wanda Liczyk, Chief Financial Officer and Treasurer

Subject:Heron Park Community Centre Project

Ward 16 - Scarborough Highland Creek

Purpose:

To request additional funding for facility and program space improvements for the Heron Park Community Centre project.

Financial Implications:

The 1999 Parks and Recreation Capital Budget would be increased by $760,000.00 from $38,444,000.00 gross to $39,204,000.00 gross, with financing to be from the issuance of debentures. Debt charges would increase by approximately $100,000.00.

Recommendations:

It is recommended that:

1.The 1999 Parks and Recreation Capital Works Program be amended to provide additional capital funds in the amount of $760,000.00, financed by the issuance of debentures issued for a term not exceeding 20 years, to enable the inclusion of facility and program space improvements for the Heron Park Community Centre project.

2. the appropriate City Officials be authorized and directed to give effect thereto.

Comments:

The original Feasibility Study for the Heron Park Community Centre project was approved in 1992, but the project did not receive funding approval until 1998. Due to the length of time between the original feasibility study and project approval, a review of the original program was carried out to determine that current community needs were being met. As part of the consultation process, community groups involved in the original study were invited to participate. This review was completed March 16, 1999.

Significant public concern emerged during this review that extensive work in the arena be carried out. This work includes new rink boards, repair or replacement of the concrete surrounding the ice pads, skate-resistant flooring, bleacher seating and infra-red heating. These items had previously been identified as Major Maintenance items by the former City of Scarborough and carried as an estimate in the Works Department budget. The work was scheduled to coincide with the construction of the new community centre facility. When the 1992 Heron Park project was delayed, work on these Major Maintenance items was also deferred. The currently approved funds for Heron Park Community Centre do provide for the community centre, pool replacement etc. The Major Maintenance items were not included in this estimate and no longer appear in the Works Department Major Maintenance budget. These Major Maintenance items require a budget of approximately $500,000.00 to complete, and it is timely to do so now to minimize user impacts, gain economies of scale and better serve the public, and minimize site disruption.

Since 1992 there has also been a change in the area demographics, i.e. an increase in the number of young families and children. This has resulted in new requirements. These are: a preschool room; water play area/splashpad; and an increased area for spectator viewing in the arena. These items were not part of the original capital budget and additional funding of approximately $260,000.00 is required.

In total, an additional $760,000.00 in project funding is required as confirmed by the Architect's cost consultants. It is intended this work will be tendered in the fall of 1999.

The Department has conferred with the Chief Financial Officer and Treasurer regarding the funding of this project, and it is suggested that the city fund this work as an addition to the Capital Works Program through the issuance of debentures.

Conclusion:

In order to ensure that the arena-related work and space improvements are achieved along with the already-approved community centre project, it is recommended that this work be included in the contract documents being prepared at this time. This will minimize site disruption and public inconvenience, produce lower construction prices, and better serve the needs of the community.

Contact Names:

Frank Kershaw

Director, Policy and Development

392-8199

Robert Brough

Supervisor, Capital Projects

392-8181

Joe HalsteadWanda Liczyk,

Commissioner Economic Development, Chief Financial Officer and Treasurer

Culture and Tourism