Year 2000 Priority One Business Functions Status Report

October 1999

The Policy and Finance Committee reports having:

(1) received the report (November 1, 1999) from the Chief Financial Officer and Treasurer; and

(2) directed that such report be forwarded to Council for information.

The Policy and Finance Committee submits the following report (November 1, 1999) from the Chief Financial Officer and Treasurer:

Purpose:

The Year 2000 Business Continuity Plan Status Report (October 1999) outlines the following information as requested by Council at its November 1998 meeting:

(i) Status report of each Priority One business function (October 22, 1999);

(ii) Status report on the ABC's and their state of readiness;

(iii) Status report on expenditures for Priority 1 Year 2000 functions (September, 1999); and

(iv) Change requests.

Funding Sources:

Funding of $149.6 million was approved as part of the 1999 Capital Budget. To date $100 million is committed/spent and the projected spending is on target.

The request of $149.6 million was established to address all Priority 1 Business Cases. It was also recommended that the Program Office identify the funding requirements for Priority 2 (important) and 3 (when time permits) business cases and the implementation and testing of contingency plans by February 1999. The funding requirements were identified, but additional funds were not requested.

The project contingency fund of $19.4 million, which was 15 and of the projected estimate of $130.2 million, was approved as part of the $149.6 million budget to address:

(i) the identification and resolution of any year 2000 issues associated with the City's fleet of vehicles;

(ii) the identification and resolution of any year 2000 issues associated with the City's Agencies, Boards and Commissions;

(iii) taxes, where they were not applied as part of the Priority-1 Business case; and

(iv) scope/cost changes to the priority 1 business cases.

A formal change management process was implemented to ensure that all requests for funding from the project contingency fund be documented and approved by the Year 2000 Steering Committee. Approved change requests are forwarded for information to the Policy and Finance Committee and Council.

To date, the following items have been funded out of the initial funding request:

(i) Priority 1 Business Cases remediation, testing and implementation;

(ii) Change requests to Priority 1 Business Cases;

(iii) Priority 2 and3 Business Cases remediation, testing and implementation;

(iv) Agencies Board and Commissions requests;

(v) Development and testing of all Contingency Plans;

(vi) Data Retention for active data, and; and

(vii) Staff retention package for all Year 2000 Staff.

Recommendations:

It is recommended that this report be received for information.

Status report on Priority One Business Functions (Appendix 1)

Departments:

Community and Neighbourhood Services:

The majority of Community and Neighbourhood Services systems have been remediated, tested and implemented. These include Social Services, Library Services and Hostel Administration. This leaves 2 outstanding applications to be tested and implemented for Homes for the Aged and 2 applications for Public Health.

The NYNIS application, which is part of the Family Health business case, has been remediated, tested, and implemented as of October 28th.

All Priority-1 non-Public Health Contingency Plans have been tested and are ready. Public Health Contingency Plans are expected to be completed within a week.

Critical 2 and 3 Business Functions for Public Health are currently being remediated, tested and implemented. Both the Library and Social Development and Administration have addressed all criticality 2 and 3 business cases to their satisfaction.

Corporate Services:

All Priority-1 Business Functions have been remediated, testing and implementation are nearing completion with due diligence activities remaining.

The Gaming system, part of the Legislative Services Business Case, is now targeted for implementation in mid-November.

The existing Election Management System will not be made year 2000 ready as a new system has been acquired to support future elections. The existing system would not have been able to meet the full needs of the new City.

Additional resources have been added to the remaining initiatives in the Corporate Records Management and Archives Services to meet the revised implementation date of November 12.

A data retention strategy for Human Resources has been approved. An action plan has been developed to ensure that information required to support day to day business is made accessible by November 30, 1999.

Contingency Planning has now become a focus for Corporate Services year 2000 activities.

Two additional Contingency Planners have been assigned and are currently assisting the Business Case teams with the completion of all Priorty-1 Contingency Plans.

(i) nine Business Cases have completed a first draft of their Contingency Plans;

(ii) four have tested and finalized plans and expect sign-off by November 5, 1999; and

(iii) eight out of 14 Contingency Plans are currently being tested.

Economic Development, Culture and Tourism:

Most Priority-1 Business Functions are essentially complete with only due diligence procedures remaining. The Class system, which is used for program registration, permitting and scheduling, has been remediated, tested and implemented in Scarborough and North York for the Fall registration session. A change request was approved to implement the same solution for Etobicoke and Toronto. Work is progressing well and the system will be used for winter registration.

The new Tree Maintenance Management System (TMMS) is in production for Forestry users in North York. Other Municipalities are scheduled to be in production by the end of November.

The Contact Management application has been remediated and tested. The system is in production in Scarborough and rollout to the remainder of the City is nearing completion.

The desktops, servers and network infrastructure of the Zoo have been remediated and are in production.

The desktops and servers for the Exhibition have been remediated and are in production.

Contingency plans have been drafted and are being finalized for all Business Cases.

Finance:

Most Priority-1 Business Functions are essentially complete with only due diligence procedures remaining.

The Payroll System for former Metro and Scarborough is being tested for a November implementation.

Phase 1 of the SAP Accounting (G/L and A/P), Purchasing, Material Management and Financial Reporting have been implemented and are in production. Year 2000 testing is scheduled for completed by early November.

The Accounts Receivable (Accounting) module will be remediated and implemented by year-end, 1999.

Contingency Plans for all Priority-1 Business Functions have been completed and signed by the commissioner.

Urban Planning and Development Services

All Priority-1 Business Functions have completed testing and are on track for business case closure.

Outstanding items include the server migration from North York, the acquisition of Point-of-Sale terminals and completing the remaining due diligence activities.

The Integrated Building Management System (IBMS), which is used to support the issuance of building permits and the adherence to municipal standards, was implemented successfully in all former municipalities.

The Commissioner has signed off contingency plans for all Priority 1 Business Functions.

Works and Emergency Services:

All Priority 1 systems have been tested and are Year 2000 ready. This includes:

(i) all Water Supply (Water Filtration) Plants;

(ii) Traffic Signals;

(iii) Fire and Ambulance Service Dispatch systems and related life saving equipment (Defibrillators, Self Contained Breathing apparatus);

(iv) all automotive and auxiliary equipment on the Fire and Ambulance Fleet; and

(v) Front line equipment (weigh scales etc.) and their supporting systems in Solid Waste Management

The final testing for the lower tiers (PLCs, individual instrumentation) in Water Pollution Control (Water Treatment) Plants will be completed within the next two weeks.

Contingency Plans have been drafted for all Priority 1 business cases.

WES has also made substantial progress in all of its Criticality 2 and 3 projects:

(i) expected completion of 3 of the 5 identified project is January 12, 2000; and

(ii) the remaining two due to complete by February 28, 2000.

The WES Year 2000 project is on track and on budget.

City Wide Initiatives:

Contingency Plans for all City Wide Initiatives have been drafted and tested. All plans are currently being finalized for Commissioner's sign-off.

Desktop Rollout:

All of the Desktops originally identified for remediation have been made year 2000 ready. Remaining are laptops and desktops identified through Change Requests for Library and ABCs.

External Partnerships and Agreements:

After further analysis by the operating departments, the number of priority-1 vendors was reduced from 625 to 592 through Change Management procedures. Follow-up calls and letters have been sent to all non-respondents. There are now 125 responses outstanding.

Mainframes:

All identified applications have been remediated and implemented. The initiative will now be focusing on the data retention and the application retirement project.

Midrange Servers:

412 of the targeted 502 servers have been certified Year 2000 ready. The servers requiring certification are departmental servers. Departments have been contacted to provide testing windows for the midrange team to conduct the year 2000 testing.

Communications and Training:

Of the 10,000 City staff targeted for Desktop training, 8,648 staff have been assessed for their training needs. Of those assessed, 7,167 staff have received training. The target date for completing all desktop training remains December 17.

Of the 4,500 staff targeted for GroupWise Email training, 50 and have been assessed, while 12 and have received training. GroupWise training will be completed on January 31.

Network Voice:

Voice Network testing is complete. Implementation of the forty-nine systems to be remediated is 92 and complete. The projected target for completion is November 30, 1999. The solutions for the remaining systems include conversion to Centrex or the application of software patches.

Network Data:

The core and peripheral data network and the network systems management are year 2000 ready. Operating department initiatives has imposed additional network requirements. These additional requirements are 83 and complete with a target completion date of November 1, 1999.

Facilities:

Testing of systems in critical facilities such as the Civic Centres, Police, Fire, and Ambulance headquarters and Archives is complete.

An additional 5,000 (bringing the revised total to 11,000) building systems have been identified as a result of the inventory of 2,100 buildings identified. Approximately 300 building systems have been identified as having date implications. Of these, there are less than 100 deemed non-compliant and only 10-20 that cannot be remedied by the application of a workaround. These systems will be compared to a database of test results purchased by the City to identify the necessary action plan, if any. The QA manager will determine if the test database meets all the testing requirements.

Information will be made available to Departmental Team, by building, at the end of October.

Letters have been sent to the landlords of non city-owned facilities. 40 and have responded to date. A second mail out is active. In addition, City tenants are being notified of the building status where no response has been received or the response is not satisfactory.

Only critical business machines are being addressed. A pool of "replacement" equipment is being acquired to address any year 2000 issues identified with office equipment. All medical equipment has been assessed. No problems were identified.

Fleet:

Fleet has assessed all vehicles in the fleet. Fire and Solid Waste vehicles were sample tested. Readiness of all other vehicles was determined based on research and vendor-provided information. No issues were identified.

Status report from the TTC - October 15, 1999:

Executive Overview:

The TTC has nearly completed its objective of having all critical applications, technology and infrastructure, and embedded systems ready for the Year 2000. There are no remaining areas of concern.

Summary:

Embedded Systems:

98 and (377 of 384) embedded systems are now tested and Y2K ready. Six of the seven remaining systems are recent purchases currently being installed, with no date issue expected. The remaining system, the SMC control module for the SRT will not be made compliant by the end of the year. The contract for the replacement system has been awarded. Testing has been done, and manual work around procedures will be used until the new system is fully implemented.

Applications:

85 and (110 of 129) of the critical (level 1 and 2) applications are now Y2K ready. By the end of October, 99 and of the critical applications are scheduled to be Y2K ready, with a single system to be completed in November.

42 and (31 of 73) of the less critical applications (level 3 and 4), with minimal impact to the Commission, are currently Y2K ready. These will largely be completed by November 1999, with a single system to be completed in December.

IT Infrastructure:

99 and of the Information and Technology infrastructure (mainframe, LANs, PCs, etc.) is Y2K ready, with some remaining work in desktop rollout and network server certification. This remaining work will be completed in October 1999.

Contingency Planning:

All Business Operations contingency plans have been developed. All detailed IT contingency plans have been developed (Applications, Infrastructure and Embedded Systems).

External Review:

External reviews were conducted by Ernst and Young (Y2K Program in general) and by Stone and Webster (Embedded Systems). Some issues were raised , and these have been addressed to the satisfaction of the Commission's Y2K Steering Committee. Quality Control efforts will continue until the end of the project.

Budget:

The projected cost for the Y2K project is $15.8M. This amount is $1M above the approved budget as previously reported. Funds will be found internally within the Commission to make up the shortfall.

Status Report from the Toronto Police Service - October 18, 1999:

The following summaries have been prepared for each critical area of Year 2000 planning and remediation to provide information about our most recent accomplishments:

Emergency Preparedness:

Unit specific operational contingency plans have been completed. These plans are in the process of being reviewed and finalized. Unit tests of these plans will be completed in November.

Plans are being prepared to address general operational preparedness for New Years Eve events. These plans will be finalized by the end of November 1999.

The Service has completed the tendering process for emergency generators and will be finalizing plans for their deployment. Part of the unit tests of their specific contingency plans will involve the use of these generators.

Fuel delivery contingency plans have been finalized.

Information Processing:

The Service remains on track in converting and testing its information systems in keeping with system A-D prioritization. The status is as follows:

(i) Priority A Systems: 99 percent and complete. Total compliance of all critical systems is expected by the end of October;

(ii) Priority B Systems: 80 percent and complete. The rest are expected to be completed by November 30,1999;

(iii) Priority C Systems: 75 percent and complete. The rest are expected to be completed by November 30,1999; and

(iv) Priority D Systems: 50 percent and complete. The rest are expected to be complete by February 29, 2000.

The Service has implemented a soft production freeze on its systems effective October 15, 1999. This freeze requires IT management approval for any exceptions. A hard production freeze will be implemented on November 30, 1999, requiring exceptions to be approved at the Command level.

Facilities and Equipment:

Critical equipment assets are Y2K compliant with few exceptions. Of these exceptions, they will be completed before year-end.

The Service is continuing to work with City staff to remediate and test facilities. Work in this area is behind schedule, but it is anticipated that all necessary work will be completed by the end of November 1999.

Given our state of readiness, I am confident that the Service will be prepared to address Y2K challenges in the new millennium in keeping with the expectations of our communities.

Status Report from Toronto Hydro - October 18, 1999:

Status:

As of June 21, 1999, all systems that impact on power delivery or safety are Y2K ready. As of September 30, in all other areas, including IT Infrastructure, Customer and Energy Services, Field Services, Corporate Services and Facilities, our critical systems were 94 and Year 2000 ready and on track to attain 100 and readiness well in advance of the ultimate deadline of December 31, 1999.

The focus of our remaining Year 2000 work is in four areas:

(i) Completing the installation of new systems;

(ii) Verification Testing;

(iii) Clean Management; and

(iv) Contingency Planning.

Verification Testing:

Verification testing of Year 2000-ready systems is mainly required for three reasons:

(1) to ensure that customization required by Toronto Hydro has not introduced Year 2000 exposures;

(2) to ensure that the transfer of critical data throughout our systems is accurately performed by the interfaces between them; and

(3) to ensure that the Year 2000 readiness claims of the vendors and manufacturers are valid.

Clean Management:

Clean Management protects the Year 2000 ready Toronto Hydro environment from being corrupted by re-introducing Year 2000 exposures. This effort requires the careful attention of every Toronto Hydro employee who works with our key electrical distribution and business processes. Toronto Hydro's senior managers are working hand-in-hand with our Year 2000 project office on a six-point program aimed at educating our key employees to ensure our Year 2000 ready systems stay that way.

As is the case with many outcomes of the Year 2000 project, the disciplined processes created by clean management positions Toronto Hydro well as it enters a deregulated electrical distribution environment.

North American Reliability Council Drill September 8-9 1999:

On September 8 and 9, Toronto Hydro participated in a Y2K drill coordinated by the North American Electricity Reliability Council (NERC). The purpose of the drill, which did not impact customers, was to rehearse actual Y2K rollover from December 31, 1999 to January 1, 2000.

The three major objectives of the drill were to:

(1) demonstrate the ability to effectively deploy resources and perform operating and administrative procedures related to the transition from December 31, 1999 to January 1, 2000;

(2) demonstrate the ability to effectively use backup voice and data communications systems in support of reliable electric operations under simulated loss of one or more primary voice or data communications systems; and

(3) demonstrate, under simulated Y2K conditions, the ability to effectively deploy elements of Y2K contingency response plans.

Working closely with Ontario Hydro Services Company and the Independent Electricity Market Operator, Toronto Hydro Operations and Corporate Communications staff activated some of their emergency response and Y2K contingency plans under simulated problems with the bulk power system.

Contingency planning for the electrical distribution side of the company is based on our existing power restoration processes that have a solid track record of success in quickly resolving any immediate issues that have disrupted electrical distribution.

On the business process side of the company, comprehensive written contingency plans that can be quickly mobilized have been created for more than 38 key business processes. After the turn of the century, these plans can become the basis for business resumption in response to any disruption to our normal mode of business. These plans are based on business impact analysis of our processes. During the creation of these contingency plans Toronto Hydro opened strong lines of communication with other essential service providers in the City of Toronto to ensure the coordinated implementation of our efforts.

Communications:

The Toronto Hydro Y2K Communications group continues to work very closely with other key stakeholders including Ontario Hydro Services Corporation, the Ministry of Health and the City of Toronto. Our consistent message to the media, customers and all other interested groups and individuals is that Toronto Hydro's electrical distribution systems are 100 and Year 2000 ready.

We have joined the Fire, Police, Ambulance, City and Red Cross to speak to community groups, ratepayers associations and vulnerable groups about Y2K readiness and personal emergency preparedness. Our message to those citizens who are contemplating the purchase of emergency generators as part of their plans will be that they must be safely installed and operated, and inspected by the Electrical Safety Authority to be legal. This initiative is in response to the announced intentions of some Ontarians that they are looking at purchasing generators.

Change requests:

The following change requests have been approved by the Year 2000 Steering Committee and are presented for information.

Community and Neighbourhood Services:

B.C. No. 9 - Property Management:

Log No. 241 - Removal of 2 vendors from the Business Case.

Both of these vendors provide products with which the system in question has or had an interface:

(1) Computer Corporation of America to be removed because the system (Senior Housing Registry) which uses the CCA produce Model 204 does not interface to this new system as it had the former and SCHR will in fact be retired at the end of October 1999; and

(2) Megamation to be removed as it is not a critical vendor for the operation of our new system.

Neither vendor is, in any way, connected to the contingency plans.

B.C. No. 9 - Property Management:

Log No. 242 - Introduce a new Business Partner of Toronto Housing Company (THC)

The Toronto Housing Company was created through the amalgamation of two previously independent housing providers, Toronto Cityhome and the Metropolitan Toronto Housing Company Ltd. (MTHCL). There are currently four existing payroll systems that need to be amalgamated.

A PC-based system, PRISM, from third-party vendor Ceridian, has been chosen as the replacement system. This system is scheduled for implementation November 19, 1999.

The vendor needs to be added to THC vendor list.

Corporate Services:

B.C. No. 35 - Document Management - Legal Department - $51,750 (within current budget):

Log No. 235 - To complete the project it is necessary to undertake the following tasks:

(i) formalized Change Management and Clean Management procedures;

(ii) complete systems support training and knowledge transfer;

(iii) project management and administration; and

(iv) business case closure.

This Change Request requires that two resources (Project Manager and Senior Programmer Analyst) continue until October 30, 1999 and does not require any additional funds.

The application includes Document Management, Oracle DBMS and Verity (Full Test Index DBMS). Although all the applications are Y2K Ready and Certified as of September 30, 1999, additional Business Case Closure tasks will be required in order to complete the following:

(1) complete systems support training for and knowledge transfer for Docs Open, Oracle DBMS Architecture and Verity DBMS Architecture (20 person days);

(2) completion of Documentation for System Administration for the Resources at Don Mills (10 person days);

(3) completion of Clean Management Procedures (10 person days);

(4) completion of additional tasks as defined on an ongoing basis by the DPMO (depending on new tasks not defined); and

(5) project management for Post Implementation (20 elapsed days).

B.C. No. 94 - File Management and Legal Specific Databases - $17,600 (within current budget):

Log No. 236 - To complete the project it is necessary to undertake the following tasks:

(i) complete systems support training and knowledge transfer;

(ii) complete Project Maintenance Contingency;

(iii) project management and administration; and

(iv) business case closure.

This Change Request requires that two resources (Project Manager) continue until October 30, 1999 and does not require any additional funds.

These applications include Time and Billing and Title Search.

The Oracle DBMS Application Architecture is being verified by Project CS-035-01. Although these applications are Y2K ready and certified as of September 30, 1999, additional Business Case Closure tasks will be required in order to complete the following:

(i) complete systems support training for and knowledge transfer for Time and Billing and Title Search (10 person days); and

(ii) complete Project Maintenance Contingency (10 person days).

Economic Development, Culture and Tourism:

B.C. No. 96 - Maintenance Management Forestry System - $82,800

Log No. 237 - To obtain funds for Mainframe remediation charge back.

Additional funds are required for charges incurred in assessing and remediating the following mainframe systems:

No. 73/74 TMIS Tree Management Information System - $65,000.

No. 70 Parks Inventory - $13,400.

No. 200 Work Order Accounting - $4,400

Total Amount requested - $82,800.

B.C. Nos. 118, 119 and 120 - Ferry Boat Revenue System, Ticket Revenue System, Parks and Historic Sites - GIS - $31,185

Log No. 238 - Funds to implement Critical 2 Business Cases:

Additional funds are requested to implement a Year 2000 solution for:

(1) Ferry Boat Revenue systems;

(2) Ticket Revenue systems;

(3) Parks and Historic Sites - GIS applications, which are not Y2K compliant. The implementation to be done after the season is over in September and prior to December.

Finance:

B.C. No. 50 - Property Tax Collection - $600

Log No. 231 - Add two software contractors to EP andA vendor list

Two additional contractors have been identified. The contracts for these vendors have been reviewed by External Partners and Agreements and should be added to the list of approved vendors.

B.C. No. 53 - Parking Tag Management - $600

Log No. 232 - Add two credit card scanning technology vendors to the EP andA vendor list.

During a review of contacts for the Parking Tag Management application, two additional vendors were identified that provide credit card scanning technology to the City. The vendors are Royal Bank of Canada and Canadian Imperial Bank of Commerce.

Works and Emergency Services

B.C. No. 124 - Solid Waste Management - $59,750

Log No. 230 - Due to the fact that the existing GIRO system is running on a non-Y2K-compliant and non-Metro standard version of OS/2 and that its criticality is high 2, there is a need for a new GIRO system running on NT (which is Metro standard). We initially thought that we could upgrade the OS/2 with a Y2K patch from its manufacturer. The total funding required is $59,750 and the targeted completion date is December 31, 1999.

New GIRO software - $300,000 (Operating division will cover this cost)

Hardware upgrades (5 PCs and a server) - $20,000

Oracle/SQL database software and networking equipment - $12,000

Project co-ordination and data conversion (37 days @ $750/day) - $27,750

City Wide Initiatives - Facilities:

B.C. No. 81 - Facilities - Building Systems - no budget impact

Log No. 233 - Change the scope of the Facility Systems project to include recently identified City-owned systems in non-owned buildings.

We have identified certain owned equipment in non-owned facilities that require certification.

B.C. No. 82 - Desktops

Log No. 240 - Add a vendor to the critical supplier list for Desktops

Software Spectrum is the Microsoft LAR selected for the provision of the following Microsoft Desktop Applications to the City of Toronto:

(i) Microsoft Windows 98 or Microsoft Windows NT workstation;

(ii) Microsoft Office STD or Professional :

(a) Word;

(b) Excel;

(c) PowerPoint; and

(d) Access* (*Access is included with Office Professional);

(iii) Microsoft Back Office« Client Access License (CAL):

(a) Microsoft Windows NT Server;

(b) Microsoft SQL Server;

(c) Microsoft Exchange Server;

(d) Microsoft Site Server;

(e) Microsoft System Management Server; and

(f) Microsoft Proxy Server;

Conclusion:

The City of Toronto's Year 2000 readiness program is moving forward as anticipated. Council will continue to receive progress reports as requested.

Contact:

Lana Viinamae, Director Year 2000.

(Copies of the Project Charts appended to the foregoing report were forwarded to all Members of Council with the November 10, 1999, agenda of the Policy and Finance Committee and copies thereof are also on file in the office of the City Clerk).