The Budget Committee  recommended to the Executive Committee that City Council approve the following recommendations:

 

1.         The 2007 operating surpluses totalling $7,611 from three Arenas (Larry Grossman Forest Hill, Moss Park, North Toronto), and the excess funds advanced to Ted Reeve Arena during 2007 of $8,164, be paid to the City of Toronto and be used to partially fund the payment of operating deficits of $277,652 for the other five Arenas (George Bell, William H. Bolton, Leaside, McCormick, Ted Reeve) resulting in an operating net deficit of $270,041 to be funded by the City, as detailed in Appendix A, column (c), of the report (May 6, 2009) from the Deputy City Manager and Chief Financial Officer.

 

2.         A funding provision of $27,651 be made through the 2008 Final Year-End Operating Variance Report, as calculated in Appendix A of the report.

 

 

This report recommends settlement with the eight Arena Boards of Management (Arenas) on their 2007 operating surpluses and deficits based on audited financial results for the year ended December 31, 2007, with any unsettled operating surplus to be payable to the City by various Arenas and any unsettled operating deficit to be funded by the City upon Council’s approval.

 

The Budget Committee recommended to the Executive Committee that:

 

1.         City Council approve the budget and technical adjustments to the 2009 Approved Capital Budget as detailed in Appendix 2 of the report (May 13, 2009) from the Deputy City Manager and Chief Financial Officer.

 

2.         City Council approve the creation of a new capital project entitled “194 Dowling Avenue Acquisition” to be added to the Shelter, Support and Housing Administration 2009 Approved Capital Budget with a 2009 cash flow of $0.699 million gross to be funded from the Development Charge Reserve Fund.

 

3.         City Council approve carry forward funding for unspent 2008 capital projects totalling $203.993 million gross and funding sources as detailed in Appendix 3.1, in order to continue work on 2008 approved capital projects, and that the 2009 Approved Capital Budget be increased accordingly with no impact on debt funding.

 

4.         City Council approve carry forward funding for unspent 2007 and prior year capital projects totalling $8.753 million with no incremental increase on the 2009 Council approved debt funding as detailed in Appendix 3.2, and that the 2009 Approved Capital Budget be adjusted accordingly.

Note:  This report replaces the Placeholder report dated May 7, 2009.

 

The purpose of this report is to provide the City of Toronto Capital Variance for the three months ended March 31, 2009, projected actual expenditures to December 31, 2009 and to request Council’s approval for in-year budget adjustments and additional carry forward funding.

 

Capital expenditures for the three months ended March 31, 2009 totalled $191.913 million or 7.1% of the 2009 Approved Capital Budget of $2.700 billion.  Tax Supported Programs spent $159.443 millions, representing 7.6% of their collective 2009 Approved Capital Budget of $2.110 billion (see Appendix 1 of the report).  City Operations spent $36.441 million or 3.9% of its 2009 Approved Capital Budget of $930.178 million; while Agencies, Boards and Commissions (ABCs) spent $123.002 million or 10.4% of their collective 2009 Approved Capital Budget of $1.180 billion.  In total, Rate Supported Programs spent $32.469 million or 5.5% of their 2009 Approved Capital Budget of $590.063 million (see Chart 1 of the report).  This spending pattern is consistent with prior years; typically, capital project activities tend to be concentrated in the latter half of the year; therefore, capital-spending rates will accelerate in future months in accordance with capital project plans and schedules.

 

As detailed in Appendix 1 of the report, projected actual expenditures to year-end are estimated at $2.367 billion or 87.7% of the total 2009 Approved Capital Budget of $2.700 billion.  Tax Supported Programs project spending to year end of 90.4%; while Rate Supported Programs project spending of 77.8% of their total 2009 Approved Capital Budget.  It is noted that, except for 311Customer Service Strategy (62%), Sustainable Energy Plan (62%) and Sony Centre (46%), all City Programs and Agencies, Board and Commissions anticipate spending of more than 70% of their individual 2009 Approved Capital Budgets by year end.

 

In accordance with the City’s Carry Forward Policy, this report requests approval to carry forward funds for unspent 2008 approved capital project budget as well as 2007 and earlier years approved capital projects not previously identified and included in the 2009 Approved Capital Budget.  The additional carry forward funding request totals $203.993 million as detailed in Appendix 3.1 for 2008 approved capital projects; funding for 2007 and prior years approved capital projects totals $8.804 million with no increase to the 2009 Council Approved debt funding as shown in Appendix 3.2 of the report.

 

This is to advise that the Capital Variance Report - For the Three Months Ended March 31, 2009 will be on the Supplementary Agenda for the Budget Committee meeting of May 19, 2009.

 

The Public Works and Infrastructure Committee recommended to the Budget Committee that:

 

1.         City Council approve an increase in the maximum contracted single stream recycling tonnage to be processed by Canada Fibers Ltd. by an additional 20,000 tonnes to 105,000 tonnes per year at an additional $16.00 per tonne above the current processing rate with CPI adjustments on the new tonnes effective January 1, 2010 and annually thereafter, all net of GST.

 

2.         City Council approve an increase in the maximum contracted source separated organic tonnage to be hauled and processed by OrgaWorld Canada Ltd. by 25,000 tonnes to 75,000 tonnes per year at a rate reduced by $5.00 per tonne from the current processing rate of $112.50 per tonne to $107.50 per tonne on both the currently committed tonnes and the new tonnes with CPI adjustments effective June 1, 2009 and annually thereafter and no change in the current contracted rate of $17.25 per tonne for haulage, all net of GST.

 

3.         Subject to the adoption of Recommendation 2, City Council approve a put or pay commitment of 70% of the full 75,000 tonnes until May 31, 2013, provided that OrgaWorld Canada Ltd. is capable of processing the full amount.

 

4.         Subject to the adoption of Recommendation 2, City Council authorize the General Manager, Solid Waste Management Services to exercise the two (2) option years from June 1, 2013 to May 31, 2014 and June 1, 2014 to May 31, 2015 with OrgaWorld Canada Ltd. as part of the agreement for increased capacity.

 

5.         City Council authorize the General Manager, Solid Waste Management Services to enter into any necessary amending agreements with both Canada Fibers Ltd. and OrgaWorld Canada Ltd. to reflect Recommendations 1, 2, 3 and 4, and otherwise on terms and conditions satisfactory to the General Manager, Solid Waste Management Services and in a form satisfactory to the City Solicitor.

 

6.         City Council:

 

a.         extend the existing authority of the General Manager of Solid Waste Management Services to negotiate and enter into amending agreements with the City’s current SSO processing contractors and/or negotiate and enter into agreements with other SSO processing contractors as required to meet the City’s SSO (including SSO digestate) processing needs for terms up to December 31, 2015 on terms and conditions satisfactory to the General Manager, Solid Waste Management Services, and in a form satisfactory to the City Solicitor,  provided that the prices do not exceed the increased processing fees identified in Attachment 1 – Confidential Information; and

 

b.         authorize the General Manager of Solid Waste Management Services to negotiate and enter into amending agreements with the City’s current SSRM processing contractors and/or negotiate and enter into agreements with other SSRM processing contractors as required to meet the City’s SSRM processing needs for terms up to December 31, 2015 on terms and conditions satisfactory to the General Manager, Solid Waste Management Services, and in a form satisfactory to the City Solicitor,  provided that the prices do not exceed the processing fees identified in Attachment 1 – Confidential Information.

 

7.         City Council amend the 2009 Approved Operating Budget for Solid Waste Management Services by increasing expenditures in Cost Centre SW0751 (MRF: Single Stream - Dufferin) by $1,008,410.; by decreasing expenditures in Cost Centre SW0476 (MWPF-DUFFERIN) by $218,750 and by increasing revenue in Cost Centre SW0751 (MRF: Single Stream - Dufferin) by $789,660.

 

8.         Confidential Attachment 1 to the report (April 21, 2009) from the General Manager, Solid Waste Management Services, remain confidential in its entirety, in accordance with the provisions of the City of Toronto Act, 2006, as it relates to the security of the property of the municipality or local board.

The Public Works and Infrastructure Committee on May 5, 2009, considered a report (April 21, 2009) from the General Manager, Solid Waste Management Services, entitled “Amendments to Solid Waste Management Services Diversion Contracts”.

The Budget Committee recommended to the Executive Committee that:

 

1.         The cashflow adjustments and budget reallocations detailed in Appendix 1 of this report, which have no impact on the Toronto Water’s total approved 2009 Capital Budget and 2010-2013 Capital Plan, be approved.

 

 2.        The appropriate City Officials be authorized and directed to take the necessary action to give effect thereto.

 

 

The purpose of this report is to seek approval for additional reallocations in Toronto Water’s approved 2009 Capital Budget and 2010-2013 Capital Plan in response to recent increased tender prices.

 

The Budget Committee recommended to the Executive Committee that:

 

1.         City Council approve the deferred and accelerated cash flows in the amount of $12,750,000 detailed in Table 1 attached to the report (May 7, 2009) from the General Manager, Transportation Services, which will have no net impact on the approved 2009 approved debt.

 

2.         City Council request the General Manager, Transportation Services, to report back to the Budget Committee as part of the 2010 Capital Budget process, on a revised 10-year capital plan.

 

3.         City Council authorize and direct the appropriate City Officials to take the necessary action to give effect thereto.

The Transportation Services Division submitted two reports in 2008 to the Budget Committee recommending the reallocation of anticipated cash flow expenditures from 2008 projects that, for various reasons, needed to be deferred to other projects that were ready to proceed. As with the previous reports, 2009 cash flows are needed to be realigned to other program areas that are ready to proceed.  This involves the deferral of 2009 approved cash flows along with a corresponding acceleration and increase within other Transportation Services Capital Budget items that yield a zero net impact on the approved debt target for 2009.

 

The impact on project costs resulting from the cash flow reallocations is an increase of $2,750,000 million. An equivalent amount of project costs will either be funded from other sources or there will be an offsetting reduction in future year project costs.  In view of the foregoing, Transportation staff, as part of the upcoming 2010 budget process and consistent with the Divisional submission, has reassessed all ongoing and imminent project cash flows and all available funding sources in order that the increase in project costs will have no net impact on the approved five year debt targets for Transportation Services.

 

The Budget Committee recommended to the Executive Committee that:

 

1.         City Council approve the following adjustments to Toronto Public Health’s 2009 Approved Operating Budget:

 

a.         a reduction of $307.9 thousand gross and $0.0 net, and an increase of 4 temporary positions to reflect confirmed funding from various Provincial ministries and external sources (Attachment 1, Table 1 of the report dated March 31, 2009 from the Medical Officer of Health); and

 

b.         an increase of $110.4 thousand gross and $0.0 net, to reflect unspent 2008 funds from Health Canada required in 2009 (Attachment 1, Table 2).

 The Board of Health on April 20, 2009, considered a report (March 31, 2009) from the Medical Officer of Health, entitled “Budget Adjustments to the Toronto Public Health 2009 Approved Operating Budget”.

The Budget Committee recommended to the Executive Committee that:

 

1.         City Council increase the Toronto Public Health 2009 Approved Operating Budget by $638,728  gross and $0.0 net, and five temporary positions, to reflect confirmed one‑time funding from the Ministry of Health Promotion for the Diabetes Prevention Strategy for the period April – December 2009.

 

The Board of Health on April 20, 2009, considered a report (April 1, 2009) from the Medical Officer of Health, entitled “Diabetes Prevention Strategy - Update”.

The Public Works and Infrastructure Committee recommended to the Budget Committee that:

 

1.         City Council approve an increase in the maximum contracted single stream recycling tonnage to be processed by Canada Fibers Ltd. by an additional 20,000 tonnes to 105,000 tonnes per year at an additional $16.00 per tonne above the current processing rate with CPI adjustments on the new tonnes effective January 1, 2010 and annually thereafter, all net of GST.

 

2.         City Council approve an increase in the maximum contracted source separated organic tonnage to be hauled and processed by OrgaWorld Canada Ltd. by 25,000 tonnes to 75,000 tonnes per year at a rate reduced by $5.00 per tonne from the current processing rate of $112.50 per tonne to $107.50 per tonne on both the currently committed tonnes and the new tonnes with CPI adjustments effective June 1, 2009 and annually thereafter and no change in the current contracted rate of $17.25 per tonne for haulage, all net of GST.

 

3.         Subject to the adoption of Recommendation 2, City Council approve a put or pay commitment of 70% of the full 75,000 tonnes until May 31, 2013, provided that OrgaWorld Canada Ltd. is capable of processing the full amount.

 

4.         Subject to the adoption of Recommendation 2, City Council authorize the General Manager, Solid Waste Management Services to exercise the two (2) option years from June 1, 2013 to May 31, 2014 and June 1, 2014 to May 31, 2015 with OrgaWorld Canada Ltd. as part of the agreement for increased capacity.

 

5.         City Council authorize the General Manager, Solid Waste Management Services to enter into any necessary amending agreements with both Canada Fibers Ltd. and OrgaWorld Canada Ltd. to reflect Recommendations 1, 2, 3 and 4, and otherwise on terms and conditions satisfactory to the General Manager, Solid Waste Management Services and in a form satisfactory to the City Solicitor.

 

6.         City Council:

 

a.         extend the existing authority of the General Manager of Solid Waste Management Services to negotiate and enter into amending agreements with the City’s current SSO processing contractors and/or negotiate and enter into agreements with other SSO processing contractors as required to meet the City’s SSO (including SSO digestate) processing needs for terms up to December 31, 2015 on terms and conditions satisfactory to the General Manager, Solid Waste Management Services, and in a form satisfactory to the City Solicitor,  provided that the prices do not exceed the increased processing fees identified in Attachment 1 – Confidential Information; and

 

b.         authorize the General Manager of Solid Waste Management Services to negotiate and enter into amending agreements with the City’s current SSRM processing contractors and/or negotiate and enter into agreements with other SSRM processing contractors as required to meet the City’s SSRM processing needs for terms up to December 31, 2015 on terms and conditions satisfactory to the General Manager, Solid Waste Management Services, and in a form satisfactory to the City Solicitor,  provided that the prices do not exceed the processing fees identified in Attachment 1 – Confidential Information.

 

7.         City Council amend the 2009 Approved Operating Budget for Solid Waste Management Services by increasing expenditures in Cost Centre SW0751 (MRF: Single Stream - Dufferin) by $1,008,410.; by decreasing expenditures in Cost Centre SW0476 (MWPF-DUFFERIN) by $218,750 and by increasing revenue in Cost Centre SW0751 (MRF: Single Stream - Dufferin) by $789,660.

 

8.         Confidential Attachment 1 to the report (April 21, 2009) from the General Manager, Solid Waste Management Services, remain confidential in its entirety, in accordance with the provisions of the City of Toronto Act, 2006, as it relates to the security of the property of the municipality or local board.

In July 2007, City Council adopted the Climate Change, Clean Air and Sustainable Energy Action Plan, which included a direction to establish energy retrofit funding programs to provide financial support to owners of low-rise residential buildings. As part of the 2009 Capital Budget, City Council approved funding of $9 million over four years for this program.

 

At that time the proposed program was contemplated to be a revolving loan fund. In light of the changing economy and associated drop in interest rates, staff recognized that an alternative program design would be required because owners of low-rise residential buildings now have access to low interest loans and would not seek assistance from the City for similar loan rates. Therefore, this report recommends that the program be shifted from a revolving loan fund to a grants program in order to: address the availability of low interest loans; keep administrative costs to a minimum; and maximize participation by eligible residents.

 

By establishing an incentive program geared towards encouraging implementation of the more significant energy retrofit measures by homeowners, the City will be helping those homeowners leverage up to an additional $6,000 per home in Federal and Provincial financial resources and reducing the greenhouse gas emissions associated with heating and cooling their home by an estimated additional 0.5 tonnes.

 

 

The Budget Committee:

 

1.         received the item for information; and

 

2.         advised the Police Services Board that the 2010 budget guidelines will be determined and communicated to the Police Services Board in June, 2009.

The purpose of this report is to provide the City of Toronto Budget Committee with the Toronto Police Service’s (Service) response to the Budget Committee’s recommendation with respect to the 2010 Outlook.

The Budget Committee recommended to the Executive Committee that City Council approve the following recommendations:

 

1.         Toronto Water’s 2009 Capital Budget be increased by up to $2.8 million funded from Water Capital Reserve Fund XR6003 to include a new sub-project entitled CPW542-05 – Sheppard Avenue Infrastructure Relocation, to fund the cost of reconstructing the existing watermain on Sheppard Avenue East from 100m west of Scunthorpe Road to Gateforth Drive.

 

2.         Toronto Water’s 2009 Capital Budget be increased by an additional $3.0 million funded from Water Capital Reserve Fund XR6003 to increase funding to the new sub-project entitled CPW542-05 – Sheppard Avenue Infrastructure Relocation to fund the cost of relocating the existing storm sewer on Sheppard Avenue East from Scunthorpe Road to Gateforth Drive, to be recovered from the Province (Metrolinx) on the confirmation of details of their funding contribution.

 

3.         When the $3-Million is recovered from Metrolinx, the amount be returned to the Water Capital Reserve Fund XR6003. 

The purpose of this report is to request authority for Toronto Water to amend its 2009 Capital Budget to allow the tender and award of the first phase of the Sheppard Avenue East Light Rail Transit (LRT) project in early July of 2009.

 

While Provincial and Federal funding of the project was announced on Friday, May 15, 2009, the specific details of the funding arrangement remain to be developed.  In order to maintain the tendering schedule necessary to meet the project timelines, Toronto Water is requesting approval to amend its 2009 Capital Budget to include funding for the project with the intent to recover the costs of the storm sewer relocation when funding details have been resolved with the Province (Metrolinx).