Appendix 100 Executive Summary - Brampton › EN › City-Hall › Corporate-Asset... · Appendix 100 Executive Summary 101 –CAMP Framework 102 –State of Local Infrastructure:

Appendix 100Executive Summary

101 – CAMP Framework102 – State of Local Infrastructure: Pie graph103 – Corporate Asset Management Plan Brochure

THE CORPORATION OF THE CITY OF BRAMPTON‐ AMP‐ CAMP FRAMEWORKVersion 1.0‐

August 15, 2016Revision 1

Section No. Section Title Sub‐sections Description/Definition SOIRMunicipal

Infra. Strategy

Federal Gas Tax

DC Bylaw Bill 6 IIMM Data Source Questions to AnswerInformation from CAM Strategies

0.00 AM Glossary of Terms and Definitions X X Sec 8‐ Appendices

1.00The executive summary is the final section to be prepared, and provides a succinct overview of the plan.

X X Sec 1‐ Executive Summary Based on subsequent sections

What we provide (activity overview, key LOS)?What we will do (key AM programmes)?Managing the issues and risksWhat will it cost?The next steps?

2.00 X Sec 2‐Introduction

2.10 AM Goals

The AM goals listed in this section support the municipal goals as set out in the Strategic Plan & the Official Plan and are described in a way that reflects the dependency between assets and the City’s strategic and official plans. This section should show how the AM goals support economic activities and improved quality of life.

X Sec 2‐IntroductionCAM Project Charter, AM Policy. Need a copy of Signed Approved AM Policy for inclusion.

Background (where we are)Goals and Objectives of AM (commitment to community vision)

See CAM Implementation Strategy

2.20High‐level AM

Context

Clarifies the relationship of the asset management plan to municipal planning and financial documents (includes at the minimum how the plan impacts the Budgets, Development Charges, Official Plan, Master Plans, Area Plans, Environmental Assessments, and Business Plans).

X Sec 2‐Introduction DiagramPlan framework (how it fits in the organization)

2.30 Purpose of AMPDescribes the purpose of this preliminary asset management plan (i.e. to set out how the municipality’s infrastructure will be managed to ensure that it is capable of providing the levels of service needed to support the municipality’s goals).

X Sec 2‐Introduction City of Brampton's Strategic Plan

2.40 Core Service Areas

State which asset areas are included in the plan. This plan covers the service areas included in the CAM program;r, etc. Asset areas not covered in this preliminary plan are expected to be covered in future updates. Explain the reason for excluding ministry identified area of social housing.

X Sec 2‐Introduction Unit 3 ‐ Service Areas Core and advanced AM

2.41 TCA Categories

Improve existing asset management plans to include all tangible capital assets reported in Schedule 51 of the Financial Information Return (FIR) that are eligible for Gas Tax funding. The 16 eligible infrastructure categories are listed in Schedule B of the Agreement.

x Sec 2‐Introduction

2.50 Timeframe

Identifies how many years the asset management plan covers and when it will be updated. At a minimum, plans must cover 10 years and be updated regularly. Where possible the timeframe should be consistent with the budget process (1, 2 ... 10 years & beyond).

X Sec 2‐Introduction Business Plan

2.60Development Methodology

Describes how the asset management plan was developed ‐ who was involved, what resources were used, any limitations, etc.

X Sec 2‐IntroductionSimilar structure as Brampton CAM's Current Situation Report‐ Acknowledgement and Overview Diagram

Summary fo current and desired state of AM practices (data, processes, systems)Improvement planmonitoring and review procedures (keeping plan relevant)

2.70Monitoring and

review Identifies how the plan will be monitored, reviewed and updated through clearly defined actions.

XSection 7= Plan Improvements

Brief highlights, details and reference to Customized Brampton Section 7.0‐ Plan Improvements.

Executive summary

Glossary

Introduction

Developed By: Vanessa Chau, P.Eng. IAM

Revised By:

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Revised By:

3.00 X From SOIR

3.10 Inventory

A summary of Asset types (e.g. urban arterial road, rural arterial road, watermains) and quantity/extent (e.g. length in kilometres for linear assets). This means a table with quantities for the asset types and any comments / conclusions.

X X From SOIR

3.20 Valuation

A summary of Asset types Replacement cost valuation. This means an expansion of the above table with cost data. This section speaks to how the replacement cost valuation accounts for expected inflation, changes in technology and other factors.

X X Replacement cost

3.30 Useful LifeAsset age distribution and asset age as a proportion of expected useful life. Highlighting areas of concern

X X From SOIR ‐ TCA data/reports

3.40 ConditionAsset condition (e.g. proportion of assets in a defined condition category). For this preliminary plan best available information will be used.

X XFrom SOIR ‐ Ongoing Reports (Facility master plan)

3.50 X Sec 8‐ Appendices From SOIR

3.60 Inventory Database List of references, example SOIR, Peoplesoft, GIS, Road Matrix, etc.... X X From SOIR

3.70 AssumptionsAll major assumptions, incorporated into the asset inventory or recorded in separate appendix.

X X From SOIR

3.71 TCA AssumptionsThe 16 eligible infrastructure categories are listed in Schedule B of the Agreement.

x

3.80AM related Policies,

strategies & procedures

AM related Policies, strategies & procedures that set out when and how asset information will be verified and when and how assets will be assessed to determine their condition. Where applicable this will be consistent with the provincial requirements.

X

TCA has a draft policy and Brampton CAM ‐placeholder generalize for core service area ‐ internal service area, and SA workshop, Questionnaire. Linkage to detailed CAM stratgegies as per Section 5.0‐ per Unit 2 of Brampton CAM Project

what costumers wantwhat we have to do (legislative)current LOS (what we do now)desire LOS (what costumers would like)

LOS CAM Strategy

4.00 X Sec 3‐LOS WORKSHOPS required for finalization‐

4.10 LOS

Preliminary starter list of a minimum of five LOS per service area, including one corporate, one customer, and three technical LOS based on planning documents and best available information. Exception on a case by case basis must be rationalized

X Sec 3‐LOS business plans,

4.11 LOS Framework LOS Levels of Service Framework including x

Demand drivers (key influences on demand ‐ population forecast, technology change)Demand forecastdemand impacts on assetsdemand management plankey asset programs to meet demand

4.20 TrendsExternal trends or issues that may affect expected levels of service or the municipality’s ability to meet them (e.g., new accessibility standards, climate change impacts).

X Sec 3‐LOS budget process‐

4.30Current

PerformanceCurrent performance relative to the targets set out, based on best available information.

X Sec 3‐LOStarget from the business plan, W&WW DWQMS, MOE Annual report, OMBI

Background data (what assets we have)Risk Management plan (how risk is managed)Maintenance plan (how we look after existing assets)Renewal plan (what assets we need to renew)Creation/acquisition/upgrade plan (what new assets we need)Disposal plan (what assets are surplus to our needs)

State of local infrastructure (This section presents the actual values regarding the inventory, condition, cost, etc.

Desired levels of service

Supporting Documentation

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Revised By:

5.00Set of planned actions that will enable the assets to provide the desired levels of service in a sustainable way, while managing risk, at the lowest lifecycle cost (e.g., through preventative action).

X Sec 4Taken from Brampton CAM‐ Unit 2 strategies

5.10Actions or policies that can lower costs or extend asset life (e.g., better integrated infrastructure planning, demand management, managed failures, etc.)

XSec 4 ‐ non‐infrastructure

solutionsTaken from Brampton CAM‐ Unit 2 strategies

5.20O&M Activities including regularly scheduled inspection and maintenance, or more significant repair and activities associated with unexpected events.

XSec. 5‐ Lifecycle Management

Taken from Brampton CAM‐ Unit 2 strategies

5.30 Renewal/ Rehabilitation / Replacement / Disposal Activities. XSec. 5‐ Lifecycle Management

Taken from Brampton CAM‐ Unit 2 strategies

5.40Expansion Activities, Planned activities required to extend services to previously unserviced areas ‐ or expand services to meet growth demands

X Sec 4‐ Future Demand Questionnaire to start, followup workshop Purchasing By‐law

5.50Procurement Methods are considered to ensure the most efficient allocation of resources compliant with existing purchasing policy.

XProcurement policy, practical examples from each SA

5.60Overview of the risks associated with the strategy (i.e. ways the plan could fail to generate the expected service levels) and any actions that will be taken in response.

XTaken from Brampton CAM‐ Unit 2 strategies

5.70Approach for

Options AnalysisAnalysis comparing different actions that would enable assets to provide the needed levels of service.

Xhigh level approach, Brampton CAM to document approach

5.80 Future demand Summarize growth forecast based on existing information. Show the impact of changing future demand on assets and cost.

X x

5.90Operation and maintenance plan

Document aggregate of budget and business plans /case information. Review growth projection and inflation indices. Review impact from projects. Using this information, develop a preliminary projection at high level of 10 year O&M cost by service area. Assess and comment on all other relevant direct and indirect costs and benefits and risk. (Including O&M ‐ Graphs).


5.10Capital investment plan

Develop a preliminary list of significant projects based on existing documents including Budgets, Development Charges, Official Plan, Master Plans, Area Plans, Environmental Assessments, and Business Plans/ cases information. Review growth projection and inflation indices. Using this information develop a preliminary projection at high level of 10 year Capital cost by service area. Assess and comment on all other relevant direct and indirect costs and benefits and risk. (Including capital – Graphs).


6.00 Financing strategyExpenditure Forecast

Total corporate expenditure forecasts including depreciation (O&M and capital ‐ Graphs).

XSection 6‐ Financial

Summary2016 Bugdets (Op and Capital), TCA. Etc.

6.10 Key AssumptionsHighlight Key assumptions used to develop financing strategy (annual gas funding, interest rates, etc.)


SummaryHemson and based on discussion with City staff

Financial statements and summary

6.20Available Funding

Tools

Overview of the range of available funding tools and to the extend they are used by the City. Current situation..use of DC/property tax revenue source as a % of total revenues, user fees, LIC, Developer contributions, etc.

Section 6‐ Financial Summary

Hemson infomration What funding mechanisms are available?

6.20 Expenditure historyActual corporate expenditures for these categories from the previous two to three years for comparison purposes (O&M and capital ‐ Graphs).


Summary2013‐2016 Bugdets (Op and Capital)

Valuation forecastsKey assumptions made in financial forecasts reliability and confidence estimates

6.30 Yearly RevenuesBreakdown of yearly revenues by confirmed source…gas tax, Taxation, user fees, etc.

X xSection 6‐ Financial

Summary2016 Bugdets (Op and Capital)

6.40 Funding StrategiesIdentify funding shortfalls. Discuss the impact of the shortfall and how the impact will be managed (rate changes, reserve funds, pay as you go, debt cap, project reprioritization, etc.).

X XSection 6‐ Financial

SummaryBased on preceeding analysis where are the gaps and how can they be

managed?

6.50Linkage to other

Financial Documents

Direct references and key linkages to long term financial plan, budgets, reserves analysis, stormwater rates strategy etc.

xSection 6‐ Financial

Summary

6.60Supporting

DocumentationAdditional documentation supporting/explaining how the expenditure and revenue forecasts were developed.


Summary

7.00 Monitoring and Review

Summarize the assessment of current and future AM Practices and provide details for monitoring the performance of the AM Plan and any improvements to AM systems that will improve the level of confidence in the AM Plan.

Section 7= Plan Improvements

AM Roadmap Progress Tracking‐ Review of Existing initiatives

7.10 Performance Measures

Describe how the effectiveness of the AM Plan will be measured. Outline of performance measures for the AM system.

Section 7= Plan Improvements AM System‐ Unit 5

Plan improvement and Monitoring (State of Asset Management)

Asset management strategy

Asset Management activities ,

procedures and corporate policies

Lifecycle management

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IT, $56.9 , 1% Facilities, $979.9 , 19%

Transit, $352.3 , 7%

Fire, $27.7 , 1%Fleet, $49.7 , 1%Transportation,

$2,100.8 , 41%

Stormwater, $1,077.3 , 21%

Parks & Recreation, $430.7 , 9%

Total Replacement Value ( in Millions)

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0

$100M

$200M

$300M

$400M

$500M

$600M

$700M

0

$50M

$100M

$150M

$200M

$250M

$300M

Infra

struc

ture

Gap

($ In

Milli

ons)

Requ

ired I

nves

tmen

t ($ I

n Milli

ons)

Investment Year

City of Brampton - Overall Infrastructure Gap

Total Required Investment Total Planned Budget Total Cumulative Gap

Corporate Asset

Management Plan

December 2016

The City of Brampton has a current infrastructure gap of approximately $200 million in 2016. At existing funding levels this gap will continue to grow to a projected gap of $650 Million over the next 10 years. The City must continue to make investments in our infrastructure while accelerating the CAM Roadmap to ensure optimized evidence based decision making.

The City has adopted a Corporate Asset Management Roadmap with the ISO 55000 as the backbone to implement the Asset Management Strategies which will provide the following benefits: • Assets are managed on principles of sustain-

ability, continuous improvement and simplicity.• Integration of corporate priorities is enabled• Reliable data with the integrity to meet or sur-

pass regulatory demands.• Outcome of decisions on triple bottom line can

be quantified (social, environmental, economic).• Lifecycle cost is minimized and business plan-

ning processes are linked to Capital budgetneeds.

• Return on corporate investment is maximized.

Section 6 - Financing Strategy

Section 7 - Corporate Asset Management Roadmap

The CAM Roadmap includes a detailed list of improvement initiatives in order to ensure that the City’s Asset Management Plan is relevant and useful. • Formally adopt levels of service, and develop a

corporate Levels of Service framework.• Cover the other services not currently covered

in this first version of the Plan and expand themajor service areas assets in greater depth.

• Development of Service Area DepartmentalAsset Management Plans.

• Periodic Review of the State of Asset Manage-ment for CAM Program Performance Tracking.

• Implementation of evidence-based investmentplanning process through business caseevaluations, long term financial planning andbudgeting processes.

• Integration and data quality governance ofasset management information.

Section 5 - Asset Management Strategies

The City will apply the findings in the Asset Management Program towards future budgets to prioritize investments, targeting service areas with asset bases that contribute significantly to the infrastructure gap or service levels.

In developing a long-term funding strategy that identifies options for addressing the infrastructure gap, the following funding tools are considered:• Continued investment of minimum 2%

infrastructure levy• Federal /Provincial funding• Stormwater rate supported funding• User fees supported funding• Development supported funding• Debt Financing• Alternative Service Delivery

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CAM Policy

The City of Brampton’s 1st Corporate Asset Management Plan (CAMPlan) aligns with the International Infrastructure Management Manual’s (IIMM) Asset Management Plan framework and it exceeds the Ministry of Infrastructure’s “Building Together - Guide for Municipal Asset Management Plans”.

This Plan:• Demonstrates that due regard is being

given to the long-term stewardship andsustainability of the asset base.

• Provides commitment that assets will bemaintained in compliance with regulations.

• Demonstrates that Levels of Service arebeing met in an effective and efficientmanner, while balancing risks.

• Identifies asset management strategies andsystems that inform the evidence-baseddecision making process.

• Communicates and justifies fundingrequirements.

The following principles will form the foundation of the Corporate Asset Management Program.• Customer Focused• Defendable

decision making• Risk Management• Regulatory

Driven• Innovation• Sustainable• System-based• Whole-lifecycle

Perspective

The assets covered by the CAMPlan are valued at a total replacement cost of $5.1 billion (Net Present Value 2016) excluding Land.

TECHNOLOGY

PEOPLE

PROCESSASSETS

STRATEGY

75% of the City’s infrastructure is in Good or Very Good condition while roughly less than 9% of total infrastructure is in Very Poor or Poor condition.

Overall, the City’s Condition Trend in the next 10 years is Declining.

Assets exist for the purpose of supporting the delivery of City services to its customers. Levels of service is defined by the IIMM as “defined service quality for a particular activity or service area against which service performance may be measured”. Service Levels usually relate to quality, quantity, reliability, responsiveness, environmental acceptability and cost.

Ultimately, desired levels of service determine resources as well as funding strategies and can be measured by the following Levels of Service framework.

What is Asset Management?

Section 2 - Introductions

Section 3 - State of Local Infrastructure: What do we own?

Section 4 - Desired Levels of Service

What is the Current State of Our Assets?

STATE OF LOCAL INFRASTRUCTURE – CITY OF BRAMPTON

Total Replacement Value: $5.1B (excluding Land);(Total Replacement Value/$100K of Residential Assessment) $8,069.72;Overall Condition: Good

** Amounts may not add due to roundingInformation TechnologyReplacement: $56.9M

Condition: Good

TransitReplacement: $352.3M

Condition: Very Good

FacilitiesReplacement: $979.9

Condition: Good

StormwaterReplacement: $1.1B

Condition: Good

TransportationReplacement: $2.1B

Condition: Good

FireReplacement: $27.7M

Condition: Fair

FleetReplacement: $49.7M

Condition: Good

Parks and RecreationReplacement: $430.7M

Condition: Very Good

FINAL- CAMPlan Version 4- December 2016

Contact Us

Vanessa ChauManager, Corporate Asset Management

Ph: 905-874-3658Email: [email protected]

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