COUNCIL BUDGET COMMITTEE MEETING AGENDA

Transcription

1 COUNCIL BUDGET COMMITTEE MEETING AGENDA May 16, :30 pm COUNCIL CHAMBERS 400 MAIN STREET SE Pages 1. CALL TO ORDER - 4:30 P.M. 2. MINUTES 2.1 Regular Meeting of April 18, CONSENT AGENDA First Quarter Cash and Investment Report (Shannon Schindeler) 5 The Council Budget Committee is being asked to accept the 2016 First Quarter Cash and Investment Summary for information First Quarter Budget Update (Palki Biswas) 10 Council Budget Committee is being provided with the 2016 First Quarter Budget Update for information First Quarter Major Capital Projects (Palki Biswas) 30 Council Budget Committee is being provided with the 2016 First Quarter Major Capital Projects Update for information. 4. AGENDA REPORTS Roadworks Rehabilitation Budget Update (Adam Carroll) 51 Council Budget Committee is being asked to endorse a change of scope for the 2016 Roads Rehabilitation Program. 4.2 Citizen Engagement into Budget Questionnaire (Lucy Wiwcharuk) 54 Council Budget Committee is being asked to endorse the citizen engagement questionnaire for the 2017 budget cycle. 5. COMMITTEE OF THE WHOLE - 5:00 P.M.

2 5.1 Civic Centre Master Plan Phases I and Phase II (Lucy Wiwcharuk) 6. ADJOURNMENT

3 COUNCIL BUDGET COMMITTEE MEETING MINUTES April 18, 2016 COUNCIL CHAMBERS 400 MAIN STREET SE PRESENT Mayor P. Brown Deputy-Mayor D. Belyk Councillor F. Burley Councillor R. Chapman Councillor K. Hegg Councillor A. Hunter Councillor C. Kolson STAFF M. Locking, Acting City Manager S. Pollyck, Manager of Legislative Service and Corporate Communications/City Clerk K. Kitiuk, Recording Secretary 1. CALL TO ORDER Mayor Brown called the meeting to order at 5:16 p.m. 2. MINUTES 1. Regular Meeting of March 21, CBC-009 Moved By Councillor Burley That the Council Budget Committee adopts the minutes of the regular meeting of March 21, 2016 as presented. Carried 3. APPOINTMENTS/PRESENTATIONS Annual Report Audited Consolidated Financial Statements (Palki Biswas) L. Wiwcharuk, Director of Corporate Services, introduced Laura Daniels, Audit Partner, Joy Dutta, Senior Manager and Michelle Lim, Senior Associate, all of 1

4 Regular Meeting of the Council Budget Committee April 18, 2016 Page 2 PricewaterhouseCoopers. She, together with the representatives of PricewaterhouseCoopers reviewed the presentation which included the 2015 corporate results, 2015 financial position and the PwC report to Mayor and Council CBC-010 Moved By Councillor Chapman That Council Budget Committee: 1. accepts the 2015 Audit Findings Report (PwC Report to Mayor and City Council) for information and the 2015 transfers to reserves as follows: 2

5 3 Regular Meeting of the Council Budget Committee April 18, 2016 Page 3

6 Regular Meeting of the Council Budget Committee April 18, 2016 Page 4 2. recommends to Council that the 2015 Consolidated Financial Statements included in the Annual Report and the 2015 Financial Information Return be approved as presented; and 3. recommends that Council approves the 2015 operating carry forwards and the 2015 surplus transfer to reserves as follows: Tax Stabilization Reserve: $498,000 General Operating Reserve: $816,557 General Capital Reserve: $816,557. Carried 4. CONSENT AGENDA There were no items. 5. AGENDA REPORTS 1. 40th Avenue CP Rail Overpass Budget Update (Bob Neale) B. Neale, Team Leader, Engineering Services, reviewed the staff report. B. Neale spoke to completing the work in 2016, the potential for throw-away dollars, in terms of earth movement, the value of the footprint of the interchange and confirmed the scope of work is being deferred to another time CBC-011 Moved By Candice Kolson That Council Budget Committee amends the 2016 Capital budget for 40 th Avenue CP Rail Overpass with a scope reduction by removing the roadworks component. Carried 6. ADJOURNMENT Mayor Brown adjourned the meeting at 5:58 p.m. Mayor kk City Clerk 4

7 COUNCIL BUDGET COMMITTEE AGENDA REPORT Meeting 16 May 2016 Subject: Boards Routed Through: 2016 First Quarter Cash and Investment Report N/A N/A Issue: The Council Budget Committee is being asked to accept the 2016 First Quarter Cash and Investment Summary for information. Background: At the end of March, the City s cash and investment balance was $116,069,450, which is a decrease from the balance at the end of December which was $130,905,036. This is the typical trend seen annually as large payments are due at the end of the first quarter. The balance consists of: General Bank $ 15,889,153 Genesis Place Account 51,322 BMO Nesbitt Burns Cash Account 325,928 TD Waterhouse Cash Account 115,551 Scotiabank Cash Account 6,776 Total Cash $ 16,388,730 Investments 99,680,720 Total Cash and Investments $ 116,069,450 5

8 Interest Earned: The following is a summary of the projected interest earned compared to budget estimates. The operating interest is lower than budget due to new bonds being purchased at lower interest rates than historical bonds. Capital interest is higher than budget due to a couple of capital projects that are progressing slower than forecasted. Budget Projected Operating $1,821,220 $1,500,000 Capital $881,035 $1,200,000 Total $2,702,255 $2,700,000 Rates of Return: The following table displays the annualized rates of return from the previous quarter. They have changed slightly due to the maturity and purchase of a few bonds. Annualized Rate of Return December 2015 March 2016 Bonds - TD 2.11% 2.59% Bonds - BMO 3.38% 3.47% Bonds Scotia 3.19% 4.48% Managed Funds TD 3.54% 3.54% Managed Funds BMO 3.34% 3.34% Managed Funds - Scotia 3.99% 3.96% Alignment with AirdrieONE: N/A Boards Routed Through: N/A Alternatives/Implications: N/A Communications Plan: N/A 6

9 Recommendation: That Council Budget Committee accepts the report entitled 2016 First Quarter Cash and Investment Summary for information. Shannon Schindeler, BBA, CPA, CGA Manager, Treasury & Utility Administration Presenter: Department: Reviewed by: Attachments: Appointment: Shannon Schindeler Corporate Services Lucy Wiwcharuk #1: Investment Portfolio #2: Cash Statement N/A 7

10 City of Airdrie Investment Portfolio Summary March 31, 2016 Asset Mix Investment Type Book Value Interest YTD Annualized Rate of Return % of Portfolio Maximum % of Portfolio Operating Portfolio (Maturity less than 1 year) Cash 448, % % Bonds - TD % 15.00% Bonds - BMO % 15.00% Bonds - Scotia - - Managed Funds - TD 651, % 15.00% Managed Funds - BMO 19, % 15.00% Managed Funds - Scotia - 18, $ 1,119, $ 18, Extendible Bonds 15,600, , % 15.58% 80.00% Non-Operating Portfolio (Maturity greater than 1 year) Bonds - TD 17,492, , % 17.47% 80.00% Bonds - BMO 34,767, % 34.72% 80.00% Bonds - Scotia 9,592, , Managed Funds - TD 4,234, , % 4.23% 20.00% Managed Funds - BMO 7,840, , % 7.83% 20.00% Managed Funds - Scotia 9,481, , % 9.47% % $ 83,409, $ 169, Total $ 100,128, $ 322, % Investment Mix - All funds Investment Vehicle Book Value % of Portfolio Maximum % of portfolio Cash & Cash Equivalents 448, % Federal / Provincial Government 38,394, % % Canadian Chartered Banks 35,884, % 50.00% Corporate Bonds 3,173, % 25.00% Managed Funds 22,228, % 15.00% Total $ 100,128, % Cash & Investment Activity 31-Dec-15 Investments Beginning Balance $ 113,166, Sold Bond (18,324,255.40) Purchased Bond 4,838, (13,485,353.80) 31-Mar-16 Investments Closing Balance $ 99,680, Dec-15 Cash Beginning Balance $ 726, Interest TD investments 244, Fees TD investments (5,351.19) Sold TD investments 10,474, Purchased TD investments - Transfer to Operating TD investments (10,801,500.00) Transfer from Operating TD investments - Interest BMO investments 26, Fees BMO investments (11,826.22) Sold BMO investments 5,507, Purchased BMO investments - Transfer to Operating BMO investments (5,507,283.00) Transfer from Operating BMO investments - Interest Scotiabank investment 51, Fees Scotiabank investment (7,695.60) Sold Scotiabank investment 2,589, Purchased Scotiabank investment (4,838,901.60) Transfer to Operating Scotiabank investment - Transfer from Operating Scotiabank investment 2,000, Mar-16 Cash Closing Balance $ 448, Mar-16 Total Investments & Cash $ 100,128,

11 City of Airdrie Comparative Cash Position As at March 31, ,000, ,000, ,000, ,000, ,532, ,693, ,599, ,295, ,051, ,406, ,175, ,973, ,905, ,000, ,069, ,000, ,417, ,737, ,000,000 90,000,000 80,000,000 70,000,000 60,000,000 50,000,000 40,000,000 30,000,000 20,000,000 10,000,000 - January February March April May June July August September October November December Cash Position = Bank Balances + Investments Cash and Investment Balances TD Main Account 15,889,153 Genesis Place Account 51,322 BMO Nesbitt Burns Account 325,928 TD Waterhouse Account 115,551 Scotiabank Account 6,776 Investments 99,680,720 Total 116,069,450 9

12 COUNCIL BUDGET COMMITTEE AGENDA REPORT Meeting 16 May 2016 Subject: Boards Routed Through: 2016 First Quarter Budget Update N/A N/A Issue: Council Budget Committee is being provided with the 2016 First Quarter Budget Update for information. Background: 2016 first quarter results produced a very minor surplus of $57,620. In relation to the total 2016 operating budget of $123,199,869, the surplus amount is negligible. The Province of Alberta continues to be very sensitive to the price of oil. In such situations, growth and the ability to generate revenue fluctuate greatly for business, industry, and provincial and local governments. Over the last several months, the economy in the province has continued down an incline. On the positive side, the lower cost of oil does translate into lower fuel costs as seen in Transit and Fleet services. The City of Airdrie has in place a sound best practice fiscal process which helps with monitoring budgets and mitigate risk. The 2016 first quarter projections and budget update have been thoroughly analyzed, prepared and presented here (unlike other first quarters as this is only the beginning of the year and very little is known at this time). Staff has also provided to Council Budget Committee and Council a 2016 budget economic sensitivity report in March which had outlined some of the concerning revenue areas and the steps staff has in place to mitigate some of those risks. Given that it is early in 2016 and difficult to gain accuracy, the projections have been prepared with the best information currently available. The City is most vulnerable on the revenue side of the equation. The state of the economy has adversely affected the 2016 revenue budget in the following areas: permits, development, Genesis Place programs and membership fees, transit cash fares and interest revenue. To offset the reduced revenues in some areas and be proactive about this situation, the following measures have been taken: 10

13 a. A new compensation model for internal equity has been put on hold thereby saving $381,000; b. Delay the hire of some vacant positions along with some new 2016 approved positions will result in savings $356,000; and c. Staff training and travel has been brought down to 2015 actuals (along with a freeze on US travel) thereby saving $293,000. Also, the customer service corporate training planned for 2016 has been put on hold. Staff will continue to move forward in 2016 cautiously in order to continue to mitigate the risks of today s economy. Section A: GENERAL OPERATIONS A number of variances work toward this first quarter surplus. Development activity (due to the slow economic conditions) drives some of the most significant 2016 first quarter variances. PROPERTY TAXES AND GENERAL REVENUE: Lower operating interest revenue than budgeted by $321,000 as a higher portion of interest earned will be allocated to capital projects. It is also expected that the newly acquired investment products will gain lower rate of return. COMMUNITY SAFETY: Higher fines revenue than budget of $500,000 based on the first three months of 2016 is being projected in Police Protection due to the new watch system implemented this year. This is being offset by increased disbursement fees of $274,000 bringing the net increase of fines revenue to $226,000 for the year. Building inspection permits for 2016 are projected to be $445,000 under budget based on the current economic conditions. A total of 475 permits (2016 budget: 2,084 permits) have been issued of which 69 were for single family homes, 34 for duplexes, 44 apartment units and 30 for townhouses. Another source of reduction of revenue in Corporate Properties will be due to the Airdrie Mainstreet Square Real Estate (AMSQ) Board anticipated declaration to not distribute 2016 dividends of $550,000. COMMUNITY INFRASTRUCTURE: Lower cost of fuel projected for fleet services by $100,000. Savings in contracted services and road maintenance materials due to average to mild winter weather in the amount of $105,000. Reduced revenue projected for 2016 in Engineering Services of $69,000 due to less acres being developed than budget. The Planning department processed fewer development permits in the first quarter of 2016, which is contributing to their revenue projection of $150,000 lower than budget. 11

14 COMMUNITY SERVICES: Genesis Place first quarter results are showing a decline of $194,000 in revenue due to decreased program registrations in leisure and fitness, field house and multi-purpose room rentals. Pass sales did not meet expectations in the first three months and are projected to be under budget by $256,000 due to the economic slowdown. The recreation center will see some increase in demand for field/ice rentals and aquatics registrations. This decrease in revenue is offset by savings of $72,000 in expenditures, the majority of which is due to savings in personnel costs and lower janitorial expenses. Overall, Genesis Place is projecting to be in deficit by $122,000 for Transit Services is projecting to be over budget in 2016 by a small amount of $37,000. Overall transit sales and user charges are below budget by $321,000 due to the decrease in ridership and less demand. Savings of $283,000 in general contracted services for transit operations was a result of a reduced contract rate primarily due to lower than anticipated fuel prices and demand-responsive services operating fewer hours than budgeted. SALARIES, WAGES AND BENEFITS: Savings of $737,000 in salaries, wages and benefits has greatly affected the minor surplus projected at the first quarter of 2016 to offset the reductions in revenue projected. This is mainly due to three factors: vacant positions within the City; some positions put on hold; and the increases in the 2016 internal wage equity not being implemented. IT OPERATING POOL: The IT Operating Budget Pool balance is at $122,090 which is a carry-forward from No new projects were approved to the end of March Section B: UTILITY OPERATIONS 2016 first quarter results are indicating that Water, Sewer, Waste and Recycling Services are on track with budget and expected contributions to the operating fund will be met. Expenses are expected to be slightly less as water consumption is trending lower than budgeted in the first quarter. The same expense restraints will be applied to the expenditures within the utility fund and the resulting savings will be transferred to the reserves. The additional dollars will help fund the operations in the future years. Detailed variance information can be found in attachment # Q1 Top Level Summary. (variances with an impact of greater than or less than $25,000 on the 2016 budget by department have been listed) Section C: CAPITAL The 2016 first quarter capital budget variance summary as of March 31, 2016, is attached for information (see Attachment # 2 for full details). 12

15 Out of a total capital budget of $99,088,526, $5,593,491 was spent to March 31, 2016 (as shown in the table below) Budget 2016 Actuals Engineering Structures $60,510,236 $2,421,999 Buildings and Major Renovations Machinery and Equipment $8,469,720 1,573,502 $4,824, ,024 Vehicles $2,087,370 57,242 Land and Land Improvements $23,196,860 1,063,724 TOTAL $99,088,526 $5,593, Capital Budget Amendments: The original approved capital budget for 2016 was $56,184,226; the total adjusted capital budget for 2016 is $99,088,526, which includes carry forward projects from 2015 of $42,881,615 as well as the following budget adjustment: Additional funds for the purchase of Tablets for asset management (funded by operating Water/Roads): $22,685 IT Capital Pool: Opening Balance IT Capital Pool $253, Carry forward 473,097 Ending Balance IT Capital Pool $726,347 No adjustments have been made to the pool as of March 31, It is expected that these funds will be drawn in 2016 to resource a solution for Working Alone, Employee Record and Replacement of Recreation Software. 13

16 Alignment with AirdrieONE: N/A Boards Routed Through: The 2016 First Quarter Budget Update will on the consent agenda at the regular Council meeting on May 16, 2016 Alternatives/Implications: N/A Communications Plan: The 2016 First Quarter Budget Update will be posted to the City website. Recommendation: That Council Budget Committee accepts the report entitled 2016 First Quarter Budget Update for information. Palki Biswas, MBA Team Leader, Financial Services Presenter: Department: Reviewed by: Attachments: Appointment: Palki Biswas Financial Services Lucy Wiwcharuk, Director Corporate Services Attachment: # Q1 Top Level Summary - Operating Attachment # Q1 Capital Variance N/A 14

17 City of Airdrie 1st Quarter Variance Summary March 31, 2016 Property Taxes & General Revenue 2016 Budget 1st Quarter Projection Budget to Projection Difference Explanation of Variance Property Taxes & General Revenue (53,965,380) (53,683,995) 281,385 Lower operating interest revenue than budget as higher portion of interest earned will be allocated to capital projects (+$321,000); higher allocation for MSI operating grant than budget for 2016 (-$40,000). Total Property Taxes & General Revenue (53,965,380) (53,683,995) 281,385 City Council Council 452, ,240 (2,540) Total City Council 452, ,240 (2,540) City Manager City Manager 620, ,000 (5,000) Corporate Communications 978, ,205 (5,315) Legislative Services 1,102,180 1,107,560 5,380 Records Management 473, ,200 (1,800) Risk Management & Security 980, ,670 (3,100) Total City Manager 4,154,470 4,144,635 (9,835) People & Organizational Effectiveness Human Resources 1,933,830 1,864,580 (69,250) Savings in personnel costs due to delay in hiring the team leader, holding off on 2016 internal equity and adjusting the 1.5 per cent personnel cost adjustment (+$37,000) to reflect savings of personnel costs in some departments. Corporate training deferred to 2017 and bringing 2016 training/travel to 2015 actuals (-$106,000). Business Strategy 1,337,790 1,320,090 (17,700) Total People & Organizational Effectiveness 3,271,620 3,184,670 (86,950) Corporate Services Technical Services 1,898,090 1,774,760 (123,330) Savings in personnel costs due to delay in hiring the Manager and holding off on 2016 internal equity (-$110,000); lower PC repairs and maintenance projected for 2016 (-$13,000). Data Services 1,487,360 1,422,290 (65,070) Savings in personnel costs due to holding off on 2016 internal equity (-$32,000); increased census revenue (-$20,000) and bringing 2016 training/travel to 2015 actuals (-$13,000). Financial Services 1,427,807 1,408,807 (19,000) Savings in personnel costs due a portion of a vacant position and bringing 2016 training/travel to 2015 actuals. Taxation 123, ,464 (9,600) Procurement 794, ,910 (9,800) Accounts Payable 206, ,280 (7,080) Assessment 977, ,261 2,285 Total Corporate Services 6,915,367 6,683,772 (231,595) Community Safety Police Protection 7,441,330 7,134,080 (307,250) Higher fines revenue projected for 2016 including the disbursement to the province of a maximum of 34% of the total revenue (-$226,000); savings in policing agreement as there has been a delay in hiring the new RCMP officers (-$70,000); savings in personnel costs due to holding off on 2016 internal equity and bringing 2016 training/travel to 2015 actuals (-$11,000). Fire Protection 13,084,010 13,091,280 7,270 Emergency Management 85,320 82,940 (2,380) Municipal Enforcement 540, ,650 (171,200) Savings in personnel costs due to delay in hiring the manager and holding off on 2016 internal equity. Building Inspections (1,453,390) (1,065,785) 387,605 Revenues projected to be lower than budget due to the economic slowdown (+$445,000) which is offset to some extent by savings in personnel costs due to delay in hiring the manager, holding off on the 2016 internal equity and bringing 2016 training/travel to 2015 actuals (-$57,000). Corporate Properties (226,920) 314, ,390 Anticipating no dividend declared for 2016 as per 2015 year-end and the Civic Centre redevelopment plan (+$550,000). 15

18 City of Airdrie 1st Quarter Variance Summary March 31, 2016 Total Community Safety 19,471,200 19,926, ,435 Community Infrastructure 2016 Budget 1st Quarter Projection Budget to Projection Difference Common Services 890, ,660 (11,620) Fleet 1,403,640 1,245,740 (157,900) Savings in personnel costs due to delay in hiring positions and holding off on 2016 internal equity (-$52,000); lower cost of gas will result in fuel savings (-$100,000). Public Works Roads 5,993,900 5,868,820 (125,080) Savings in contracted services and road maintenance materials due to anticipation of average to mild winter weather (-$105,000); bringing 2016 training/travel to 2015 actuals (-$14,000) which is offset by lower revenue from traffic cost recovery of high loads (+$10,000). Engineering Services 373, ,455 16,465 Reduced revenue projected for 2016 (+$69,000) due to less acres being developed than budget which is offset by savings in external engineering due to reduction in development activity (-$42,000) and the pavement management system will be under budget (-$18,000). Planning 1,186,630 1,117,880 (68,750) Reduced revenue projected for 2016 as subdivision activity is expected to be slower this year based on developer feedback (+$150,000) which is offset by savings in personnel costs due to holding off on 2016 internal equity and some vacant positions (-$208,000) and bringing 2016 training/travel to 2015 actuals (-$11,000). Parks Operations 4,457,890 4,396,040 (61,850) Unanticipated STEP grant to be received for summer interns in the department (-$40,000); savings in personnel costs due to holding off on 2016 internal equity (-$15,000). Parks Development 333, ,320 Total Community Infrastructure 14,639,650 14,230,915 (408,735) Community Services Building Operations 1,009, ,150 (48,120) Savings in contracted services due to the water tower and Genesis Place illumination put on hold because of tight budget conditions. Transit 1,028,558 1,066,008 37,450 Savings in ACCESS Airdrie contracted services due to lower fuel costs and less demand (-$30,000); Local ridership revenues lower (+$28,000) which is offset by contract savings due to lower fuel costs (-$84,000); ICE ridership down resulting in lower cash fares (+$165,000) offset by savings in contracted services due to the delay in implementation of sixth ICE trip (-$154,000); Route 900 rates adjusted based on lower cost of fuel which will result in lower revenue (+$128,000) and savings based on anticipated fuel costs (-$14,000). Social Planning 425, ,210 (1,130) Economic Development 822, ,940 (21,200) Savings in training and travel due to no out of the country travel and bringing the department's training/travel budget to 2015 actuals. Airdrie Housing Limited 150, ,000 Genesis Place 2,683,880 2,806, ,170 Aquatics: Revenues higher than budget for preschool swim lessons (-$50,000). Weight & Fitness: Unanticipated provincial grant AHS/MEND grant (-$23,000) received in Administration: Less drop-in annual/monthly passes in the first quarter of 2016 due to the economic slowdown (+$256,000). Operations: Reduced cleaning scope will result in lower janitorial charges (-$34,000) Overall savings in personnel costs due to holding off on 2016 internal equity (-$30,000). Arena Operations 532, ,520 (21,430) Increased ice rentals at the Ron Ebbesen arena projected for 2016 due to unplanned additional ice rental by Airdrie adult hockey league. Community Development 901, ,920 (110,100) Savings of $100,000 as contribution was approved by Council in anticipation of Airdrie being awarded the 2018 Winter Games. Bert Church Theatre 318, ,200 (12,420) Culture 2,066,260 2,066,255 (5) Total Community Services 9,938,038 9,883,253 (54,785) Environmental Services Explanation of Variance 16

19 City of Airdrie 1st Quarter Variance Summary March 31, Budget 1st Quarter Projection Budget to Projection Difference Utilities Administration (5,947,287) (5,947,287) Significant savings projected due to lower consumption charges from the City of Calgary and resultant positive effect of water conservation initiatives introduced by the City of Airdrie (-$300,000); savings due to vacant manager position for two months (-$30,000); increased transfer to reserves due to lower costs (+$335,000). Water Facilities 3,507,670 3,507,670 Sewer Utility (2,438,130) (2,438,130) Lower consumption charges from the City of Calgary than budget. Water conservation initiatives introduced by the City of Airdrie are also yielding positive effects (-$200,000); savings in personnel costs due to delay in internal equity increases (-$13,000). Increased transfer to reserves due to lower costs (+$214,000). Waste & Recycling Services Total Environmental Services (4,877,747) (4,877,747) Total City of Airdrie (2) (57,622) (57,620) Explanation of Variance 17

20 City of Airdrie Capital Budget Projects Summary 2016 Projects March 31, 2016 City Manager Legislative Services Security System Machinery / Equipment /Furniture 28,610 New Security Advisor in place and in the process of assessing requirements. Further update expected in Q2. Total Security System 28, Electronic Document Management System Equipment - Computer Software 614,546 4,703 The needs assessment was completed in Q1 of An RFI is being issued to test the estimated provided during the assessment stage. Foundational Administrative processes are 20% complete. This project will take a few years to roll out completely to the organization. Total Electronic Document Management System 614,546 4, Life Cycle Security Infrastructure Machinery / Equipment /Furniture 25,595 New Security Advisor in place and in the process of assessing requirements. Further update expected in Q2. Total Life Cycle Security Infrastructure 25, Genesis Place Security Enhancements Machinery / Equipment /Furniture 81,040 New Security Advisor in place and in the process of assessing requirements. Further update expected in Q2. Total Genesis Place Security Enhancements 81,040 Total Legislative Services 749,791 4,703 Total City Manager 749,791 4,703 Corporate Services Finance Customer Service Initiative (CSI) Equipment - Computer Software 14,416 4,750 Security testing completed and we have received the application update from CityView with related fixes. Building Inspections has been re-engaged and a project plan drafted for the CityView Mobile implementation (August, 2016). The portal project plan has yet to be drafted and will be completed before year-end. Total Customer Service Initiative (CSI) 14,416 4,750 Total Finance 14,416 4,750 Information Technology Replacement PC's Equipment-Computer Hardware 70,118 46,778 All new and life cycle computers have been purchased. Total Replacement PC's 70,118 46, Life Cycle Server Machinery / Equipment /Furniture 31,710 4,431 Will be completed by Q Total Life Cycle Server 31,710 4, IT Capital Budget Pool Equipment - Computer Software 726,347 Total IT Capital Budget Pool 726, Life Cycle Switches Equipment-Computer Hardware 80,535 Layer 3 switches have been purchased. Still some small supporting hardware to purchase. Project will be completed by the end of Q3. Total Life Cycle Switches 80, Life Cycle Storage Equipment-Computer Hardware 42,545 Project to begin in Q3, with expected completion by Q4. Total Life Cycle Storage 42, Telecommunications Network Project Name Budget Q Equipment-Computer Hardware 139,300 2,151 Some hardware has been purchased and installed. Remaining hardware will be purchase and configured by the end of Q3. Actual Total Telecommunications Network 139,300 2, Land Management Software 2016 Project Progress Update Page No: 1 18

21 City of Airdrie Capital Budget Projects Summary 2016 Projects March 31, Equipment - Computer Software 292,677 June 30, Validation sessions completed with business for subdivision processes. Business Requirements Document (BRD) and Charter approved for Development component of the project. Requirements collected, Business Requirements Document and Charter drafted for Cemetery management component. Total Land Management Software 292, Asset Management Software Equipment - Computer Software 408,400 8,240 5 projects are currently underway, with this phase of Asset Management funding to be completed in Q4. These include the Asset Information Assessments, Enterprise Asset Management solution selection and implementation, Restructure of the GIS Asset Databases, Work Order Process Implementation for Genesis Place. Total Asset Management Software 408,400 8, Risk, Incident, and Security Management Software Equipment - Computer Software 4,790 Agreement has been reached with Resolver on a project Change Request. Project resources are unavailable until early May to start up the project. Project completion date is unknown until we have received an updated project plan from the vendor. Total Risk, Incident, and Security Management Software 4, Staff Scheduling Software GP & Arenas Equipment - Computer Software 19,338 1,350 September 1, Test environment is configured and was demoed to the first implementation team (Fitness & Leisure, Customer Service, and Facility Operations) at the end of March. Total Staff Scheduling Software GP & Arenas 19,338 1,350 Total Information Technology 1,815,760 62,950 Procurement Lifecycle Copier Machinery / Equipment /Furniture 74,308 9,679 Waiting on usage stats, post staff move, to evaluate actual usage patterns. Ideally a full quarter of usage analysis will be required prior to placing orders in Q3 or Q4. this will ensure appropriate functionality and volume capabilities are attained. Total Lifecycle Copier 74,308 9,679 Total Procurement 74,308 9,679 Total Corporate Services 1,904,484 77,379 Community Safety Fire Protection Bush Buggy Vehicles 133,715 Under Construction ETA - end of May Total Bush Buggy 133, Gas Detection System Machinery / Equipment /Furniture 26,340 22,673 Product on site & in service. Total Gas Detection System 26,340 22,673 Total Fire Protection 160,055 22,673 Municipal Enforcement Portable Scales for Commercial Vehicle Enforcement Machinery / Equipment /Furniture 35,455 Initial project completion. Purchased two instead of four in Q1. Will decide in Q2 whether proceeding another purchase. Total Portable Scales for Commercial Vehicle Enforcement 35,455 Total Municipal Enforcement 35,455 Corporate Properties Veterans Fire Station Buildings - General Construction 2,264,751 1,209,396 To be completed by the end of Q Buildings - Design & Engineering 193, Machinery / Equipment /Furniture 166,470 Total Veterans Fire Station 2,625,119 1,209, Civic Spaces Project Name Budget Q Buildings - General Construction 145,786 3,950 To be completed by the end of Q Machinery / Equipment /Furniture 199,858 Actual 2016 Project Progress Update Page No: 2 19

22 City of Airdrie Capital Budget Projects Summary 2016 Projects March 31, 2016 Total Civic Spaces 345,644 3, Land Acquisition Strategy Land 10,300,000 RFP expected to be started by Q Total Land Acquisition Strategy 10,300, Front Counter Redesign 2 Highland Park Buildings - General Construction 377, ,202 Still need to pay for workstations for additional staff $12, Total Front Counter Redesign 2 Highland Park 377, , Emergency Backup Generator 2 Highland Park Buildings - General Construction 533,500 Waiting on RCMP to decide if they will pay for half the generator Buildings - Design & Engineering 37,345 Total Emergency Backup Generator 2 Highland Park 570,845 Total Corporate Properties 14,218,709 1,513,688 Emergency Management Genesis Place Backup Generator Machinery / Equipment /Furniture 189,470 74,786 Funds for the purchase of a used transformer for the generator. Total Genesis Place Backup Generator 189,470 74,786 Total Emergency Management 189,470 74,786 Total Community Safety 14,603,689 1,611,147 Community Infrastructure Fleet & Equipment Training Replace Parks Truck (unit 239) Vehicles 45,180 Vehicle received, expected to be in service Q2, Total Replace Parks Truck (unit 239) 45, Replace Unit 273 (Pool Van) Vehicles 26,915 Waiting for railcar to deliver vehicle from Toronto. Expected to be in full service Q3, Total Replace Unit 273 (Pool Van) 26, Replace Unit 269 (PW Truck) Vehicles 45,180 Vehicle received, expected to be in service Q2, Total Replace Unit 269 (PW Truck) 45, Replace Unit 2302 (Fire Truck) Machinery / Equipment /Furniture (2,436) Vehicles 30 Total Replace Unit 2302 (Fire Truck) (2,406) Replace Unit 109 (Shared Loader) Machinery / Equipment /Furniture 204,765 Just awarded, expected to be in use by Q3, Total Replace Unit 109 (Shared Loader) 204, Replace Unit 284 (AME Car) Vehicles 58, Vehicle has been ordered, expected to be in full service by Q4, Total Replace Unit 284 (AME Car) 58, Replace Unit 332 (Parks Utility Vehicle) Project Name Budget Q Vehicles 28,475 28,298 Vehicle has been received, currently going through the process of having all accessories installed. Expected to be in full service Q2, 2016 Actual 2016 Project Progress Update Total Replace Unit 332 (Parks Utility Vehicle) 28,475 28, Replace Unit 333 (Parks Utility Vehicle) Vehicles 28,475 28,054 Vehicle has been received, currently going through the process of having all accessories installed. Expected to be in full service Q2, 2016 Total Replace Unit 333 (Parks Utility Vehicle) 28,475 28, Replace Unit 278 (PW Sander/plow truck) Vehicles 399,285 Expected to be in full service Q2, Total Replace Unit 278 (PW Sander/plow truck) 399, Replace Unit 337 (Parks Front Mount Mower) Page No: 3 20

23 City of Airdrie Capital Budget Projects Summary 2016 Projects March 31, Machinery / Equipment /Furniture 55,715 49,448 Equipment ready for use Q1, Difference between actual spend and projected amount is being investigated. Total Replace Unit 337 (Parks Front Mount Mower) 55,715 49, Replace Unit 338 (Parks Front Mount Mower) Machinery / Equipment /Furniture 55,715 48,215 Equipment ready for use Q1, Difference between actual spend and projected amount is being investigated. Total Replace Unit 338 (Parks Front Mount Mower) 55,715 48, Replace Unit 760 (Parks Turf Vac Attachment) Machinery / Equipment /Furniture 40,520 Currently at the Demo stage. Expected to be in full service Q4, Total Replace Unit 760 (Parks Turf Vac Attachment) 40, Replace Unit 755 (Parks Aerator) Machinery / Equipment /Furniture 44,570 40,105 Just received, expected to be in full service Q2, Total Replace Unit 755 (Parks Aerator) 44,570 40,105 Total Fleet & Equipment Training 1,033, ,574 Public Works Permanent Snow Dump/Melt Site 2,454,100 Consultant preparing preliminary design which includes detailed engineering survey,topo, boundary conditions and erosion sedimentation control plan. Cost estimate for construction Land 2,340, ,530 Land purchase is complete. Total Permanent Snow Dump/Melt Site 4,794, , Traffic Signal Backup Power Machinery / Equipment /Furniture 156, units ordered, expecting installation to begin in early May. Total Traffic Signal Backup Power 156, Tandem Axle Flusher Machinery / Equipment /Furniture 243,120 Tender awarded mid March- 120 days to build. Total Tandem Axle Flusher 243,120 Total Public Works 5,193, ,530 Engineering Services Traffic Signals 959,227 14,584-8 St - Coopers Dr & Windsong Dr signal - bases are installed, steel to be erected c/w signal heads and controller - complete in 4-6 weeks - 8 St - Prairie Springs Dr 7 Coopers Li - currently in design stage - Miscellaneous upgrades currently out to quote. Total Traffic Signals 959,227 14, Pedestrian Signals 53,350 Locations to be determined based on warrant counts. Total Pedestrian Signals 53, Land Acquisition Land 2,260,985 Currently in final negotiations for 40th Ave land purchase. Outstanding purchases to be completed are with Jomma, Melcor and Brookfield. Total Land Acquisition 2,260, Water Main Oversize 8,858 Due to greater than expected applications for oversize. Total Water Main Oversize 8, th Street Extension Yankee Valley to Sagewood Project Name Budget Q Engineering Structures - Medians and Blvd (2,071) Project complete, this was an accrual for landscaping completed in 201 Actual 2016 Project Progress Update Total th Street Extension Yankee Valley to Sagewood (2,071) Sewer Main Oversize 211,470 December Outcomes based on Developer activity. Total Sewer Main Oversize 211, YVB - Upgrade ELB to KHG Page No: 4 21

24 City of Airdrie Capital Budget Projects Summary 2016 Projects March 31, ,447,631 - Toplift to be completed by Sept RFP to be released by April 29 - Qualico culvert completed and CCC'd to be FAC'd Sept Engineering Structures - Medians and Blvd 43,907 Maintenance - final seeding and loam to be completed. Total YVB - Upgrade ELB to KHG 1,491, th Ave - 8th Street to Reynolds Gate 1,078,283 71,269 Toplift and concrete to be completed by June Engineering Structures - Medians and Blvd 148,277 Final landscaping maintenance to be completed. Total th Ave - 8th Street to Reynolds Gate 1,226,560 71, Reservoir Pumphouse - South Windsong 2,962,056 30,137 Landscaping maintenance and final as built drawings Engineering Structure - Engineering/Arch. 1,001 Total Reservoir Pumphouse - South Windsong 2,963,057 30, YVB - Bayside Gate to 24th St 9,378, % Construction drawings are complete and ready for review - RFP release schedule for May 15th - Construction estimated to start July 2016 based on tender/award - Traffic signals and landscaping will be complete in Toplift will be complete in 2018 Total YVB - Bayside Gate to 24th St 9,378, Railway Ave - CPR Crossing 233,662 Project complete, City contemplating installation of pedestrian gates, due to the whistle bylaw. This would be required at all railway/road crossing locations Engineering Structure - Engineering/Arch. 495 Total Railway Ave - CPR Crossing 234, YVB CPR Grade Separation Will create a new project for Engineering Structure - Engineering/Arch. 213,400 Reviewing scope with consultant. Total YVB CPR Grade Separation 213, th St - 4 lane YVB to Hillcrest Way Project Name Budget Q1 7,095,550 90% Construction drawings are complete and ready for review - RFP release schedule for May 15th - Construction estimated to start July 2016 based on tender/award - Toplift and landscaping will be complete in 2018 Total th St - 4 lane YVB to Hillcrest Way 7,095, West Lift Station Buildout 4,700,000 2,800 Design underway, long lead item equipment ordered; project to be tendered May 2016; completion expected spring Buildings - General Construction 1,499,343 17,221 Design underway; materials ordered, expected completion November Total West Lift Station Buildout 6,199,343 20, NE Res Buildout 426,800 Determination of exact scope on-going. Project to be completed early Total NE Res Buildout 426, th Avenue - 8th to Windsong Dr 2,992,546 1,479,160 Toplift completed and FAC to be done by May 2016; landscaping maintenance and pathway to be done by June 2016 Total th Avenue - 8th to Windsong Dr 2,992,546 1,479, Main Lift Station Upgrade 1,491,491 9,365 Detailed design underway, long lead items ordered; tender in May 2016, complete December Total Main Lift Station Upgrade 1,491,491 9, nd Ave Watermain Replacement 398,348 43,425 Warranty landscaping to be completed. Actual Total nd Ave Watermain Replacement 398,348 43, Project Progress Update Page No: 5 22

25 City of Airdrie Capital Budget Projects Summary 2016 Projects March 31, th Ave Interchange to Hwy Engineering Structure - Engineering/Arch. 3,000,000 Finalizing RFP with Procurement. To be completed in early Total th Ave Interchange to Hwy 2 3,000, NE Servicing Extension Land Improvements 1,510,500 Project to be determined based on recommendation of NE Servicing Study. Total NE Servicing Extension 1,510, Soundwall - New and Replacement Program 512,160 Preliminary design and analysis on-going. Project estimated completion October 2016 Total Soundwall - New and Replacement Program 512, th Ave - Reynolds Gate to Main Street 9,011,827 (31,405) - Wetland removal approval received April 5th - Kidco (Earthworks) mobilized March 23rd - Temporary CP crossing installed March 31st - Earthworks contract scheduled to be complete May 31st, PCL (Bridge) mobilized March 21st - Pile construction for bridge supports started April 11th - CP Rail is on-site and communication channels are in place - Bridge contract scheduled to be complete October 15, Engineering Structure - Engineering/Arch. 681,154 38,485 Total th Ave - Reynolds Gate to Main Street 9,692,981 7, Intersection Improvements Project Name Budget Q1 160,050 - Currently in RFP stage will be ready for review on April 29th - Work scheduled to be complete in August 2016 Total Intersection Improvements 160, New School Related Upgrades 133,375 - Currently in RFP stage will be ready for review on April 29th - Work scheduled to be complete in August 2016 Total New School Related Upgrades 133, Pedestrian Linkages 106,700 - Working with Parks department to create priorities based on their planned 2016 projects - RFP release schedule for May 15th - Construction estimated to start July 2016 based on tender/award Total Pedestrian Linkages 106, Arterial Rehab - TWP Rd West of 8th St 87,821 - Carry over project from 2015 Rehabilitation - Currently in RFP stage will be ready for review on April 29th - work scheduled to be complete in August Engineering Structure - Engineering/Arch Currently in RFP stage will be ready for review on April 29th - Work scheduled to be complete in August sent to finance to correct budget adjustment Total Arterial Rehab - TWP Rd West of 8th St 88, Arterial Rehab - East Lake Blvd - Meadowbrook Dr to Big Springs Dr 122, Engineering Structure - Engineering/Arch. 11,671 Project complete in PO was not correctly cancelled with open items Total Arterial Rehab - East Lake Blvd - Meadowbrook Dr to Big Springs Dr 134, Arterial Rehab - YVBD East of Kings Heights Gate to RR ,089 - Currently in RFP stage will be ready for review on April 29th - Work scheduled to be complete in August Engineering Structure - Engineering/Arch. 8,521 - Currently in RFP stage will be ready for review on April 29th - Work scheduled to be complete in August 2016 Total Arterial Rehab - YVBD East of Kings Heights Gate to RR , Arterial Rehab - Main St South - Elk Hill SE to Centre Ave SE 991,347 Project cancelled due to conflict with Civic Facilities Plan Engineering Structure - Engineering/Arch. 77,433 Consultant started the design prior to project being cancelled Actual 2016 Project Progress Update Page No: 6 23

26 City of Airdrie Capital Budget Projects Summary 2016 Projects March 31, 2016 Total Arterial Rehab - Main St South - Elk Hill SE to Centre Ave SE 1,068, Arterial Rehab - Main St South - Nose Creek Bridge to Erin Dr SE 343,337 - Currently in RFP stage will be ready for review on April 29th - Work scheduled to be complete in August Engineering Structure - Engineering/Arch. 26,818 Total Arterial Rehab - Main St South - Nose Creek Bridge to Erin Dr SE 370, Arterial Rehab - Main St South - Stone Gate - North to City Limits 305,697 - Currently in RFP stage will be ready for review on April 29th - Work scheduled to be complete in August Engineering Structure - Engineering/Arch. 23,878 Total Arterial Rehab - Main St South - Stone Gate - North to City Limits 329, Collector Rehab - Centre Ave Towerlane Dr Upgrade 23,006 Catch basin installation and some minor landscaping to be completed by June Total Collector Rehab - Centre Ave Towerlane Dr Upgrade 23, Collector Rehab - Big Springs Dr - Big Hill Rd to 400 Spring Haven Co 90,598 - Currently in RFP stage will be ready for review on April 29th - Work scheduled to be complete in August Engineering Structure - Engineering/Arch. 7,077 Total Collector Rehab - Big Springs Dr - Big Hill Rd to 400 Spring Haven Co 97, Collector Rehab - Big Springs Dr - East Lake Blvd to Big Hill Rd 105,954 - Deep patch repairs and overlay were completed in Construction budget did not include existing roadway deficiencies (shoving, rutting, etc.) which were noticed after work had already begun. - Project allowed for additional work to be schedule for Engineering Structure - Engineering/Arch. 8,276 Total Collector Rehab - Big Springs Dr - East Lake Blvd to Big Hill Rd 114, Collector Rehab - Big Springs Dr - Spring Have Cr to East Lake Blvd 116,778 - Currently in RFP stage will be ready for review on April 29th - Work scheduled to be complete in August Engineering Structure - Engineering/Arch. 9,122 Total Collector Rehab - Big Springs Dr - Spring Have Cr to East Lake Blvd 125, Collector Rehab - 2 Ave NE - Allen St SE to Edmonton Tr 35,321 - Currently in RFP stage will be ready for review on April 29th - Work scheduled to be complete in August Engineering Structure - Engineering/Arch. 2,759 Total Collector Rehab - 2 Ave NE - Allen St SE to Edmonton Tr 38, Collector Rehab - 1 Ave NE - Smith St to Edmonton Tr 131,341 - Currently in RFP stage will be ready for review on April 29th - Work scheduled to be complete in August Engineering Structure - Engineering/Arch. 10,259 Total Collector Rehab - 1 Ave NE - Smith St to Edmonton Tr 141, Collector Rehab - RR Highland Park Ln North to City Limits 271,225 - Currently in RFP stage will be ready for review on April 29th - Work scheduled to be complete in August Engineering Structure - Engineering/Arch. 21,185 Total Collector Rehab - RR Highland Park Ln North to City Limits 292, Collector Rehab - RR294 - Sharp Hill Wy South to City Limits 941,802 - Currently in RFP stage will be ready for review on April 29th Engineering Structure - Engineering/Arch. 73,563 - Work scheduled to be complete in August 2016 Total Collector Rehab - RR294 - Sharp Hill Wy South to City Limits 1,015, Local Rehab - Canoe Square - Nicon Ditch 7,792 Project complete in project should not have been carried over Total Local Rehab - Canoe Square - Nicon Ditch 7, Local Rehab - Buffalo Rub - Hwy end of cul d'sac Project Name Budget Q1 Actual 2016 Project Progress Update Page No: 7 24

27 City of Airdrie Capital Budget Projects Summary 2016 Projects March 31, ,392 Project complete in should not have been carried over Total Local Rehab - Buffalo Rub - Hwy end of cul d'sac 2, Local Rehab - RR 293-North of Higland Park 140,742 - Currently in RFP stage will be ready for review on April 29th - Work scheduled to be complete in August Engineering Structure - Engineering/Arch. 12,574 Total Local Rehab - RR 293-North of Higland Park 153, Local Rehab - Spring Grove Cr - Greenspace to Big Springs Dr 23,397 - Currently in RFP stage will be ready for review on April 29th - Work scheduled to be complete in August Engineering Structure - Engineering/Arch. 1,828 Total Local Rehab - Spring Grove Cr - Greenspace to Big Springs Dr 25, Local Rehab - Everglade Dr - Summerfield Blvd to Erin Dr 73,698 - Currently in RFP stage will be ready for review on April 29th - Work scheduled to be complete in August Engineering Structure - Engineering/Arch. 5,757 Total Local Rehab - Everglade Dr - Summerfield Blvd to Erin Dr 79, Local Rehab - Bowers St - Centre Ave to 1 Ave NE 27,455 - Currently in RFP stage will be ready for review on April 29th - Work scheduled to be complete in August Engineering Structure - Engineering/Arch. 2,145 Total Local Rehab - Bowers St - Centre Ave to 1 Ave NE 29, Local Rehab - Big Springs Hl - Big Springs Wy to Big Springs Wy 89,638 - Currently in RFP stage will be ready for review on April 29th - Work scheduled to be complete in August Engineering Structure - Engineering/Arch. 7,002 Total Local Rehab - Big Springs Hl - Big Springs Wy to Big Springs Wy 96, Local Rehab - Fletcher Rd - End to 6 Ave NW 18,625 - Currently in RFP stage will be ready for review on April 29th - Work scheduled to be complete in August Engineering Structure - Engineering/Arch. 1,455 Total Local Rehab - Fletcher Rd - End to 6 Ave NW 20, Local Rehab - 1st SW - End to Centre Ave W 27,270 - Currently in RFP stage will be ready for review on April 29th - Work scheduled to be complete in August Engineering Structure - Engineering/Arch. 2,130 Total Local Rehab - 1st SW - End to Centre Ave W 29,400 Total Engineering Services 57,113,356 1,682,526 Parks Parks Pathways Program Land Improvements 223,227 This will be completed by Q Total Parks Pathways Program 223, Columbarium - Cemetery Project Name Budget Q1 Actual ,360 This has been purchased, waiting for delivery. Project will be complete Q Total Columbarium - Cemetery 85, Sportsfield Mower Machinery / Equipment /Furniture 99, ,055 This has been purchased and is in service, the overage is due to US dollar exchange. Total Sportsfield Mower 99, , One Ton Truck Vehicles 97,045 The truck has been bought and has been sent to have box and tailgate installed to be completed Q Total One Ton Truck 97,045 Total Parks 504, ,055 Project Progress Update Page No: 8 25