Program: Facilities and Construction Management. Program Based Budget Page 117

Transcription

1 Program: Facilities and Construction Management Program Based Budget Page 117

2 Program: Facilities and Construction Management Vision: To develop and maintain town buildings that is safe, comfortable and welcoming to all. Mission Statement: To provide technical expertise and effective project management to facility user departments for facility design, construction, commissioning, repairs and maintenance of town buildings in an energy efficient, fully accessible, and sustainable manner. Program Description The Facilities and Construction Management department is responsible for the design, construction, commissioning, maintenance, repair and demolition of all town buildings. The Town of Oakville has a large and growing facility portfolio. In the past five years, the town has built about 750,000 square feet of building area and acquired several properties, increasing our building stock portfolio from1.3 M square feet to almost 2.1 M square feet. In addition to growth and related facility expansion plans and renovations, the town is operating within a challenging and changing environment, as evidenced by aging facilities and infrastructure deficit, a growing focus on energy costs and energy management, growing client expectations, the implementation of asset management work order case management systems for buildings, and ongoing regulatory change (e.g. accessibility legislation). These are the factors that continue to challenge and drive the work of the Facilities and Construction Management department. The department provides professional project management services related to buildings to all town departments. Using established, formal project management controls and techniques, our team of project managers and technical experts ensures that town buildings are developed and maintained effectively and efficiently throughout their entire life cycle. We serve the town s facility user departments by providing support in developing their projects; managing the construction of new buildings; developing preventative maintenance programs; budget forecasting for repairs, maintenance and replacement of buildings and building systems; developing maintenance standards for all town owned buildings; managing facility operations at Town Hall, Oakville Public Libraries, Oakville Transit and other town facilities, including custodial services, preventative maintenance programs, maintenance contract management, minor repairs and security; coordinating compliance with accessibility and environmental legislation; energy management and the management of designated substances in buildings. Program Services The Facilities and Construction Management department provides the following services: Administrative Services Facilities Maintenance and Repairs Facility Operations New Construction Page 118

3 Staffing Overview Net Approved Approved Capital Service Reallocation Total Change Services/Activities: FTE FTE Impact Level Change of Staff FTE 2014 vs 2013 Administration Facility Maintenance & Repairs Facility Operations New Construction Total FTE, the Facilities Operations Clerk position was reallocated to Administration from Facility Operations. 2.0 FTE s, a Project Leader position and Facilities Planning Coordinator position were reallocated from Corporate to Facility Maintenance & Repairs. 1.0 FTE, the Facility Management Coordinator was reallocated to Facilities Operations from Facility Maintenance & Repairs. 1.0 FTE as a capital impact in Facility Operations is for a Building Operator position for the North Operations Depot. Program Services Budget Overview 2013 Restated 2014 Requested Gross Net Gross Net Change Change Services/Activities: Budget Budget Budget Budget 2014 vs vs 2013 (%) Administration 221,700 74, , , , % Facility Maintenance & Repairs 669, , , ,100 (35,600) (5.3%) Facility Operations 2,028,100 1,863,900 2,164,000 2,006, , % New Construction 170, , % Total 3,089,700 2,606,000 3,431,100 2,913, , % In 2014, the Facilities and Construction Management program has increased by $307,900 or 11.8%. One of the drivers of this increase is the elimination of the recovery from capital for the Director of Facilities and Construction Management. This recovery has been removed to be consistent with the practice in other program areas that implement capital works, as most of a director s work is corporate and strategic, dealing with policies, procedures, best practices and oversight, and cannot be easily attributed to any one project. As well, the Facility Maintenance & Repairs service area received two additional positions (a Project Leader and a Facilities Planning Coordinator) to assist with the implementation of capital infrastructure works. These two new positions have been budgeted to be fully recovered from capital. In addition, there is a $39,800 capital impact from the new North Operations Depot facility for a Building Operator position to maintain the facility which is scheduled to start June Net Net Page 119

4 of The balance of the increase is a result of contractual increases for CUPE 1329 as well as inflationary increased for other wage groups, utilities and external contracted services. Level of Services Offered The majority of municipalities have similar programs for Facility Maintenance and Repairs and Facility Operations - State of Good Repair, but Oakville s JDE Capital Asset Buildings module for preventative maintenance and capital replacement forecasting programs will put us ahead of the curve compared to many municipalities. Most municipalities have similar programs for New Construction; however some rely on external project management for large projects. Services provided by Facilities and Construction Management in Oakville are generally consistent with standard municipal practice. The effectiveness and efficiency of these services is reviewed and measured through the town s performance-based, program based budgeting process. Key Objectives (Initiatives) for Manage municipal facility development. The ten year capital forecast will be presented to Council as part of the 2014 budget and will include new facilities and major renovations. The timing for these projects will be tied to the rate of growth and the availability of funding. Many of these projects are multi-year and require qualified, in-house, professional project management staff for design development, construction tendering and project administration. External project management consulting firms have typically cost significantly more than in-house services. This initiative speaks to Council s strategic goal to be accountable in everything we do. Buildings asset management implementation. Staff resources must be committed to implement the remaining stages of the buildings asset management system (preventative maintenance programs, performance metrics, work order case management, etc.). Both Town Hall and the old post office are currently utilizing the case management system, while work proceeds to bring the Transit buildings, Central Operations and North Operations on-line. We expect to bring all town facilities on-line during this time frame. This initiative speaks to Council s strategic goal to continuously improve our programs and services. Aging facilities and infrastructure deficit. The service impact is felt in all areas of repairs and maintenance with the most significant impact in the area of civil and architectural projects. With the full implementation of the asset management work order management system, staff resources are required to manage work orders and service requests (both planned and unplanned maintenance and repairs) and to plan and coordinate the capital work for the town s 100+ facilities. This initiative speaks to Council s strategic goals to continuously improve our programs and services and to be the most livable town in Canada. Growing client expectations for project management services and oversight of preventative maintenance programs: With the full implementation of the buildings asset management system, the Facilities Maintenance and Repair division and the Facilities Operations division are accountable for all state of good repair and preventative maintenance programs and standards for all town buildings. This initiative speaks to Council s strategic goals to continuously improve our programs and services and to be accountable in everything we do. Ongoing regulatory change, new standards, guidelines and regulations have been developed by the provincial government to support the accessibility legislation (AODA) which became law in In late 2013, the final Integrated Accessibility Standards (Ontario Reg. 191/11) included a section for the built environment - Part IV.1 Design of Public Spaces Standards which we are now including in all of our construction projects. Along with meeting the requirements of O. Reg. 191/11, the town is required to continue to remove known barriers to accessibility in keeping with the mandate of the AODA. FCM will continue to dedicate significant staff and financial resources over the next 10 years to eliminate physical barriers in our facilities. This initiative speaks to Council s strategic goals to provide outstanding service to our residents and businesses and to be the most livable town in Canada. Page 120

5 Growing focus on energy costs and management: Staff support is required to effectively develop the town s energy management system using the AMO Energy Management Tool. In 2013 and 2014, the energy management program will include an education module (lead by the Environmental Policy department). This initiative speaks to Council s strategic goal to be environmentally sustainable and to continuously improve our programs and services. Centralized and standardized execution and monitoring of construction projects, we will continue to develop our Project/Portfolio Management Office with procedures, guidelines and project management templates to strive toward zero defects in our projects. This initiative speaks to Council s strategic goals to continuously improve our programs and services, to provide outstanding service to our residents and businesses, to be fiscally and environmentally sustainable and to be accountable in everything we do Program Budget Drivers $ % Restated Base Capital Requested Change Change Budget Budget Impact Budget From 2013 From 2013 Expenses: Personnel Services & Benefits 1,653,000 1,928,800 39,800 1,968, , % Materials & Supplies 528, , , % Capital out of Operations 3,300 3, , % Purchased Services 896, , ,100 25, % Payments & Grants (300) (100.0%) Internal Expenses & Transfers 8,300 8, , % Total Expenses 3,089,700 3,391,300 39,800 3,431, , % Revenues: External Revenues 14,200 7, ,300 (6,900) (48.6%) Internal Recovery & Fund Trsfs 469, , ,900 40, % Total Revenues 483, , ,200 33, % Tax Levy 2,606,000 2,874,100 39,800 2,913, , % In 2014, the Facilities and Construction Management program has increased by $307,900 or 11.8%. The main drivers for this change are the following: Personnel Services and Benefits have increased by $315,600 which includes CUPE 1329 contractual and inflationary increases for other groups and benefits of $80,500; a $39,800 capital impact for a Building Operator position for the North Operations Depot estimated to start mid-year; and two positions (Project Leader and Facilities Planning Coordinator) reallocated from Corporate at $195,300. The two latter positions are offset by recoveries from capital projects captured under Internal Recovery & Fund Transfers. Purchased Services have increased by $25,400 primarily due to a reallocation from Materials and Supplies and an adjustment to reflect the increase in externally contracted maintenance contract. Internal Recovery & Fund Transfers have increased by $40,400 due to the recovery of salary and benefits from capital projects for the two positions (Project Leader and Facilities Planning Coordinator positions) reallocated from Corporate. This recovery is partially offset by the elimination of a $147,300 recovery from capital projects previously budgeted for the Director of Facilities and Construction Management. Page 121

6 Expenditure Summary Requested Forecast Change Forecast Change Budget Base Budget (%) Base Budget (%) Gross Expenditures Facilities & Construction Management Administration 275, , % 293, % Facilities Maintenance & Repairs 827, , % 881, % Facilities Operations 2,164,000 2,234, % 2,287, % New Construction 164, , % 175, % Total Gross Expenditures 3,431,100 3,541, % 3,636, % Tax Levy Facilities & Construction Management Administration 275, , % 293, % Facilities Maintenance & Repairs 632, , % 675, % Facilities Operations 2,006,700 2,076, % 2,130, % New Construction % 0 0.0% Total Tax Levy 2,913,900 3,013, % 3,099, % Gross Expenditures By Type Personnel Services & Benefits 1,968,600 2,064, % 2,129, % Materials & Supplies 528, , % 549, % Purchased Services 922, , % 945, % Internal Charges 2,900 3, % 3, % Other Expenditures % 0 0.0% Minor Capital & Transfer to Reserves 9,100 9, % 9, % Total Expenditures 3,431,100 3,541, % 3,636, % Revenues By Type Activity Revenue 7,300 7, % 7, % Internal Recoveries 359, , % 380, % Grants % 0 0.0% Other Revenue 150, , % 150, % Total Revenues 517, , % 537, % Tax Levy 2,913,900 3,013, % 3,099, % Page 122

7 2014 Recommended Capital Budget Facilities and Construction Management capital projects over the next three years will allow for a continued state of good repair of town facilities. Funds are budgeted for accessibility improvements to remove physical barriers at various facilities across the town, to ensure compliance with the Accessibility for Ontarians with Disabilities Act 2005 (AODA). In 2014, the smaller diesel generator at Town Hall will be replaced with a larger natural gas fired generator that will be able to support additional emergency loading associated with the town's Emergency Operations Centre Total Budget Forecast Forecast Forecast Facilties and Construction Management Facility Repairs 50, , , , Town Hall Capital Replacement 152,200 76, , , Energy Management Large Buildings 100,000 70, , , HVAC - Various Locations 247,500 65, , , Drive, Pavement - Various Locations 261, , ,100 1,017, Roof Replacement - Various Locations 57,500 95,000 5, , Properties under 12,000 SF Maintenance & Repair 163, , , , Heritage Building Maintenance & Repair 187,800 80, , , Mechanical Commission 65,000 65,000 65, , Roofs - Minor Repairs 25,000 25,000 25,000 75, Accessibility Improvements 500, , ,000 1,500, Accomodation Needs 100, , , , Asbestos Monitoring and Remediation 35,000 35,000 35, , Electrical Safety Authority Inspections 21,000 21,000 21,000 63, Electrical - Various Locations 112, , , Town Hall - Emergency Generator 450, , Facilities Emergency Repairs 50,000 50,800 50, , Digital Project Documentation 50,000 50, , Architectural - Others 106,600 5, ,600 Total Facilities and Construction Management 2,577,300 2,796,800 2,402,800 7,776,900 Page 123

8 Service: Administration Mission To support the management team in the planning, development and implementation of programs. Major Responsibilities Provide strategic, visioning and direction for overall program to enable the department s vision to develop and maintain town buildings that are safe, comfortable and welcoming to all. Supervise administrative support staff serving the director, the management team and department staff. Identify and establish policies, procedures and best practices for facility asset management, establish performance metrics and measurements and develop opportunities for process improvements. Strategic Priorities (Initiatives) The Administrative Services division was established in 2011 as the final stage in the department s 2008 organization plan. The reorganization of existing staff into this division will be fully implemented in Key Outcomes Administrative Services is a new service area within the department and as such does not have any established metrics. The following are three key outcomes that will be explored in Provide timely resolution of internal Town Hall room booking operational complaints and service requests for security badges; in 2014, target 95% of internal room booking issues to be resolved to satisfaction of originator on same business day, security badge requests within one business day. Provide bi-weekly FCM Capital Replacement status reports to all facility managers. Page 124

9 Operating Budget Summary $ % Restated Base Capital Requested Change Change Forecast Forecast Budget Budget Impact Budget from 2013 from 2013 Budget Budget Expenses: Personnel Services & Benefits 191, , ,400 68, % 268, ,900 Materials & Supplies 3,700 3, , % 3,700 3,800 Purchased Services 24,700 10, ,000 (14,700) (59.5%) 10,000 10,400 Internal Charges % 0 0 Other Expenditures (300) (100.0%) 0 0 Minor Capital & Transfer To Reserves 2,000 2, , % 2,000 2,000 Total Expenses 221, , ,100 53, % 283, ,100 Revenues: Activity Revenue % 0 0 Internal Recoveries 147, (147,300) (100.0%) 0 0 Grants % 0 0 Other Revenue % 0 0 Total Revenues 147, (147,300) (100.0%) 0 0 Tax Levy 74, , , , % 283, ,100 Tax Levy By Activity Administration 74, , , , % 283, ,100 Tax Levy 74, , , , % 283, , Key Budget Drivers Personnel Services and Benefits have increased by $68,400 due to the transfer of the Facilities Operations Clerk position from the Facilities Operations service area as well as inflationary increases. Purchased Services have decreased by $14,700 due to the reallocation of funds to the Facilities Maintenance and Repairs service area to reflect resource needs. Internal Recoveries of $147,300 have been removed to reflect the elimination of the recovery from capital projects that was previously budgeted for the Director of Facilities and Construction Management Budget Forecast Highlights Budgets reflect inflationary increases only. Page 125

10 Service: Facilities Maintenance and Repairs Mission To provide technical expertise and effective, functional project management services to facility user departments to achieve energy efficient, fully accessible, and sustainable buildings. Major Responsibilities Manage the state of good repair program for all town owned facilities, providing for the planned replacement of building components and systems at the end of their useful life cycle. Provide project management services for construction projects at town owned facilities for barrier removal projects, energy management projects and minor renovations. Provide client departments with technical expertise for all aspects of building systems. Deliver special projects of corporate importance such as: accommodation studies, compliance with accessibility and hazardous materials legislation, administration and implementation of facility design and maintenance standards, facility audits, etc. Strategic Priorities (Initiatives) The Facilities Maintenance and Repairs division is challenged by a significant workload increase due to aging facilities and infrastructure deficit, a growing focus on energy costs and energy management, and ongoing regulatory changes (e.g. accessibility legislation). In addition, due to municipal growth, the town has invested significantly in new facilities in the past several years, increasing the total floor area in our buildings portfolio by over 60%, going from 1.3 million to 2.1 million square feet of floor space. This division is responsible for the state of good repair program for all town buildings, managing all planned major repairs and replacements affecting the building envelopes, structural components, mechanical systems, electrical systems and hard landscaping. As well, our new buildings are all built to an increased sustainability standard, and have complex mechanical and building systems that must be maintained. This initiative speaks to Council s strategic goals to continuously improve our programs and services, to be fiscally and environmentally sustainable and to provide outstanding service to our residents and businesses. Ongoing implementation of Service Level Agreements with all FCM client departments outlining the accountability and responsibility with respect to building operations, preventative maintenance and capital projects for all town owned facilities. This initiative speaks to Council s strategic goals to continuously improve our programs and services. In 2014, a review of the town s Guidelines for the Design of Accessible Facilities will incorporate all of the legislative changes realized in the past few years by the Integrated Accessibility Standards and the new 2012 Ontario Building Code and will include further development of procedures towards the elimination of barriers to accessibility throughout the town s facilities and a continuation of the department s barrier removals program. In 2014, together with the Facilities Operations division, we will work with the Asset Management group to fully implement the asset management work order program (JD Edwards-Buildings module) allowing for greater accountability with respect to cost and scheduling for all phases of repairs, maintenance and construction projects. This data base/work order management program will facilitate a comprehensive preventative maintenance and state of good repair program for all town owned facilities. This will ensure that building Page 126

11 systems and components are maintained to perform to their fullest capacity throughout their useful life cycle, thus preventing failures before they occur. This initiative speaks to Council s strategic goals to continuously improve our programs and services, to be fiscally and environmentally sustainable and to be accountable in everything that we do. Key Outcomes In 2013, Facilities Maintenance and Repairs successfully met the following outcomes: 87% of the projects completed in 2013 were planned and scheduled (the balance resulting from corrective maintenance/repairs or unplanned projects). Completed 96% of the annual planned work plan for capital replacements Improved roof safety access for town staff through installation of new roof top guardrails where required, new roof ladders and new walkways on metal roof systems. Removed $725,000 worth of barriers to accessibility throughout town facilities including renovations to the Iroquois Ridge Community Centre pool change rooms and main lobby washrooms, renovations to River Oaks Community Centre washrooms, visual alarm signals and repairs to the exterior stairs at the central library branch Operating Budget Summary $ % Restated Base Capital Requested Change Change Forecast Forecast Budget Budget Impact Budget from 2013 from 2013 Budget Budget Expenses: Personnel Services & Benefits 650, , , , % 819, ,200 Materials & Supplies % Purchased Services 18,700 34, ,400 15, % 34,400 34,800 Internal Charges % 0 0 Other Expenditures % 0 0 Minor Capital & Transfer to Reserves % 0 0 Total Expenses 669, , , , % 854, ,100 Revenues: Activity Revenue % 0 0 Internal Recoveries 1, , , ,000 14,923.1% 201, ,200 Grants % 0 0 Other Revenue % 0 0 Total Revenues 1, , , ,000 14,923.1% 201, ,200 Tax Levy 667, , ,100 (35,600) (5.3%) 653, ,900 Tax Levy By Activity Facility Maintenance & Repairs 667, , ,100 (35,600) (5.3%) 653, ,900 Tax Levy 667, , ,100 (35,600) (5.3%) 653, ,900 Page 127

12 2014 Key Budget Drivers Personnel Services and Benefits have increased by $142,600 primarily due to the transfer of two positions from Corporate to create the Project Leader and Facilities Planning Coordinator positions which are required to implement capital infrastructure projects. This increase has been offset by the transfer of the Facility Management Coordinator to the Facilities Operations service area. In addition, contractual increases for CUPE 1329 as well as inflationary increases for other groups and benefits have been incorporated. Purchased Services have increased by $15,700 due to the reallocation of funds from Administration and Facilities Operations service areas to reflect resource needs. Internal Recoveries have increased by $194,000 to reflect the recovery of salary and benefits from capital projects for the Project Leader and Facilities Planning Coordinator positions Budget Forecast Highlights Budgets reflect contractual and inflationary increases only. Service: Facilities Operations Mission To maintain and support a safe, welcoming, secure, clean, reliable and comfortable environment in town facilities so that programs are delivered efficiently and effectively, and building infrastructure value is maintained. Major Responsibilities Facilities Operations maintains and supports a safe, welcoming, secure, clean, reliable and comfortable environment in many of the town s facilities including Town Hall, Oakville Public Library branches, Oakville Transit facilities and Central Operations, so that programs are delivered efficiently and effectively and building infrastructure value is maintained. We maintain the general health of town buildings by managing an effective preventative maintenance program and by providing facility user departments with standards and support for daily operations, minor repairs, service contract management, health & safety and security. We ensure that all applicable codes and legislation requirements are met. We administer the asset management work order system (JD Edwards-Buildings Module) ensuring that it is managed in accordance with internal/external standards and all regulatory compliances. We identify needs and establish policies, procedures and best practices for facility asset management, establish performance metrics and measurements and develop opportunities for process improvements. Page 128

13 Strategic Priorities (Initiatives) In 2013, together with the Facilities Maintenance and Repairs division, we will work with the Asset Management group to fully implement the asset management work order program (JD Edwards-Buildings module) allowing for greater accountability with respect to cost and scheduling for all phases of repairs, maintenance and construction projects. This data base/work order management program will facilitate a comprehensive preventative maintenance and state of good repair program for all town owned facilities. This will ensure that building systems and components are maintained to perform to their fullest capacity throughout their useful life cycle, thus preventing failures before they occur. This initiative speaks to Council s strategic goals to continuously improve our programs and services, to be fiscally and environmentally sustainable and to be accountable in everything that we do. We previously reviewed and upgraded Oakville Public Library facilities to meet or exceed all Occupational Health & Safety Act and Ontario Fire Code legislative requirements. In 2013, we will continue to maintain this standard. This initiative speaks to Council s strategic goals to continuously improve our programs and services and to be accountable in everything that we do. In 2013 we operated the new Oakville Transit facility as efficiently as possible while working with the New Construction division to identify and have corrected all construction deficiencies and warranty items. This initiative speaks to Council s strategic goals to be fiscally and environmentally sustainable and to be accountable in everything that we do. The JDE facilities work order module will be fully implemented (by Asset Management staff) over the next few years. Our successful implementation and operation of this system will address Council s strategic goals to be accountable in everything we do, to be environmentally and fiscally responsible and to continuously improve our programs and services. Key Outcomes Piloted the new asset management work order program (JD Edwards-Buildings module) in two facilities, and continue to work with Asset Management staff to fully implement the asset management work order program in other facilities. Assumed operational responsibility for three newly acquired former school buildings as well as the former post office building. Initiated and implemented a facility managers user group as a forum for disseminating facility related information (safety, accessibility, energy management, product and equipment information updates, etc.). Provided department and facility managers with timely access to asset information; in 2014 target 90% of requests for information to be satisfied within two business days. Provided timely resolution of deficiency reports, operational complaints and service requests; in 2014, target 90% to be resolved to satisfaction of originator within two business days. Page 129

14 Operating Budget Summary $ % Restated Base Capital Requested Change Change Forecast Forecast Budget Budget Impact Budget from 2013 from 2013 Budget Budget Expenses: Personnel Services & Benefits 667, ,300 39, , , % 823, ,500 Materials & Supplies 522, , , % 532, ,200 Purchased Services 830, , ,500 33, % 869, ,900 Internal Charges 2,500 2, , % 3,000 3,000 Other Expenditures % 0 0 Minor Capital & Transfer to Reserves 5,800 5, , % 5,800 5,800 Total Expenses 2,028,100 2,124,200 39,800 2,164, , % 2,234,100 2,287,400 Revenues: Activity Revenue 14,200 7, ,300 (6,900) (48.6%) 7,300 7,300 Internal Recoveries % 0 0 Grants % 0 0 Other Revenue 150, , , % 150, ,000 Total Revenues 164, , ,300 (6,900) (4.2%) 157, ,300 Tax Levy 1,863,900 1,966,900 39,800 2,006, , % 2,076,800 2,130,100 Tax Levy By Activity Facilities Operations 1,863,900 1,966,900 39,800 2,006, , % 2,076,800 2,130,100 Tax Levy 1,863,900 1,966,900 39,800 2,006, , % 2,076,800 2,130, Key Budget Drivers Personnel Services and Benefits have increased by $101,800 primarily due to the capital impact of $39,800 for the Building Operator position to maintain the North Operations Depot scheduled to start June 2014 and the transfer of the Facility Management Coordinator from the Facilities Maintenance and Repairs service area. This has been offset by the transfer of the Operations Clerk position to the Administration service area. Purchased Services have increased by $33,500 due to the reallocation of funds from Materials and Supplies to reflect resource needs as well as inflationary increases to maintenance contracts. Activity Revenue has decreased by $6,900 to reflect a reduction in facility and room rentals Budget Forecast Highlights In 2015, Personnel Services and Benefits include a $28,600 capital impact for the annualization of the Building Operator position for the North Operations Depot. In 2016, budgets reflect inflationary increases only. Page 130

15 Service: New Construction Mission To provide technical expertise and effective project management for the design, construction, commissioning and warranty administration for all new town buildings and the major renovation or demolition of all existing Town buildings. Major Responsibilities The New Construction division manages the design development, tendering, contract administration, commissioning and warranty for all new buildings and those undergoing major renovations, using procedures and control templates developed through our Project/Portfolio Management Office. We assist user departments with strategic planning of new projects, and provide technical, functional and budget validation services to facility user departments for their new facilities as well as the major renovation or demolition of existing facilities. Strategic Priorities (Initiatives) In 2014 the New Construction division will complete the construction of the following projects: o Phase 1 Renovation to Town Hall. o North Operations Depot and Fire Hall #9. o Tender and complete the Renovations to Fire Hall #7. This initiative speaks to Council s strategic goals to continuously improve our programs and services, to provide outstanding service to our residents and businesses, to be fiscally and environmentally sustainable. Establish New Construction project dashboard on Portico providing updates for all new construction projects. This initiative speaks to Council s strategic goals to continuously improve our programs and services and to be accountable in everything that we do. New Construction division will continue to deliver its services through in-house, professional project management staff at a lower cost than external project management services. This initiative speaks to Council s strategic goals to be fiscally sustainable, to be accountable in everything we do, to continuously improve our programs and services and to provide outstanding service to our residents and businesses. To complete the new construction procedure booklet to ensure all our future projects maintain our historical achievement of on-time and onbudget completion of all multi-million dollar and multi-year projects. This initiative speaks to Council s strategic goal to be highly valued and widely celebrated for the innovative and outstanding way we satisfy the needs of our businesses. Key Outcomes In 2013 New Construction division completed the implementation of our Centralized Project/Portfolio Management Office to monitor all of our projects, which followed with the application of continuous improvement practices (eliminating defects) in the provision of our services. In 2013, the New Construction division successfully met the following outcomes: o Tendered and initiated the construction of North Operations Depot and Fire Hall #9. o Tendered the Phase 1 Renovations to Town Hall. Completed the construction of committee rooms, and initiated the construction of serviceoakville desk, centralized entrance and shipping and receiving. Page 131

16 o Initiated the design of Renovations to Fire Hall #7. o Issued and managed the RFP for Feasibility Study and Preliminary Design for the Revitalization of Oakville Arena. o Issued the RFP and completed the preliminary design for Bronte Marina. On a 4 year average, all these services were delivered at a cost of 2.19% of the total project cost with is a much lower cost when compared with services provided by the external project management consulting firms Operating Budget Summary $ % Restated Base Capital Requested Change Change Forecast Forecast Budget Budget Impact Budget from 2013 from 2013 Budget Budget Expenses: Personnel Services & Benefits 144, , ,200 2, % 152, ,100 Materials & Supplies 1,900 1, , % 1,900 1,900 Purchased Services 23,300 14, ,200 (9,100) (39.1%) 14,200 14,700 Internal Charges % 0 0 Other Expenditures % 0 0 Minor Capital & Transfer to Reserves 1,300 1, , % 1,300 1,300 Total Expenses 170, , ,600 (6,300) (3.7%) 169, ,000 Revenues: Activity Revenue % 0 0 Internal Recoveries 170, , ,600 (6,300) (3.7%) 169, ,000 Grants % 0 0 Other Revenue % 0 0 Total Revenues 170, , ,600 (6,300) (3.7%) 169, ,000 Tax Levy % 0 0 Tax Levy By Activity New Construction % 0 0 Tax Levy % Key Budget Drivers Personnel Services and Benefits have increased by $2,800 due to inflationary increases. Purchased Services have decreased by $9,100 to reflect the reduction in contracted work force for the division. Internal Recoveries have decreased by $6,300 to reflect a reduction in recoveries from capital projects Budget Forecast Highlights Budgets reflect inflationary increases only. Page 132