There is an annual funding gap of $25 million between the County’s regular capital spending and what is needed for its proposed Asset Management Plan. That means the tax levy could increase 7.4 percent annually over ten years, according to estimates by Watson and Associates. 

At the August 28th Committee of the Whole meeting, Council approved Levels of Service for every asset  in the new Plan.

The decisions came during a Council and Staff working session. Watson and Associates presented details of each asset class and the financial implications of the new service requirements. 

Council is mapping the capital budget for the next ten years in response.

“We need to know what we’re dealing with in terms of the pot of money,” said Interim CAO Adam Goheen.

While some Councillors were reluctant to make financial commitments that far into the future, Director of Finance Arryn McNichol said some flexibility will remain.

“The idea is to set, as closely as possible, a capital plan for the next ten years,” he said.

”We always have the right as Council to make the final decision at budget time,” said Councillor John Hirsch.

“We are not setting tax rates today,” Mr. Goheen stressed. 

Staff will come up with a financial strategy that refers to Council’s spending priorities. The complete Asset Management Plan comes to Council for approval September 25.

Bridges 

Council approved spending $1,225,000 annually on bridges. Anything less would be risky. 

Ontario’s Ministry of Transportation (MTO) mandates through the Ontario Structure Manual that all bridges be assessed using the Bridge Condition Index (BCI).

The overall average BCI for all bridges in the County is 69.9, just shy of the County’s goal of a rating of 70, considered “good” rather than “fair.”

Roads

Council approved $25,100,000 annually on roads over the next ten years.

”If we look at the surveys, it’s pretty clear this is the priority,” said Councillor Janice Maynard. 

Corporate Fleet

Council directed staff to extend the lifecycles of fleet assets by 25 percent. With an estimated outlay of $1,204,000 over the next ten years, this option is less costly than maintaining fleet assets at “Good” or “Acceptable” condition. The risk of higher maintenance costs down the road is offset by immediate savings. 

Fire Fleet

The County’s 40 fire fleet assets, including pumpers, vehicles, and tankers, require significant investment to maintain safety standards. The report recommends making decisions for this asset class using a Community Risk Assessment and Fire Master Plan. Council approved maintaining the existing service level for two years at a cost of $1,014,000 each year.

Facilities 

Council approved reducing the number of public-facing buildings they will invest in by 25 percent. Maintenance of such buildings could cost $2,344,000 a year. The decision is “a bit of a placeholder,” said Mr. Goheen, while staff and Council continue to explore selling some of its buildings. 

Equipment

Municipal Equipment includes Fire Services equipment, Information Technology (IT) assets, Geographic Information Systems (GIS), and Library equipment. 

Council approved maintaining it in “Fair” or better condition.  

The estimated cost to replace equipment is $5.8 million which can be phased, with an annual investment of $1,003,000.

Parks and Recreation

Council approved maintaining all of its parks to “Fair” or better condition. That will cost $316,000 over ten years. As part of this plan, staff will engage the public on their park usage to understand where to focus investment.