Staff Report #8 Re: Financial Update – Capital Budget Programs – August 31, 2019

Staff Report #8

September 25, 2019

To All Commissioners

Re: Financial Update – Capital Budget Programs – August 31, 2019

Recommendation

That the report be NOTED and FILED.

Background

Summarized in the table below is the 2019 Capital Program Summary for the eight-month period ending August 31, 2019.

Summary of 2019 Capital Budget Program Activity

Eight Months Ending August 31, 2019

Description  Actual  Budget  Amount

Under Budget

(Over Budget)

Program
Stop Upgrades $ 199,096  $ 37,000  $ (162,096)
Service Fleet 37,795 40,000 2,205
Shop Equipment 107,788 200,000 92,212
Software and Hardware 36,660 600,000 563,340
Facility Upgrades 343,358 500,000 156,642
Bus Replacement (8) 123,637 4,748,000 4,624,363
Bus Expansion (1) – 623,500 623,500
Fleet Radio Replacement – 625,000 625,000
TMP 2030 – BRT Strategy – 1,500,000 1,500,000
Fare Processing Equipment – 1,495,000 1,495,000
Smart Card Program 162,816 500,000 337,184
Total $ 1,011,150  $ 10,868,500  $ 9,857,350
Funding
Provincial Gas Tax $ 162,816 $ 4,616,600  $ 4,453,784
Capital Program Reserve 381,338 667,000 285,662
City of London 466,995 4,084,900 3,617,905
Federal Gas Tax – 1,500,000 1,500,000
Total $ 1,011,150  $ 10,868,500  $ 9,857,350

The following programs are underway through the first eight months of the year, with narrative focusing on the year-to-date progress.

Stop Upgrades – Expenditures incurred to-date related to the installation of concrete bus stop pads necessary for upcoming service changes.

Service Fleet – The costs incurred to-date are attributable to the purchase of a new service van. The project is complete.

Shop Equipment – Expenditures incurred to-date relate to the ongoing monthly purchase of shop tools and equipment including a sandblaster. This budget is utilized throughout the year as equipment and tools are required.

Software and Hardware – Expenditures incurred to-date for the purchasing of workstations and networking equipment.

Facility Upgrades – Expenditures incurred to-date for the upgrades to lighting in A-Barn, floor and drain repairs in C-Barn and asphalt replacement at the 450 Highbury location.

Bus Replacement (8) – Expenditures incurred to-date for purchase of ancillary equipment.

Smart Card Program – Expenditures incurred to-date for the purchase of additional smart card stock.

Administration will continue to monitor actual to budget performance and report to the Commission on a monthly basis.

Recommended by:

Mike Gregor, Director of Finance

Concurred in by:

Kelly S. Paleczny, General Manager