Staff Report #16 Re: Financial Update – Capital Budget Programs – July 31, 2018

Staff Report #16

August 29, 2018

To All Commissioners

Re: Financial Update – Capital Budget Programs – July 31, 2018


That the report be NOTED and FILED.


Summarized in the table below is the 2018 Capital Program Summary for the seven month period ending July 31, 2018.

Summary of 2018 Capital Budget Program Activity

Seven Months Ending July 31, 2018

Description  Actual  Budget Amount Under Budget (Over Budget)
Stop Upgrades  $ 21,278 $ 110,000 $ 88,722
Service Fleet 33,971 40,000 6,029
Shop Equipment  38,558 200,000 161,442
Software and Hardware 109,216 600,000 490,784
Facility Upgrades  88,084 300,000 211,916
Bus Replacement (8)  12,559 4,560,800 4,548,241
Bus Expansion (4) 202,305 2,378,400 2,176,095
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 605,000 605,000
Total $ 505,972  $ 12,414,200 $ 11,908,228
Provincial Gas Tax $ 41,425 $ 5,502,200 $ 5,460,775
Capital Program Reserve 161,598 627,000 465,402
City of London 302,948 4,785,000 4,482,052
Federal Gas Tax 1,500,000 1,500,000
Total $ 505,972  $ 12,414,200 $ 11,908,228

The following programs are underway through the first seven months of the year, with narrative focusing on the YTD progress.

Stop Upgrades

The costs incurred to-date are attributable to the remaining expenditures from the 2017 shelter installs. The remaining $89,000 in the budget will enable the purchase and installation of 10 additional shelters. Shelters have been ordered and scheduled for installation in late September/early October. All applicable cement pads have been completed.

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. This budget is utilized throughout the year as equipment and tools are required.

Software and Hardware

The costs incurred to-date are attributable to the replacement of the Specialized Scheduling System and other workstation and networking equipment replacements. Work on these projects is scheduled to continue for the remainder of the year.

Facility Upgrades

Expenditures incurred to-date relate to the purchase of high speed doors for the fuel service lanes as well as repairs to the maintenance inspection pit. The remaining projects scheduled for 2018, as discussed in Staff Report #8, dated April 25, 2018 include repairs to curbing and parking lot asphalt, reinforcement of columns in A and B barn, grating to be replaced in B barn and new office construction.

Bus Purchases (Bus Replacement & Bus Expansion)

The costs incurred to-date are attributable to the early purchase of ancillary equipment and inspection costs required for the 2018 bus expansion and replacement projects. Four buses were received in mid-August with the outstanding order scheduled for arrival in late 2018.

The remaining programs are scheduled to commence in the remainder of 2018. 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