Staff Report #5
September 29, 2025
To All Commissioners
Re: Financial Update – Capital Budget Programs – August 31, 2025
Recommendation
That the report be RECEIVED for information.
Background
Summarized in the table below is the 2025 Capital Program Summary for the eight-month period ending August 31, 2025. Consistent with the changes made for the August report, additional detail has been provided with respect to capital projects and the status of each.
Summary of 2025 Capital Budget Program Activity Eight Months Ending August 31, 2025
| Description | Actual | Budget | Amount Under Budget (Over Budget) | Project Status | |
| Program | |||||
| Bus replacement (2025) | $ 15,622,114 | $ 16,399,700 | $ 777,586 | In progress | |
| Bus replacement (2024) | 15,487,428 | 15,393,200 | (94,228) | In progress | |
| Facility upgrades | 202,399 | 500,000 | 297,601 | In progress | |
| Fare processing equipment | 275,571 | 2,495,000 | 2,219,429 | In progress (multi-year) | |
| Information systems | 183,094 | 800,000 | 616,906 | In progress | |
| Shop & garage equipment | 73,677 | 235,000 | 161,323 | In progress | |
| Service fleet replacement | 53,732 | 65,000 | 11,268 | Project complete | |
| Stop upgrades | 51,754 | 96,000 | 44,246 | In progress | |
| Fleet radio replacement | – | 625,000 | 625,000 | Project deferred | |
| Highbury facility rebuild | – | 5,000,000 | 5,000,000 | In progress (multi-year) | |
| Zero emission bus pilot | – | 25,960,000 | 25,960,000 | In progress (multi-year) | |
| Total | $ 31,949,769 | $ 67,568,900 | $ 35,619,131 | ||
| Funding | |||||
| Provincial Gas Tax | $ 1,754,242 | $ 4,497,600 | $ 2,743,358 | ||
| Capital Program Reserve | 362,257 | 1,198,000 | 833,743 | ||
| City of London | 22,833,270 | 38,230,300 | 15,397,030 | ||
| City – Federal Gas Tax | 7,000,000 | 7,000,000 | – | ||
| ICIP – Provincial | – | 1,665,000 | 1,665,000 | ||
| ICIP – Federal | – | 2,000,000 | 2,000,000 | ||
| Senior Government | – | 12,980,000 | 12,980,000 | ||
| Total | $ 31,949,769 | $ 67,568,900 | $ 35,619,131 | ||
The following programs are underway through the first eight months of the year, with narrative focusing on the year-to-date progress.
Bus replacement (2024 & 2025) – All 34 buses have arrived with only the cost of the last bus received invoiced in September. At the time of writing, 20 buses have been outfitted for service and are currently on the road. Both projects will come in slightly over budget due mainly to additional tariffs charged on the bus build.
Facility upgrades – The facility upgrade program is underway with costs incurred to date pertaining to additional work on the bus fueling and wash lane at the Wonderland facility, along with many other minor repairs and maintenance projects. Asphalt repairs at the Wonderland facility are set to occur in October.
Fare processing equipment – The project to replace the OBV’s (on board validators) on the conventional fleet is underway with the costs included above pertaining to the first payment milestone. The next milestone pertaining to overall software and hardware design approval is on schedule for November.
Information systems & hardware – Expenditures incurred to date include the networking equipment, Transit Master system upgrades as well as payments for the Specialized scheduling system’s passenger portal module.
Shop and garage equipment – Expenditures incurred to date relate to the ongoing monthly purchase of shop tools and miscellaneous equipment within Fleet & Facilities.
Service fleet replacement – Expenditures incurred to date relate to the purchase of a new Inspector van which has been outfitted for service.
Stop upgrades – Expenditures incurred to date pertain to concrete pads and the purchase of replacement glass for shelters.
Administration will continue to monitor actual to budget performance and report to the Commission monthly.
Recommended by:
Mike Gregor, Director of Finance
Concurred in by:
Kelly S. Paleczny, General Manager