Staff Report #7 – Financial Update – Capital Budget Programs – October 31, 2019

Staff Report #7

November 27, 2019

To All Commissioners

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

Recommendation

That the report be NOTED and FILED.

Background

Summarized in the table below is the 2019 Capital Program Summary for the ten month period ending October 31, 2019.

Summary of 2019 Capital Budget Program Activity

Ten Months Ending October 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 129,258 200,000 70,742
Software and Hardware 36,660 600,000 563,340
Facility Upgrades 375,418 500,000 124,582
Bus Replacement (8) 4,224,937 4,748,000 523,063
Bus Expansion (1) 636,670 623,500 (13,170)
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 $ 5,802,650  $ 10,868,500  $ 5,065,850
Funding
Provincial Gas Tax $ 999,623 $ 4,616,600  $ 3,616,977
Capital Program Reserve 402,809 667,000 264,191
City of London 2,900,218 4,084,900 1,184,682
Federal Gas Tax 1,500,000 1,500,000
Total $ 5,802,650  $ 10,868,500  $ 5,065,850

The following programs are underway through the ten 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) & Bus Expansion (1) – Expenditures incurred to-date for eight of the nine buses delivered by October 31, as well as the purchase of ancillary equipment, inspection and prep costs.

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