investments continue without delay and that their existing Capital Programs are kept on track.
Administration recognizes that capital investments tend to be the key driver’s in helping address economic recoveries when challenging economic periods arise. This is evidenced by the recent Federal decision to provide advanced funding of 100% of the 2020 Federal Gas Tax in June as well as their recent announcement to proceed with grant approvals under the Investing in Canadian Infrastructure Program (ICIP) as well as the introduction of the new COVID-19 program under ICIP. City Council will also recall that in response to the 2008 financial crisis that the Federal Infrastructure Stimulus Funding (ISF) program was announced in much the same fashion and the City of Windsor participated in that program quite extensively to maximize the leveraging of municipal dollars.
This report is being brought forward to City Council at this time in order to seek approval to establish a number of guiding principles that Administration will utilize when considering the various ongoing capital expenditures which will come forth to City Council for approval over the next several months. These guidelines will also provide an appropriate framework for administration to consider as we bring forth a further report in July to update City Council as to the latest financial estimates of the impacts of COVID 19 on the City as well as provide potential options & strategies for City Council to consider as to how best to address these unbudgeted costs. It is noted that approval of this report and the guiding principles does not necessarily preclude various capital and/or reserve investments from being considered in that report as potential cost mitigation measures but more importantly provides guiding principles and an appropriate framework for Administration and City Council to consider when moving forward with approval of various Capital projects.
Discussion:
As City Council is aware municipalities across the country along with FCM, AMO and various other municipal associations are urging the senior levels of government to come forth with financial relief programs and measures to assist municipalities that have been hard hit with the negative financial impacts of COVID 19. Municipalities across the country are facing significant financial deficits in 2020 and the likelihood for continued financial challenges in future budgets that cannot be addressed solely at the local level via property taxes. We continue to follow this situation closely and remain optimistic that financial relief programs will be announced in the near term to assist municipalities with appropriate financial planning.
Notwithstanding these efforts to secure senior level funding, municipalities must still be proactive and consider various measures and strategies to prepare themselves to mitigate to the extent possible the negative financial impacts of any deficits that they may face. A full report is scheduled to be presented to City Council in early July on this matter. In preparation for that report, Administration is seeking council approval and direction in advance to appropriate guidelines as it relates to the Capital Budget component of the overall municipal budget. The City’s goal is to continue in the best way possible with its robust program of Capital Investments as approved in the recent