There are also situations where legislative or regulatory requirements create a need to move a project forward. Changes which will be required in order to reopen various City facilities to the community as the Province reopens is likely to fall into this category in addition to other types of legislative and regulatory requirements the City needs to adhere to for many of the assets in the City.

6. Project funding being committed has limited flexibility in type of project use;

In some situations, a project’s funding source may be such that those dollars are not able to be redirected to other projects and or leveraged as options to mitigate other costs. Funding sources such as development charges, grants and sewer surcharge are a few examples of funding sources with limited flexibility for alternative uses.

Capital project holds / cancellations and or deferrals

As a result of the current pandemic, Provincial orders resulted in several services and projects being put on temporary hold. This coupled with the City’s need to provide new services in light of the pandemic has brought forth an opportunity to consider which capital projects by their nature are required to proceed or perhaps may be placed on a temporary hold for the balance of 2020.

In response to this, Administration is currently reviewing the list of 530 active capital projects. This review is to consider which projects, in light of delays or resourcing being refocused to other more immediate needs for the pandemic, are not likely to proceed in 2020 and therefore may be able to be put on a temporary “hold” until the end of the year to assist with cash flows or potentially be utilized to offset the impact of any remaining unmitigated deficit that may arise at year end. Any such projects would then be resubmitted for future funding in the upcoming 2021 ten-year capital budget. These projects could also be considered further should there be a need to accommodate new capital projects which require funding to upgrade various assets to meet new pandemic requirements. In these cases, budgeted funds from these projects could be redirected and potentially leverage senior level stimulus funding programs that may arise.

Capital project holds / cancellations and or deferrals proposed guidelines

1. Project must not be linked to any grant funding

Any projects tied to grant funding will very likely also have project milestones and completion dates. While there has been some movement on grant project deadline dates during the pandemic, the City is obligated to ensure grant requirements continue to be met. To cancel or defer these projects would put grant funding at risk and potentially result in the City being required to fund the full project or cancelling it.

2. Project must not be linked to generating revenue or reducing operational costs for the City

There are several projects which once completed are expected to generate revenue for the City or reduce operational costs. Past examples of these types of projects are