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Budget Audit Advisory Board 2017
Budget Audit Advisory Board Meeting #1/17 was held at TRCA Head Office, on Friday, March 24, 2017. The Chair Maria Augimeri, called the meeting to order at 8:33 a.m. PRESENT Maria Augimeri Chair Jack Ballinger Member Ronald Chopowick Member Gino Rosati Member ABSENT Jim Tovey Member RES.#C1/17 - MINUTES Moved by: Ronald Chopowick Seconded by: Gino Rosati THAT the Minutes of Meeting #3/16, held on October 14, 2016, be approved. CARRIED ______________________________ PRESENTATIONS 5.1 A presentation by Michael Tolensky, Deputy Chief Financial Officer, TRCA, in regard to item 7.1 - 2017 Budget, Operating and Capital. RES.#C2/17 - PRESENTATIONS Moved by: Gino Rosati Seconded by: Jack Ballinger THAT above-noted presentation 5.1 be received. CARRIED ______________________________ 1 Section I – Items for Authority Action RES.#C3/16 - 2017 BUDGET, OPERATING AND CAPITAL Approval of the 2017 operating and capital budget. Moved by: Gino Rosati Seconded by: Jack Ballinger THE BOARD RECOMMENDS TO THE AUTHORITY THAT WHEREAS the Conservation Authorities Act (CA Act) provides that a conservation authority, in establishing its annual levy, shall have the power to determine the proportion of the total benefit afforded to all the participating municipalities that is afforded to each of them; THEREFORE LET IT BE RESOLVED THAT, subject to such regulations under the Conservation Authorities Act as may be approved by the Lieutenant-Governor-in-Council: (i) all participating municipalities be designated as benefitting for programs included in the 2017 Operating Budget; (ii) Toronto and Region Conservation Authority's (TRCA) share of the cost of the programs included in the 2017 Operating Budget shall be raised from the participating municipalities as part of the general levy; (iii) the 2017 general levy be apportioned to the participating municipalities in the proportion that the modified current value assessment (CVA) of the whole is under the jurisdiction of TRCA, unless otherwise provided in the levy or a project; (iv) appropriate TRCA officials be directed to advise the participating municipalities, pursuant to the Conservation Authorities Act and the regulations made thereunder, and to levy the said municipalities the amount of the general levy set forth in the 2017 Operating Budget, and to levy the said municipalities the amount of the project and special levy set forth in the 2017 Capital Budget and in the approved projects of TRCA; THAT the 2017 Budget, Operating and Capital, and all projects therein, be adopted; THAT TRCA staff be authorized to amend the 2017 Budget, Operating and Capital to reflect actual 2017 provincial transfer payment allocations in order to set the amount of matching levy required by the CA Act; THAT the cost of property taxes imposed by municipalities be included as additional levy to the participating municipalities where the lands are located, excluding the cost of property taxes which are passed on to a third party under a lease or similar agreement; THAT, except where statutory or regulatory requirements provide otherwise, TRCA staff be authorized to enter into agreements with private sector organizations, non-governmental organizations or governments and their agencies for the undertaking of projects which are of benefit to TRCA and funded by the sponsoring organization or agency, including projects that have not been provided for in the approved budget; 2 THAT, as required by Ontario Regulations 139/96 and 231/97, this recommendation and the accompanying budget documents, including the schedule of matching and non-matching levies, be approved by recorded vote; THAT the presentation of 2016 budget comparisons and related actuals be amended to conform to the presentation adopted in the 2017 budget document; AND FURTHER THAT authorized TRCA officials be directed to take such action as may be necessary to implement the foregoing, including obtaining approvals and the signing and execution of documents. CARRIED RATIONALE Enclosed is the recommended 2017 Budget, Operating and Capital. The budget will be presented to the Authority for approval at its meeting scheduled to be held on March 24, 2017. Municipal Approvals Estimates are prepared in the summer and fall of each year for submission to TRCA's municipal funding partners. Staff meets with municipal staff as required by the budget processes and schedules as set out by each participating municipality. Presentations are made to municipal finance staff and the committees and councils of the funding partners as required. In the case of Peel Region, TRCA works closely with staff at Credit Valley and Halton conservation authorities to align budget information and requirements. A similar process occurs with York Region where TRCA works closely with the Lake Simcoe Region Conservation Authority. In Durham Region, TRCA staff works with five conservation authorities to align budgets and financial submissions to meet the Region of Durham requirements. TRCA's submissions to the City of Toronto for capital and operating levy are reviewed with Finance and Toronto Water staff. The funding identified in the recommended apportionment of the levy reflects the amounts that the municipal funding partners have approved in their 2017 budgets. Contributions from the City of Toronto and the regional municipalities of Durham, Peel and York have received council approval. The Township of Adjala-Tosorontio and the Town of Mono have been advised of TRCA's levy request. Notice of Meeting As required by regulation, TRCA has provided 30 days written notice to its member municipalities of the date of the meeting at which the Authority will consider the municipal levy. At the March 24, 2017 Authority meeting a recorded vote on the budget recommendations, including adoption of the non-matching municipal levy, is required. The weighted voting procedure prescribed by regulation will be used, if necessary. MNRF Transfer Payments The 2017 provincial transfer payments to conservation authorities, which must be matched with levy, have not been announced. The 2017 operating budget includes a provision for Ministry of Natural Resources and Forestry (MNRF) transfer payments at an amount equal to the funding received in 2016 or $774,000. 3 2017 Budget Presentation In order to meet the provisions of the Conservation Authorities Act and the regulations made thereunder, it continues to be necessary to distinguish between general levy (operating) and benefitting levy (capital and special projects.) However, due to the unique budgetary requirements of each of the four major participating municipalities, uniformity in the categorization of expenditure between operating and capital is difficult to maintain. For this reason the 2017 budget presentation format continues to focus on the nine service areas of the TRCA business plan, regardless of the underlying nature of the funding. The budget includes the following components: an expenditure summary which is aligned with the financial statement presentation (i.e., includes amortization, but excludes planned expenditures on tangible capital assets); a summary of expenditures by object classification, also consistent with the financial statement presentation; an accompanying document entitled, “Business Synopsis and Rationale” which describes the 32 programs of TRCA in greater detail (Attachment 2). Further, during the compilation of the 2017 budget, staff became aware of certain adjustments in presentation required to better reflect the work contained in each service areas. Consequently, the 2016 budget and actuals presentation has been modified to conform to the presentation adopted for 2017. Operating Budget Expenditure Overview Salary/Wage Guideline In October 2016 the Authority adopted a staff recommendation for a wage increase of 1.25%, effective April 2, 2017. TRCA salary and wage adjustments over the last five years have averaged 1.85% per year, on a simple average basis, as follows: 2017 - 1.25% 2016 – 2.00% 2015 – 2.00% 2014 – 2.00% 2013 – 2.00% Staffing Levels and Costs The full time equivalents (FTE) included in the operating budget are projected to be 441.0 for 2017 as compared to 426.6 for 2016. Including the FTE count within the capital program, the 2016 total FTE count is estimated at 771.2 (716.8 for 2016). A summary of FTEs by service area is found on page 5, in section I of the budget document. Wage and benefit costs within the operating budget amount to $35.9 million or 75% of the gross expenditures, representing an increase of about $1.8 million or 5.3% over 2016 budget. This amount includes the 1.25% cost of living adjustment noted above as well as above average increases in the cost of the TRCA employee benefit program. Also provided for are the cost of the new FTEs as noted above and the annualization of positions hired in 2016. Gross Operating Expenditures/Revenues The 2017 gross operating expenditure budget is $47.9 million, an increase of $1.9 million or 4.0% over the 2016 budget. The increase in expenditures will be financed by additional general levy of $0.4 million and additional self-generated revenues of $1.5 million. 4 Operating Budget – General Levy Non-CVA General Levy Each of TRCA's participating municipalities has its own unique budget requirements and annual budgetary pressures. TRCA has met each of the individual participating municipality’s requirements. TRCA’s funding "formula" has been designed to achieve the flexibility required in meeting individual municipal partner funding guidelines. To this end, the 2017 operating levy includes a provision, totaling $497,300 (2015 - $415,600) referred to as "Non-CVA Levy". Under the provisions of the Act, TRCA makes a general levy against all of its participating municipalities to fund its general operating requirements. With regard to the portion of the levy that is for "administration costs" as defined in the Act, TRCA must use CVA as the basis of apportionment. With respect to the balance of the general levy which is raised for "maintenance costs" a conservation authority may apportion benefit using another allocation method that is approved in adopting the budget. In essence, the non-CVA levy adjusts the amount of the general levy that relates to maintenance costs that would otherwise be apportioned using CVA as the basis and allows TRCA to meet the unique funding guidelines of each participating municipality. The non-CVA levy apportionment has been allocated to the municipalities as follows: Municipality 2017 2016 Durham $40,500 $61,800 eel $210,800 $183,300 Toronto - - York 246,000 $170,500 Mono - - Adjala-Tosorontio - - Total $497,300 $415,600 Property Taxes on Conservation Lands TRCA is required to pay property taxes on its lands, with some exceptions. One exception is where TRCA has received an exemption or partial exemption under the Conservation Land Tax Incentive Program (CLTIP). Another exception occurs in the City of Toronto, where park and conservation lands are exempt from property taxation because the City exercises its rights under the City of Toronto Act to exempt park land from taxation. In the regions of Peel, York and Durham, the Town of Mono and the Township of Adjala-Tosorontio, property taxes are paid on conservation lands not included under CLTIP. In fairness to the City of Toronto which grants a tax exemption, TRCA has long had a practice of allocating the cost of property taxes to the participating municipality where the property is situated. This is reflected as an adjustment to the apportionment of the general levy, in the amounts noted in the chart below. An exception to this practice is provided for property taxes paid on rental properties, where the cost of taxes is recovered from rent. In 2017, there is included a grant from the Region of York and the City of Vaughan in the aggregate amount of $234,000 to cover the estimated taxes for the interim head office at 101 Exchange Way in Vaughan, in lieu of a tax adjustment to the general levy. 5 Municipality 2017 2016 Durham $117,000 $61,800 Peel $102,000 $183,300 Toronto 500 - York 159,500 $170,500 Mono 1,000 - Adjala-Tosorontio - - Total $380,000 $415,600 Interest Levy Adjustment New for 2017 is an adjustment to the Toronto general levy to account for the deferral of Toronto’s contribution for the administrative Head Office project. Each of the other participating municipalities will contribute to the Project starting in 2017, whereas The City of Toronto will not make contributions until 2023. In order to maintain equity for the participating municipalities Toronto has agreed to make an additional general levy contribution over and above the approved TRCA request, equivalent to the foregone interest based on TRCA’s yield on investments. However, once borrowing for the Project commences the adjustment will be based on the actual rate of borrowing. Commencing in 2023, Toronto will increase the size of its payments to take into account the shorter period over which its total contribution will be amortized, at which time the interest adjustment will start to come down. General Levy After giving consideration to all of the factors that affect the general levy, including tax and interest adjustments, year over year shifts in CVA and individual municipal targets, TRCA has achieved total general levy funding in the amount of $13,928,400, representing an average increase over 2016 of 2.8%. The general levy has been allocated to the participating municipalities as follows: Municipality 2017 General Levy 2016 General Levy Change over 2016 Durham $526,025 $548,804 -4.2% Peel $1,798,000 $1,741,000 3.3% Toronto $8,404,400 $8,187,400 2.7% York $3,197,000 $3,072,000 4.1% Mono $2,105 $1,933 8.9% Adjala-Tosorontio $870 $863 0.8% Total $13,928,400 $13,552,000 2.8% Capital Budget Summary The 2017 capital budget is set at $74.4 million, approximately $9.5 million higher than the 2016 budget (the 2016 year to date actual capital expenditures amounted to $57.1 million). Municipal levy funding will finance $46.1 million of the capital program, of which $36.8 million will be raised in 2017 and the balance ($9.7 million) is on hand, as it was raised in previous years. The 2017 FTE estimate within the capital program is 330.2, as compared to 290.1 in 2016. Refer to Page 5 of Attachment 1 for an FTE summary by service area. A summary of the 2017 capital program appears at page 21 of Attachment 1. Capital projects are usually funded by the municipal partners on a benefitting municipality basis. That is, with few exceptions, capital projects funded by a municipality are undertaken within that municipality. These include: 6 erosion control projects (Peel, Toronto and York); The Living City Action Plan program (Toronto); waterfront development (Toronto, Durham and Peel); natural heritage regeneration projects (Peel and York); Black Creek Pioneer Village restoration program (Toronto); flood control works; Peel Region Climate Change project; conservation land care (Peel and York and Durham). A few capital programs are generally benefitting. These include: information technology (IT) - levy based on CVA, used to fund common capital IT needs across the organization; head office administration building and major facilities retrofit - levy based on CVA, used for major administrative capital expenditures. There are a number of projects which are funded on a watershed basis, including: regional monitoring; watershed studies and report cards; flood mapping. Certain capital programs are uniquely funded: land acquisition - major acquisitions leverage funding available from participating municipalities, local municipalities, land sale and easement proceeds, and other sources; the source water protection program is funded entirely by the Province of Ontario; Toronto Waterfront Revitalization Corporation (TWRC) projects - funded directly by TWRC through delivery agreements, including Don Mouth Naturalization and Port Lands Flood Protection Project; groundwater strategies and management - costs shared equally by regions of Peel, York, Durham and the City of Toronto. Municipal Project Agreements: TRCA works with its municipal partners, including many lower tier municipalities, to undertake special projects wherein TRCA has significant, specialized expertise. These special projects include erosion work, construction of trails, bridges and wetlands, and tree planting. This funding varies from year to year and is completely separate from the municipal operating and capital levy funding. Summary The 2017 audited financial statements will be available at the June meeting of the Budget/Audit Advisory Board (BAAB). The comparable 2016 actual results are not final as there may still be a need to process a few minor adjustments as staff prepares for the audit. The disposition of the in-year surplus, as noted in the 2016 Year End Financial Progress Report which is presented as another report on this BAAB agenda, will be considered with the approval of the audited financial statements. 7 DETAILS OF WORK TO BE DONE At the Budget/Audit Advisory Board meeting, staff will make a presentation on key aspects of the 2017 operating and capital budgets. Report prepared by: Rocco Sgambelluri, extension 5232 Emails: rsgambelluri@trca.on.ca For Information contact: Rocco Sgambelluri, extension 5232 Emails: rsgambelluri@trca.on.ca Date: March 9, 2017 Attachments: 2 8 2017 BUDGET OPERATING AND CAPITAL Attachment 1 9 Table of Contents Section I – Operating and Capital Budget Summary by Service Area 1 Summary by Object Classification 4 Full-Time Equivalents by Service Area 5 Service Area Details Watershed Studies and Strategies 6 Water Risk Management 7 Regional Biodiversity 8 Greenspace Securement and Management 9 Tourism and Recreation 10 Planning and Development Review 12 Education and Outreach 13 Sustainable Communities 14 Corporate Services 15 Section II – Operating Budget Operating Summary 17 Apportionment of 2017 General Levy 20 2017 Basis of Levy Apportionment 21 Section III – Capital Budget Capital Summary 22 2017 Capital Levy by Service Area 25 26 29 Section IV - Summary by Service Area excluding TCA Summary by Object excluding TCA 10 Toronto and Region Conservation Authority 2017 Operating and Capital Budget Revised $ Change % Change 2017 2016 2016 over 2016 over 2016 Budget Budget Year to date Budget Budget Revenue Municipal Operating levies 13,928,000 13,552,000 13,552,196 376,000 2.8% Capital levies 46,477,000 43,004,000 34,154,735 3,473,000 8.1% Contract services 12,717,000 5,674,000 10,351,644 7,043,000 124.1% Grants 4,036,000 8,843,000 2,444,815 (4,807,000) -54.4% Government Provincial 3,012,000 3,263,000 4,284,228 (251,000) -7.7% Federal 1,296,000 1,861,000 1,745,268 (565,000) -30.4% Contract services 3,966,000 1,044,000 3,540,566 2,922,000 279.9% User fees, sales and admissions 21,681,000 20,004,000 21,829,457 1,677,000 8.4% Contract services Compensation agreements 194,000 255,000 614,930 (61,000) -23.9% Corporate and other 2,490,000 3,389,000 3,340,694 (899,000) -26.5% Rent and property interests 3,397,000 2,993,000 3,764,198 404,000 13.5% Fundraising Donations 804,000 1,192,000 176,767 (388,000) -32.6% The Living City Foundation 1,443,000 1,514,000 1,433,113 (71,000) -4.7% Investment income 625,000 600,000 712,544 25,000 4.2% Net gain/loss on sale of tangible capital assets - - - - 0.0% Sundry 103,000 143,000 521,987 (40,000) Total Revenue 116,169,000 107,331,000 102,467,142 8,838,000 8.2% 1 11 Toronto and Region Conservation Authority 2017 Operating and Capital Budget Revised $ Change % Change 2017 2016 2016 over 2016 over 2016 Budget Budget Year to date Budget Budget Expenditures Watershed Studies and Strategies Watershed Planning and Reporting 3,454,000 3,728,000 3,130,741 (274,000) -7.3% Climate Science 689,000 590,000 354,301 99,000 16.8% 4,143,000 4,318,000 3,485,042 (175,000) -4.1% Water Risk Management Water Resource Science 2,407,000 2,742,000 4,628,227 (335,000) -12.2% Erosion Management 22,253,000 13,823,000 13,175,299 8,430,000 61.0% Flood Management 4,891,000 3,700,000 3,876,354 1,191,000 32.2% 29,551,000 20,265,000 21,679,880 9,286,000 45.8% Regional Biodiversity Biodiversity Monitoring 2,523,000 2,510,000 2,064,040 13,000 0.5% Ecosystem Management Research and Directions 990,000 998,000 1,016,839 (8,000) -0.8% Forest Management 1,592,000 1,191,000 895,011 401,000 33.7% Restoration and Regeneration 8,226,000 6,887,000 8,741,424 1,339,000 19.4% 13,331,000 11,586,000 12,717,314 1,745,000 15.1% Greenspace Securement and Management Greenspace Securement 1,517,000 6,185,000 860,560 (4,668,000) -75.5% Greenspace Management 2,876,000 2,727,000 2,579,542 149,000 5.5% Rental Properties 2,181,000 2,075,000 2,434,385 106,000 5.1% 6,574,000 10,987,000 5,874,487 (4,413,000) -40.2% Tourism and Recreation Waterfront Parks 2,708,000 2,832,000 2,489,889 (124,000) -4.4% Conservation Parks 6,204,000 6,435,000 7,228,034 (231,000) -3.6% Trails 2,929,000 1,880,000 1,928,799 1,049,000 55.8% Bathurst Glen Golf Course 1,254,000 1,239,000 1,280,502 15,000 1.2% Black Creek Pioneer Village 6,207,000 4,115,000 4,933,259 2,092,000 50.8% Events and Festivals 707,000 724,000 818,383 (17,000) -2.3% Wedding and Corporate Events 1,955,000 1,754,000 1,807,954 201,000 11.5% 21,964,000 18,979,000 20,486,820 2,985,000 15.7% Planning and Development Review Development Planning and Regulation Permitting 5,029,000 4,377,000 4,631,290 652,000 14.9% Environmental Assessment Planning and Permitting 3,498,000 3,262,000 2,651,990 236,000 7.2% Policy Development and Review 836,000 817,000 900,652 19,000 2.3% 9,363,000 8,456,000 8,183,932 907,000 10.7% Education and Outreach School Programs 7,738,000 10,636,000 9,005,484 (2,898,000) -27.2% Newcomer Services 957,000 1,286,000 1,060,871 (329,000) -25.6% Family and Community Programs 1,089,000 1,162,000 861,268 (73,000) -6.3% 9,784,000 13,084,000 10,927,623 (3,300,000) -25.2% Sustainable Communities Living City Transition Program 8,708,000 6,740,000 5,696,227 1,968,000 29.2% Community Engagement 2,845,000 3,156,000 2,564,926 (311,000) -9.9% 11,553,000 9,896,000 8,261,153 1,657,000 16.7% 2 12 Revised $ Change % Change 2017 2016 2016 over 2016 over 2016 Budget Budget Year to date Budget Budget Corporate Services Financial Management 2,566,000 2,291,000 2,323,118 275,000 12.0% Corporate Management and Governance 7,719,000 5,701,000 5,209,683 2,018,000 35.4% Human Resources 1,030,000 1,040,000 869,920 (10,000) -1.0% Corporate Communications 1,619,000 1,553,000 1,578,999 66,000 4.2% Information Infrastructure and Management 2,702,000 2,679,000 2,552,578 23,000 0.9% Vehicles and Equipment 375,000 - 63,033 375,000 0.0% 16,011,000 13,264,000 12,597,331 2,747,000 20.7% Total Expenditures 122,274,000 110,835,000 104,213,582 11,439,000 10.3% Project Recoveries (3,099,000) (3,029,000) (2,864,595) (70,000) 2.3% Net Expenditures 119,175,000 107,806,000 101,348,987 11,369,000 10.5% Net Surplus (Deficit)(3,006,000) (475,000) 1,118,154 (2,531,000) 532.8% Reserves 3,006,000 976,000 528,822 2,030,000 208.0% Net Budget - 501,000 1,646,976 (501,000) -100.0% 3 13 Toronto and Region Conservation Authority 2017 Operating and Capital Budget - by object classification Revised $ Change % Change 2017 2016 2016 over 2016 over 2016 Budget Budget Year to date Budget Budget Revenue Municipal Operating levies 13,928,000 13,552,000 13,552,196 376,000 2.8% Capital levies 46,477,000 43,004,000 34,154,735 3,473,000 8.1% Contract services 12,717,000 5,674,000 10,351,644 7,043,000 124.1% Grants 4,036,000 8,843,000 2,444,815 (4,807,000) -54.4% Government Provincial 3,012,000 3,263,000 4,284,228 (251,000) -7.7% Federal 1,296,000 1,861,000 1,745,268 (565,000) -30.4% Contract services 3,966,000 1,044,000 3,540,566 2,922,000 279.9% User fees, sales and admissions 21,681,000 20,004,000 21,829,457 1,677,000 8.4% Contract services Compensation agreements 194,000 255,000 614,930 (61,000) -23.9% Corporate and other 2,490,000 3,389,000 3,340,694 (899,000) -26.5% Rent and property interests 3,397,000 2,993,000 3,764,198 404,000 13.5% Fundraising Donations 804,000 1,192,000 176,767 (388,000) -32.6% The Living City Foundation 1,443,000 1,514,000 1,433,113 (71,000) -4.7% Investment income 625,000 600,000 712,544 25,000 4.2% Net gain/loss on sale of tangible capital assets - - - - 0.0% Sundry 103,000 143,000 521,987 (40,000) Total Revenue 116,169,000 107,331,000 102,467,142 8,838,000 8.2% Expenditures Wages and benefits 63,982,000 58,705,000 59,847,711 5,277,000 9.0% Contracted services 42,306,000 33,055,000 28,823,948 9,251,000 28.0% Materials and supplies 10,479,000 13,706,000 10,499,355 (3,227,000) -23.5% Utilities 1,164,000 1,112,000 1,215,066 52,000 4.7% Property taxes 1,244,000 1,229,000 1,119,670 15,000 1.2% 119,175,000 107,807,000 101,505,750 11,368,000 10.5% Internal Recoveries (14,071,000) (16,349,000) (25,701,860) 2,278,000 -13.9% Internal Charges 14,071,000 16,348,000 25,545,098 (2,277,000) -13.9% Total Expenditures 119,175,000 107,806,000 101,348,988 11,369,000 10.5% Net Surplus (Deficit)(3,006,000) (475,000) 1,118,154 (2,531,000) 532.8% Reserves 3,006,000 976,000 528,822 2,030,000 208.0% Net Budget - 501,000 1,646,976 (501,000) -100.0% 4 14 Toronto and Region Conservation Authority 2017 Operating and Capital Budget Full-time Equivalent Employees (FTEs) Operating Capital Total Watershed Studies and Strategies 13.05 11.46 24.51 Water Risk Management 6.55 88.75 95.30 Regional Biodiversity 14.14 100.21 114.35 Greenspace Securement and Management 16.6 10.50 27.10 Tourism and Recreation 152.34 28.45 180.79 Planning and Development Review 76.15 3.35 79.50 Education and Outreach 68.65 18.85 87.50 Sustainable Communities 2.23 61.73 63.96 Corporate Services 91.27 6.91 98.18 440.98 330.21 771.19 Operating Capital Total Watershed Studies and Strategies 3.70 6.98 10.68 Water Risk Management 4.71 77.12 81.83 Regional Biodiversity 15.95 92.76 108.71 Greenspace Securement and Management 20.30 6.19 26.49 Tourism and Recreation 153.36 26.98 180.34 Planning and Development Review 68.70 3.50 72.20 Education and Outreach 63.28 16.05 79.33 Sustainable Communities 10.94 58.18 69.12 Corporate Services 85.69 2.40 88.09 426.63 290.16 716.79 2017 2016 5 15 Toronto and Region Conservation Authority 2017 Operating and Capital Budget - Watershed Studies and Strategies Revised $ Change % Change 2017 2016 2016 over 2016 over 2016 Budget Budget Year to date Budget Budget Revenue Municipal Operating levies 1,374,000 1,381,000 1,380,999 (7,000) -0.5% Capital levies 1,760,000 1,893,000 1,442,704 (133,000) -7.0% Contract services 127,000 100,000 172,314 27,000 27.0% Grants - - - - 0.0% Government Provincial 460,000 498,000 409,360 (38,000) -7.6% Federal 259,000 260,000 292,875 (1,000) -0.4% Contract services - - - - 0.0% User fees, sales and admissions - - 2,327 - 0.0% Contract services Compensation agreements - - - - 0.0% Corporate and other - 76,000 (16,577) (76,000) -100.0% Rent and property interests - - - - 0.0% Fundraising Donations - - - - 0.0% The Living City Foundation 143,000 110,000 - 33,000 30.0% Investment income - - - - 0.0% Net gain/loss on sale of tangible capital assets - - - - 0.0% Sundry - - - - Total Revenue 4,123,000 4,318,000 3,684,002 (195,000) -4.5% Expenditures Watershed Planning and Reporting Watershed Plans and Strategies 3,093,000 3,315,000 2,932,264 (222,000) -6.7% Report Cards 361,000 413,000 198,477 (52,000) -12.6% 3,454,000 3,728,000 3,130,741 (274,000) -7.3% Climate Science Emerging and Integrative Climate Science 689,000 590,000 354,301 99,000 16.8% 689,000 590,000 354,301 99,000 16.8% Total Expenditures 4,143,000 4,318,000 3,485,042 (175,000) -4.1% Net Surplus (Deficit)(20,000) - 198,960 (20,000) 0.0% Reserves 20,000 - - 20,000 0.0% Net Budget - - 198,960 - 0.0% 6 16 Toronto and Region Conservation Authority 2017 Operating and Capital Budget - Water Risk Management Revised $ Change % Change 2017 2016 2016 over 2016 over 2016 Budget Budget Year to date Budget Budget Revenue Municipal Operating levies 699,000 380,000 380,000 319,000 83.9% Capital levies 19,104,000 16,092,000 13,069,665 3,012,000 18.7% Contract services 8,038,000 2,599,000 4,936,393 5,439,000 209.3% Grants 31,000 31,000 1,878 - 0.0% Government Provincial 897,000 992,000 2,194,531 (95,000) -9.6% Federal 73,000 - 31,148 73,000 0.0% Contract services 950,000 309,000 226,331 641,000 207.4% User fees, sales and admissions 37,000 26,000 53,038 11,000 42.3% Contract services Compensation agreements - - 2,107 - 0.0% Corporate and other 20,000 296,000 292,933 (276,000) -93.2% Rent and property interests - - - - 0.0% Fundraising Donations - - - - 0.0% The Living City Foundation - - - - 0.0% Investment income - - 6,420 - 0.0% Net gain/loss on sale of tangible capital assets - - - - 0.0% Sundry - - - - Total Revenue 29,849,000 20,725,000 21,194,444 9,124,000 44.0% Expenditures Water Resource Science Groundwater Strategies 700,000 700,000 813,673 - 0.0% Source Water Protection Strategy 563,000 656,000 523,326 (93,000) -14.2% Regional Monitoring - Water 292,000 347,000 597,581 (55,000) -15.9% Hydrology 87,000 256,000 170,997 (169,000) -66.0% Stormwater Management Strategies 458,000 533,000 2,273,100 (75,000) -14.1% Flood Plain Mapping 307,000 250,000 249,550 57,000 22.8% 2,407,000 2,742,000 4,628,227 (335,000) -12.2% Erosion Management Capital Works 20,715,000 12,477,000 11,815,666 8,238,000 66.0% Hazard Monitoring 1,538,000 1,346,000 1,359,633 192,000 14.3% 22,253,000 13,823,000 13,175,299 8,430,000 61.0% Flood Management Flood Forecasting and Warning 646,000 328,000 361,738 318,000 97.0% Flood Risk Management 2,457,000 2,326,000 2,220,316 131,000 5.6% Flood Infrastructure and Operations 1,788,000 1,046,000 1,294,301 742,000 70.9% 4,891,000 3,700,000 3,876,355 1,191,000 32.2% Total Expenditures 29,551,000 20,265,000 21,679,881 9,286,000 45.8% Net Surplus (Deficit)298,000 460,000 (485,436) (162,000) -35.2% Reserves 122,000 - - 122,000 0.0% Net Budget 420,000 460,000 (485,436) (40,000) -8.7% 7 17 Toronto and Region Conservation Authority 2017 Operating and Capital Budget - Regional Biodiversity Revised $ Change % Change 2017 2016 2016 over 2016 over 2016 Budget Budget Year to date Budget Budget Revenue Municipal Operating levies 132,000 273,000 273,000 (141,000) -51.6% Capital levies 7,960,000 6,753,000 5,824,340 1,207,000 17.9% Contract services 2,164,000 1,394,000 1,844,643 770,000 55.2% Grants 171,000 163,000 107,675 8,000 4.9% Government Provincial 37,000 - 1,250 37,000 0.0% Federal 356,000 885,000 773,697 (529,000) -59.8% Contract services 523,000 533,000 1,237,850 (10,000) -1.9% User fees, sales and admissions 55,000 80,000 41,575 (25,000) -31.3% Contract services Compensation agreements 150,000 221,000 312,218 (71,000) -32.1% Corporate and other 1,005,000 948,000 1,515,167 57,000 6.0% Rent and property interests - - (1,630) - 0.0% Fundraising Donations - 17,000 5,835 (17,000) -100.0% The Living City Foundation 340,000 59,000 224,512 281,000 476.3% Investment income - - 5,573 - 0.0% Net gain/loss on sale of tangible capital assets - - - - 0.0% Sundry - - - - Total Revenue 12,893,000 11,326,000 12,165,705 1,567,000 13.8% Expenditures Biodiversity Monitoring Regional Monitoring - Biodiversity 1,270,000 1,241,000 836,039 29,000 2.3% Activity Based Monitoring 925,000 940,000 840,004 (15,000) -1.6% Terrestrial Inventory and Assessment 328,000 330,000 334,980 (2,000) -0.6% Waterfront Monitoring - - 53,016 - 0.0% 2,523,000 2,511,000 2,064,039 12,000 0.5% Ecosystem Management Research and Directions Aquatic System Priority Planning 359,000 232,000 251,642 127,000 54.7% Terrestrial (and Integrated) Ecosystem Management 608,000 675,000 686,789 (67,000) -9.9% Natural Channel Design 23,000 91,000 78,409 (68,000) -74.7% 990,000 998,000 1,016,840 (8,000) -0.8% Forest Management Managed Forest Tax Incentive Planning - - 19 - 0.0% Hazard Tree Management 226,000 116,000 176,277 110,000 94.8% Invasive Species Management 652,000 503,000 399,591 149,000 29.6% Forest Management Planning 56,000 36,000 38,337 20,000 55.6% Forest Management Operations 658,000 536,000 280,786 122,000 22.8% 1,592,000 1,191,000 895,010 401,000 33.7% Restoration and Regeneration Propagation and Sale of Plants 65,000 (8,000) 284,831 73,000 -912.5% Inland and Lakefill Soil Management 225,000 255,000 299,304 (30,000) -11.8% Shoreline Restoration 479,000 457,000 635,688 22,000 4.8% Wetlands 1,377,000 1,208,000 1,598,419 169,000 14.0% Riparian and Flood Plain Restoration 502,000 325,000 524,173 177,000 54.5% Natural Channel and Stream Restoration 2,035,000 1,604,000 1,623,560 431,000 26.9% Terrestrial Planting 1,996,000 1,287,000 905,115 709,000 55.1% Wildlife Habitat Management 181,000 125,000 667,918 56,000 44.8% Compensation Restoration 50,000 - 203,862 50,000 0.0% Watershed Restoration 1,316,000 1,634,000 1,998,553 (318,000) -19.5% 8,226,000 6,887,000 8,741,423 1,339,000 19.4% Total Expenditures 13,331,000 11,587,000 12,717,312 1,744,000 15.1% Net Surplus (Deficit)(438,000) (260,000) (551,609) (178,000) 68.5% Reserves 33,000 10,000 325,397 23,000 230.0% Net Budget (405,000) (250,000) (226,212) (155,000) 62.0% 8 18 Toronto and Region Conservation Authority 2017 Operating and Capital Budget - Greenspace Securement and Management Revised $ Change % Change 2017 2016 2016 over 2016 over 2016 Budget Budget Year to date Budget Budget Revenue Municipal Operating levies - 96,000 96,000 (96,000) -100.0% Capital levies 2,977,000 2,387,000 1,865,556 590,000 24.7% Contract services 148,000 245,000 192,674 (97,000) -39.6% Grants 1,147,000 4,848,000 5,572 (3,701,000) -76.3% Government Provincial - - 3,057 - 0.0% Federal - 50,000 47,673 (50,000) -100.0% Contract services - - 67,898 - 0.0% User fees, sales and admissions 10,000 10,000 38,518 - 0.0% Contract services Compensation agreements - - 299,906 - 0.0% Corporate and other 387,000 439,000 185,889 (52,000) -11.8% Rent and property interests 3,244,000 2,869,000 3,370,518 375,000 13.1% Fundraising Donations 250,000 620,000 100 (370,000) -59.7% The Living City Foundation - - 4,114 - 0.0% Investment income - - 21,233 - 0.0% Net gain/loss on sale of tangible capital assets - - - - 0.0% Sundry 5,000 10,000 116,986 (5,000) Total Revenue 8,168,000 11,574,000 6,315,694 (3,406,000) -29.4% Expenditures Greenspace Securement Greenspace Land Acqusition 1,517,000 6,185,000 860,560 (4,668,000) -75.5% 1,517,000 6,185,000 860,560 (4,668,000) -75.5% Greenspace Management Archaeology 373,000 430,000 464,809 (57,000) -13.3% Property Taxes and Insurance 398,000 603,000 537,720 (205,000) -34.0% Resource Management Planning 677,000 533,000 446,730 144,000 27.0% Inventory and Audit 216,000 262,000 349,293 (46,000) -17.6% Implementation 912,000 599,000 375,683 313,000 52.3% Hazard Management 300,000 300,000 405,306 - 0.0% 2,876,000 2,727,000 2,579,541 149,000 5.5% Rental Properties Rentals 2,181,000 2,075,000 2,434,385 106,000 5.1% 2,181,000 2,075,000 2,434,385 106,000 5.1% Total Expenditures 6,574,000 10,987,000 5,874,486 (4,413,000) -40.2% Net Surplus (Deficit)1,594,000 587,000 441,207 1,007,000 171.6% Reserves 50,000 388,000 - (338,000) -87.1% Net Budget 1,644,000 975,000 441,207 669,000 68.6% 9 19 Toronto and Region Conservation Authority 2017 Operating and Capital Budget - Tourism and Recreation Revised $ Change % Change 2017 2016 2016 over 2016 over 2016 Budget Budget Year to date Budget Budget Revenue Municipal Operating levies 2,111,000 2,378,000 2,377,900 (267,000) -11.2% Capital levies 2,525,000 2,897,000 1,569,978 (372,000) -12.8% Contract services 825,000 798,000 2,146,078 27,000 3.4% Grants 2,287,000 1,542,000 1,389,287 745,000 48.3% Government Provincial 369,000 369,000 234,684 - 0.0% Federal 30,000 - 245,384 30,000 0.0% Contract services 58,000 58,000 1,110,677 - 0.0% User fees, sales and admissions 10,332,000 9,616,000 10,538,254 716,000 7.4% Contract services Compensation agreements 10,000 - - 10,000 0.0% Corporate and other 101,000 461,000 175,326 (360,000) -78.1% Rent and property interests 120,000 96,000 364,706 24,000 25.0% Fundraising Donations 5,000 5,000 31,186 - 0.0% The Living City Foundation 3,000 - 264,257 3,000 0.0% Investment income - - - - 0.0% Net gain/loss on sale of tangible capital assets - - - - 0.0% Sundry 2,000 61,000 4,314 (59,000) Total Revenue 18,778,000 18,281,000 20,452,031 497,000 2.7% Expenditures Waterfront Parks General Maintenance 252,000 240,000 251,796 12,000 5.0% Park Planning 1,388,000 1,616,000 1,709,898 (228,000) -14.1% Arsenal Lands 1,068,000 976,000 506,150 92,000 9.4% Park Development - - 22,045 - 0.0% 2,708,000 2,832,000 2,489,889 (124,000) -4.4% Conservation Parks Day Use 3,313,000 3,047,000 3,269,478 266,000 8.7% Picnics 637,000 956,000 922,767 (319,000) -33.4% Swimming 520,000 562,000 718,168 (42,000) -7.5% Fishing 23,000 31,000 37,283 (8,000) -25.8% Mountain Biking - 2,000 1,405 (2,000) -100.0% Camping 1,239,000 1,202,000 1,425,453 37,000 3.1% Cross Country Skiing 25,000 135,000 172,023 (110,000) -81.5% Filming - - - - 0.0% Park Development 448,000 500,000 681,477 (52,000) -10.4% 6,205,000 6,435,000 7,228,054 (230,000) -3.6% Trails Trail Development 2,558,000 1,473,000 1,637,837 1,085,000 73.7% Trail Management 150,000 163,000 177,634 (13,000) -8.0% Trail Planning 221,000 94,000 108,578 127,000 135.1% TRCA Trail Strategy - 150,000 4,750 (150,000) -100.0% 2,929,000 1,880,000 1,928,799 1,049,000 55.8% Bathurst Glen Golf Course Golf Course 1,254,000 1,239,000 1,280,502 15,000 1.2% 1,254,000 1,239,000 1,280,502 15,000 1.2% 10 20 Revised $ Change % Change 2017 2016 2016 over 2016 over 2016 Budget Budget Year to date Budget Budget Black Creek Pioneer Village Heritage Village 6,207,000 4,115,000 4,933,280 2,092,000 50.8% 6,207,000 4,115,000 4,933,280 2,092,000 50.8% Events and Festivals Kortright 251,000 252,000 242,178 (1,000) -0.4% Black Creek Pioneer Village 291,000 296,000 322,887 (5,000) -1.7% Other Facilities 165,000 176,000 253,318 (11,000) -6.3% 707,000 724,000 818,383 (17,000) -2.3% Wedding and Corporate Events Kortright 946,000 829,000 901,722 117,000 14.1% Black Creek Pioneer Village 1,009,000 925,000 906,232 84,000 9.1% 1,955,000 1,754,000 1,807,954 201,000 11.5% Total Expenditures 21,965,000 18,979,000 20,486,861 2,986,000 15.7% Net Surplus (Deficit)(3,185,000) (697,000) (34,832) (2,488,000) 357.0% Reserves 1,968,000 - 5,171 1,968,000 0.0% Net Budget (1,217,000) (697,000) (29,661) (520,000) 74.6% 11 21 Toronto and Region Conservation Authority 2017 Operating and Capital Budget - Planning and Development Review Revised $ Change % Change 2017 2016 2016 over 2016 over 2016 Budget Budget Year to date Budget Budget Revenue Municipal Operating levies - 130,000 129,999 (130,000) -100.0% Capital levies 939,000 962,000 961,046 (23,000) -2.4% Contract services 950,000 115,000 931,455 835,000 726.1% Grants 186,000 989,000 101,378 (803,000) -81.2% Government Provincial 150,000 150,000 150,000 - 0.0% Federal - - - - 0.0% Contract services 335,000 144,000 302,023 191,000 132.6% User fees, sales and admissions 6,691,000 5,798,000 7,135,550 893,000 15.4% Contract services Compensation agreements - - - - 0.0% Corporate and other 112,000 168,000 115,704 (56,000) -33.3% Rent and property interests - - - - 0.0% Fundraising Donations - - - - 0.0% The Living City Foundation - - - - 0.0% Investment income - - - - 0.0% Net gain/loss on sale of tangible capital assets - - - - 0.0% Sundry - - 768 - Total Revenue 9,363,000 8,456,000 9,827,923 907,000 10.7% Expenditures Development Planning and Regulation Permitting Planning 1,795,000 1,531,000 1,483,992 264,000 17.2% Permitting 1,405,000 1,247,000 1,189,879 158,000 12.7% Enquiries - - 2,010 - 0.0% Technical Services 1,418,000 1,202,000 1,584,815 216,000 18.0% Development Enforcement and Compliance 412,000 397,000 370,595 15,000 3.8% 5,030,000 4,377,000 4,631,291 653,000 14.9% Environmental Assessment Planning and Permitting Planning (Basic, Servicing Agreements, Master P 1,050,000 770,000 890,136 280,000 36.4% Permitting 955,000 876,000 815,288 79,000 9.0% Development Enforcement and Compliance 274,000 264,000 245,018 10,000 3.8% Technical Services 1,219,000 1,352,000 701,548 (133,000) -9.8% 3,498,000 3,262,000 2,651,990 236,000 7.2% Policy Development and Review Policy 836,000 817,000 900,652 19,000 2.3% 836,000 817,000 900,652 19,000 2.3% Total Expenditures 9,364,000 8,456,000 8,183,933 908,000 10.7% Net Surplus (Deficit)- - 1,643,990 - 0.0% Reserves - - - - 0.0% Net Budget - - 1,643,990 - 0.0% 12 22 Toronto and Region Conservation Authority 2017 Operating and Capital Budget - Education and Outreach Revised $ Change % Change 2017 2016 2016 over 2016 over 2016 Budget Budget Year to date Budget Budget Revenue Municipal Operating levies 1,741,000 1,503,000 1,503,100 238,000 15.8% Capital levies 2,553,000 4,577,000 3,870,653 (2,024,000) -44.2% Contract services 303,000 423,000 2,469 (120,000) -28.4% Grants - 894,000 510,628 (894,000) -100.0% Government Provincial 859,000 797,000 961,898 62,000 7.8% Federal 141,000 356,000 141,326 (215,000) -60.4% Contract services - - - - 0.0% User fees, sales and admissions 3,452,000 3,522,000 3,049,800 (70,000) -2.0% Contract services Compensation agreements - - - - 0.0% Corporate and other 19,000 26,000 72,043 (7,000) -26.9% Rent and property interests - - 4,135 - 0.0% Fundraising Donations 25,000 5,000 40,836 20,000 400.0% The Living City Foundation 691,000 1,002,000 613,038 (311,000) -31.0% Investment income - - 343 - 0.0% Net gain/loss on sale of tangible capital assets - - - - 0.0% Sundry - - 173 - Total Revenue 9,784,000 13,105,000 10,770,442 (3,321,000) -25.3% Expenditures School Programs Early Learners 439,000 397,000 408,190 42,000 10.6% Post Secondary 16,000 11,000 15,296 5,000 45.5% Elementary 6,416,000 8,198,000 7,565,790 (1,782,000) -21.7% Secondary 867,000 2,030,000 1,016,250 (1,163,000) -57.3% 7,738,000 10,636,000 9,005,526 (2,898,000) -27.2% Newcomer Services Development of Internationally Trained Professio 785,000 1,047,000 826,819 (262,000) -25.0% Multicultural Connections Program 172,000 239,000 234,052 (67,000) -28.0% 957,000 1,286,000 1,060,871 (329,000) -25.6% Family and Community Programs Kortright 748,000 452,000 502,683 296,000 65.5% Other Locations 341,000 710,000 358,585 (369,000) -52.0% 1,089,000 1,162,000 861,268 (73,000) -6.3% Total Expenditures 9,784,000 13,084,000 10,927,665 (3,300,000) -25.2% Net Surplus (Deficit)- 21,000 (157,223) (21,000) -100.0% Reserves - - - - 0.0% Net Budget - 21,000 (157,223) (21,000) -100.0% 13 23 Toronto and Region Conservation Authority 2017 Operating and Capital Budget - Sustainable Communities Revised $ Change % Change 2017 2016 2016 over 2016 over 2016 Budget Budget Year to date Budget Budget Revenue Municipal Operating levies 153,000 160,000 160,002 (7,000) -4.4% Capital levies 5,764,000 6,027,000 4,590,493 (263,000) -4.4% Contract services 162,000 - 125,619 162,000 0.0% Grants 74,000 271,000 158,112 (197,000) -72.7% Government Provincial 120,000 337,000 209,448 (217,000) -64.4% Federal 437,000 310,000 213,165 127,000 41.0% Contract services 2,100,000 - 595,787 2,100,000 0.0% User fees, sales and admissions 1,027,000 888,000 797,472 139,000 15.7% Contract services Compensation agreements 34,000 34,000 700 - 0.0% Corporate and other 847,000 976,000 993,409 (129,000) -13.2% Rent and property interests - - - - 0.0% Fundraising Donations 524,000 545,000 98,810 (21,000) -3.9% The Living City Foundation 267,000 344,000 327,191 (77,000) -22.4% Investment income - - - - 0.0% Net gain/loss on sale of tangible capital assets - - - - 0.0% Sundry - - - - Total Revenue 11,509,000 9,892,000 8,270,208 1,617,000 16.3% Expenditures Living City Transition Program Sustainable Neighbourhood 1,055,000 1,060,000 955,191 (5,000) -0.5% Community Transformation 1,544,000 1,737,000 813,724 (193,000) -11.1% Partners in Project Green 3,301,000 1,100,000 1,527,739 2,201,000 200.1% Urban Agriculture 328,000 301,000 114,832 27,000 9.0% Sustainable Technology Evaluation Program 1,925,000 2,065,000 1,924,326 (140,000) -6.8% Climate Consortium 323,000 250,000 222,426 73,000 29.2% Green Infrastructure Ontario 232,000 227,000 137,989 5,000 2.2% 8,708,000 6,740,000 5,696,227 1,968,000 29.2% Community Engagement Citizen Based Regeneration 1,515,000 1,923,000 1,615,497 (408,000) -21.2% Stewardship 686,000 656,000 675,926 30,000 4.6% Watershed Engagement 645,000 577,000 273,503 68,000 11.8% 2,846,000 3,156,000 2,564,926 (310,000) -9.8% Total Expenditures 11,554,000 9,896,000 8,261,153 1,658,000 16.8% Net Surplus (Deficit)(44,000) (4,000) 9,055 (40,000) 1000.0% Reserves 45,000 - - 45,000 0.0% Net Budget 1,000 (4,000) 9,055 5,000 -125.0% 14 24 Toronto and Region Conservation Authority 2017 Operating and Capital Budget - Corporate Services Revised $ Change % Change 2017 2016 2016 over 2016 over 2016 Budget Budget Year to date Budget Budget Revenue Municipal Operating levies 7,719,000 7,251,000 7,251,196 468,000 6.5% Capital levies 2,896,000 1,417,000 960,299 1,479,000 104.4% Contract services - - - - 0.0% Grants 140,000 105,000 170,286 35,000 33.3% Government Provincial 120,000 120,000 120,000 - 0.0% Federal - - - - 0.0% Contract services - - - - 0.0% User fees, sales and admissions 77,000 64,000 172,923 13,000 20.3% Contract services Compensation agreements - - - - 0.0% Corporate and other - - 6,801 - 0.0% Rent and property interests 33,000 28,000 26,470 5,000 17.9% Fundraising Donations - - - - 0.0% The Living City Foundation - - - - 0.0% Investment income 625,000 600,000 678,975 25,000 4.2% Net gain/loss on sale of tangible capital assets - - - - 0.0% Sundry 96,000 72,000 399,747 24,000 Total Revenue 11,706,000 9,657,000 9,786,697 2,049,000 21.2% Expenditures Financial Management Accounting and Reporting 1,777,000 1,673,000 1,780,557 104,000 6.2% Business Planning and Strategic Management 789,000 618,000 542,561 171,000 27.7% 2,566,000 2,291,000 2,323,118 275,000 12.0% Corporate Management and Governance Corporate Secretariat 1,307,000 1,135,000 1,053,213 172,000 15.2% Corporate Sustainability Management 192,000 192,000 110,599 - 0.0% Support Services 6,207,000 4,314,000 3,988,612 1,893,000 43.9% Office of the CEO 12,000 60,000 57,259 (48,000) -80.0% 7,718,000 5,701,000 5,209,683 2,017,000 35.4% Human Resources Volunteers 21,000 53,000 33,029 (32,000) -60.4% Employee Support 1,009,000 987,000 835,481 22,000 2.2% Health and Safety - - 1,410 - 0.0% 1,030,000 1,040,000 869,920 (10,000) -1.0% Corporate Communications Communications 1,549,000 1,422,000 1,412,368 127,000 8.9% Digital and Social Media 70,000 131,000 166,631 (61,000) -46.6% 1,619,000 1,553,000 1,578,999 66,000 4.2% 15 25 Revised $ Change % Change 2017 2016 2016 over 2016 over 2016 Budget Budget Year to date Budget Budget Information Infrastructure and Management Information Technology 808,000 852,000 846,120 (44,000) -5.2% Knowledge and Data Management 1,591,000 1,564,000 1,498,729 27,000 1.7% Business Software 303,000 263,000 207,729 40,000 15.2% 2,702,000 2,679,000 2,552,578 23,000 0.9% Project Recoveries Project Recoveries (3,099,000) (3,029,000) (2,864,595) (70,000) 2.3% (3,099,000) (3,029,000) (2,864,595) (70,000) 2.3% Vehicles and Equipment Operations (630,000) (896,000) (654,082) 266,000 -29.7% Acquisitions 1,005,000 896,000 717,116 109,000 12.2% 375,000 - 63,034 375,000 0.0% Total Expenditures 12,911,000 10,235,000 9,732,737 2,676,000 26.1% Net Surplus (Deficit)(1,205,000) (578,000) 53,960 (627,000) 108.5% Reserves 765,000 578,000 198,254 187,000 32.4% Net Budget (440,000) - 252,214 (440,000) 0.0% 16 26 Toronto and Region Conservation Authority 2017 Operating Budget Revised $ Change % Change 2017 2016 2016 over 2016 over 2016 Budget Budget Year to date Budget Budget Revenue Municipal Operating levies 13,928,000 13,552,000 13,552,196 376,000 2.8% Capital levies 362,000 362,000 362,000 - 0.0% Contract services 976,000 295,000 1,134,864 681,000 230.8% Grants 396,000 1,164,000 321,663 (768,000) -66.0% Government Provincial 1,716,000 1,940,000 1,884,260 (224,000) -11.5% Federal 15,000 254,000 338,505 (239,000) -94.1% Contract services 335,000 144,000 1,084,695 191,000 132.6% User fees, sales and admissions 20,550,000 19,026,000 20,880,599 1,524,000 8.0% Contract services Compensation agreements - - - - 0.0% Corporate and other 881,000 1,031,000 1,020,838 (150,000) -14.5% Rent and property interests 3,377,000 2,619,000 3,498,475 758,000 28.9% Fundraising Donations 5,000 22,000 30,020 (17,000) -77.3% The Living City Foundation 713,000 1,102,000 514,842 (389,000) -35.3% Investment income 625,000 600,000 679,318 25,000 4.2% Net gain/loss on sale of tangible capital assets - - - - 0.0% Sundry 103,000 82,000 521,987 21,000 Total Revenue 43,982,000 42,193,000 45,824,262 1,789,000 4.2% 17 27 Toronto and Region Conservation Authority 2017 Operating Budget Revised $ Change % Change 2017 2016 2016 over 2016 over 2016 Budget Budget Year to date Budget Budget Expenditures Watershed Studies and Strategies Watershed Planning and Reporting 1,608,000 1,612,000 1,384,604 (4,000) -0.2% Climate Science 99,000 99,000 99,571 - 0.0% 1,707,000 1,711,000 1,484,175 (4,000) -0.2% Water Risk Management Flood Management 1,033,000 714,000 776,057 319,000 44.7% 1,033,000 714,000 776,057 319,000 44.7% Regional Biodiversity Biodiversity Monitoring 3,000 130,000 177,953 (127,000) -97.7% Ecosystem Management Research and Directions - 117,000 113,619 (117,000) -100.0% Forest Management 137,000 135,000 126,100 2,000 1.5% Restoration and Regeneration 572,000 776,000 1,283,129 (204,000) -26.3% 712,000 1,158,000 1,700,801 (446,000) -38.5% Greenspace Securement and Management Greenspace Securement - 105,000 104,732 (105,000) -100.0% Greenspace Management 981,000 1,239,000 1,184,425 (258,000) -20.8% Rental Properties 2,181,000 2,075,000 2,434,385 106,000 5.1% 3,162,000 3,419,000 3,723,542 (257,000) -7.5% Tourism and Recreation Conservation Parks 5,031,000 4,817,000 5,697,075 214,000 4.4% Bathurst Glen Golf Course 1,254,000 1,239,000 1,280,502 15,000 1.2% Black Creek Pioneer Village 4,005,000 3,961,000 4,065,109 44,000 1.1% Events and Festivals 707,000 724,000 818,340 (17,000) -2.3% Wedding and Corporate Events 1,955,000 1,754,000 1,807,954 201,000 11.5% 12,952,000 12,495,000 13,668,980 457,000 3.7% Planning and Development Review Development Planning and Regulation Permitting 4,897,000 4,262,000 4,604,542 635,000 14.9% Environmental Assessment Planning and Permitting 3,498,000 3,262,000 2,651,990 236,000 7.2% Policy Development and Review 259,000 217,000 301,607 42,000 19.4% 8,654,000 7,741,000 7,558,139 913,000 11.8% Education and Outreach School Programs 4,767,000 5,248,000 4,897,734 (481,000) -9.2% Newcomer Services 785,000 1,047,000 826,819 (262,000) -25.0% Family and Community Programs 796,000 543,000 576,765 253,000 46.6% 6,348,000 6,838,000 6,301,318 (490,000) -7.2% Sustainable Communities Living City Transition Program 143,000 151,000 141,987 (8,000) -5.3% Community Engagement 92,000 114,000 131,393 (22,000) -19.3% 235,000 265,000 273,380 (30,000) -11.3% 18 28 Revised $ Change % Change 2017 2016 2016 over 2016 over 2016 Budget Budget Year to date Budget Budget Corporate Services Financial Management 2,566,000 2,291,000 2,323,118 275,000 12.0% Corporate Management and Governance 5,223,000 4,524,000 4,446,985 699,000 15.5% Human Resources 1,030,000 1,040,000 868,509 (10,000) -1.0% Corporate Communications 1,619,000 1,553,000 1,578,999 66,000 4.2% Information Infrastructure and Management 2,302,000 2,274,000 2,142,798 28,000 1.2% Vehicles and Equipment 375,000 - 139,655 375,000 0.0% 13,115,000 11,682,000 11,500,064 1,433,000 12.3% Total Expenditures 47,918,000 46,023,000 46,986,456 1,895,000 4.1% Project Recoveries (3,099,000) (3,029,000) (2,731,874) (70,000) 2.3% Net Expenditures 44,819,000 42,994,000 44,254,582 1,825,000 4.2% Net Surplus (Deficit)(835,000) (801,000) 1,569,679 (34,000) 4.2% Reserves 835,000 801,000 255,902 34,000 4.2% Net Budget - - 1,825,581 - 0.0% 19 29 Toronto and Region Conservation Authority Apportionment of 2017 General Levy $$$$$$% ADJALA-TOSORONTIO 52 818 870 863 7 0.8% DURHAM 21,882 346,643 117,000 40,500 526,025 548,804 (22,876) -4.2% TORONTO 498,138 7,893,662 500 12,100 8,404,400 8,187,400 216,988 2.7% MONO 66 1,039 1,000 2,105 1,933 172 8.9% PEEL 88,160 1,397,040 102,000 210,800 1,798,000 1,741,000 56,975 3.3% YORK 165,702 2,625,798 159,500 246,000 3,197,000 3,072,000 125,134 4.1% 774,000 12,265,000 380,000 12,100 497,300 13,928,400 13,552,000 376,400 2.8% 2016 General Levy Change Over 2016Matching Levy Matching Non-Levy Tax Adjustment Interest Adjustment Non-CVA Levy 2017 General Levy 20 30 Toronto and Region Conservation Authority 2017 Basis of Apportionment - Municipal Levy $(000's)$(000's) Township of Adjala-Tosorontio 1,833,659 4 73,346 9,523 381 Durham, Regional Municipality of 37,672,581 * 31,043,584 196,893 164,157 City of Toronto 706,706,061 100 706,706,061 2,165,731 2,165,731 Town of Mono 1,864,062 5 93,203 7,117 356 Peel, Regional Municipality of 282,892,365 * 125,072,594 1,056,923 484,698 York, Regional Municipality of 258,014,507 * 235,079,744 765,772 689,729 1,288,983,235 1,098,068,532 4,201,959 3,505,052 Analysis of Regional Municipalities* Durham, Regional Municipality of Ajax, Town of 16,746,946 86 14,402,374 96,825 83,270 Pickering, Town of 16,664,920 95 15,831,674 81,414 77,343 Uxbridge Township 4,260,715 19 809,536 18,654 3,544 37,672,581 31,043,584 196,893 164,157 Peel, Regional Municipality of Brampton, City 93,828,882 63 59,112,196 411,287 259,111 Mississauga, City of 172,838,715 33 57,036,776 588,692 194,268 Caledon, Town of 16,224,768 55 8,923,623 56,944 31,319 282,892,365 125,072,594 1,056,923 484,698 York, Regional Municipality of Aurora, Town of 13,254,350 4 530,174 45,269 1,811 Markham, Town of 82,372,900 100 82,372,900 257,082 257,082 Richmond Hill, Town of 49,272,457 99 48,779,733 152,466 150,941 Vaughan, Town of 95,815,357 100 95,815,357 255,745 255,745 Whitchurch-Stouffville, Town of 10,158,443 43 4,368,131 34,732 14,935 King Township 7,141,000 45 3,213,450 20,478 9,215 258,014,507 235,079,744 765,772 689,729 *As provided by the Ministry of Natural Resources and Forestry Municipality Current Value Assessment % OF Municipality in Authority Current Value Assessment in Watershed Total Population Population in Authority 21 31 Toronto and Region Conservation Authority 2017 Capital Budget Revised $ Change % Change 2017 2016 2016 over 2016 over 2016 Budget Budget Year to date Budget Budget Revenue Municipal Operating levies - - - - 0.0% Capital levies 46,115,000 42,642,000 33,792,735 3,473,000 8.1% Contract services 11,741,000 5,379,000 9,216,780 6,362,000 118.3% Grants 3,640,000 7,679,000 2,123,152 (4,039,000) -52.6% Government Provincial 1,296,000 1,323,000 2,399,968 (27,000) -2.0% Federal 1,281,000 1,607,000 1,406,763 (326,000) -20.3% Contract services 3,631,000 900,000 2,455,871 2,731,000 303.4% User fees, sales and admissions 1,131,000 978,000 948,858 153,000 15.6% Contract services Compensation agreements 194,000 255,000 614,931 (61,000) -23.9% Corporate and other 1,609,000 2,358,000 2,319,856 (749,000) -31.8% Rent and property interests 20,000 374,000 265,724 (354,000) -94.7% Fundraising Donations 799,000 1,170,000 146,747 (371,000) -31.7% The Living City Foundation 730,000 412,000 918,271 318,000 77.2% Investment income - - 33,226 - 0.0% Net gain/loss on sale of tangible capital assets - - - - 0.0% Sundry - 61,000 - (61,000) Total Revenue 72,187,000 65,138,000 56,642,882 7,049,000 10.8% 22 32 Toronto and Region Conservation Authority 2017 Capital Budget Revised $ Change % Change 2017 2016 2016 over 2016 over 2016 Budget Budget Year to date Budget Budget Expenditures Watershed Studies and Strategies Watershed Planning and Reporting 1,846,000 2,116,000 1,746,137 (270,000) -12.8% Climate Science 590,000 491,000 254,730 99,000 20.2% 2,436,000 2,607,000 2,000,867 (171,000) -6.6% Water Risk Management Water Resource Science 2,407,000 2,742,000 4,628,227 (335,000) -12.2% Erosion Management 22,253,000 13,823,000 13,175,299 8,430,000 61.0% Flood Management 3,858,000 2,986,000 3,100,298 872,000 29.2% 28,518,000 19,551,000 20,903,824 8,967,000 45.9% Regional Biodiversity Biodiversity Monitoring 2,520,000 2,380,000 1,886,087 140,000 5.9% Ecosystem Management Research and Directions 990,000 881,000 903,220 109,000 12.4% Forest Management 1,455,000 1,056,000 768,911 399,000 37.8% Restoration and Regeneration 7,654,000 6,111,000 7,458,295 1,543,000 25.2% 12,619,000 10,428,000 11,016,513 2,191,000 21.0% Greenspace Securement and Management Greenspace Securement 1,517,000 6,080,000 755,829 (4,563,000) -75.0% Greenspace Management 1,895,000 1,488,000 1,395,116 407,000 27.4% 3,412,000 7,568,000 2,150,945 (4,156,000) -54.9% Tourism and Recreation Waterfront Parks 2,708,000 2,832,000 2,489,889 (124,000) -4.4% Conservation Parks 1,173,000 1,618,000 1,530,959 (445,000) -27.5% Trails 2,929,000 1,880,000 1,928,799 1,049,000 55.8% Black Creek Pioneer Village 2,202,000 154,000 868,150 2,048,000 1329.9% Events and Festivals - - 43 - 0.0% 9,012,000 6,484,000 6,817,840 2,528,000 39.0% Planning and Development Review Development Planning and Regulation Permitting 132,000 115,000 26,748 17,000 14.8% Policy Development and Review 577,000 600,000 599,046 (23,000) -3.8% 709,000 715,000 625,794 (6,000) -0.8% Education and Outreach School Programs 2,971,000 5,388,000 4,107,751 (2,417,000) -44.9% Newcomer Services 172,000 239,000 234,052 (67,000) -28.0% Family and Community Programs 293,000 619,000 284,502 (326,000) -52.7% 3,436,000 6,246,000 4,626,305 (2,810,000) -45.0% Sustainable Communities Living City Transition Program 8,565,000 6,589,000 5,554,239 1,976,000 30.0% Community Engagement 2,753,000 3,042,000 2,433,533 (289,000) -9.5% 11,318,000 9,631,000 7,987,772 1,687,000 17.5% 23 33 Revised $ Change % Change 2017 2016 2016 over 2016 over 2016 Budget Budget Year to date Budget Budget Corporate Services Financial Management - - - - 0.0% Corporate Management and Governance 2,496,000 1,177,000 762,698 1,319,000 112.1% Human Resources - - 1,410 - 0.0% Information Infrastructure and Management 400,000 405,000 409,781 (5,000) -1.2% Project Recoveries - - (132,721) - 0.0% Vehicles and Equipment - - (76,622) - 0.0% 2,896,000 1,582,000 964,546 1,314,000 83.1% Total Expenditures 74,356,000 64,812,000 57,094,406 9,544,000 14.7% Net Surplus (Deficit)(2,168,000) 326,000 (451,525) (2,494,000) -765.0% Reserves 2,168,000 175,000 272,920 1,993,000 1138.9% Net Budget - 501,000 (178,605) (501,000) -100.0% 24 34 Toronto and Region Conservation Authority 2017 Capital Levy Summary by Service Area Service Area Peel Toronto York Durham Adjala Mono Total by Service Area Watershed Studies and Strategies 622 226 189 9 1,046 Water Risk Management 2,397 10,692 1,823 337 15,249 Regional Biodiversity 3,807 1,449 1,008 410 6,674 Greenspace Securement and Management 1,721 64 388 3 2,176 Tourism and Recreation 850 611 105 1,566 Planning and Development Review 420 322 106 14 862 Education and Outreach 2,119 147 174 2,440 Sustainable Communities 2,882 863 464 101 4,310 Corporate Services 831 901 621 82 2,435 15,649 15,275 4,773 1,061 36,758 Carryforward (net)4,932 3,943 695 149 9,719 Total by Municipality 20,581 19,218 5,468 1,210 46,477 (000s) 25 35 Toronto and Region Conservation Authority 2017 Operating and Capital Budget - excluding tangible capital asset expenditures Revised $ Change % Change 2017 2016 2016 over 2016 over 2016 Budget Budget Year to date Budget Budget Revenue Municipal Operating levies 13,928,000 13,552,000 13,552,196 376,000 2.8% Capital levies 46,477,000 43,004,000 34,154,735 3,473,000 8.1% Contract services 12,717,000 5,674,000 10,351,644 7,043,000 124.1% Grants 4,036,000 8,843,000 2,444,815 (4,807,000) -54.4% Government Provincial 3,012,000 3,263,000 4,284,228 (251,000) -7.7% Federal 1,296,000 1,861,000 1,745,268 (565,000) -30.4% Contract services 3,966,000 1,044,000 3,540,566 2,922,000 279.9% User fees, sales and admissions 21,681,000 20,004,000 21,829,457 1,677,000 8.4% Contract services Compensation agreements 194,000 255,000 614,930 (61,000) -23.9% Corporate and other 2,490,000 3,389,000 3,340,694 (899,000) -26.5% Rent and property interests 3,397,000 2,993,000 3,764,198 404,000 13.5% Fundraising Donations 804,000 1,192,000 176,767 (388,000) -32.6% The Living City Foundation 1,443,000 1,514,000 1,433,113 (71,000) -4.7% Investment income 625,000 600,000 712,544 25,000 4.2% Net gain/loss on sale of tangible capital assets - - - - 0.0% Sundry 103,000 143,000 521,987 (40,000) Total Revenue 116,169,000 107,331,000 102,467,142 8,838,000 8.2% 26 36 Toronto and Region Conservation Authority 2017 Operating and Capital Budget - excluding tangible capital asset expenditures Revised $ Change % Change 2017 2016 2016 over 2016 over 2016 Budget Budget Year to date Budget Budget Expenditures Watershed Studies and Strategies Watershed Planning and Reporting 3,330,000 3,729,000 3,130,741 (399,000) -10.7% Climate Science 690,000 590,000 354,301 100,000 16.9% 4,020,000 4,319,000 3,485,042 (299,000) -6.9% Water Risk Management Water Resource Science 2,415,000 2,721,000 4,628,227 (306,000) -11.2% Erosion Management 20,821,000 14,856,000 13,175,299 5,965,000 40.2% Flood Management 5,189,000 3,666,000 3,876,354 1,523,000 41.5% 28,425,000 21,243,000 21,679,880 7,182,000 33.8% Regional Biodiversity Biodiversity Monitoring 2,538,000 2,554,000 2,064,040 (16,000) -0.6% Ecosystem Management Research and Directions 967,000 998,000 1,016,839 (31,000) -3.1% Forest Management 1,597,000 1,191,000 895,011 406,000 34.1% Restoration and Regeneration 8,207,000 6,735,000 8,741,424 1,472,000 21.9% 13,309,000 11,478,000 12,717,314 1,831,000 16.0% Greenspace Securement and Management Greenspace Securement 25,000 1,145,000 860,560 (1,120,000) -97.8% Greenspace Management 2,889,000 2,726,000 2,579,542 163,000 6.0% Rental Properties 2,940,000 1,841,000 2,434,385 1,099,000 59.7% 5,854,000 5,712,000 5,874,487 142,000 2.5% Tourism and Recreation Waterfront Parks 3,178,000 1,942,000 2,489,889 1,236,000 63.6% Conservation Parks 6,504,000 8,197,000 7,228,055 (1,693,000) -20.7% Trails 2,879,000 1,879,000 1,928,799 1,000,000 53.2% Bathurst Glen Golf Course 1,224,000 1,239,000 1,280,502 (15,000) -1.2% Black Creek Pioneer Village 5,826,000 4,093,000 4,933,280 1,733,000 42.3% Events and Festivals 702,000 699,000 818,383 3,000 0.4% Wedding and Corporate Events 1,945,000 1,738,000 1,807,954 207,000 11.9% 22,258,000 19,787,000 20,486,862 2,471,000 12.5% Planning and Development Review Development Planning and Regulation Permitting 5,022,000 4,377,000 4,631,290 645,000 14.7% Environmental Assessment Planning and Permitting 3,483,000 3,248,000 2,651,990 235,000 7.2% Policy Development and Review 834,000 816,000 900,652 18,000 2.2% 9,339,000 8,441,000 8,183,932 898,000 10.6% Education and Outreach School Programs 5,245,000 7,970,000 9,005,527 (2,725,000) -34.2% Newcomer Services 958,000 1,279,000 1,060,871 (321,000) -25.1% Family and Community Programs 807,000 394,000 861,268 413,000 104.8% 7,010,000 9,643,000 10,927,666 (2,633,000) -27.3% Sustainable Communities Living City Transition Program 8,749,000 6,767,000 5,696,227 1,982,000 29.3% Community Engagement 2,852,000 3,156,000 2,564,926 (304,000) -9.6% 11,601,000 9,923,000 8,261,153 1,678,000 16.9% 27 37 Revised $ Change % Change 2017 2016 2016 over 2016 over 2016 Budget Budget Year to date Budget Budget Corporate Services Financial Management 2,461,000 2,189,000 2,323,118 272,000 12.4% Corporate Management and Governance 7,008,000 5,593,000 5,209,683 1,415,000 25.3% Human Resources 1,032,000 1,040,000 869,920 (8,000) -0.8% Corporate Communications 1,585,000 1,446,000 1,578,999 139,000 9.6% Information Infrastructure and Management 2,494,000 2,493,000 2,552,578 1,000 0.0% Project Recoveries (3,125,000) (3,063,000) (2,864,595) (62,000) 2.0% Vehicles and Equipment 239,000 (946,000) 63,033 1,185,000 -125.3% 11,694,000 8,752,000 9,732,736 2,942,000 33.6% Total Expenditures 113,510,000 99,298,000 101,349,072 14,212,000 14.3% Net Surplus (Deficit)2,659,000 8,033,000 1,118,070 (5,374,000) -66.9% Reserves 3,006,000 976,000 528,822 2,030,000 208.0% Net Budget 5,665,000 9,009,000 1,646,892 (3,344,000) -37.1% 28 38 Toronto and Region Conservation Authority 2017 Operating and Capital Budget - by object classification excluding tangible capital asset expenditures Revised $ Change % Change 2017 2016 2016 over 2016 over 2016 Budget Budget Year to date Budget Budget Revenue Municipal Operating levies 13,928,000 13,552,000 13,552,196 376,000 2.8% Capital Levies 46,477,000 43,004,000 34,154,732 3,473,000 8.1% Contract services 12,717,000 5,674,000 10,351,644 7,043,000 124.1% Grants 4,036,000 8,843,000 2,444,815 (4,807,000) -54.4% Government Provincial 3,012,000 3,263,000 4,284,228 (251,000) -7.7% Federal 1,296,000 1,861,000 1,745,268 (565,000) -30.4% Contract services 3,966,000 1,044,000 3,540,566 2,922,000 279.9% User fees, sales and admissions 21,681,000 20,004,000 21,829,457 1,677,000 8.4% Contract services Compensation agreements 194,000 255,000 614,930 (61,000) -23.9% Corporate and other 2,490,000 3,389,000 3,340,694 (899,000) -26.5% Rent and property interests 3,397,000 2,993,000 3,764,198 404,000 13.5% Fundraising Donations 804,000 1,192,000 176,767 (388,000) -32.6% The Living City Foundation 1,443,000 1,514,000 1,433,113 (71,000) -4.7% Investment income 625,000 600,000 712,544 25,000 4.2% Net gain/loss on sale of tangible capital assets - - - - 0.0% Sundry 103,000 143,000 521,987 (40,000) Total Revenue 116,169,000 107,331,000 102,467,142 8,838,000 8.2% Expenditures Wages and benefits 61,751,000 58,058,000 59,847,711 3,693,000 6.4% Contracted services 34,959,000 26,143,000 28,823,949 8,816,000 33.7% Materials and supplies 7,345,000 5,843,000 10,499,438 1,502,000 25.7% Utilities 1,159,000 1,112,000 1,215,066 47,000 4.2% Property taxes 1,244,000 1,229,000 1,119,670 15,000 1.2% 106,458,000 92,385,000 101,505,834 14,073,000 15.2% Internal Recoveries (14,071,000) (16,349,000) (25,701,860) 2,278,000 -13.9% Internal Charges 14,071,000 16,348,000 25,545,098 (2,277,000) -13.9% 106,458,000 92,384,000 101,349,072 14,074,000 15.2% Add Amortization 7,052,000 6,914,000 - 138,000 2.0% Total Expenditures 113,510,000 99,298,000 101,349,072 14,212,000 14.3% Net Surplus (Deficit)2,659,000 8,033,000 1,118,070 (5,374,000) -66.9% Reserves 3,006,000 976,000 528,822 2,030,000 208.0% Net Budget 5,665,000 9,009,000 1,646,892 (3,344,000) -37.1% 29 39 BUSINESS SYNOPSIS AND RATIONALE 2017 - 2021 Attachment 2 40 Business Synopsis and Rationale 2017-2021 Executive Summary Toronto and Region Conservation Authority (TRCA) Business Synopsis and Rationale 2017-2021 outlines 33 Program Areas, organized into nine Service Areas, through which TRCA provides services to jurisdictional partners and citizens. These Program Areas are informed and shaped by TRCA’s mandate as a conservation authority: “… to establish and undertake, in the area over which it has jurisdiction, a program designed to further the conservation, restoration, development and management of natural resources other than gas, oil, coal and minerals.” Conservation Authorities Act, Section 20 Situated in Canada’s most populous urban centre, TRCA programs address issues borne of expansive and sustained urbanization, changing climate, infrastructure renewal and resilience demands, and the needs of a dynamic citizenry. TRCA’s mission to realize The Living City captures TRCA’s modern operating space amidst these challenges: “To work with our partners to ensure that The Living City is built on a natural foundation of healthy rivers and shorelines, green space and biodiversity and sustainable communities.” The Business Synopsis and Rationale 2017-2021 outlines how TRCA pursues The Living City vision by offering programming that combines one or more of TRCA’s five main value propositions; these include: 1. Reducing jurisdictional physical, environmental, social, and economic risk on an at-cost basis in areas of legislated responsibility or relevant fields otherwise prone to one or more types of market failure; 2. Delivering streamlined value-added and services to reduce partner or client expense, service time, uncertainty, and/or financial risk; 3. Parlaying public funding into programming that sustains Toronto region as a desirable and competitive location for socially, environmentally, and economically desirable industries and/or enhances citizen, community, and ecosystem health; 4. Maintaining and advancing environmental science, monitoring, technology, and/or best-practices in support of TRCA and partner objectives; and 5. Building productive partnerships, collaborations, and networks, in particular those otherwise unlikely to occur through traditional public, private, or non-profit avenues. The business rationales contained in this document are a continuation of TRCA’s comprehensive performance measurement and management initiative that began with the mapping of TRCA projects to Service Areas in 2014. Future iterations of this document will include enhanced financial analyses, program outcome metrics, and internal operations metrics. Later versions will also include content that demonstrates program delivery and progress against the strategic plan objectives of our partners and TRCA’s own 10-year strategic plan Building The Living City (2013-2022). Toronto and Region Conservation is committed to creating The Living City, that protects and restores the integrity of the region’s natural resources, provides opportunities for the enjoyment of nature and outdoor recreation, and enables sustainable city building that creates value for residents, businesses and nature. TRCA looks forward to working with our partners to realize this bright future. 41 42 43 Watershed Studies and Strategies 95.7% 4.3% 96.5% 3.5% Revenue Sources 52.6%45.7% 65.9% 32.7% Expenses by Object 2017: 4,123 2016: 4,318 Change: (195) % Change: (4.5) 2017: 4,143 2016: 4,318 Change: (175) % Change: (4.1) 1.4% 1.7% In the above donut charts, the outer ring represents TRCA’s 2017 budgeted figures and the inner ring represents TRCA’s 2016 budgeted figures. 44 Watershed Planning and Reporting Objectives: Provide integrated science-based, state-of-the-art strategies and solutions to protect and improve regional water resources, ecosystem health, and community benefits Integrate watershed and waterfront management with municipal planning and provincial policy directions Develop and deploy programs and activities to advance timely implementation of priority actions resulting from watershed plans and strategies Assess watershed and shoreline conditions and the outcomes of plan implementation and other management activities on an ongoing basis Communicate environmental and sustainability data to inform municipal plans and strategies and increase awareness and level of engagement throughout communities Program Features Positioning TRCA conducts watershed and waterfront planning in collaboration with partner municipalities to develop comprehensive strategies that protect water and natural resources, life, and property from flooding and erosion and to provide community benefits. TRCA also undertakes specialized strategies on regional sustainability issues to advance the knowledge base for TRCA and our municipal partners. Innovative watershed programs and activities are designed to support the implementation of these strategies. Report cards serve a data synthesis function; watershed report card and The Living City Report Card data provide TRCA and regional state of the environment reports with information regarding watershed and environmental conditions. This information assists TRCA, municipal partners, and stakeholders in understanding the outcomes of environmental and sustainability plans and strategies and supports the evolution of plans and strategies for future success. Context TRCA’s jurisdiction includes the Humber, Etobicoke, Mimico, Duffins, Don, Highland, Rouge, Petticoat, and Carruthers watersheds as well as 67 km of Lake Ontario shoreline. This area encompasses 3,495 km2 of land and 3,653.6 km of river or stream winding through 20 municipal jurisdictions. Watershed, subwatershed and waterfront plans enable TRCA to fulfil its responsibilities for natural hazard and natural resource management under the Conservation Authorities Act and Planning Act, as well as to support partner municipalities in undertaking land use planning, by assessing risks, developing strategies, and identifying implementation priorities at a cumulative and comprehensive scale. Data, analysis, and/or recommendations contained in watershed, subwatershed and waterfront plans supports TRCA and municipal policy and programs related to natural hazard and water management, natural heritage protection and habitat restoration, stormwater management design and planning, and stewardship and outreach activities. The Government of Ontario, through the implementation of the Endangered Species Act, Provincial Policy Statement, and Coordinated Land Use Planning Review for the Greater Golden Horseshoe, has stipulated that watershed and subwatershed planning will be a required element of land use planning in the Toronto region and elsewhere moving forward. TRCA began releasing report cards in the early 1990’s. Watershed report cards convey the status of watershed health indicators, communicate updates in watershed management plan implementation actions, and encourage stakeholders and communities to take action where improvements are still required. In 2011, TRCA collaborated with CivicAction, municipalities, and other partners to release a consolidated regional environmental report card – The Living City Report Card. This document reports on regional environment and sustainability indicators addressing water, greenspace, energy, air, stewardship, and outdoor recreation. Business Synopsis and Rationale 2017-2021 Watershed Planning and Reporting 145 Stressors and Opportunities Watersheds and the waterfront within TRCA’s jurisdiction are under very significant pressures resulting from urban expansion and intensification, aging infrastructure, extreme weather impacts, and other emerging threats such as invasive species. In the coming years, partner municipalities will implement growth, intensification, and redevelopment and revitalization plans, and will undertake infrastructure renewal projects. TRCA will require up-to-date understanding of watersheds and waterfront conditions to ensure management directions are current, relevant, and integrated with a broad range of community sustainability objectives. Climate change will have a significant effect on TRCA watersheds and waterfront areas. Climate change effects will cascade through watershed ecosystems and are expected to negatively affect water balance and availability, groundwater levels, stream flow, channel and bank stability, surface water quality and terrestrial and aquatic habitats. Watershed, subwatershed and waterfront planning provide a robust, integrated mechanism for analyzing and modelling the potential cumulative impacts of climate change. The releases of watershed report cards and The Living City Report Card represent significant public communications opportunities and can be used to build public knowledge of, and/or draw attention to, specific environmental or sustainability needs or successes. Realizing this opportunity requires the effective translation of high volumes of science and data into compelling narratives and visuals capable of capturing public attention. Success of our work in this area will broadly depend on soliciting ideas, advice and input from residents, businesses, community organizations, First Nations and other stakeholders on TRCA and partner initiatives. In light of recent trends and opportunities in civic engagement, there is a need to develop and deploy new models and tools for stakeholder and citizen involvement and citizen-based governance. Funding Funding for Watershed Planning and Reporting is obtained primarily through municipal levy. Direct Actions and Activities Watershed, subwatershed and waterfront plans are developed cooperatively by TRCA, partner municipalities, and a variety of stakeholders. Plan development incorporates regional and watershed data, land use projections, and demographic and behavioral trends. From the data syntheses, watershed plans advance actions and strategies to address the interconnected and interdependent management needs for natural resources, human activities, and biotic and abiotic stressors. Recommendations are advanced that seek to address issues and opportunities at the most efficacious ecological, social, and political junctures. Report card development includes the analysis and synthesis of data collected by TRCA, partner municipalities and other partners such as provincial government agencies. Following report card release, presentations are made to municipal councils and other key stakeholders. Public opinion surveys may be conducted to inform report card preparation; these surveys enable TRCA to assess the public's level of knowledge and awareness of watershed issues and to understand attitudes or perspectives and willingness to support TRCA objectives. Report cards and associated data analyses close the watershed and waterfront planning and implementation cycle; key management issues are identified, improvements realized by restoration and protection efforts are evaluated, and restoration and regeneration priorities are identified. This adaptive management approach enables preventative actions and reduces costs by identifying and remedying planning and/or implementation issues in a timely manner. Business Synopsis and Rationale 2017-2021 Watershed Planning and Reporting 246 Complementary TRCA Actions and Activities Watershed Planning and Reporting is complemented by the following TRCA activities: Biodiversity Monitoring and Water Resource Science provide data, analysis and modelling that inform report cards and underpins defensible, science-based recommendations in watershed, subwatershed and waterfront plans Policy Development and Review liaises with municipal, provincial, and federal partners to ensure watershed plan consistency and integration with relevant policies, plans, and strategies, and ensures incorporation of watershed plan recommendations through TRCA’s development planning and approvals processes Community Engagement ensures watershed planning processes includes elements of participative consultation and support for implementation Restoration and Regeneration, Community Engagement and Living City Transition program areas assist with implementation of the watershed management plan actions Key Outcomes Municipal partners technical and policy/planning needs are adequately supported TRCA conducts and advances state-of-the-science watershed, subwatershed, and waterfront planning; science/engineering/technical insights are reflected in municipal Official Plans, strategies, and other relevant internal and external documents and regulations Watershed Planning and Reporting, Water Resource Science and Ecosystem Management Research and Directions programs are evidence-based and informed by an understanding of the response of watershed health to management actions A broad range of stakeholders are consulted and engaged to incorporate diverse perspectives in the development of watershed strategies Citizens are inspired to engage in actions that have a positive benefit on local environmental conditions as well as their own physical and social well-being Indicators of watershed health improvements Key Activities – 2018-2021 In consultation with municipal partners, develop the framework and scope of work for the next generation of TRCA watershed plans Initiate and complete background studies and update three priority subwatershed/watershed plans Strengthen connections between watershed management and management of the Lake Ontario near- shore area Continue to fill data gaps, apply emerging science, and maintain up-to-date understanding of watershed and waterfront conditions including responding to municipal growth and intensification objectives, climate change, and community sustainability objectives Develop TRCA positions on regional watershed sustainability issues such as health and greenspace Update and review TRCA’s Urban Agriculture Strategy and associated business plan Complete and launch TRCA’s Engagement Strategy Produce, release, and undertake activities to promote the watershed report cards and The Living City Report Card. Outlook Integrated watershed and waterfront planning processes will continue to be a cornerstone in the development and implementation of TRCA programming, and in many aspects of the policies and programs of TRCA municipal partners and other stakeholders. TRCA will continue to refine watershed and waterfront plan structure and content to ensure their continued relevance. Of particular note, future iterations of waterfront and watershed plans will continue to focus on natural heritage and natural hazard issues, but will increasingly focus on sustainability, climate change resilience, and improving human health and well-being (through improved environmental health, access to greenspace and recreational opportunities). Where necessary, TRCA will also develop supplementary plans and strategies to address issues, such as terrestrial habitat and wildlife connectivity, which are related to watershed management but not best addressed at the watershed scale. Business Synopsis and Rationale 2017-2021 Watershed Planning and Reporting 347 Climate Science Objectives: Enable integrated evidence-based planning and decision making Pursue research opportunities with municipal, academic, and private sector partners to address knowledge and data gaps hindering policy and planning to address climate change impacts Identify and/or develop best-practices and policies for climate change adaptation Program Features Positioning TRCA’s Climate Science program responds to information needs and knowledge gaps identified by municipal partners, other government agencies, and local stakeholders. To do so, TRCA maintains in-house applied climate adaptation expertise to support the application and integration of climate science and best-practices into both TRCA and municipal plans and policies. TRCA’s pre-existing familiarity with municipal infrastructure, natural heritage, and municipal strategies allows it to engage and respond in a timely manner and offer tailored recommendations. As areas of practice in climate change adaptation begin to mature, TRCA is well positioned to facilitate the transfer of knowledge and best practice between municipalities and supporting partners. Context In Ontario, as elsewhere, climate impacts will likely be more severe than previously predicted. The Toronto region has already experienced a wide range of recent extreme climate events including heat waves, ice storms, severe precipitation events, windstorms, and drought. These events are consistent with climate change projections and have resulted in significant negative effects on ecosystems, water resources, critical infrastructure, economic development, and human health. Average temperatures across Peel Region, for example, could increase by 1.4°C (from 1981-2010) by 2020, 2.0°C by 2050 and 4.9°C by 2080 according to a business-as-usual modelling scenario (Source: Climate Trends and Future Projections in the Region of Peel, 2016). Addressing climate change in the Toronto region necessitates a dual strategy of aggressive greenhouse gas (GHG) reductions and adaptation actions to prevent, eliminate, or reduce risks to human life, local ecosystems, infrastructure, and private and public property. Toronto region natural systems contain diverse climate vulnerabilities. With respect to natural heritage, the greatest climate concerns relate to the shallow unconfined aquifers, isolated and surface water-fed wetlands, transitional cold and warmwater streams, and climate-sensitive vegetation that are distributed throughout urban and natural areas. Inland ponds and the shoreline of Lake Ontario are likely to sustain more frequent algal blooms. Vulnerable flora and faunal species - and/or those that rely on these vulnerable habitats sensitive to predicted climate impacts - include brook trout, many species of amphibian, and white spruce. Low-lying areas, particularly those in urbanized areas that are surrounded by paved surfaces conveying high runoff volume, will become increasingly vulnerable to flooding under current climate change scenarios. Human populations are vulnerable to climate health impacts. At particular risk are seniors, children, those experiencing social isolation, individuals with chronic conditions, disabilities, or both, and socially or economically marginalized individuals. Stressors and Opportunities Historical climate records are no longer a reliable indicator of future conditions. Accordingly, historical design standards may be insufficient to accommodate more extreme events. Intense storm events in the Toronto region will pose risks to municipal infrastructure. Increased stormwater flows, in combination with stormwater infrastructure nearing the end of its lifecycle throughout the TRCA jurisdiction, is expected to increase risk to property and life. Better understanding of anticipated future wet weather scenarios will enable more accurate cost-benefit analysis of standard and innovative stormwater management practices. This, in turn, will enable TRCA and partner municipalities to optimize climate adaptation and risk reduction investments. Such investments also have the potential to significantly decrease future storm-related property and infrastructure repair costs. Business Synopsis and Rationale 2017-2021 Climate Science 148 Changes to seasonal temperature patterns and the timing, duration, and intensity of precipitation may disproportionately harm certain ecosystem components. Better understanding of local natural heritage climate vulnerabilities will enable TRCA and partner municipalities to increase proactive adaptation measures while reducing and/or discontinuing investments in projects or programs facing significant climate threats. This will increase the short- and long-term value for money of ongoing natural heritage investments. Funding Funding for Climate Science programming is a combination of municipal levy, and government and academic grants. Direct Actions and Activities TRCA in-house climate staff provide technical expertise in support of strategies, assessments and action planning for extreme weather resilience and climate change adaptation, together with a growing knowledge base from which to advise on evolving climate policies and federal/provincial objectives. These services are offered to internal TRCA programs and municipal partners. Complementary TRCA Actions and Activities The Climate Science program is complemented by the following TRCA activities: Water Resource Science and Biodiversity Monitoring provide the raw data, and analysis thereof, to support the assessment of local conditions, vulnerabilities, and early-stage climate mediated change Ecosystem Management Research and Directions fills knowledge gaps pertaining to best practice, target setting, planning and policy for urban ecosystems that integrate aquatic and terrestrial management objectives Policy Development and Review work with municipal, provincial, and federal governments to incorporate the best available science and planning practices into plans and policies Watershed Planning and Reporting incorporate climate science into integrated watershed and waterfront management plans to guide implementation activities at the watershed scale Community Transformation programs engage with various sectors in the GTA to raise awareness of climate change issues, support GHG reduction and climate resilience efforts, and build the technical and business cases for low impact development (LID) and low carbon energy solutions The Ontario Climate Consortium (the Secretariat for whom is hosted by TRCA) generates and/or synthesizes wide-ranging, evidence-based guidance (science to policy) for public and private sector stakeholders on climate change adaptation and mitigation Key Outcomes Strategies and plans addressing climate change impacts are based on the best available evidence and supporting science Leading-edge strategies and best practices for climate change adaptation are successfully implemented, monitored and evaluated by TRCA and municipal partners Reduced vulnerability and risk to human safety, private and public property, essential structures and infrastructure and ecosystem functions and services Key Activities – 2018-2021 Continue to conduct climate change impact, vulnerability and risk assessments for partner municipalities Support TRCA partner municipalities in the development of climate change adaptation action plans Lead research projects that inform adaptation action plan implementation Ensure that understanding of climate change impacts and risks is integrated into updates to TRCA-led watershed and waterfront plans and other guidance documents (e.g., stormwater management criteria, LID guidelines, invasive species strategies, planting programs) Develop and evaluate key performance indicators to measure the impact of TRCA-led climate action Provide guidance on evolving federal and provincial climate policy and funding programs Business Synopsis and Rationale 2017-2021 Climate Science 249 Outlook TRCA will continue to maintain and expand its science/technical climate change expertise and services. To enhance the efficacy and uptake of these offerings, TRCA will significantly expand its efforts in climate change policy, advocacy, and regional coordination to assist public sector partners in proposed implementation of region-wide climate strategies and action plans. This may include new initiatives to accelerate and/or coordinate climate adaptation planning and implementation across jurisdictional, sectoral and institutional boundaries. The Provincial Climate Change Strategy (2016) and Cap and Trade Program (2017) have a strong focus on advancing and funding mitigation activities in support of achieving provincial greenhouse gas reduction targets. However, the opportunity to invest in carbon sequestration through afforestation, wetland creation and other naturalization initiatives undertaken by TRCA is yet to be fully understood as the science is still emerging and will need to inform a carbon off-set protocol that supports current policies. TRCA will actively seek to participate in this scientific advancement and protocol development to determine the links TRCA restoration programs may have to available green funding opportunities and to estimate TRCA’s net contribution to achieving carbon-neutral operations at TRCA and municipalities. Business Synopsis and Rationale 2017-2021 Climate Science 350 51 Water Risk Management 98.4% 99.8% Revenue Sources 34.2% 57.6% 8.2%27.1% 61.8% 11.1% Expenses by Object 2017: 29,849 2016: 20,725 Change: 9,124 % Change: 44.0 2017: 29,551 2016: 20,265 Change: 9,286 % Change: 45.8 0.2% 1.6% In the above donut charts, the outer ring represents TRCA’s 2017 budgeted figures and the inner ring represents TRCA’s 2016 budgeted figures. 52 Water Resource Science Objectives: Enable science-based planning, monitoring, and decision making Enable identification and implementation of best-practices Enable evidence-based program design Meet data needs and requirements of municipal, academic, and private sector partners Program Features Positioning The Conservation Authorities Act, Section 21(a) assigns TRCA a mandate “to study and investigate the watershed to determine a program whereby the natural resources of the watershed may be conserved, restored, developed and managed”. To this end, TRCA maintains research, monitoring, and data analysis capabilities to meet internal and municipal partner data requirements in a manner that maintains intellectual property, data integrity, and cost-effectiveness. TRCA may offer free, and/or fee-for-service, data collection, sharing, and/or analysis for projects in which it is actively involved. TRCA has conducted (and continues to conduct) research and method validation for Low Impact Development and stormwater management pond (SWMP) cleanout and retrofit technologies. As a result, TRCA holds unique local competencies in SWMP cleanout practices and offers this service to municipalities on a primarily fee-for- service basis. When bundled with habitat and/or public greenspace enhancements, TRCA’s offerings provide economic and environmental value-added services at low marginal cost. Context Many TRCA Service Areas - including Water Risk Management, Regional Biodiversity, and Watershed Studies and Strategies – require high volume data collection and analysis to develop and legitimize plan and policy development. TRCA undertakes its own data collection activities because the scope and scale of data collection, the need for known and standardized QA/QC and on-call expertise, and the applied use of TRCA landholdings, render the use of consultants inappropriate and prohibitively expensive. In-house data collection is also more easily and responsively adapted to evolving needs. Approximately 61% of TRCA’s jurisdiction is urbanized or urbanizing. Accompanying increases in surface hardening and stormwater collection through grey infrastructure diverts water flows away from natural features such as wetlands and groundwater recharge zones. Low Impact Development (LID) technologies offer alternatives to grey infrastructure and provide an opportunity to reduce negative outcomes associated with urbanization. Adoption and implementation of LID technologies, however, are currently hampered by policy barriers related to performance validation as well as by high implementation costs associated with early stage commercialization. TRCA’s jurisdiction contains approximately 995 stormwater management ponds, the life expectancy of which spans from eight to 12 years without major maintenance. The cleanout and/or retrofit of a SWMP typically costs approximately $300/m3 of sediment requiring removal (or ~ $350,000/SWMP) and can pose unique construction and environmental complications. Stressors and Opportunities Water Resource Science provides the empiric and theoretical foundation for many TRCA activities. The loss of comprehensive and/or sustained data collection could threaten the legitimacy of TRCA plans and recommendations. Changing climate and weather patterns in the Toronto region will result in more frequent and intense storm events. During a rain event, the “first flush” of stormwater over impervious surfaces contains a significantly high concentration of pollutants. LID measures can detain and treat flows of highly contaminated stormwater headed for local waterways, allow for onsite contaminant reduction and groundwater recharge, and protect nearby natural features reliant upon surface and/or groundwater inflows. Provided they can be rendered increasingly cost-effective and applied at scale, LID technologies pose the opportunity to mitigate the negative hydrologic impact of urban surface hardening. Business Synopsis and Rationale 2017-2021 Water Resource Science 153 Many SWMPs within TRCA’s jurisdiction are operating at reduced capacity and require maintenance or retrofit to continue to meet design objectives. TRCA’s assessment of SWMP cleanout practices have led to offerings tailored to local climate, sediment, and hydrologic conditions. TRCA’s collaborative fee-for-service model provides municipalities with cost-effective, low-risk services to meet SWMP maintenance needs as they arise. Funding Water Resource Science is funded through municipal levy as well as federal and provincial funding. Agreements with environmental analytical laboratories at the Ontario Ministry of the Environment and Climate Change and City of Toronto laboratories provide significant cost mitigation by performing sample analysis on an in-kind and/or at-cost basis. Direct Actions and Activities TRCA maintains physical and intellectual assets – including 320 monitoring stations – required for assessing hydrology, river hydraulics, water quality, fluvial geomorphology, and hydrogeology across the jurisdiction. TRCA’s comprehensive data collection and analysis capabilities increase standardization, reduce risk, and ensure predictable and cost-effective operation. Economies of scale are realized by centralizing and sharing data between programs including source water protection, stormwater management, and hydrology and floodplain mapping. TRCA undertakes research to determine the effects of traditional stormwater management and LID infrastructure on local natural features, runoff quantity, and quality. These data are used to inform sustainable community design parameters, inform planning and permitting reviews and criteria, and protect natural features such as wetlands. This last consideration holds considerable significance for individual landholders for whom the aesthetic and recreational values of natural features offer a property value premium. As requested and funded by municipalities, TRCA conducts stormwater management inventories, pond clean- outs and retrofits. To date TRCA has conducted an average of three clean-out/retrofits per year; it is anticipated that this quantity will remain stable or increase in coming years. Cleanout and retrofit initiatives restore stormwater management pond capacity and improve physical and chemical water quality parameters, thereby reducing flood and pollution risk. Complementary TRCA Actions and Activities Water Resource Science is complemented by the following TRCA activities: The Biodiversity Monitoring program collects data that provide ecological context to physical/chemical data collected by the Water Resource Science program Watershed Planning and Reporting, and Planning and Development Review identify future watershed scenarios and outline current and future data needs Key Outcomes Plans, criteria, and recommendations are based on defensible data and supporting science Defensible expert advice and best practices services are provided to internal, municipal, and private sector partners Data sets are of sufficient extent and quality to be utilized by academic research partners and published in peer-reviewed publications Business Synopsis and Rationale 2017-2021 Water Resource Science 254 Key Activities – 2018-2021 Finalize flood management guidelines and provide training and technical support to staff, municipal partners, provincial agencies and the building industry Complete stormwater pond inventory and prepare maintenance plans Undertake stormwater and Low Impact Development retrofit projects in partnership with local municipalities Initiate and finalize major update to Low Impact Development (LID) Guidelines in collaboration with partner conservation authorities and provide training and technical support to staff, municipal partners, provincial agencies and the building industry Continue long-term Regional Watershed Monitoring to add necessary data and to track changes within watersheds and throughout the Toronto region Outlook TRCA will intensify investigation of the impacts of urban development and climate change on flood risk, groundwater resources, erosion, and water quality in TRCA watersheds through advanced modelling and monitoring. In concert with partner municipalities and the provincial government, TRCA will also seek to develop innovative stormwater management strategies that fully address climate change and urbanization impacts. Business Synopsis and Rationale 2017-2021 Water Resource Science 355 Flood Management Program Objectives: Prevent, eliminate or reduce the loss of life and property due to flooding Protect and regenerate natural systems to reduce frequency and severity of flooding Program Features Positioning The Conservation Authorities Act (1946) grants conservation authorities a mandate to reduce the risk to life and property from flooding. As a result, TRCA provides municipalities and citizens with comprehensive flood risk identification, warning, and mitigation services. Context In 1995, the Minister of Natural Resources (now Minister of Natural Resources and Forestry) delegated natural hazard responsibilities to conservation authorities. This delegation included flood plain management, hazardous slopes, Great Lakes shorelines, unstable soils and erosion - all of which are now encompassed in Section 3.1 "Natural Hazards" of the Provincial Policy Statement (2014). In this delegated role, conservation authorities are responsible for representing the "provincial interest" on natural hazards. The 18 upper and lower-tier municipalities within TRCA jurisdiction contain 15 provincially designated Special Policy Areas (SPAs), and 43 Flood Vulnerable 'clusters'. These clusters are historical flood damage centres or neighbourhoods that have a high concentration of Flood Vulnerable Areas (FVAs) - buildings or roads within the regulatory floodplain. At last count, there were over 6,800 FVAs, encompassing over 36,000 people, within TRCA floodplains. Utility infrastructure and major transportation routes including the DVP, 401, and GO Transit lines are also at risk.. TRCA owns and manages flood control infrastructure to manage and mitigate floodplain and/or erosion risk; this inventory includes 11 dams, five of which were constructed for flood control, and 15 other flood control structures that include dykes and channels that reduce flood risk in flood vulnerable areas. These dams and flood control structures reduce flood risk to residential homes, commercial areas, transportation corridors and other critical infrastructure. Stressors and Opportunities Climate predictions for the Toronto region point to more extreme weather patterns including more frequent and intense rainfall events. Stormwater runoff continues to be exacerbated by ongoing development and urbanization practices that incorporate inadequate stormwater controls. Collectively, these conditions will place additional loading on existing flood infrastructure whose capacity is already limited as it approaches its service life. Ensuring flood infrastructure is able to meet both existing and future wet weather events is critical to managing risk to property and life. One or both of the cost of flood remediation works, and/or the attendant risks of flood related disruptions to society and commerce, are expected to increase. The renewal of flood and stormwater infrastructure – in particular of stormwater conveyance channels/systems - poses a significant opportunity to apply natural design standards to reduce stormwater intensity, increase resilience to wet weather events, improve runoff water quality, and create or enhance riparian habitat and aquatic communities. A robust Toronto region real estate market continues to prompt applications for development including intensification in SPAs and FVAs. The approval of these developments has the potential to compound flood risk, increase the impact of flood events, and entrain liability questions. Funding Funding for Flood Management is obtained primarily through general and municipal levy. Matching dollars (1:1) for specific projects are obtained through the Ministry of Natural Resources and Forestry Water and Erosion Control Infrastructure (WECI) program. Business Synopsis and Rationale 2017-2021 Flood Management 156 Direct Actions and Activities TRCA commissions and maintains floodplain mapping studies, and the associated hydrology and hydraulic models. These studies identify the regulatory floodplain, that is, the flood hazard area, within the TRCA jurisdiction. Currently, TRCA maintains approximately 500 floodplain map sheets resulting in the regulation of 14,300 ha of flood prone areas. TRCA staff continually maintains, updates, and expands the floodplain mapping data set to corresponding municipal needs and objectives, including Official Plan updates, to ensure our municipal partners have the most up to date and current flood information. TRCA is also currently undertaking an update of the FVA inventory. TRCA maintains and operates a Flood Forecasting and Warning Network composed of 20 stream gauges and 12 precipitation gauges; all gauges have alarms that provide TRCA Flood Duty Officers with early indicators of flood potential. This comprehensive remote rainfall gauging network spans TRCA’s jurisdiction and provides real-time river water levels and rainfall data to TRCA’s Flood Forecasting and Warning Centre. When wet weather or other hydrological events (i.e. thunderstorms) pose a threat to citizens, infrastructure, or property, TRCA Flood Duty Officers alert relevant public response agencies and issues appropriate warning messages to the public. Flood control infrastructure managed and maintained by TRCA mitigates the volume and intensity of stormwater flows reaching vulnerable areas. The Claireville and G. Ross Lord dams retain water flows upstream of highly populated areas of the lower Don and Humber rivers, respectively. During low flow periods the dam’s reservoirs provide baseflow quantities sufficient to meet aquatic wildlife and habitat needs in the lower river stretches. TRCA Flood Management program conducts extensive data collection, flood modelling, and plan development to mitigate flood vulnerability and steer development outside of flood and erosion hazard areas. Intense and sustained rainfall conditions nonetheless occasionally overwhelm system capacity and result in damage. In such circumstances TRCA provides at-cost engineering and construction services to municipal partners through Restoration and Infrastructure; TRCA service delivery focuses on expedited repair, reduced financial risk to municipal partners and, where appropriate, enhanced aesthetic or natural features. Complementary TRCA Actions and Activities Flood Management is complemented by the following TRCA activities: Erosion Management initiatives identify and remediate priority erosion sites Planning and Development Review initiatives direct development away from the floodplain Stormwater management initiatives mitigate runoff impacts from urban development Climate Science research and modelling initiatives enable preparation for future climate scenarios Key Outcomes Reduced risk to human safety Reduced risk to private and public property Reduced risk to essential structures and infrastructure Improved aquatic habitat Key Activities – 2018-2021 Continued investment in the real-time monitoring network, ensuring the allocation of resources towards highly flood vulnerable areas, together with updates to the flood monitoring website to provide enhanced reporting of real-time conditions Use of best practices and updated technology while regularly updating floodplain maps, including the use of two-dimensional hydraulic models where applicable Enhancements to the flood forecasting and warning program through the development of better now- casting models, decision support tools, and the use of Incident Management System to ensure inter- operability with municipal partners Continued operation, maintenance and inspections of TRCA dams and flood structures, includes implementation of major capital projects to repair deficiencies and ensure structures are safe and functioning at the required level Business Synopsis and Rationale 2017-2021 Flood Management 257 Outreach programs to educate our partners and the public on flood risks and foster a culture of personal preparedness Scoping and feasibility studies, along with design support (to the limit of available funds) for flood remedial capital works projects, with a focus on Special Policy Areas (i.e. Lower Don, Downtown Brampton, Rockcliff SPA, Dixie/Dundas, Spring Creek) Outlook Flood Management will continue to be responsible for producing long term plans for the sustainable management of flood risk to minimize impacts due to riverine flooding on life and property. Business Synopsis and Rationale 2017-2021 Flood Management 358 Erosion Management Program Objectives: Prevent, eliminate or reduce the risk to life and property from flooding, erosion and slope instability Encourage the protection and regeneration of natural systems Program Features Positioning The Conservation Authorities Act (1946) underlies TRCA’s mandate to reduce risk to life and property from erosion hazards. Accordingly, TRCA offers comprehensive and integrated erosion identification, assessment and remediation services (collectively “erosion management”) to municipal and provincial partners and private property owners. Erosion works are frequently bundled with habitat and/or public greenspace enhancements to achieve aesthetic, environmental, and economic gains at low marginal cost. These enhancements, combined with the ability to offer streamlined environmental assessment and permitting services, make TRCA’s offerings unique in the delivery of both economic and environmental value-added services. Context In 1995, the Minister of Natural Resources (now Minister of Natural Resources and Forestry) delegated natural hazard responsibilities to conservation authorities. This delegation included flood plain management, hazardous slopes, Great Lakes shorelines, unstable soils and erosion, all of which are now encompassed in Section 3.1 "Natural Hazards" of the Provincial Policy Statement (2014). In this delegated role, conservation authorities are responsible for representing the "provincial interest" on natural hazards. TRCA’s jurisdiction spans nine watersheds that contain several major ravine systems and stretches approximately 67 kilometres (km) along the Lake Ontario shoreline. Of land within TRCA’s jurisdiction, 4,124 ha (or ~1.6%) is owned by TRCA to mitigate floodplain and/or erosion risk; this area represents a highly conservative estimate of erosion vulnerable area within TRCA’s jurisdiction. To manage and mitigate flood and erosion within a highly urbanized area, TRCA owns and maintains an inventory of more than 500 erosion control structures that provide protection for pathways, roads, bridge abutments, sewer infrastructure, green space and private property. Stressors and Opportunities There is scientific consensus that climate and weather patterns in the Toronto region will yield more intense storm events with attendant risks to municipal infrastructure. Stormwater runoff from such events will be exacerbated by ongoing development and urbanization practices that incorporate inadequate stormwater controls. Increased stormwater flows, in combination with stormwater infrastructure that is nearing the end of its lifecycle throughout the jurisdiction, is expected to dramatically increase risk to property and life. As such, the costs of erosion maintenance and remediation are anticipated to increase considerably in the future. The expertise of TRCA’s Erosion Management Program is recognized and accessed by several partner municipalities and other conservation authorities; TRCA now enters into agreements with both groups to assist with projects in which it holds expertise. Through such opportunities, TRCA is enhancing already strong partnerships and reducing project cost and uncertainty for municipal partners for works undertaken outside TRCA’s jurisdiction. Funding Funding for Erosion Management is obtained primarily through municipal levy and special capital projects. In certain circumstances, partial or full cost recovery (typically $10K - $100K per property) will be collected from private landowners when an alternate agreement cannot be reached. Direct Actions and Activities TRCA monitors existing erosion control structures and known hazard sites on public and private property. New erosion control works are typically planned in accordance with the Class Environmental Assessment for Remedial Flood and Erosion Control Projects (amended 2013) or Class EA (the approved process for erosion projects undertaken by conservation authorities). Business Synopsis and Rationale 2017-2021 Erosion Management 159 A condition assessment and priority ranking of all hazard sites and existing structures is maintained and updated annually or as conditions require (such as following a significant weather event). These priority rankings provide the rationale for TRCA’s annual and long-term work plans for erosion control maintenance and remedial works. Complementary TRCA Actions and Activities Erosion Management is complemented by the following TRCA activities: Planning and Development Review and floodline mapping initiatives direct development away from areas vulnerable to erosion and communicate risks to existing property owners and seeks to mitigate existing hazards to private land Climate Science research and modelling initiatives offer insight and enable preparation for future climate scenarios Stormwater management initiatives promote the reduction of runoff which is known to exacerbate flooding and erosion Key Outcomes Reduced risk to human safety Reduced risk to essential structures and infrastructure Reduced risk to safety and marine vehicles from sedimentation Improved terrestrial and/or aquatic habitat Key Activities – 2018-2021 Conduct annual and post-storm monitoring of TRCA and partnering priority sites to generate a prioritized list of maintenance and remedial works to be undertaken in 2018 and beyond Continue the planning, design and construction of maintenance and remedial projects as identified in 2016 on a priority basis, to the limit of available funds, including Class EA projects Outlook The Erosion Management Program is anticipated to continue in its present form. As noted, the scope of the program is expanding to serve as a source of expertise to conservation authorities in adjoining jurisdictions on a cost-recovery basis. The scale of the program may also increase as weather patterns become more volatile and rainfall events intensify. TRCA’s Erosion Management Program is capable of adapting to these circumstances; the business model is readily scalable as works undertaken each year are bounded only by available funding. Business Synopsis and Rationale 2017-2021 Erosion Management 260 61 Regional Biodiversity 88.3% 11.7% 88.0% 12.0% Revenue Sources 73.2% 18.6% 8.2% 69.1% 22.6% 8.3% Expenses by Object 2017: 12,893 2016: 11,326 Change: 1,567 % Change: 13.8 2017: 13,331 2016: 11,586 Change: 1,745 % Change: 15.1 In the above donut charts, the outer ring represents TRCA’s 2017 budgeted figures and the inner ring represents TRCA’s 2016 budgeted figures. 62 Ecosystem Management Research and Directions Objectives: Identify and address urban ecosystem health data, science, policy, and practice deficiencies Support the development of objectives, targets and metrics for ecosystem health Enable science-based planning and decision making Identify best-practices for urban ecosystem management Improve watershed health Program Features Positioning TRCA’s Ecosystem Management Research and Directions program responds to information needs and knowledge gaps identified internally or by municipal partners. Pre-existing relationships with academic, non- profit, and private sector partners are maintained and, where favorable, TRCA enters into partnerships to address overlapping research needs and interests. Use of this research partnership model increases and diversifies external funding and human capital for TRCA-initiated and/or managed research and enables TRCA to meet high priority research needs in a cost-effective manner. TRCA maintains in-house expertise in applied aquatic and terrestrial ecology and green infrastructure that is relevant across the urban-rural gradient. In addition to ensuring value creation and capture in partnership arrangements, TRCA’s on-demand internal expertise allows independent research in support of internal, municipal, provincial, and federal program and policy development. Internal capacity also ensures the early inclusion of integrated watershed management principles and systems thinking in knowledge generation, planning and policy development, and practical application. Context An extensive body of academic literature exists on the ecological targets, methodologies, and best practices for urban, near-urban, and rural ecosystem management. This literature has identified habitat quantity and quality - including how well habitat is connected - as critical factors in climate change resilience, biodiversity protection, and ecosystem health preservation. Many conceptual frameworks, best management practices, and technical methods from the ecosystem science literature are transferrable to the Toronto region; interpretation at the watershed scale, however, is critical and requires the development of customized ecological targets and management approaches applicable to specific local and regional contexts. Stressors and Opportunities In the past, TRCA has worked with municipal and provincial partners, academic institutions, and other stakeholders to define ecological targets and fill associated information gaps. Many ecological targets for terrestrial and aquatic ecosystems, however, remain outstanding; existing aquatic and terrestrial objectives have yet to be integrated to specifically reflect, and robustly incorporate, Toronto region natural systems information. As a result, many important ecosystem interrelationships may be inadequately quantified and understood at the local level. These data gaps create barriers to the optimization of TRCA policy and planning processes and the ability of TRCA and our partners to manage Toronto region ecosystem structure and function. Climate change is expected to yield a warmer and more variable southern Ontario climate with increased extreme weather events such as droughts and storms. These changes will stress ecosystems and are expected to negatively affect water balance and availability, groundwater levels, stream flow, channel and bank stability, surface water quality, and terrestrial and aquatic habitats. As a result, there is a need for climate change considerations to be explicitly incorporated into new and existing ecosystem management objectives, targets, and actions. On the ecological side, actions are expected to include creating and increasing redundancies in habitat quantity, quality, distribution, and connectivity. Likewise, with respect to hydrology, there is a need to better understand and manage how water flows across landscapes between terrestrial and aquatic systems to maintain ecosystem structure and function. Understanding and establishing integrated spatiotemporal habitat and hydrological targets represents a strong opportunity to increase climate change resilience and reduce ecological risk. Business Synopsis and Rationale 2017-2021 Ecosystem Management Research and Directions 163 Both greenfield development and urban retrofit land use changes will continue to have substantial impact on ecosystem management. The careful consideration of ecological objectives during the planning, design, and review of these urbanization initiatives provides an opportunity to utilize the development planning process as a mechanism to realize ecological objectives and targets. The Toronto region is home to substantial academic and government research activity and capability. With adequate commitment and sustained funding, few barriers are anticipated to assembling credible research teams capable of addressing the current knowledge gaps and supporting the program outcomes and activities. This includes the development of defensible ecological targets for the Toronto region. The continued emergence and acceptance of the Ecohealth concept - the recognition and quantification of ecosystem associated health benefits – will continue to provide TRCA with opportunities to partner with stakeholders in the public health and medical fields to advance shared objectives. Funding Funding for ecosystem management research is obtained primarily through municipal levy and government and academic grants. Where appropriate, in-kind funds for primary research are secured through research partnerships. Direct Actions and Activities Ecosystem Management Research and Directions synthesizes the outcomes of primary research and scientific literature with local data to help develop ecosystem targets, management plans and strategies, policies, and practices that are sensitive to local social, ecological, and economic considerations. When appropriate, TRCA builds partnerships with academic, public, and/or private organizations to undertake new or supplementary research that addresses a variety of urban and near-urban ecosystem health and management issues. Research outputs (e.g. data, models, survey results, literature review reports) are used to support the implementation and/or update of TRCA corporate strategies and plans in support of The Living City Policies. Complementary TRCA Actions and Activities Ecosystem Management Research and Directions is complemented by the following TRCA activities: Policy Development and Review identifies key development stressors and opportunities within TRCA’s jurisdiction Watershed Planning and Reporting processes help identify and situate data and knowledge gaps within an integrated watershed management perspective Restoration and Regeneration initiatives and monitoring of site performance following remediation activities support best practice evaluation and adaptive management Water Resource Science and Biodiversity Monitoring provide the raw data, and analysis thereof, to support the assessment of local conditions, vulnerabilities, and early-stage climate mediated change The Ontario Climate Consortium (the Secretariat for whom is hosted by TRCA) generates and/or synthesizes wide-ranging, evidence-based guidance for public and private sector stakeholders on climate change adaptation and mitigation Key Outcomes Municipal partners’ technical and policy/planning needs are supported with defensible science and local evidence Up-to-date urban and near-urban ecosystem management principles are advanced through TRCA documents and initiatives, municipal Official Plans, master plans, strategies, as well as other relevant internal and external documents and regulations Indicators of terrestrial and aquatic ecosystem structure and function are developed and used to enhance assessments of watershed health Data analysis and synthesis that are of sufficient quality to be utilized by academic research partners and published in peer-reviewed publications Business Synopsis and Rationale 2017-2021 Ecosystem Management Research and Directions 264 Key Activities – 2018-2021 Ecosystem Management Research and Directions for 2018-2021 focus on: Identifying key knowledge gaps to achieving TRCA’s strategic goals and develop a research agenda that addresses these gaps Developing planning and decision support tools for terrestrial and aquatic ecosystem management that explicitly incorporates natural and urban areas, the integration of natural and engineered measures, and vulnerabilities associated with land use changes and extreme climate events Completing and implementing the Ecosystem Compensation Program; continuing the development and implementation of the Restoration Opportunities Bank Supporting implementation of the TRCA Crossing Guidelines for Valley and Stream Corridors and completing a crossings effectiveness study Outlook Ecosystem Management Research and Directions will continue to adapt to the evolving state-of-science and practice as well as to municipal partner needs. A responsive research agenda will developed and implemented in which EMR&D will emphasize terrestrial and aquatic ecosystem integration and the evaluation of ecosystem functions; this research will include examining the cascading and interdependent effects of both beneficial and detrimental alterations on terrestrial and aquatic habitat across natural and urban environments. Climate and land use scenarios and uncertainties will also be explicitly examined to advance the understanding and management of these stressors as they relate to ecosystem function. Research and data synthesis will proceed in a comprehensive manner and with an emphasis on understanding and informing urban ecosystems management and development planning. The increasing recognition that ecosystem structures enable ecological functions (with demonstrable value) creates a need for ecosystem structure-function-service relationships to be more fully evaluated, quantified, and articulated in a format useful to decision makers. To this end, EMR&D will expand its assessment of living and engineered green infrastructure impacts in areas both inside and outside areas considered “natural”. This research will include evaluating the ability of living and green infrastructure to provide ecosystem functions traditionally thought only available from natural areas, and the implications thereof. The above research will allow TRCA to be more effective in implementing urban and near-urban ecosystem management principles that are responsive to societal needs while managing uncertainties associated with climate and land use change. Business Synopsis and Rationale 2017-2021 Ecosystem Management Research and Directions 365 Biodiversity Monitoring Objectives: • Enable science-based planning and decision making • Enable best-practice identification and implementation • Enable evidence-based program design • Meet data needs and requirements of federal, provincial, municipal, academic, and private sector partners Program Features Positioning The Conservation Authorities Act, Section 21(a) assigns TRCA a mandate “to study and investigate the watershed to determine a program whereby the natural resources of the watershed may be conserved, restored, developed and managed”. To this end, TRCA maintains research, monitoring, and data analysis capabilities to meet internal, municipal, provincial, and federal partner data needs in a manner that protects intellectual property and data integrity while minimizing expense. TRCA may offer free or fee-for-service data collection, sharing, and/or analysis for projects in which it is actively collaborating. It also actively partners with adjacent conservation authorities to address regional data needs in a consistent and coordinated manner; the standardization of monitoring protocols at diverse sites allow data integration and comparison with watershed- and region-scale data sets. As part of an integrated service delivery model, Biodiversity Monitoring enables TRCA to accelerate the adaptive management cycle and to address emerging opportunities and concerns more quickly, comprehensively, and cost-effectively. Context Many TRCA program areas - including Restoration and Regeneration, Forest Management, and Watershed Studies and Strategies – require high quality data collection and analysis to inform plan/policy development and habitat creation or restoration initiatives. The scope and scale of data collection, the need for in-house QA/QC practices and specialized expertise, and the frequent requirement for access to TRCA lands, partnerships, and/or specialized aquatic monitoring equipment render the use of consultants unsuitable and prohibitively expensive for most projects. Stressors and Opportunities Biodiversity Monitoring provides the empirical and theoretical foundation for numerous TRCA initiatives. Many Biodiversity Monitoring activities, however, do not produce immediately recognizable, stand-alone outputs. If funding pressures were to prohibit sustained data collection, the legitimacy of TRCA plans and recommendations may be compromised. Further, long-standing data records reflecting the effects of urbanization, climate change, and environmental restoration activities may be interrupted. The absence of robust, comprehensive, and continuous data records would compromise the ability of private and public sector clients to access data to support or refute proposals in a timely manner. TRCA’s involvement in Toronto region monitoring collaborations (including advisory services to adjacent conservation authorities) ensures data collection targets and protocols are regionally coordinated and consistent. This consistency of approach increases data value and usability for public, private, and academic partners while reducing unproductive data collection redundancies. Funding Funding for biodiversity monitoring is obtained through municipal levy, federal funding and special capital projects. Significant in-kind contributions are made by Ontario Ministry of the Environment and Climate Change and City of Toronto for laboratory analysis of water samples. Business Synopsis and Rationale 2017-2021 Biodiversity Monitoring 166 Direct Actions and Activities Fixed monitoring sites are assessed on an annual or rotational basis and provide insight on the effects of regional urbanization on terrestrial and aquatic habitat, species and communities. Results from this work, in combination with comparable site specific monitoring undertaken at development and restoration project sites, guide greenspace acquisition, restoration planning, and management strategies to ensure continued biodiversity and regional ecosystem stability. The data may also be used to establish pre-development baselines and assess the relative success or failure of sustainable community building and restoration activities. In addition to fixed plot sites, TRCA conducts a Terrestrial Biological Inventory and Assessment on lands acquired or scheduled for development. By applying the same methodologies used at fixed plot monitoring sites, TRCA garners data that inform regional analysis and perspective on issues such as the distribution of species of conservation concern and landscape-scale opportunities and threats. Waterfront monitoring activities assess the abundance and diversity of aquatic habitat and communities such as fish. Data from this program validate the effectiveness of aquatic habitat restoration activities and guide and/or support future water and/or waterfront initiatives and environmental assessments (EAs) while demonstrating compliance with federal and provincial fisheries legislation. Complementary TRCA Actions and Activities Biodiversity Monitoring is complemented by the following TRCA activities: • Water Resource Science collects data that provide physical and chemical context to ecological data collected by the Biodiversity Monitoring program • Watershed Planning and Reporting and Ecosystem Management Research and Directions identify future watershed scenarios and outline current and future data needs • Restoration and Regeneration projects identify and/or motivate site specific monitoring Key Outcomes • Plans and recommendations are based on defensible data and supporting science • Data sets are of sufficient extent and quality to be utilized by academic research partners and published in peer-reviewed publications • Defensible expert advice and best practices services are provided to internal, municipal, and private sector partners and stakeholders Key Activities – 2018-2021 • Maintain and expand the Biodiversity Monitoring network, including required investments in capital assets (data collection equipment/instruments) and human capital (staff resources and training on current practices and techniques) • Investigate and implement data and information technologies to more effectively house and share large data sets • Streamline internal and external data/information sharing and transfer • Support the development of key TRCA communication products including watershed report cards (2018) and the next generation of watershed strategy reporting Outlook The Biodiversity Monitoring program will continue to pursue partnerships and technologies that expand, refine, and coordinate the scope and scale of data collected while enhancing data integrity, security, and accessibility. Additional avenues – either through increasing accessible platforms or new communications products – will be sought to highlight the type of data available, the value resulting from its collection, and/or specific narratives used to enhance TRCA’s understanding of issues and outcomes related to regional biodiversity. Business Synopsis and Rationale 2017-2021 Biodiversity Monitoring 267 Restoration and Regeneration Objectives: Plan and implement the protection and restoration of natural systems to: o Protect and restore ecosystem health and function o Enhance landforms and shorelines o Improve watershed health o Increase natural cover Program Features Positioning The Conservation Authorities Act, Section 20 assigns TRCA a mandate “to establish and undertake… a program designed to further the conservation, restoration, development and management to natural resources other than gas, oil, coal and minerals.” To this end, the Restoration and Regeneration program undertakes comprehensive and integrated environmental restoration services for public sector partners and private clients. Restoration works are commonly bundled with erosion, habitat and/or greenspace enhancements to achieve aesthetic, environmental, and economic gains at low marginal cost. These enhancements, combined with the ability to offer streamlined restoration plans and permitting services, make TRCA’s offerings unique in delivering both economic and environmental value-added services. Context Healthy natural systems rely on functional hydrologic and landform processes and vegetative cover; impairment occurs when these processes have been altered. The current state of the Toronto region represents over 100 years of such alterations that extend from initial deforestation and draining of wetlands, through the damming of rivers to power mills, to current greenfield development for residential and commercial purposes. As a result of this continued legacy of landscape alteration and/or degradation, TRCA now holds a growing inventory over 10,000 lake, stream, and terrestrial sites that require restoration and/or regeneration. Restoration and regeneration occurs within a multijurisdictional space with diverse legislative and regulatory inputs. To streamline aquatic habitat planning and approval processes, TRCA co-founded the Aquatic Habitat Toronto group which convenes Waterfront Toronto and municipal, provincial, and federal stakeholders and on a regular and collaborative basis. At present no equivalent group exists to coordinate and accelerate terrestrial and riparian project planning through to implementation, however TRCA maintains positive relationships with each of the relevant stakeholders for such initiatives and works closely with these groups to implement priority restoration across the TRCA jurisdiction. Stressors and Opportunities Continued development and urbanization of the Toronto region will continue to compromise natural features, communities, and processes. Through internal collaboration with divisions addressing flood and erosion risk, urban infrastructure retrofits, climate change, resource management, ecology, restoration science and regulatory planning and permitting processes, TRCA is able to identify sites where restorative works can be undertaken at favorable cost-benefit profiles. Despite these service delivery efficiencies, the ongoing creation of new restoration sites and opportunities decrease the rate to which backlog can be addressed. As climate change continues to progress, the number of sites requiring restoration and/or regeneration is anticipated to increase. High intensity storms, such as those witnessed in the summer 2013, can significantly increase restoration site counts and priorities with a single acute event. In contrast, climate change effects such as drought or altered hydrologic regimes will unfold more slowly but create the need for restoration and regeneration over very large areas. Funding Funding for restoration and regeneration is obtained through municipal levy, grants and contracted services throughout TRCA’s jurisdiction. Business Synopsis and Rationale 2017-2021 Restoration and Regeneration 168 Direct Actions and Activities Restoration sites are identified through field assessments; priority restoration site rankings are based on integrating various disciplines within environmental science and are updated annually or as conditions require (i.e. following a significant storm event). Priority rankings inform annual and long-term restoration and regeneration projects and associated habitat improvement projects. Restoration and Regeneration’s expertise assists municipal, regional, and provincial partners in the development of policies and guidelines relating to natural protection and restoration. TRCA also conducts workshops for private landowners, partners and other conservation authorities on ecosystems and biodiversity. Complementary TRCA Actions and Activities Restoration and Regeneration is complemented by the following TRCA activities: The Water Resource Science program collects data that provide physical and chemical context to the ecological data collected by the Biodiversity Monitoring program Watershed Planning and Reporting and Ecosystem Management Research and Directions identify future watershed scenarios and outline current and future data needs Key Outcomes Restored natural hydrologic processes and balanced hydrologic regimes Improved aquatic systems and habitat (including critical habitat) Increased natural vegetative cover, soil stabilization, and terrestrial habitat (including critical habitat) Improved air and water quality Key Activities – 2018 - 2021 Continue to provide expert technical guidance to municipal and agency partners on the natural systems, terrestrial and aquatic habitat, and green infrastructure Continue to develop strategic and integrated restoration plans at both site specific and a reach scale to facilitate and expedite on-ground restoration initiatives Implementation of high priority restoration and habitat projects Continue to provide expertise, data and mapping to municipalities to support the continued development of municipal natural heritage policies, strategies and programs Outlook In addition to remaining abreast of current restoration and regeneration science and engineering, the Restoration and Regeneration program will continue its three-pronged approach of planning, implementation, and regulatory insight to achieve on-the-ground gains. No significant program shifts are anticipated and the program will continue to be sensitive and responsive to the changing needs of municipal partners, cost saving and value-add opportunities, and the state of the natural environment. Business Synopsis and Rationale 2017-2021 Restoration and Regeneration 269 Forest Management Objectives: Establish and maintain healthy, vigorous, and diverse forest cover and associated habitat Improve watershed health Increase awareness and level of engagement throughout communities Program Features Positioning TRCA’s forestry expertise allows it to offer comprehensive and integrated forest management, reforestation and restoration services to municipal and regional partners and private property landowners. Reforestation projects are commonly bundled with habitat and/or public greenspace enhancements to achieve aesthetic, environmental, and economic gains at low marginal cost. To ensure supply availability and cost-effectiveness for the use of native species in TRCA ecosystem regeneration projects, Forest Management operates its own nursery. Locally collected seed is used to grow highly desirable hardy native plant materials well adapted to local conditions. Context TRCA manages over 10,000 hectares (25,000 acres) of forested lands within its jurisdiction. Active management of forests greatly improves forest health parameters including biodiversity and resilience to insects, disease and climate change. Wildlife habitat, environmental protection, stormwater management, and forest long-term survival also benefit from active management practices. The use of locally adapted genetic populations in ongoing planting and other regenerative activities is critical to supporting robust natural cover on the landscape. The use and promotion of native species collected and propagated from local trees and shrubs significantly advances robust natural cover objectives. The emerald ash borer (EAB) is an invasive species that kills host ash trees. Despite substantial research and control efforts, EAB is now found throughout much of southern Ontario. Recent findings and EAB observations in the Toronto region indicate the spread and intensity of EAB infestation has accelerated, and has generally progressed from south to north. Ash infestation peaked in 2015/2016 and the full impact due to hazard trees and forest decline will continue to require attention in the coming years. Stressors and Opportunities Existing forest resources under both public and private ownership are experiencing increased biotic and abiotic stressors including invasive species and climate change. The combined effects of these stresses can have a detrimental effect on the overall health and quality of forest resources and their ability to sustain ecological functions. In particular, continued global trade and an increasingly warm climate anticipate the continued arrival and establishment of invasive species that target trees and other plants. Like emerald ash borer, and Dutch elm disease before it, invasive species may decimate local tree populations, cause extensive ecological damage, and increase risks to human health as trees die and collapse. TRCA uses stressors as educational opportunities to promote good forestry practices and to proactively maintain and increase forest health and vitality. By realizing opportunities to create more knowledgeable and engaged public and private landowners, TRCA fosters a growing constituency of landowners capable of contributing to forest cover targets and associated ecosystem services. The expertise of TRCA’s Forest Management program is recognized and accessed by several partner municipalities and conservation authorities. Other conservation authorities now coordinate planting efforts with TRCA as well as combine program advertising and promotional activities. Through these opportunities TRCA is enhancing already strong partnerships. Business Synopsis and Rationale 2017-2021 Forest Management 170 Funding Funding for Forest Management is obtained primarily through municipal levy, however there is further opportunity to expand our programs to municipal, private, and provincial initiatives. Direct Actions and Activities The Forest Management program fulfills TRCA’s goal of ongoing reforestation and riparian planting on public and private lands. TRCA staff provides reforestation and riparian habitat site planning and advisory services to support tree planting efforts with municipal and regional partners. Planting sites are screened and selected based on established program criteria. To manage and maintain reforestation and restoration, TRCA propagates and produces trees and shrubs at its nursery. Between 2001 and 2015, more than 3.8 million trees and shrubs were supplied and/or planted by TRCA; this number is anticipated to increase in the future. Complementary TRCA Actions and Activities Forest Management is complemented by the following TRCA activities: Ongoing public engagement, community based restoration and education through Community Engagement activities including participation in forest stewardship and reforestation planting events Delivery of Private Landowner Forest Stewardship programming and services Greenspace Acquisition protects and grows the publicly held and managed forested land base for a variety of greenspace values and sustainable nature based recreation activities Risk mitigation activities include hazard tree monitoring and abatement to provide a safe environment for users of TRCA properties The Terrestrial Natural Heritage System Strategy establishes targeted priority enhancement areas for natural cover on the landscape Regional Monitoring programs gauge the general health and integrity of forests across the jurisdiction and document changes over time Key Outcomes Maintain, increase, and improve forest cover Transform marginal and/or agriculturally fragile lands into forests Contribute to watershed objectives including: o Healthy habitat and wildlife populations thereof o Greenhouse gas reduction and climate change adaptation Contribute to landowner and/or citizen benefits including: o Improved outdoor recreation opportunities and attendant academic, health, and wellbeing benefits o Reduced private property energy costs (shade and shelter) o Increased social and community well-being through collective contribution to the natural environment Key Activities – 2018-2021 Analyze, prioritize and coordinate enhanced managed forest implementation on TRCA lands with an emphasis on stands with a high composition of ash trees Continue public engagement and education on best forestry practices Continue identification, planning and implementation of reforestation and restoration priority projects, including the preparation of site specific forest resource management plans Continue to monitor, grow and supply hardy native plant materials from TRCA’s nursery Business Synopsis and Rationale 2017-2021 Forest Management 271 Outlook At present, the Forest Management program is anticipated to continue working toward high quality forest cover capable of sustaining ecosystem functions while providing safe and enjoyable passive recreational opportunities for citizens. TRCA will continue to educate the community and improve existing forest health by implementing good forestry practices. Business Synopsis and Rationale 2017-2021 Forest Management 372 73 Greenspace Securement and Management 65.9% 34.1% 52.3% 47.7% Revenue Sources 19.2% 17.0% 53.8% 10.0% 34.6% 30.1% 18.9% 16.4% Expenses by Object 2017: 8,168 2016: 11,574 Change: (3,406) % Change: (29.4) 2017: 6,574 2016: 10,987 Change: (4,413) % Change: (40.2) In the above donut charts, the outer ring represents TRCA’s 2017 budgeted figures and the inner ring represents TRCA’s 2016 budgeted figures. 74 Greenspace Securement Objectives: Bring environmentally significant natural heritage lands into public ownership Ensure the protection of life and property by securing lands subject to flood and erosion hazards Increase recreational health benefits by allowing public use and enjoyment of natural lands Program Features Positioning The Conservation Authorities Act provides TRCA with the mandate “to acquire by purchase, lease or otherwise and to expropriate any land that it may require.” Land securement protects human life and property by securing lands subject to erosion or flooding hazards, protects the form and function of natural heritage lands by bringing them into public ownership and management, and increases local and regional recreational health benefits by allowing for public use and programming. Greenspace is secured through a variety of methods including fee simple purchases, donations, conservation and other easements, restrictive covenants, leases and management and other agreements. Context TRCA’s current landholdings contain approximately 7.3% of the total land base of TRCA’s jurisdiction; lands include several conservation parks, major ravine systems, the Lake Ontario shoreline, and other existing greenspace holdings of more than 18,000 hectares. TRCA’s Greenlands Acquisition Project 2016-2020 includes criteria from plans and strategies including TRCA’s Terrestrial Natural Heritage System Strategy (TNHSS) and outlines priority areas and parcels for acquisition that are critical to maintaining viable functioning of Toronto region’s watersheds and associated ecosystems. Stressors and Opportunities TRCA is currently constrained in its ability to fund fee simple acquisitions. While the regions of Peel, York and Durham currently have greenlands funding programs that will contribute up to a maximum of 50% of the total cost of acquisition, matching funding sources have proven difficult to obtain. Opportunities to secure greenspace through donation have increased as a result of Environment Canada’s Ecological Gifts Program; this program allows donors to use their charitable tax receipt for up to 10 years and to offset up to 100% of their annual income. While such transactions bring important natural heritage features into public ownership, they are opportunity-based and serve as a complement TRCA’s greenspace securement initiatives. TRCA also continues to acquire lands through the development process for nominal consideration. Funding Funding for securement of nominal value transactions and donations is obtained through current value assessment municipal levy. For market value land/greenspace acquisitions, regional and local municipal programs exist which allocate up to 50% of the total costs for the purchase of priority environmentally significant lands as identified by TRCA; these regional and municipal initiatives are currently constrained by a lack of matching funding. Funding may also be secured from other organizations such as the Nature Conservancy of Canada, the Ontario Heritage Land Trust, and private foundations. Direct Actions and Activities TRCA secured 906 hectares between 2011 and 2015 and achieved over 90% of the 1,000 ha target established in the Greenlands Acquisition Project for 2011-2015. The Greenlands Acquisition Project for 2016- 2020, through which greenspace securement is primarily dictated, identifies funding partners and estimated financial contributions for its five year duration. Based on recent rate projections, it is estimated that greenspace secured could reach 1,000 hectares (2,500 acres). Business Synopsis and Rationale 2017-2021 Greenspace Securement 175 Complementary TRCA Actions and Activities Greenspace Securement is complemented by the following TRCA activities: The Water Resource Science, Flood Management, and Erosion Management programs identify natural hazard areas to target for land acquisition The Ecosystem Management Research and Directions program identifies lands targeted for inclusion through the Greenlands Acquisition Project 2016-2020 Key Outcomes Greenspace is acquired in support of TRCA’s The Living City Policies, integrated watershed and waterfront plans, provincial, regional and municipal official plans and the Terrestrial Natural Heritage System Strategy as well as other TRCA plans and strategies Environmentally significant land/greenspace, including terrestrial and aquatic habitat, is protected Greenspace for health and wellness benefits including air and water quality preservation, trails and active recreation, social enhancement, and aesthetic benefits is protected The use of natural features in the attractiveness of the Toronto region as a location for business and residence is increased Key Activities – 2018 - 2021 Acquire lots of record that are located in the flood plain or in ecologically or hydrologically important areas Secure areas, as they are identified, for source water protection Acquire lands to extend and to complete the missing connections in the TNHSS and public ownership along the river valleys and Lake Ontario shoreline Secure continuous corridors for the regional trail system Acquire greenspace surrounding existing TRCA properties to amass larger areas Communicate the benefits of the Ecological Gifts Program to private landowners Outlook Greenspace Securement will continue in its present form with updated and revised objectives regarding the quantity, location, and parameters of land TRCA seeks to acquire. Program implementation and success will ultimately depend on securing adequate funds to acquire priority parcels of land. Business Synopsis and Rationale 2017-2021 Greenspace Securement 276 Greenspace Management Program Objectives: A network of greenspace and green infrastructure that weaves through every community to connect a healthy and resilient landscape Improved protection of Toronto region’s natural systems More residents engaged more often with nature and in activities that help improve their health and well- being, communities, and environments Program Features Positioning The Conservation Authorities Act (1946) provides for TRCA’s mandate to undertake watershed planning and management programs that prevent, eliminate, or reduce the risk to life and property from flood and erosion hazards and to encourage the conservation and restoration of natural resources. To meet this mandate, TRCA undertakes comprehensive land asset management services on TRCA managed greenspace to reduce human and asset risk from natural or human hazards, eliminate encroachments, and discourage unauthorized use of conservation lands. Through its Greenspace Management activities, TRCA is able to ensure that natural and cultural heritage resources are protected and, where appropriate, provide opportunities for safe and enjoyable recreation experiences to residents and visitors. Context TRCA owns over 18,000 hectares of land within the Toronto region (approximately 7.2% of the TRCA jurisdiction). TRCA’s ownership enables the protection and management of valley and stream corridors, flood plains, the Lake Ontario shoreline, wildlife, vegetation and environmentally significant areas. Over half of TRCA-owned lands are managed outright by TRCA and offer limited or no public access (9,610 hectares) or, instead, serve as conservation parks and education field centres (527 hectares). The balance of TRCA land is managed under municipal management agreements, third-party leases, rentals or other covenants, and easements. TRCA and its municipal partners manage trails, conservation areas and parks, greenspaces, and education centres within communities. Trail linkages include those within ravine systems and on the Lake Ontario shoreline, Oak Ridges Moraine and Niagara Escarpment. Large urban wilderness parks like Tommy Thompson Park offer outdoor activities such as hiking, cross country skiing, bird-watching, and nature appreciation. While most of TRCA’s greenspace provides opportunities for minor recreational or passive non-intrusive use, certain areas are managed to support major recreational uses such as campgrounds, educational facilities, sustainable community demonstration sites, a living museum, and a golf course. TRCA employs best management practices and environmental stewardship - through the establishment of land management and master plans - to protect and conserve the valuable natural and cultural heritage attributes within each of its nine watersheds. All TRCA properties, regardless of the management category and intensity of public use, require regular and proper inspection, land planning, management and monitoring. Stressors and Opportunities Faced with declining quality of much of the region’s greenspace and increased demands for greenspace resources by a rapidly growing urban population, there is presently an opportunity to rethink greenspace as an integrated system. To this end, TRCA will assist municipal partners in the development of a greenspace network that maximizes community well-being and local ecosystem protection. Opportunities associated with this approach include increased citizen health and happiness, increased appropriate access to existing nature, and the creation of new green infrastructure in urban areas. Investment in long-term greenspace management and renewal will be required for these objectives to be realized. Business Synopsis and Rationale 2017-2021 Greenspace Management 177 Continued and enhanced engagement with the indigenous and Metis peoples of the Toronto region represents an important opportunity to strengthen relationships with meaningful dialogue, information exchange, and collaboration within current TRCA programming. While initiatives in this regard are expected to intersect with many facets of TRCA operations, Greenspace Management will ensure consistency and coordination in TRCA’s approach and involvement with each respective community engaged. TRCA lacks stable funding to ensure comprehensive site securement, to maintain state of good repair on existing infrastructure, and to develop additional land management or public use plans that proactively prepare for future public needs for accessible greenspace. The absence of stable public funding indexed to the amount of greenspace managed poses a significant threat to TRCA’s ability to continue providing greenspace access in a responsible manner. Should stable funding sources not be identified, TRCA expects to develop strategies that curtail greenspace access and decrease associated expenses to sustainable levels. Funding Funding for greenspace management is obtained primarily through municipal levy and special capital projects. Taxes and insurance are funded through general levy. Direct Actions and Activities TRCA’s Greenspace Management activities seek to protect and restore the form and function of existing ecological systems. Program initiatives include the assessment, planning, management, monitoring and administration of TRCA properties. These actions ensure that natural and cultural heritage resources are protected and, where appropriate, opportunities are provided for safe and enjoyable visitor experiences. Administrative functions undertaken through the Greenspace Management program include asset inventories and management planning, stewardship and monitoring, site securement and encroachment removal, hazard identification and mitigation, and the administration of insurance and realty taxes. Complementary TRCA Actions and Activities Greenspace Management is complemented by the following TRCA activities: Greenspace Securement and Rental program initiatives bring new lands into TRCA ownership, diversify greenspace management and use, and generate revenue for TRCA programs Forest Management programs assist in the identification and mitigation of natural hazards on TRCA lands and reduce or eliminate the realty tax burden on qualifying lands The Trails program coordinates with Greenspace Management actions on lands where public access via trails is permitted Conservation Parks and School Program field centres include high-intensity public uses such as campgrounds, swimming facilities, educational programing, and other supporting facilities. The basic greenspace management requirements for these lands are consistent with the broader greenspace management framework for all TRCA lands Community Engagement programs are involved in the development, implementation, and monitoring of greenspace management plans and programs Key Outcomes Identify and protect ecological functions and services, and cultural heritage resources, of TRCA lands Provide safe, sustainable public recreation opportunities (where appropriate) and address TRCA liability and risk as a landowner and/or manager Undertake responsible stewardship/partnership with respect to aboriginal engagement and heritage Improve individual and social health and well-being indicators by providing safe access to the natural environment Business Synopsis and Rationale 2017-2021 Greenspace Management 278 Key Activities – 2018 - 2021 Initial inventory of new property acquisitions and greenspace not previously assessed Ongoing audit of TRCA property boundaries and internal property features Ongoing assessment and abatement of hazards along prescribed property boundaries Ongoing greenspace operation activities including site securement, encroachment removal, and property standards maintenance Development of jurisdiction-wide trail and greenspace strategies Ongoing preparation of property specific management and master plans to protect environmental features and identify appropriate potential nature-based recreation activities that may occur Ongoing administration of TRCA’s Cultural Heritage Master Plan including archaeological database management, assessments and monitoring, collection management, aboriginal engagement, and archaeological education and outreach Ongoing collaboration with Parks Canada for the establishment and management of Rouge National Urban Park Outlook As the broader socio-ecological context of the region continues to change, TRCA management systems will seek to remain responsive and adaptive. Greenspace Management activities, however, are dependent on the level of financial resources made available by benefitting municipalities. Where financial support is strong, Greenspace Management activities will continue to be robust, comprehensive and proactive. Where little or no financial support is provided, Greenspace Management activities will include only basic hazard audits and mitigation necessary to permit safe public use on select lands; remaining greenspace in unfunded regions may be closed to public access. Business Synopsis and Rationale 2017-2021 Greenspace Management 379 Rental Properties Program Objectives: Financial sustainability Maximize asset values and associated revenues Comply with relevant legislation Program Features Positioning The Conservation Authorities Act empowers TRCA to lease land that it has acquired. TRCA will, on occasion, acquire property that is improved with residential dwellings/outbuildings and parcels of land that may be suitable for leasing. Provided the environmental features for which the properties were purchased are not negatively affected, the dwellings/outbuildings and suitable land are leased to maximize asset values and associated revenues. Retrofits, upgrades and renovations to the structures are considered in conjunction with TRCA’s overall commitment to sustainability, a healthy and safe environment, and net revenue potential. Context TRCA currently manages 163 leases comprised of 118 residential leases, 19 farm land leases, 8 commercial leases, and 18 ancillary land use leases. Commercial leases include, but are not limited to, cellular telecommunication towers, Wet N Wild, the Frenchman’s Bay Yacht Club, and the Claireville Ranch. TRCA also rents more than 2,534 acres of land for farming purposes including near-urban farm agricultural agreements. TRCA enters into trail agreements and field school agreements with trail organizers and school boards, respectively. Stressors and Opportunities Key stressors associated with maximizing rental income are structure age and condition. Older homes have poor insulation that makes them more difficult to heat and maintain. Budgetary constraints limit the capital expenditures available for building upgrades, and TRCA is exploring partnerships with private individuals or companies wherein uninhabitable TRCA homes (poorly insulated or otherwise) would be renovated in exchange for free or significantly reduced rent over a defined period. At the end of the defined lease period, a housing unit in an improved and habitable condition would be available to TRCA for subsequent lease agreements. TRCA continues to explore and pursue revenue generating opportunities from the lease of TRCA land including of agricultural opportunities and trail agreements. Such agreements may also be hoped to create further community engagement and enhancement opportunities. Funding The Rental Properties program is financially self-sufficient. Revenue generated from this program covers the costs for maintaining the residential properties; net revenue supports staff costs for managing TRCA lands and other corporate programs. Direct Actions and Activities Rental related activities include the management of: rental payments and expenditures; lease terms and conditions; lease renewals and the filling of vacancies; the negotiation of new commercial leases, and; long term restoration agreements. Furthermore, TRCA arranges for regular and major maintenance repairs to the structures and prepares 10 year maintenance plans. TRCA abides by all Ontario Health and Safety Regulations, the Heritage Act, the Ontario Building Code, and the Residential Tenancies Act, 2006 Complementary TRCA Actions and Activities Rental Properties are complemented by the following TRCA activities: Greenspace Securement acquires the properties in the initial stage Business Synopsis and Rationale 2017-2021 Rental Properties 180 Key Outcomes Revenue generation Compliance with all applicable legislation Support staff costs for managing TRCA lands Key Activities – 2018-2021 Ongoing health, safety, and major maintenance inspections Ensure water quality within residential and commercial properties Negotiate long-term occupancies and/or restoration agreements Increase rental income by increasing agricultural leases, cell tower leases, and other lease opportunities Prepare ten-year maintenance plans Outlook Rental Properties will continue to manage the rental portfolio and carry out regular and major maintenance on the residential dwellings. Opportunities for long term restoration agreements and commercial leases will be explored in an effort to increase revenues in support of asset betterment and other TRCA programs. Rental Property income is anticipated to increase in 2017 in accordance with the Residential Tenancies Act. On May 4, 2011, the federal government announced the creation of the Rouge National Urban Park. This site, located within the Rouge watershed, consolidated TRCA, federal, provincial and municipal lands into a new park under Parks Canada management. TRCA is working with Parks Canada on the conveyance of 2,266 hectares of TRCA land to the Park which includes 68 residential leases, 9 farm land leases, 2 commercial leases and 2 ancillary land use leases. TRCA is in discussions with Parks Canada about its ongoing role in the management of the rentals and leases after transfer. Business Synopsis and Rationale 2017-2021 Rental Properties 281 82 Tourism and Recreation 44.0% 56.0% 43.7% 56.3% Revenue Sources 55.9%31.4% 8.9% 3.8% 50.2% 38.5% 8.1% 3.2% Expenses by Object 2017: 18,778 2016: 18,281 Change: 497 % Change: 2.7 2017: 21,963 2016: 18,978 Change: 2,985 % Change: 15.7 In the above donut charts, the outer ring represents TRCA’s 2017 budgeted figures and the inner ring represents TRCA’s 2016 budgeted figures. 83 Conservation Parks Objectives: Provide sustainable and accessible nature-based recreation and tourism experiences for residents and visitors Enable behaviours that foster individual and social health and well-being, including: o Active living through active recreation; and o Connections to nature through recreation Enhance equality, inclusion, and access to natural environment settings for populations facing barriers to participation Deliver high quality customer experiences and increase visitation in support of an eco-tourism economy Ensure financial sustainability and promote sustainable growth Program Features Positioning Toronto and Region Conservation Authority (TRCA) is one of the largest landowners in the Toronto region and manages ten conservation parks across nine watersheds. Proximity to the urban core makes conservation parks attractive to urban and suburban residents and visitors seeking natural spaces and recreation opportunities within the Greater Toronto Area (GTA). In addition to natural spaces, TRCA conservation parks offer unique outdoor experiences by providing specialized, site-based amenities and nature-based recreation activities and products. TRCA facilities also offer the closest camping and RV sites to downtown Toronto. As a result, TRCA conservation parks cater to an important segment of the travel and tourism market by offering easy access to Toronto region businesses, attractions, and amenities. Context TRCA conservation parks are generally located within a 45-minute driving radius of Toronto’s urban core. Daily park admission fees are charged at seven parks, with free admission for children ages 14 and under when accompanied by a paying adult. Park sites for which general admission fees are not charged include campgrounds, sites that offer fewer amenities, and sites subject to agreements whereby park administration expenses are funded by the local municipality. TRCA conservation parks complement local municipal greenspaces by providing enhanced outdoor recreation offerings that include multi-use trails designed for hiking, biking, cross-country skiing and similar activities. In addition to trails, the parks also feature short and long-term camping and RV facilities, swimming pools, splash pads, fishing ponds, fully serviced manicured spaces for gatherings and picnics, and comfort amenities. Specialized facilities include a BMX bike park, Treetop Trekking experiences, and indoor venues that are available as rental venues for private bookings. Conservation parks also serve as host sites for public programs and special events such as family programs, workshops and festivals, adrenaline or adventure races, green weddings, and corporate events. No provincial parks are located within TRCA’s jurisdiction; however adjacent municipalities and watersheds with provincial parks include the Credit, Georgina/Lake Simcoe, Mono, Oakville, and Oshawa/Darlington. Some offerings available at provincial parks such as camping, trails, and public programming, pose direct competition to TRCA’s offerings. TRCA conservation areas are differentiated from provincial parks in their capacity to cater to both public users and private clients. Provincial park fees are structured differently from TRCA conservation park fees making direct comparison difficult. On May 4, 2011, the federal government announced the creation of the Rouge National Urban Park (RNUP). This site, located within the Rouge watershed, consolidated TRCA, federal, and provincial lands into a new site under federal management. Parks Canada is responsible for further development and administration of RNUP, however it is anticipated that Park offerings and constraints will be similar to those of provincial parks. Stressors and Opportunities Business Synopsis and Rationale 2017-2021 Conservation Parks 184 Research indicates that strong links exist between experiences in nature and key academic, health, social and environmental outcomes. As many TRCA conservation parks are situated in locations where access is motor vehicle dependent, these sites offer greater benefit to families who have access to time and resources needed to travel to the parks. TRCA is taking steps to improve park access and diversify visitation through partnerships with organizations such as Park Bus that can provide transportation from Toronto’s core to designated TRCA parks. TRCA will continue to explore potential partnerships with TTC and other transit providers to reduce barriers to access to outdoor recreation. Through the Education and Outreach and Community Engagement program areas, TRCA aims to better engage all demographics of the Toronto region at conservation parks. To do so, TRCA seeks to provide supportive physical, social, and programming environments such that participation in outdoor recreation is available and attractive to diverse citizenry. Such investments present an equitable approach to improving individual and social health and wellbeing indicators across the region. Many of TRCA’s conservation parks were established over 50 years ago and, as a result, a high proportion of existing park infrastructure is now reaching the end of its lifecycle and requires renewal or replacement. Insufficient funding for infrastructure and its attendant risk to human safety and visitor experience poses a challenge to TRCA’s objective of increasing the quantity and duration of conservation park visits. Volatility in fuel prices and Canadian dollar exchange rates may result in more Toronto region residents choosing to spend vacations or other leisure days near their primary residence (“staycations”). Accordingly, increases in the number of area residents seeking single-day outings present an opportunity for conservation parks to enhance attendance and revenue generation. Funding Conservation Parks program is funded through general levy and user fees. Direct Actions and Activities Administration and upkeep of TRCA conservation parks include park maintenance and risk management, staffing, day-to-day operations, program development and management, and business development. In addition to program-specific facilities, infrastructure at conservation parks includes trails, all-season buildings, over 65 seasonal buildings and/or washrooms, three swimming facilities, 56 picnic sites, and over 600 campsites. Complementary TRCA Actions and Activities TRCA’s Greenspace Securement and Management and Trails programs coordinate with Conservation Parks to ensure lands and trails are maintained according to the appropriate standard Education and Outreach, Family Programming, and Festivals and Events offer activities and programming that enhance the visitor experience at conservation parks Key Outcomes Provide positive and memorable outdoor recreation experiences Increase park visitors, park visit frequency, and park visit duration Increase the proportion of attendees ranking their conservation park experience as “good” or better Enhance financial sustainability through partnerships and business development Maintain or enhance demographic diversity of park users Human health benefits from active living opportunities Business Synopsis and Rationale 2017-2021 Conservation Parks 285 Key Activities – 2018-2021 Continued conservation park master plan development and implementation processes Increase partnerships with public and private entities able to offer unique outdoor experiences at conservation parks Offer accessible amenities and programming to all conservation park visitors Address park infrastructure needs on a priority basis Continue examining the costs, revenues, and attendee profile of individual parks to identify service refinement alternatives that increase and diversify attendance and reduce barriers Outlook TRCA will continue to manage its conservation lands to ensure that communities and partners have sustainable access to protected conservation lands, parks, valleys and stream corridors. In addition to daily operations, the activities of Conservation Parks will focus on increasing and diversifying sources of revenue. TRCA will also continue to pursue opportunities to bundle conservation parks membership into package offerings. Internally, TRCA will continue to evaluate its park programming and seek to more uniformly distribute programming offerings across the seasons. Business Synopsis and Rationale 2017-2021 Conservation Parks 386 Waterfront Parks Objectives: Provide sustainable and accessible nature-based recreation and tourism experiences for residents and visitors Enable behaviours that foster individual and social health and well-being including: o Active living through active recreation o Connections to nature through recreation Enhance equality, inclusion, and access to natural environment settings for populations facing constraints to participation Deliver a high quality visitor experience Draw and retain regional tourism visitation by developing high quality waterfront parks and trails Program Features Positioning TRCA is a significant waterfront landholder with jurisdictional authority over the Lake Ontario shoreline, less the Central Waterfront. In combination with TRCA’s standing expertise in park development, project management, erosion and landform works, integrated shoreline management, environmental assessment, public consultation and stakeholder engagement, TRCA provides uniquely comprehensive, streamlined, and value-added waterfront park development offerings that mitigate municipal partner risk and associated expense. Context TRCA’s jurisdiction includes 67 linear kilometres and 231 total wetted kilometres of Lake Ontario shoreline, and TRCA’s shoreline property holdings include 648 ha of the waterfront’s terrestrial watershed. The majority of TRCA’s terrestrial holdings have been converted into public greenspace and waterfront park amenities including Marie Curtis Park, Colonel Samuel Smith Park, Mimico Waterfront Park, Humber Bay Park Complex, Ashbridges Bay Park, Tommy Thompson Park, Bluffer’s Park, East Point Park, Port Union Waterfront Park, Frenchman’s Bay and Paradise Park. Many of TRCA’s waterfront park holdings contain stretches of the Waterfront Trail network. Free of charge and accessed by many millions of users each year, the Waterfront Trail extends over 1,600 km along the Canadian shorelines of Lake Ontario, Lake Erie, and Lake St. Clair and the Niagara, Detroit and St. Lawrence rivers; the trail connects 75 communities, over 400 parks, and many natural areas including wetlands, forests and beaches. The sediments that make up the Toronto region shoreline are generally a mixture of sands, silts, clays, tills, and gravels. These materials are highly erodible; only with shoreline hardening initiatives have the contours of Toronto’s shoreline become fixed. In many areas the shoreline has been modified, and/or new lands created, with the reuse of construction rubble and and/or soils excavated for construction (collectively referred to as lakefill). TRCA has monitored and controlled the chemical integrity of lakefill materials since 1988. Stressors and Opportunities TRCA’s waterfront park infrastructure consists largely of materials and works that prevent shoreline erosion and undermining. Examples include breakwalls, seawalls, and shoreline features constructed with armour stone. Although robust, these works are subject to continual weathering by wave action and many of the structures have reached or exceeded their design life. This has resulted in the need for regular monitoring and maintenance to reduce risks to, among others, marine navigation, public property and buildings, roads and services, and public safety. Business Synopsis and Rationale 2017-2021 Waterfront Parks 187 Because funding for waterfront infrastructure repair has not kept pace with emerging need, significant capital investment is now required to maintain waterfront assets. Acute and chronic stressors include increased frequency and intensity of storm damage resulting from climate change, ongoing deterioration of existing assets, and increased asset stock and liability resulting from new park construction. Accordingly, the cost of waterfront park maintenance and remediation is anticipated to increase for the foreseeable future. Waterfront parks are free, aesthetically pleasing, transit accessible spaces through which citizens and visitors partake in active and passive recreation, enjoy formal and informal events and festivals, and access terrestrial and aquatic natural environments. As climate change increases temperatures and summer heat events increase in intensity and duration, waterfront parks (in particular those with swimmable beaches) will increase in importance as locations for citizens to mitigate heat-related stress. Continued and increased investment in maintaining safe and attractive waterfront parks are an important opportunity to increase attendant benefits to individual and social health and wellbeing while mitigating liability risk. Coordination of shoreline works with landside infrastructure improvements offer the benefits of reduced construction, coordination, and permitting burdens, reduced risk of erosion and undermining to renewed landside assets, and the delivery of a consistent, high quality park user experience. Waterfront park planning and implementation offers significant opportunities for the creation of aquatic and terrestrial habitat. Formally set aside as a park in 1973, Tommy Thompson Park has since been recognized as a globally significant Important Bird Area in part for its role as a stopover site during spring and fall migrations. Similarly, aquatic works such as the wetland creation at Spadina Quay increase feeding and breeding sites for resident fish populations that in turn support local recreational fisheries. The continued deliberate and directed implementation of habitat works at waterfront park locations poses an opportunity to directly enhance local biodiversity, habitat connectivity, and climate resilience. These activities also contribute to the delisting of the Toronto region as a bi-national Great Lakes Area of Concern. The expertise of TRCA’s Waterfont Park program is recognized and accessed by several partner municipalities and other conservation authorities, and TRCA now enters into agreements to assist with projects in which it holds experience. To this end, TRCA is currently providing technical and project management expertise to the Lakeview Waterfront Connection Project - a new waterfront park along the eastern Mississauga shoreline. Through these opportunities TRCA is enhancing already strong partnerships while reducing project cost and uncertainty for municipal partners. Funding Funding for waterfront parks is obtained primarily through municipal levy and contract services. Direct Actions and Activities Waterfront Parks staff partner with municipalities in the planning, implementation, and management of waterfront parks. Roles include facilitating consultation and master planning processes, providing project management services, developing funding and budget management strategies, addressing legal matters arising from new park creation, and conducting ongoing stakeholder communication and outreach. Internal coordination with TRCA Erosion Management staff ensures waterfront park maintenance work is carried out on a priority basis. A condition assessment and priority ranking of infrastructure within waterfront parks is maintained and updated annually or as conditions require (such as following a significant weather event). These priority rankings underpin TRCA’s annual and long-term work plans that reduce risk to public safety, property, and infrastructure through waterfront park maintenance and remedial works. Business Synopsis and Rationale 2017-2021 Waterfront Parks 288 Complementary TRCA Actions and Activities Waterfront Plans and Strategies undertakes necessary environmental approvals including public and agency consultation, oversees park development and implementation, and provides ongoing reporting to project funders Water Risk Management evaluates and addresses erosion/undermining risks identified along the waterfront, including those located in waterfront parks Restoration and Regeneration and Biodiversity Monitoring contribute and collaborate in the development and implementation of Waterfront Parks to realize terrestrial and aquatic habitat opportunities and provide long term monitoring, respectively Greenspace Securement addresses property-related matters that may occasionally arise in the waterfront park development process Archaeology prepares any necessary documentation and First Nations engagement for waterfront park initiatives Community Engagement and Marketing and Communications assist with stakeholder engagement and public consultation Key Outcomes Reduced risk to human and ecosystem health Reduced risk to essential structures and infrastructure Reduced risk to safety and marine vehicles from sedimentation and hazards to navigation Improved terrestrial and/or aquatic habitat Improved outdoor experience and recreational use of the waterfront Key Activities – 2018-2021 Continue development of the Scarborough Waterfront Project and Scarborough Bluffs West Environmental Assessments and subsequent implementation Undertake revitalization projects at Colonel Samuel Smith Park, East Point Park, and Marie Curtis Park including integration with the Arsenal Lands and the Lakeview Waterfront Connection Project Continue to advance the implementation of Rotary Frenchman’s Bay Master Plan and the Humber Bay Parks Master Plan Facilitate Phase II of the Tommy Thompson Park Master Plan, including the transition of remaining lands to TRCA and the full opening of the park to the public Continue to advance the implementation of the Waterfront Trail and integration of Petticoat Creek Conservation Area with Frenchman’s Bay Investigate the feasibility of providing increased watersport activities and other public amenities along the Western Beaches as part of any future breakwall repair Develop a waterfront working group as part of a TRCA citizen governance council Outlook TRCA will continue to develop and revitalize waterfront park amenities and infrastructure in accordance with municipal interests and funding. No major changes to the function or operation of this program area are anticipated. Business Synopsis and Rationale 2017-2021 Waterfront Parks 389 Trails Objectives: More people engaging with nature more often More residents engaged more often in activities that help improve their health and well-being Increased opportunity and options for active transportation A network of greenspace that weaves through every community Program Features Positioning TRCA holds a long legacy of acquiring public land to protect and manage valley and stream corridors, flood plains, Lake Ontario shoreline lands, wildlife, vegetation and environmentally significant areas. The maintenance and expansion of the TRCA trails system provides sustainable nature-based recreation experiences for a growing population, supports healthy communities, facilitates the interpretation of natural and cultural heritage, and provides links with local neighborhoods and connections to surrounding watersheds and regions. As one of the largest landowners in the Greater Toronto Area, TRCA is a leader in the planning, implementation and management of trails and associated infrastructure that provide safe, enjoyable recreational trail experiences for area residents and visitors. These offerings are developed such that the natural and cultural heritage resources are protected. TRCA’s trail management activities also complement TRCA’s aim to provide nature-based recreation experiences for a growing population while protecting and restoring the form and function of existing ecological systems. As the broader socio-ecological context of the region continues to change, TRCA management systems remain flexible and adaptable to these changes while remaining firmly rooted in environmental protection. Context TRCA owns and operates over 600 kilometres of local and inter-regional trails across its jurisdiction. These trails attract visitors and support tourism, serve as invaluable transportation links between other TRCA, municipal and community facilities, and provide a myriad of public health and well-being benefits and recreation opportunities to citizens. Trail assets must be managed in a manner that addresses TRCA’s liability and risk, protects the natural and cultural heritage values for which the greenspaces were acquired, and also offers accessible and enjoyable recreation experiences. TRCA and its municipal partners manage trails, conservation areas and parks, greenspaces, and education centres that are within communities, continuously linked along the ravine system, and ultimately linked with trails on the Lake Ontario shoreline, Oak Ridges Moraine, and Niagara Escarpment. Through the establishment of trail plans, TRCA employs best management practices and/or environmental stewardship to protect and conserve the valuable natural and cultural heritage attributes within each of its nine watersheds Stressors and Opportunities Faced with declining quality of much of the region’s greenspace and increased demands on trail resources by a rapidly growing urban population, TRCA holds a current and pressing opportunity to rethink greenspace as an integrated system. This encompasses the opportunity to help develop a trail network within the Toronto region greenspaces that maximizes both community well-being and the protection of local ecosystems through thoughtful planning and action. Such a trail network will support citizen health and wellbeing through increased appropriate access to existing and enhanced greenspace in urban areas. To ensure the long-term, sustainable preservation and availability of greenspace assets, TRCA will continue to raise awareness of the need to invest in the long-term management and renewal of greenspaces and trail networks therein. Funding Funding for the Trails program is obtained primarily through contracted services and municipal levy. Business Synopsis and Rationale 2017-2021 Trails 190 Direct Actions and Activities In addition to developing and maintaining a jurisdiction-wide trail strategy and associated policies, this program includes site specific trail planning, development, management, assessment and monitoring activities. These initiatives are undertaken with the assistance of government and non-government staff, formal trail partners, and/or public volunteers and stewards. Complementary TRCA Actions and Activities Trails are complemented by the following TRCA activities: The Greenspace Management program directly coordinates with Trails actions on lands where public access via trails is permitted Greenspace Securement initiatives bring new lands into TRCA ownership and facilitate local or regional trail connection objectives Conservation Parks and Field Centres include high-intensity public uses such as campgrounds, swimming facilities, and educational programing and facilities. The basic trail planning and management requirements for these greenspaces are still consistent with a broader trail and public recreation framework for all TRCA lands Community Engagement activities are involved in the development and implementation of trail plans and programs Key Outcomes A healthy and active community Address TRCA’s liability and risk as a trail provider Provide safe, accessible, and sustainable trail opportunities where appropriate Key Activities – 2018-2021 Publish and promote TRCA’s Trail Strategy Complete an initial inventory of trails on new property acquisitions and greenspaces not previously assessed Ongoing audit of authorized trails Ongoing assessment and removal of hazards along authorized trails Coordinate and implement recommendations and deliverables stemming from trail planning, monitoring, and assessment activities including new trail construction, improvement of existing trails, trail re-routing, decommissioning, and restoration, and support for infrastructure and communications Outlook At present, funding support for the Trails program is inconsistent across TRCA’s jurisdiction. Where financial support is strong, trail planning, assessment, monitoring, construction, and management activities can continue to be robust, comprehensive and proactive. Efforts are required, however, to pursue long term maintenance and monitoring funding tied to capital trail development. In regions where little or no support is provided, trail management activities include only the most basic hazard audits and mitigation necessary to permit safe public use on select trails with the remainder of trails closed to public access. The lack of stable funding jeopardizes comprehensive site securement and maintaining states of good repair on existing infrastructure. It also precludes the development of additional trail management or trail plans to proactively prepare for future public demand to access to greenspace. Alternative management and/or funding models must be sought for these regions if stable public funding is not forthcoming. Despite the above concerns, TRCA continues to have some success in securing special project funding for trails on select TRCA lands as well as fee for service arrangements with municipal partners for trail planning, construction and monitoring. These elements of the business model are readily scalable as works undertaken each year are bounded only by available funding. Business Synopsis and Rationale 2017-2021 Trails 291 Black Creek Pioneer Village Objectives: Preserve and promote cultural heritage Demonstrate community relevance Optimize attendance Increase financial sustainability Program Features Positioning Black Creek Pioneer Village (BCPV) is a living history museum located in the northwest end of Toronto. BCPV serves an important role of the City’s cultural fabric by sharing with visitors the history of mid-nineteenth century village life in south central Ontario. As a popular Toronto heritage attraction, BCPV draws tourism traffic to its host community while carrying out diverse internal operations in support of its educational mandate. Context BCPV is situated at the southeast corner of Jane Street and Steeles Avenue in Toronto the site of the Stong family farm (1816 – 1958). TRCA recognized the cultural and historical value in the property and historic buildings on site, acquired the property, and opened Black Creek Pioneer Village to the public in 1960. By 1980, close to 40 heritage structures had been relocated to the site; a contemporary multi-use Visitors’ Centre was constructed in 1984. BCPV maintains a collection of approximately 50,000 artifacts. Site programming includes a diverse roster of public programs, special events, and exhibits. In the historic Village, costumed educators use artifacts, interactive activities, demonstrations, drama presentations, and heritage farm animals and gardens to engage and connect with visitors. BCPV is the largest museum of its kind in Toronto and attracts diverse audiences that include students, seniors, domestic and international tourists, new Canadians and families with children. BCPV is also used as a venue for weddings, corporate events, and a location for commercial filming and photography. In addition to the primary BCPV site, TRCA also owns the Black Creek Pioneer Village North Lands located opposite the Village on the northwest corner of Jane Street and Steeles Avenue West. This property features the Dalziel Barn, which is one of the largest and oldest Pennsylvania barns in North America. Staff recently completed a Black Creek Pioneer Village North Lands Master Plan and Black Creek Pioneer Village Vision Framework to help direct future activities and developments at both the BCPV and Black Creek Pioneer Village North sites. Stressors and Opportunities As a steward of Canadian history and heritage, TRCA seeks to preserve BCPV’s collections through ongoing maintenance and infrastructure improvements. These works include both minor alterations and substantial upgrades to ensure all structures and facilities meet accessibility requirements, are maintained in a state-of- good-repair, and support ongoing operations and program development. While maintenance and improvement of BCPV’s heritage buildings support the viability of museum operations and the financial sustainability of the site, they also represent a growing fiscal responsibility borne largely by TRCA and the City of Toronto. Despite maintaining diverse revenue streams, the costs of building maintenance and improvements exceed revenue generation at BCPV. Financial analysis indicates that the removal, replacement, and/or significant retrofit of BCPV’s structures is a more viable option than continued maintenance and upgrades. TRCA recognizes BCPV’s financial situation as an opportunity to pursue new funding opportunities and develop more innovative programming. However, as these opportunities are identified, TRCA needs to consider the constraints, higher sunk costs, and higher risk associated with activities at BCPV as compared to more contemporary sites. On the whole, this increased risk presents an obstacle in TRCA’s search for more lucrative business models and offerings. At present, TRCA is exploring the possibilities and limitations associated with the branding of goods, services, and experiences linked to BCPV’s narrative and public image. TRCA will continue to pursue licensing, co-branding, and/or co-production opportunities with commercial Business Synopsis and Rationale 2017-2021 Black Creek Pioneer Village 192 enterprises to increase revenue generation and the public’s awareness of BCPV while seeking additional opportunities for promotion and business development. Funding Funding for Black Creek Pioneer Village is obtained primarily through general levy and user fees. Direct Actions and Activities BCPV offers year round public programs, special events and exhibits that host approximately 70,000 general public users and 50,000 school children each year. BCPV is open to the public between May 1st and December 23rd, during March Break, and for education tours and private bookings year-round. The Village programs include hands-on activities, interactive demonstrations, guided tours and drama performances. Annually, the site hosts approximately 15 special events including the Pioneer Harvest Festival and Christmas by Lamplight. Throughout the year, BCPV offers education programs for school groups, historic workshops, apprenticeship programs, and exclusive activities for members. BCPV’s McNair Gallery shares its historic collection through permanent displays and temporary exhibits. BCPV also partners with other arts, heritage, and cultural organizations to curate and present unique annual exhibits. The Black Creek Pioneer Village Gift Shop offers souvenirs, local and hand-made items, traditional candy and sweets, prepared foods, housewares and seasonal decor, books, children’s toys, and other goods for sale. Complementary TRCA Actions and Activities Black Creek Pioneer Village is complemented by the following TRCA activities: Education and Outreach, Family Programs, Events and Festivals, and Wedding and Corporate Events co-produce programming and coordinate activities at BCPV that cater to diverse users and enhance visitor experience Conservation Parks offers a joint membership to encourage visitation to TRCA’s conservation parks, Black Creek Pioneer Village, and the conservation areas of Credit Valley Conservation Key Outcomes The natural, cultural, and built heritage of the Toronto region is preserved and shared with the public Visitors are offered interactive and engaging museum experiences at BCPV Visitor demographics demonstrate maintained or enhanced demographic diversity Strategic partnerships and promotions lead to greater awareness of BCPV, increased site visitation, increased revenue generation, and greater financial sustainability Key Activities – 2018-2021 Continue to develop, fundraise for, and implement the new Black Creek Pioneer Village Vision and Black Creek Pioneer Village North Lands Master Plan Continue ongoing site programming, conservation, and maintenance activities Continue to examine the costs, revenues, and attendee demographic profile of BCPV to identify service refinement opportunities Continue to increase and diversify attendance, reduce barriers to access, and seek increased relevance to the local community Effectively market unique BCPV branded products, services, and experiences, including increasing partnerships with commercial entities Business Synopsis and Rationale 2017-2021 Black Creek Pioneer Village 293 Outlook TRCA will continue to pursue financial sustainability at BCPV through improvements to existing business models and the development of new revenue streams. Continued investment in human, technological, and financial resources will streamline and support BCPV daily operations through enhanced project management and technological and operational efficiencies. TRCA is currently working on raising funds for and implementing the Black Creek Pioneer Village Vision and Black Creek Pioneer Village North Lands Master Plan. The Black Creek Pioneer Village North Lands Master Plan recommends improvements to flood control measures, protection of existing heritage structures, introduction of interactive programs on site, and the creation of three precincts: natural heritage, cultural/agricultural heritage, and a commercial development site. The Black Creek Pioneer Village Vision incorporates the recommendations of the Black Creek Pioneer Village North Lands Master Plan while outlining detailed objectives for the creation of a more engaging and innovative Village experience. Immediate next steps include implementing a fundraising campaign, completing a detailed business plan (including a marketing plan and an operating budget), completing an interpretive plan, and implementing key projects associated with the Black Creek Pioneer Village Vision and Black Creek Pioneer Village North Lands Master Plan. Business Synopsis and Rationale 2017-2021 Black Creek Pioneer Village 394 Bathurst Glen Golf Course Objectives: Provide sustainable and accessible nature-based recreation and tourism experiences for residents and visitors Enable behaviours that foster individual and social health and well-being, including: o Active living through active recreation; and o Connections to nature through recreation Deliver high quality customer experiences and increase visitation in support of aneco-tourism economy Ensure financial sustainability and promote sustainable growth Protect and restore ecosystem health and function Program Features Positioning Bathurst Glen Golf Course (BGGC) is a golfing facility that encourages the use of the natural environment for recreational purposes while fulfilling TRCA’s mandate to protect and enhance the natural environment. TRCA operates BCCG as a condition of the Ministry of Natural Resources (now Ministry of Natural Resources and Forestry) agreement that delegates TRCA management responsibility for Oak Ridges Corridor Conservation Reserve. Context Situated within Oak Ridges Corridor Conservation Reserve, the BGGC facility includes an 18-hole executive course and driving range, programming, a pro shop, rentals, and food services to support and enhance attendee experiences. Bathurst Glen holds Audubon Cooperative Sanctuary Program certification in recognition of its support of terrestrial habitat and environmental integrity objectives. Stressors and Opportunities Executive golf courses in or near Richmond Hill compete with BGGC for local clients. The ongoing development of innovative and unique products and playing opportunities encourage attendance and repeat visits. BGGC holds opportunities to build upon its existing clientele through the development of loyalty programs and new value-added programming. Client-based opportunities include the development of new partnerships with school groups, day camps, and youth groups that build upon its established coaching offerings. Partnership opportunities within the community, and also within TRCA’s existing mix of recreational programming, may also be pursued to enhance BGGC offerings and financial sustainability. The Audubon Cooperative Sanctuary certification process requires that BGGC be recertified every three years. BGGC implements best management practices and weaves the protection of the natural environment into education opportunities for its community of users. Through these actions, it is hoped that the community will become increasingly knowledgeable and engaged in the sustainable management of land, water, wildlife, and other natural resources. As biotic and abiotic environmental stressors increase, however, their combined effects may have a detrimental effect on the health and quality of BGGC’s natural environment and standing within the Audubon program. Funding Funding for BGGC is obtained through user fees, with the Province of Ontario covering the costs of the management of Oak Ridges Corridor Conservation Reserve through a provincial levy. Direct Actions and Activities BGGC’s golf course and the driving range facility currently serve over 50,000 clients annually including adults, youth, and school groups. In addition to playing opportunities, BGGC offers adult and youth coaching Business Synopsis and Rationale 2017-2021 Bathurst Glen Golf Course 195 programs, skills development clinics, introductory programs for new Canadians, and other focus clinics throughout the season. The BGGC environmental program hosts three community planting and monitoring events throughout the year. These activities engage approximately 50 volunteers in the planting of shrubs, installation of nest boxes, and construction of pollinator habitat. Additional interpretative hikes and group discussions are attended by local community members and interest groups. An educational component (based around the Audubon Cooperative Sanctuary Program) is delivered to junior camps and teaches junior golfers about the importance of the natural environment and environmental management. Outside of public programming, BGGC internal operations have reduced pest control usage by 80% and water consumption by 20%. Complementary TRCA Actions and Activities Restoration and Regeneration assists in the development and maintenance of quality terrestrial habitat Key Outcomes Provide positive and memorable outdoor recreational experiences Develop a sense of well-being through community contribution to the natural environment Improve aquatic and terrestrial habitat Enhance financial sustainability through partnerships and business development Maintain or enhance demographic diversity of users Human health benefits from active living opportunities Key Activities – 2018-2021 Continue developing partnerships within the community and with TRCA’s other service groups Continue public engagement and education on best management practices, including planting and monitoring events with the local community Continue to implement best management practices to encourage wildlife habitat and protect natural resources for the benefit of the community, wildlife, and recreation Outlook The implementation of best management practices in sustainability, including maintaining Audubon Cooperative Sanctuary certification, will continue to be a priority as TRCA seeks to demonstrate leadership, commitment and high standards of environmental management in the golfing industry. In addition to independently pursuing increased customer experiences and offerings, TRCA will also focus on the creation of new partnerships - both within the community and in association with TRCA’s other recreational offerings - to increase both customer experience and the facility’s financial sustainability. Business Synopsis and Rationale 2017-2021 Bathurst Glen Golf Course 296 Events and Festivals Objectives: Promote positive behavioural change that fosters individual and social health and well-being Enhance access to nature-based recreational experiences Financial sustainability Optimized event and festival attendance Program Features Positioning Events and Festivals promote community involvement and recreation in TRCA’s natural spaces while generating revenue that supports TRCA’s program delivery and financial sustainability. With significant experience delivering festival and event programming, TRCA is able to host and promote large-scale events in manner that maximizes revenue and engagement, enjoyment, learning, and customer satisfaction. Context TRCA owns many public use facilities including nine conservation areas, three campgrounds, Bathurst Glen Golf Course, Black Creek Pioneer Village, and the Kortright Centre for Conservation. These sites host various annual events and festivals - many of which are organized in collaboration with TRCA partners. The majority of TRCA’s facilities possess the capacity to host single and multi-day festivals and events without the need for significant additional site staffing or infrastructure. TRCA public use facilities are accessible during their respective operating seasons and most charge a modest entrance fee for general admission. The majority of events and festivals at TRCA facilities can be enjoyed with the payment of general admission, while others require advance ticket purchases or the payment of a special admission fee. Events and festivals do not affect general site access to TRCA facilities. Stressors and Opportunities Events and festivals are most frequently hosted at TRCA conservation parks and other TRCA sites with public amenities. To the greatest extent possible TRCA manages the site impacts of these events – in particular those hosted by private external organizations – to mitigate and minimize negative accessibility and experience outcomes for other site users. As open areas and greenspace become less available, TRCA expects an increase in site requests from organizations seeking events and festival space. Successful balancing of competing user group demands will be required to ensure TRCA continues to deliver high quality experiences for all. Funding Events and Festivals program is funded through admission fees and consistently generate profit. Admission fees (general or special rate) are charged on TRCA event and festival days. Direct Actions and Activities Events and festivals hosted by TRCA may align with broader socio-cultural themes and practices, and/or support education and learning, but are not specifically designed for educational purposes. The main objective of TRCA events and festivals is to engage the public and introduce them to TRCA facilities, offer entertainment value, promote celebration and enjoyment, and provide opportunities for people to experience nature in fun and interactive ways that develop an appreciation for the value of the natural environment. TRCA hosts approximately 40 events annually with an estimated 120 days of events each year. Canada 150 programming is anticipated to increase the quantity, diversity, and/or scale of Events and Festivals produced in 2017 as well as to motivate the incorporation of Canada 150 themes into new and existing programming. Private events, for which TRCA rents out the use of venues, land, or both, include adrenaline races, corporate events, and weddings. Approximately 350 private events are conducted each year at Kortright Centre for Conservation and Black Creek Pioneer Village. Business Synopsis and Rationale 2017-2021 Events and Festivals 197 Complementary TRCA Actions and Activities Events and Festivals are complemented by the following TRCA activities: Conservation Parks and Black Creek Pioneer Village provide venues for events and festivals Education and Outreach may provide programming to support events and festivals when requested Key Outcomes Event and festival participants garner experiences leading to improved indicators with respect to: o Citizenship behaviors, including environmental stewardship and social cohesion o Health and wellness outcomes Revenue generation from event and festival activities Key Activities – 2018-2021 Business development to promote TRCA’s conservation parks as ideal event and festival rental venues Continued planning and delivery of existing annual events and festivals Continued engagement with, and implementation of, master plans and vision plans for TRCA facilities that create festival and event sites Outlook TRCA will continue to work with internal and external proponents to promote its public use facilities as festival and event venues. With a focus on promoting a greater number of space and venue rentals, TRCA will continue to secure revenue to fund programming and operations while contributing to organization growth and financial sustainability. Business Synopsis and Rationale 2017-2021 Events and Festivals 298 Wedding and Corporate Events Objectives: Provide access to natural spaces for private events Increase financial sustainability Optimize wedding and corporate events attendance Program Features Positioning TRCA utilizes existing landholdings and infrastructure to host formal occasions in natural spaces. Revenues generated through the hosting of such events are applied in support of TRCA program delivery and financial sustainability. Context TRCA owns nine conservation areas, Bathurst Glen Golf Course, Black Creek Pioneer Village, and Kortright Centre for Conservation. Many of these sites offer a range of wedding and corporate venue amenities and options that include sheltered picnic areas, open greenspace, indoor meeting rooms, and outdoor event spaces. TRCA’s larger event venues are equipped with kitchen facilities and food preparation spaces. Site facilities possess the capacity to host single and multi-day events without the need for significant additional site staffing or infrastructure. Private events held at TRCA facilities do not impact general public access to the site. Further, public access to TRCA facilities during operating hours is never strictly prohibited during public or private events. Stressors and Opportunities TRCA manages private events hosted at its venues to ensure that both private clients and public users have high quality experiences during their visit. TRCA minimizes the potential impacts of private events on public access by employing event planning and management tactics and facilitating regular communication between operations and events staff. TRCA expects an increase in site requests for wedding and event bookings at TRCA facilities as open areas and greenspace across the GTA become less available. Funding Weddings and corporate events are self-funding and consistently generate profit for TRCA. Direct Actions and Activities TRCA provides venues and, as requested and available, food preparation services for weddings and corporate events. TRCA may provide education and/or learning programs as part of an event if requested to do so. Complementary TRCA Actions and Activities The Weddings and Corporate Events program is complemented by the following TRCA activities: Black Creek Pioneer Village, Bathurst Glen Golf Course, and Conservation Parks provide host sites and facilities Key Outcomes Wedding and Corporate Events bookings generate revenue for TRCA Wedding and Corporate Events attendees have positive experiences at TRCA facilities Business Synopsis and Rationale 2017-2021 Weddings and Corporate Events 199 Key Activities – 2018-2021 Business development to promote TRCA’s facilities as ideal destinations for wedding and corporate events Continued commitment to service excellence to ensure customer experience satisfaction Continued engagement in the development and implementation of TRCA facility master plans and vision plans as they relate to the creation of wedding and corporate event facilities and venues Outlook TRCA will continue to work with internal and external proponents to promote its diverse public use facilities as ideal locations to host weddings and corporate events. With a focus on promoting a greater number of space and venue rentals, TRCA will continue to secure revenue to fund programming and operations while contributing to organization growth and financial sustainability. Business Synopsis and Rationale 2017-2021 Weddings and Corporate Events 2100 101 Planning and Development Review 29.4% 70.6% 27.3% 72.7% Revenue Sources 2017: 9,363 2016: 8,456 Change: 907 % Change:10.7 2017: 9,363 2016: 8,456 Change: 907 % Change: 10.7 52.6%45.7% 65.9% 32.7% Expenses by Object 1.4% 1.7% In the above donut charts, the outer ring represents TRCA’s 2017 budgeted figures and the inner ring represents TRCA’s 2016 budgeted figures. 102 Policy Development and Review Objectives: Implement an integrated watershed-based approach within the existing planning policy framework Identify and/or develop best-practices and policies for advancing sustainability principles within planning and development processes Ensure the best available science and planning practices, including integrated watershed management, are incorporated into local, regional, and provincial/national planning and decision making processes Prevent, eliminate, or reduce the risk to life and property from flooding and erosion Improve watershed health Program Features Positioning TRCA holds legislated and delegated roles in planning, is a commenting body in development and environmental assessment approvals processes, is a provincially delegated reviewer for natural hazards, and is also a service provider, regulatory authority, resource management agency, and landowner. Policy and Development Review provides in-house expertise to ensure TRCA operates at the state-of-practice with respect to policy and legislation development, review, application, and response. Context TRCA’s jurisdiction includes nine watersheds, 67 kilometres of the Lake Ontario shoreline, 15 provincially designated Special Policy Areas (SPAs), 42 flood vulnerable areas (FVAs), and 18 lower, upper and single tier municipal governments. Almost without exception, TRCA’s jurisdiction (including SPA’s and FVAs) is under pressure from redevelopment, intensification, and growth planning exercises. In response, TRCA provides input to the municipal policy development and decision making processes that guide growth, redevelopment, and intensification throughout TRCA’s jurisdiction. TRCA guidance and responses are informed by The Living City Policies for Planning and Development in the Watersheds of the Toronto and Region Conservation Authority (LCP). The LCP document is consistent with the requirements of federal, provincial and municipal legislation including the Ministry of Natural Resources and Forestry’s ‘Policies and Procedures for CA Plan Review and Permitting Activities’. Based on state-of-the-science watershed research, monitoring, and management practices, the LCP meets provincial natural hazard, natural heritage and water management policy interests while contributing to high quality urban design in municipal growth planning and the advancement of the green economy. LCP implementation is supported by TRCA’s Planning and Development Procedural Manual; this document includes a suite of technical guidelines and checklists to assist landowners, developers and applications through the planning and regulatory process and ensure quality service to stakeholders. Stressors and Opportunities TRCA is frequently faced with requests for complex policy, development, and infrastructure reviews associated with rapidly developing greenfield communities, intensifying urban centres, and the revitalization of historic communities within flood vulnerable areas. This complexity is compounded by multiple layers of federal, provincial, and municipal plans, policies, and regulations as well as diverse and pressing stakeholder considerations. Municipal partners and provincial ministries are increasingly requesting TRCA’s expertise to assist with complex projects. Provided TRCA funding can sustain senior technical and project management capabilities at sufficient levels, TRCA’s participation in these requests represent an important opportunity to integrate TRCA, municipal, and provincial objectives into the design and realization of healthy, resilient, and climate adaptive communities. Funding Policy Development and Review is funded solely through municipal levy. Business Synopsis and Rationale 2017-2021 Policy Development and Review 1103 Direct Actions and Activities Policy Development and Review ensures that TRCA’s Planning and Development service area is supported by a current policy framework. This includes maintaining the Planning and Development Procedural Manual in support of the LCP, developing and updating technical guidelines/checklists to reflect current watershed science and best management practices, and developing streamlined protocols for planning and permitting processes in addition to supporting policy development and review. Planning ecology and compliance teams provide technical support and enforcement capabilities for all Planning and Development program areas. In support of TRCA’s Conservation Authorities Act (Section 28) permitting responsibilities, TRCA planners, ecologists and engineers apply analytic expertise to new technical information that might affect the screening of permit applications and assessment of planning and development activities. Information reviewed - and the implementation products and tools thereof - are used by municipal partners in official plans and zoning by-law updates. TRCA expertise also informs municipal growth, intensification and redevelopment/revitalization studies. In addition, Policy Development and Review coordinates the internal expertise required in the development of comprehensive long-term strategies and solutions to manage the flood risk in Special Policy Areas and Flood Vulnerable Areas. TRCA proactively responds to emerging planning and regulatory trends and issues. External environmental policy advisory services include participation on federal, provincial, municipal and Conservation Ontario initiatives, committees, and special projects. Where appropriate and/or necessary, TRCA acts as a convener or liaison between government partners to ensure coordination and consistency. TRCA reviews municipal official plans, secondary plans, zoning by-laws, and participates on steering committees for a variety of municipal planning and policy initiatives. Ongoing training and support is provided to municipalities in support of the Memorandum of Understanding for the provision of policy, planning and technical expertise and the implementation of the LCP. Similar ongoing training is provided to TRCA staff and stakeholders (BILD (Building Industry and Land Development Association), public, etc.) on topics related to planning and regulatory functions and services and development trends and issues. Complementary TRCA Actions and Activities Policy Development and Review is complemented by the following TRCA activities: Watershed Planning and Reporting, Climate Science, Water Resource Science, Flood and Erosion Management, Ecosystem Management Research and Directions, and Restoration and Regeneration inform the development of the LCP Key Outcomes Policy, planning and technical needs of TRCA and its municipal partners are adequately supported TRCA planning and integrated watershed science, engineering/ecology/technical insights are reflected in municipal official plans, strategies, growth planning exercises and other relevant studies, documents and projects Negative impacts of new development, urban intensification and revitalization on water quality, erosion, flood risk and ecosystems are minimized or eliminated Planning and Development Review processes yield healthy, sustainable communities resilient to the effects of urbanization and climate change and that possess an effective regional transit systems that incorporate active transportation through a connected greenlands system Business Synopsis and Rationale 2017-2021 Policy Development and Review 2104 Key Activities – 2018-2021 Continue policy development and review to support TRCA’s legislated, mandated and delegated responsibilities in policy, planning and environmental review, permitting, and construction compliance Work cooperatively with municipal partners to incorporate the latest science as secured through TRCA’s integrated watershed research into municipal policies in order to guide growth, redevelopment, and intensification throughout TRCA’s jurisdiction Provide environmental policy advisory services through participation on provincial, municipal and Conservation Ontario policy related initiatives, committees and special projects to facilitate current and responsive approaches to emerging planning and regulatory trends and issues within TRCA’s watersheds Outlook TRCA’s Policy Development and Review function is expected to continue supporting TRCA’s legislated and delegated roles and responsibilities in the planning, development, and environmental assessment approvals process. With the Province of Ontario currently reviewing several of the acts and plans related to planning and development, as well as and the Ministry Natrual Resources and Forestry having initiated a review of the Conservation Authorities Act, Policy Development and Review will continue engaging in these review processes and seek to ensure that TRCA interests are represented. Legislative updates or amendments arising from these provincial review processes that hold implications to TRCA roles and responsibilities will be incorporated into the appropriate TRCA policies, procedures and guidelines. Business Synopsis and Rationale 2017-2021 Policy Development and Review 3105 Development Planning and Regulation Permitting Objectives: Prevent, eliminate, or reduce the risk to life and property Protect Toronto region’s physical and natural heritage in community building Ensure the best available science, planning, and design practices - including integrated watershed management - are incorporated into ongoing planning and development permitting approvals Facilitate TRCA’s acquisition of land containing important natural features and/or natural hazards Deliver a helpful and knowledgeable customer experience Program Features Positioning TRCA derives responsibility for development and construction proposal review from the Conservation Authorities Act, Section 28, Ontario Regulation 166/06, as amended, and subsequent provincial and municipal memoranda of understanding. Projects reviewed range from individual site permits to major development and city building initiatives. As natural hazard and natural feature experts in the planning and development process, TRCA provides technical expertise to its municipal partners and serves as a public commenting agency to municipal and provincial governments. When required or requested, TRCA defends municipal partner policies and environmental interests at Ontario Municipal Board hearings. Through community planning and permitting processes TRCA seeks to acquire, protect and enhance areas that contain natural hazards and/or significant natural heritage features. Under provincial policy, lands containing such features are not eligible for development and, as a result, are negotiated into the public realm for open space and green infrastructure purposes. For private sector clients, TRCA offers a value-added solicitor-/realtor service to respond to requests regarding TRCA’s interest in specific lands prior to real estate transactions. Context Natural hazard features within TRCA’s jurisdiction include major ravine systems and attendant slope stability issues, creek erosion, river meander belts, 67 kilometres of Lake Ontario shoreline, and 21,448 hectares (53,000 acres) of regulated floodplain. Development Planning and Regulation Permitting operates in accordance with, and through delegated authority for all or parts of, the Conservation Authorities Act, Ontario Regulation 166/06, as amended: Development, Interference with Wetlands and Alterations to Shorelines and Watercourses, the Planning Act, Provincial Policy Statement, Environmental Assessment Act, and memoranda of understanding between the TRCA municipal and provincial governments. TRCA planning and permitting functions specifically extend to development proposed in Special Policy Areas and Flood Vulnerable Areas. TRCA also advises municipal partners on applications made under the Niagara Escarpment Planning and Development Act, Oak Ridges Moraine Conservation Act, Greenbelt Act, and other applicable legislation. Stressors and Opportunities According to the Ministry of Finance, the “…Greater Toronto Area (GTA) is projected to be the fastest growing region of the province, with its population increasing by over 2.8 million, or 42.9 per cent, to reach almost 9.5 million by 2041. The GTA’s share of provincial population is projected to rise from 48.0 per cent in 2015 to 52.7 percent in 2041”.1 In managing this growth and demand, TRCA and its municipal partners will be challenged to mitigate the regional-scale risk to public health that arises from long-term and/or permanent ecosystem damage. Examples of such risk include degraded surface and ground water, loss of forests and wetlands, and diminished biodiversity. Acute natural hazard risks, in particular those posed by downstream flooding, may also increase along with attendant risks to natural, social, and economic systems and assets. Current trends indicate that development pressure will continue to advance toward and into the headwaters of TRCA’s jurisdiction. Should development and urbanization disrupt headwater hydrology or hydrogeology, 1 http://www.fin.gov.on.ca/en/economy/demographics/projections/ Business Synopsis and Rationale 2017-2021 Development Planning and Regulation Permitting 1106 significant downstream effects including compromised groundwater storage and drastically altered river/creek flow regimes may be expected. Such changes could result in impacts to public safety, significant infrastructure costs to downstream municipalities, and economic losses to individual landowners as natural features are degraded. TRCA integrated environmental planning and technical input preemptively addresses cumulative impacts that would otherwise threaten existing neighborhoods and potential growth for new communities. Funding The Development Planning and Regulation Permitting function is operated on a fee-for-service basis supplemented minimally by general levy. The program currently operates at a planned 100% cost-recovery based on the 2016 fee schedule. Fees are adjusted every two years to reflect shifts in workload. Direct Actions and Activities Ongoing Toronto region urbanization resulted in 856 new planning and 1,301 new permit applications in 2016; these applications continue to increase in complexity as lands with multiple environmental sensitivities become sufficiently valuable to attract development interest. Over 25 new communities planned as part of growth initiatives are also currently under review. Planning and ecology expertise provides recommendations on how development should proceed and how to maintain, enhance or restore the natural environment. Decisions are made after engaging TRCA’s in-house water resource engineering, hydrology, geotechnical engineering and ecology experts. Development proposals and applications within, or adjacent to, natural areas and natural hazards are also reviewed to ensure consistency in the application of the Planning Act, the Conservation Authorities Act and the Provincial Policy Statement. Development Planning and Regulation staff also review permit applications made under Ontario Regulation 166/06, as amended. By applying the “tests” of the regulation within or adjacent to natural areas and natural hazards, staff provide direction to landowners, developers, and their respective consultants to ensure there is no impact to flooding, erosion, dynamic beaches, pollution, or the conservation of land. Through the planning process, lands unsuitable for development due to the presence of natural hazards and/or significant natural features may be identified. Development Planning and Regulation staff may identify these lands as appropriate for acquisition under the TRCA’s The Living City Policies and/or greenlands acquisition project. In such scenarios, Planning and Development staff broker introductions between landowners and/or developers and TRCA Property staff to facilitate conveyance of these lands to TRCA at nominal cost. As required, TRCA seeks to manage natural hazards, protect natural heritage features, and represent the environmental interests of the Province of Ontario and its municipal partners at Ontario Municipal Board (OMB) hearings. Complementary TRCA Actions and Activities Development Planning and Regulation Permitting is complemented by the following TRCA activities: Planning and Policy work with municipal and other government partners to ensure the best available science, planning, and design expertise are incorporated into relevant plans, policies, and strategies Environmental assessment planning ensures coordination between public infrastructure works and private development projects Water Resource Science and Biodiversity Monitoring provide data and analysis in support of defensible planning and permitting decisions Watershed Planning and Reporting synthesizes watershed conditions and provides ecosystem-scale perspectives on watershed opportunities and vulnerabilities Property and Risk Management staff completes land transactions for properties identified for conveyance to TRCA Restoration and Regeneration assesses and implements restoration needs on acquired sites and implements erosion control works where municipal funding is secured Business Synopsis and Rationale 2017-2021 Development Planning and Regulation Permitting 2107 Key Outcomes Prevent, eliminate, or reduce the risk to life and property Protect and enhance Toronto region’s physical and natural heritage Ensure the best available science, planning, and design practices, including integrated watershed management, are incorporated into ongoing community planning and development permitting Facilitate TRCA’s acquisition of land containing important natural features Deliver a quality customer experience Key Activities – 2018-2021 Implement an integrated watershed-based approach to planning and permit review that adds value to existing and future policy frameworks and aligns with sustainable community objectives Work cooperatively with municipal, provincial, and development stakeholders in the implementation of TRCA's planning and regulatory function Increase procedural transparency and streamline review and approval processes Provide environmental planning and technical expertise and information in the areas of ecology, water resources engineering, geotechnical engineering, hydrogeology, archaeology, property services, research and development, conservation lands, restoration services and watershed management in accordance with legislated planning and permitting responsibilities Outlook Development Planning and Regulatory Permitting is expected to continue functioning in a manner similar to current operations with enhanced collaboration across divisions. Collaborative efforts will continue between TRCA and municipal partners to develop and integrate strategies for watershed protection, ecological design, and other sustainability considerations into land use planning. To meet 100% cost-recovery objectives, TRCA will update its application fee schedule in 2018 and 2020; it will also concurrently pursue internal process and information technology enhancements that increase operational efficiency and/or customer experience. Business Synopsis and Rationale 2017-2021 Development Planning and Regulation Permitting 3108 Environmental Assessment Planning and Permitting Objectives: Protect and enhance the Toronto region’s physical, natural, and cultural heritage Ensure that the best available science and planning practices, including integrated watershed management, are incorporated into infrastructure planning and development permitting Prevent, eliminate, or reduce the risk to life and property from flooding, erosion, and other natural hazards Deliver a high quality customer experience Develop solutions that are both environmentally sensitive and fiscally conscientious Program Features Positioning TRCA is a commenting agency under environmental assessment legislation including the Ontario Environmental Assessment Act and Planning Act, and a regulator under the Conservation Authorities Act. These roles position TRCA to offer value-added environmental assessment consulting services that reduce proponent uncertainty and risk. TRCA’s pre- and post-submission environmental assessment review and permitting services are extended to public and private proponents on a fee-for-service or contract basis. By entering into dedicated service agreements and operating on a full cost-recovery model, TRCA is able to maintain and provide dedicated review teams; review teams ensure that high levels of in-house expertise are available such that faster and higher quality service can be provided to all clients. Context Environmental assessments (EAs) are undertaken when a project has the potential for negative environmental, social, and/or economic impacts. The public and private infrastructure projects currently undergoing environmental assessment within TRCA’s jurisdiction reflect a notable era of growth-related infrastructure that includes roadways, highways and transit systems, oil and gas pipelines, and water and wastewater services. Numerous major infrastructure projects are underway in each of TRCA’s partner municipalities. For municipal projects, TRCA is a commenting agency under the Ontario Environmental Assessment Act and Planning Act, and issues construction permits under Section 28 of the Conservation Authorities Act. Under Ontario Regulation 166/06, as amended, TRCA reviews and approves detailed designs associated with approved EA projects. For proponents for whom TRCA permits are non-binding, such as crown agencies, TRCA may undertake a Voluntary Project Review (VPR) to ensure similar standards of review and evaluation are applied to areas of public interest. Where events or circumstances pose an immediate and dire risk to municipal infrastructure, TRCA follows its Permission for Emergency Infrastructure Works Protocol. Under this condition TRCA provides support and permitting to partner agencies in the absence of a full, pre-construction environmental assessment. Projects considered both minor and routine are subject to TRCA’s Permission for Routine Infrastructure Works Protocol. EA Planning and Permitting also follows the TRCA delegated permit approval process, and issues many permits through staff as authorized to do so by the Executive Committee. While projects governed by the municipal Class Environmental Assessment and Transit Project Assessment processes represent approximately 70% of TRCA’s environmental assessment work load, TRCA also reviews projects under the Individual Environmental Assessment process as well as the various Class Environmental Assessment processes, exemption regulations for private and public clients, and other types of environmental regulatory legislation that apply to other infrastructure providers, such as the oil and gas industry, telecommunications, etc. These other projects may or may not be subject to permits in accordance with TRCA’s Regulation; if they are not, the VPR option for TRCA’s continued review at the detailed design stage is made available. Stressors and Opportunities Climate change scenarios for the Toronto region include the increased frequency and duration of intense storm events that pose attendant risks to public and private infrastructure. Increased stormwater flows and flooding is expected to increase the frequency of repair and renewal for failed or vulnerable municipal infrastructure. Business Synopsis and Rationale 2017-2021 Environmental Assessment Planning and Permitting 1109 Because of the historical practice of locating infrastructure in valleylands - a practice no longer permissible for current-day infrastructure twinning or replacement - environmental assessments for infrastructure replacement often include infrastructure relocation considerations. Infrastructure relocation stressors have already increased and are expected to continue increasing the complexity and workload associated with environmental assessment and permit file review. Current federal and provincial growth and economic strategies have focused on infrastructure development and renewal required to accommodate the grow projections, and are also a preferred source for economic stimulus spending. This enhanced infrastructure creation and renewal process poses many advantages for municipalities and citizens and has resulted in considerable growth in the demand for environmental assessment associated with these projects. Environmental assessments proceed on irregular schedules involving multiple stages and involve high variability in staffing expertise and intensity/duration of effort. In the absence of adequate staff capacity, fluctuating demand will result in the inability to provide expedited reviews during peak workload periods. Operational stressors such as these will increase with the increased pace of growth pressures, complexity, and workload associated with environmental assessment and permit file review. Creative streamlining measures, funding for technical reviewers and new working relationships will require continued development to ensure service delivery standards are maintained and, in some cases, enhanced to meet the requirements of infrastructure providers. Funding Environmental Assessment Planning and Permitting is operated on an at-cost, fee-for-service, full-cost recovery basis. Clients with a high volume of EA projects, and/or those who face time constraints, have the option of entering into Service Level Agreements with TRCA to ensure project needs are met. This funding model increases TRCA’s overall capacity to ensure a complete planning and technical review staff compliment, provide continuous improvements to service delivery processes and timelines, increase knowledge and partnerships, and reduce wait and review times. Fees are updated biannually, and subject to approval by the board. Staff undertakes a detailed review of fees, including a review of the service delivery specifications, estimated staff time required per item, and inclusion of an accurate and inclusive staff chargeout rate. Service Level Agreements are updated every two to five years, depending on the agreement specifications. Updates include a review of service delivery commitments, timing, and budget estimates. Budget estimates are provided to clients on an annual basis, generally in the spring of the preceding year, so that the costing can be incorporated in the partners’ internal budgeting process. Direct Actions and Activities Environmental Assessment Planning and Permitting reviews environmental assessment documents and applications to ensure the best available science and planning practices are incorporated. This function is supported by TRCA expertise in environment assessment and land use planning, ecology, water resources engineering, hydrogeology, geotechnical engineering, and watershed management. Document review activities are supported by technical and regulatory staff site visits, to enhance recommendations and ensure permit compliance in the project planning and implementation phases, respectively. Comments and recommendations are provided to proponents under fee-for-service or dedicated service agreement arrangements. TRCA currently holds seven dedicated service agreements with proponents; this model enables public and private sector clients to mitigate EA procedural uncertainly and risk for high volume and/or time constrained projects. Dedicated service agreements also provide TRCA with more accurate estimates of the type and intensity of pending EA submissions and, in turn, reduce the risks of under-staffing. It is recognized that environmental assessment and permitting review can be politically complex and that both the public and development community often have a vested interest in outcomes. Service delivery approaches recognize these complexities. In addition to dedicated service agreements, EA Planning and Permitting reviews projects for an additional 12 municipal clients, and a variety of utility, oil and gas companies; provincial ministries, the federal government, and private developers on a fee-for service basis. Business Synopsis and Rationale 2017-2021 Environmental Assessment Planning and Permitting 2110 Complementary TRCA Actions and Activities Environmental Assessment Planning and Permitting is complemented by the following TRCA activities: Policy Development and Review works with municipal and other government partners to ensure that the best available science, planning, and design expertise are incorporated into relevant plans, policies, and strategies, and to oversee permit compliance and enforcement activities Water Resource Science, Biodiversity Monitoring, Watershed Planning and Reporting, and Climate Science provide the evidence-based analysis to support the application of an integrated watershed perspective in the EA process Erosion Management, Restoration and Regeneration, and Greenspace Securement and Management provide technical expertise that support the success of risk mitigation, compensation, as well as project implementation and project synergies strategies Key Outcomes Public and private infrastructure is created, enhanced, maintained or protected through an integrated environmental approach that respects project costs Local, regional and provincial ecosystem quality and function is protected, mitigated or enhanced Natural hazard risks are avoided, eliminated, or mitigated Service delivery standards are consistently met or exceeded Public infrastructure delivery timelines are acknowledged and respected in the review process Key Activities – 2018-2021 Work with municipal, provincial, federal and private development stakeholders in the implementation of TRCA's Environmental Assessment Plan Review and Permitting function Provide environmental planning, technical expertise and information in the areas of ecology, water resources engineering, geotechnical engineering, hydrogeology, archaeology, property services, climate change, research and development, conservation lands, restoration and compensation services, and watershed management in accordance with corporate programs, policies and guideline responsibilities Continue engagement with infrastructure providers exempt from TRCA regulation, and offer the VPR service in an effort to ensure risks to infrastructure and communities from natural hazards are reduced and ecosystem services at the local and regional scales are maintained or enhanced Increase procedural transparency and accountability Offer enhanced service delivery to clients on an as needed basis pursuant to the fee for service model, or the service level agreement model Outlook TRCA’s Environmental Assessment Planning and Permitting function is expected to continue in a manner similar to current operations. Program and process efficiencies will continue to be pursued to improve current levels of service. TRCA will also seek to build and expand relationships with public and private infrastructure providers to ensure that environmental assessment services are meeting regulatory, ecological, and client needs and that approaches to project management and review are both timely and cost effective. Business Synopsis and Rationale 2017-2021 Environmental Assessment Planning and Permitting 3111 112 Education and Outreach 65.2% 34.8% 57.2% 42.8% Revenue Sources 49.5% 43.7% 5.3% 67.3% 23.9% 6.6% Expenses by Object 2017: 9,784 2016: 13,105 Change: (3,321) % Change: (25.3) 2017: 9,784 2016: 13,084 Change: (3,300) % Change: (25.2) 2.2% 1.5% In the above donut charts, the outer ring represents TRCA’s 2017 budgeted figures and the inner ring represents TRCA’s 2016 budgeted figures. 113 School Programs Objectives: Improve knowledge, understanding and awareness related to environment, conservation, and sustainability issues and translate knowledge into actions that improve the sustainability of the Toronto region. Promote positive behavioral change to foster individual and social health and well-being Enhance social equity and equalize access of youth to environmental education and leadership development experiences Contribute to integrated TRCA Community Outcome objectives Program Features Positioning TRCA designs and delivers environmental education programs that complement provincial curriculum outcomes and objectives. This approach leverages TRCA’s long-standing relationships with district school boards in the co-creation of programs tailored for both classroom and TRCA field trip locations. With secure philanthropic funding, TRCA provides subsidized curricular enhancement to Toronto region schools. These conditions enable TRCA to reach diverse student populations and efficiently target students and classrooms in priority neighborhoods. Context TRCA has historically provided extended environmental education experiences through overnight multi day programming at its three field centres, in-class visits, and field trips and festivals at conservation parks. Single- day field trips are hosted by TRCA at its Kortright Centre for Conservation, Black Creek Pioneer Village, Tommy Thompson Park, as well as at the Swan Lake Centre for Conservation and Innovation and field centres. The population of enrolled K-12 students in the Toronto region is predicted to be stable and/or growing in coming years. These demographics suggest TRCA programs will have a market of predictable size and may need to increase in scale to maintain equivalent levels of service delivery. School Programs require a high human capital complement and productivity gains are not expected; School Programs delivery costs are expected to increase accordingly. Stressors and Opportunities Research clearly demonstrates strong links between experiences in nature and key academic, health, social and environmental outcomes. Each year, however, proportionally fewer Toronto region youth have ready access to, and/or spend time in, the natural environment either independently or through TRCA programming. Growing economic polarization exacerbates nature deficit in the classroom context; the top barriers identified by teachers to booking field trips to TRCA centres are program and transportation costs. Despite field trip booking costs being comparatively low (~$2.50/student per programming hour for field trips; ~$5.25/student per programming hour at field centres), classes where students are unable to afford field trips are increasingly likely to be denied exposure to the natural environment (TRCA in-class visits are free). Such an outcome would reduce the anticipated health, academic and social outcomes for these youth while diminishing social and environmental outcomes at local and regional scales. Current philanthropic sector interest in youth and the environment mitigate the effects of economic disparity on equitable program delivery, and charitable grants significantly enhance the delivery of programs to at-risk youth and/or classrooms in priority neighborhoods. While TRCA will continue to engage with the charitable sector, the risk of reinforcing social inequality through lack of access to programming would be significant should external funding be reduced or discontinued. Funding School board and/or user fees cover a considerable portion of program expenses for many initiatives. TRCA School Programs are also supported through both general and municipal levy, provincial and federal grants(s), and private or philanthropic funding. Business Synopsis and Rationale 2017-2021 School Programs 1114 Direct Actions and Activities School Programs offerings are most frequently delivered through some combination of classroom sessions, field trips to natural environments, or both. Approximately 7,000 students per year participate in overnight field centre programs, over 85,000 embark on a TRCA field trip, and approximately 20,000 are engaged through in- class activities. Beyond K-12 classrooms, TRCA offers niche programs (Specialist High Skills Major and Innovation, Creativity, and Entrepreneurship workshops) that support Ontario educational requirements. The Conservation Youth Corps directs high school students’ required volunteer hours toward local public interest environmental projects, while the Kortright Centre delivers curriculum-based content and general environmental education programs for homeschooled students and preschoolers, respectively. Complementary TRCA Actions and Activities School Programs are complemented by the following TRCA activities: Family Programs and Community Engagement provide extension activities for youth and their families to access mediated natural experiences. In future, these activities will be further integrated with or oriented toward Community Outcomes objectives Key Outcomes Behavioral changes (measured short-term and predicted long-term) in student participants lead to improved indicators with respect to: o Citizenship behaviors, including environmental stewardship and social cohesion o Health and wellness outcomes o Academic achievement School program access is provided in an equitable manner across the jurisdiction without regard to socioeconomic circumstance Programming options in support of provincial curriculum objectives are available to diverse student learner categories (early childhood education through post-secondary) TRCA Community Objectives are advanced Key Activities – 2018-2021 Initiate redesign of current School Programs content and infrastructure to support community activation centre and youth hub implementation Continue operation of all current class and student programming initiatives Strengthen new and existing relationships with traditional and non-traditional school board partners Diversify philanthropic funding base; increase absolute and per student values of philanthropic funds received Outlook For increased effectiveness and efficacy, TRCA’s ability to provide and promote nature-based experiences for youth will be further extended beyond discrete in-class or field trip experiences. TRCA is currently in the process of re-configuring school programming and infrastructure to serve community scale objectives. Field centres will be transformed into community hubs that offer diverse programming across a wider demographic spectrum. Curricular content will introduce and integrate community themes and linkages, and the development and deployment of a Nature School approach is under active consideration for Kortright. As this programming is brought online, outcomes and indicators for School Programs will extend beyond the individual and be integrated and harmonized into broader sets of objectives. Business Synopsis and Rationale 2017-2021 School Programs 2115 Family and Community Programs Objectives: Provide outdoor experiences that foster individual and social health and well-being Promote sustainable behaviors through learning and engagement activities Contribute to integrated TRCA Community Outcome objectives Program Features Positioning Family and Community Programs utilize TRCA landholdings and infrastructure to offer affordable, educational, family-oriented programming. Family and Community Programs seek to enhance the richness and educational value of the visitor experience by delivering programs in unique natural settings. TRCA Family and Community Programs are differentiated from TRCA Events and Festival offerings by their regular scheduling and programmed educational content. Context The population of TRCA’s jurisdiction is over 4.5 million, of which over 700,000 are children between infant to 14 years of age. Accordingly, the maximum predicted local market size for family programs is approximately 600,000 families. In addition to this local market, TRCA is actively seeking to expand its audience by attracting families from outside its jurisdiction. Family and Community Programs are hosted at TRCA sites that possess the requisite staffing and/or site facilities. Some onsite infrastructure, for example maple sugar shacks, has been installed at TRCA sites for the specific purpose of facilitating public programming. Family and Community Programs are hosted at conservation parks or similar sites and it is anticipated that participant demographics between these two offerings are similar. Stressors and Opportunities Family and Community Programs delivery is currently constrained by lack of transportation for prospective participants, audience uptake, available space at the hosting venue, qualified program delivery staff, and funding available to support programming. Family and Community Programs offer a mediated discourse within and about the natural environment. As such, they represent an important tool for engaging audiences unaccustomed to spending time in the natural environment as well as serve as a safe and low intensity introduction to Toronto region’s natural spaces. Designing and tailoring Family and Community Programs that meet niche interests and needs may pose an opportunity to increase audience scope and scale. Research clearly demonstrates strong links between experiences in nature and key academic, health, social and environmental outcomes. Each year, however, proportionally fewer Toronto region families have ready access to, and/or spend time in, the natural environment. Family and Community Programs seek to motivate and enable families to be increasingly comfortable and interested in spending time in the natural environment. As they are frequently offered at sites requiring vehicle access, Family and Community Programs currently disproportionately benefit families with the time and resources to travel to programming sites. Families unable to access these resources are less likely to partake in natural environment programming. Funding Admission fees for Family and Community Programs range from free to $25 per person. Select Family and Community Programs are funded in part through municipal levy. Direct Actions and Activities Family and Community Programs offer year round informal educational programming at conservation parks and other TRCA lands delivered in a family-friendly manner. Each year TRCA delivers approximately 50 Family and Community Programs from 22 distinct program offerings at 11 different sites including Tommy Business Synopsis and Rationale 2017-2021 Family and Community Programs 1116 Thompson Park, Kortright Centre for Conservation, Bolton Camp, McVean Farm, and Cold Creek. Each program involves approximately one to two TRCA facilitators and 10 to 350 participants. Many Family and Community Programs, such as maple syrup programming in the spring, learn-to-fish programs in the summer, the fall colours festival, and the family day winter carnival, are seasonal in nature. Others are offered year round and engage a particular audience type (such as parent and tot programs or the Therapy in the Woods program that engages children with physical and/or cognitive impairments). Some are culturally significant (Halloween and Christmas family programs) or focus on a particular area of natural interest such as astronomy or specific flora and fauna. Complementary TRCA Actions and Activities Family and Community Programs are complemented by the following TRCA activities: Conservation Parks provide a venue for Family and Community Programs events School Programs and Community Engagement initiatives serve as important preliminary or supplementary outreach and engagement mechanisms Key Outcomes Behavioral changes in participants leading to: o Improved citizenship behaviors, including environmental stewardship and social cohesion o Improved health and wellness outcomes o Increased likelihood to spend time in natural areas o Increased interest in participating in other TRCA programming Family and Community Programs offerings are available and of interest to diverse participant categories Key Activities – 2018- 2021 Continue to design and deliver Family and Community Programs offerings under the five themes of recreation, culture, festivals, play, and nature/environment Introduce Forest School inspired programming, parent and tot programs, and large scale family event offerings at appropriate areas that have been identified to have the greatest need Introduce programming for older adults and seniors that support improved health, community connectivity and aging-in-place objectives Continue to learn from, and/or develop partnerships with, agencies that have delivered successful accessibility and inclusion programs, hold a proven record of high program uptake and client satisfaction rates, and/or are delivering innovative environmental programming for families Develop and deliver nature based adult workshops and courses that increase knowledge and understanding of the natural and cultural history of the area. Some of these offerings are designed to engage environmental professionals, thereby enabling a greater reach to educate the public beyond TRCA’s jurisdiction Outlook In coming years, TRCA Family and Community Programs will evolve from spatiotemporally discrete events to rich community-centric programming. In addition to programming offered at TRCA park sites, new and existing TRCA facilities such as Bolton Camp and TRCA field centres will be transformed into community hubs; the community hub format will enable individuals and groups to take a more active role in the design, delivery, and consumption of public programming. Community hub design is also anticipated to drastically increase the awareness, attractiveness, centrality, and accessibility of public programming sites to larger and more diverse audiences. Business Synopsis and Rationale 2017-2021 Family and Community Programs 2117 Newcomer Employment and Education Objective: Support the successful settlement of new Canadians in the Toronto region Contribute to integrated TRCA Community Outcome objectives Program Features Positioning TRCA provides support services for new Canadians to settle socially, culturally, academically and economically into the Toronto region. These services are situated within the social equity aspect of TRCA’s sustainability work and focus on improving settlement outcomes within the New Canadian community; they are delivered as part of, and in partnership with, the broader social services sector. To support employment and economic outcomes, TRCA utilizes in-house staff expertise to provide employment and training for new Canadians through bridge training activities that address current and future labour market shortages. TRCA also provides services to the employment sector that supports the successful integration and retention of new Canadians within the work force. Beyond the employment context, TRCA develops and delivers programming to expose newcomers to local environmental issues and topics. Context Canada receives 300,000 new Canadians each year, of which approximately 30% settle in the Greater Toronto Area. Continued immigration to the Toronto region provides ongoing needs and opportunities for training and experience programs for foreign trained professionals. Over the next 25 years, immigration is expected to account for all increases in Ontario’s working age population and will be a major source of future labour force growth. Stressors and Opportunities Provided the Toronto region continues to attract new Canadians, job development programs for skilled newcomers will continue to receive sustained or increased participant demand. As discussed in Outlook (below), TRCA programming funded through the Ontario Ministry of Citizenship and Immigration is subject to funding vulnerabilities in its current operating model. Job development programs therefore face both potential funding stressors as well as opportunities for redesign and increased integration with TRCA programming. The steady influx of newcomers to the Greater Toronto Area will increase demand for English as Second Language (ESL) learning classes offered by TRCA’s Multicultural Connections Program. This will result in the opportunity to serve a greater number of participants provided program funding levels increase in concert with demand. Funding The Ministry of Citizenship and Immigration funds the Professional Access Into Employment (PAIE) program through which TRCA works with internationally trained environmental professionals to help them secure employment in their field. This multi-month training and development program for new Canadians is provided at cost and includes an average participant contribution of $399. ESL presentations and the Environmental Experience Subsidy component of the Multicultural Connections Program are funded through Peel, York and Toronto municipal levy. Direct Actions and Activities The PAIE program is a 12 month professional training and development program for internationally trained professionals. This program is completed by participants on a part-time basis and includes approximately 230 direct programming hours including Canadian professional and workplace skill updates, mentorship, an internship, and permanent job placement services. Professional categories for which TRCA currently offers the PAIE program include engineering, geoscience, planning, and environmental science; these represent areas in which TRCA holds considerable expertise, internal staff resources, and professional contacts. Business Synopsis and Rationale 2017-2021 Newcomer Employment and Education 1118 The Multicultural Connections Program facilitates newcomer access to natural areas, parks, and recreational facilities that are often inaccessible by public transit. TRCA attends ESL and Language Instruction for Newcomers to Canada (LINC) programs and provides in-class, hands-on learning experiences about local environmental issues, environmental action and conservation. Topics include, but are not limited to, biodiversity, water conservation, solid waste management, and energy conservation. Complementary TRCA Actions and Activities Newcomer Employment and Education is complemented by the following TRCA activities: Corporate Services provides financial secretariat and audit functions for provincial reporting requirements related to the core funding for PAIE, along with general support for research, marketing and human resource services. Key Outcomes Achievement of community objectives including social and environmental awareness, employment and well-being Key Activities – 2018-2021 Deliver professional training and development programming in response to market deficiencies and demands Build capacity within the employment sector to better integrate and retain New Canadians Redesign the foreign-trained worker training and development program to reduce cost per participant, increase community objectives, and increase integration with evolving TRCA community outreach and job development programs Outlook TRCA’s job development and training programs will continue to evolve to become more tightly integrated with complementary TRCA programming and effectively target community needs at scale. The scope and specificity of populations served, to include newcomer youth, will also increase as TRCA’s broader multicultural programming offerings are integrated within professional outreach activities. TRCA will also address market preparedness issues with prospective employers to reduce the intensity of effort required for successful job placement while creating incentives for employers for defray program costs. Business Synopsis and Rationale 2017-2021 Newcomer Employment and Education 2119 120 Sustainable Communities 71.8% 28.2% 76.5% 23.5% Revenue Sources 54.7% 41.9% 3.4% 49.8% 47.8% 2.4% Expenses by Object 2017: 11,509 2016: 9,892 Change: 1,617 % Change: 16.3 2017: 11,553 2016: 9,896 Change: 1,657 % Change: 16.7 In the above donut charts, the outer ring represents TRCA’s 2017 budgeted figures and the inner ring represents TRCA’s 2016 budgeted figures. 121 Living City Transition Program Objectives: Increase sustainability and resilience in the residential, institutional, commercial, and industrial (ICI), and agricultural sectors Accelerate the uptake and implementation of sustainable and resilience-enhancing practices by Toronto region citizens Accelerate the implementation of climate change mitigation and adaptation practices to support the transformation towards low carbon, climate resilient communities Increase the economic well-being of Toronto region communities, residents, and businesses by increasing the viability of local green economy business and industry Contribute to the growth of regional green economy and sustainability by scaling up sustainability programs and providing green jobs Program Features Positioning TRCA’s status as both a public and non-profit entity enables it to deliver sustainability and resilience development programs that require significant public assets, diverse partnerships, and innovative non-profit funding models. TRCA leverages this unique combination of capacities, in conjunction with 50+ years of city- building and sustainable technology expertise, to create network-based sustainability initiatives in contexts prone to one or more market failures. Context In past, TRCA watershed plans and other environmental strategy documents have incorporated assumptions with respect to anticipated development, the rate and ratio of implementation and/or retrofit to environmentally sustainable best practices, and attendant environmental conditions and outcomes. The Living City Transition Program addresses the limited uptake of sustainable practices caused by higher implementation costs, the absence of performance validation and/or regulatory/policy incentives, lack of best practices knowledge, and the lack of relevant community structures and expectations in support of sustainable practice implementation. Home to half of Ontario’s population, and an even greater portion of Ontario’s greenhouse gas (GHG) emissions, GTA municipalities are essential partners in achieving Ontario’s GHG reduction targets. In addition to their direct control over emissions resulting from municipal operations, GTA municipalities have jurisdiction and authority over land use planning and permitting processes and urban design through zoning and ordinances. These powers give municipalities’ indirect influence over emissions from buildings and transportation; buildings and transportation are two of Ontario’s largest sources of GHG emmissions and are arguably the most critical areas for action to achieve Ontario’s 2050 target of reducing GHG emissions to levels 80 percent below 1990 levels. GTA municipalities are also well-positioned to lead outreach and education efforts on climate change mitigation with citizens and the private sector. Stressors and Opportunities The population within TRCA’s jurisdiction is estimated to increase to approximately 5 million by 2019. The attendant need for growth in both local/regional housing and employment will increase demands on systems at the local, regional, and global scale; taxed systems include ecological, social, hydrological, energy, and waste management. By the same account, retrofit and greenfield developments are key opportunities to realize resilient, low-carbon communities and enhance the sustainability of watersheds in a context of rapid urbanization and climate change. The degree to which the Toronto region can accommodate this growth while maintaining favorable living conditions will in part determine its status as a desirable location for economically advantageous, highly skilled labour industries. GTA-area municipalities have significant opportunities to stimulate GHG emission reductions in transportation and the built environment through the integration of land use planning and energy policies. Better understanding of appropriate policy approaches to stimulate public and private sector investment in low carbon energy solutions, as well as approaches to community engagement and empowerment, can help scale-up the implementation of new technology and behaviours on the time-scale necessary to contribute to the global effort to avert catastrophic levels of warming. Business Synopsis and Rationale 2017-2021 Living City Transition Program 1122 Recent provincial and national climate change and land use policy changes will create economic opportunities for companies operating within green economy sectors. By reducing local barriers to green technology commercialization and uptake, TRCA seeks to support regional competitiveness in these globally expanding industries. Funding Funding for the Living City Transition Program is obtained through municipal levy, government grants, academic grants, contracted services, and fees. Direct Actions and Activities TRCA operates an extensive sustainable technology testing and verification facility at The Living City Campus at Kortright (LCC). This facility is used to test and verify the performance of sustainable building, energy, and low impact development (LID) technologies under local geologic, hydrologic, and climate conditions. Data from the LCC (and similar initiatives managed offsite) are provided to industry and government in support of policy changes to incentivize sustainable technology implementation. Within the ICI sectors, TRCA’s Partners in Project Green and Community Transformation programs leverage employment clusters and convene several networks (based on proximity, industry, or a combination thereof) to promote sustainability focused corporate social responsibility initiative uptake and reduced carbon emissions. These networks seek to accelerate the identification, sharing, and adoption of sustainable best practices and on the ground demonstrations within their membership. TRCA staff also work with individual members/clients on a fee-for-service basis to identify, evaluate, and implement medium- to large-scale sustainability initiatives and monitor their respective successes. Within the research community, TRCA hosts the Secretariat for the Ontario Climate Consortium (OCC). The OCC brings together a network of Ontario universities to generate and/or synthesize evidence-based guidance (science to policy) for public and private sector stakeholders. OCC initiatives include: organizing the annual Ontario Climate Symposium; advancing the understanding and application of vulnerability and risk assessments across sectors for adaptation planning; supporting a national research partnership around municipal low carbon energy planning; assessing emerging federal and provincial policy and program changes to identify funding opportunities that accelerate the implementation of mitigation and adaptation action; and, exploring partnership opportunities to improve access to climate information and translation services. TRCA engages directly with individual landholders in the commercial agricultural sector. Through subsidized expertise and implementation support, TRCA seeks to accelerate the adoption of agricultural best practices and the reduction of habitat and water quality threats to the surrounding landscape. Within urban areas, TRCA leases land and promotes the development of both for-profit and non-profit community-based urban agricultural initiatives. At the neighbourhood scale, TRCA engages directly with citizens, private landowners and community organizations to test and verify best practices for sustainable technology adoption and behavioral change. Distinct from traditional community stewardship activities, Sustainable Community programming seeks to understand how community factors – including socio-economic and community characteristic variables - affect the uptake and longevity of sustainable behaviors. Practices or interventions found to strengthen desirable community characteristics and increase and/or accelerate metrics of sustainability are shared and scaled to other community sites. The holistic neighbourhood-based focus sets the stage for innovative solutions and strong community support for renewal initiatives in the private and public realms. Complementary TRCA Actions and Activities The Living City Transition Program area is supported by the following TRCA activities: Watershed Planning and Reporting delineates desired targets and end-states Community Engagement activities foster local environmental stewardship behaviors and promote behavioural change that fosters individual and social health and well-being Education and Outreach activities help support formal and non-formal education and training of industry professionals, youth, and foreign trained professionals Business Synopsis and Rationale 2017-2021 Living City Transition Program 2123 Key Outcomes Corporate sustainability initiatives in diverse sectors accelerate the uptake of effective sustainability measures, reduce carbon emissions and water footprints, and increase waste diversion Technologies for improving energy and water efficiency, and reducing stormwater impacts, are identified and implemented throughout the region and beyond Economic performance and competitiveness of the Toronto region’s green technology/services sector is increased Toronto region food security, including the urban agriculture sector, is strengthened Neighbourhoods develop social capital while reducing their environmental footprint Strategies and plans addressing climate change mitigation and adaptation are based on the best available evidence and supporting science Key Activities – 2018-2021 Advance new neighbourhood retrofit program directions, sustain existing activities, replicate successful innovations and implement new Sustainable Neighbourhood Retrofit Action Plans Continue to expand the Sustainable Technology Evaluation Program, including seeking designation as a non-profit D-entity Continue to implement, promote, and expand Community Transformation, urban agriculture, and corporate sustainability projects Scale up eco-business zones to encompass attractive and appropriate employment clusters within partner municipalities Work with partners to develop and implement building-related emission reduction programs Deepen and expand the Ontario Climate Consortium network connections, diversify the annual Symposium program, and continue to support municipal adaptation planning and the development and implementation of community energy and climate mitigation action plans Support the work of the Green Infrastructure Ontario Coalition Outlook The Living City Transition Program will continue to be a high potential growth area in the coming years. Each initiative within this program area is readily scalable (throughout Toronto region and beyond) provided adequate business models - and sufficient client-based funding sources therein - are identified. This opportunity imbues the Living City Transition Program with high potential for rapid experimentation, iteration, and associated learning. Provided TRCA and current funding partners tolerate the uncertainty associated with innovation processes, the Living City Transition Program has the potential to provide the system-wide sustainability and resiliency-building practices needed to transform the Toronto region into a sustainable, low- carbon urban centre. Business Synopsis and Rationale 2017-2021 Living City Transition Program 3124 Community Engagement Objectives: Maintain and expand an informed citizenry capable of providing feedback on local and regional initiatives that hold environmental implications Foster local environmental stewardship behaviors and initiatives Promote positive behavioral change that fosters individual and social health and well-being Program Features Positioning TRCA has been trusted by municipal partners and citizens to deliver environmental stewardship and engagement programming; many community engagement activities involve consultation on, or participation in, TRCA and partner plans, strategies, and project development and/or community based restoration initiatives. To meet community and partner needs, TRCA provides integrated, at-cost community engagement services to municipalities with value-added economies of scale and consistency in regional approach and application. Context TRCA serves an expanding population of over 4.5 million citizens across 18 municipalities. Community Engagement activities are in large part undertaken in support of TRCA’s watershed and waterfront plans and strategies as well as individual projects that contribute to these initiatives. Community involvement in conservation programs seeks to foster environmental stewardship, encourage citizen and community groups to gain an understanding of conservation and watershed management issues, and to motivate individuals and communities to undertake independent initiatives that complement TRCA objectives. Community Engagement activities also build capacity and assists neighbourhoods, businesses, governments and non-governmental organizations in the identification and implementation of strategies and actions that support collective advancement toward socially, economically, and environmentally resilient communities. Stressors and Opportunities The increasing size and diversity of the Toronto region population expands the scope and scale of resources required to meaningfully engage a given proportion of citizens. TRCA’s relative ability to engage citizens within its jurisdiction will decrease if community engagement resources remain static. Reduced engagement poses a threat not only to program objectives including heath, environment, community cohesion, but also undermines the fundamental principle of informed participation in consultation and collaborative planning. Failure to actively engage with the diversity of the Toronto region population continues to disproportionally favour the perspective of existing known contacts and participants (and the demographics represented thereof) at the expense of the wider whole. Demographic trends indicate that the average age of those regularly participating in outdoor initiatives is increasing. Addressing the intersectionality of age and other characteristics - including ethnicity and socioeconomic status - in community outreach and engagement activities continues to pose a challenge and requires outreach initiatives targeted toward underrepresented groups. TRCA views both targeted and non- targeted outreach activities as an opportunity to ensure that participants engaged through TRCA initiatives reflect the entire Toronto region community. Advances in communications and internet technology allow for the production and dissemination of increasingly niche outreach strategies; communications products can be delivered to wider audiences at lower per capita cost. The engagement of public audiences through remote technology, however, cannot fully replace engaging audiences at specific sites and fostering the social, health, and stewardship benefits of active civic participation and engagement. Business Synopsis and Rationale 2017-2021 Community Engagement 1125 Funding Funding for Community Engagement activities is funded primarily through municipal levy with minor contributions from charitable foundations and government grants. Participating individuals and organizations are not charged fees as doing so increase barriers to participation. Direct Actions and Activities TRCA directly engages citizens through participation in planning and consultation discussions, community- based regeneration activities such as tree plantings, and residence-specific programming addressing indoor and outdoor sustainability opportunities. Each year TRCA hosts over 60 events across the jurisdiction. For certain joint projects, TRCA serves as a community liaison and mediator on behalf of municipal and/or other funding partners. As noted above, TRCA seeks to ensure engaged populations reflect the diversity of the broader Toronto region. To this end, specific populations are targeted by TRCA for active introduction to TRCA sites, services, and objectives. Complementary TRCA Actions and Activities The Community Engagement program area is complemented by the following TRCA activities: Watershed Planning and Reporting directs the sites and objectives of community-based restoration and consultation activities School Programs and/or Family Programs serve as an introduction to TRCA’s objectives and program offerings Key Outcomes Citizens and community groups, reflecting the cultural diversity of the Toronto region, develop an understanding of conservation and watershed management issues and engage in conservation programs and activities that support TRCA strategic priorities Citizens are motivated to organize and undertake independent initiatives that complement TRCA and partner objectives, benefit local environmental conditions, and/or advance their own physical and social well-being Stakeholders from public, private and non-profit sectors, community groups and the general public are engaged in the process of TRCA watershed plan development A large network of volunteers contribute to TRCA projects and programs while gaining experience in the environmental field Private and public sector stakeholders, including TRCA partner municipalities and communities, are aware of anticipated climate change effects in the Toronto region and understand how they might mitigate these effects Key Activities – 2018-2021 Develop and implement a new citizen governance model to increase the engagement of stakeholders in TRCA watershed management activities Build capacity and assist neighbourhoods, businesses, governments and non-government organizations to identify and implement strategies and actions that facilitate and accelerate progress towards socially, environmentally and economically resilient communities Modify existing outreach programming, as appropriate, to incorporate climate change mitigation and adaptation information Deploy an online engagement platform as a tool for broader and deeper community engagement Support TRCA's mandatory and voluntary public consultation activities and facilitate alignment with municipal partners Refine performance measures and targets to track success of TRCA engagement activities Outlook TRCA will continue to proactively seek involvement with and outreach to a broad cross-section of the Toronto region population. To this end, the Community Engagement program will continue to develop, test, and implement engagement tools and programs that help partner municipalities achieve sustainable communities. Business Synopsis and Rationale 2017-2021 Community Engagement 2126 127 Corporate Services 2017: 12,917 2016: 10,239 Change: 2,678 % Change: 26.2 92.1% 1.7% 6.2% 92.9% 1.8% 5.3% Revenue Sources 69.5% 9.7% 18.3%2.5% 76.9% 4.2% 16.0% 2.9% Expenses by Object 2017: 11,706 2016: 9,657 Change: 2,049 % Change: 21.2 In the above donut charts, the outer ring represents TRCA’s 2017 budgeted figures and the inner ring represents TRCA’s 2016 budgeted figures. 128 Corporate Management and Governance Objectives Organizational positioning and strategy is clearly articulated and implemented Internal and external governance issues are effectively managed Organizational exposure to risk, including credibility risk, is minimized TRCA operations are consistent with governing legislation Program Features Positioning Corporate Management and Governance houses TRCA’s executive and corporate governance functions. Activities provided by this program area - in particular by the CEO’s Office – function internally and externally to represent TRCA as a corporate entity and implement corporate governance mandates. Management of TRCA’s board governance process ensures TRCA’s strategic positioning, and actions thereof, is developed in a manner consistent with TRCA’s power and authority as granted through the Conservation Authorities Act (the Act). Corporate Management and Governance also operates internally to maximize adherence to other applicable legislation and TRCA policy while minimizing corporate risk exposure. Context TRCA is a government-controlled not-for-profit entity created by the Conservation Authorities Act. As such, TRCA is governed by the board of municipal appointees from its six member municipalities (Toronto, Peel, York, Durham, Mono and Adjala/Tosorontio). TRCA strategy and governance direction is taken from the Act and other legislation, its municipal partners political and programmatic needs, cues derived from all levels of government, and public and private interests. A CEO candidate is approved by the Authority on an as-needed basis. In 2013, TRCA transitioned from the position of Chief Administrative Officer to Chief Executive Officer to emphasize the responsibility for determining strategic direction and financial capacity and to align with the organizational environments and business lines within which TRCA operates. Each conservation authority is required to establish and maintain effective internal and external governance systems. Such requirements include attending to matters of board governance and relations while ensuring effective organizational function through internally and externally coherent policies. The development and selection of senior managers, to whom corporate policy interpretation and implementation, fiscal responsibility, and organizational culture expectations are delegated, is managed by TRCA’s CEO’s Office to ensure governance objectives are met. Programs to confirm and increase organizational compliance with internal policy are also managed through distinct Corporate Management and Governance programs. Stressors and Opportunities In 2015, the Ontario provincial government announced its review of the Conservation Authorities Act. The outcome of this review is anticipated in 2017; it is anticipated that the review will provide a renewed statement of provincial commitment to the conservation authority movement while strengthening TRCA’s guiding legislation and therefore the specific authorities, permissions, and constraints under which TRCA operates. Any changes from the review outcome that affect TRCA’s mandate, governance, and/or intergovernmental integration will be addressed through Corporate Management and Governance; this response will seek to ensure continuity in TRCA’s role as a productive, stable, and influential actor and partner in the development of sustainable urban and rural regions. Through its mandate and programming, TRCA is positioned at the vanguard of ecologically sustainable city building technologies and approaches. This orientation provides TRCA with an opportunity to serve in an expanded advisory role to its partners with respect to feasible strategies and instruments for green and grey infrastructure financing. It also provides an opportunity for TRCA and its partners to engage in constructive dialogue on the design, development, and implementation of financial instruments that can accomplish mutually beneficial ecological and infrastructure outcomes. Corporate Management and Governance will vigorously pursue opportunities to engage in intergovernmental dialogue and advocate for the inclusion of low impact and green infrastructure alternatives within major infrastructure design and implementation initiatives. Business Synopsis and Rationale 2017-2021 Corporate Management and Governance 1129 As new sources of financing are developed – in particular carbon cap and trade monies – TRCA will pursue advisory or partnership roles to advance climate change investments in the development of sustainable, resilient city regions. The Crombie panel review of Ontario’s Four Provincial Plans underscored the potential for regional scale coordination to realize sustainability goals and objectives at scale. TRCA will continue to parlay its existing strength in partner engagement and coordination into large, diverse, and effective regional sustainability initiatives. As consensus around approaches and endpoints emerge, TRCA may be faced with the opportunity and challenge of relinquishing elements of goal-setting autonomy as it adopts the shared and collaborative goals of larger partnerships. Corporate Management and Governance will ensure any partner-based region- scale objectives are adopted in a manner acceptable to the Authority and partner municipalities. Through its intergovernmental affairs function, Corporate Management and Governance will pursue opportunities to stimulate interjurisdictional dialogue regarding regional climate risks, stressors, and adaptive approaches. TRCA holds significant expertise in framing and responding to existing and emerging risks at the interface of human society and the environment. To this end, TRCA will continue to identify issues and prepare responses to emerging risks including demographic shifts, green economy preparedness and transition, and the role of diminishing urban greenspace on ecosystem viability and human psychological function. By providing direction and leadership internally and fostering discussion across all levels of government, Corporate Management and Governance will strive to ensure regional preparedness for the literal and figurative hurricanes that emerge from rapidly evolving environmental, social, and economic trends. In the next five years, five of seven staff within TRCA’s current senior management cohort (CEO, CFO, and three Director-level positions) are eligible to retire; the balance of TRCA’s current senior management cohort (two Director-level positions) were recently appointed (2015). This turnover in senior staff represents both a stressor and opportunity with respect to organizational stability and approach. The development of TRCA’s Strategy Committee and Staff Collab processes provides expanded opportunities for members of staff to become involved in the full spectrum of corporate strategy and leadership. Funding All activities undertaken in Corporate Management and Governance are funded from general levy. Direct Actions and Activities Corporate Management and Governance includes the function of the CEO’s Office, TRCA board relations, and associated organization, documentation, and corporate governance obligations. Activities include oversight of TRCA organizational function including review of TRCA actions to ensure consistency with applicable legislation, best practices, and internal guidelines, policies, and recommendations. Opportunities or issues, where identified, may be handled by Corporate Management and Governance staff or delegated to other TRCA staff. Complementary TRCA Actions Corporate Management and Governance supports the following TRCA activities: Corporate Management and Governance works with Human Resources to develop and implement succession planning initiatives Corporate Management and Governance works with Financial Management to understand financial capacity and constraints in the realization of strategic and programmatic objectives Corporate Management and Governance works with all program areas to ensure TRCA objectives are consistently presented and advanced through policy interventions and implementation Corporate Management and Governance works with senior management in all divisions to ensure real- time identification and response to emerging opportunities and risks Business Synopsis and Rationale 2017-2021 Corporate Management and Governance 2130 Key Outcomes Adoption of shared, collective region-scale environmental goals, objectives, and strategies TRCA and/or conservation authority representation in key federal, provincial and municipal dialogues addressing built and natural infrastructure risk, redevelopment, and growth Development and maintenance of a strong and resilient corporate leadership team Key Activities – 2018-2021 Maintain ongoing board relations and intergovernmental affairs Determine and articulate internal corporate strategy, priorities, and direction Through Conservation Ontario, engage with partner conservation authorities to craft regional sustainability objectives and implementation strategies Engage with all levels of government to articulate and establish the role of conservation authorities in dialogues and initiatives including climate change adaptation, green urban centres, and infrastructure planning and implementation Develop, train and challenge TRCA’s senior leadership team Develop a corporate Risk Management Policy Provide organizational leadership direction TRCA Strategic Plan oversight and review Outlook TRCA will experience a period of change and renewal in the coming years. In addition to its transition to a new senior leadership team, TRCA also will relocate to a new building at its previous Head Office site (5 Shoreham Drive). These activities, with complementary internal programming, will ensure TRCA is able to recruit and retain the talent needed to provide partners with solutions to issues of increasing complexity, urgency, and variability. To ensure that it builds and maintains sufficient capacity to meet existing and emerging challenges, TRCA will aggressively pursue novel funding sources and partnerships. Corporate Management and Governance will play instrumental roles in the identification and management of new relationships while ensuring TRCA maintains sufficient autonomy and accountability to satisfy its obligations as a public institution. TRCA will continue to actively support and advance regional-scale collaborative initiatives. Shared sustainability objectives, and the collective actions required to achieve them, represent the most promising approach to ensure the Toronto region remains a safe, healthy, and prosperous region amidst the significant challenges and shifts underway. TRCA will actively participate in groups that are pursuing sustainability based, intra-regional prosperity - including the federal government’s green urban agenda - and continue to champion the need for healthy Great Lakes as a requisite precondition for regional security and viability. Through these activities, TRCA expects to significantly increase its efforts and involvement as a leading proponent of regional sustainability approaches and the development of systematic approaches to realize The Living City vision. Business Synopsis and Rationale 2017-2021 Corporate Management and Governance 3131 Financial Management Objectives: Timely, accurate, and complete transaction processing in support of effective financial decisions and reporting to stakeholders Compliance with regulatory reporting requirements, TRCA policies, and Canadian public sector accounting standards Safeguarding of assets Delivery of multi-year business plans and budget services Program Features Positioning TRCA’s Financial Management program delivers a variety of services that demonstrate financial stewardship and accountability. These services include transaction processing, regulatory compliance, implementation and monitoring of internal controls, safeguarding of assets, risk assessment, multi-faceted financial reporting, and long term financial planning. TRCA strives to maintain the trust of its many stakeholders, including government stakeholders which provide ~74% of TRCA’s total funding, in its ability to deliver effective programming. Context TRCA manages an annual budget in excess of $100 million that is predominantly funded by government, contracted services, and user fees. Programming is delivered throughout TRCA’s jurisdiction which includes the City of Toronto, significant area within the regional municipalities of Durham, Peel and York, and parts of the Town of Mono and Township of Adjala-Tosorontio. TRCA also occasionally enters into special agreements to provide services or expertise in concert with adjacent conservation authorities; such services and expertise are managed on a fee-for-service basis and are undertaken to reduce project uncertainty and/or cost to TRCA’s partner municipalities. Stressors and Opportunities TRCA in currently undertaking a redesign of its business planning and reporting process with the introduction of the Centralized Planning and Reporting (CPR) business intelligence tool. This initiative includes data consolidation, standardized business planning processes, internal and external metrics development, and associated design and implementation of business intelligence tools and analysis. This process will be fully incorporated into the fiscal year 2019 planning cycle. The newly adopted CPR approach is anticipated to yield significant improvements in data-driven decision making for TRCA and its municipal partners. TRCA uses a large number of financial systems to manage bookings, processing of transactions, and to meet the unique reporting requirements of each of our programs. The Financial Management team will continue to seek integrated solutions or the automation of integration processes. Deployment of the Business World Financial ERP platform continues, although at a slower pace than anticipated due to the lack of dedicated staff resources. Investment in the update, consolidation, and maintenance of financial systems will provide a significant opportunity to realize decreased operational risk, increased performance, and significant gains in efficiency. The 2017 budget provides an investment of $100,000 for this purpose. Funding The Financial Management program area is funded from general levy with contributions from Ministry of Natural Resources and Forestry and investment income. Business Synopsis and Rationale 2017-2021 Financial Management 1132 Direct Actions and Activities Financial Management leads the business planning activities of TRCA by collecting and consolidating information from internal sources and liaising with partner municipalities to determine funding opportunities and constraints; data are used to produce annual and multi-year financial projections and associated business plans including capital requests to TRCA’s partner municipalities. In addition to data collection and consolidation, Financial Management staff provide corporate business planning and/or financial analysis support on an as-needed basis including business case preparation and review, cost-benefit analysis, and performance metrics development and reporting. Current fiscal year activities include all aspects of comptrollership including revenue and expense tracking, managing accounts payable/accounts receivable, and producing quarterly and annual financial reports. Financial management and accounting services are also provided to The Living City Foundation and the World Green Building Council, for whom TRCA acts as a secretariat. TRCA’s payroll function is situated within the Financial Services program area and also serves each of these respective organizations. Financial Management oversees management of the accumulated surplus, non-financial assets, accruals and deferred revenues. Complementary TRCA Actions Financial Management supports the following TRCA activities: Financial Management works with all program areas to ensure that TRCA’s operations align with short and long-term TRCA strategic and science-based objectives Financial Management works with all program areas to ensure an integrated business planning approach encompassing financial, physical, and human capital opportunities and needs Key Outcomes Single- and multi-year internal business plans and municipal capital requests are developed and supported by data-driven analysis and decision-making tools Accurate and timely financial plans and reports are provided to internal and external partners Annual audited financial statements are free of qualifications TRCA’s long-term fiscal viability is maintained through effective financial management Key Activities - 2018-2021 Populate and update current fiscal year actuals into the Business World financial accounting and reporting system Complete Phase I and Phase II of Centralized Planning and Reporting business intelligence tool build- out Outlook Financial Management will continue to remain current with public sector accounting standards and to provide stakeholders with sound financial data and analyses. Ongoing efforts to improve both business planning and in-year financial management and reporting will continue. Business Synopsis and Rationale 2017-2021 Financial Management 2133 Human Resources Objectives: The health and safety of TRCA staff are protected A robust and equitable human capital pipeline meets organizational hiring needs Staff receive accurate, reliable, and fair treatment throughout the hiring, employment, and departure/retirement lifecycle Program Features Positioning TRCA ensures that human capital management and staff health and safety services are provided throughout the organization. In recruiting and retaining talent, TRCA competes with municipalities, provincial and federal government departments, and private sector consulting firms to secure qualified staff. Within the organization, Human Resources seek to ensure that workplace culture and conditions make TRCA an attractive option among potential employers. Context Since its inception in 1957, TRCA’s staff complement has grown from 15 to 505 full time staff and 400 contract and/or part-time staff. Growth in staff complement reflects the increased human capital required to meet the expanded volume, complexity, and diversity of TRCA’s product and service offerings. As a government non- profit entity, TRCA operates its human resource function to public sector accountability standards including transparency in hiring and compensation. No TRCA staff groups are currently unionized. Stressors and Opportunities At present, TRCA does not manage staff recruitment, retention, and/or development through a structured staff recruitment and development process. Given many pending retirements, TRCA may face challenges developing an appropriately qualified and trained applicant pool for management and senior management positions. To this end, TRCA is currently undertaking a job evaluation process and review of internal equity throughout the organization. By better understanding staff skills sets and resolving job classification discrepancies, TRCA will be better situated to build a systematic, objective evaluation of its existing staff capacity and use this information within a structured human capital strategy. Funding All funding for Human Resources is provided from general levy. Direct Actions and Activities Human Resources activities include all facets of human capital management including talent recruitment and training, compensation and benefits, and the development and implementation of staff engagement activities and health and safety initiatives. Staff support, assistance, and conflict resolution are also provided on an as- needed basis. Initiatives are guided and supported by the development and updating of human resource policies and procedures, development and implementation of supportive formal and organizational structures and frameworks, and engagement with staff either through in-person interaction or the design and implementation of interactive tool and forums. Human Resources activities protect the health and safety of TRCA staff by ensuring compliance with health and safety legislation and regulations including the Occupational Health and Safety Act and associated TRCA policies and procedures. Non-mandated health and wellness initiatives are offered on an ongoing basis to proactively support and increase staff health, wellness, and long-term productivity. Complementary TRCA Actions Human Resources support the following TRCA activities: Human Resources works with Corporate Management and Governance to ensure succession planning for senior staff will address organizational needs Human Resources works with all program areas to provide internal communications across the organization Business Synopsis and Rationale 2017-2021 Human Resources 1134 Human Resources works with Financial Services staff within a framework of integrated management planning that incorporates human capital planning throughout the business planning and resource allocation cycle Key Outcomes Staff productivity is maintained through the provision of a safe, fair, respectful, and predictable work environment and employment relationship Compensation and advancement are internally and externally fair, equitable, and legislatively compliant A robust recruitment and development process advances the career objectives of individual staff while producing an overall staff complement qualified to assume management-level vacancies TRCA adheres to and exceeds Ontario Health and Safety legislation, regulations, and internal policies and procedures Key Activities 2018-2021 Implement the approved recommendations from the organizational compensation and pay equity project Update and expand Human Resources policies and procedures, including updated and expanded health and safety policies, procedures, and wellness activities Develop and build staff development infrastructure, processes, and programming Integrate Human Resources databases into TRCA’s Centralized Planning and Reporting business intelligence framework Outlook In 2016-2017, TRCA undertook a review of the compensation program to ensure fair, competitive compensation that is internally equitable, externally competitive, and legislatively compliant. The resulting expanded understanding of TRCA existing roles, responsibilities, and skill sets will strongly inform TRCA’s ongoing development of a comprehensive, systematic approach to human capital management and compensation. TRCA’s ability to respond to the data provided by this exercise – in particular the ability to design and implement a constructive response to pending management retirements – will depend on additional resources to expand the scope of Human Resources to encompass proactive and strategic approaches to human capital management. Business Synopsis and Rationale 2017-2021 Human Resources 2135 Corporate Communications Objectives: Build support for TRCA’s mission, strategic priorities, and activities Facilitate positive interactions and transactions with TRCA clients, customers, and collaborators Generate conversation and engagement opportunities to broaden participation in TRCA initiatives Program Features Positioning Corporate Communications provides communications advice, design, and implementation support to all TRCA divisions and programs and The Living City Foundation. Fulfilling the role of both subject matter experts and operational support, Corporate Communications ensures that information flows in a timely, efficacious, and cost-effective manner between the organization and its many constituencies. In mediating communications flow, Corporate Communications directly maintains relationships with, and distributes content through, major media outlets, independent content curators and distributors such as blogs and local media outlets, and TRCA controlled websites and social media channels. This program area also works on behalf of TRCA to mitigate reputational risk while identifying opportunities to increase organizational reach and outcomes. Context TRCA’s jurisdiction encompasses Canada’s largest urban centre and many rural areas, 18 lower, upper and single tier municipal governments, and 4.5 million residents. The size and diversity of TRCA audiences will continue to increase into the foreseeable future. Communications channel and platform range and diversity have drastically increased over the past 30 years. The advent of the internet, mobile communications devices, social media platforms, and other interactive platforms has splintered audiences across multiple channels. As the number of communications channels has increased, so too have audience expectations of customized content and an ability to engage with the content provided. Over the past 60 years TRCA program offerings have increased and diversified. All TRCA programs hold minimum communications requirements to ensure appropriate community engagement, however programs launched more recently are likely to incorporate sophisticated communications strategies involving multiple channels. TRCA programs launched prior to the internet, and for which communications are important, are also increasing in complexity; these programs require updated communications strategies that engage new audiences while avoiding the alienation of prior or current participants. Stressors and Opportunities The diversity and ubiquity of communications devices and platforms creates an opportunity for TRCA to expand the scope and scale of its communications to desired audiences. Digital technologies generally reduce distribution costs while concurrently increasing audience expectations of content quality, sophistication, and specificity. Accordingly, TRCA holds the opportunity to reach more audiences more efficaciously but faces the accompanying challenge of winning audience attention, developing high quality content, and staying abreast of best practices on an increasing diverse array of platforms. The interactive nature of many communications channels – including the democratisation of communication and the ability of participants to organize and exert influence online – also creates the need for ongoing monitoring and engagement. To meet this challenge, TRCA now supplements its communications management and content services with technology support that constrain costs and improve effectiveness. Digital communications technologies provide TRCA with the opportunity to streamline client interfaces and transactions. TRCA continues to pursue opportunities to reduce search effort and transaction costs for both itself and its clients by integrating data collection and e-commerce applications into its communications products. By applying a client-centred design approach in its products, TRCA seeks to improve service delivery while building positive associations and introductions to TRCA and its programming. Business Synopsis and Rationale 2017-2021 Corporate Communications 1136 Data collected from TRCA communications products, assessments, and external sources provide opportunities to better understand strengths, shortcomings, and future opportunities for outreach initiatives. By using data to assess program effectiveness and opportunity, Corporate Communications can provide increasingly tailored advice on new and modified outreach communications strategies. To accelerate this capability, TRCA is continuing to implement a customer relationship management (CRM) system to increase the integration, efficiency, and effectiveness of data collection and analysis processes. Funding Funding for Corporate Communications is obtained primarily through general levy. Some capital projects include municipal levy funding for communications support. Direct Actions and Activities Corporate Communications engages with TRCA staff to assess communications needs and opportunities from individual project to corporate scales. Programs are developed around key audiences, messages, and media design; communication strategy implementation and success are evaluated and used in an iterative fashion to inform next steps. Stakeholder relations are managed through print and digital media design, production and distribution, brand management, media relations, advertising and promotions, market research, and the implementation of digital tools to facilitate e-commerce and client relationships. Corporate Communications provides ongoing monitoring of significant communications channels to determine stakeholder knowledge, perception, and opinion; responses to stakeholder feedback are developed as required to support TRCA objectives. Complementary TRCA Actions and Activities Corporate Communications support the following TRCA activities: Corporate Communications provide and manage digital and print communications channels for programs and projects across TRCA Corporate Communications support Community Engagement programs in building community understanding, support, and dialogue Key Outcomes Key stakeholders support TRCA, its mission, and its ongoing work and advocate for TRCA through their own networks TRCA develops and maintains relationship with clients, customers and collaborators in support of its key strategic objectives Communication reach is expanded and managed in a cost-effective manner Key Activities - 2018-2021 Apply mobile technologies to respond to the increasing opportunities and demand for mobile-friendly communications and engagement Build data analytics tools and capacity to better inform communications strategies and tactics Strengthen collaborative relationships with key content creators and communication strategists to leverage their communications resources Implement tools and policies that facilitate the dissemination of TRCA communications content through social networks Outlook Communications technologies are expected to continue evolving at a rapid pace and to impact all aspects of TRCA Corporate Communications including the communications habits and preferences of TRCA’s stakeholders. Demand for services such as real-time knowledge transfer, customized media content, and immersive media are expected to increase alongside other trends driven by technologies not yet invented. TRCA will monitor these developments and adopt corresponding new approaches to ensure effective and efficient corporate communications. Business Synopsis and Rationale 2017-2021 Corporate Communications 2137 Information Infrastructure and Management Objectives: Ensure staff, partners and collaborators have access to data and open data, as appropriate, in a timely manner Provide cost effective technologies to enhance, improve, and streamline TRCA business processes Ensure information resources and technologies meet all applicable records management, privacy, integrity, and reliability standards and best practice Program Features Positioning Information Infrastructure and Management (IIM) evaluates, integrates and supports digital technologies for internal and external clients. Increased integration and use of information infrastructure and data has re- oriented this program from a business support function to a core organizational capacity. While internal needs and capabilities are a key focus of IIM, the services and technologies provided by this group support the needs of diverse users including citizens, partners, and funders. Context Like many contemporary organizations, TRCA is continuing its transition from paper-based, ad-hoc workflows to automated, transaction-based, and integrated processes enabled by enterprise software. In pursuing this objective, TRCA now runs approximately 16 enterprise-scale platforms; enterprise solutions are supplemented by licences to another ten application suites held at the user or group level. The expense associated with per unit computer processing power and data storage continues to decrease. As a result, software applications continue to grow in sophistication and ubiquity with an accompanying increase in demand for data storage. TRCA currently houses 24 TB of data housed in 8 data server locations. This infrastructure and TRCA’s associated technical support services enable and maintain productivity across more than 20 primary TRCA work locations. Physical and digital records function as corporate memory and are required for ongoing organizational accountability and transparency. Records also house evidence of business activities and transactions and underpin corporate governance and operational efficiency. Stressors and Opportunities The increased scope and scale of the IIM function requires corresponding increases in ongoing hardware and software administration for individual staff (e.g. PCs, cell phones), the organization (e.g. servers, office phone system), and integration with external users and providers (e.g. purchasing, network connectivity). These pressures introduce an increased risk of technology-based service disruptions and lapses in productivity resulting from inadequate and outdated technology tools. Such outcomes would introduce unnecessary lags into TRCA’s innovation and service-delivery potential and capacity. The transfer of activities and functions onto enterprise software platforms yields many opportunities for increased coordination, collaboration, and productivity. The associated transfer of data and need for training, however, represent significant cost and create high switching costs when migrating to a different platform. If TRCA is not be able to finance the update of, and/or transition from, existing enterprise-scale systems on an as-needed basis there exists a significant risk of enterprise software and workflows becoming progressively outdated and less integrated; in such scenarios significant losses in productivity and increased data vulnerability would be anticipated. Corporate records management administers the systematic administration of records and documented information throughout its life cycle including creation/receipt, classification, use, filing, retention, storage, and final disposition. Should records management be compromised, TRCA would be exposed to potential fines under the Municipal Freedom of Information and Protection of Privacy Act (MFIPPA); public scrutiny would also be considerable should TRCA be perceived to be hiding, withholding or destroying records in manners other than those prescribed under TRCA policies, procedures, or legislation. As requests for information and the Business Synopsis and Rationale 2017-2021 Information Infrastructure and Management 1138 amount and types of data become more complex, a greater emphasis on the records management discipline is required. This will create increased human capital requirements and/or increased workload on existing staff. Funding Funding for Information Infrastructure and Management is funded primarily through general levy. Direct Activities and Actions IIM manages the platforms supporting Geographic Information Systems (GIS), financial data systems, environmental data systems, internal communications and business processes, customer relationship management, and corporate records management. Spatial data and analytic tools inform and support many TRCA programs. Activities include developing data collection protocols and field collection tools for field staff, acquiring data from external partners, municipalities and private vendors, performing spatial analysis and reports, and producing cartography and map products. Custom relational databases are created and supported to house, manage, and report on TRCA’s environmental data. Activities include performing business requirements analysis, building data models, developing GUI (graphical user interfaces), and programming applications. The procurement of all TRCA hardware and software is managed through Information Infrastructure and Management. Services and logistical supports include upkeep of all IT infrastructure including servers, switches, PCs/laptops, peripheral equipment, the purchase and management of stationary and mobile communications devices, and IT disaster recovery planning including ensuring sufficiently back-ups, redundant hardware, and fail-over services. All TRCA employees are responsible and accountable for making and keeping adequate, accurate, authentic and reliable records of their work-related activities. TRCA has approximately 87,300 active central files; records are added to the central filing system on an ongoing basis as they are identified through the records management program. Complementary TRCA Actions and Activities Information Infrastructure and Management provides integrated service delivery to all TRCA programs and staff Information Infrastructure and Management contributes to the administration of corporate communications applications and systems including web applications and enterprise CRM Key Outcomes Up-time of all TRCA networks and systems is maximized Access to critical business applications and systems is secure and reliable Data connectivity enables all TRCA sites, including remote offices, park, and educational facilities access to centralized business applications Data management processes and policies increase data accessibility to staff, clients and partners Relational database products manage TRCA data efficiently and effectively Records are managed in a manner that meets business needs, legislative requirements, and stakeholder expectations Business Synopsis and Rationale 2017-2021 Information Infrastructure and Management 2139 Key Activities – 2018-2021 Install communications conduit and fibre optic cables to all office, park and educational facilities Extend the TRCA VOIP communications system to all facilities Improve the PC/Laptop replacement schedule from seven years to three years Increase redundancies into TRCA data centre to maintain 99.99% network up-time Complete metadata for all TRCA data holdings to better manage and share TRCA data holdings Update TRCA’s Disaster Recovery Policy and Retention Schedule Improve Records Series Classification and file structure in the electronic document and records management databases Increase use of records management principles in daily work processes and file management Outlook The value of Information Infrastructure and Management as a key enabler for all other TRCA Service Areas will continue to grow as technology, business processes, and client expectations evolve in concert. To ensure data and workflow coordination and consolidation, Information Infrastructure and Management will become increasingly integrated into program and project planning throughout the organization. Improvements in information technology performance and capability can also be expected to introduce operational improvements in support of TRCA’s service to its partners and the community. Business Synopsis and Rationale 2017-2021 Information Infrastructure and Management 3140 Section III – Items for the Information of the Board RES.#C4/17 - 2016 YEAR-END FINANCIAL PROGRESS REPORT Recommends receipt of the 2016 year-end financial progress report. Moved by: Jack Ballinger Seconded by: Ronald Chopowick THAT Toronto and Region Conservation Authority’s (TRCA) Financial Progress Report dated December 31, 2016, be received. CARRIED BACKGROUND The final progress report focuses on the 2016 year-to-date (YTD) actual financial results, including comparison to the approved budget. The report is prepared as of December 31, 2016. All amounts in this report are in thousands of dollars. RATIONALE Staff has included within the 2017 Budget, Operating and Capital document (which are presented elsewhere on the agenda) detailed 2016 YTD actuals and budget information for comparison purposes. Staff will be working with the auditors on the 2016 financial statements throughout May 2017. The financial statements will be presented for approval to the Budget/Audit Advisory Board (BAAB) and the Authority at meetings scheduled to be held on June 9, 2017 and June 23, 2017, respectively. The 2016 projected surplus before reserve allocations is $1,118, consisting of $1,570 surplus in operating accounts and a deficit of $452 in the capital accounts. After application of reserves, there will remain unallocated surplus of $1,647. These results are summarized in the chart below. Operating Capital Total Budget Surplus / (deficit) before reserves $1,570 ($452) $1,118 ($475) Allocation (to) / from reserves $256 $273 $529 $976 Unallocated surplus $1,826 ($179) $1,647 $501 Operating Variances The 2016 projected surplus consists of numerous variances across the programs. Explanations for variances in excess of $100 are as follows: Revenues: In 2016, the revenues varied from budget in six categories: Municipal Contract Services was over budget by $840 mostly due to an $800 reclassification between Municipal Contract Services and Municipal Grants; Municipal Grants came in under budget by $842 as result of the $800 reclassification noted above; Government Contract Services exceeded budget by $940 partially due to an unbudgeted amount of $149 for the Oak Ridges Park Operations budget and $571 for the Rouge Park; User fee revenue exceeded budget by $1,855 with $1,338 from higher demand for development planning and permitting services and $535 in user fees at the conservation parks; 141 Rent and property interests exceed budget by $879 including easement revenue of $780 and $193 in Treetop Trekking rent; The Living City Foundation donations were under budget by $587 of which $414 occurred in Education, mostly from the temporary loss of a funder; and The Sundry revenue exceeded budget by $440 mainly due to an unbudgeted $399 WSIB rebate; Expenses: Explanations of expense variances over $100 are as follows: Watershed Studies and Strategies – The service area expenditures were under budget by $227, which were driven by cost savings from unplanned gapping; Regional Biodiversity – The service area expenditures were over budget by $543, primarily pertaining to $507 of unbudgeted Rouge National Urban Park projects; Greenspace Securement and Management – The service area expenditures were over budget by $304, which were mostly offset by additional rents in the year; Tourism and Recreation – The service area expenditures were over budget by $1,174, occurring mostly within the Conservation Parks program. Additional revenues available in excess of budget enabled staff to undertake a number of necessary unbudgeted projects, including addressing the maintenance back log and the implementation of a new reservation system, along with the cost of sales component of achieving the additional revenue; Planning and Development Review – The service area expenditures were under budget by $183 which were mostly driven by unplanned gapping; Education and Outreach – The service area expenditures were under budget by $537 due to unexpected gapping and further planned reductions in staff costs to balance the result of decreased bookings from the loss of grant funding to the Environmental Leaders of Tomorrow program; Corporate Services – The service area expenditures were over budget by $115. Contributing to this result are gapping, under spending on software consultants, vehicle and equipment acquisition costs in excess of budget and under-achieved project recoveries. Reserves: The difference between the budgeted withdrawals and actual withdrawals during the year of $545 were the result of four projects for which budgeted reserve allocations have not been applied: Water Park ($338), Human Resources Consulting ($125), Innovation Fund ($100) and Systems Development ($100.) Capital Variances The 2016 capital budget included projects where expenditures varied from budget. Actual expenditures within the capital accounts amounted to $57,094 as compared to budget of $64,812, a difference of $7,717. Fundamental reasons for the variances include factors such as: Project completion schedules which cover multiple years; Budgets that include funding that were ultimately not realized; Delays in obtaining various approvals, agreements and matching funding; and Weather conditions which caused delays of in-ground work. 142 Revenue: In 2016, capital revenues varied from budget by more than $100 are as follows: Capital Levies came in below budget for the year in the amount of $8,849. The explanation for this is included below within the analysis of expenditure variances below; Municipal Contract Services were over budget by $3,837 primarily due to additional funds received in year for projects such as Lakeview Waterfront $1,442, and Storm Water Maintenance Pond at Lower Duck Pond $1,403, Wilket Creek Rehabilitation $410 and Don Valley Brickworks $331; Municipal Grants received for specific projects were $5,556 under budget. Greenspace Land Acquisition and Waterfront Open Space account for $4,842 of this amount, as the budgeted grants were not achieved; Provincial funding was over budget by $1,077 of which $1,255 pertain to various unplanned erosion and flood projects mostly under the provincial Water Erosion Control and Infrastructure (WECI) program; Federal funding was under budget by $200 as the funding for Claremont Field Centre renovation will occur in 2017; Government Contract Services came in over budget by $1,556 due to a number of unplanned projects , such as the Electric Vehicle Charging Stations ($553,) Arsenal Lands Park Development ($359,) in-year requests for Mimico Phase II ($357) and Red Side Dace Compensation project ($179); Compensation Agreements were over budget by $360 of which $300 relates to the unbudgeted capitalized appraised value of assets transferred to TRCA during the year; Donations under budget by $1,024 of which $620 is due to unachieved land donations and sponsorships of $368 for the Performance Based Conservation Pilot program; The Living City Foundation came in over budget by $506 due to a $228 donation to complete the Black Creek Pioneer Village parking lot gate and $145 unplanned receipt towards The Living City Campus Development site. Expenses: Explanations of variances in expenses over $100 are as follows: Watershed Studies and Strategies – The service area expenses are under budget by $606, primarily due to the timing delays such as integration of the Lakeview Waterfront and Arsenal lands master plans. Water Risk Management – The service area expenses are over budget by $1,353, which is the net of new projects undertaken and budgeted projects that were delayed. New projects include Storm Water Maintenance Project at Lower Duck Pond ($1,403) and Storm Water Maintenance Pond works at L’Amoreaux ($223); and Pine Valley for $218. There were also a number of projects where expenditures exceeded budget including flood and erosion major maintenance at Denison Drive, with temporary stream crossing issues and design changes during construction and $950 for construction at Lakeview. Two examples of project which were delayed include Peel Flood Remedial works ($917), and Toronto Major Maintenance -Whitburn and Riverhead- ($1,567.) Regional Biodiversity – The service area expenses are over budget by $588, primarily driven by the timing of three projects. The special capital project at Tommy Thompson Park for Cell 2 Confined Disposal Facility Wetland and Restoration was ahead of schedule resulting in accelerated spending of $405. Additionally, the Don Valley Brickworks had $331 in unplanned costs, as additional works were requested and completed. Conversely, the Etobicoke-Mimico Natural Channel Restoration project at Alfred Kuehne was under budget by $267, as TRCA awaits permit approval from Fisheries and Oceans Canada. 143 Greenspace Securement and Management – The service area expenses are under budget by $5,417, primarily due to the unavailability of Greenspace Land Acquisition funding. Tourism and Recreation – Overall, the service area expenses are over budget by $334. However there occurred a number of positive and negative variances in expenditures primarily: (1) The Mimico Phase II project was $355 over budget due to in-year unbudgeted requests; (2) The Arsenal Building Renovation, was $828 under budget, as the project is awaiting approvals and negotiations for transfer of this property and capital works to the City of Mississauga; (3) The Scarborough Bluffs West project was $250 under budget as the environmental assessment will continue into early to mid-2017; (4) The Peel Valley Trail projects were under spent by $263 due to design and access complications with the bridge and staircase components; (5) Valleywood Trail Construction was over budget by $185 due to unplanned additional work; and (6) The capital projects at the Black Creek Pioneer Village were $714 over budget as a result of completing the parking lot gate construction and the emergency hydro work. Education and Outreach – The service area expenses are under budget by $1,620, primarily driven by the following three projects: (1) The Claremont Field Centre Renovation Phase II was under budget by $495 as most of the expenditures will not occur until 2017; (2) The Bolton Camp Improvements were under budget by $1,062 as Peel Region revisits the ultimate design for the project; (3) BRE Innovation Park Business Plan was under budget by $269 awaiting servicing at Kortright; and (4) The Pan Am Equestrian Facility was under budget by $336 as the project was completed under budget. Offsetting these budget savings was $525 in unbudgeted construction costs for servicing at The Living City Campus Development site. Sustainable Communities – The service area expenses are under budget by $1,643. Community Transformation Management was under budget by $341 due to loss of staff and a delay in hiring. Performance Based Conservation Pilot Program was $368 under budget. This multi-year project will be carried forward into 2017. Multiple other projects experienced timing differences due to their multi-year nature. Expenditures exceeded budget in the Partners in Project Green program by $427 due to the availability additional funds. Corporate Services – The service area expenses are under budget by $617, primarily due to under spending of $461 relating to major facilities retrofit and office accommodation projects. Reserves: The difference between the budgeted reserve withdrawals compared to actual withdraws of $98 is due to funds used for construction of the Nursery’s cold storage facility. 144 Final figures will appear in the Financial Statements presented in June 2017 following the audit. Report prepared by: Janice Darnley, extension 5768 Emails: jdarnley@trca.on.ca For Information contact: Janice Darnley, extension 5768; Rocco Sgambelluri, extension 5232 Emails: jdarnley@trca.on.ca; rsgambelluri@trca.on.ca Date: March 9, 2017 Attachments: 2 145 Attachment 1 Toronto and Region Conservation Authority 2016 Operating Variance $ Change % Change 2016 2016 Over (Under)Over (Under) Budget Year to date Budget Budget Revenue Municipal Operating levies 13,552,000 13,552,196 196 0.0% Capital levies 362,000 362,000 - 0.0% Contract services 295,000 1,134,864 839,864 405.6% Grants 1,164,000 321,663 (842,337) -72.4% Government - Provincial 1,940,000 1,884,260 (55,740) -2.9% Federal 254,000 338,505 84,505 33.3% Contract services 144,000 1,084,695 940,695 0.0% User fees, sales and admissions 19,026,000 20,880,599 1,854,599 9.7% Contract services - Compensation agreements - - - 0.0% Corporate and other 1,031,000 1,020,838 (10,162) -1.0% Rent and property interests 2,619,000 3,498,475 879,475 33.6% Fundraising - Donations 22,000 30,020 8,020 36.5% The Living City Foundation 1,102,000 514,842 (587,158) -53.3% Investment income 600,000 679,318 79,318 13.2% Net gain/loss on sale of tangible capital assets - - - 0.0% Sundry 82,000 521,987 439,987 536.6% Total Revenue 42,193,000 45,824,262 3,631,262 8.6% Expenditures Watershed Studies and Strategies Watershed Planning and Reporting 1,612,000 1,384,604 (227,396) -14.1% Climate Science 99,000 99,571 571 0.6% 1,711,000 1,484,175 (226,825) -13.3% Water Risk Management Flood Management 714,000 776,057 62,057 8.7% 714,000 776,057 62,057 8.7% Regional Biodiversity Biodiversity Monitoring 130,000 177,953 47,953 36.9% Ecosystem Management Research and Directions 117,000 113,619 (3,381) -2.9% Forest Management 135,000 126,100 (8,900) -6.6% Restoration and Regeneration 776,000 1,283,129 507,129 65.4% 1,158,000 1,700,801 542,801 46.9% Greenspace Securement and Management Greenspace Securement 105,000 104,732 (268) -0.3% Greenspace Management 1,239,000 1,184,425 (54,575) -4.4% Rental Properties 2,075,000 2,434,385 359,385 17.3% 3,419,000 3,723,542 304,542 8.9% Tourism and Recreation Conservation Parks 4,817,000 5,697,075 880,075 18.3% Bathurst Glen Golf Course 1,239,000 1,280,502 41,502 3.3% Black Creek Pioneer Village 3,961,000 4,065,109 104,109 2.6% Events and Festivals 724,000 818,340 94,340 13.0% Wedding and Corporate Events 1,754,000 1,807,954 53,954 3.1% 12,495,000 13,668,980 1,173,980 9.4% Planning and Development Review Development Planning and Regulation Permitting 4,262,000 4,604,542 342,542 8.0% Environmental Assessment Planning and Permitting 3,262,000 2,651,990 (610,010) -18.7% Policy Development and Review 217,000 301,607 84,607 39.0% 7,741,000 7,558,139 (182,861) -2.4% 146 Toronto and Region Conservation Authority 2016 Operating Variance $ Change % Change 2016 2016 Over (Under)Over (Under) Budget Year to date Budget Budget Expenditures Education and Outreach School Programs 5,248,000 4,897,734 (350,266) -6.7% Newcomer Services 1,047,000 826,819 (220,181) -21.0% Family and Community Programs 543,000 576,765 33,765 6.2% 6,838,000 6,301,318 (536,682) -7.8% Sustainable Communities Living City Transition Program 151,000 141,987 (9,013) -6.0% Community Engagement 114,000 131,393 17,393 15.3% 265,000 273,380 8,380 3.2% Corporate Services Financial Management 2,291,000 2,323,118 32,118 1.4% Corporate Management and Governance 4,524,000 4,446,985 (77,015) -1.7% Human Resources 1,040,000 868,509 (171,491) -1.0% Corporate Communications 1,553,000 1,578,999 25,999 1.7% Information Infrastructure and Management 2,274,000 2,142,798 (131,202) -5.8% Project Recoveries (3,029,000) (2,731,874) 297,126 -9.8% Vehicles and Equipment - 139,655 139,655 0.0% 8,653,000 8,768,190 115,190 1.3% Total Expenditures 42,994,000 44,254,582 1,260,582 2.9% Net Surplus (Deficit)(801,000) 1,569,680 2,370,680 -296.0% Reserves 801,000 255,902 (545,098) -68.1% Net Budget - 1,825,582 1,825,582 0.0% 147 Attachment 2 Toronto and Region Conservation Authority 2016 Capital Variance $ Change % Change 2016 2016 Over (Under)Over (Under) Budget Year to date Budget Budget Revenue Municipal Capital levies 42,642,000 33,792,735 (8,849,265) -20.8% Contract services 5,379,000 9,216,780 3,837,780 71.3% Grants 7,679,000 2,123,152 (5,555,848) -72.4% Government Provincial 1,323,000 2,399,968 1,076,968 81.4% Federal 1,607,000 1,406,763 (200,237) -12.5% Contract services 900,000 2,455,871 1,555,871 172.9% User fees, sales and admissions 978,000 948,858 (29,142) -3.0% Contract services Compensation agreements 255,000 614,931 359,931 141.1% Corporate and other 2,358,000 2,319,856 (38,144) -1.6% Rent and property interests 374,000 265,724 (108,276) -29.0% Fundraising Donations 1,170,000 146,747 (1,023,253) -87.5% The Living City Foundation 412,000 918,271 506,271 122.9% Investment income - 33,226 33,226 0.0% Net gain/loss on sale of tangible capital assets - - - 0.0% Sundry 61,000 - (61,000) Total Revenue 65,138,000 56,642,882 (8,495,118) -13.0% Expenditures Watershed Studies and Strategies Watershed Planning and Reporting 2,116,000 1,746,137 (369,863) -17.5% Climate Science 491,000 254,730 (236,270) -48.1% 2,607,000 2,000,867 (606,133) -23.3% Water Risk Management Water Resource Science 2,742,000 4,628,227 1,886,227 68.8% Erosion Management 13,823,000 13,175,299 (647,701) -4.7% Flood Management 2,986,000 3,100,298 114,298 3.8% 19,551,000 20,903,824 1,352,824 6.9% Regional Biodiversity Biodiversity Monitoring 2,380,000 1,886,087 (493,913) -20.8% Ecosystem Management Research and Directions 881,000 903,220 22,220 2.5% Forest Management 1,056,000 768,911 (287,089) -27.2% Restoration and Regeneration 6,111,000 7,458,295 1,347,295 22.0% 10,428,000 11,016,513 588,513 5.6% Greenspace Securement and Management Greenspace Securement 6,080,000 755,829 (5,324,171) -87.6% Greenspace Management 1,488,000 1,395,116 (92,884) -6.2% 7,568,000 2,150,945 (5,417,055) -71.6% Tourism and Recreation Waterfront Parks 2,832,000 2,489,889 (342,111) -12.1% Conservation Parks 1,618,000 1,530,959 (87,041) -5.4% Trails 1,880,000 1,928,799 48,799 2.6% Black Creek Pioneer Village 154,000 868,150 714,150 463.7% Events and Festivals - 43 43 0.0% 6,484,000 6,817,840 333,840 5.1% 148 Toronto and Region Conservation Authority 2016 Capital Variance $ Change % Change 2016 2016 Over (Under)Over (Under) Budget Year to date Budget Budget Expenditures Planning and Development Review Development Planning and Regulation Permitting 115,000 26,748 (88,252) -76.7% Policy Development and Review 600,000 599,046 (954) -0.2% 715,000 625,794 (89,206) -12.5% Education and Outreach School Programs 5,388,000 4,107,751 (1,280,249) -23.8% Newcomer Services 239,000 234,052 (4,948) -2.1% Family and Community Programs 619,000 284,502 (334,498) -54.0% 6,246,000 4,626,305 (1,619,695) -25.9% Sustainable Communities Living City Transition Program 6,589,000 5,554,239 (1,034,761) -15.7% Community Engagement 3,042,000 2,433,533 (608,467) -20.0% 9,631,000 7,987,772 (1,643,228) -17.1% Corporate Services Financial Management - - - 0.0% Corporate Management and Governance 1,177,000 762,698 (414,302) -35.2% Human Resources - 1,410 1,410 0.0% Information Infrastructure and Management 405,000 409,781 4,781 1.2% Project Recoveries - (132,721) (132,721) 0.0% Vehicles and Equipment - (76,622) - 0.0% 1,582,000 964,546 (617,454) -39.0% Total Expenditures 64,812,000 57,094,406 (7,717,594) -11.9% Net Surplus (Deficit)326,000 (451,524) (777,524) -238.5% Reserves 175,000 272,920 97,920 56.0% Net Budget 501,000 (178,604) (679,604) -135.6% 149 TERMINATION ON MOTION, the meeting terminated at 9:00 a.m., on Friday, March 24, 2017. Maria Augimeri Chair /ks Brian Denney Secretary-Treasurer 150 Budget Audit Advisory Board Meeting #2/17 was held at TRCA Head Office, on Friday, June 9, 2017. The Chair Maria Augimeri, called the meeting to order at 8:36 a.m. PRESENT Maria Augimeri Chair Jack Ballinger Member Ronald Chopowick Member Gino Rosati Member Jim Tovey Member RES.#C5/17 - MINUTES Moved by: Ronald Chopowick Seconded by: Gino Rosati THAT the Minutes of Meeting #1/17, held on March 24, 2017, be approved. CARRIED ______________________________ PRESENTATIONS 5.1 A presentation by Kevin Travers, Partner and Joane Mui, Senior Manager, KPMG LLP, and Michael Tolensky, Deputy Chief Financial Officer, TRCA, in regard to item 7.1 - 2016 Audited Financial Statements. 5.2 A presentation by Rocco Sgambelluri, Chief Financial Officer, TRCA, in regard to item 7.2 - 2018 Preliminary Budget. RES.#C6/17 - PRESENTATIONS Moved by: Ronald Chopowick Seconded by: Jim Tovey THAT above-noted presentations 5.1 and 5.2 be received. CARRIED ______________________________ 151 Section I – Items for Authority Action RES.#C7/17 - 2016 A UDITED FINANCIAL STATEMENTS Approval of Financial Statements. The 2016 audited financial statements are recommended for approval. Moved by: Ronald Chopowick Seconded by: Jim Tovey THE BOARD RECOMMENDS TO THE AUTHORITY THAT the transfer of funds from surplus to reserves in the amount of $2,030,000 as outlined below and reflected in Note 7, “Accumulated Surplus” to the financial statements (Attachment 1) be approved; AND FURTHER THAT the 2016 audited financial statements, as presented in Attachment 1 be approved, signed by the Chair and Secretary-Treasurer of Toronto and Region Conservation Authority (TRCA), and distributed to each member municipality and the Minister of Natural Resources and Forestry, in accordance with subsection 38(3) of the Conservation Authorities Act. CARRIED RATIONALE The 2016 TRCA audited financial statements are presented for approval. The accounting firm KPMG LLP has completed its audit and has included within the financial statements an unqualified, independent auditor’s report. The audited financial statements are presented as Attachment 1 to the report. Representatives from KPMG LLP will be in attendance to present the auditor’s report on the 2016 financial statements. Auditor Communication on Audit Strategy and Results Included as Attachment 2 is a report from KPMG LLP addressed to the Budget/Audit Advisory Board (BAAB), entitled, “Audit Findings Report”. This report addresses various matters, including the auditors approach to the audit, materiality, and adjustments and differences. The auditors found no adjustments or differences, but did provide performance improvement observations in their findings, which represent comments meant to improve TRCA’s efficiency and effectiveness of financial policies and procedures. Financial Statement Structure The Statement of Operations and Accumulated Surplus includes revenues, expenses and TRCA’s net surplus position for the year, but excludes the impact of Tangible Capital Asset (TCA) expenditures and disposal proceeds. The Statement of Financial Position reports financial assets and liabilities, which define the net assets of the organization. Further, the Statement of Financial Position discloses non-financial assets. The Statement of Changes in Net Financial Assets reconciles the surplus for the year to the change in net assets. Finally, the Statement of Cash Flows itemizes the sources of cash inflows and outflows during the year, classified as either operating, investing or capital in nature. As previously noted, the Statement of Operations and Accumulated Surplus does not include tangible capital asset expenditures. Note 15 in the audited financial statements outlines the modifications to the approved budget required in order to provide a more meaningful comparison to actual operating results. Also, to assist with the comparison of results to budget, the actual amortization has been added to the approved budget. 152 Staff will provide an analysis of the performance of the organization, drilling down into the line items reflected on these statements at this meeting. Changes to the Financial Statement Presentation In order to improve the presentation, there were some changes introduced to the 2016 financial statement format. Attachment 3 provides a comprehensive list of these enhancements. Approval of Transfer From Surplus to Reserves The status of TRCA reserves is presented in Note 7 of the financial statements. All subsequent figures in this report are listed in thousands of dollars. Reserve balances totaled $5,354 at the end of the year, an increase of $1,116 from 2015, primarily due to the increase in unallocated surplus of $1,583, which was offset by drawings of $330 from the operating reserve and $137 from the capital reserve. At year-end, management proposes the following transfers: Balance Jan 1, 2016 Pre-Transfer Dec 31, 2016 Proposed Transfer Ending Balance Dec 31, 2016 Unallocated Surplus $447 $2,030 ($2,030) $- Operating Reserve $2,834 $2,504 $502 $3,006 Capital Reserve $957 $820 $1,528 $2,348 Total $4,238 $5,354 $- $5,354 The ending operating reserve represents the proposed reserve drawing from the 2017 operating and capital budget, which was approved on March 24, 2017, while the ending capital reserve represents funding for unbudgeted tangible capital assets purchases and related expenditures. It is anticipated that additional surplus available in 2017 will replenish any drawings from reserves identified in the budget. Over time, TRCA’s goal is to build the operating reserve in line with industry best practices, while continuing to build the capital reserve to help finance future cash outlays to maintain/repair/replace aging infrastructure, over and above available government funding. Report prepared by: Michael Tolensky, extension 5965 Emails: mtolensky@trca.on.ca For Information contact: Michael Tolensky, extension 5965 Emails: mtolensky@trca.on.ca Date: June 2, 2017 Attachments: 3 153 DRAFT #5 June 2, 2017 Financial Statements of TORONTO AND REGION CONSERVATION AUTHORITY Year ended December 31, 2016 Attachment 1 154 INDEPENDENT AUDITORS' REPORT To the Members of the Toronto and Region Conservation Authority We have audited the accompanying financial statements of Toronto and Region Conservation Authority, which comprise the statement of financial position as at December 31, 2016, the statements of operations and accumulated surplus, changes in net financial assets and cash flows for the year then ended, and notes, comprising a summary of significant accounting policies and other explanatory information. Management's Responsibility for the Financial Statements Management is responsible for the preparation and fair presentation of these financial statements in accordance with Canadian public sector accounting standards, and for such internal control as management determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. Auditors' Responsibility Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with Canadian generally accepted auditing standards. Those standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on our judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, we consider internal control relevant to the entity's preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity's internal control. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion. 155 Page 2 Opinion In our opinion, the financial statements present fairly, in all material respects, the financial position of Toronto and Region Conservation Authority as at December 31, 2016, and its results of operations, its changes in net financial assets and its cash flows for the year then ended in accordance with Canadian public sector accounting standards. Other Matter The financial statements of Toronto and Region Conservation Authority as at and for the year ended December 31, 2015 were audited by another auditor who expressed an unqualified opinion on those financial statements on June 24, 2016. DRAFT Chartered Professional Accountants, Licensed Public Accountants ______________ Vaughan, Canada 156 1 TORONTO AND REGION CONSERVATION AUTHORITY DRAFT Statement of Financial Position (In thousands of dollars) December 31, 2016, with comparative information for 2015 2016 2015 Assets Financial assets: Cash (note 2) $ 16,677 $ 14,785 Investments (note 3) 28,083 19,751 Receivables (note 4) 13,886 13,446 58,646 47,982 Liabilities Financial liabilities: Payables and accrued liabilities 14,414 10,246 Vacation pay entitlements (note 1(g)) 2,461 2,493 Deferred revenue (note 5) 38,985 33,823 55,860 46,562 Net financial assets 2,786 1,420 Non-financial assets: Other assets 721 554 Tangible capital assets (note 6) 451,419 445,019 452,140 445,573 Contingent liabilities and commitments (note 14) Accumulated surplus (note 7) $ 454,926 $ 446,993 See accompanying notes to financial statements. On behalf of Toronto and Region Conservation Authority: Chair Secretary Treasurer 157 2 TORONTO AND REGION CONSERVATION AUTHORITY DRAFT Statement of Operations and Accumulated Surplus (In thousands of dollars) Year ended December 31, 2016, with comparative information for 2015 2016 2016 2015 Budget Actual Actual (note 15) Revenue: Government funding (note 8) $ 77,242 $ 70,125 $ 72,620 Authority generated (note 9) 29,490 31,619 29,265 Investment income 600 714 612 Net loss on sale of tangible capital assets (note 6) – (69) (292) 107,332 102,389 102,205 Expenses (note 10): Watershed Studies and Strategies 4,319 3,439 2,005 Water Risk Management 21,243 16,841 21,422 Regional Biodiversity 11,479 12,394 11,346 Greenspace Securement and Management 5,711 5,625 5,508 Tourism and Recreation 19,788 21,528 21,693 Planning and Development Review 8,441 8,109 7,882 Education and Outreach 9,643 9,118 8,185 Sustainable Communities 9,923 7,701 8,586 Corporate Services 8,751 9,701 7,882 99,298 94,456 94,509 Net surplus 8,034 7,933 7,696 Accumulated surplus, beginning of year 446,993 446,993 439,297 Accumulated surplus, end of year $ 455,027 $ 454,926 $ 446,993 See accompanying notes to financial statements. 158 3 TORONTO AND REGION CONSERVATION AUTHORITY DRAFT Statement of Changes in Net Financial Assets (In thousands of dollars) Year ended December 31, 2016, with comparative information for 2015 2016 2016 2015 Budget Actual Actual (note 15) Net surplus $ 8,034 $ 7,933 $ 7,696 Acquisition of tangible capital assets (15,422) (13,579) (15,587) Contributed tangible capital assets – (299) (887) Net loss on sale of tangible capital assets – 69 292 Write-off of tangible capital assets – 25 – Proceeds on disposal of tangible capital assets – 10 20 Amortization 6,914 7,374 7,102 Change in other assets – (167) 398 Increase (decrease) in net financial assets (474) 1,366 (966) Net financial assets, beginning of year 1,420 1,420 2,386 Net financial assets, end of year $ 946 $ 2,786 $ 1,420 See accompanying notes to financial statements. 159 4 TORONTO AND REGION CONSERVATION AUTHORITY DRAFT Statement of Cash Flows (In thousands of dollars) Year ended December 31, 2016, with comparative information for 2015 2016 2015 Cash provided by (used in): Operating activities: Net surplus $ 7,933 $ 7,696 Items not involving cash: Amortization 7,374 7,102 Accrued interest on investments (521) (455) Net loss on sale of tangible capital assets 69 292 Write-off of tangible capital assets 25 – Contributed tangible capital assets (299) (887) Change in non-cash operating working capital: Receivables (440) 2,422 Other assets (167) 398 Payables and accrued liabilities 4,168 (3,165) Vacation pay entitlements (32) 41 Deferred revenue 5,162 6,111 23,272 19,555 Investing activities: Purchase of investments (11,871) (4,374) Proceeds on maturity of investments 4,060 4,265 (7,811) (109) Capital activities: Purchase of tangible capital assets (13,579) (15,587) Proceeds on disposal of tangible capital assets 10 20 (13,569) (15,567) Increase in cash 1,892 3,879 Cash, beginning of year 14,785 10,906 Cash, end of year $ 16,677 $ 14,785 See accompanying notes to financial statements. 160 TORONTO AND REGION CONSERVATION AUTHORITY DRAFT Notes to Financial Statements (In thousands of dollars) Year ended December 31, 2016 5 Toronto and Region Conservation Authority ("TRCA") is established under the Conservation Authorities Act of Ontario to further the conservation, restoration, development and management of natural resources, other than gas, oil, coal and minerals for the nine watersheds within its area of jurisdiction. TRCA's area of jurisdiction includes the City of Toronto and areas in the Regional Municipalities of Durham, Peel and York (including lower-tier municipalities), the Township of Adjala- Tosorontio and Town of Mono. TRCA is a registered charitable organization and is exempt from income taxes under the Income Tax Act (Canada). 1. Significant accounting policies: The financial statements for TRCA are the responsibility of and prepared by management in accordance with Canadian public sector accounting standards ("PSAS") as established by the Public Sector Accounting Board, and include the following significant accounting policies: (a) Basis of accounting: The financial statements are prepared using an accrual basis of accounting which recognizes the effect of transactions and events in the period in which the transactions and events occur, regardless of whether there has been a receipt or payment of cash or its equivalent. Accrual accounting recognizes a liability until the obligation(s) or condition(s) underlying the liability is partly or wholly satisfied. Accrual accounting recognizes an asset until the future economic benefit underlying the asset is partly or wholly used or lost. (b) Revenue recognition: Government funding including transfers, municipal capital and operating levies, grants, contract services and management fees are recognized in the financial statements when the payments are authorized and all eligibility criteria have been met, except when there is a stipulation that gives rise to an obligation that meets the definition of a liability. In that case, the funding is recorded as deferred revenue and recognized as revenue as the stipulations are met. 161 TORONTO AND REGION CONSERVATION AUTHORITY DRAFT Notes to Financial Statements (continued) (In thousands of dollars) Year ended December 31, 2016 6 1. Significant accounting policies (continued): Authority generated revenues including property rental income, contract services, admissions and parking, permits (development, camping, picnic, commercial filming and photography), environmental assessments, programs (education, family and community), events (weddings, festivals and corporate events), athletic fees and equipment rentals, program and event sponsorships, product sales (nursery, food, beverage and merchandise) and membership fees are recognized as revenue in the period in which the related services are performed. Amounts collected for which the related services have not been performed are recorded as deferred revenue and recognized as revenue when the related services are performed. Unrestricted donations are recorded as revenue in the period they are received or receivable, when a reasonable estimate can be made of the amount involved. Externally restricted donations are deferred and recognized as revenue in the year in which the related expenses are recognized. Donated tangible capital assets are recorded at fair market value, when fair market value can be reasonably estimated. (c) Cash: Cash consists of cash on hand, and all deposits in banks including interest bearing savings accounts. (d) Investments: Investments, which consist of guaranteed investment certificates, bonds including interest and dividend and a portfolio with the One Investment Program, are recorded at cost. Investment income is recognized when earned. Any discount or premium arising on purchase is amortized over the period to maturity. If there is a permanent loss in value, an investment will be written down to recognize the loss. Any write-down would be included in the statement of operations and accumulated surplus. (e) Other assets: Other assets include prepaid expenses and inventory. Inventories of merchandise and food for resale are valued at the lower of cost and net realizable value. Nursery inventory is valued at the lower of cost and replacement value. Cost is determined on a first-in, first- out basis. 162 TORONTO AND REGION CONSERVATION AUTHORITY DRAFT Notes to Financial Statements (continued) (In thousands of dollars) Year ended December 31, 2016 7 1. Significant accounting policies (continued): (f) Tangible capital assets: Tangible capital assets are recorded at cost, which includes amounts directly attributable to acquisition, construction development, or betterment of the asset, less accumulated amortization and write-downs, if any. Contributed tangible capital assets are recorded at fair market value at the date of contribution. Amortization is provided on a straight-line basis over the estimated useful life for all tangible capital assets (except land, which is not amortized, asset under construction, which are not amortized and are transferred to another category when they are available for productive use, and vehicles, which are amortized on a declining-balance basis) as follows: Assets Basis Rate Infrastructure Straight line 10 - 50 years Buildings and building improvements Straight line 10 - 55 years Land improvements Straight line 20 - 40 years Machinery and equipment Straight line 5 - 12 years Vehicles Declining balance 20 - 30% TRCA has a collection of art and historical buildings. These are not recognized in the financial statements. When a tangible capital asset no longer contributes to TRCA's ability to provide services or the value of the future economic benefits associated with the tangible capital asset is less than its net book value, the carrying value of the tangible capital asset is reduced to reflect the asset's value. (g) Vacation pay entitlements: In accordance with TRCA policy, vacation entitlements are accrued for as earned by employees. The liability for the accumulated vacation days represents management's best estimate as to TRCA's future liability. 163 TORONTO AND REGION CONSERVATION AUTHORITY DRAFT Notes to Financial Statements (continued) (In thousands of dollars) Year ended December 31, 2016 8 1. Significant accounting policies (continued): (h) Contaminated sites: Contaminated sites are the result of contamination being introduced in air, soil, water or sediment of a chemical, organic, or radioactive material or live organism that exceed an environmental standard. A liability for remediation of contaminated sites is recognized, net of any expected recoveries, when all of the following criteria are met: (a) an environmental standard exists; (b) contamination exceeds the environmental standard; (c) TRCA is directly responsible or accepts responsibility for the liability; (d) future economic benefits will be given up; and (e) a reasonable estimate of the liability can be made. Changes in this estimate are recorded in TRCA's statement of operations and accumulated surplus. (i) Employee pension plan: The cost of the multi-employer defined benefit pension plan is recognized as the required contributions for employees' services are rendered in the year. (j) Reserves: TRCA internally allocates its accumulated surplus to capital reserves to finance the cost of tangible capital assets, purchases, maintenance and related expenditures and operating reserves in order to ensure funds are available for financial relief in the event of a significant loss of revenues or other financial emergency for which no other source of funding is available. These reserves are replenished from net assets as directed by the Board of Directors. (k) Use of estimates: The preparation of financial statements, in conformity with PSAS, requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and revenue and expenses during the reporting year. Accounts subject to estimates include allowance for doubtful accounts, accrued liabilities, vacation pay entitlements and tangible capital assets. Actual results could differ from those estimates. 164 TORONTO AND REGION CONSERVATION AUTHORITY DRAFT Notes to Financial Statements (continued) (In thousands of dollars) Year ended December 31, 2016 9 2. Cash - CTC Source Protection Region: The Credit Valley, Toronto and Region and Central Lake Ontario Source Protection Region ("CTC Source Protection Region") was established under the Clean Water Act of Ontario to ensure communities protect their drinking water supplies through prevention - by developing collaborative, watershed based source protection plans that are locally driven and based on science. The CTC Source Protection Region's jurisdiction includes the Credit Valley, Toronto and Region and Central Lake Ontario source protection areas, which are represented by the respective conservation authorities under the Clean Water Act. In the current year, the Minister of the Environment and Climate Change provided additional funding of $540 (2015 - $781), and earned interest of $6 (2015 - $10) for source protection projects to the TRCA, which delivers the management function on behalf of the CTC Source Protection Region. Total funding of $703 (2015 - $844) is held in a separate bank account, which is included on the statement of financial position as cash, with a corresponding deferred revenue balance. 3. Investments: 2016 2015 Provincial bonds: Interest rates: 1.63% - 3.62% (2015 - 1.63% - 3.62%) $ 8,052 $ 6,771 Years of maturity: 2017 - 2022 (2015 - 2017 - 2021) Guaranteed investment certificates: Interest rates: 1.40% - 2.46% (2015 - 1.45% - 2.46%) 7,489 4,880 Years of maturity: 2017 - 2020 (2015 - 2016 - 2020) Financial institution bonds: Interest rates: 1.72% - 2.71% (2015 - 1.90% - 3.51%) 2,690 4,295 Years of maturity: 2017 - 2020 (2015 - 2016 - 2017) Corporate bonds: Interest rates: 3.12% - 3.30% (2015 - 3.12% - 3.30%) 1,693 2,220 Years of maturity: 2018 - 2019 (2015 - 2016 - 2019) Municipal bonds: Interest rates: 1.58% - 1.85% (2015 - 1.58% - 1.85%) 1,611 1,585 Years of maturity: 2020 - 2021 (2015 - 2020 - 2021) The One Investment Program: Bond Portfolio 3,528 – Universe Corporate Bond Portfolio 2,520 – Equity Portfolio 500 – $ 28,083 $ 19,751 The fair market value of the investments at December 31, 2016 is $28,033 (2015 - $19,931). 165 TORONTO AND REGION CONSERVATION AUTHORITY DRAFT Notes to Financial Statements (continued) (In thousands of dollars) Year ended December 31, 2016 10 4. Receivables: 2016 2015 Government funding: Municipal $ 8,978 $ 7,159 Federal 911 1,341 Provincial 1,066 629 Authority generated: Trade and other 823 2,238 The Living City Foundation (note 13) 2,071 2,025 Employee loans 37 54 $ 13,886 $ 13,446 5. Deferred revenue: 2016 2015 Government funding (a) $ 25,898 $ 21,948 Authority generated (b) 13,087 11,875 $ 38,985 $ 33,823 (a) Government funding: 2016 2015 Municipal: Capital levies $ 14,849 $ 12,919 Contract services 3,433 2,828 Other 148 840 Provincial 3,708 1,850 Federal 222 447 Revenue sharing policy 3,538 3,064 $ 25,898 $ 21,948 166 TORONTO AND REGION CONSERVATION AUTHORITY DRAFT Notes to Financial Statements (continued) (In thousands of dollars) Year ended December 31, 2016 11 5. Deferred revenue (continued): (i) The proceeds on the sale of properties of $747 (2015 - $1,853) is attributed to the province and the member municipalities on the basis of their original contribution when the properties were acquired. The Ministry of Natural Resources and Forestry reserves the right to direct the purpose to which the provincial share of funds may be applied or to request a refund. The balance must always be maintained in proportion to the original contribution by the province and TRCA, represented by the member municipalities. TRCA is permitted to withdraw the municipal share of the funds provided that the corresponding provincial share is either matched by other sources of funding or returned to the province. In the current year, $284 (2015 - $579) was applied to the Greenspace acquisition project and $2 (2015 - $7) was applied to the revised project for the Etobicoke Motel Strip. Interest of $26 (2015 - $16) has been imputed on the unspent balance of the funds. (b) Authority generated: 2016 2015 Cash in lieu and compensation funds $ 7,114 $ 4,654 Master environmental servicing plans fees 2,215 2,201 Property easements 841 1,622 Contract services 631 703 Wedding and event deposits 627 446 Other 1,659 2,249 $ 13,087 $ 11,875 167 TORONTO AND REGION CONSERVATION AUTHORITY DRAFT Notes to Financial Statements (continued) (In thousands of dollars) Year ended December 31, 2016 12 6. Tangible capital assets: 2016 - Cost Opening Additions Transfers Disposals Closing Land $ 344,238 $ 2,649 $ 51 $ (1) $ 346,937 Infrastructure 153,830 1,404 785 – 156,019 Buildings and building improvements 57,237 767 436 (360) 58,080 Land improvements 13,396 511 610 – 14,517 Machinery and equipment 9,350 848 99 (519) 9,778 Vehicles 4,743 515 – (143) 5,115 Assets under construction 5,799 7,184 (1,981) (57) 10,945 $ 588,593 $ 13,878 $ – $ (1,080) $ 601,391 2016 - Accumulated amortization Opening Amortization Disposals Closing Infrastructure $ 104,096 $ 3,408 $ – $ 107,504 Buildings and building improvements 27,114 1,972 (316) 28,770 Land improvements 4,991 577 – 5,568 Machinery and equipment 3,979 961 (519) 4,421 Vehicles 3,394 456 (141) 3,709 $ 143,574 $ 7,374 $ (976) $ 149,972 Net book value 2016 2015 Land $ 346,937 $ 344,238 Infrastructure 48,515 49,734 Buildings and building improvements 29,310 30,123 Land improvements 8,949 8,405 Machinery and equipment 5,357 5,371 Vehicles 1,406 1,349 Assets under construction 10,945 5,799 $ 451,419 $ 445,019 In the current year, TRCA sold tangible capital assets for $10 (2015 - $20), and wrote-off tangible capital assets of $25 (2015 - nil), resulting in a net loss of $69 (2015 - $292). The value of contributed tangible capital assets received within the Greenspace Securement and Management service area during the year is $299 (2015 - $887). 168 TORONTO AND REGION CONSERVATION AUTHORITY DRAFT Notes to Financial Statements (continued) (In thousands of dollars) Year ended December 31, 2016 13 7. Accumulated surplus: 2016 2015 Tangible capital assets $ 451,419 $ 445,019 Unfunded vacation pay entitlements (1,847) (2,264) Unallocated accumulated surplus – 447 Operating reserves 3,006 2,834 Capital reserves 2,348 957 $ 454,926 $ 446,993 8. Revenue - government funding: 2016 2016 2015 Budget Actual Actual Municipal: Capital levies $ 43,004 $ 34,346 $ 33,721 Contract services 5,674 10,343 16,190 Operating levies 13,552 13,552 13,288 Other 8,843 2,427 3,890 Provincial 3,263 4,193 3,670 Federal 1,861 1,740 1,861 Other - contract services 1,045 3,524 – $ 77,242 $ 70,125 $ 72,620 169 TORONTO AND REGION CONSERVATION AUTHORITY DRAFT Notes to Financial Statements (continued) (In thousands of dollars) Year ended December 31, 2016 14 9. Revenue - authority generated: 2016 2016 2015 Budget Actual Actual Watershed Studies and Strategies: Watershed planning and reporting $ 167 $ 3 $ 28 Climate science 19 18 – Water Risk Management: Erosion and flood management 290 292 430 Water resource science 32 21 113 Regional Biodiversity: Biodiversity monitoring 364 193 137 Ecosystem management 121 27 150 Restoration and regeneration 840 1,823 821 Greenspace Securement and Management: Rentals 2,495 2,454 2,310 Greenspace management 429 243 383 Greenspace securement 1,024 1,349 2,405 Tourism and Recreation: Camping and picnic permits 3,001 3,609 3,251 Site admissions and athletic fees 2,439 2,358 2,570 Wedding and corporate events 2,008 2,228 1,940 Events and festivals 807 863 865 Film and photography permits 245 431 163 Heritage Village 1,684 1,824 1,735 Trails 54 32 178 Planning and Development Review: Development planning 5,112 5,945 4,817 Environmental assessments 854 1,307 995 Education and Outreach: Educational programs 4,555 3,780 3,118 Sustainable Communities: Living City transition programs 2,417 1,764 1,949 Community engagement 369 424 449 Corporate Services 164 631 458 $ 29,490 $ 31,619 $ 29,265 170 TORONTO AND REGION CONSERVATION AUTHORITY DRAFT Notes to Financial Statements (continued) (In thousands of dollars) Year ended December 31, 2016 15 10. Expenses by object: 2016 2016 2015 Budget Actual Actual Compensation $ 58,058 $ 57,990 $ 55,866 Contract services 26,142 20,632 23,046 Materials and supplies 5,843 6,125 6,293 Utilities 1,112 1,215 1,189 Property taxes 1,229 1,120 1,013 Amortization 6,914 7,374 7,102 $ 99,298 $ 94,456 $ 94,509 11. Public sector salary disclosure: TRCA is subject to The Public Sector Salary Disclosure Act, 1996. Salaries and taxable benefits for the 53 employees (2015 - 47 employees) that have been paid by TRCA and reported to the Province of Ontario in compliance with this legislation can be obtained from the Ontario Ministry of Finance or upon request from TRCA. 12. Employee pension plan: TRCA makes contributions to the Ontario Municipal Employees Retirement System ("OMERS"), which is a multi-employer pension plan, on behalf of its qualifying full and part- time employees. The plan is a defined benefit plan, which specifies the amount of the retirement benefit to be received by the employees based on the length of service, pension formula and best 60 months of earnings. Employees and employers contribute equally to the plan. Because OMERS is a multi-employer pension plan, any pension plan surpluses or deficits are a joint responsibility of all Ontario municipalities and their employees. As a result, TRCA does not recognize any share of the OMERS pension actuarial deficit of $5,720 million (2015 - $6,977 million), as TRCA's portion of the amount is not determinable. Employers' current service contributions to the OMERS pension plan in the amount of $3,923 (2015 - $3,705) are included as compensation in the current year. 171 TORONTO AND REGION CONSERVATION AUTHORITY DRAFT Notes to Financial Statements (continued) (In thousands of dollars) Year ended December 31, 2016 16 13. The Living City Foundation: During the year, The Living City Foundation (the "Foundation") contributed $1,578 (2015 - $1,562) to TRCA programs, representing a significant portion of the Foundation's donations. The Foundation is an independent, non-controlled registered charitable organization which has its own Board of Directors. As such, the TRCA's financial statements do not include the activities of the Foundation. As at December 31, 2016, the Foundation has an externally restricted fund balance of $3,532 (2015 - $2,638), which is to be primarily used for undertaking TRCA projects and an operating fund deficit of $447 (2015 - $502). The receivable balance from the Foundation is non-interest bearing, unsecured and has no specified repayment terms. 14. Contingent liabilities and commitments: (a) Legal actions and claims: TRCA has received statements of claim as defendant under various legal actions resulting from its involvement in land purchases, fatalities, personal injuries and flooding on or adjacent to its properties. TRCA maintains insurance coverage against such risks and has notified its insurers of the legal actions and claims. It is not possible at this time to determine the outcome of these claims and, therefore, no provision has been made in these financial statements. (b) Land expropriations: TRCA has completed the acquisition of lands required to undertake various projects which includes acquiring lands under the Expropriations Act. A number of properties required for this Revised Project for the Etobicoke Motel Strip were obtained through expropriation from five owners. Funding was from the City of Etobicoke and the Municipality of Metropolitan Toronto (now collectively known as the City of Toronto) and the Province of Ontario. To date four of the expropriations have been settled and the compensation has been paid. 172 TORONTO AND REGION CONSERVATION AUTHORITY DRAFT Notes to Financial Statements (continued) (In thousands of dollars) Year ended December 31, 2016 17 14. Contingent liabilities and commitments (continued): (c) Lease commitments: TRCA has entered into lease agreements to lease certain of its premises for various periods until 2022. Minimum lease payments in aggregate and for each of the next five years and thereafter are as follows: 2017 $ 1,008 2018 1,014 2019 994 2020 994 2021 505 Thereafter 16 $ 4,531 (d) Loan guarantee: TRCA and the City of Toronto have jointly and severally provided a loan guarantee in the amount of $7.5 million to the Evergreen Foundation for the Don Valley Brick Works restoration project. The loan guarantee was renegotiated in 2014, reducing the amount of the guarantee to $4.3 million for 2015. As of December 31, 2016, Evergreen Foundation had received advances in the amount of $3.8 million (2015 - $4.3 million) from its financing institutional leader. The agreement requires annual reductions in the amounts guaranteed until June 30, 2023. 173 TORONTO AND REGION CONSERVATION AUTHORITY DRAFT Notes to Financial Statements (continued) (In thousands of dollars) Year ended December 31, 2016 18 15. Budget figures: PSAS requires a comparison of TRCA's results for the year with those originally planned on the same basis as that used for the actual results. The budget in the statement of operations has been adjusted to be presented on a consistent basis as actual results. The budget was approved on April 1, 2016. Below is a reconciliation of the figures from the approved budget to the budget on the financial statements: Approved budget per Approved financial budget Reclassification statements Total revenue $ 107,332 $ – $ 107,332 Expenses: Watershed Studies and Strategies $ 3,154 $ 1,165 $ 4,319 Water Risk Management 21,243 – 21,243 Regional Biodiversity 11,479 – 11,479 Greenspace Securement and Management 5,711 – 5,711 Tourism and Recreation 20,438 (650) 19,788 Planning and Development Review 8,511 (70) 8,441 Education and Outreach 8,923 720 9,643 Sustainable Communities 11,088 (1,165) 9,923 Corporate Services 8,751 – 8,751 $ 99,298 $ – $ 99,298 16. Comparative information: Certain comparative information has been reclassified to conform with the financial statement presentation adopted in the current year. 174 TO R O N T O A N D R E G I O N C O N S E R V A T I O N A U T H O R I T Y DR A F T N o t e s t o F i n a n c i a l S t a t e m e n t s (I n t h o u s a n d s o f d o l l a r s ) Ye a r e n d e d D e c e m b e r 3 1 , 2 0 1 6 19 17 . S e g m e n t e d d i s c l o s u r e s : 2 0 1 6 2 0 1 5 Wa t e r s h e d Gr e e n s p a c e St u d i e s Se c u r e m e n t T o u r i s m P l a n n i n g E d u c a t i o n an d W a t e r R i s k R e g i o n a l a n d a n d a n d a n d S u s t a i n a b l e C o r p o r a t e St r a t e g i e s M a n a g e m e n t B i o d i v e r s i t y M a n a g e m e n t R e c r e a t i o n De v e l o p m e n t O u t r e a c h C o m m u n i t i es S e r v i c e s T o t a l T o t a l Re v e n u e : Go v e r n m e n t f u n d i n g $ 3 , 6 7 6 $ 2 0 , 4 4 7 $ 1 0 , 3 8 5 $ 1 , 3 0 6 $ 1 0 , 1 8 6 $ 2 , 5 7 6 $ 6 , 9 8 3 $ 6 , 0 6 4 $ 8 , 5 0 2 $ 7 0 , 1 2 5 $ 7 2 , 6 2 0 Au t h o r i t y g e n e r a t e d ( 1 4 ) 3 4 8 2 , 0 4 2 4 , 0 4 7 1 1 , 3 4 5 7 , 2 5 2 3 , 7 8 0 2 , 1 8 8 6 3 1 3 1 , 6 1 9 2 9 , 2 6 5 In v e s t m e n t i n c o m e – 6 6 2 0 – – – – 6 8 2 7 1 4 6 1 2 Ne t l o s s o n s a l e o f ta n g i b l e c a p i t a l as s e t s – – – ( 5 0 ) ( 1 6 ) – – – ( 3 ) ( 6 9 ) ( 2 9 2 ) 3 , 6 6 2 2 0 , 8 0 1 1 2 , 4 3 3 5 , 3 2 3 2 1 , 5 1 5 9 , 8 2 8 1 0 , 7 6 3 8 , 2 5 2 9 , 8 1 2 1 0 2 , 3 8 9 1 0 2 , 2 0 5 Ex p e n s e s : Co m p e n s a t i o n 2 , 1 9 9 6 , 3 2 2 8 , 4 2 5 2 , 2 7 7 1 0 , 7 0 0 7 , 6 2 2 6 , 4 2 7 5 , 1 7 1 8 , 8 4 7 5 7 , 9 9 0 5 5 , 8 6 6 Co n t r a c t e d s e r v i c e s 3 9 1 6 , 2 6 9 2 , 7 4 7 1 , 2 1 7 3 , 4 6 4 2 2 2 1 , 2 7 4 1 , 3 0 0 3 , 7 4 8 2 0 , 6 3 2 2 3 , 0 4 6 Ma t e r i a l s a n d s u p p l i e s 2 8 7 8 4 1 , 5 5 8 1 2 3 2 , 0 7 4 4 2 5 9 0 1 9 1 7 3 5 6 , 1 2 5 6 , 2 9 3 Ut i l i t i e s – 2 2 – 8 3 7 7 7 – 1 9 9 1 1 3 3 1 , 2 1 5 1 , 1 8 9 Pr o p e r t y t a x e s – – – 9 3 7 2 – – – 1 8 1 1 , 1 2 0 1 , 0 1 3 Am o r t i z a t i o n 5 1 , 4 1 3 5 6 7 6 6 3 , 3 3 3 2 3 2 0 4 6 1 1 , 5 1 3 7 , 3 7 4 7 , 1 0 2 In t e r n a l c h a r g e s (r e c o v e r i e s ) 8 1 6 2 , 0 3 1 ( 3 9 2 ) 2 2 2 1 , 1 7 8 2 0 0 4 2 4 9 7 7 ( 5 , 4 5 6 ) – – 3 , 4 3 9 1 6 , 8 4 1 1 2 , 3 9 4 5 , 6 2 5 2 1 , 5 2 8 8 , 1 0 9 9 , 1 1 8 7 , 7 0 1 9 , 7 0 1 9 4 , 4 5 6 9 4 , 5 0 9 Ne t s u r p l u s ( d e f i c i t ) $ 2 2 3 $ 3 , 9 6 0 $ 3 9 $ ( 3 0 2 ) $ ( 1 3 ) $ 1 , 7 1 9 $ 1 , 6 4 5 $ 5 5 1 $ 1 1 1 $ 7 , 9 3 3 $ 7 , 6 9 6 17 5 Toronto and Region Conservation Authority Audit Findings Report For the year ended December 31, 2016 June 1, 2017 kpmg.ca/audit Attachment 2 176 Toronto and Region Conservation Authority Audit Findings Report for the year ended December 31, 2016 2 Table of Contents Executive summary 3 Audit approach 5 Materiality 8 Adjustments and differences 9 Other control deficiencies and observations 10 Appendices 12 The contacts at KPMG in connection with this report are: Kevin Travers Audit Engagement Partner Tel: 416-228-7004 ktravers@kpmg.ca Joane Mui Audit Senior Manager Tel: 416-228-7218 jmui@kpmg.ca 177 Toronto and Region Conservation Authority Audit Findings Report for the year ended December 31, 2016 3 This Audit Findings Report should not be used for any other purpose or by anyone other than the Budget/Audit Advisory Board. KPMG shall have no responsibility or liability for loss or damages or claims, if any, to or by any third party as this Audit Findings Report has not been prepared for, and is not intended for, and should not be used by, any third party or for any other purpose. Executive summary Purpose of this report* The purpose of this Audit Findings Report is to assist you, as a member of the Budget/Audit Advisory Board, in your review of the results of our audit of the financial statements of Toronto and Region Conservation Authority as at and for the year ended December 31, 2016. Audit approach and findings Our audit is risk-focused. In planning our audit we have taken into account key areas of focus for financial reporting. Audit materiality Materiality has been determined based on total expense. We have determined materiality to be $2,361,000 for the year ended December 31, 2016 – page 8. Finalizing the audit As of the date of this report, we have completed the audit of the financial statements, with the exception of certain remaining procedures, which include amongst others: – receipt of two legal confirmations; – completing our discussions with the Budget/Audit Advisory Board; – completing our subsequent event review procedures; – receipt of signed management representation letter (dated upon Board approval); – obtaining evidence of the Board’s approval of the financial statements. We will update you, and not solely the Chair (as required by professional standards), on significant matters, if any, arising from the completion of the audit, including the completion of the above procedures. Our auditors’ report will be dated upon the completion of any remaining procedures. Adjustments and differences We did not identify any corrected or uncorrected adjustments. We noted one disclosure omission relating to deferred revenue. See page 9 for further details. 178 Toronto and Region Conservation Authority Audit Findings Report for the year ended December 31, 2016 4 Executive summary Control and other observations We did not identify any control deficiencies that we determined to be significant deficiencies in ICFR. However, during the audit, we identified several performance improvement observations. 1) Extent of manual adjustments during the year-end process 2) Reporting system 3) Compliance with vacation policy See page 10 for further details on the observations and management’s response. Critical accounting estimates No significant accounting estimates exist. Overall, we are satisfied with the reasonability of accounting policies in place. Significant accounting policies and practices There have been no initial selections of, or changes to, significant accounting policies and practices to bring to your attention. Financial statement presentation and disclosure The presentation and disclosure of the financial statements are, in all material respects, in accordance with the Organization’s relevant financial reporting framework. 179 Toronto and Region Conservation Authority Audit Findings Report for the year ended December 31, 2016 5 Audit approach Professional requirements Why Our audit approach Fraud risk from management override of controls This is a presumed fraud risk. We have not identified any specific additional risks of management override relating to this audit. As the risk is not rebuttable, our audit methodology incorporates the required procedures in professional standards to address this risk. These procedures include testing of journal entries and other adjustments, performing a retrospective review of estimates and evaluating the business rationale of significant unusual transactions. No issues noted. Professional standards presume the risk of fraudulent revenue recognition and the risk of management override of controls exist in all companies. The risk of fraudulent recognition can be rebutted, but the risk of management override of control cannot, since management is typically in a unique position to perpetrate fraud because of its ability to manipulate accounting records and prepare fraudulent financial statements by overriding controls that otherwise appear to be operating effectively. 180 Toronto and Region Conservation Authority Audit Findings Report for the year ended December 31, 2016 6 Audit approach (continued) Other areas of focus Our audit approach and findings from the audit Cash and investments • Obtain confirmations of cash and investment year-end balances from third parties • Review bank reconciliations and vouch significant reconciling items to source documents • Review of investment earnings • Perform cut-off testing • Review of financial statement presentation and disclosure Revenue, Deferred revenue and Accounts receivable • Revenue recognition consideration (recognized versus deferred) • Select a sample of deferred revenue and vouch to supporting documentation • Select a sample of revenue and vouch to supporting documentation • Vouch operating and capital levy revenue to supporting documentation • Subsequent receipts of a sample of amounts receivables post year-end • Review of accounts receivable sub-ledger for credit balances • Review of disclosure requirements Tangible capital assets • Select a sample of additions of tangible capital assets and work-in-progress and agree to original invoices to ensure proper accounting treatment • Review of significant transfer of items out of the work in progress account • Review of any significant disposals Expenses / Accounts Payable and Accrued Liabilities • Select a sample of expense transactions and agree to original invoices to ensure proper classification of expenses • Review supporting documentation for significant accruals Other areas of focus include the following: 181 Toronto and Region Conservation Authority Audit Findings Report for the year ended December 31, 2016 7 • Perform trend analysis • Review of expense cut-off through the search for unrecorded liabilities • Perform control testing over classification of expenses to service areas • Testing of payroll input to source documents Payroll • Obtain an understanding on payroll processes • Perform substantive analytical procedures over compensation expenses • Testing of payroll input to source documents • Review supporting documentation for significant payroll and vacation accruals Other areas of focus include the following: 182 Toronto and Region Conservation Authority Audit Findings Report for the year ended December 31, 2016 8 Materiality The determination of materiality requires professional judgment and is based on a combination of quantitative and qualitative assessments including the nature of account balances and financial statement disclosures. Materiality determination Comments Current year Metrics Total revenue or expenses and net assets Total expenses Benchmark Based on actual 2016 total expenses for the year. $94,456,000 Materiality Determined to plan and perform the audit and to evaluate the effects of identified misstatements on the audit and of any uncorrected misstatements on the financial statements $2,361,000 % of Benchmark The percentage for the 2016 audit is approximately 2.5%. 2.5% Performance materiality Use 75% materiality, and used primarily to determine the nature, timing and extent of audit procedures $1,770,750 Audit Misstatement Posting Threshold (AMPT) Threshold used to accumulate misstatements identified during the audit $118,050 Professional standards require us to re-assess materiality at the completion of our audit based on period-end results or new information in order to confirm whether the amount determined for planning purposes remains appropriate. Our assessment of misstatements, if any, in amounts or disclosures at the completion of our audit will include the consideration of both quantitative and qualitative factors. The first step is the determination of the amounts used for planning purposes as follows. 183 Toronto and Region Conservation Authority Audit Findings Report for the year ended December 31, 2016 9 Adjustments and differences Corrected adjustments We did not identify any adjustments that were communicated to management and subsequently corrected in the financial statements. Uncorrected differences and disclosure omission The management representation letter includes the Summary of Uncorrected Audit Misstatements, which disclose the impact of all uncorrected differences considered to be other than clearly trivial. Below also summarizes the uncorrected differences and disclosure omissions: 1) We did not identify any uncorrected differences. 2) Disclosure omission noted: a. Deferred revenue - PSAS 3100.18 requires disclosure of any changes in deferred revenue balance attributable to each major category of external restriction. No deferred revenue roll is included in the financial statements of the Authority. We concur with management’s representation that the omission is not material to the financial statements. Accordingly, the omission have no effect on our auditors’ report. Adjustments and differences identified during the audit have been categorized as “Corrected adjustments” or “Uncorrected differences”. These include disclosure adjustments and differences. Professional standards require that we request of management and the audit committee that all identified differences be corrected. We have already made this request of management. Based on both qualitative and quantitative considerations, management have decided not to correct certain differences, and represented to us that the uncorrected differences— individually and in the aggregate—are, in their judgment, not material to the financial statements. 184 Toronto and Region Conservation Authority Audit Findings Report for the year ended December 31, 2016 10 Performance improvement observations Performance improvement observations We have previously communicated to management some performance improvement observations identified during the audit. Observation Description and potential effect Management response Manual adjustments During the audit, we noted that management focuses its in-year financial information needs on subproject/program statements of operations which leads to a high volume of manual journal entries subsequent to year-end related to payroll, tangible capital assets, deferred revenue and other correcting entries. Given the extent of entries occurring at year-end, it is possible that management does not have full visibility of the in-year actual results and resources available across the organization. By permitting all employees, regardless of their level of relevant financial training, access to the general ledger accounts for processing transactions, it increases the risk of error. During the audit, we noted many entries recorded to correct originally recorded journal entries. We further noted several adjustments relating to employees’ time coded to various projects. Project statements are available to review during the year; however, review may not happen until year-end. By delaying a fulsome review to year-end, it increases the risk of undetected errors during the year. We noted that Tangible Capital Asset (TCA) entries are coded to expense accounts, requiring manual effort to review whether expenditures should have been capitalized if they were capital in nature at year-end. As part of this annual assessment, we noted no formal process to provide evidence to support an asset being moved from an asset under construction to its completed state. We recommend management review acquisitions throughout the year and implement a formal process to acknowledge the completion of an asset. We noted a manual process related to the reporting of deferred revenue. At year-end, manual effort is required to identify all revenue that should be deferred. This increases the risk of missing an item for deferral or the risk of an error related to the recognition of revenue subject to restrictions. We recommend that management: Management is constantly exploring processes and modifying procedures to improve the efficiency of financial reporting. Specifically, management is currently reviewing its processes related to deferred revenue, TCA, payroll and all other journal entries to establish effective processes for all involved users. Management believes that there are reasonable compensating controls in place. For example, management has a quarterly variance reporting process in place. In accordance with professional standards, we are required to communicate to the Audit Committee any control deficiencies that we identified during the audit and have determined to be significant deficiencies in ICFR. Performance improvement observations may be identified during the audit that do not rise to the level of significant deficiency. Our observations may include comments on risks, and the Organization’s approach to those risks, or other industry trends and developments. 185 Toronto and Region Conservation Authority Audit Findings Report for the year ended December 31, 2016 11 - Consider implementing a semi-annual review of in-year financial information to identify corrections to projects/programs on a more timely basis. - Review its current process with deferred revenue, and consider recording deferred revenue on a quarterly or semi-annual basis. We recommend management provide training to individuals who post journal entries, charge and/or approve time to ensure they understand the financial reporting implications and that permission to record entries be restricted to users with appropriate training to do so. Reporting system (Business World) A different set of codes and chart of accounts exist, creating additional steps for all users to cross reference to in order to search for any transactions within the two systems. We note that management has not maximized the functionality of Business World which could help alleviate some of the manual processes. We recommend management explore the options available with the ERP system to simplify and automate some of its current processes, such as allowing users to record journal entries directly in the ERP. Modules have been secured and management is developing a plan to effectively implement the ERP system for use across the organization. Compliance with vacation policy Upon examination of the vacation accrual schedule, we noted that certain employees appear to have accumulated vacation days in excess of what is allowed in the vacation policy. Through discussion with management, we noted that payroll does not have the documented approval for exceptions to the vacation policy on file. We recommend that management enforce the policy and develop a plan to bring the organization in line with the policy within a reasonable timeframe. We further recommend that as a best practice, documented approvals for all banked day requests and exceptions be provided to payroll for record keeping, to ensure consistent application of the vacation policy across the organization. Management recognizes the need to enforce the existing vacation policy and will develop a reasonable plan to address deviations from the policy, and to maintain documentation on the approval of exceptions. 186 Toronto and Region Conservation Authority Audit Findings Report for the year ended December 31, 2016 12 Appendices Appendix 1: Required communications Appendix 2: Audit Quality and Risk Management Appendix 3: Background and professional standards Appendix 4: Expanded Auditor Reporting Appendix 5: Current developments Appendix 6: Audit trends 187 Toronto and Region Conservation Authority Audit Findings Report for the year ended December 31, 2016 13 Appendix 1: Required communications In accordance with professional standards, there are a number of communications that are required during the course of and upon completion of our audit. These include: – Auditors’ report – the conclusion of our audit is set out in our draft auditors’ report – Management representation letter –In accordance with professional standards, copies of the management representation letter are provided to the Audit Committee. 188 Toronto and Region Conservation Authority Audit Findings Report for the year ended December 31, 2016 14 Appendix 2: Audit Quality and Risk Management KPMG maintains a system of quality control designed to reflect our drive and determination to deliver independent, unbiased advice and opinions, and also meet the requirements of Canadian professional standards. Quality control is fundamental to our business and is the responsibility of every partner and employee. The following diagram summarises the six key elements of our quality control systems. Visit our Audit Quality Resources page for more information including access to our audit quality report, Audit quality: Our hands-on process. Independence, integrity, ethics and objectivity Personnel management Acceptance & continuance of clients / engagements Engagement performance standards Independent monitoring Other risk management quality controls – Other controls include: – Before the firm issues its audit report, the Engagement Quality Control Reviewer reviews the appropriateness of key elements of publicly listed client audits. – Technical department and specialist resources provide real- time support to audit teams in the field. – We conduct regular reviews of engagements and partners. Review teams are independent and the work of every audit partner is reviewed at least once every three years. – We have policies and guidance to ensure that work performed by engagement personnel meets applicable professional standards, regulatory requirements and the firm’s standards of quality. – All KPMG partners and staff are required to act with integrity and objectivity and comply with applicable laws, regulations and professional standards at all times. – We do not offer services that would impair our independence. – The processes we employ to help retain and develop people include: – Assignment based on skills and experience; – Rotation of partners; – Performance evaluation; – Development and training; and – Appropriate supervision and coaching. – We have policies and procedures for deciding whether to accept or continue a client relationship or to perform a specific engagement for that client. – Existing audit relationships are reviewed annually and evaluated to identify instances where we should discontinue our professional association with the client. 189 Toronto and Region Conservation Authority Audit Findings Report for the year ended December 31, 2016 15 Appendix 3: Background and professional standards Internal control over financial reporting As your auditors, we are required to obtain an understanding of internal control over financial reporting (ICFR) relevant to the preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances for the purpose of expressing an opinion on the financial statements, but not for the purpose of expressing an opinion on internal control. Accordingly, we do not express an opinion on the effectiveness of internal control. Our understanding of ICFR was for the limited purpose described above and was not designed to identify all control deficiencies that might be significant deficiencies and therefore, there can be no assurance that all significant deficiencies and other control deficiencies have been identified. Our awareness of control deficiencies varies with each audit and is influenced by the nature, timing, and extent of audit procedures performed, as well as other factors. The control deficiencies communicated to you are limited to those control deficiencies that we identified during the audit. Documents containing or referring to the audited financial statements We are required by our professional standards to read only documents containing or referring to audited financial statements and our related auditors’ report that are available through to the date of our auditors’ report. The objective of reading these documents through to the date of our auditors’ report is to identify material inconsistencies, if any, between the audited financial statements and the other information. We also have certain responsibilities, if on reading the other information for the purpose of identifying material inconsistencies, we become aware of an apparent material misstatement of fact. We are also required by our professional standards when the financial statements are translated into another language to consider whether each version, available through to the date of our auditors’ report, contains the same information and carries the same meaning. 190 Toronto and Region Conservation Authority Audit Findings Report for the year ended December 31, 2016 16 Appendix 4: Expanded Auditor Reporting In response to investors demanding more than a binary pass/fail opinion from the auditors’ report, the new and revised auditor reporting standards have introduced significant changes to the traditional auditors’ report we provide. What’s new? The new standards are intended to provide greater insight and transparency for users of financial statements. The most significant changes to the auditors’ report impacting listed entities include: – description of key audit matters; and – disclosure of the name of the engagement partner. Other changes impacting listed and non-listed entities include changing the format and style of the auditors’ report, expanding description of management’s responsibilities, introducing descriptions of the responsibilities of those charged with governance, and expanding the description of the auditors’ responsibilities. When are the new requirements effective? While the new standards have already been issued by the International Auditing and Assurance Standards Board (IAASB), effective for 2016 calendar year-ends, they have yet to be adopted as Canadian Auditing Standards (CASs). While the Public Company Accounting Oversight Board (PCAOB) issued a re- exposure draft of its new enhanced auditors’ reporting standards in 2016, which are generally aligned with the IAASB’s new and revised auditor reporting standards, those proposals have not yet been finalized. The Auditing and Assurance Standards Board in Canada (AASB) continues to deliberate the new and revised auditor reporting standards, including possible effective dates, whether to allow for early application and whether to include the additional reporting requirements with respect to other information such as annual reports. According to the November 2016 message from the Chair of the AASB, the AASB expects to be in a position to determine the impact of the PCAOB proposals in Canada and approve the new and revised standards for auditor reporting and other standards in the spring of 2017. The AASB currently does not anticipate making the new and revised standards effective prior to periods ending on or after December 15, 2018; however, early adoption will be permitted, or in some cases may be required by law or regulation. Furthermore, the AASB expects that the description of key audit matters will initially only be required for audits of listed entities on the Toronto Stock Exchange. Therefore, the AASB is still deliberating whether key audit matters should be required for audits of other listed entities. Key audit matters Key audit matters are those matters that, in our professional judgment, were of most significance in the audit of the financial statements of the current period. We will be required to include in our auditors’ report why the key audit matter is of most significance and what procedures we performed to address the matter. Matters communicated to those charged with governance Matters that required significant auditor attention in performing the audit Key audit matters (Matters of most significance) 191 Toronto and Region Conservation Authority Audit Findings Report for the year ended December 31, 2016 17 Appendix 5: Current development Public Sector Accounting Board: Accounting Standards for Government Not-for-Profit Organizations The Public Sector Accounting Board of Canada is responsible for setting the accounting standards that your organization is required to apply in preparing the general purpose financial statements. The following new or revised accounting standards approved by the Board may have an impact on your financial statements over the next two years as described below. We encourage Management to review these standards and determine whether the impact, if any, on your organization’s financial statements. In addition, we provide a summary of the status of the Board’s deliberations on the future of accounting standards for government not-for-profit organizations. KPMG will continue to update you as these deliberations progress. Summary of New and Revised Accounting Standards Assets PSAB issued Section PS3210 Assets which provides a definition of assets. Assets are defined as follows: • Assets embody future economic benefits that involve a capacity, singly or in combination with other assets, to provide goods and services, to provide future cash inflows, or to reduce cash outflows. • The public sector entity can control the economic resource and access to the future economic benefits. • The transaction or event giving rise to the public sector entity's control has already occurred. The standard also includes disclosure requirements related to economic resources that are not recorded as assets to provide the user with better information about the types of resources available to the public section entity. This standard is effective for fiscal periods beginning on or after April 1, 2017. Contingent Assets PSAB issued Section PS3320 Contingent Assets which defines and establishes disclosure standards for contingent assets. Contingent assets have two basis characteristics: • An existing condition or situation that is unresolved at the financial statement date. • An expected future event that will resolve the uncertainty as to whether an asset exists. The standard also has specific disclosure requirements for contingent assets when the occurrence of the confirming event is likely. This standard is effective for fiscal periods beginning on or after April 1, 2017. Contractual Rights PSAB issued Section PS3380 Contractual Rights which defines contractual rights to future assets and revenue and establishes disclosure requirements. Information about a public sector entity's contractual rights should be disclosed in notes or schedules to the financial statements and should include descriptions about their nature and extent and the expected timing. The standard also indicates that the exercise of professional judgment would be required when determining contractual rights that would be disclosed. 192 Toronto and Region Conservation Authority Audit Findings Report for the year ended December 31, 2016 18 Factors to consider include, but are not limited to: (a) contractual rights to revenue that are abnormal in relation to the financial position or usual business operations; and (b) contractual rights that will govern the level of certain type of revenue for a considerable period into the future. This standard is effective for fiscal periods beginning on or after April 1, 2017. Related Party Transactions PSAB issued Section PS2200 Related Party Transactions which defines related party and provides disclosures requirements. Related parties could be either an entity or an individual. Related parties exist when one party has the ability to control or has shared control over another party. Individuals that are key management personnel or close family members may also be related parties. Disclosure is only required when the transactions or events between related parties occur at a value different from what would have been recorded if they were not related and the transactions could have a material financial impact on the financial statements. Material financial impact would be based on an assessment of the terms and conditions underlying the transaction, the financial materiality of the transaction, the relevance of the information and the need for the information to enable the users to understand the financial statements. This standard also specifies the information required to be disclosed including the type of transactions, amounts classified by financial statement category, the basis of measurement, and the amounts of any outstanding items, any contractual obligations and any contingent liabilities. The standard also requires disclosure of related party transactions that have occurred where no amounts has been recognized. This standard is effective for fiscal periods beginning on or after April 1, 2017. In conjunction with the approval of this standard, PSAB approved the withdrawal of Section PS 4260, Disclosure of Related Party Transactions by Not-for-Profit Organizations, effective for fiscal periods beginning on or after April 1, 2018. Government not-for-profit organizations currently applying Section PS 4260, will therefore only be required to adopt the new standard in their fiscal period beginning on or after April 1, 2018. Inter-entity Transactions PSAB issued Section PS3420 Inter-entity Transactions that specifies how to account for transactions between public sector entities within the government reporting entity. This standard relates to the measurement of related party transactions for both the provider and the recipient and includes a decision tree to support the standard. Transactions are recorded a carrying amounts with the exception of the following: • Transactions in the normal course of business are recorded at exchange amount • Transactions with fair value consideration are recorded at exchange amount • Transfer of an asset or liability at nominal or no consideration is recorded by the provider at carrying amount and the recipient has the choice of either carrying amount or fair value. • Cost allocations are reported using the exchange amount and revenues and expenses are reported on a gross basis. • Unallocated costs for the provision of goods or services may be recorded by the provider at cost, fair value or another amount dictated by policy, accountability structure or budget practice 193 Toronto and Region Conservation Authority Audit Findings Report for the year ended December 31, 2016 19 This standard is effective for fiscal periods beginning on or after April 1, 2017. In conjunction with the approval of this standard, PSAB approved the withdrawal of Section PS 4260, Disclosure of Related Party Transactions by Not-for-Profit Organizations, effective for fiscal periods beginning on or after April 1, 2018. Government not-for-profit organizations currently applying Section PS 4260 will therefore only be required to adopt the new standard in their fiscal period beginning on or after April 1, 2018. Deliberations on the Future of Accounting Standards for Not-for-Profit Organizations In April 2013, the Accounting Standards Board (“AcSB”) and the Public Sector Accounting Board (“PSAB”) jointly issued a Statement of Principles (“SOP”) that proposed to revise Part III of the CPA Canada Handbook and the CPA Public Sector Accounting Handbook to streamline and improve the existing standards for financial reporting by not- for-profit organizations and Government not-for-profit organizations. The SOP garnered much interest from the Not-for-Profit community and, based on the feedback the Boards received, the proposals did not proceed further through the accounting standards development process. In March 2015, citing different financial reporting challenges, user needs and differing priorities faced by PSAB and the AcSB, the Boards announced that they would independently pursue improvements to not-for-profit accounting standards, but collaborate on common issues. Based on the responses from the SOP, the Public Sector Accounting Board decided that making substantive changes to the Accounting Standards for Government Not-for- Profit Organizations was not a priority at this time. The Board’s long-term strategy is to better align the accounting standards used by not-for-profit organizations (as provided in the Section 4200 series in the Accounting Handbook) with those used by other government entities, where practical. 194 Toronto and Region Conservation Authority Audit Findings Report for the year ended December 31, 2016 20 Appendix 6: Audit trends KPMG understands the wide range of challenges and evolving trends that you face. We also understand that sometimes keeping up with critical issues as they emerge can be difficult. As your auditors, it is incumbent upon us to provide you with any information that will help you further strengthen corporate governance, enhance your oversight and add greater value within your organization. As such, KPMG's Audit Committee Institute (ACI) provides information, resources and opportunities for you to share knowledge with your peers. First, you are welcome to attend our Audit Committee Roundtable sessions, which are held in major cities across the country. In addition, you will also benefit from our monthly article series (Audit Point of View) and quarterly videos (FrontPage Video Series) that focus on the most pressing audit committee agenda items. More information on all of these can easily be found at www.kpmg.ca/audit. Our discussions with you, our audit opinion and what KPMG is seeing in the marketplace—both from an audit and industry perspective—indicate the following is specific information that will be of particular interest to your organization. We would, of course, be happy to further discuss this information with you at your convenience. Thought Leadership Overview Links Cyber Security Risks With the constant changing cyber threat landscape, companies are changing their risks-protection strategies, identifying core assets and qualifying threats. KPMG: Cyber security FrontPage Video Harnessing the ecosystem Looking beyond your organization to optimize strategic positioning Not-for-profit organizations have always had to think strategically, but breaking through the noise and stretching activities for greater reach, mindshare, dollars and impact seems more challenging now than ever. This is where an ecosystem approach to strategic positioning can help. Mission- driven organizations like not-for-profits who take an ecosystem approach benefit from more disciplined allocation of their own scarce resources, as well as the opportunities to leverage the strengths of complimentary organizations in pursuit of shared interests and objectives. Harnessing the ecosystem identifies several core considerations to develop an ecosystem approach to strategic positioning. Read more. 195 Toronto and Region Conservation Authority Audit Findings Report for the year ended December 31, 2016 21 KPMG LLP, an Audit, Tax and Advisory firm (kpmg.ca) and a Canadian limited liability partnership established under the laws of Ontario, is the Canadian member firm of KPMG International Cooperative (“KPMG International”). KPMG member firms around the world have 174,000 professionals, in 155 countries. The independent member firms of the KPMG network are affiliated with KPMG International, a Swiss entity. Each KPMG firm is a legally distinct and separate entity, and describes itself as such. © 2016 KPMG LLP, a Canadian limited liability partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. kpmg.ca/audit 196 KPMG LLP Vaughan Metropolitan Centre 100 New Park Place, Suite 1400 Vaughan, ON L4K 0J3 Canada June 23, 2017 Ladies and Gentlemen: We are writing at your request to confirm our understanding that your audit was for the purpose of expressing an opinion on the financial statements (hereinafter referred to as "financial statements") of Toronto and Region Conservation Authority ("the Entity") as at and for the period ended December 31, 2016. GENERAL: We confirm that the representations we make in this letter are in accordance with the definitions as set out in Attachment I to this letter. We also confirm that, to the best of our knowledge and belief, having made such inquiries as we considered necessary for the purpose of appropriately informing ourselves: RESPONSIBILITIES: 1) We have fulfilled our responsibilities, as set out in the terms of the engagement letter dated December 28, 2016, for: a) the preparation and fair presentation of the financial statements and believe that these financial statements have been prepared and present fairly in accordance with the relevant financial reporting framework b)providing you with all relevant information, such as all financial records and related data, including the names of all related parties and information regarding all relationships and transactions with related parties, and complete minutes of meetings, or summaries of actions of recent meetings for which minutes have not yet been prepared, of shareholders, board of directors and committees of the board of directors that may affect the financial statements, and access to such relevant information c) such internal control as management determined is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. Management also acknowledges and understands that they are responsible for the design, implementation and maintenance of internal control to prevent and detect fraud. d)ensuring that all transactions have been recorded in the accounting records and are reflected in the financial statements 197 INTERNAL CONTROL OVER FINANCIAL REPORTING: 2) We have communicated to you all deficiencies in the design and implementation or maintenance of internal control over financial reporting of which management is aware. FRAUD & NON-COMPLIANCE WITH LAWS AND REGULATIONS: 3) We have disclosed to you: a) the results of our assessment of the risk that the financial statements may be materially misstated as a result of fraud b) all information in relation to fraud or suspected fraud that we are aware of and that affects the Entity and involves: management, employees who have significant roles in internal control, or others, where the fraud could have a material effect on the financial statements c) all information in relation to allegations of fraud, or suspected fraud, affecting the Entity’s financial statements, communicated by employees, former employees, analysts, regulators, or others d) all known instances of non-compliance or suspected non-compliance with laws and regulations, including all aspects of contractual agreements, whose effects should be considered when preparing financial statements e) all known actual or possible litigation and claims whose effects should be considered when preparing the financial statements. SUBSEQUENT EVENTS: 4) All events subsequent to the date of the financial statements and for which the relevant financial reporting framework requires adjustment or disclosure in the financial statements have been adjusted or disclosed. RELATED PARTIES: 5) We have disclosed to you the identity of the Entity’s related parties. 6) We have disclosed to you all the related party relationships and transactions/balances of which we are aware. 7) All related party relationships and transactions/balances have been appropriately accounted for and disclosed in accordance with the relevant financial reporting framework. ESTIMATES: 8) Measurement methods and significant assumptions used by us in making accounting estimates, including those measured at fair value, are reasonable. MISSTATEMENTS: 9) The effects of the uncorrected misstatements in presentation and disclosures described in Attachment II are immaterial, both individually and in the aggregate, to the financial statements as a whole. 198 NON-SEC REGISTRANTS OR NON-REPORTING ISSUERS: 10) We confirm that the Entity is not a Canadian reporting issuer (as defined under any applicable Canadian securities act) and is not a United States Securities and Exchange Commission (“SEC”) Issuer (as defined by the Sarbanes-Oxley Act of 2002). We also confirm that the financial statements of the Entity will not be included in the consolidated financial statements of a Canadian reporting issuer audited by KPMG or an SEC Issuer audited by any member of the KPMG organization. Yours very truly, By: Mr. Brian Denney, Chief Executive Officer By: Mr. Rocco Sgambelluri, Chief Financial Officer 199 Attachment I – Definitions MATERIALITY Certain representations in this letter are described as being limited to matters that are material. Misstatements, including omissions, are considered to be material if they, individually or in the aggregate, could reasonably be expected to influence the economic decisions of users taken on the basis of the financial statements. Judgments about materiality are made in light of surrounding circumstances, and are affected by the size or nature of a misstatement, or a combination of both. FRAUD & ERROR Fraudulent financial reporting involves intentional misstatements including omissions of amounts or disclosures in financial statements to deceive financial statement users. Misappropriation of assets involves the theft of an entity’s assets. It is often accompanied by false or misleading records or documents in order to conceal the fact that the assets are missing or have been pledged without proper authorization. An error is an unintentional misstatement in financial statements, including the omission of an amount or a disclosure. RELATED PARTIES In accordance with Canadian public sector accounting standards related party is defined as: Related parties exist when one party has the ability to exercise, directly or indirectly, control, joint control or significant influence over the other. Two or more parties are related when they are subject to common control, joint control or common significant influence. Related parties also include management and immediate family members (see paragraph 3840.04). In accordance with Canadian public sector accounting standards a related party transaction is defined as: A related party transaction is a transfer of economic resources or obligations between related parties, or the provision of services by one party to a related party, regardless of whether any consideration is exchanged. The parties to the transaction are related prior to the transaction. When the relationship arises as a result of the transaction, the transaction is not one between related parties. 200 Attachment II Summary of uncorrected audit misstatements in presentation and disclosures Description of Audit Misstatement Resolution Type of Misstatement 1 Deferred revenue - PSAS 3100.18 requires disclosure of any changes in deferred revenue balance attributable to each major category of external restriction. No deferred revenue roll is included in the financial statements of the Authority. Uncorrected Factual 201 Attachment 3 Appendix 3 - Changes to the Financial Statements Independent Auditor’s Report - There is an ‘Other Matter’ referring to the fact that TRCA has a new auditor for the fiscal year (This is a one year comment within the report) Contaminated Sites - This note has been removed from the financial statements, as there is no liability – As such, the significant accounting policy will remain in Note 1 and TRCA will continue to assess whether a liability for remediation exists on our sites Investments - The One Investment Portfolio has been added to the note and is disclosed at book value, which is the cost paid for the portfolio, plus any dividends earned Deferred Revenue/Revenue - The notes on Authority Generated deferred revenue and revenue have been cleaned up to represent programs (In the prior year, sub-projects were included in the listing) Accumulated Surplus - As noted in the board report, the unallocated accumulated surplus has been allocated to the operating and capital reserves Budget Figures - This note has been condensed, as the approved budget includes amortization and tangible capital assets, and the date of budget approval has been added, in accordance with the public sector accounting standards Segmented Financial Statements - In accordance with the public sector accounting standards, TRCA is disclosing revenue and expenses by service area 202 RES.#C8/17 - 2018 PRELIMINARY BUDGET Update on the recommended 2018 preliminary municipal budget submissions. Moved by: Ronald Chopowick Seconded by: Jim Tovey THE BOARD RECOMMENDS TO THE AUTHORITY THAT Toronto and Region Conservation Authority’s (TRCA) 2018 preliminary municipal capital budget submissions for the regions of Peel and York, and the City of Toronto be consistent with the targets identified for TRCA in the 2017 budget cycle and that the target for the Durham preliminary capital budget be set at 2.5% over 2017 funding levels; THAT preliminary operating levy targets be set at: Durham 2.5%, Toronto 2.5%, Region of Peel 3.2% and Region of York at 3.9%; THAT the list of unfunded municipal projects included in TRCA’s “Unmet Needs List” be submitted to the municipalities for their consideration in 2018; AND FURTHER THAT TRCA staff be directed to submit the preliminary 2018 municipal estimates and multi-year funding requests to the City of Toronto, and the regional municipalities of Durham, Peel and York in accordance with their respective submission schedules. CARRIED BACKGROUND The internal process for starting the 2018 budget estimates has commenced. Member municipalities require that TRCA provide 10-year capital budget projections and each municipality has its own requirements and format for this information. Attachment 1 includes summary tables for capital projects and programs in the City of Toronto and the regions of Durham, Peel and York. As a matter of budgeting protocol, TRCA staff regularly consults with member municipality staff, to ensure that there is alignment on objectives and deliverables; to avoid duplication of effort; to coordinate activities and procurement to realize maximum value and efficiency; and to report on the achievement of project deliverables. Attachment 1 provides a summary of funding envelopes at the program level. Detailed information sheets on each TRCA project and program will be available to members upon request. RATIONALE Municipal Capital Funding Regional Municipality of Durham Durham Region guidelines will be provided to TRCA later this year. TRCA will be requesting a funding envelope in the amount of $1.045 million, which compares to $1.019 million in 2017. The increase reflects a 2.5% inflationary adjustment on the base. Regional Municipality of Peel Peel Region guidelines provide a 2018 funding envelope in the amount of $15.928 million, which compares to $15.649 million in 2017. The increase reflects a 3.0% increase on the base and it is consistent with the targets contained in the 2017 cycle submission. 203 City of Toronto City of Toronto guideline for TRCA established during the 2017 – 2026 capital budget cycle provides a 2018 capital funding envelope in the amount of $15.382 million, which compares to an actual of $15.275 million in 2017. City of Toronto capital funding is supported by debt financing and Toronto Water. Debt funding will remain unchanged at $3 million. Regional Municipality of York York Region guidelines provide a funding envelope in the amount of $4.834 million, which compares to $4.773 million in 2017. The increase reflects an approximate 1.3% adjustment on the base. Operating Levy The operating levy targets for York and Peel have been set at the amounts indicated in the multi-year targets for TRCA and which approximate recent historical average increases support. The Toronto target of 2.5% equals the 2017 increase in support to TRCA and is equal to the multi-year target included by Toronto Water on the portion of TRCA’s operating budget funded by water revenues or 58% of the total Toronto operating levy. Because the 2018 guideline approved by the City calls for no increase over 2017 for tax supported programs (42% of levy) a special case for support will be made to the City, mostly on the basis of the unique partnership with the regional municipalities. The Durham assumption of a 2.5% increase will be confirmed later this year. Staff has not identified any major areas of concern heading into the 2018 operating year. However, the compensation and pay equity review remains outstanding. There is no indication at the moment as to the impact, if any, this review may indicate for wage levels. Staff will assess the implications of the proposed minimum wage legislation in Ontario and make provisions as necessary. Staff will also monitor the implementation of the proposed changes in 2019 to the Canada Pension Plan employer premiums. Unmet Priorities Project List Attachment 2 lists corporate unmet priority projects for all partner municipalities for the ten year cycle. Attachment 3 lists unmet priorities which staff recommends to be submitted to the participating municipalities as “unmet or unaccommodated” priorities for consideration during the 2018 budget process. Discussions continue with municipal staff to review available funding, over and above the guidelines. Toronto Wildlife Centre (TWC) Based on the current design as proposed by TWC, the costs including base building, design and contingency would be in the $20 million range. Not included in this estimate are consultants’ fees; project and construction management; furniture and equipment; permits, development charges, approvals and legal fees; disbursements; testing and inspections; financing; moving expenses and HST. TWC also recommends creating a maintenance reserve/endowment fund in the $10 million range to ensure that there is available budget to undertake a proactive operation, maintenance and replacement schedule based on the Project life cycle requirements. 204 It is proposed that TRCA staff enter into discussions with staff from City of Toronto and the regions of Durham, Peel and York (participating municipalities) regarding the inclusion of a special request in their respective capital budgets for funding of a wildlife rescue, rehabilitation and education centre. Staff is recommending that the participating municipal contributions be based on the annual Modified Current Value Assessment (CVA) formula; which is subject to annual updating. Staff will also explore opportunities for other grant funding contributions and federal and provincial infrastructure funding programs. If successful, these funds would be used to offset the participating municipal contributions. This project will be positioned with the participating municipalities to ensure that TRCA funding is not negatively impacted. At Authority Meeting #4/17, held on May 19, 2017, Resolution #A81/17 was approved as follows: THAT Toronto and Region Conservation Authority re-confirm its support of the proposal by Toronto Wildlife Centre (TWC) for a wildlife rescue, rehabilitation and education centre (Centre) for the Greater Toronto Area in the Rouge National Urban Park; THAT staff approach the City of Toronto and the Regions of Durham, Peel and York to explore new funding support for the construction of the Centre based upon the design developed by Stanford Downey Architects Inc.; THAT staff work with the TWC to explore funding for the Centre from the federal and provincial governments, and other potential partners; AND FURTHER THAT staff report back to the Executive Committee at the September meeting on funding support for the Centre, a draft fundraising plan, the governance model, lease and ownership of land arrangements, prior to signing the lease. DETAILS OF WORK TO BE DONE Following municipal approval, the capital budgets will be finalized and will include the municipal capital projects as approved by the respective participating municipalities. At the Budget/Audit Advisory Board meeting in October, staff will make a presentation on key aspects of the 2018 operating and capital budgets. Report prepared by: Jen Moravek, extension 5659 Emails: jmoravek@trca.on.ca For Information contact: Jen Moravek, extension 5659 Emails: jmoravek@trca.on.ca Date: May 29, 2017 Attachments: 3 205 5-YEAR TOTALS C H A N G E 2017 3 6 , 7 1 6 , 2 2 0 1 . 1 % 2018 3 7 , 1 8 9 , 0 0 0 1 . 3 % 2019 3 9 , 2 8 0 , 3 0 0 5 . 6 % 2020 3 9 , 8 6 8 , 3 0 0 1 . 5 % 2021 4 0 , 5 1 5 , 3 0 0 1 . 6 % Ap p r o v e d 20 1 7 20 1 8 20 1 9 20 2 0 20 2 1 20 2 2 2023 2024 2025 2026 2027 Wa t e r s h e d S t u d i e s a n d S t r a t e g i e s T o t a l 1, 0 4 6 , 0 0 0 1, 1 8 6 , 0 0 0 1, 2 7 8 , 0 0 0 1, 3 2 2 , 0 0 0 1, 3 4 1 , 0 0 0 1, 4 2 1 , 0 0 0 1,441,000 1,487,000 1,529,000 1,551,000 1,594,000 Wa t e r R i s k M a n a g e m e n t T o t a l 15 , 2 4 9 , 0 0 0 14 , 9 2 2 , 1 0 0 16 , 6 7 3 , 0 0 0 16 , 7 8 0 , 0 0 0 16 , 8 4 3 , 0 0 0 16 , 9 0 6 , 0 0 0 19,349,000 19,436,000 19,546,000 19,598,000 19,661,000 Re g i o n a l B i o d i v e r s i t y T o t a l 6, 6 3 2 , 0 0 0 6, 7 2 5 , 1 0 0 6, 8 1 3 , 0 0 0 6, 9 2 5 , 0 0 0 7, 1 3 2 , 0 0 0 7, 2 5 1 , 0 0 0 7,364,000 7,491,000 7,661,000 7,785,000 7,931,000 Gr e e n s p a c e S e c u r e m e n t a n d M a n a g e m e n t T o t a l 2, 1 7 6 , 0 0 0 1, 8 8 2 , 0 0 0 2, 7 6 6 , 0 0 0 2, 8 4 2 , 0 0 0 2, 9 2 0 , 0 0 0 3, 0 0 1 , 0 0 0 3,084,000 3,169,000 3,256,000 3,347,000 3,440,000 To u r i s m a n d R e c r e a t i o n T o t a l 1, 5 6 6 , 0 0 0 1, 6 1 8 , 0 0 0 1, 5 2 0 , 0 0 0 1, 5 4 4 , 0 0 0 1, 5 7 2 , 0 0 0 1, 5 9 8 , 0 0 0 1,628,000 1,657,000 1,688,000 1,718,000 1,751,000 Pl a n n i n g a n d D e v e l o p m e n t T o t a l 86 2 , 0 0 0 87 7 , 0 0 0 89 2 , 0 0 0 89 2 , 0 0 0 89 2 , 0 0 0 90 4 , 0 0 0 904,000 916,000 916,000 928,000 928,000 Ed u c a t i o n a n d O u t r e a c h T o t a l 2, 4 4 0 , 0 0 0 3, 1 0 3 , 5 0 0 1, 5 8 0 , 0 0 0 1, 6 2 2 , 0 0 0 1, 6 6 3 , 0 0 0 1, 7 4 0 , 0 0 0 1,794,000 1,841,000 1,890,000 1,939,000 1,989,000 Su s t a i n a b l e C o m m u n i t i e s T o t a l 4, 3 1 0 , 2 2 0 4, 4 4 0 , 7 0 0 4, 8 0 8 , 7 0 0 4, 9 6 1 , 7 0 0 5, 1 4 1 , 7 0 0 5, 2 7 2 , 7 0 0 5,469,700 5,692,700 5,913,700 6,161,700 6,421,700 Co r p o r a t e S e r v i c e s T o t a l 2, 4 3 5 , 0 0 0 2, 4 3 4 , 6 0 0 2, 9 4 9 , 6 0 0 2, 9 7 9 , 6 0 0 3, 0 1 0 , 6 0 0 3, 0 4 2 , 6 0 0 4,255,600 4,289,600 4,324,600 4,360,600 4,397,600 TO T A L C A P I T A L 36 , 7 1 6 , 2 2 0 37 , 1 8 9 , 0 0 0 39 , 2 8 0 , 3 0 0 39 , 8 6 8 , 3 0 0 40 , 5 1 5 , 3 0 0 41 , 1 3 6 , 3 0 0 45,289,300 45,979,300 46,724,300 47,388,300 48,113,300 TR C A B y M u n i c i p a l i t y Du r h a m 1, 0 1 9 , 5 9 1 1, 0 4 5 , 0 0 0 1, 1 6 4 , 9 0 0 1, 1 8 0 , 9 0 0 1, 1 9 6 , 9 0 0 1, 2 1 0 , 9 0 0 1,231,900 1,244,900 1,274,900 1,279,900 1,294,900 Pe e l 15 , 6 4 9 , 0 0 0 15 , 9 2 8 , 0 0 0 16 , 5 3 9 , 5 0 0 16 , 9 1 4 , 5 0 0 17 , 3 9 2 , 5 0 0 17 , 8 3 9 , 5 0 0 18,298,500 18,793,500 19,312,500 19,821,500 19,960,500 To r o n t o 15 , 2 7 5 , 0 0 0 15 , 3 8 2 , 0 0 0 16 , 9 9 2 , 0 0 0 17 , 1 0 4 , 0 0 0 17 , 2 1 9 , 0 0 0 17 , 3 3 7 , 0 0 0 20,958,000 21,082,000 21,209,000 21,339,000 21,474,000 Yo r k 4, 7 7 3 , 0 0 0 4, 8 3 4 , 0 0 0 4, 8 9 7 , 9 0 0 4, 9 9 1 , 9 0 0 5, 0 3 9 , 9 0 0 5, 0 9 1 , 9 0 0 5,153,900 5,222,900 5,302,900 5,333,900 5,383,900 Pr o j e c t e d F o r e c a s t Co m b i n e d C a p i t a l F o r e c a s t At t a c h m e n t 1 20 6 5-YEAR TOTALS CHANGE 2017 1,046,000 24.4% 2018 1,186,000 13.4% 2019 1,278,000 7.8% 2020 1,322,000 3.4% 2021 1,341,000 1.4% Approved Account 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 1.1 Watershed Planning and Reporting Toronto Planning Initiatives Toronto 203-01 80,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 Watershed Plan Development Durham - - 44,000 45,000 45,000 46,000 46,000 46,000 48,000 48,000 51,000 Peel 120-04 77,000 77,000 77,000 80,000 80,000 83,000 83,000 83,000 85,000 85,000 90,000 Toronto 120-04 78,000 78,000 78,000 80,000 80,000 83,000 83,000 83,000 85,000 85,000 91,000 York 120-04 101,000 101,000 101,000 105,000 105,000 108,000 108,000 108,000 112,000 112,000 118,000 *Watershed and Regional Report Cards Durham - - - - - - - - - - - Peel 129-92 - - - - - - - - - - - Toronto - - - - - - - - - - - York - - - - - - - - - - - Watershed and Environmental Report Cards Durham - - 29,000 29,000 29,000 36,000 36,000 36,000 38,000 38,000 38,000 Peel 416-40 50,000 50,000 51,000 51,000 51,000 64,000 64,000 64,000 67,000 67,000 67,000 Toronto 416-40 52,000 52,000 52,000 52,000 52,000 65,000 65,000 65,000 67,000 67,000 67,000 York 416-40 68,000 68,000 68,000 68,000 68,000 85,000 85,000 85,000 88,000 88,000 88,000 1.1 Watershed and Waterfront Plans Total 506,000 526,000 600,000 610,000 610,000 670,000 670,000 670,000 690,000 690,000 710,000 Projected Watershed Studies and Strategies 207 Approved Account 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 Projected 1.2 Climate Science *Climate Science Application Program Peel 129-93 480,000 600,000 618,000 637,000 656,000 676,000 696,000 717,000 739,000 761,000 784,000 Climate Change - Research and Adaptation Durham 120-90 9,000 9,000 9,000 11,000 11,000 11,000 11,000 15,000 15,000 15,000 15,000 Peel 120-90 15,000 15,000 15,000 19,000 19,000 19,000 19,000 25,000 25,000 25,000 25,000 Toronto 120-90 16,000 16,000 16,000 20,000 20,000 20,000 20,000 26,000 26,000 26,000 26,000 York 120-90 20,000 20,000 20,000 25,000 25,000 25,000 25,000 34,000 34,000 34,000 34,000 1.2 Climate Science 540,000 660,000 678,000 712,000 731,000 751,000 771,000 817,000 839,000 861,000 884,000 Watershed Studies and Strategies Total 1,046,000 1,186,000 1,278,000 1,322,000 1,341,000 1,421,000 1,441,000 1,487,000 1,529,000 1,551,000 1,594,000 208 5-YEAR TOTALS CHANGE 2017 15,249,000 4.3% 2018 14,922,100 -2.1% 2019 16,673,000 11.7% 2020 16,780,000 0.6% 2021 16,843,000 0.4% Approved Account 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2.1 Water Resource Science YPDT - Regional Groundwater Management Programs Durham 104-90 175,000 175,000 175,000 175,000 175,000 175,000 175,000 175,000 175,000 175,000 175,000 Peel 104-90 175,000 175,000 175,000 175,000 175,000 175,000 175,000 175,000 175,000 175,000 175,000 Toronto 104-90 175,000 175,000 175,000 175,000 175,000 175,000 175,000 175,000 175,000 175,000 175,000 York 104-90 175,000 175,000 175,000 175,000 175,000 175,000 175,000 175,000 175,000 175,000 175,000 Regional Watershed Monitoring Program Durham 124-01 87,000 87,000 87,000 94,000 94,000 94,000 102,000 102,000 102,000 102,000 102,000 Peel 124-01 155,000 155,000 155,000 168,000 168,000 168,000 180,000 180,000 180,000 180,000 180,000 Toronto 124-01 155,000 155,000 155,000 168,000 168,000 168,000 181,000 181,000 181,000 181,000 181,000 York 124-01 203,000 203,000 203,000 220,000 220,000 220,000 237,000 237,000 237,000 237,000 237,000 Flood Line Mapping Program Durham 127-90 20,000 20,000 38,000 38,000 38,000 38,000 40,000 40,000 40,000 40,000 40,000 Peel 127-90 80,000 80,000 67,000 67,000 67,000 67,000 71,000 71,000 71,000 71,000 71,000 Toronto 127-90 70,000 70,000 67,000 67,000 67,000 67,000 71,000 71,000 71,000 71,000 71,000 York 127-90 80,000 80,000 88,000 88,000 88,000 88,000 93,000 93,000 93,000 93,000 93,000 *Stormwater Management Innovation Peel 129-23 100,000 100,000 - - - - - - - - - Management and Evaluation - Stormwater York 107-15 59,000 60,000 61,000 62,000 63,000 64,000 65,000 66,000 67,000 68,000 69,000 Stormwater Pond Maintenance York 107-14 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 2.1 Water Resource Science 1,759,000 1,760,000 1,671,000 1,722,000 1,723,000 1,724,000 1,790,000 1,791,000 1,792,000 1,793,000 1,794,000 Projected Water Risk Management 209 Approved Account 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 Projected 2.2 Flood Management Flood Gauging (Flood Maintenance) Durham 107-01 35,000 35,000 35,000 36,000 36,000 36,000 36,000 36,000 44,000 44,000 44,000 Peel 107-01 62,000 62,000 62,000 65,000 65,000 65,000 65,000 65,000 77,000 77,000 77,000 Toronto 107-01 62,000 62,000 62,000 64,000 64,000 64,000 64,000 64,000 78,000 78,000 78,000 York 107-01 81,000 81,000 81,000 85,000 85,000 85,000 85,000 85,000 101,000 101,000 101,000 Flood Protection and Remedial Studies Durham - - - - - - - - - - - Peel 107-02 50,000 52,000 54,000 56,000 58,000 60,000 62,000 64,000 66,000 68,000 70,000 Toronto 107-02 75,000 80,000 80,000 80,000 80,000 96,000 96,000 96,000 96,000 96,000 96,000 York 107-02 105,000 107,000 109,000 111,000 113,000 115,000 117,000 119,000 121,000 123,000 125,000 Flood Control Infrastructure Maintenance Durham 107-03 20,000 20,000 20,000 22,000 22,000 22,000 22,000 24,000 24,000 24,000 24,000 Peel 107-03 325,000 325,000 335,000 309,000 318,000 318,000 328,000 328,000 338,000 338,000 348,000 Toronto 107-03 67,000 67,000 67,000 67,000 67,000 67,000 67,000 67,000 67,000 67,000 67,000 York 107-03 70,000 70,000 71,000 71,000 73,000 73,000 75,000 75,000 77,000 77,000 79,000 *Flood Remedial Works Peel 129-19 500,000 200,000 506,000 521,000 537,000 553,000 570,000 587,000 605,000 623,000 642,000 2.2 Flood Management 1,452,000 1,161,000 1,482,000 1,487,000 1,518,000 1,554,000 1,587,000 1,610,000 1,694,000 1,716,000 1,751,000 2.3 Erosion Management Watershed Erosion Monitoring and Maintenance Program Durham 189-50 - - - - - - - - - - - Peel 189-05 250,000 258,000 258,000 258,000 267,000 267,000 267,000 276,000 276,000 276,000 276,000 Toronto 139-01 400,000 400,000 400,000 400,000 400,000 400,000 400,000 400,000 400,000 400,000 400,000 York 189-15 860,000 860,000 860,000 886,000 886,000 886,000 886,000 913,000 913,000 913,000 913,000 Erosion Monitoring and Maintenance Program - TRCA York 189-01 140,000 145,100 143,000 146,000 146,000 149,000 149,000 152,000 152,000 155,000 155,000 *Erosion Maintenance Projects Peel 129-35 700,000 700,000 721,000 743,000 765,000 788,000 812,000 836,000 861,000 887,000 914,000 210 Approved Account 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 Projected Toronto Specific Erosion Work Major Maintenance 134-01 1,150,000 1,150,000 1,200,000 1,200,000 1,200,000 1,200,000 2,020,000 2,020,000 2,020,000 2,020,000 2,020,000 Ashbridge's Bay - Coatsworth Cut Dredging Program 211-16 300,000 300,000 250,000 250,000 250,000 250,000 250,000 250,000 250,000 250,000 250,000 Waterfront Major Maintenance Program 241-01 188,000 188,000 188,000 188,000 188,000 188,000 188,000 188,000 188,000 188,000 188,000 447-449 Guildwood Parkway 135-01 1,500,000 1,500,000 Flood Control Channel Maintenance 107-24 500,000 300,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 Future Erosion Risk Mitigation Strategy 133-99 300,000 Valley Erosion Hazards (including July 8, 2013)133-01 3,720,000 2,600,000 4,000,000 3,600,000 4,800,000 4,800,000 8,700,000 4,900,000 1,000,000 1,000,000 1,000,000 Denison Drive West 139-40 - 750,000 Beechgrove Drive 167-01 100,000 750,000 Enhanced Waterfront Maintenance Strategy (Marie Curtis Park to Marilyn Bell Park)241-20 250,000 - - Waterfront Major Maintenance & Remedial Works 241-01 - 1,000,000 1,000,000 1,000,000 2,000,000 2,000,000 2,100,000 5,900,000 9,800,000 9,800,000 9,800,000 Waterfront Information Management 244-01 50,000 - - - - - - - - - - Lower Humber Weirs TBD Gibraltar Point 151-01 230,000 1,000,000 2,800,000 4,700,000 2,500,000 2,500,000 1 Midland - 81 - 83 Fishleigh 175-01 1,500,000 1,500,000 2.3 Erosion Management 12,038,000 12,001,100 13,520,000 13,571,000 13,602,000 13,628,000 15,972,000 16,035,000 16,060,000 16,089,000 16,116,000 Water Risk Management Total 15,249,000 14,922,100 16,673,000 16,780,000 16,843,000 16,906,000 19,349,000 19,436,000 19,546,000 19,598,000 19,661,000 211 5-YEAR TOTALS C H A N G E 2017 6 , 6 3 2 , 0 0 0 3 . 7 % 2018 6 , 7 2 5 , 1 0 0 1 . 4 % 2019 6 , 8 1 3 , 0 0 0 1 . 3 % 2020 6 , 9 2 5 , 0 0 0 1 . 6 % 2021 7 , 1 3 2 , 0 0 0 3 . 0 % Ap p r o v e d Ac c o u n t 2 0 1 7 20 1 8 20 1 9 20 2 0 20 2 1 20 2 2 2023 2024 2025 2026 2027 3. 1 E c o s y s t e m M a n a g e m e n t R e s e a r c h a n d D i r e c t i o n s Aq u a t i c E c o s y s t e m S c i e n c e P r o g r a m Du r h a m 12 0 - 6 2 33 , 0 0 0 3 3 , 0 0 0 3 3 , 0 0 0 3 4 , 0 0 0 3 4 , 0 0 0 3 5 , 0 0 0 3 5 , 0 0 0 35,000 36,000 36,000 36,000 Pe e l 12 0 - 6 2 59 , 0 0 0 5 9 , 0 0 0 5 9 , 0 0 0 6 1 , 0 0 0 6 1 , 0 0 0 6 2 , 0 0 0 6 2 , 0 0 0 62,000 63,000 63,000 63,000 To r o n t o 12 0 - 6 2 60 , 0 0 0 6 0 , 0 0 0 6 0 , 0 0 0 6 1 , 0 0 0 6 1 , 0 0 0 6 2 , 0 0 0 6 2 , 0 0 0 62,000 63,000 63,000 63,000 Yo r k 12 0 - 6 2 78 , 0 0 0 7 8 , 0 0 0 7 8 , 0 0 0 7 9 , 0 0 0 7 9 , 0 0 0 8 1 , 0 0 0 8 1 , 0 0 0 81,000 83,000 83,000 83,000 Te r r e s t r i a l E c o s y st e m S c i e n c e P r o g ra m Du r h a m 10 4 - 2 3 19 , 0 0 0 1 9 , 0 0 0 3 5 , 0 0 0 3 5 , 0 0 0 3 6 , 0 0 0 3 6 , 0 0 0 3 6 , 0 0 0 38,000 38,000 38,000 39,000 Pe e l 10 4 - 2 3 10 0 , 0 0 0 1 0 3 , 0 0 0 6 2 , 0 0 0 6 2 , 0 0 0 6 5 , 0 0 0 6 5 , 0 0 0 6 5 , 0 0 0 67,000 67,000 67,000 70,000 To r o n t o 10 4 - 2 3 60 , 0 0 0 6 0 , 0 0 0 6 2 , 0 0 0 6 2 , 0 0 0 6 4 , 0 0 0 6 4 , 0 0 0 6 4 , 0 0 0 67,000 67,000 67,000 70,000 Yo r k 10 4 - 2 3 60 , 0 0 0 6 0 , 0 0 0 8 1 , 0 0 0 8 1 , 0 0 0 8 5 , 0 0 0 8 5 , 0 0 0 8 5 , 0 0 0 88,000 88,000 88,000 91,000 Te r r e s t r i a l N a t u r a l H e r i t a g e F i e l d I n v e n t o r y P r o g r a m Du r h a m 10 4 - 2 2 46 , 0 0 0 6 1 , 0 0 0 6 1 , 0 0 0 6 1 , 0 0 0 6 4 , 0 0 0 6 4 , 0 0 0 6 4 , 0 0 0 64,000 68,000 68,000 68,000 Pe e l 10 4 - 2 2 84 , 0 0 0 1 1 0 , 0 0 0 1 1 0 , 0 0 0 1 1 0 , 0 0 0 1 1 6 , 0 0 0 1 1 6 , 0 0 0 1 1 6 , 0 0 0 116,000 123,000 123,000 123,000 To r o n t o 10 4 - 2 2 85 , 0 0 0 1 1 0 , 0 0 0 1 1 0 , 0 0 0 1 1 0 , 0 0 0 1 1 8 , 0 0 0 1 1 8 , 0 0 0 1 1 8 , 0 0 0 118,000 123,000 123,000 123,000 Yo r k 10 4 - 2 2 11 0 , 0 0 0 1 4 4 , 0 0 0 1 4 4 , 0 0 0 1 4 4 , 0 0 0 1 5 2 , 0 0 0 1 5 2 , 0 0 0 1 5 2 , 0 0 0 152,000 161,000 161,000 161,000 St r e a m C r o s s i n g G u i d e l i n e s D e v e l o p m e n t P r o j e c t Pe e l 10 7 - 2 3 75 , 0 0 0 7 7 , 0 0 0 7 7 , 0 0 0 7 9 , 0 0 0 7 9 , 0 0 0 8 1 , 0 0 0 8 1 , 0 0 0 83,000 83,000 85,000 85,000 Yo r k 10 7 - 2 3 25 , 0 0 0 2 6 , 0 0 0 2 7 , 0 0 0 2 8 , 0 0 0 2 9 , 0 0 0 3 0 , 0 0 0 3 1 , 0 0 0 32,000 33,000 34,000 35,000 3. 1 E c o s y s t e m M a n a g e m e n t R e s e a r c h a n d D i r e c t i o n s 89 4 , 0 0 0 1, 0 0 0 , 0 0 0 99 9 , 0 0 0 1, 0 0 7 , 0 0 0 1, 0 4 3 , 0 0 0 1, 0 5 1 , 0 0 0 1,052,000 1,065,000 1,096,000 1,099,000 1,110,000 3. 2 B i o d i v e r s i t y M o n i t o r i n g Re g i o n a l W a t e r s h e d M o n i t o r i n g P r o g r a m Du r h a m 12 4 - 0 1 10 4 , 0 0 0 1 0 4 , 0 0 0 1 0 4 , 0 0 0 1 0 7 , 0 0 0 1 0 7 , 0 0 0 1 0 7 , 0 0 0 1 0 7 , 0 0 0 107,000 109,000 109,000 109,000 Pe e l 12 4 - 0 1 18 6 , 0 0 0 1 8 6 , 0 0 0 1 8 6 , 0 0 0 1 9 0 , 0 0 0 1 9 0 , 0 0 0 1 9 1 , 0 0 0 1 9 1 , 0 0 0 191,000 193,000 193,000 193,000 To r o n t o 1 2 4 - 0 1 18 6 , 0 0 0 1 8 6 , 0 0 0 1 8 6 , 0 0 0 1 9 0 , 0 0 0 1 9 0 , 0 0 0 1 9 2 , 0 0 0 1 9 2 , 0 0 0 192,000 194,000 194,000 194,000 Yo r k 12 4 - 0 1 24 3 , 0 0 0 2 4 3 , 0 0 0 2 4 3 , 0 0 0 2 4 8 , 0 0 0 2 4 8 , 0 0 0 2 5 0 , 0 0 0 2 5 0 , 0 0 0 250,000 254,000 254,000 254,000 Du r h a m W a t e r f r o n t M o n i t o r i n g P r o g r a m Du r h a m 22 9 - 0 1 15 , 0 0 0 1 5 , 0 0 0 1 6 , 0 0 0 1 6 , 0 0 0 1 7 , 0 0 0 1 7 , 0 0 0 1 8 , 0 0 0 18,000 19,000 19,000 20,000 Po s t C o n s t r u c t i o n C h a n n e l M o n i t o r i n g Pe e l 11 2 - 1 0 60 , 0 0 0 6 2 , 0 0 0 6 4 , 0 0 0 6 6 , 0 0 0 6 8 , 0 0 0 7 0 , 0 0 0 7 2 , 0 0 0 74,000 76,000 78,000 80,000 Wa t e r f r o n t / M o r a i n e M i g r a t o r y B i r d C o r r i d o r To r o n t o 1 1 3 - 4 8 31 , 0 0 0 3 2 , 0 0 0 3 3 , 0 0 0 3 4 , 0 0 0 3 4 , 0 0 0 3 4 , 0 0 0 3 5 , 0 0 0 35,000 35,000 35,000 35,000 Wa t e r f r o n t E n v i r o n m e n t a l M o n i t o r i n g P r o g r a m To r o n t o 2 4 0 - 0 1 24 5 , 0 0 0 2 4 5 , 0 0 0 2 4 5 , 0 0 0 2 4 5 , 0 0 0 2 4 5 , 0 0 0 2 4 5 , 0 0 0 2 4 5 , 0 0 0 245,000 245,000 245,000 245,000 3. 2 B i o d i v e r s i t y M o n i t o r i n g 1, 0 7 0 , 0 0 0 1, 0 7 3 , 0 0 0 1, 0 7 7 , 0 0 0 1, 0 9 6 , 0 0 0 1, 0 9 9 , 0 0 0 1, 1 0 6 , 0 0 0 1,110,000 1,112,000 1,125,000 1,127,000 1,130,000 Pr o j e c t e d Re g i o n a l Bi o d i v e r s i t y 21 2 Ap p r o v e d Ac c o u n t 2 0 1 7 20 1 8 20 1 9 20 2 0 20 2 1 20 2 2 2023 2024 2025 2026 2027 Pr o j e c t e d 3. 3 R e s t o r a t i o n a n d R e g e n e r a t i o n Te r r e s t r i a l N a t u r a l H e r i t a g e I m p l e m e n t a t i o n P r o g r a m Du r h a m 10 9 - 1 5 35 , 0 0 0 4 0 , 0 0 0 4 1 , 0 0 0 3 6 , 0 0 0 3 7 , 0 0 0 3 7 , 0 0 0 3 8 , 0 0 0 38,000 39,000 39,000 40,000 Du f f i n s - C a r r u t h e r s F i s h M a n a g e m e n t P l a n Im p l e m e n t a t i o n Du r h a m 10 9 - 1 0 34 , 0 0 0 3 5 , 0 0 0 3 6 , 0 0 0 3 6 , 0 0 0 3 7 , 0 0 0 3 7 , 0 0 0 3 8 , 0 0 0 38,000 39,000 39,000 40,000 Du f f i n s M a r s h R e s t o r a t i o n P r o g r a m Du r h a m 23 0 - 5 5 35 , 0 0 0 3 5 , 0 0 0 3 6 , 0 0 0 3 6 , 0 0 0 3 7 , 0 0 0 3 7 , 0 0 0 3 8 , 0 0 0 38,000 39,000 39,000 40,000 Ca n a d a G o o s e M a n a g e m e n t P r o g r a m Du r h a m 11 4 - 3 2 - - - - - - - - - - - Pe e l 11 4 - 3 2 40 , 0 0 0 4 1 , 0 0 0 4 2 , 0 0 0 4 3 , 0 0 0 4 4 , 0 0 0 4 5 , 0 0 0 4 6 , 0 0 0 47,000 48,000 49,000 50,000 To r o n t o 11 4 - 3 2 37 , 0 0 0 3 8 , 0 0 0 3 9 , 0 0 0 4 0 , 0 0 0 4 0 , 0 0 0 4 0 , 0 0 0 4 1 , 0 0 0 41,000 41,000 41,000 41,000 Yo r k 11 4 - 3 2 10 , 0 0 0 1 0 , 0 0 0 1 2 , 0 0 0 1 2 , 0 0 0 1 3 , 0 0 0 1 3 , 0 0 0 1 4 , 0 0 0 14,000 15,000 15,000 15,000 Ha b i t a t f o r W i l d l i f e P r o g r a m Du r h a m - - - - - - - - - - - Pe e l 11 4 - 3 5 15 , 0 0 0 1 5 , 0 0 0 1 6 , 0 0 0 1 6 , 0 0 0 1 6 , 0 0 0 1 7 , 0 0 0 1 8 , 0 0 0 19,000 20,000 21,000 22,000 To r o n t o 11 4 - 3 5 13 , 0 0 0 1 3 , 0 0 0 1 4 , 0 0 0 1 4 , 0 0 0 1 4 , 0 0 0 1 4 , 0 0 0 1 4 , 0 0 0 14,000 14,000 14,000 14,000 Yo r k 11 4 - 3 5 11 , 0 0 0 1 1 , 0 0 0 1 2 , 0 0 0 1 2 , 0 0 0 1 3 , 0 0 0 1 3 , 0 0 0 1 4 , 0 0 0 14,000 15,000 15,000 15,000 We t l a n d R e s t o r a t i o n - W a t e r s h e d Pe e l 11 2 - 6 8 70 , 0 0 0 7 2 , 0 0 0 7 4 , 0 0 0 7 6 , 0 0 0 7 8 , 0 0 0 8 0 , 0 0 0 8 2 , 0 0 0 84,000 87,000 90,000 93,000 Yo r k 11 1 - 9 0 60 , 0 0 0 6 0 , 0 0 0 6 1 , 0 0 0 6 1 , 0 0 0 6 2 , 0 0 0 6 2 , 0 0 0 6 3 , 0 0 0 63,000 64,000 64,000 65,000 Ri p a r i a n a n d V a l l e y l a n d Re s t o r a t i o n - W a t e r s h e d Pe e l 11 2 - 6 7 16 7 , 0 0 0 1 7 2 , 0 0 0 1 7 7 , 0 0 0 1 8 2 , 0 0 0 1 8 7 , 0 0 0 1 9 3 , 0 0 0 1 9 9 , 0 0 0 205,000 211,000 217,000 224,000 Yo r k 11 1 - 9 1 60 , 0 0 0 6 0 , 0 0 0 6 1 , 0 0 0 6 1 , 0 0 0 6 2 , 0 0 0 6 2 , 0 0 0 6 3 , 0 0 0 63,000 64,000 64,000 65,000 St r e a m R e s t o r a t i o n - W a t e r s h e d Pe e l 11 2 - 6 6 14 0 , 0 0 0 1 4 4 , 0 0 0 1 4 8 , 0 0 0 1 5 2 , 0 0 0 1 5 7 , 0 0 0 1 6 2 , 0 0 0 1 6 7 , 0 0 0 172,000 177,000 182,000 187,000 Te r r e s t r i a l R e s t o r a t i o n - W a t e r s h e d Pe e l 11 2 - 6 5 60 , 0 0 0 6 2 , 0 0 0 6 4 , 0 0 0 6 6 , 0 0 0 6 8 , 0 0 0 7 0 , 0 0 0 7 2 , 0 0 0 74,000 76,000 78,000 80,000 Yo r k 11 1 - 9 2 57 , 0 0 0 5 7 , 0 0 0 5 8 , 0 0 0 5 8 , 0 0 0 5 9 , 0 0 0 5 9 , 0 0 0 6 0 , 0 0 0 60,000 61,000 61,000 62,000 We t l a n d R e s t o r a t i o n - C l i m a t e Pe e l 12 9 - 3 6 30 0 , 0 0 0 3 0 9 , 0 0 0 3 1 8 , 0 0 0 3 2 8 , 0 0 0 3 3 8 , 0 0 0 3 4 8 , 0 0 0 3 5 8 , 0 0 0 369,000 380,000 391,000 403,000 Ri p a r i a n a n d V a l l e y l a n d R e s t o r a t i o n - C l i m a t e Pe e l 12 9 - 3 7 27 5 , 0 0 0 2 8 3 , 0 0 0 2 9 1 , 0 0 0 3 0 0 , 0 0 0 3 0 9 , 0 0 0 3 1 8 , 0 0 0 3 2 8 , 0 0 0 338,000 348,000 358,000 369,000 St r e a m R e s t o r a t i o n - C l i m a t e Pe e l 12 9 - 4 6 27 5 , 0 0 0 2 8 3 , 0 0 0 2 9 1 , 0 0 0 3 0 0 , 0 0 0 3 0 9 , 0 0 0 3 1 8 , 0 0 0 3 2 8 , 0 0 0 338,000 348,000 358,000 369,000 Te r r e s t r i a l R e s t o r a t i o n - C l i m a t e Pe e l 12 9 - 4 5 22 5 , 0 0 0 2 3 2 , 0 0 0 2 3 9 , 0 0 0 2 4 6 , 0 0 0 2 5 3 , 0 0 0 2 6 1 , 0 0 0 2 6 9 , 0 0 0 277,000 285,000 294,000 303,000 Gr e e n I n f r a s t u c u t r e - C l i m a t e Pe e l 12 9 - 4 4 10 0 , 0 0 0 1 0 3 , 0 0 0 1 0 6 , 0 0 0 1 0 9 , 0 0 0 1 1 2 , 0 0 0 1 1 5 , 0 0 0 1 1 8 , 0 0 0 122,000 126,000 130,000 134,000 Na t u r a l C h a n n e l P r o j e c t I m p l e m e n t a t i o n Pe e l 12 8 - 6 9 65 0 , 0 0 0 6 7 0 , 0 0 0 6 9 0 , 0 0 0 7 1 1 , 0 0 0 7 3 2 , 0 0 0 7 5 4 , 0 0 0 7 7 7 , 0 0 0 800,000 824,000 849,000 874,000 *R e f o r e s t a t i o n P r o g r a m - P r i v a t e L a n d s Pe e l 12 9 - 5 1 17 5 , 0 0 0 1 8 0 , 0 0 0 1 8 5 , 0 0 0 1 9 1 , 0 0 0 1 9 7 , 0 0 0 2 0 3 , 0 0 0 2 0 9 , 0 0 0 215,000 221,000 228,000 235,000 Pr i v a t e L a n d S t e w a r d s h i p : T r e e & S h r u b P r o g r a m Pe e l 11 4 - 6 5 15 0 , 0 0 0 1 5 5 , 0 0 0 1 6 0 , 0 0 0 1 6 5 , 0 0 0 1 7 0 , 0 0 0 1 7 5 , 0 0 0 1 8 0 , 0 0 0 185,000 191,000 197,000 203,000 Y o r k 11 4 - 6 5 37 , 0 0 0 3 7 , 0 0 0 3 8 , 0 0 0 3 8 , 0 0 0 3 9 , 0 0 0 3 9 , 0 0 0 4 0 , 0 0 0 40,000 41,000 41,000 42,000 Bi o r e g i o n a l S e e d C r o p P r o g r a m Du r h a m 14 , 0 0 0 1 4 , 0 0 0 1 4 , 0 0 0 1 4 , 0 0 0 1 4 , 0 0 0 1 4 , 0 0 0 1 4 , 0 0 0 14,000 14,000 14,000 14,000 Pe e l 11 4 - 5 2 24 , 0 0 0 2 4 , 0 0 0 2 4 , 0 0 0 2 6 , 0 0 0 2 6 , 0 0 0 2 6 , 0 0 0 2 6 , 0 0 0 26,000 26,000 26,000 26,000 To r o n t o 11 4 - 5 2 25 , 0 0 0 2 5 , 0 0 0 2 5 , 0 0 0 2 6 , 0 0 0 2 6 , 0 0 0 2 6 , 0 0 0 2 6 , 0 0 0 26,000 26,000 26,000 26,000 21 3 Ap p r o v e d Ac c o u n t 2 0 1 7 20 1 8 20 1 9 20 2 0 20 2 1 20 2 2 2023 2024 2025 2026 2027 Pr o j e c t e d Y o r k 11 4 - 5 2 32 , 0 0 0 3 2 , 0 0 0 3 2 , 0 0 0 3 4 , 0 0 0 3 4 , 0 0 0 3 4 , 0 0 0 3 4 , 0 0 0 34,000 34,000 34,000 34,000 Et o b i c o k e - M i m i c o H a b i t a t I m p l e m e n t a t i o n To r o n t o 11 4 - 3 9 38 , 0 0 0 3 9 , 0 0 0 4 0 , 0 0 0 4 1 , 0 0 0 6 2 , 0 0 0 6 2 , 0 0 0 6 3 , 0 0 0 63,000 63,000 63,000 63,000 Hu m b e r R i v e r W a t e r s h e d Ha b i t a t I m p l e m e n t a t i o n Pr o g r a m To r o n t o 11 4 - 4 3 57 , 0 0 0 5 9 , 0 0 0 6 1 , 0 0 0 6 2 , 0 0 0 6 2 , 0 0 0 6 2 , 0 0 0 6 5 , 0 0 0 65,000 65,000 65,000 65,000 Ro u g e W a t e r s h e d H a b i t a t I m p l e m e n t a t i o n P l a n Pr o j e c t s To r o n t o 11 3 - 3 7 64 , 0 0 0 6 6 , 0 0 0 6 8 , 0 0 0 7 0 , 0 0 0 7 0 , 0 0 0 7 0 , 0 0 0 7 2 , 0 0 0 72,000 72,000 72,000 72,000 To r o n t o W a t e r f r o n t T e r r e s t r i a l a n d A q u a t i c Re s t o r a t i o n P r o g r a m To r o n t o 11 3 - 5 1 10 6 , 0 0 0 1 0 9 , 0 0 0 1 1 2 , 0 0 0 1 1 5 , 0 0 0 1 2 5 , 0 0 0 1 4 9 , 0 0 0 1 5 3 , 0 0 0 153,000 153,000 153,000 153,000 Do n R i v e r a n d H i g h l a n d C r e e k R e s t o r a t i o n P r o g r a m To r o n t o 11 4 - 4 0 72 , 0 0 0 7 4 , 0 0 0 7 6 , 0 0 0 7 8 , 0 0 0 7 8 , 0 0 0 7 8 , 0 0 0 8 0 , 0 0 0 80,000 80,000 80,000 80,000 Ke a t i n g C h a n n e l F l o o d C o n t r o l P r o j e c t To r o n t o 20 7 - 0 1 32 0 , 0 0 0 3 2 0 , 0 0 0 3 2 0 , 0 0 0 3 2 0 , 0 0 0 3 2 0 , 0 0 0 3 2 0 , 0 0 0 3 2 0 , 0 0 0 320,000 320,000 320,000 320,000 To m m y T h o m p s o n P a r k - C e l l C a p p i n g P r o g r a m To r o n t o 21 0 - 0 4 50 , 0 0 0 5 0 , 0 0 0 5 0 , 0 0 0 5 0 , 0 0 0 5 0 , 0 0 0 5 0 , 0 0 0 5 0 , 0 0 0 50,000 50,000 50,000 50,000 Ri c h m o n d H i l l P l a n t i n g P a r t n e r s h i p Y o r k 11 1 - 5 3 30 , 0 0 0 3 0 , 0 0 0 3 1 , 0 0 0 3 1 , 0 0 0 3 2 , 0 0 0 3 2 , 0 0 0 3 3 , 0 0 0 33,000 34,000 34,000 35,000 3. 3 R e s t o r a t i o n a n d R e g e n e r a t i o n 3, 8 6 3 , 0 0 0 3, 9 5 9 , 0 0 0 4, 0 6 2 , 0 0 0 4, 1 5 6 , 0 0 0 4, 2 8 2 , 0 0 0 4, 3 9 5 , 0 0 0 4,510,000 4,604,000 4,711,000 4,811,000 4,923,000 3. 4 F o r e s t M a n a g e m e n t M a n a g i n g H a z a r d T r e e s P r o g r a m D u r h a m 10 9 - 2 0 33 , 0 0 0 3 7 , 1 0 0 3 9 , 0 0 0 4 0 , 0 0 0 4 1 , 0 0 0 4 2 , 0 0 0 4 3 , 0 0 0 44,000 45,000 46,000 47,000 P e e l 11 2 - 8 1 13 , 0 0 0 1 3 , 0 0 0 1 4 , 0 0 0 1 4 , 0 0 0 1 5 , 0 0 0 1 5 , 0 0 0 1 6 , 0 0 0 16,000 17,000 18,000 19,000 T o r o n t o - - - - - - - - - - - Y o r k 11 1 - 8 3 16 0 , 0 0 0 1 6 2 , 0 0 0 1 6 5 , 0 0 0 1 6 8 , 0 0 0 1 7 1 , 0 0 0 1 7 4 , 0 0 0 1 7 7 , 0 0 0 181,000 185,000 189,000 193,000 * E m e r a l d A s h B o r e r R e s p o n s e P e e l 12 9 - 4 0 21 5 , 0 0 0 8 5 , 0 0 0 5 0 , 0 0 0 2 5 , 0 0 0 5 0 , 0 0 0 2 5 , 0 0 0 * T R C A F o r e s t M a n a g e m e n t - P e e l P e e l 12 9 - 5 2 27 5 , 0 0 0 2 8 3 , 0 0 0 2 9 1 , 0 0 0 3 0 0 , 0 0 0 3 0 9 , 0 0 0 3 1 8 , 0 0 0 3 2 8 , 0 0 0 338,000 348,000 358,000 369,000 R e f o r e s t a t i o n f o r B i o d i v e r s i t y P r o g r a m P e e l 11 4 - 5 1 40 , 0 0 0 4 1 , 0 0 0 4 2 , 0 0 0 4 3 , 0 0 0 4 4 , 0 0 0 4 5 , 0 0 0 4 6 , 0 0 0 47,000 48,000 49,000 50,000 Y o r k 11 4 - 5 1 35 , 0 0 0 3 7 , 0 0 0 3 8 , 0 0 0 3 9 , 0 0 0 4 0 , 0 0 0 4 1 , 0 0 0 4 2 , 0 0 0 43,000 44,000 45,000 46,000 P e e l F o r e s t M a n a g e m e n t P r o g r a m P e e l 11 4 - 5 5 34 , 0 0 0 3 5 , 0 0 0 3 6 , 0 0 0 3 7 , 0 0 0 3 8 , 0 0 0 3 9 , 0 0 0 4 0 , 0 0 0 41,000 42,000 43,000 44,000 3. 4 F o r e s t M a n a g e m e n t 80 5 , 0 0 0 69 3 , 1 0 0 67 5 , 0 0 0 66 6 , 0 0 0 70 8 , 0 0 0 69 9 , 0 0 0 692,000 710,000 729,000 748,000 768,000 R e g i o n a l B i o d i v e r s i t y T o t a l 6, 6 3 2 , 0 0 0 6, 7 2 5 , 1 0 0 6, 8 1 3 , 0 0 0 6, 9 2 5 , 0 0 0 7, 1 3 2 , 0 0 0 7, 2 5 1 , 0 0 0 7,364,000 7,491,000 7,661,000 7,785,000 7,931,000 21 4 5-YEAR TOTALS CHANGE 2017 2,176,000 16.8% 2018 1,882,000 -13.5% 2019 2,766,000 47.0% 2020 2,842,000 2.7% 2021 2,920,000 2.7% Approved Account 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 4.1 Greenspace Securement **Greenspace Land Acquisition Program Durham 004-11 3,000 2,800 2,800 2,800 2,800 2,800 2,800 2,800 2,800 2,800 2,800 Peel 004-11 11,000 11,400 11,400 11,400 11,400 11,400 11,400 11,400 11,400 11,400 11,400 Toronto 004-11 64,000 64,400 64,400 64,400 64,400 64,400 64,400 64,400 64,400 64,400 64,400 York 004-11 22,000 21,400 21,400 21,400 21,400 21,400 21,400 21,400 21,400 21,400 21,400 4.1 Greenspace Securement 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 100,000 4.2 Greenspace Management Conservation Land Care Program Durham 444-02 - - - - - - - - - - - Peel 440-01 1,175,000 1,210,000 1,246,000 1,283,000 1,321,000 1,361,000 1,402,000 1,444,000 1,487,000 1,532,000 1,578,000 Toronto - - - - - - - - - - - York 442-01 366,000 372,000 379,000 387,000 395,000 403,000 411,000 419,000 427,000 436,000 445,000 Albion Hills Master Plan Peel 440-58 535,000 200,000 1,041,000 1,072,000 1,104,000 1,137,000 1,171,000 1,206,000 1,242,000 1,279,000 1,317,000 Heart Lake Master Plan Peel 440-49 - - - - - - - - - - - 4.2 Greenspace Management 2,076,000 1,782,000 2,666,000 2,742,000 2,820,000 2,901,000 2,984,000 3,069,000 3,156,000 3,247,000 3,340,000 4.3 Rental Properties 4.3 Rental Properties Land Securement and Management Total 2,176,000 1,882,000 2,766,000 2,842,000 2,920,000 3,001,000 3,084,000 3,169,000 3,256,000 3,347,000 3,440,000 Projected Greenspace Securement and Management 215 5-YEAR TOTALS CHANGE 2017 1,566,000 -14.3% 2018 1,618,000 3.3% 2019 1,520,000 -6.1% 2020 1,544,000 1.6% 2021 1,572,000 1.8% Approved Account 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 5.1 Conservation Parks Washroom Upgrades Program Peel 421-37 - - - - - - - - - - - Campground Improvements Program Peel 420-59 - - - - - - - - - - - Energy Efficiency Program Peel 424-01 75,000 77,000 79,000 81,000 83,000 85,000 88,000 91,000 94,000 97,000 100,000 *Audubon Certification for CA's Peel 129-69 50,000 52,000 54,000 56,000 58,000 60,000 62,000 64,000 66,000 68,000 70,000 *Claireville Programs and Infrastructure Peel 129-68 75,000 77,000 79,000 81,000 83,000 85,000 88,000 91,000 94,000 97,000 100,000 Parks Infrastructure Project Durham - - - - - - - - - - - Peel 420-59 525,000 541,000 557,000 574,000 591,000 609,000 627,000 646,000 665,000 685,000 706,000 Toronto - - - - - - - - - - - York - - - - - - - - - - - 5.1 Conservation Parks 725,000 747,000 769,000 792,000 815,000 839,000 865,000 892,000 919,000 947,000 976,000 5.2 Waterfront Parks Tommy Thompson Park Management Program Toronto 210-19 240,000 270,000 270,000 270,000 270,000 270,000 270,000 270,000 270,000 270,000 270,000 Arsenal Building Renovation Peel 432-01 125,000 125,000 - - - - - - - - - Frenchman's Bay Management Plan Program Durham 225-40 10,000 10,000 12,000 12,000 14,000 14,000 16,000 16,000 18,000 18,000 20,000 Pickering Harbourfront Regeneration Project Durham 228-25 - - - - - - - - - - - 5.2 Waterfront Parks 375,000 405,000 282,000 282,000 284,000 284,000 286,000 286,000 288,000 288,000 290,000 Projected Tourism and Recreation 216 Approved Account 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 Projected 5.3 Trails Durham Watershed Trails Program Durham 109-06 65,000 65,000 66,000 67,000 68,000 69,000 70,000 71,000 72,000 73,000 74,000 Durham Waterfront Trails Program Durham 228-70 30,000 30,000 32,000 32,000 34,000 35,000 36,000 37,000 38,000 39,000 40,000 5.3 Trails 95,000 95,000 98,000 99,000 102,000 104,000 106,000 108,000 110,000 112,000 114,000 5.4 Black Creek Prioneer Village Black Creek Pioneer Village Retrofit Program Toronto 503-01 371,000 371,000 371,000 371,000 371,000 371,000 371,000 371,000 371,000 371,000 371,000 5.4 Black Creek Prioneer Village 371,000 371,000 371,000 371,000 371,000 371,000 371,000 371,000 371,000 371,000 371,000 5.5 Bathurst Glen 5.5 Bathurst Glen - - - - - - - - - - - 5.6 Events and Festivals 5.6 Events and Festivals - - - - - - - - - - - 5.7 Wedding and Corporate Events 5.7 Wedding and Corporate Events Public Use Infrastructure Retrofit Program - - - - - - - - - - - Tourism and Recreation Total 1,566,000 1,618,000 1,520,000 1,544,000 1,572,000 1,598,000 1,628,000 1,657,000 1,688,000 1,718,000 1,751,000 217 5-YEAR TOTALS CHANGE 2017 862,000 -3.9% 2018 877,000 1.7% 2019 892,000 1.7% 2020 892,000 0.0% 2021 892,000 0.0% Approved Account 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 6.1 Policy Development and Review Planning & Regulation Policy Updates Program Durham 120-12 8,000 8,500 8,500 8,500 8,500 8,500 8,500 8,500 8,500 8,500 8,500 Peel 120-12 35,000 34,200 34,200 34,200 34,200 34,200 34,200 34,200 34,200 34,200 34,200 Toronto 120-12 193,000 193,100 193,100 193,100 193,100 193,100 193,100 193,100 193,100 193,100 193,100 York 120-12 64,000 64,200 64,200 64,200 64,200 64,200 64,200 64,200 64,200 64,200 64,200 6.1 Policy Development and Review 300,000 300,000 300,000 300,000 300,000 300,000 300,000 300,000 300,000 300,000 300,000 6.2 Development Planning and Regulation Permitting Growth Management and Specialized Planning Studies Program Durham 120-19 6,000 5,700 5,700 5,700 5,700 5,700 5,700 5,700 5,700 5,700 5,700 Peel 120-19 23,000 22,800 22,800 22,800 22,800 22,800 22,800 22,800 22,800 22,800 22,800 Toronto 120-19 129,000 128,700 128,700 128,700 128,700 128,700 128,700 128,700 128,700 128,700 128,700 York 120-19 42,000 42,800 42,800 42,800 42,800 42,800 42,800 42,800 42,800 42,800 42,800 6.2 Development Planning and Regulation Permitting 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 200,000 6.3 Environmental Assessment Planning and Permitting Environmental Assessment Reviews Program Peel 110-15 362,000 377,000 392,000 392,000 392,000 404,000 404,000 416,000 416,000 428,000 428,000 6.3 Environmental Assessment Planning and Permitting 362,000 377,000 392,000 392,000 392,000 404,000 404,000 416,000 416,000 428,000 428,000 Planning and Development Total 862,000 877,000 892,000 892,000 892,000 904,000 904,000 916,000 916,000 928,000 928,000 Projected Planning and Development 218 5-YEAR TOTALS CHANGE 2017 2,440,000 -45.0% 2018 3,103,500 27.2% 2019 1,580,000 -49.1% 2020 1,622,000 2.7% 2021 1,663,000 2.5% Approved Account 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 7.1 School Programs *Environmental Leaders of Tomorrow Peel 129-71 165,000 170,000 175,000 180,000 185,000 191,000 197,000 203,000 209,000 215,000 221,000 *Stewardship Partnership Services Peel 129-54 237,000 244,000 251,000 259,000 267,000 275,000 283,000 291,000 300,000 309,000 318,000 Investigating City Space Peel 126-37 27,000 28,000 29,000 30,000 31,000 32,000 33,000 34,000 35,000 36,000 37,000 Demographics and Characteristics Mapping Peel 126-36 45,000 46,000 47,000 48,000 49,000 50,000 52,000 54,000 56,000 58,000 60,000 *Conservation Youth Corps Program Peel 128-73 90,000 93,000 96,000 99,000 102,000 105,000 108,000 111,000 114,000 117,000 121,000 York 126-60 22,000 23,000 23,000 24,000 24,000 25,000 26,000 27,000 28,000 29,000 30,000 Peel Education Outreach Services Peel 126-52 184,000 190,000 196,000 202,000 208,000 214,000 220,000 227,000 234,000 241,000 248,000 Peel Children's Water Festival Peel 126-22 55,000 57,000 59,000 61,000 63,000 65,000 67,000 69,000 71,000 73,000 75,000 *Eco-Schools Expansion Program Peel 129-80 289,000 298,000 307,000 316,000 325,000 335,000 345,000 355,000 366,000 377,000 388,000 Toronto Outreach Education Services Toronto 126-20 104,000 104,000 104,000 104,000 104,000 137,000 145,000 145,000 145,000 145,000 145,000 Kortright Campus Development Project Peel 425-01 - - - - - - - - - - - Toronto 425-01 - - York 425-01 - - - - - - - - - - - York Children's Water Festival Program York 126-42 41,000 42,000 43,000 44,000 45,000 46,000 47,000 48,000 49,000 50,000 51,000 York Outreach Ed Services York 126-53 70,000 70,000 71,000 72,000 73,000 74,000 75,000 77,000 79,000 81,000 83,000 7.1 School Programs 1,329,000 1,365,000 1,401,000 1,439,000 1,476,000 1,549,000 1,598,000 1,641,000 1,686,000 1,731,000 1,777,000 Projected Education and Outreach 219 Approved Account 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 Projected 7.2 Family and Community Programs Bolton Camp Site(Servicing/Programing) Peel 433-01 967,000 1,591,500 29,000 30,000 31,000 32,000 33,000 34,000 35,000 36,000 37,000 7.2 Family and Community Programs 967,000 1,591,500 29,000 30,000 31,000 32,000 33,000 34,000 35,000 36,000 37,000 7.3 Newcomer Employment and Education Multicultural Environmental Stewardship Program Peel 126-55 60,000 62,000 64,000 66,000 68,000 70,000 72,000 74,000 76,000 78,000 80,000 Toronto 126-55 43,000 43,000 43,000 43,000 43,000 43,000 44,000 44,000 44,000 44,000 44,000 York 126-55 41,000 42,000 43,000 44,000 45,000 46,000 47,000 48,000 49,000 50,000 51,000 7.3 Newcomer Employment and Education 144,000 147,000 150,000 153,000 156,000 159,000 163,000 166,000 169,000 172,000 175,000 Education and Outreach Total 2,440,000 3,103,500 1,580,000 1,622,000 1,663,000 1,740,000 1,794,000 1,841,000 1,890,000 1,939,000 1,989,000 220 5-YEAR TOTALS CHANGE 2017 4,310,220 3.4% 2018 4,440,700 3.0% 2019 4,808,700 8.3% 2020 4,961,700 3.2% 2021 5,141,700 3.6% Approved Account 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 8.1 Living City Transition Program *Sustainable Neighbourhood Retrofit Action Plan Program Peel 129-94 350,000 361,000 372,000 383,000 394,000 406,000 418,000 431,000 444,000 457,000 471,000 Toronto 113-95 200,000 200,000 200,000 200,000 200,000 200,000 237,000 237,000 237,000 237,000 237,000 York 122-85 75,000 75,000 77,000 79,000 81,000 83,000 85,000 87,000 89,000 91,000 93,000 Community Transformation Partnership Program - CVA Durham 414-60 4,000 4,200 4,200 4,200 4,200 4,200 4,200 4,200 4,200 4,200 4,200 Peel 414-60 17,000 17,100 17,100 17,100 17,100 17,100 17,100 17,100 17,100 17,100 17,100 Toronto 414-60 97,000 96,500 96,500 96,500 96,500 96,500 96,500 96,500 96,500 96,500 96,500 York 414-60 32,000 32,200 32,200 32,200 32,200 32,200 32,200 32,200 32,200 32,200 32,200 *Community Transformation Partnership Program Peel 129-87 300,000 309,000 318,000 328,000 338,000 348,000 358,000 369,000 380,000 391,000 403,000 Toronto 414-60 - - - - - - - - - - - York 414-60 - - - - - - - - - - - *Pearson Eco-Business Program Peel 129-95 400,000 412,000 424,000 437,000 450,000 464,000 478,000 492,000 507,000 522,000 538,000 Toronto 129-95 50,000 82,700 82,700 84,700 86,700 73,700 74,700 74,700 72,700 72,700 72,700 York 413-01 35,000 35,000 36,000 36,000 37,000 37,000 38,000 38,000 39,000 39,000 40,000 Sustainable Technologies Evaluation Program- Water, Air, Energy *Peel - Climate 129-99 236,000 243,000 250,000 258,000 266,000 274,000 282,000 290,000 299,000 308,000 317,000 Peel 416-96 150,000 155,000 160,000 165,000 170,000 175,000 180,000 185,000 191,000 197,000 203,000 Toronto 416-96 131,000 138,000 140,000 141,000 170,000 171,000 176,000 176,000 176,000 176,000 176,000 York 416-96 138,000 139,000 142,000 143,000 146,000 146,000 149,000 149,000 152,000 152,000 155,000 Projected Sustainable Communities 221 Approved Account 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 Projected Sustainable House Demonstration Project Peel 415-91 70,000 72,000 74,000 76,000 78,000 80,000 82,000 84,000 87,000 90,000 93,000 Toronto 415-91 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 30,000 York 415-91 17,000 17,000 17,000 18,000 18,000 19,000 19,000 20,000 20,000 21,000 21,000 *Green Build Council Support Peel 129-81 75,000 50,000 25,000 - - - - - - - - Toronto 415-89 30,000 30,000 30,000 30,000 30,000 30,000 31,000 31,000 31,000 31,000 31,000 *Climate Change Consortium Peel 412-50 150,000 155,000 160,000 165,000 170,000 175,000 180,000 185,000 191,000 197,000 203,000 Urban Agriculture - Growing Local Food Peel 416-72 145,000 149,000 153,000 158,000 163,000 168,000 173,000 178,000 183,000 188,000 194,000 Rural Clean Water Program Durham TBD - - - - - - - - - - Peel 126-70 88,000 90,000 90,000 90,000 90,000 90,000 95,000 95,000 95,000 95,000 100,000 Toronto 126-70 - - - - - - - - - - - York 126-70 37,000 40,000 42,000 42,000 42,000 42,000 42,000 42,000 42,000 42,000 42,000 8.1 Living City Transition Program 2,857,000 2,932,700 2,972,700 3,013,700 3,109,700 3,161,700 3,277,700 3,343,700 3,415,700 3,486,700 3,569,700 8.2 Community Engagement Stewardship Durham 126-81 50,000 50,000 51,000 52,000 53,000 54,000 55,000 56,000 57,000 58,000 59,000 Peel 126-80 98,000 101,000 104,000 107,000 110,000 113,000 116,000 119,000 123,000 127,000 131,000 Toronto 126-56 85,000 85,000 85,000 85,000 139,000 140,000 144,000 144,000 186,000 186,000 186,000 York 126-91 100,000 100,000 102,000 104,000 106,000 108,000 110,000 112,000 114,000 116,000 118,000 Duffins-Carruthers Watershed Plan Implementation Durham 122-45 47,220 48,000 49,000 50,000 51,000 52,000 53,000 54,000 55,000 56,000 57,000 Toronto Community Habitat Improvement Program Toronto 126-47 100,000 100,000 120,000 137,000 127,000 146,000 167,000 198,000 198,000 243,000 243,000 Highland Creek Valley and Stream Greening Program Toronto 113-94 80,000 106,000 169,000 213,000 219,000 218,000 209,000 263,000 324,000 363,000 489,000 Community Implementation Etobicoke - Mimico Restoration Priorities Toronto 126-50 60,000 60,000 73,000 83,000 76,000 95,000 116,000 146,000 146,000 192,000 192,000 Etobicoke-Mimico Riparian Zone Restoration Strategy Program Toronto 126-48 - - - - - - - - - - - Peel 126-50 202,000 208,000 314,000 323,000 333,000 343,000 353,000 364,000 375,000 386,000 398,000 *West Humber Stewardship Program Peel 128-74 120,000 124,000 128,000 132,000 136,000 140,000 144,000 148,000 152,000 157,000 162,000 *Natural and Human Heritage Discovery Walk Peel 128-50 55,000 57,000 59,000 61,000 63,000 65,000 67,000 69,000 71,000 73,000 75,000 *Etobicoke-Mimico Stewardship Program Peel 129-55 120,000 124,000 128,000 132,000 136,000 140,000 144,000 148,000 152,000 157,000 162,000 *Etobicoke Headwaters Subwatershed Regeneration Peel 129-59 175,000 180,000 185,000 191,000 197,000 203,000 209,000 215,000 221,000 228,000 235,000 222 Approved Account 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 Projected Peel 126-85 51,000 53,000 155,000 160,000 165,000 170,000 175,000 180,000 185,000 191,000 197,000 Peel 126-84 80,000 82,000 84,000 87,000 90,000 93,000 96,000 99,000 102,000 105,000 108,000 William Granger Greenway Program York 126-83 10,000 10,000 10,000 11,000 11,000 11,000 12,000 12,000 13,000 13,000 14,000 East Humber Community Habitat Improvement Project York 126-90 20,000 20,000 20,000 20,000 20,000 20,000 22,000 22,000 24,000 24,000 26,000 8.2 Community Engagement 1,453,220 1,508,000 1,836,000 1,948,000 2,032,000 2,111,000 2,192,000 2,349,000 2,498,000 2,675,000 2,852,000 8.3 Social Enterprise Development 8.3 Social Enterprise Development - - - - - - - - - - - Sustainable Communities Total 4,310,220 4,440,700 4,808,700 4,961,700 5,141,700 5,272,700 5,469,700 5,692,700 5,913,700 6,161,700 6,421,700 Humber Community Environmental Enhancement Program West Humber Valley and Stream Regeneration Program 223 5-YEAR TOTALS CHANGE 2017 2,435,000 95.0% 2018 2,434,600 0.0% 2019 2,949,600 21.2% 2020 2,979,600 1.0% 2021 3,010,600 1.0% Approved Account 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 9.1 Corporate Management and Governance Major Facilities Retrofit Program Durham 006-01 28,000 28,300 28,300 28,300 28,300 28,300 28,300 28,300 28,300 28,300 28,300 Peel 006-01 114,000 113,900 113,900 113,900 113,900 113,900 113,900 113,900 113,900 113,900 113,900 Toronto 006-01 644,000 643,600 643,600 643,600 643,600 643,600 643,600 643,600 643,600 643,600 643,600 York 006-01 214,000 214,200 214,200 214,200 214,200 214,200 214,200 214,200 214,200 214,200 214,200 Office Accomodation Project Durham 006-50 42,000 42,400 42,400 42,400 42,400 42,400 42,400 42,400 42,400 42,400 42,400 Peel 006-50 172,000 171,100 171,100 171,100 171,100 171,100 171,100 171,100 171,100 171,100 171,100 Toronto 006-50 - - - - - - 1,180,000 1,180,000 1,180,000 1,180,000 1,180,000 York 006-50 321,000 321,100 321,100 321,100 321,100 321,100 321,100 321,100 321,100 321,100 321,100 Asset Management Implementation Peel 006-62 500,000 500,000 1,015,000 1,045,000 1,076,000 1,108,000 1,141,000 1,175,000 1,210,000 1,246,000 1,283,000 9.1 Corporate Management and Governance 2,035,000 2,034,600 2,549,600 2,579,600 2,610,600 2,642,600 3,855,600 3,889,600 3,924,600 3,960,600 3,997,600 9.2 Financial Management 9.2 Financial Management 9.3 Human Resources 9.3 Human Resources 9.4 Office Services 9.4 Office Services 9.5 Corporate Communications 9.5 Corporate Communications Projected Corporate Services 224 Approved Account 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 Projected 9.6 Information Infrastructure and Management Information Technology Replacement Program Durham 014-01 12,000 11,000 11,000 11,000 11,000 11,000 11,000 11,000 11,000 11,000 11,000 Peel 014-01 45,000 46,000 46,000 46,000 46,000 46,000 46,000 46,000 46,000 46,000 46,000 Toronto 014-01 257,000 257,000 257,000 257,000 257,000 257,000 257,000 257,000 257,000 257,000 257,000 York 014-01 86,000 86,000 86,000 86,000 86,000 86,000 86,000 86,000 86,000 86,000 86,000 9.6 Information Infrastructure and Management 400,000 400,000 400,000 400,000 400,000 400,000 400,000 400,000 400,000 400,000 400,000 9.7 Project Recoveries 9.7 Project Recoveries 9.8 Vehicle and Equipment 9.8 Vehicle and Equipment Corporate Services Total 2,435,000 2,434,600 2,949,600 2,979,600 3,010,600 3,042,600 4,255,600 4,289,600 4,324,600 4,360,600 4,397,600 225 Un m e t P r i o r i t i e s - C a p i t a l P r o j e c t s a n d P r o g r a m s Pr o j e c t M u n i c i p a l i t y 20 1 8 2 0 1 9 2 0 2 0 2 0 2 1 2 0 2 2 2 0 2 3 2 0 2 4 2 0 2 5 2 0 2 6 2 0 2 7 Cl a r e m o n t I m p r o v e m e n t a n d R e t r o f i t D u r h a m 5 0 0 , 0 0 0 5 0 0 , 0 0 0 ‐ ‐ ‐‐‐‐‐‐‐ Ca p i t a l A s s e t M a n a g e m e n t P l a n I m p l e m e n t a t i o n Du r h a m 2, 5 0 0 , 0 0 0 25 0 , 0 0 0 25 0 , 0 0 0 25 0 , 0 0 0 250,000 250,000 250,000 250,000 250,000 250,000 250,000 Em e r a l d A s h B o r e r Du r h a m 1, 1 5 0 , 0 0 0 17 5 , 0 0 0 27 5 , 0 0 0 27 5 , 0 0 0 275,000 150,000 ----- Fl o o d l i n e M a p p i n g E n h a n c e m e n t Du r h a m 90 0 , 0 0 0 20 0 , 0 0 0 20 0 , 0 0 0 15 0 , 0 0 0 50,000 50,000 50,000 50,000 50,000 50,000 50,000 Fr e n c h m a n ' s B a y R o t a r y P a r k W e s t M a s t e r P l a n I m p l e m e n t a t i o n Du r h a m 10 0 , 0 0 0 10 0 , 0 0 0 - - ------- Gr e e n s p a c e M a n a g e m e n t a n d L a n d C a r e Du r h a m 2, 0 0 0 , 0 0 0 20 0 , 0 0 0 20 0 , 0 0 0 20 0 , 0 0 0 200,000 200,000 200,000 200,000 200,000 200,000 200,000 Na t u r a l D i s a s t e r M i t i g at i o n P r o g ra m Du r h a m 53 5 , 0 0 0 15 0 , 0 0 0 12 0 , 0 0 0 14 0 , 0 0 0 125,000 -- ---- Pa r a d i s e P a r k R e s t o r a t i o n Du r h a m 40 0 , 0 0 0 20 0 , 0 0 0 20 0 , 0 0 0 - --- ---- Po s t P r o j ec t s L o n g -t e r m M a i n t e n a n c e P r o g ra m Du r h a m 12 5 , 0 0 0 12 5 , 0 0 0 - - --- ---- Re s t o r a t i o n E n h a c e m e n t Du r h a m 1, 0 0 0 , 0 0 0 10 0 , 0 0 0 10 0 , 0 0 0 10 0 , 0 0 0 100,000 100,000 100,000 100,000 100,000 100,000 100,000 To r o n t o W i l d l i f e C e n t r e Du r h a m 43 5 , 0 0 0 14 5 , 0 0 0 14 5 , 0 0 0 14 5 , 0 0 0 --- ---- Wa t e r s h e d P l a n D e v e l o p m e n t Du r h a m 1, 2 5 0 , 0 0 0 12 5 , 0 0 0 12 5 , 0 0 0 12 5 , 0 0 0 125,000 125,000 125,000 125,000 125,000 125,000 125,000 Pr o j e c t s o n W a t e r h s e d F o r m u l a Du r h a m 12 0 , 0 0 0 12 5 , 0 0 0 13 0 , 0 0 0 13 5 , 0 0 0 135,000 135,000 135,000 140,000 140,000 140,000 140,000 11 , 0 1 5 , 0 0 0 Al b i o n H i l l s C o n s e r v a t i o n A r e a M a s t er P l a n I m p l e m e n t a t i o n Pe e l 9, 8 0 0 , 0 0 0 1, 8 0 0 , 0 0 0 2, 0 0 0 , 0 0 0 2, 0 0 0 , 0 0 0 2,000,000 2,000,000 ----- Al b i o n H i l l s C o n s e r v a t i o n A r e a R o a d a n d G u a r d R a i l I m p r o v e m e n t s Pe e l 51 5 , 0 0 0 51 5 , 0 0 0 - - ------- Al b i o n H i l l s F i e l d C e n t r e A c c e s s i b i l i t y A O D A Pe e l 22 5 , 0 0 0 22 5 , 0 0 0 - - ------- Bo l t o n C a m p S e r v i c i n g Pe e l 2, 6 0 0 , 0 0 0 2, 6 0 0 , 0 0 0 - - ------- Ca p i t a l A s se t M a n a g e m e n t P l a n I m p l e m e n t a t i o n Pe e l 9, 5 0 0 , 0 0 0 50 0 , 0 0 0 1, 0 0 0 , 0 0 0 1, 0 0 0 , 0 0 0 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 1,000,000 Cla i r e v i l l e C o n s e r v a t i o n A r e a W a t e r S e r v i c e R e p l a c e m e n t Pe e l 30 0 , 0 0 0 30 0 , 0 0 0 - - ------- En h a n c e m e n t t o T o r o n t o G o l f C l u b B a r r i e r M i t i g at i o n Pe e l 10 0 , 0 0 0 10 0 , 0 0 0 - - --- ---- Re s t o r a t i o n E n h a c e m e n t Pe e l 1, 0 0 0 , 0 0 0 10 0 , 0 0 0 10 0 , 0 0 0 10 0 , 0 0 0 100,000 100,000 100,000 100,000 100,000 100,000 100,000 He a r t L a k e W a t e r S e r v i c i n g Pe e l 1, 0 0 0 , 0 0 0 50 0 , 0 0 0 50 0 , 0 0 0 - ------- Po s t P r o j e c t s L o n g - t e r m M a i n t e n a n c e P r o g r a m Pe e l 12 5 , 0 0 0 12 5 , 0 0 0 - - ------- SN A P Pe e l 30 0 , 0 0 0 - 10 0 , 0 0 0 10 0 , 0 0 0 100,000 ------ To r o n t o W i l d l i f e C e n t r e Pe e l 1, 6 9 5 , 0 0 0 56 5 , 0 0 0 56 5 , 0 0 0 56 5 , 0 0 0 ------- Wa t e r s h e d P l a n D e v e l o p m e n t Pe e l 2, 2 0 0 , 0 0 0 22 0 , 0 0 0 22 0 , 0 0 0 22 0 , 0 0 0 220,000 220,000 220,000 220,000 220,000 220,000 220,000 27 , 1 6 0 , 0 0 0 Bl a c k C r e e k P i o n e e r V i l l a g e A r e a M a s t e r P l a n To r o n t o 50 0 , 0 0 0 10 0 , 0 0 0 20 0 , 0 0 0 20 0 , 0 0 0 ------- Bl a c k C r e e k P i o n e e r V i l l a g e R e t r o f i t P r o g r a m - E n h a n c e m e n t To r o n t o 4, 0 0 0 , 0 0 0 40 0 , 0 0 0 40 0 , 0 0 0 40 0 , 0 0 0 400,000 400,000 400,000 400,000 400,000 400,000 400,000 Bl a c k C r e e k P i o n e e r V i l l a g e - S t a t e o f G o o d R e p a i r To r o n t o 13 , 0 0 0 , 0 0 0 1, 3 0 0 , 0 0 0 1, 3 0 0 , 0 0 0 1, 3 0 0 , 0 0 0 1,300,000 1,300,000 1,300,000 1,300,000 1,300,000 1,300,000 1,300,000 Ca p i t a l A s s e t M a n a g e m e n t P l a n I m p l e m e n t a t i o n To r o n t o 5, 0 0 0 , 0 0 0 50 0 , 0 0 0 50 0 , 0 0 0 50 0 , 0 0 0 500,000 500,000 500,000 500,000 500,000 500,000 500,000 Cl i m a t e R e s e a r c h a n d R e s i l i e n c e To r o n t o 75 0 , 0 0 0 75 , 0 0 0 75 , 0 0 0 75 , 0 0 0 75,000 75,000 75,000 75,000 75,000 75,000 75,000 Fl o o d l i n e M a p p i n g E n h a n c e m e n t To r o n t o 68 0 , 0 0 0 68 0 , 0 0 0 - - ------- Fl o o d M i t i g a t i o n P r i o r i t y E n h a n c e m e n t s To r o n t o 1, 5 0 0 , 0 0 0 15 0 , 0 0 0 15 0 , 0 0 0 15 0 , 0 0 0 150,000 150,000 150,000 150,000 150,000 150,000 150,000 Gr e e n l a n d s A c q u i s i t i o n P r o j e c t To r o n t o 33 , 2 5 0 , 0 0 0 2, 2 5 0 , 0 0 0 2, 5 0 0 , 0 0 0 2, 7 5 0 , 0 0 0 3,000,000 3,250,000 3,500,000 3,750,000 4,000,000 4,250,000 4,000,000 Lo w e r D o n R e s t o r a t i o n P r o j e c t To r o n t o 4, 0 0 0 , 0 0 0 10 0 , 0 0 0 20 0 , 0 0 0 1, 2 0 0 , 0 0 0 1,200,000 1,300,000 ----- Po s t P r o j e c t s L o n g - t e r m M a i n t e n a n c e P r o g r a m To r o n t o 12 5 , 0 0 0 12 5 , 0 0 0 - - ------- PP G - E c o - B u s i n e s s Z o n e - T o r o n t o E a s t E n d To r o n t o 2, 4 8 0 , 0 0 0 32 0 , 0 0 0 37 0 , 0 0 0 25 0 , 0 0 0 250,000 250,000 230,000 210,000 200,000 200,000 200,000 A n t i c i p a t e d To t a l C o s t Projected At t a c h m e n t 2 22 6 Pr o j e c t Mu n i c i p a l i t y 20 1 8 2 0 1 9 2 0 2 0 2 0 2 1 2 0 2 2 2 0 2 3 2 0 2 4 2 0 2 5 2 0 2 6 2 0 2 7 A n t i c i p a t e d To t a l C o s t Projected Re s t o r a t i o n E n h a c e m e n t To r o n t o 1, 0 0 0 , 0 0 0 10 0 , 0 0 0 10 0 , 0 0 0 10 0 , 0 0 0 100,000 100,000 100,000 100,000 100,000 100,000 100,000 Sc a r b o r o u g h B l u f f W e s t E A To r o n t o 4, 2 0 0 , 0 0 0 1, 4 0 0 , 0 0 0 1, 4 0 0 , 0 0 0 1, 4 0 0 , 0 0 0 - - - - - - - Sc a r b o r o u g h B l u f f s W e s t I m p l e m e n t a t i o n To r o n t o 34 , 0 0 0 , 0 0 0 - 2 , 0 0 0 , 0 0 0 4, 0 0 0 , 0 0 0 4,000,000 4,000,000 4,000,000 4,000,000 4,000,000 4,000,000 4,000,000 SN A P To r o n t o 1, 2 0 0 , 0 0 0 25 0 , 0 0 0 27 5 , 0 0 0 30 0 , 0 0 0 375,000 - - - - - - Sp e c i a l P o l i c y A r e a s ( S P A s ) a n d F l o o d V u l n e r a b l e A r e a s ( F V A s ) R e v i e w s To r o n t o 15 0 , 0 0 0 15 0 , 0 0 0 - - - - - - - - - So u t h M i m i c o T r a i l C o n n e c t i o n To r o n t o 2, 0 0 0 , 0 0 0 1, 3 0 0 , 0 0 0 70 0 , 0 0 0 - - - - - - - - To r o n t o W i l d l i f e C e n t r e To r o n t o 9, 7 0 5 , 0 0 0 3, 2 3 5 , 0 0 0 3, 2 3 5 , 0 0 0 3, 2 3 5 , 0 0 0 - - - - - - - To m m y T h o m p s o n P a r k E n h a n c e m e n t s To r o n t o 17 , 7 0 0 , 0 0 0 1, 0 0 0 , 0 0 0 4, 2 0 0 , 0 0 0 2, 5 0 0 , 0 0 0 2,000,000 2,000,000 2,000,000 2,000,000 2,000,000 Wa t e r f r o n t R e h a b i l i t a t i o n To r o n t o 1 0 0 , 0 0 0 , 0 0 0 10 , 0 0 0 , 0 0 0 10 , 0 0 0 , 0 0 0 10 , 0 0 0 , 0 0 0 10,000,000 10,000,000 10,000,000 10,000,000 10,000,000 10,000,000 10,000,000 Wa t e r s h e d P l a n D e v e l o p m e n t To r o n t o 2, 2 0 0 , 0 0 0 22 0 , 0 0 0 22 0 , 0 0 0 22 0 , 0 0 0 220,000 220,000 220,000 220,000 220,000 220,000 220,000 We s t e r n B e a c h e s B r e a k w a l l R e p a i r ( P h a s e 1 ) To r o n t o 7, 0 0 0 , 0 0 0 50 0 , 0 0 0 50 0 , 0 0 0 2, 0 0 0 , 0 0 0 2,000,000 2,000,000 - - - - - 24 4 , 4 4 0 , 0 0 0 Bo y d C o n s e r v a t i o n A r e a R o a d I m p r o v e m e n t s Yo r k 41 5 , 0 0 0 41 5 , 0 0 0 - - - - - - - - - Ca p i t a l A s s e t M a n a g e m e n t P l a n I m p l e m e n t a t i o n Yo r k 12 , 0 5 0 , 0 0 0 80 0 , 0 0 0 1, 2 5 0 , 0 0 0 1, 2 5 0 , 0 0 0 1,250,000 1,250,000 1,250,000 1,250,000 1,250,000 1,250,000 1,250,000 Co m m u n i t y E n g a g e m e n t Yo r k 1, 7 0 0 , 0 0 0 17 0 , 0 0 0 17 0 , 0 0 0 17 0 , 0 0 0 170,000 170,000 170,000 170,000 170,000 170,000 170,000 Co n d i t i o n A s s e s s m e n t s - Y o r k R e g i o n Yo r k 25 0 , 0 0 0 25 0 , 0 0 0 - - - - - - - - - Gr e e n s p a c e I m p l e m e n t a t i o n - H u m b e r T r a i l s B r i d g e R e p l a c e m e n t Yo r k 75 , 0 0 0 75 , 0 0 0 ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ Gr e e n s p a c e M a n a g e m e n t - L a n d P l a n n i n g a n d M o n i t o r i n g Yo r k 2, 0 0 0 , 0 0 0 20 0 , 0 0 0 20 0 , 0 0 0 20 0 , 0 0 0 200,000 200,000 200,000 200,000 200,000 200,000 200,000 Gr e e n s p a c e M a n a g e m e n t - T r a i l P l a n n i n g a n d M o n i t o r i n g Yo r k 2, 5 5 0 , 0 0 0 25 5 , 0 0 0 25 5 , 0 0 0 25 5 , 0 0 0 255,000 255,000 255,000 255,000 255,000 255,000 255,000 La k e S t G e o r g e I m p r o v e m e n t a n d R e t r o f i t Yo r k 20 0 , 0 0 0 20 0 , 0 0 0 - - - - - - - - - Ma y v o n P o n d Yo r k 1 2 0 , 0 0 0 12 0 , 0 0 0 - - - - - - - - - Mil n e D a m C o n s e r v a t i o n P a r k M a s t e r P l a n Yo r k 40 0 , 0 0 0 20 0 , 0 0 0 15 0 , 0 0 0 50 , 0 0 0 Na s h v i l l e M a s t e r P l a n Yo r k 5, 5 0 0 , 0 0 0 40 0 , 0 0 0 60 0 , 0 0 0 60 0 , 0 0 0 600,000 600,000 600,000 600,000 600,000 600,000 300,000 Pa r t n e r s i n P r o j e c t G r e e n - " O n c e T h r o u g h C o o l i n g " P r o g r a m Yo r k 1, 0 0 0 , 0 0 0 10 0 , 0 0 0 10 0 , 0 0 0 10 0 , 0 0 0 100,000 100,000 100,000 100,000 100,000 100,000 100,000 Po s t P r o j e c t s L o n g - t e r m M a i n t e n a n c e P r o g r a m Yo r k 12 5 , 0 0 0 12 5 , 0 0 0 ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ Re s t o r a t i o n E n h a c e m e n t Yo r k 1, 0 0 0 , 0 0 0 10 0 , 0 0 0 10 0 , 0 0 0 10 0 , 0 0 0 100,000 100,000 100,000 100,000 100,000 100,000 100,000 SN A P Yo r k 9 4 0 , 0 0 0 13 0 , 0 0 0 17 5 , 0 0 0 28 0 , 0 0 0 355,000 ‐ ‐ ‐ ‐ ‐ ‐ To r o n t o W i l d l i f e C e n t r e Yo r k 3, 2 1 0 , 0 0 0 1, 0 7 0 , 0 0 0 1, 0 7 0 , 0 0 0 1, 0 7 0 , 0 0 0 ‐ ‐ ‐ ‐ ‐ ‐ ‐ Wa t e r s h e d P l a n D e v e l o p m e n t Yo r k 2, 8 5 0 , 0 0 0 28 5 , 0 0 0 28 5 , 0 0 0 28 5 , 0 0 0 285,000 285,000 285,000 285,000 285,000 285,000 285,000 Wi g s t o n P l a c e V a l l e y L a n d R e s t o r a t i o n Yo r k 13 0 , 0 0 0 13 0 , 0 0 0 ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ Yo r k L a n d a n d B o u n d a r y M a n a g e m e n t Yo r k 1, 0 0 0 , 0 0 0 10 0 , 0 0 0 10 0 , 0 0 0 10 0 , 0 0 0 100,000 100,000 100,000 100,000 100,000 100,000 100,000 Yo r k T r a i l M a n a g e m e n t a n d I m p l e m e n t a t i o n Yo r k 2, 2 5 0 , 0 0 0 30 0 , 0 0 0 30 0 , 0 0 0 30 0 , 0 0 0 300,000 300,000 150,000 150,000 150,000 150,000 150,000 37 , 7 6 5 , 0 0 0 22 7 Un m e t P r i o r i t i e s - C a p i t a l P r o j e c t s a n d P r o g r a m s 2 0 1 8 Se r v i c e A r e a P r o g r a m A r e a P r o j e c t M u n i c i p a l i t y 20 1 8 2 0 1 9 2 0 2 0 2 0 2 1 Re g i o n a l B i o d i v e r s i t y F o r e s t M a n a g e m e n t E m e r a l d A s h B o r e r D u r h a m 1 7 5 , 0 0 0 2 7 5 , 0 0 0 275,000 275,000 Co r p o r a t e S e r v i c e s Su p p o r t S e r v i c e s Ca p i t a l A s s e t M a n a g e m e n t Du r h a m 25 0 , 0 0 0 250,000 250,000 250,000 Gr e e n s p a c e S e c u r e m e n t a n d M a n a g e m e n t G r e e n s p a c e M a n a g e m e n t Gr e e n s p a c e M a n a g e m e n t a n d L a n d C a r e Du r h a m 20 0 , 0 0 0 200,000 200,000 200,000 Gr e e n s p a c e S e c u r e m e n t a n d M a n a g e m e n t G r e e n s p a c e M a n a g e m e n t To r o n t o W i l d l i f e C e n t r e Du r h a m 14 5 , 0 0 0 145,000 145,000 - 77 0 , 0 0 0 870,000 870,000 725,000 Ed u c a t i o n a n d O u t r e a c h Fa m i l y a n d C o m m u n i t y P r o g r a m s Bo l t o n C a m p S e r v i c i n g Pe e l 2, 6 0 0 , 0 0 0 - - - Co r p o r a t e S e r v i c e s Su p p o r t S e r v i c e s Ca p i t a l A s s e t M a n a g e m e n t Pe e l 50 0 , 0 0 0 1,000,000 1,000,000 1,000,000 Gr e e n s p a c e S e c u r e m e n t a n d M a n a g e m e n t G r e e n s p a c e M a n a g e m e n t Al b i o n H i l l s C o n s e r v a t i o n A r e a M a s t e r P l a n Pe e l 1, 8 0 0 , 0 0 0 2,000,000 2,000,000 2,000,000 Gr e e n s p a c e S e c u r e m e n t a n d M a n a g e m e n t G r e e n s p a c e M a n a g e m e n t To r o n t o W i l d l i f e C e n t r e Pe e l 56 5 , 0 0 0 565,000 565,000 - 5, 4 6 5 , 0 0 0 3,565,000 3,565,000 3,000,000 To u r i s m a n d R e c r e a t i o n Bla c k C r e e k P i o n e e r V i l l a g e Bl a c k C r e e k P i o n e e r V i l l a g e S t a t e o f G o o d R e p a i r T o r o n t o 1, 3 0 0 , 0 0 0 1,300,000 1,300,000 1,300,000 To u r i s m a n d R e c r e a t i o n Wa t e r f r o n t P a r k s Sc a r b o r o u g h B l u f f W e s t E A To r o n t o 1, 4 0 0 , 0 0 0 1,400,000 1,400,000 - Re g i o n a l B i o d i v e r s i t y Re s t o r a t i o n a n d R e g e n e r a t i o n Wa t e r f r o n t R e h a b i l i t a t i o n To r o n t o 10 , 0 0 0 , 0 0 0 10,000,000 10,000,000 10,000,000 Gr e e n s p a c e S e c u r e m e n t a n d M a n a g e m e n t G r e e n s p a c e M a n a g e m e n t To r o n t o W i l d l i f e C e n t r e To r o n t o 3, 2 3 5 , 0 0 0 3,235,000 3,235,000 - 15 , 9 3 5 , 0 0 0 15,935,000 15,935,000 11,300,000 Co r p o r a t e S e r v i c e s Su p p o r t S e r v i c e s Ca p i t a l A s s e t M a n a g e m e n t Yo r k 80 0 , 0 0 0 1,250,000 1,250,000 1,250,000 Gr e e n s p a c e S e c u r e m e n t a n d M a n a g e m e n t G r e e n s p a c e M a n a g e m e n t Gr e e n s p a c e M a n a g e m e n t a n d L a n d C a r e Yo r k 85 5 , 0 0 0 855,000 855,000 855,000 Gr e e n s p a c e S e c u r e m e n t a n d M a n a g e m e n t G r e e n s p a c e M a n a g e m e n t Na s h v i l l e M a n a g e m e n t P l a n Yo r k 40 0 , 0 0 0 600,000 600,000 600,000 Gr e e n s p a c e S e c u r e m e n t a n d M a n a g e m e n t G r e e n s p a c e M a n a g e m e n t To r o n t o W i l d l i f e C e n t r e Yo r k 1, 0 7 0 , 0 0 0 1,070,000 1,070,000 - 3, 1 2 5 , 0 0 0 3,775,000 3,775,000 2,705,000 Anticipated Cost At t a c h m e n t 3 22 8 TERMINATION ON MOTION, the meeting terminated at 9:29 a.m., on Friday, June 09, 2017. Maria Augimeri Chair /ks Brian Denney Secretary-Treasurer 229 Budget/Audit Advisory Board Meeting #3/17 was held at TRCA Head Office, on Friday, November 3, 2017. The Chair Maria Augimeri, called the meeting to order at 8:32 a.m. PRESENT Maria Augimeri Chair Jack Ballinger Member PRESENT VIA TELECONFERENCE Ronald Chopowick Member Gino Rosati Member ABSENT Jim Tovey Member RES.#C9/17 - MINUTES Moved by: Ronald Chopowick Seconded by: Gino Rosati THAT the Minutes of Meeting #2/17 held on June 9, 2017, be approved. CARRIED ______________________________ 230 Section I – Items for Authority Action RES.#C10/17 - TANGIBLE CAPITAL ASSET POLICY Approval of Policy Revisions. The Tangible Capital Asset Policy revisions are recommended for approval. Moved by: Jack Ballinger Seconded by: Ronald Chopowick THE BOARD RECOMMENDS TO THE AUTHORITY THAT the revisions to the Tangible Capital Asset Policy, as presented in Attachment 1, be approved. CARRIED RATIONALE TRCA staff undertook a review of the Tangible Capital Asset Policy in the current year, in accordance with ‘Section 9.0 Review Schedule’ and determined that there are two areas in which efficiencies could be realized through simplification of the policy. The proposed revisions are presented as Attachment 1 to the report. Simplifying the capitalization thresholds and methods of amortization will allow Toronto and Region Conservation Authority (TRCA) to improve the administration of the procurement and tangible capital asset management procedures, while delivering a policy that aligns TRCA with municipal partners and similar organizations. FINANCIAL DETAILS There is no cost to implementing the revisions to the Tangible Capital Asset Policy. Staff will need to amend the 2016 closing balance of tangible capital assets and as such, there will be a one-time impact to the figures on the financial statements and accompanying notes, which are reflected in the following chart: Policy Impact Capitalization Policy ($1,185,000) Amortization Policy $623,000 Net Impact ($562,000) The result of both policy changes is a net decrease in the 2016 ‘Tangible Capital Assets’ and ‘Accumulated Surplus – Tangible Capital Assets’ closing balances by $562,000. Report prepared by: Janice Darnley, extension 5768 Emails: jdarnley@trca.on.ca For Information contact: Janice Darnley, extension 5768 Emails: jdarnley@trca.on.ca Date: November 3, 2017 Attachments: 1 231 Attachment 1 Proposed amendments to sections 6.1 and 6.4 of the Tangible Capital Asset policy: 6.1 Capitalization Thresholds Tangible capital assets should be capitalized according to the following thresholds: Current Policy Asset Category Minimum Threshold Land No threshold Buildings (excludes those deemed historically significant) No threshold Infrastructure $5,000 Machinery and Equipment $1,000 Vehicles $5,000 Improvements/Betterments of existing assets $5,000 Proposed Policy Asset Category Minimum Threshold Land and Buildings (excluding historical buildings, which are not recognized in TRCA’s financial statements) $0 All other tangible capital assets $5,000 6.4 Amortization Schedule of Amortization Methods: Current Policy Asset Category Method of Amortization Asset Category Method of Amortization Land Not Applicable Machinery and Equipment Straight Line Land Improvements Straight Line Infrastructure Straight Line Buildings Straight Line Vehicles Declining Balance Capital Works in Progress Not Applicable Proposed Policy Asset Category Method of Amortization Land and Assets Under Construction Not Applicable All other tangible capital assets Straight Line ______________________________ 232 Section III – Items for the Information of the Board RES.#C11/17- EXPENDITURES REPORT Information is provided regarding Toronto and Region Conservation Authority’s expenditures as of the end of the third quarter, September 30, 2017. Moved by: Jack Ballinger Seconded by: Gino Rosati THAT Toronto and Region Conservation Authority’s (TRCA) Expenditures Report for the 9 months ended September 30, 2017 be received. CARRIED BACKGROUND As part of TRCA’s financial governance procedures, staff is presenting the 2017 Expenditures Report, which covers the period from January 1, 2017 through to September 30, 2017. FINANCIAL DETAILS The operating and capital expenditures by service area are provided in Attachments 1 and 2, respectively. Each attachment contains two charts, the first of which provides a numerical analysis of expenditures to date, while the later provides variance explanations for service areas which have not spent between 65 – 85% of their approved budgetary expenses to date in the normal course of operations. This threshold allows for a variance of +/- 10% from 75%, as the year is three-quarters complete as of September 30, 2017. The capital expenditures presented (both budgeted and actual) do not include tangible capital asset expenditures, as actuals are calculated subsequent to year end. Service area deficits and surpluses will be fully assessed for the year ending December 31, 2017 subsequent to the year end, as deferred revenue balances are fully evaluated at that time. Report prepared by: Janice Darnley, extension 5768 Emails: jdarnley@trca.on.ca For Information contact: Michael Tolensky, extension 5965 Emails: mtolensky@trca.on.ca Date: November 3, 2017 Attachments: 2 233 Attachment 1 – Operating Expenditures (All dollar amounts presented are in thousands of dollars) Service Area 2017 Budgeted Expenditures 2017 Expenditures to Date % of Budgeted Expenditures Spent to Date Notes Watershed Studies and Strategies $1,707 $1,226 72% Water Risk Management $1,033 $727 70% Regional Biodiversity $712 $1,333 187% A Greenspace Securement and Management $3,162 $2,620 83% Tourism and Recreation $12,952 $10,587 82% Planning and Development Review $8,654 $6,507 75% Education and Outreach $6,348 $4,642 73% Sustainable Communities $235 $539 229% B Corporate Services $13,115 $10,357 79% Total $47,918 $38,538 80% Notes Variance Explanations A Approximately $580 of Rouge Park project expenditure recoveries and $300 of plant material recoveries, which offset expenditures, are yet to be recorded. Once these are taken into account, the % of Budgeted Expenditures Spent to Date is actually 64%, which falls just outside of the expected range and will be monitored over the next three months, as this Service Area has the lowest percentage spent to date. B Approximately $360 of plant material recoveries, which offset expenditures, is yet to be recorded. Once these are taken into account, the % of Budgeted Expenditures Spent to Date is actually 76%, which falls within the expected range. 234 Attachment 2 – Capital Expenditures (All dollar amounts presented are in thousands of dollars) Service Area 2017 Budgeted Expenditures 2017 Expenditures to Date % of Budgeted Expenditures Spent to Date Notes Watershed Studies and Strategies $2,436 $1,320 54% C Water Risk Management $28,518 $16,206 57% D Regional Biodiversity $12,619 $8,607 68% Greenspace Securement and Management $3,412 $1,285 38% E Tourism and Recreation $9,012 $6,633 74% Planning and Development Review $709 $378 53% F Education and Outreach $3,436 $2,814 82% Sustainable Communities $11,318 $6,629 59% G Corporate Services $2,896 $1,536 53% H Total $74,356 $45,408 61% Notes Variance Explanations C There are numerous Watershed Studies and Strategies projects experiencing low levels of expenditures to date, but the expectation is that all will be on budget by the end of the year, with the exception of the Climate Science Application Project, which is expected to be $166 under budget due to unanticipated staffing variances, which will cause deliverables to be delayed until the following year. D There are numerous Water Risk Management projects experiencing low levels of expenditures to date, but the expectation is that all will be on budget by the end of the year, with the exception of the Flood Remedial Works project, which is in year three of five, and the Guildwood Parkway project for which funds are being deferred for future acquisitions. E Within the Greenspace Securement and Management Service Area, there are two primary variances impacting the spend rate. The first project is Greenspace Land Acquisition which relies heavily on donations, grants and easements to fund acquisitions and therefore results fluctuate year by year. To date, this project is approximately $1,055 under budget. The second project is the Albion Hills Master Plan, which has only spent $38 of its $502 budget, but anticipates that it will be on budget by the end of the year. 235 F Within the Planning and Development Service Area, there are two primary variances impacting the spend rate. Both the Carruthers Plan which is $101 under budget and the Regulation and Planning Policy Update which is $152 under budget are expected to be on budget by the end of the year, with the exception of $20 due to unanticipated staffing variances. G With the Sustainable Communities Service Area, there are two primary variances impacting the spend rate. The first variance arises from the Partners in Project Green program, which is $1,624 under budget. Due to unanticipated staffing variances and costs savings in the construction of electric vehicle charging stations, the program is anticipating to finish the year at 29% under budget. The second variance pertains to the Community Transformation projects, which are expecting to come in $210 under budget due to project delays in the commencement of the Performance Based Conservation pilot program. H The two major projects impacting the Corporate Services spend rate are the head office and asset management implementation. $817 of the budgeted head office design work is expected to be deferred into the next fiscal year, while only 7% of the $500 asset management implementation budget has been spent to date, due to an unanticipated staffing variance. ______________________________ 236 RES.#C12/17 - 2018 BUDGET UPDATE Update on the 2018 municipal budget submission process. Moved by: Ronald Chopowick Seconded by: Gino Rosati THAT Toronto and Region Conservation Authority’s (TRCA) 2018 Budget Update report be received. CARRIED BACKGROUND On June 23, 2017, the Authority approved the preliminary 2018 operating and capital levies for TRCA partner municipalities, along with a list of unfunded municipal projects and multi-year funding requests (Resolution #A115/17). The purpose of this report is to provide an update on the budget process, as the budgets have since been supported by municipal staff. All municipal budget figures presented remain draft at this time, as the budget cycle does not conclude until February 2018, when the last of TRCA’s partner municipality councils approve their budgets formally. FINANCIAL DETAILS The following is a chart of the previously approved operating and capital levies for TRCA’s partner municipalities, in addition to the update based on the discussions with municipal staff (all financial figures are in thousands of dollars): Preliminary (June 9) Update (Municipal Interactions) Difference Operating Capital Operating Capital Operating Capital Durham 539 1,094 539 1,094 - - Peel 1,856 15,928 1,856 18,613 - 2,685 Toronto 8,602 15,382 8,602 18,318 - 2,936 York 3,322 4,834 3,322 4,834 - - All preliminary budgets have been well received to-date by municipal staff and TRCA was able to negotiate supplemental capital fees (over and above the previously approved base budget) with two partner municipalities, in order to support primarily the following unfunded projects: Region of Peel Bolton Camp Site Servicing - $2.6 million is anticipated to be approved in December 2017 for the completion of this project. TRCA will continue to work with Peel Public Works to construct the water-based servicing infrastructure and this Phase 1 work will be completed in late 2018. City of Toronto Black Creek Pioneer Village Hydro and HVAC emergency repairs, $4.3 million has been included in the Toronto Capital Plan- $2.3 million in 2018 and $2 million in 2019, as a repayment to TRCA, which is currently funding these costs with reserves. Additional $600,000 in erosion funds to address damage that has been categorized as high risk as a result of the extreme flooding of Lake Ontario in the spring of 2017. 237 TRCA staff also started negotiations for the following unmet needs with partner municipality staff, which will continue into 2018: Regional Municipality of Durham: National Disaster Mitigation Program $150,000 (2018); Regional Municipality of Peel: Bolton Camp Phase 2 $10 million (2019-2022); City of Toronto: Discussions with City of Toronto are ongoing; however at this time there are no details to report to the Board; Regional Municipality of York: Erosion – Impact to Private Property $11 million (2018-2028). DETAILS OF WORK TO BE DONE At this time, TRCAs compensation project remains ongoing and as such, staff is yet to present a revised salary grid for the coming year to the board for approval, which would go into effect in April 2018. For the time being, internal budgets are being prepared to assume a 1.25% cost of living adjustment increase, consistent with the prior year, however, a recommendation will be brought to the board in early 2018, once the compensation project forms the foundation for the revised salary grid. Following municipal approvals of the proposed budgets TRCA will finalize the 2018 budget which will be presented at the March 2018 Budget/Audit Advisory Board. Report prepared by: Jen Moravek, extension 5659 Emails: jmoravek@trca.on.ca For Information contact: Michael Tolensky, extension 5965 Emails: mtolensky@trca.on.ca Date: November 3, 2017 ______________________________ TERMINATION ON MOTION, the meeting terminated at 8:44 a.m., on Friday, November 03, 2017. Maria Augimeri Chair /ks Brian Denney Secretary-Treasurer 238