Ongoing Review of Capital Project Summaries

Ongoing Review of Capital Project Summaries

RECOMMENDATION:

THAT the report dated April 30, 2025 from the Chief Administrative Officer titled “Ongoing Review of Capital Project Summaries” be received for information.

PURPOSE:

The purpose of this report is to provide Council with an outline of how the capital project summaries can continue to be reviewed after the adoption of the 2025-2029 Financial Plan.

BACKGROUND:

Given the amount of turnover in the Finance department over the last 6 months, an expedited budget process was conducted in early 2025.

The multi-day review of project summaries that had historically been performed in prior years was shortened, with a focus on 2025 and 2026 projects that were not reviewed during the 2024-2028 Financial Plan process.

However, the tradition of waiting until mid-May for approval to start current-year projects has resulted in a multitude of project carry-overs to subsequent years and a low project completion rate. Until a new financial plan is adopted, the municipality is authorized to make expenditures in the current and subsequent year. However, expenditures carried over to a future year are not necessarily authorized.

This adjustment to current practice is outlined in the Community Charter section 174 (2): A municipality may make an expenditure that is included for that year in its financial plan, so long as the expenditure is not expressly prohibited under this or another Act.

For example, Council should review the 2025 projects as well as the 2026 projects. In order to complete the 2026 projects, staff should initiate the projects prior to adoption of the 2026-2030 Financial Plan Bylaw next year.

Staff are prepared to continue discussions on the capital summaries at the following meetings:

• June 10, 2025 Committee of the Whole – Review of remaining 2025 Project Summaries with status updates (project underway, project not started, project carried-over from 2024, etc.)
• July 8, 2025 Committee of the Whole – Review of remaining 2026 Project Summaries

Council would have the opportunity to make recommendations on the 2025 and 2026 projects at these meetings. This may lead to a future amendment to the 2025-2029 Financial Plan Bylaw.

TIME CRITICAL:

While the fiscal year for a municipality is the calendar year, the financial plan bylaw and annual property tax bylaw must be adopted before May 15th of each year.

Yours truly,

Scott Sommerville Chief Administrative Officer