March19,2015TorBir1g

DirectorofInfrastructure

}  Situated on the north end of Sunshine Coast }  100 km North of Vancouver }  Located on the mainland but accessible only

by ferry or plane }  Population: 13,100 within city limits }  Within the Powell River Regional District. }  In Sliammon First Nation traditional teritory

}  In early 2011 Wally Wells of AMBC, included Powell River in an Asset Management Road Map Case Study along with 3 other communities

}  This Roadmap provided an understanding of the City’s current state of knowledge about its assets

Should we hire a consultant to complete our entire Asset Management Program?

Pros: Expertise Staff time not required

Cons: High cost Lack of ownership from staff

Due to budget considerations, city staff were directed to build the AM Program.

A local consultant who had experience in AMP’s in both the UK and Australia was brought on board.

AM Project Team created with members from: ü  Engineering Services ü  Finance Department ü  Parks, Recreation and Cultural Services ü  Public Works

AM Steering Committee established. Its members include:

ü  CAO ü  Managers ü  Council representative

Creation of an Asset Management Plan }  Create Asset Inventories }  Identify Levels of Service }  Cost Calculations Creation of an Asset Management Strategy }  Develop Asset Management Policy }  Identify Critical Assets }  Risk Management

}  City of Powell River Strategic Priority #5: }  Asset Management

}  The City will follow best practices in asset management and seek to maximize capital utilization and stewardship.

}  November 2012 AMBC held a NAMS training workshop in Burnaby

}  NAMS fit the City’s approach }  January 2013 the CAO directed staff to

complete the AMP by December 2013 }  December 2013 the last of the 10 AMP was

approved by Council }  January 2014 the compilation of all the AMP’s

into an Asset Management Strategy

$0

$5,000

$10,000

$15,000

$20,000

$25,000

$30,000

2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032

CRC

($'0

00)

Year

Powell River - Projected Operating and Capital Expenditure (All Asset Categories)

Operations Maintenance Funded Capital Renewal Unfunded Renewal

Funded Capital Upgrade Unfunded Capital Upgrade Current Budget Life Cycle Budget Required

$0

$1,000,000

$2,000,000

$3,000,000

$4,000,000

$5,000,000

$6,000,000

$7,000,000

$8,000,000

$9,000,000

Water Fund Sewer Fund General Fund

Powell River - Life Cycle Budget and Costs by Fund (Annual)

Annual Current Budget Annual Life Cycle Costs

35.5% $644,245

45.5%$1,249,271

43.6%$2,663,862

$0

$2,000

$4,000

$6,000

$8,000

$10,000

$12,000

$14,000

$16,000

$10,673,650

$2,460.85

$3,991.97

$8,778.21

($'0

00)

Powell River Life Cycle Budget and Costs by Fund (Annual)

Annual Current Budget Water Fund Costs Sewer Fund Costs General Fund Costs

42.7% $4,557.38

Water Shortfall $644,245 Wastewater Shortfall

$699,750

Stormwater Shortfall $549,521

Marine Shortfall $164,799

Buildings Shortfall $1,313,900

Roads Shortfall $659,214

Airport Shortfall $240,955

Park & Site Shortfall $174,669

Equipment Shortfall $110,325 Equipment Budget

$1,511,750

Park & Site Budget $881,750

Airport Budget $295,050

Roads Budget $1,923,500

Buildings Budget $849,250

Marine Budget $653,050

Stormwater Budget $424,000

Wastewater Budget $2,318,700

Water Budget $1,816,600

Powell River - Life Cycle Budget and Shortfall by Asset Category (Annual)

}  Identify, understand and manage risk associated with operating, managing and maintaining city owned infrastructure.

}  Incorporate risk management in the budget decision making process.

}  Develop a risk management culture.

Baseline risk analysis and Residual risk following Mitigation Strategies

Risk Impact Matrix (per $1,000)

Implement an Asset Management Information System (AMIS)

}  Migrate data to the one repository }  Train staff to use AMIS software }  Train staff to use field devices to capture

and retrieve data

Complete the second iteration of AMPs

Presently, there is not a federal, provincial or municipal legislative requirement to complete asset management planning or strategies, although this may be a requirement in the near future. The planning and implementation of strategies is in the best interests of the citizens of Powell River and is therefore being adopted as a best practice management tool.