2019 Financial Information Act Filing and Remuneration Report
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2019 Financial Information Act Filing and Remuneration Report 2019 Financial Information Act Filing 2019 Operating Company Remuneration 2019 Executive Compensation June 2020 2019 Financial Information Act Filing and Remuneration Report Table of Contents 1.0 Purpose of Report ................................................................................................... 4 Full disclosure ................................................................................................... 4 2.0 Background ............................................................................................................. 4 3.0 TransLink’s Financial Information Act Filing ........................................................ 6 Statement of Financial Information Approval .................................................... 6 3.1 South Coast British Columbia Transportation Authority ..................................... 7 Management Report ......................................................................................... 7 Schedule of Debt .............................................................................................. 8 Schedule of Guarantee and Indemnity Agreements ....................................... 10 Schedule of Remuneration and Expenses ...................................................... 11 Reconciliation of Salaries ............................................................................... 12 Schedule of Remuneration and Expenses ...................................................... 13 Statement of Board of Directors Fees and Expenses ..................................... 26 Statement of Mayors’ Council Fees and Expenses ........................................ 27 Statement of Severance Agreements ............................................................. 29 Statement of Aggregate Amounts Paid for Supply.......................................... 30 4.0 Operating Company Remuneration ..................................................................... 44 4.1 British Columbia Rapid Transit Company Ltd. ................................................... 44 Schedule of Remuneration and Expenses ...................................................... 44 Statement of Board of Directors Fees and Expenses ..................................... 64 Statement of Severance Agreements ............................................................. 65 Statement of Aggregate Amounts Paid for Supply.......................................... 66 4.2 Coast Mountain Bus Company Ltd. ..................................................................... 73 Schedule of Remuneration and Expenses ...................................................... 73 Statement of Board of Directors Fees and Expenses ................................... 123 2 2019 Financial Information Act Filing and Remuneration Report Statement of Severance Agreements ........................................................... 124 Statement of Aggregate Amounts Paid for Supply........................................ 125 4.3 TransLink Security Management Ltd. ................................................................ 132 Schedule of Remuneration and Expenses .................................................... 132 Statement of Board of Directors Fees and Expenses ................................... 137 Statement of Severance Agreements ........................................................... 138 Statement of Aggregate Amounts Paid for Supply........................................ 139 4.4 West Coast Express Ltd. .................................................................................... 140 Schedule of Remuneration and Expenses .................................................... 140 Statement of Board of Directors Fees and Expenses ................................... 141 Statement of Severance Agreements ........................................................... 142 Statement of Aggregate Amounts Paid for Supply........................................ 143 5.0 Executive Compensation .................................................................................... 144 Executive Compensation .............................................................................. 144 3 2019 Financial Information Act Filing and Remuneration Report 1.0 Purpose of Report This report contains three key areas for the 2019 fiscal year: 1. TransLink’s Financial Information Act (FIA) filing. 2. The remuneration reports for TransLink’s subsidiaries/operating companies, listing the gross earnings for every employee earning more than $75,000 per year. 3. TransLink’s statement of executive compensation. Full disclosure The FIA filing lists the gross earnings attributable to base salary, incentive or variable pay programs and taxable benefits for every eligible employee earning more than $75,000 per year. It does not provide the full picture with respect to total executive compensation because it does not include the value of pension benefits and other non-taxable benefits consistent with definitions within FIA. Although the FIA does not require TransLink to provide executive compensation or remuneration reports for TransLink’s subsidiaries/operating companies, we prepare this information and voluntarily post it as part of our commitment to transparency. 2.0 Background The South Coast British Columbia Transportation Authority (TransLink) is Metro Vancouver’s regional transportation authority. TransLink is governed by an independent board of directors. A full description of governance, along with other information on financial and operating results, can be found in TransLink's Annual Report. As described in the South Coast British Columbia Transportation Authority Act, TransLink is responsible for planning, financing, and managing public transit, as well as the Major Roads Network and other transportation modes within the Metro Vancouver region. Significant components of public transit are the delivery of rail and bus services through BC Rapid Transit Company Ltd. and Coast Mountain Bus Company Ltd. TransLink manages a total asset portfolio valued at $11 billion1, which includes buses, trains, stations, track, bridges, facilities, structures, and systems. In addition, we provide funding to municipalities for the upkeep of, and improvements to, the Major Road Network. We are the only transportation authority in Canada that directly finances through the capital markets. 1 Includes $3.4 billion of assets which TransLink manages and are leased from the Province of B.C. 4 2019 Financial Information Act Filing and Remuneration Report With more than 7,900 employees, TransLink is one of the largest employers in British Columbia, and in 2019, the editors of Canada’s Top 100 Employers named TransLink and our operating companies as one of Canada’s Greenest Employers. The following chart shows the relationship between TransLink and its subsidiaries/operating companies in 2019. Mayors' Council on Regional TransLink Board of Transportation Directors South Coast British Columbia Transportation Authority (TransLink) British Columbia Transit Security Coast Mountain Rapid Transit Management Ltd. Bus Company Company Ltd. (Transit Police) (SkyTrain) West Coast Express Ltd. 5 2019 Financial Information Act Filing and Remuneration Report 3.0 TransLink’s Financial Information Act Filing South Coast British Columbia Transportation Authority Statement of Financial Information Approval For the year ended December 31, 2019 The undersigned represents the Board of Directors of the South Coast British Columbia Transportation Authority and approves all the statements and schedules included in this Statement of Financial Information, produced under the Financial Information Act. Original signed by Tony Gugliotta, Board Chair June 8, 2020 6 2019 Financial Information Act Filing and Remuneration Report 3.1 South Coast British Columbia Transportation Authority Management Report For the year ended December 31, 2019 The consolidated financial statements contained in this Financial Information Act report have been prepared by management in accordance with Canadian public sector accounting standards, and the integrity and objectivity of these statements are management's responsibility. Management is also responsible for all the statements and schedules, and for ensuring that this information is consistent with the information contained in the consolidated financial statements. Management is responsible for implementing and maintaining a system of internal controls to provide reasonable assurance that assets are safeguarded, transactions are properly authorized and recorded. The system includes written policies and procedures, an organizational structure that segregates duties and a comprehensive program of periodic audits by the internal auditors, who independently review and evaluate these controls. We continually monitor these internal accounting controls, modifying and improving them as business conditions and operations change. We recognize the inherent limitations in all control systems and believe our systems provide an appropriate balance between costs and benefits while providing reasonable assurance that those errors or irregularities that would be material to the consolidated financial statements are prevented or detected in the normal course of business. The Board of Directors is responsible for ensuring that management fulfils its responsibilities for financial reporting and internal control and exercises this responsibility through the Finance and Audit Committee of the