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Summary Business Cases for Proposed Capital Investments

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Summary Business Cases for Proposed Capital Investments C2018-1158 Attachment 10 Summary Business Cases for Proposed Capital Investments C2018-1158 Attachment 10 1 of 284 ISC: UNRESTRICTED C2018-1158 Attachment 10 How to Read Guide Purpose of Summaries To support Council in their review and consideration of 2019-2022 One Calgary Service Plans and Budgets. The purpose of these summaries is to: • Support service pages (primary source of information) • Provide additional details or clarification on the proposed investment Further details are available from the Service Owner should additional information be required. Organization of Summaries • Categorized by Citizen Priority, then Service • Activity Numbers and Project Identifiers (PIDs) are provided in each summary. This helps connect business case summaries to the service pages. • Please note that in some cases, multiple PIDs align to the same Activity Number. How to Read the Summaries The Summary Business Cases are comprised of four sections which provide additional context to the content in the Service Plans and Budgets and the Supplemental information. Many of the fields are self-explanatory, but where additional context, definitions or explanations are useful, they are provided below. Section 1 – Business case name / Title and Executive summary • Executive Summary: Provides a brief description of the project, program or annual investment program (AIP). This expands on the Project Description explanation of the requests provided in the service pages. For further information please contact the Service Owner. Section 2 – Service, organization, location and strategic alignment details • Service: Indicates which of the 61 services this investment is assigned to • Project Identifier (PID): Provides Administration with a unique identifier for tracking capital investments, linking across organizational units and systems. Assists in ongoing reporting. • Service Type: refers to whether the proposed investment is categorized as essential, current or enhanced according to the corporate prioritization criteria. Essential: investments that address legal, regulatory, health and safety requirements necessary to meet The City’s legal obligations, maintain the delivery of critical services, address critical assets or reduce the cost of service delivery. C2018-1158 Attachment 10 2 of 284 ISC: UNRESTRICTED C2018-1158 Attachment 10 Current: investments that maintain a level of service at existing levels. Enhanced: investments that provide an increase in the level of service of an existing service or introduce a new service. • Investment Category: refers to whether the proposed investment is a project, program or annual investment program (AIP). The new budget requests are aligned to these categories on the service pages. AIP: A recurring capital program focused on maintaining or upgrading current, in- service assets or for ongoing purchases of similar assets. Program: A program is a grouping of capital projects that are related and benefit from being planned and managed together. Project: A project is a capital investment that is planned, delivered and evaluated on its own merit and has a well-defined scope, cost and schedule resulting in new or substantially improved assets. • Capital Investment Plan Alignment: Indicates which area of the plan this investment aligns to (C2017-0214). • Capital Infrastructure Investment Principles: Indicates the investments primary alignment. Note: Document title has since been updated to reflect Council direction (C2018-0304). • City Resiliency Framework Dimension & Driver: Indicates which area of the framework this investment aligns to. Section 3 – Financial and Economic Impact Please note that the four indicators below were not used to prioritize capital investments but are offered as additional information about the impact of the investments. • Recommended Funding Allocation: Displayed in $s. • Funding Status: Identifies whether investment is a “For Approval” and therefore included in the proposed 2019-2022 One Calgary capital budget, or a “For Information” potential investment which is not recommended for the 2019-2022 cycle. • Operating Impact of Capital: Identified whether recommended capital investments require operating budget. Field is a Yes / No. For additional information please contact the Service Owner. • Economic Impacts of 2019-2022 Recommended Funding: Four key economic indicators were identified to determine the economic impacts of the recommended capital investments: Gross Output: Gross output of an industry is the total market value of the goods and services produced in an industry. It reflects total sales and other operating C2018-1158 Attachment 10 3 of 284 ISC: UNRESTRICTED C2018-1158 Attachment 10 income for all industry participants. As a result, it includes double counting because the output of some firms are inputs of others. Displayed in dollars. Gross domestic product (GDP): This is a measure of the value of all goods and services produced in the economy by eliminating double counting. It is the broadest measure of economic progress. Displayed in dollars. Income: This is a subset of the value added measured by GDP. This measure includes, wages and salaries, Mixed Income (Sole proprietorship and partnership), and Supplementary Income. It reflects income from participation as laborers in production, from owning a home or business, from the ownership of financial assets, and from government and business in the form of transfers. Displayed in dollars. Employment: This is the number of jobs created by the investment activity. It measures impact in person-years. A value of 125 person-years of employment implies that 125 jobs are created in one year if all the investment is made in that year. If the investments take longer, then the creation of jobs will be distributed across that time in years. Displayed in person-years. • MUGS: Provides a method, consistent with the 2015-2018 Action Plan, for classifying investment types to Council. The 2019-2023+ capital budget has been classified according to the following definitions. Displayed in percentages: Capital maintenance/replacement (M) – Rehabilitation of existing infrastructure due to obsolescence, safety concerns, age, or condition of the infrastructure. Capital upgrade (U) – Improvement of existing infrastructure with new assets that constitute improved functionality, reliability or compatibility. These changes are driven by legislation, technological innovations, changing public needs and expectations, change in the environment or changes in potential risk. Capital growth (G) – Development of infrastructure to service Calgary’s growth, in both population and area, demographic changes, and economic expansion (not specific or exclusive to new and actively developing communities). It includes “downstream” projects such as transportation improvements that are necessitated primarily by growth at the periphery of the city. Capital service change (S) – New infrastructure associated with a Council decision to provide a new or expanded level of service. This is driven primarily by changing public expectations or legislation. Section 4 - Benefits • Triple Bottom Line: Social, Environmental, Economic: Identifies benefits the Triple Bottom Line Policy (LUP003, EM003, CS003) C2018-1158 Attachment 10 4 of 284 ISC: UNRESTRICTED C2018-1158 Attachment 10 • Expected Key Benefits: Summarizes anticipated benefits from this capital investment. C2018-1158 Attachment 10 5 of 284 ISC: UNRESTRICTED C2018-1158 Attachment 10 A City of Safe & InspiringA City of Safe Neighbourhoods A City of Safe & InspiringA City of Safe Neighbourhoods A City That Moves That A City C2018-1158 Attachment 10 6 of 284 ISC: UNRESTRICTED C2018-1158 Attachment 10 Building Safety A City of Safe & InspiringA City of Safe Neighbourhoods A City That Moves That A City C2018-1158 Attachment 10 7 of 284 ISC: UNRESTRICTED C2018-1158 Attachment 10 Business Technology Sustainment Executive Summary This program supports the ongoing investment in customer facing technologies and the continuous improvement of business processes and data management. This program ensures that Planning &Development (PD) continues to meet customer, community and citizen expectations regarding responsiveness, quality, and convenience of PD services. Document Date 2018/09/11 Service Building Safety Sector Affected Internal / The City of Calgary Activity # 470140 Ward(s) All Wards Project Identifier (PID) 3000551 Citizen Priority A City of Safe & Inspiring Neighborhoods Business Unit CALGARY BUILDING Capital Investment Plan Alignment Other.Other SERVICES Department PLANNING AND City Resilience Framework Dimension Leadership and Strategy DEVELOPMENT Service Type Essential City Resilience Framework Driver Fosters long-term & integrated Planning Investment Category Annual Investment Program- Capital Infrastructure Investment Principles Support the delivery of City of Calgary A recurring program focused services at approved service levels on maintaining or upgrading current in-service assets or for ongoing purchases of similar assets Total 2019 2020 2021 2022 2023+ Recommended Funding Allocation ($) 23,000,000 3,000,000 4,000,000 8,000,000 8,000,000 0 Funding Status For Approval Operating Impact Of Capital No Economic Impacts of 2019-2022 Gross Output Gross Domestic Product Income Employment Recommended Funding ($) ($) ($) (Person-Years) 31,445,546 20,067,551 14,681,915 159 MUGS Maintenance Upgrade Growth New Services 0% 100% 0% 0% Triple Bottom Line – Social This program supports safe and resilient communities through enhancements
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