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City of Winnipeg 2019 Preliminary Budget

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City of Winnipeg 2019 Preliminary Budget 2019 Preliminary Budget OPERATING AND CAPITAL Volume 2 City of Winnipeg 2019 Preliminary Budget Operating and Capital Volume 2 WINNIPEG, MANITOBA, CANADA The City of Winnipeg Winnipeg, Manitoba R3B 1B9 Telephone Number: 311 Toll Free : 1-877-311-4WPG(4974) www.winnipeg.ca Government Finance Officers Association of the United States and Canada (GFOA) presented a Distinguished Budget Presentation Award to City of Winnipeg, Manitoba, for its Annual Budget for the fiscal year beginning January 1, 2018. In order to receive this award, a governmental unit must publish a budget document that meets program criteria as a policy document, as a financial plan, as an operations guide and as a communications device. This award is valid for a period of one year only. We believe our current budget continues to conform to program requirements, and we are submitting it to GFOA to determine its eligibility for another award. i ii City of Winnipeg Council Mayor Brian Bowman Matt Allard Jeff Browaty Markus Chambers Ross Eadie Scott Gillingham ST. BONIFACE NORTH KILDONAN ST. NORBERT - MYNARSKI ST. JAMES Acting Deputy Mayor SEINE RIVER Deputy Mayor Cindy Gilroy Kevin Klein Janice Lukes Brian Mayes Shawn Nason DANIEL MCINTYRE CHARLESWOOD - WAVERLEY WEST ST. VITAL TRANSCONA TUXEDO - WESTWOOD John Orlikow Sherri Rollins Vivian Santos Jason Schreyer Devi Sharma RIVER HEIGHTS - FORT ROUGE - POINT DOUGLAS ELMWOOD - EAST OLD KILDONAN FORT GARRY EAST FORT GARRY KILDONAN iii City of Winnipeg Organization APPENDIX “A” to By-law No. 7100/97 amended 143/2008; 22/2011; 48/2011; 139/2014; 106/2015 City Electorate City Council Governance Committee of Council Executive Policy Committee CAO City Clerk* CFO* City Auditor* Standing Policy Standing Policy Standing Policy Standing Policy Standing Policy Standing Policy Committee on Committee on Committee on Committee on Committee on Committee on Finance Infrastructure Protection, Innovation Property and Water and Waste, Renewal and Community Development, Riverbank Public Works Services and Heritage and Management and Parks Downtown the Environment Development • Additional • Engineering Services • Animal Control • Annual reports of SSUs • Asset Management • Engineering Services Appropriations • Fleet Management • By-Law Enforcement • Business plans of SSUs • Acquisition of Buildings • Environmental Matters • Public Works • Cultural Services • Idea Bank Reserve • Building Inspections • Riverbank Management Maintenance • Disaster Planning • Feasibility studies re. • Civic Buildings • Solid Waste • Traffic Control • Fire and Paramedic SSUs • Development Control • Water, Wastewater and • Transit Services • Downtown Land Drainage Services • Transportation • Harbour Master Development Planning • Libraries • Facility Maintenance • Museums • Heritage Matters • Parks Planning • Housing Policy • Parks and Open Spaces • Land Acquisition • Public Health • Land Development • Recreation & Parks • Planning & Land Use • Programming and • Transportation Services Planning • Vacant and Derelict Buildings * CFO, City Auditor and City Clerk have statutory reporting relationships to City Council iv Table of Contents 2019 Letter from the Mayor and Chairperson of the Standing Policy Committee on Finance ...... 1 Budget Recommendations .......................................................................................................... 11 Overview ................................................................................................................... Section One Reader’s Guide .................................................................................................................... 1-1 2019 Preliminary Budget at a Glance .................................................................................. 1-2 Basis of Budgeting ............................................................................................................... 1-3 Budget Process .................................................................................................................... 1-6 2019 Budget Presentation .................................................................................................... 1-9 Service Based Budget ............................................................................................. Section Two Financial Summary .............................................................................................................. 2-1 Infrastructure Renewal and Public Works ............................................................................ 2-3 Water and Waste, Riverbank Management and the Environment ..................................... 2-19 Property and Development, Heritage and Downtown Development .................................. 2-37 Protection, Community Services and Parks / Winnipeg Police Board ............................... 2-59 Innovation........................................................................................................................... 2-97 Executive Policy ............................................................................................................... 2-109 Appendices ............................................................................................................ Section Three Appendix 1 – Traditional View Financial Summary .............................................................. 3-1 Tax Supported ............................................................................................... 3-3 Utility Operations .......................................................................................... 3-12 Special Operating Agencies ......................................................................... 3-18 Appendix 2 – Listings of Grants/Payments ........................................................................ 3-23 Appendix 3 – Reserves Budget Summary ......................................................................... 3-31 Appendix 4 - Tax Supported Transfers from Other Funds ................................................. 3-33 Appendix 5 - Operating Budget Reconciliations 5A. Transfer to Capital Reconciliation ................................................................ 3-35 5B. Variances Net of Transfer to Capital / Regional and Local Street Renewal Reserves/Frontage Levy ............................................................... 3-36 5C. Operating Budget Net of Transfer to Capital / Regional and Local Street Renewal Reserves / Frontage Levy ............................................................. 3-37 5D. Cash to Capital Surpluses – 2018 Capital Closing Review ......................... 3-38 Appendix 6 – Summary of Building Communities II Surplus by Ward ............................... 3-41 Table of Contents (continued) Appendix 7 – Fees & Charges Schedule ........................................................................... 3-43 Appendix 8 – Asset Management and Capital Recoveries ................................................ 3-45 Appendix 9 – 2018 Consolidated Budget ........................................................................... 3-47 Appendix 10 – Capital Projects Summary .......................................................................... 3-51 Appendix 11 – Services by Policy Area ............................................................................. 3-83 Appendix 12 – Glossary ..................................................................................................... 3-85 2019 LETfER FROM THE MAYOR AND CHAIRPERSON OF THE STANDING POLICY COMMITTEE ON FINANCE Introduction We are very pleased to table the 2019 preliminary capital and operating budgets. Key priorities of the 2019 preliminary budgets include investments in transit, roads, innovation, and combined sewer overflow mitigation, maintaining front line services, reducing the water and sewer dividend rate while keeping taxes and fees affordable for Winnipeggers. At the start of this year’s budget process, we were facing a deficit of almost $86 million in our tax-supported operating budget. In the short time since the municipal election in October, we have worked with residents, stakeholder groups, and members of our new Council to present for Council’s consideration preliminary capital and operating budgets that are balanced from a fiscal and city building perspective. Balancing this year’s budgets required many difficult choices and decisions. Compounding the challenge this year was the ongoing uncertainty regarding the provincial government’s funding support to the City for 2019 and beyond as well as provincial funding commitments from prior fiscal years that remain outstanding. We fully support the provincial government’s efforts to eliminate its budget deficit, but we do not believe that this objective should be achieved on the backs of Winnipeg property taxpayers. Therefore, we will continue to seek clarity from the provincial government on its funding intentions for Winnipeg for prior years, the current year, and future fiscal years. The funding clarity we seek for future fiscal years is no different than the advanced funding notice that the provincial government provides school divisions or receives from the federal government prior to tabling the annual provincial budget. Notwithstanding these significant challenges, we believe that the 2019 preliminary budgets present a balanced and responsible blueprint, a plan that keeps property taxes affordable while maintaining and investing in key infrastructure, services, and technology that are important to Winnipeggers
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