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Summary of the 2018 – 2022 Corporate Plan and 2018 Operating and Capital Budgets

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Summary of the 2018 – 2022 Corporate Plan and 2018 Operating and Capital Budgets p SUMMARY OF THE 2018 – 2022 CORPORATE PLAN AND 2018 OPERATING AND CAPITAL BUDGETS SUMMARY OF THE 2018-2022 CORPORATE PLAN / 1 Table of Contents EXECUTIVE SUMMARY ............................................................................................................................. 5 MANDATE ...................................................................................................................................... 14 CORPORATE MISSION, OBJECTIVES, PROFILE AND GOVERNANCE ................................................... 14 2.1 Corporate Objectives and Profile ............................................................................................ 14 2.2 Governance and Accountability .............................................................................................. 14 2.2.1 Board of Directors .......................................................................................................... 14 2.2.2 Travel Policy Guidelines and Reporting ........................................................................... 17 2.2.3 Audit Regime .................................................................................................................. 17 2.2.4 Office of the Auditor General: Special Examination Results ............................................. 17 2.2.5 Canada Transportation Act Review ................................................................................. 18 2.3 Overview of VIA Rail’s Business .............................................................................................. 18 2.3.1 VIA Rail Services ............................................................................................................. 19 2.3.2 VIA Rail’s 40th Anniversary .............................................................................................. 21 2.3.3 Military Support ............................................................................................................. 22 2.3.4 Assets Used to Support the Services ............................................................................... 22 THE BUSINESS ENVIRONMENT, STRATEGIC DIRECTION, RESULTS OVERVIEW ................................. 28 3.1 General .................................................................................................................................. 28 3.2 Passenger Rail examples and the Canadian context ................................................................ 29 3.2.1 Developments Outside of Canada ................................................................................... 29 3.2.2 The Canadian Context: Dedicated High Frequency Passenger Rail ................................... 29 3.3 Corridor ................................................................................................................................. 30 3.3.1 Financial Performance – 2013 to 2017 ............................................................................ 30 3.3.2 Business Environment, Threats and Opportunities, and Strategy .................................... 31 3.3.3 Corridor Strategy ............................................................................................................ 34 3.4 Long-Haul and Regional .......................................................................................................... 39 3.4.1 The Canadian .................................................................................................................. 40 3.4.2 The Ocean ...................................................................................................................... 44 3.4.3 Regional services ............................................................................................................ 45 3.4.4 Strategic Direction .......................................................................................................... 45 3.5 Other Revenues and Expenses................................................................................................ 48 SUMMARY OF THE 2018-2022 CORPORATE PLAN / 2 3.5.1 Semi-Variable and Fixed Revenues and Expenses............................................................ 48 3.5.2 Capital Expenditures ....................................................................................................... 48 3.6 Vision 2020 and Destination 2025 .......................................................................................... 50 OVERVIEW OF THE 2018-2022 OPERATING PLAN ........................................................................... 53 4.1 Revenues ............................................................................................................................... 53 4.2 Operating Expenses................................................................................................................ 54 4.3 Capital Expenditures .............................................................................................................. 54 4.4 New Federal Government Infrastructure Investments ............................................................ 55 4.5 New Grade Crossings Regulations .......................................................................................... 55 4.6 Additional Requirements for 2018 to 2022 ............................................................................. 55 4.6.1 Ongoing Capital .............................................................................................................. 56 4.6.2 Station Renewal ............................................................................................................. 56 4.6.3 Infrastructure Investments ............................................................................................. 56 HUMAN RESOURCES ...................................................................................................................... 58 5.1 Workforce .............................................................................................................................. 58 5.1.1 Inclusion and Diversity .................................................................................................... 58 5.1.2 Employment of Veterans and Reservists ......................................................................... 58 5.1.3 Apprenticeship Program ................................................................................................. 59 5.2 Labour relations and collective agreements ........................................................................... 59 5.2.1 Unifor (formerly CAW) .................................................................................................... 59 5.2.2 Teamsters Canada Rail Conference (TCRC) ...................................................................... 59 5.3 Compensation ........................................................................................................................ 59 5.4 Alignment with Government of Canada Pension Plans ........................................................... 60 5.5 Employee Engagement ........................................................................................................... 60 5.6 Succession planning ............................................................................................................... 61 FLEET CONDITION AND RENEWAL .................................................................................................. 62 6.1 Fleet Condition....................................................................................................................... 62 6.2 Corridor Fleet Renewal, Implementation, and Reporting ........................................................ 62 HIGH FREQUENCY RAIL .................................................................................................................. 63 7.1 Recommendations and Next Steps ......................................................................................... 64 CORPORATE SECURITY STRATEGY .................................................................................................. 65 ENTERPRISE RISK MANAGEMENT ................................................................................................... 66 SUMMARY OF THE 2018-2022 CORPORATE PLAN / 3 9.1 Safety of Passengers, Employees and the Public ..................................................................... 66 9.2 Employee Contribution .......................................................................................................... 66 9.3 Government and Strategy ...................................................................................................... 67 9.4 Operating Funding ................................................................................................................. 67 9.5 Funding of Pension Plan Liabilities .......................................................................................... 67 9.6 Capital Funding ...................................................................................................................... 67 9.7 Revenue Generation .............................................................................................................. 68 9.8 Infrastructure Availability, Reliability and Quality ................................................................... 68 9.9 Equipment Availability, Reliability and Quality ........................................................................ 68 9.10 Information Technology ........................................................................................................
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