Item - 2022.BU37.1

The Budget Committee:

1.  Deferred consideration of item BU37.1 to the January 28, 2022 meeting of the Budget Committee.

2.  Requested budget briefing notes as follows:

City Manager's Office

The City Manager on:

1. In consultation with the Chief Financial Officer and Treasurer, the contingency plan in the event that the remaining $1.4 billion in required COVID-19 relief funding is not received from the Provincial and / or Federal governments, including:

a. the impact on the City’s capital plan;

b. the resulting economic impact to the City, regional, and national economy, including impact on jobs; and

c. ramifications for the City’s 2023 budget, if there are projected continuing COVID-19 financial impacts beyond 2022.

2. The sources of the $494 million in offsets.

3. The total number of Full-Time Equivalent positions currently in the City of Toronto.

4. The total number of Full-Time Equivalent positions currently filled.

5. The total number of vacant Full-Time Equivalent positions.

6. The total number of positions currently being filled temporarily (i.e. acting director, acting manager, etc.), but not due to the pandemic response.

Environment and Energy

The Executive Director, Environment and Energy on:

7. Implementation of Net Zero strategy, including:

a. Energy and Environment's Full-Time Equivalent complement for 2022, including filled and vacant positions; and

b. Energy and Environment's work plan for 2022, including reports that will be coming to City Council and its Committees.

8. The funding for Net Zero short-term actions including:

a. a summary of information regarding costs of short-term implementation plan across all 20 divisions (for 2022, and 2022 through 2025);

b. how the budget been modified to reflect the increased ambition of the new Net Zero by 2040 short-term Strategy;

c. what year of the plan are we in, as compared to the financial models in the Net Zero Strategy Technical Report;

d. details of discount rates in Net Zero project planning across the City’s corporate financial models and plans, including accounting, asset management, and investments; and

e. detailing, in consultation with Toronto Transit Commission, what improvements in public transit are necessary by 2030 to meet the net zero 2040 target and what investments are needed in the 2022-2030 capital budget to achieve the current net zero 2040 plan, 1,000 more buses, 6 new garages, 40 additional, new yard, 3 minute subway headway.

Municipal Licensing and Standards

The Executive Director, Municipal Licensing and Standards on:

9. The breakdown of the current number of staff in non-generalized enforcement units, and the budgeted staffing increases for those units (such as costs, number of staff, and timing of hiring).

10. Performance indicators for RentSafeTO specifically including how many calls are received, how quickly they are responded to, how quickly a file is resolved, and how many charges and / or orders to comply have been issued.

Office of the Chief Financial Officer and Treasurer

The Chief Financial Officer and Treasurer on:

11. In consultation with the General Manager, Shelter, Support and Housing Administration, the Executive Director, Housing Secretariat, and the Chief Executive Officer, Toronto Community Housing Corporation:

a. providing a comparison of those three divisions and agencies’ 2015 operating budgets (gross and net) versus their proposed 2022 operating budgets, as well as detailing:

1. the breakdown of funding sources as between the City, Provincial, and Federal governments; and

2. list of key initiatives introduced within that time span; and

b. providing a comparison of those three divisions and agencies’ 10-year capital plans for 2015-2024 versus their proposed 2022-2031 capital plans, as well as detailing:

1. the breakdown of funding sources as between the City, Provincial, and Federal governments; and

2. a list of the key capital investments and initiatives covered within those capital plans.

Parks, Forestry and Recreation

The General Manager, Parks, Forestry and Recreation on:

12. Indoor and outdoor recreational capital investments for ice skating and cricket.

13. Implementation of the Ravine Strategy, including:

a. proposed 2022 operational funding for invasive species and litter removal, as well as student internships;

b. proposed 2022 capital investments, including intergovernmental support; and

c. additional intergovernmental funding required in the next 5 years.

Seniors Services and Long-Term Care

The General Manager, Seniors Services and Long-Term Care on:

14. The City’s proposed approach to emotion-centred care and associated costs.

15. A breakdown of which level of government funds each component of the compensation for a Full-Time Equivalent in Long Term Care, including any differences in the formula between base (existing) positions and the new positions to support the new emotion-centred care.

Shelter, Support and Housing Administration

The General Manager, Shelter, Support and Housing Administration on:

16. The current allocation in their budget to continue provided free menstrual products for service users in City-funded shelters, 24-hour respite sites and 24-hour drop-ins, and what the cost to extend that service to non-city run shelters, and include incontinence supplies would be.

Social Development, Finance and Administration

The Executive Director, Social Development, Finance and Administration on:

17. Social Development, Finance and Administration’s funding levels since 2015 (and including the 2022 proposed budget), and charting Social Development, Finance and Administration’s share of the total City budget throughout that time period.

18. A listing of key new Social Development, Finance and Administration initiatives introduced since 2015, with a brief explanation of each one.

Transit Expansion

The Executive Director, Transit Expansion on

19. Funding for the Eglinton East LRT including:

a. City of Toronto allocated planning and capital funds;

b. intergovernmental funding, including remaining Public Transit Infrastructure Fund availability; and

c. Full-Time Equivalents working on the projects.

Transportation Services

The General Manager, Transportation Services on:

20. Progress made in 2021 towards Vision Zero.

21. All investments (operating, capital) proposed in the 2022 budget for Vision Zero.

January 18, 2022

The Deputy City Manager, Community and Social Services gave a presentation on the Staff Recommended 2022 Operating Budget and 2022-2031 Capital Budget and Plan for the Community and Social Services Group.

The Medical Officer of Health gave a presentation on the Staff Recommended 2022 Operating Budget and 2022-2031 Capital Budget and Plan for Toronto Public Health.

The President and Chief Executive Officer, Toronto Community Housing Corporation gave a presentation on the Staff Recommended 2022 Operating Budget and 2022-2031 Capital Budget and Plan for the Toronto Community Housing Corporation.

January 19, 2022

The Deputy City Manager, Infrastructure and Development Services gave a presentation on the Staff Recommended 2022 Operating Budget and 2022-2031 Capital Budget and Plan for the Infrastructure and Development Services Group.

The City Librarian gave a presentation on the Staff Recommended 2022 Operating Budget and 2022-2031 Capital Budget and Plan for Toronto Public Library.

The Chief Financial Officer, Toronto Transit Commission gave a presentation on the Staff Recommended  2022 Operating Budget and 2022-2031 Capital Budget and Plan for the Toronto Transit Commission.

The Chief, Toronto Police Service gave a presentation on the Staff Recommended 2022 Operating Budget and 2022-2031 Capital Budget and Plan for the Toronto Police Service.

January 20, 2022

The Deputy City Manager, Corporate Services gave a presentation on the Staff Recommended 2022 Operating Budget and 2022-2031 Capital Budget and Plan for the Corporate Services Group.

The Budget Committee will consider and make recommendations to the Executive Committee on the 2022 Capital and Operating Budgets.

The following schedule has been established for the consideration of the 2022 Staff Recommended Capital and Operating Budgets:

Tuesday, January 18, 2022

Service Group Presentation:

Community and Social Services:

Children's Services
Economic Development and Culture
Housing Secretariat
Toronto Employment and Social Services
Toronto Paramedic Services  
Parks, Forestry and Recreation

Shelter, Support and Housing Administration
Court Services
Seniors Services and Long Term Care
Social Development, Finance and Administration

Agencies:

Toronto Public Health
Toronto Community Housing Corporation 

Questions and answers only - no presentations:

Accountability Officers:

Office of the Auditor General

Office of the Integrity Commissioner

Office of the Lobbyist Registrar

Ombudsman Toronto

Wednesday, January 19, 2022

Service Group Presentation:

Infrastructure and Development Services:

City Planning
Municipal Licensing and Standards
Toronto Fire Services
Transportation Services
Engineering and Construction Services
Office of Emergency Management
Policy Planning, Finance and Administration
Toronto Building
Transit Expansion
Waterfront Revitalization Initiative

Agencies:

Toronto Transit Commission  

Toronto Police Service

Toronto Public Library

Questions and answers only - no presentations:

Agencies:

Toronto Police Services Board  
Toronto Police Services Parking Enforcement Unit  
Arena Boards of Management  
Association of Community Centres   
Exhibition Place  
Heritage Toronto  
TO Live  
Toronto Atmospheric Fund  
Toronto and Region Conservation Authority  
Toronto Zoo  
Yonge-Dundas Square

Thursday, January 20, 2022

Service Group Presentation:

Corporate Services:

311 Toronto
Corporate Real Estate Management
Environment and Energy
Fleet Services
Office of the Chief Information Security Officer  
Technology Services

Questions and answers only - no presentations:

Agencies:

CreateTO

Finance and Treasury Services:  
Office of the Chief Financial Officer and Treasurer  
Office of the Controller  

Other:

City Manager's Office  
Legal Services  
City Clerk's Office  
City Council  
Office of the Mayor  

At its meeting on October 25, 2021, the Board of Health considered Item HL31.4 and made recommendations to the Budget Committee.

Summary from the report (October 12, 2021) from the Medical Officer of Health

This report outlines the Toronto Public Health 2022 Operating Budget Submission for consideration by the Board of Health. Toronto Public Health's 2022 Operating Budget Submission totals $362,678.1 thousand gross, $128,753.0 thousand net and 2,736.7 positions.

This submission is $17,933.9 thousand gross, $4,361.6 thousand net and 324.1 positions higher than the 2021 Operating Budget as approved by City Council on February 18, 2021 (referred to as "Toronto Public Health 2021 Council Approved Operating Budget" for the purpose of this report).

The 2022 Operating Budget Submission includes in-year changes, base changes, and service enhancements pending City Council approval as detailed in the recommendations included in this report.

At its meeting on October 25, 2021, the Board of Health considered Item HL31.5 and made recommendations to the Budget Committee.

Summary from the report (October 12, 2021) from the Medical Officer of Health

This report provides an overview of Toronto Public Health's 2022 Capital Budget and 2023-2031 Plan Submission.

Toronto Public Health is recommending a 2022-2031 Capital Budget and Plan of $32.200 million, including a 2022 Capital Budget of $6.931 million with future year commitments of $2.523 million and future year estimates of $22.746 million. The 10 Year Capital Budget and Plan Submission will provide funding for eighteen projects.

At its meeting on November 2, 2021, the Audit Committee considered Item AU10.2 and made recommendations to the Budget Committee.

Summary from the report (October 19, 2021) from the Auditor General

The attached report provides information supporting the Auditor General's 2022 Operating

Budget request of $7.658 million. This includes $675,000 to restore the Auditor General's budget to pre-pandemic (2020) levels and an additional $325,000 in temporary funding for a pandemic related audit requested by City Management. The Auditor General's budget request reflects funding needed to help address some of the following:

- responding to an expanded mandate and inflow of requests for audits;

- providing valuable independent oversight of critical systems to ensure the City is well-positioned to detect, mitigate, and respond to IT and cybersecurity risks;

- conducting investigations on serious, time-sensitive issues;

- undertaking the City-wide COVID-19 Continuous Improvement Audit.

In light of funding issues brought on by the pandemic, the Auditor General worked on delivering a larger mandate within a reduced 2021 budget. While she and her dedicated staff accomplished important work on this expanded mandate in 2021, some of that work carries on and more issues are being identified, so support is needed to meet critical emerging issues, in addition to working on projects in this expanded mandate. The Auditor General is requesting a return to her 2020 budget level by adding back $675,000 to her budget.

The Auditor General is also considering an audit that stems from a special request from the City Manager, the Fire Chief and General Manager of Emergency Management and COVID-19 Incident Commander, and the Medical Officer of Health. They have requested an audit of how the City performed during the pandemic, with a goal of also identifying how to be better prepared in the future. Should City Council support this request, the Auditor General would need additional temporary funding of $325,000 to conduct this work. This amount is already included in the Auditor General's 2022 budget request.

The Auditor General's Office provides City Council with an independent assessment of the safeguarding of public funds and whether the City is achieving value for money in operations by conducting performance, cybersecurity, financial, operational and compliance audits and reviews, and forensic investigations of City divisions and certain City agencies and corporations. As reported in her past Annual Reports, the Auditor General continues to demonstrate her value to City Council through the net positive return on quantifiable and non-quantifiable benefits to the City.

The Auditor General's 2022 Work Plan is being presented to the Audit Committee at the

same meeting as her 2022 Operating Budget. The 2022 budget request supports 11 in-progress and ongoing projects that will be completed in 2022, and five new projects to commence in late 2021 or 2022. City Council's support to restore the Auditor General's budget to pre-pandemic (2020) levels and provide additional temporary funding for an audit of the City's COVID-19 response, helps to address the 2022 Work Plan, including the requested audit of the City's COVID-19 response, as well as commence projects in the following areas:

- cybersecurity assessment of a critical system – possibly the 911 system;

- Information Technology - Enterprise Work Management System;

- additional investigations related to allegations of fraud or other wrongdoing.

This report transmits to Budget Committee the Ombudsman's recommendation for Ombudsman Toronto's 2022 Operating Budget and Ombudsman Toronto's 2022-2031 Capital Plan.

This report transmits to Budget Committee the recommended 2022 Operating Budget for the Office of the Integrity Commissioner (the "Office).

This report seeks Budget Committee's recommendation for City Council to approve the Toronto Lobbyist Registrar's 2022 Operating Budget Request of $1.257 million gross and net, and its 2023-2031 Capital Plan.

At its meeting on Monday, December 20, 2021, the Toronto Transit Commission Board considered the attached report entitled “Toronto Transit Commission 15-Year Capital Investment Plan, Real Estate Investment Plan and 2022 – 2031 Capital Budget and Plan”.

The Board adopted the recommendations in the staff report, as follows:

It is recommended that the Toronto Transit Commission Board:

1. Endorse the Toronto Transit Commission 2022-2036 Capital Investment Plan of $37.22 billion, as outlined in Appendix A of this report.

 
2. Endorse the following principles that will guide a Toronto Transit Commission-wide approach to planning and managing the Toronto Transit Commission’s real estate portfolio:

a. optimize existing property before acquiring new property;

b. acquire property rather than expropriate;

c. own property rather than lease;

d. separate timing of acquisition from construction timing;

e. include “back of house” support and training needs when planning for growth;

f. integrate resiliency into projects and processes to mitigate environmental impacts over the long-term;

g. provide flexible and sustainable solutions that support innovation;

h. maximize value creation opportunities for Toronto Transit Commission surplus properties in partnership with the City.

3. Endorse the Toronto Transit Commission 2022-2036 Real Estate Investment Plan’s implementation timeline, as outlined in Appendix C of this report.

 
4. Approve the staff recommended Toronto Transit Commission 2022-2031 Base Capital Budget and Plan of $11.902 billion, as outlined in Appendix C of this report.

 
5. Approve the staff recommended Toronto Transit Commission 2022-2031 Capital Budget and Plan of $149.531 million for Transit Expansion Projects including the completion of the remaining scope for the Toronto-York Spadina Subway Extension, SRT Life Extension Overhaul for Line 2 Subway Extension (formerly Scarborough Subway Extension) and Waterfront Transit also outlined in Appendix C of this report.

 
6. Forward this report to the City Budget Committee and the City Manager as the official 2022-2031 Capital Budget and Plan submission for the Toronto Transit Commission.

 
7. Forward the 2022-2036 Real Estate Investment Plan to CreateTO and City Real Estate Management staff for their information.

At its meeting on Monday, December 20, 2021, the Toronto Transit Commission Board considered the attached report entitled “2022 Toronto Transit Commission Conventional and Wheel-Trans Operating Budgets”.

The Board adopted the recommendations in the staff report, as follows:

It is recommended that the Toronto Transit Commission Board:

1. Approve the recommended 2022 Toronto Transit Commission Conventional Operating Budget of $2.102 billion in gross expenditures, $0.916 billion in revenues and a net funding requirement of $1.185 billion, inclusive of the $459.2 million Toronto Transit Commission Conventional COVID-19 financial impact, as detailed in this report.

2. Approve the recommended 2022 Wheel-Trans Budget of $133.2 million in gross expenditures, $6.0 million in revenues and a net funding requirement of $127.2 million, inclusive of the $2.0 million Wheel-Trans COVID-19 financial impact, as detailed in this report.

3. Request the Provincial and Federal governments to:

a. provide relief to offset the financial impacts of COVID-19 through recovery, which are estimated to be $461.2 million in 2022, with forecasted impacts expected into 2023 and 2024; and

b. work with the Toronto Transit Commission and the City of Toronto to develop a sustainable funding model for public transit.

4. Approve a 2022 year-end workforce complement of 16,467 positions, reflecting a reduction of 11 operating positions and an increase of 131 positions for capital project delivery, as described in Appendix C.

5. Forward this report to the City Budget Committee and the City Manager as the official 2022 Operating Budget submission for the Toronto Transit Commission.

The recommendations of the Toronto Transit Commission Board as set out above are submitted for City Council approval through the Budget Committee.

This report responds to City Council's direction through PH23.13 to report back through the 2022 budget process on the financial implications of amending the decision writing stipend accorded to Toronto Local Appeal Body Members from a rate of $200 per decision to a varied rate with a maximum of $400. The Toronto Local Appeal Body is an independent, quasi-judicial tribunal established through the City of Toronto Municipal Code Chapter 142, City of Toronto Act, and other provincial legislation.

The City Manager's Office, Court Services, City Clerk's Office and the Chair of the Toronto Local Appeal Body were consulted on the proposed variable decision rates. Compensation rates of other municipal and provincial tribunals were also taken into consideration to determine the appropriate remuneration for Toronto Local Appeal Body decisions. The proposed remuneration reflects the complexity of the decision and the effort required to produce a decision.

At its Special Meeting held virtually on January 11, 2022, the Toronto Police Services Board (Board) considered the following 2022 budget request reports:

- Toronto Police Service – 2022 Operating Budget Request;

- Toronto Police Service – 2022-2031 Capital Program Request;

- Toronto Police Service Parking Enforcement Unit – 2022 Operating Budget Request;

- Toronto Police Services Board – 2022 Operating Budget Request.