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Report To: General Government Committee
Date of Meeting: June 22, 2020 Report Number: FND-020-20
Submitted By: Trevor Pinn, Director of Finance/Treasurer
Reviewed By: Andrew C. Allison, CAO
File Number:
Resolution#:
By-law Number:
Report Subject: FCM – Asset Management Grant Opportunity
Recommendations:
1.That Report FND-020-20 be received; and
2.That Council authorize staff to complete the application for funding for Municipal
Asset Management Program.
Municipality of Clarington Page 2
Report FND-020-20
1. Legislative Requirements
1.1. Under Ontario Regulation 588/17 (Asset Management Planning for Municipal
Infrastructure), Council is required to approve an Asset Management Plan (“AMP”) for
Core Assets on or before July 1, 2021.
1.2. Core assets for the Municipality include all roads, bridges, culverts, storm water
management ponds and all storm water conduit and structures.
1.3. The adoption of the AMP is the second requirement in a staged process of compliance
with O. Reg. 588/17.
2. AMP Requirements for Core Assets
2.1. Municipalities must report on the current level of service being provided determined by
the mandated technical and qualitative metrics prescribed by the regulation.
2.2. Clarington must provide an analysis of the assets which contains the assets; attributes,
age, condition and replacement values.
2.3. The Municipality’s current performance of each asset category, determined in
accordance with the performance measures established by the Municipality, such as
those that would measure operating efficiency for all core assets.
2.4. 2.4 Clarington must calculate the lifecycle activities for each asset category that
would need to be undertaken to maintain current levels of service for the next 10 years
and the costs of providing those activities based on:
i. The full lifecycle of the assets
ii. The options for which lifecycle activities could potentially be undertaken to
maintain current LOS
iii. The risks associated with the options referred in (ii).
Report Overview
The Province of Ontario’s adopted asset management plan regulations (O. Reg 588/17) set
out four milestones for compliance. The first milestone was the adoption of a Strategic Asset
Management Policy which Council completed with resolution #GG-218-19. The next
milestone is the adoption of an Asset Management Plan of the Municipality’s core assets by
July 1,, 2021. The Finance Department is seeking approval to submit an application to FCM
for a grant to aid in the development of Clarington’s Asset Management Plan.
Municipality of Clarington Page 3
Report FND-020-20
iv. The lifecycle activities referred in (ii) that can be undertaken for the lowest cost to
maintain the current LOS.
2.5. Municipalities need to examine the impact that increases in demand caused by growth
have on the current levels of service. The AMP must include the capital and significant
operating expenditures related to the lifecycle activities required to maintain the current
levels of service. It must also include the associated capital and operating costs related
to new construction and upgrading of existing municipal infrastructure assets
3. Asset Management Grant Opportunity
3.1. The Federation of Canadian Municipalities (FCM) has announced a grant opportunity
for Canadian municipalities to help strengthen their asset management plans.
3.2. The FCM grant will fund a broad spectrum of asset management-related activities.
Asset management assessments
Development of asset management plans, policies and strategies
Asset-related data collection and reporting
Asset management training and organizational development
Knowledge transfer around asset management
3.3. The FCM grant allows Municipalities to apply for a maximum project cost of $50,000,
where as FCM will contribute 80% of the total project cost.
3.4. If the application is successful, that the remaining 20% of project cost to be funded from
the Municipal Capital Works reserve fund.
4. Concurrence
This report has been reviewed by the Acting Director of Engineering and the Acting
Director of Operations who concur with the recommendations.
5. Conclusion
It is respectfully recommended that Council gives approval for staff to apply for a grant
opportunity from the Federation of Canadian Municipalities Municipal Asset
Management Program for development of Clarington’s asset management plan and to
fund the municipal share from the Municipal Capital Works Reserve Fund.
Staff Contact: Erika Watson, Capital Asset Manager, 905-623-3379 ex.2607 or
ewatson@clarington.net