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2022-2026 Financial Plan Overview
Board Budget Workshop
October 20, 2021
Section G 1
Metro Vancouver Board Budget Workshop
2022 – 2026 FINANCIAL PLAN OVERVIEW
Short-term Relief for Households• Leverage supported tools to create short-term action plan (1-2
years)• Fully evaluate 30 Year amortization for NSWWTP
Maintain Current Goals and Objectives• Continue work on strategic and long-range plans• Optimize capital plan timing and identify deferment opportunities• Evaluate effects of more restrictive lawn watering regulations• Explore demand side management options for liquid waste
Realize New Opportunities• Partner on projects to increase affordable housing • Reduce GHGs • Help drive economic recovery
Board direction from April workshop
Metro Vancouver Board Budget Workshop
2022 – 2026 FINANCIAL PLAN OVERVIEW
6.4% Prior Projection for 2022 Budget
$38 Increase for the average household in 2022(Water: $6, Liquid Waste: $25, Solid Waste: $4, MVRD: $3)
$612 Average annual costs for all Metro Vancouver services
3.5% Proposed 2022 Budget
$21 Increase for the average household in 2022(Water: $4, Liquid Waste: $8, Solid Waste: $3, MVRD: $6)
$595 Average annual costs for all Metro Vancouver services
2022 Budget – Bottom Line
Metro Vancouver Board Budget Workshop
2022 Budget - Addressing Board Priorities2022 – 2026 FINANCIAL PLAN OVERVIEW
• Implementing the Clean Air Plan to meet 2030 climate targets and improve air quality
• Incentivizing Inflow and Infiltration reductions
• Accelerated investment in affordable housing
• Integrating land use and transportation planning
• Accelerated action on Regional Economic Prosperity
• Improving seismic resiliency of the water system
• Advancing long term water source supply capacity
Metro Vancouver Board Budget Workshop
2022 Budget – Addressing Organizational Needs
• Support services for capital program delivery
• Indigenous relations• Internal requests for support have tripled
• Project Delivery and improved project management
• Asset management
2022 – 2026 FINANCIAL PLAN OVERVIEW
Metro Vancouver Board Budget Workshop
TOOLBOX
Use of Reserves Reduce Payas-you-go
Capital Plan Deferrals
ContinuousImprovement
Demand Side Management
Debt Amortization
Metro Vancouver Board Budget Workshop
Reliance on Annual SurplusesUSE OF RESERVES
• Applied annual surplus in excess of operating reserves minimums to reduce upward pressure on levies and tax requisition
• $8M for 2022• In accordance with the Operating, Statutory and Discretionary Reserves
Policy
• Impact is one time only• Pressure intensifies on future levies and tax requisitions
Metro Vancouver Board Budget Workshop
Policy VarianceREDUCING PAY AS YOU GO
• Contributions to capital funding from the Operating budget
• Reduced by $11M from prior year
• Easy to cut, difficult to add back
• Long term impact is more borrowing• Interest costs• Rate risks
Metro Vancouver Board Budget Workshop
CAPITAL PLAN DEFERRALS
• Review of over 300 projects
• In the prior cycle, over $400 million in capital expenditures deferred
• This cycle, a further $450 million of capital expenditures have been deferred
Project Review
Metro Vancouver Board Budget Workshop
DEMAND SIDE MANAGEMENT
• Continued Emphasis on Water Conservation• Necessary to delay need for growth infrastructure• Continue practice of water rate increase being
applied to high season
• Liquid Waste – Develop Wet Weather Billing• Incentivize Inflow and Infiltration reductions at the
member level• Manage system capacity• Delay need for additional infrastructure
Metro Vancouver Board Budget Workshop
DEBT AMORTIZATION
North Shore Wastewater Treatment Plant
• Board direction to maintain policy of 15 year debt amortization
• Recommendation for 30-yearamortization term for the North Shore’s share of the North Shore Wastewater Treatment Plant Project as requested
Metro Vancouver Board Budget Workshop
OVERALL HOUSEHOLD IMPACT 2022 - 2026
2021 2022 2023 2024 2025 2026
Water District $171 $175 $183 $200 $221 $244
Liquid Waste $273 $281 $324 $379 $452 $543
Solid Waste $60 $63 $65 $68 $71 $74Regional District $70 $76 $85 $88 $89 $91Total Household Impact $574 $595 $657 $735 $833 $952% Change 3.5% 10.4% 11.8% 13.3% 14.3%Prior Year Forecast $612 $656 $710 $784
Prior Year % Change 6.4% 7.3% 8.5% 10.4%
Metro Vancouver Board Budget Workshop
FUTURE FINANCIAL PLANNING
• One year budget that utilizes MV fiscal strength to minimize overall impact for 2022
• Continue to work on resolving challenging fiscal issues• Forthcoming major projects• Revenue stream such as DCC’s• Economic uncertainties
Metro Vancouver Board Budget Workshop
Apr 8 May 8 June/July OctoberBoard Budget Workshop
Council of Councils
Proposed capital plan for input
Recommendedfinancial plan
Oct 20 Oct 23 Oct 29Board Budget Workshop
Council of Councils
Board meeting
PROCESS AND TIMELINE
*10 Standing Committees and 3 Advisory Committees (RAAC, RFAC, REAC)
* *
Metro Vancouver Board Budget Workshop
Financial Plan Overview
View of VancouverMetro Vancouver Board Budget Workshop
METRO VANCOUVER OPERATING BUDGET
Overview:• 2021 Operating Budget: $947.9M• 2022 Operating Budget: $1,017.9M (7.4%)• About 1% higher than previously projected for 2022
Drivers:• Increase in Operations averages 3.8% over 5 years• Debt servicing reflective of the capital program, but
favorable rates• Easing contribution to Capital in 2022 - Refocusing in
2023-2026
$- $100 $200 $300 $400 $500 $600 $700 $800 $900 $1,000
$- $200 $400 $600 $800
$1,000 $1,200 $1,400 $1,600 $1,800
2021 2022 2023 2024 2025 2026
Mill
ions
Operations Contribution to Capital Debt ServiceHousehold Impact (Prior) Household Impact (Current)
Expenditures
Metro Vancouver Board Budget Workshop
METRO VANCOUVER OPERATING BUDGET
Overview:• Primary funding sources – water sales, sewer levy,
tipping fees, rents, MVRD requisition• Relative stability for primary sources
Drivers:• Significant use of reserves in 2022 to minimize HHI• Anticipated water DCC revenue received and applied
starting 2024, downward pressure on water rate• Assumed partner funding for upcoming major capital
projects, downward pressure on levies/rates
Revenues
$- $200 $400 $600 $800
$1,000 $1,200 $1,400 $1,600 $1,800
2021 2022 2023 2024 2025 2026
Mill
ions
Water Sales Liquid Waste Levy Solid Waste Tipping Fees MVRD Requisitions Housing Rents Other Revenue
Metro Vancouver Board Budget Workshop
METRO VANCOUVER CAPITAL PLAN
• Regional infrastructure investment drives the financial plan and ratepayer impact
• Though there are challenging projects, many have positive financial outcomes
• Kennedy Newton Water Transmission Main• AIWWTP Cogen Power Backup
Metro Vancouver Board Budget Workshop
$-
$200
$400
$600
$800
$1,000
$1,200
$1,400
$1,600
$1,800
$2,000
2021 2022 2023 2024 2025 2026
Mill
ions
Housing Regional Parks Solid Waste Liquid Waste Water
METRO VANCOUVER CAPITAL PLAN
Overview:• 2021 capital cashflow $1.52B• 2022 capital cashflow $1.38B
Drivers:• Capital projects in progress carried forward• $450M deferred from previous 5 year cashflow• Reflects risks and scope changes where known
Expenditures
Metro Vancouver Board Budget Workshop
METRO VANCOUVER CAPITAL PLAN
Overview:• How the cashflow for capital expenditures is funded• Primarily Borrowing
Drivers:• Fluctuates with planned expenditures• Contribution to capital reduced by $11M for 2022
Funding
$-
$200
$400
$600
$800
$1,000
$1,200
$1,400
$1,600
$1,800
$2,000
2021 2022 2023 2024 2025 2026
Mill
ions
Borrowing Direct Applicatopn of DCC's Reserves Contribution to Capital External
Metro Vancouver Board Budget Workshop
LIQUID WASTE SERVICESGREATER VANCOUVER SEWERAGE & DRAINAGE DISTRICT
Lulu Island WWTP
Metro Vancouver Board Budget Workshop
Reduce Overflows by managing Inflow & Infiltration and system operations optimizationExpansion of key infrastructure in the Fraser Sewerage Area in response to growthIncreased levels of treatment for North Shore and Vancouver Sewerage AreasMaintain infrastructure to continue meeting the service expectations of the region
Liquid Waste over the next 5 yearsLIQUID WASTE OVERVIEW
Sanitary Sewage Overflow Hinge Park, Vancouver
Annacis Island WWTP
Metro Vancouver Board Budget Workshop
CUSTOMER LEVEL OF SERVICE OBJECTIVESCustomer Level of Service
Objective KPI Metric Current (2020)
Target(2030) Goal
Eliminate Overflows from the Sewer System
Sanitary Sewage Overflow (SSO) events (#) 88 40 0 (2040)
Combined Sewage Overflow (CSO) volume (ML) 34,000 30,000 0 (2075)
Rainfall derived inflow and infiltration (RDII) (ML) 43,500 20,000 0 (2040)
Facilities not meeting basic service or regulations in next 10 years (%) 34% 15% 0% (2035)
Protect Public Health and the Environment –Authorized WWTP Discharges
Duration of events not in compliance with operational certificates & WSER (hrs) 25.5 0 0 (2030)
Recreational water quality (% of tests not meeting criteria) 1.6% 0 0 (??)
Improve Environmental Stewardship
Biosolids beneficially used (%) 99.5% 100% 100% (2030)
Net energy use (GJ / ML Treated) 1.04 0.80 0 (2050)
Net GHG emissions (kg of CO2 / ML treated) 16.2 14.0 0 (2050)
Odour complaints (#) 18 10 0 (2035)
Minimize Timeline to Recover from a Major Event
Targeted assets resilient to seismic event (%) Undefined Defined 100% (2050)
Targeted assets resilient to power outage event (%) 97% 100% 100% (2035)
Targeted assets resilient to climate change event (%) Undefined Defined 100% (2100)
Metro Vancouver Board Budget Workshop
Transition towards wet weather pricing
• Wet weather levy apportionment(Total levy unchanged - cost neutral)
• Split requisition Dry Weather / Wet Weather
• Staged introduction, with further GVS&DD member consultation
• Based on actual flows from members
• Cost Apportionment Bylaw Changes
PROPOSED SPLIT DRY / WET WEATHER RATE STRUCTURE
25thPercentile
To be determined
Metro Vancouver Board Budget Workshop
Wet Weather Based Cost ApportionmentPROPOSED RESOLUTION
• Simple division of the existing levy• Sets the stage for future adjustments to the wet weather flow component based on
each member jurisdiction’s usage of capacity
Metro Vancouver Board Budget Workshop
CONTINUOUS IMPROVEMENT
Initiative Outcomes
LIWWTP Effluent Heat Recovery $415k / year increase in revenue from Renewable Natural Gas.1,000 t / year regional reduction in GHG emissions
In-Sourcing Foam Injection Pipe Repairs $100k / year reduction in costs for pipe repairs
IIWWTP Water Reclamation (Screening / Grit Mgmt. Facility) $200k / year reduction in potable water purchases
WWT Maintenance Optimization $130k / year reduction in maintenance costs
Environmental Management System Increased compliance with regulations and reduced risk of litigation
Liquid Waste Services
Metro Vancouver Board Budget Workshop
CONTINUOUS IMPROVEMENT
Initiative OutcomesReview and Optimization of Sewer
Flushing Program $175k / year in cost avoidance
In-House Developed Effluent Mixing Models
$150k / year reduction relative to cost for modelling performed by Consultants
Gleneagles System Optimization $150k / year reduction in operating costs by eliminating one pump station during design stage of project
Wet Weather I&I Management Financial incentive to improve management of Inflow & Infiltration at a municipal level
Liquid Waste Services
Metro Vancouver Board Budget Workshop
Initiative Outcomes
PPA
ED&C
O&M-WWT
Liquid Waste Services
LWMP Update (Engagement, Wet weather strategy elements)
OPERATING HIGHLIGHTS – 2022
O&M-WWCD Digital Strategies
EMQC Major waterbody estuary management programs
Division
SS&SI Complete update of Development Cost Charges
Implementation of Improved Project Controls and Risk Management Processes
Iona Island WWTP Dewatering
Metro Vancouver Board Budget Workshop
Budget Year Initiative Description
2023 Liquid Waste Management PlanIona Island WWTP
Completion of update of LWMPBiosolids Stockpile removal complete
2025
2026
Iona Island WWTP
Northwest Langley WWTP
Biosolids Lagoons removal complete
Facility commissioning and handover
Liquid Waste ServicesOPERATING HIGHLIGHTS – 2023-2026
2024 Commence 100 year Long Range Plan
Update to 1953 Rawn Report to consider Sewerage Service beyond 2100
Metro Vancouver Board Budget Workshop
Overview:
Drivers for Change:
2021 Operating Budget:2022 Operating Budget:
2021-2025 “Function” Financal Plan
$354.4M$391.2M
10.4% increase
• Capital program• Utilities, chemicals, parts and materials• Support for operating and capital
projects (procurement, project management, other allocated programs)
• New infrastructure
273 281 324
379 452
543
-
100
200
300
400
500
600
0100200300400500600700800
2021 2022 2023 2024 2025 2026
$ M
illion
s
Operating Programs Debt Service Contribution to Capital Household Impact
Liquid Waste Services Financial PlanOPERATING EXPENDITURES
2022 – 2026 Liquid Waste Services Financial Plan
Metro Vancouver Board Budget Workshop
Overview:
Drivers for Change:
2021 Operating Budget:2022 Operating Budget:
2021-2025 “Function” Financal Plan
$354.4M$391.2M
10.4% increase
• Revenue for Renewable Natural Gas• Updated Trucked Liquid Waste Fees• Review of Industrial Charges• Growth Projects (DCC Rates)• Reserve usage for rate stabilization
0100200300400500600700800
2021 2022 2023 2024 2025 2026
$ M
illion
s
Liquid Waste Services Levy User FeesTransfer from DCC Reserves BOD/TSS Industrial ChargesOther External Revenues Transfer from Sustainability Innovation Fund ReservesTransfer from Reserves
Liquid Waste Services Financial PlanOPERATING FUNDING
2022 – 2026 Liquid Waste Services Financial Plan
Metro Vancouver Board Budget Workshop
Budget Year Capital Project Description
Liquid Waste ServicesCAPITAL PROGRAM HIGHLIGHTS
2022 North Shore WWTPIIWWTP Biosolids Dewatering
Conveyance pump station and pipeline completedStart of operation of new facility
2023
2024
2025
2026
Annacis Island WWTPBurnaby Lake North Interceptor
Annacis Island WWTP OutfallGolden Ears Forcemain
North Surrey Interceptor
Port Coquitlam PS Refurbishment
Trickling Filters media replacement completedWinston Section complete
Facility commissioning and handoverForcemain and river crossing completed
Odour control system commissioning and handover
Replacement pump station operational
Metro Vancouver Board Budget Workshop
Active Capital Projects:
Drivers for Change:
2022 Capital Budget:
LIQUID WASTE SERVICES CAPITAL BUDGET
Liquid Waste Services Capital Budget
Collections Treatment Plants
• Growth in serviced population• Increased level of treatment to meet
regulatory requirements• Maintenance of existing infrastructure
to ensure the continuity of services• Improving resilience of the system to
seismic and climate change risks• Climate change mitigation actions
Capital Budget(per capital schedule)
Estimated Spend to Dec 31/2021 $ 2.2B
4.3B
$ 6.5B
For Approval
Metro Vancouver Board Budget Workshop
Active Capital Projects:
Drivers for Change:
2022 Capital Budget: $934.5M$780.5M
16.5% decrease
Liquid Waste Services Capital PlanCAPITAL EXPENDITURES
2022 – 2026 Liquid Waste Services Capital Cash Flow
0
200
400
600
800
1,000
1,200
2022 2023 2024 2025 2026
$ M
illion
s
Collections Treatment Plants
• Growth in serviced population• Increased level of treatment to meet
regulatory requirements• Maintenance of existing infrastructure
to ensure the continuity of services• Improving resilience of the system to
seismic and climate change risks• Climate change mitigation actions
Overview:
Metro Vancouver Board Budget Workshop
LIQUID WASTE 2022-2026 CAPITAL PLAN
69% 64% 75% 82% 83%
31% 36% 25% 18% 17%
0%20%40%60%80%
100%
2022 2023 2024 2025 2026
Project Delivery Liquid Waste
2022 2023 2024 2025 2026
Annual Capital Expenditures (millions)
LWS $241.6 $319.7 $265.5 $183.5 $145.2
PD $538.9 $580.1 $815.2 $849.7 $688.5
Drivers:• LWS – 134 projects in the 2022-2026
capital plan• Project Delivery – 6 projects in the
2022-2026 capital plan
Metro Vancouver Board Budget Workshop
PROJECT DELIVERY
Delivery of highest-value, highest-risk and complex Liquid Waste infrastructure valued at $3.5B over 2022-2026:• Iona Island WWTP Program • North Shore WWTP Project• Northwest Langley WWTP Projects • Annacis Stage 5 WWTP Expansion
(Transition in 2022)
Through the Project Management Office:• Organization-wide Asset Management• Project Management and Capital Planning Support• Quality Management
Metro Vancouver Board Budget Workshop
HIGHEST VALUE, RISK AND CONSEQUENCE PROJECTS2020 2030
North Shore WWTP Upgrade
Construction
2010
Design
North Shore Land Purchase
Iona Island WWTP Upgrade
Northwest Langley WWTP Projects
LIQUID WASTE SERVICES
Annacis WWTP Stage 5 Expansion
2022-2026FINANCIAL PLAN
Metro Vancouver Board Budget Workshop
NORTH SHORE WWTP & CONVEYANCE
First Narrows Pump Station – Conveyance
REGULATORY COMPLIANCEProject Update• Conveyance
• On schedule, on budget• Treatment Plant
• Construction, 37% complete• Decommissioning
• Investigation and early design
$ 2022-2026 Cashflow$ 568 million
Construction began – 2017Completion - 2025
Metro Vancouver Board Budget Workshop
IONA ISLAND WWTP PROGRAM
Iona Island WWTP – Current Site
REGULATORY COMPLIANCEProgram Update• Project Definition
• Expert Advisory Panel Review• Evaluating options to address cost and
other challenges identified• Early works
• Underway, to minimize schedule delays
$ 2022-2026 Cashflow$1.02 billion
Schedule to be confirmed
Metro Vancouver Board Budget Workshop
NORTHWEST LANGLEY WWTP PROJECTS
Above: Northwest Langley WWTP Projects OverviewBelow: New Northwest Langley WWTP Rendering
ACCOMMODATE GROWTH• Expanded Treatment Plant
• Ground improvement & design• Outfall: location selection
• Conveyance projects• Phase 1 Pump Station & SSO Tank:
construction 50% complete• Forcemain: construction mobilization
$ 2022-2026 Cashflow$1.31 billion
Construction began – 2018Completion – 2027
Barnston Island
Barnston Island
Metro Vancouver Board Budget Workshop
Liquid Waste ($ CAD)
BENCHMARK OF UTILITY COSTS
Liquid Waste (Average household rate)
Metro Vancouver (2022) $281
MV municipal regional average(MV 2022 + 2022 estimated municipal household rate) $281 + $339 = $620
Capital Regional District + City of Victoria (2021) $416 + $160 = $576
Waterloo (2021) $600
Seattle (2021) $1,075
San Francisco (2021) $1,120
Metro Vancouver Board Budget Workshop
2021 2022 2023 2024 2025 2026
$354.4
$288.2
LWS Overall
$934.5
$273
$391.2
10.4%
$301.4
4.6%
$780.5
$281
2.7%
9.0%
$442.8
13.2%
$355.0
17.8%
$899.8
$324
15.4%
9.6%
$524.3
18.4%
$424.2
19.5%
$1,080.8
$379
16.9%
10.1%
$633.8
20.9%
$513.4
21.0%
$1,033.2
$452
19.2%
14.2%
$739.8
16.7%
21.9%
$833.8
$543
20.1%
N/A
LIQUID WASTE SERVICES FINANCIAL PLAN SUMMARY
Total Expenditures ($ Millions)
% Change
Liquid Waste Service Levy ($ Millions)
% Change
Total Capital Cash Flow ($ Millions)
Household Impact ($)
% Change
Prior Cycle Household Impact Change (%)
$626.0
Metro Vancouver Board Budget Workshop
2021 2022 2023 2024 2025 2026
$105.0
$90.0
Vancouver Sewerage Area
$65.3
$322
$113.8
8.4%
$94.6
5.1%
$94.4
$333
3.6%
9.3%
$123.0
8.1%
$107.1
13.2%
$227.9
$371
11.4%
5.4%
$142.5
15.8%
$128.3
19.7%
$231.0
$437
17.6%
10.0%
$175.8
23.3%
$162.8
26.9%
$257.6
$549
25.7%
11.3%
$204.8
16.5%
17.8%
$302.9
$641
16.7%
N/A
LIQUID WASTE SERVICES FINANCIAL PLAN SUMMARY - VSA
Total Expenditures ($ Millions)
% Change
Liquid Waste Service Levy ($ Millions)
% Change
Total Capital Cash Flow ($ Millions)
Household Impact ($)
% Change
Prior Cycle Household Impact Change (%)
$191.7
Metro Vancouver Board Budget Workshop
2021 2022 2023 2024 2025 2026
$29.0
$25.6
Lulu Island West Sewerage Area
$55.7
$248
$32.1
10.9%
$26.9
5.1%
$19.2
$256
3.4%
10.3%
$34.7
8.0%
$30.4
13.0%
$75.3
$284
10.9%
11.3%
$41.9
20.7%
$37.6
23.7%
$22.2
$344
21.1%
6.6%
$47.9
14.3%
$43.6
15.9%
$16.5
$393
14.4%
12.4%
$52.4
9.5%
10.3%
$21.2
$429
8.9%
N/A
LIQUID WASTE SERVICES FINANCIAL PLAN SUMMARY - LIWSA
Total Expenditures ($ Millions)
% Change
Liquid Waste Service Levy ($ Millions)
% Change
Total Capital Cash Flow ($ Millions)
Household Impact ($)
% Change
Prior Cycle Household Impact Change (%)
$48.1
Metro Vancouver Board Budget Workshop
2021 2022 2023 2024 2025 2026
$186.7
$141.8
Fraser Sewerage Area
$409.2
$240
$209.0
11.9%
$148.0
4.4%
$393.0
$245
2.0%
7.0%
$240.5
15.1%
$176.4
19.3%
$451.4
$285
16.5%
10.2%
$285.7
18.8%
$207.3
17.6%
$715.3
$327
14.6%
9.5%
$345.5
21.0%
$245.7
18.4%
$738.6
$380
16.1%
16.2%
$412.7
19.4%
30.1%
$456.0
$485
27.6%
N/A
LIQUID WASTE SERVICES FINANCIAL PLAN SUMMARY - FSA
Total Expenditures ($ Millions)
% Change
Liquid Waste Service Levy ($ Millions)
% Change
Total Capital Cash Flow ($ Millions)
Household Impact ($)
% Change
Prior Cycle Household Impact Change (%)
$319.6
Metro Vancouver Board Budget Workshop
2021 2022 2023 2024 2025 2026
$31.4
$28.6
North Shore Sewerage Area
$404.3
$365
$34.3
8.9%
$30.0
5.0%
$273.1
$378
3.4%
17.9%
$42.4
23.6%
$39.0
29.6%
$144.8
$481
27.4%
18.5%
$51.9
22.7%
$48.8
25.3%
$111.7
$592
22.9%
16.3%
$62.2
19.9%
$59.1
21.2%
$19.9
$708
19.7%
15.6%
$67.5
8.4%
8.8%
$53.7
$761
7.5%
N/A
LIQUID WASTE SERVICES FINANCIAL PLAN SUMMARY - NSSA
Total Expenditures ($ Millions)
% Change
Liquid Waste Service Levy ($ Millions)
% Change
Total Capital Cash Flow ($ Millions)
Household Impact ($)
% Change
Prior Cycle Household Impact Change (%)
$64.3
Metro Vancouver Board Budget Workshop
ALTERNATIVE OVERALL HOUSEHOLD IMPACT 2022 - 2026
2021 2022 2023 2024 2025 2026
NSSA 15 years $365 $378 $481 $592 $708 $761
NSSA 30 years $365 $378 $456 $541 $640 $689
$ Change - - ($25) ($51) ($68) ($72)
% Change - - (5.2%) (8.6%) (9.6%) (9.4%)
NSWWTP 30 Year Amortization for NSSA
Metro Vancouver Board Budget Workshop
That the GVS&DD Board:a) endorse the 2022 Budget and 2022 - 2026 Financial Plan for Liquid Waste Services,
as presented, and direct staff to prepare the necessary budget information to be presented at the October 29, 2021 Metro Vancouver Districts and Housing Corporation Board meetings for consideration; and
b) endorse a 30-year amortization term for the North Shore Sewerage Areas share of the debt related to North Shore Wastewater Treatment Plant Project as requested by the three north shore municipal Councils; and
c) endorse amendments to the Cost Apportionment Bylaw to enable the division of the GVS&DD levy into separate dry and wet weather components and issue a separate requisition for each component.
Metro Vancouver Board Budget Workshop
WATER SERVICESGREATER VANCOUVER WATER DISTRICT
Capilano Reservoir
Metro Vancouver Board Budget Workshop
In order to manage the long term Water Supply demands in a responsible manner, this Plan factors in conservation measures, new infrastructure development, resiliency, financial prudence, an increased Regulatory burden, First Nations reconciliation and environmental stewardship over the next 5 years
Water Services over the next 5 yearsWATER SERVICES OVERVIEW
Barnston Maple Ridge Pump Station
Metro Vancouver Board Budget Workshop
PERFORMANCE METRICSKey Performance Metric Past Performance
(Average)Expected Performance 2022
Peak day per capita water use (liters per person per day) 620
Percent of GVWD capital program expenditures achieved 68%
Percent of GVWD minor capital program expenditures achieved 87%
Number of water samples collected from source reservoirs and the distribution system
22,848
Smolt capture in the CapilanoWatershed 18,143
Metro Vancouver Board Budget Workshop
PERFORMANCE METRICS
Key Performance Metric Past Performance (Average)
Expected Performance 2022
Annual volume of drinking water treated, delivered (in million litres) 383,978
Energy use in the treatment and delivery of drinking water (amount of gigajoules (GJ) used per ML of water)
0.49
Number of leak repairs in water transmission system piping per 100 kilometers of pipe
3.21
Number of major interagency projects coordinated 10
Metro Vancouver Board Budget Workshop
Initiative Outcomes
Key InitiativesWATER SERVICES CONTINUOUS IMPROVEMENT
Initiative OutcomesIncreased in-house Project Management and Field Quality Control / Assurance
$2M / year reduction relative to outsourced engineering work by Consultants
Ozone optimization at Coquitlam Water Treatment Plant
$230k / year reduction in electricity and oxygen costs; Reduced greenhouse gas emissions by 17,200 kg CO2e per year
Replace aging infrastructure and meet growth demand
$100k / year reduction in leak repairs and environmentalmgmt. due to commissioning of new South Delta Main #1
Metro Vancouver Board Budget Workshop
Initiative Outcomes
Key InitiativesWATER SERVICES CONTINUOUS IMPROVEMENT
Initiative OutcomesEnergy Management: operational improvements
$30k / year electricity purchase reduction (reduction in energy use by at least 350,000 KWh / year)
Implement the environmental management system
Increased compliance with Regulations and reduced risk of litigation
Move pipe storage from U.S. facility to GVS&DD space near Coquitlam Landfill
Reduced storage charges, saving approximately $200k / year
Metro Vancouver Board Budget Workshop
WATER SERVICES OPERATING HIGHLIGHTSBudget Year Initiative Description2022 Implement Online Chlorine Analyzers Installation of additional online chlorine analyzers within
the transmission system to provide real time chlorine residual data.
Improve safety at SCFP through Equalization Tanks Single Valve Isolation
Equalization tanks require isolation for valve repair, mixer maintenance, as well as tank inspection and cleaning. A new single isolation valve in front of the inlet box will simplify safety by reducing 110 lockout points to 3 lockout points.
Complete Loch Lomond Rock Slope Assessment and Stabilization
Stabilization of rock face above Loch Lomond dam, to prevent potential earthquake-induced rock fall.
Optimize CWTP Ozone Generator Cooling System
The ozone generator cooling system and logic control will be assessed and modified to achieve higher energy efficiency and potentially reduce the ozone generator power consumption.
Corrosion Control Monitoring Monitoring of the pH and alkalinity adjustments to help reduce corrosion in premise plumbing systems.
Metro Vancouver Board Budget Workshop
WATER SERVICES OPERATING HIGHLIGHTSBudget Year Initiative Description
2022 Complete an Enhanced Water Quality Assurance (EWQA) audit
This process is a provincial accreditation requirement for the continued operation of the microbiological laboratory.
Complete an internal audit of the QMSDW actions
The Quality Management System for Drinking Water identifies potential risks to the water system and key control measures.
Implement Building Information Modeling (BIM) Phase I
Standards, protocols and training implemented for 3D design processes for Utilities, in collaboration with WS, LWS, PDE PMO and Corporate Digital Strategy
Pilot Earthquake Early Warning applications With SCFP, CWTP and LCOC network of sensors, begin experimenting with water supply applications for staff safety and saving water / infrastructure, emulating large earthquake
Develop Natural Capital Asset Evaluation Completion of a natural capital asset evaluation for GVWD water supply lands
Metro Vancouver Board Budget Workshop
Water Services Financial PlanOPERATING EXPENDITURES
171 175 183 200 221 244
-
50
100
150
200
250
300
0
100
200
300
400
500
600
2021 2022 2023 2024 2025 2026
$ M
illion
s
Operating Programs Debt Service Contribution to Capital Household Impact
2022 – 2026 Water Services Financial PlanOverview:2021 Operating Budget: $320.1M2022 Operating Budget: $335.4M
4.8% increase
Drivers for Change:• Increased debt service
(growing capital program)• Managing contribution to capital
( Financial Management Policy)• Support for operating and
capital projects ( procurement, project management, other allocated programs)
Metro Vancouver Board Budget Workshop
Water Services Financial PlanOPERATING FUNDING
0
100
200
300
400
500
600
2021 2022 2023 2024 2025 2026$
Milli
ons
Water Sales Other External Revenues Transfer from SIF Transfer from Reserves
Overview:2021 Operating Budget: $320.1M2022 Operating Budget: $335.4M
4.8% increase
Drivers for Change:• Water Sales• Reserves usage for Water
Rates stabilization
Metro Vancouver Board Budget Workshop
WATER SERVICESCAPITAL PROGRAM HIGHLIGHTS
Budget Year Initiative Description
2022 Kersland & Little Mtn Reservoirs Structural Improvements
Structural maintenance/repair work to interior & exterior of reservoirs to extend service life.
2023 Commission Capilano Raw Water Pump Station Back-up Power
Backup power to convey raw water from the Capilano Reservoir to the SCFP.
2024 Complete Fleetwood Reservoir Valve control chamber, two new reservoir cells and 1 km of water main to meet growth
Commission Douglas Road main No.2 (Still Creek Section)
Additional operational capacity and resiliency for growth in Burnaby and New Westminster
Metro Vancouver Board Budget Workshop
WATER SERVICES CAPITAL BUDGET
Water Mains Pump Stations Reservoirs Treatment Plants Others
Active Capital Projects:
Drivers for Change:• Maintain service levels• Meet growth demands• Maintenance of existing infrastructure to
ensure the continuity of services• Improving resilience of the system to seismic
and climate change risks
Capital Budget(per capital schedule)
Estimated Spend to Dec 31/2021 $ 0.9B
1.8B
$ 2.7B
For Approval
Metro Vancouver Board Budget Workshop
Water Services Capital PlanCAPITAL EXPENDITURES
Overview:2021 Capital Cash Flow: $431.3M2022 Capital Cash Flow: $471.3M
9.3% increase
Drivers for change:• Capital project in progress carried
forward• Reviewed for deferrals and savings• Project risks and scope provisions
Metro Vancouver Board Budget Workshop
Water Services Capital PlanCAPITAL FUNDING
0
100
200
300
400
500
600
2022 2023 2024 2025 2026$
Milli
ons
New External Borrowing Contribution to CapitalDevelopment Cost Charges ReservesExternal Funding - Interagency
Overview:2021 Capital Cash Flow: $431.3M2022 Capital Cash Flow: $471.3M
9.3% increase
Drivers for Change:• Contribution to Capital funding to
comply with Financial Management Policy
• DCCs assumed in place for 2024 and onwards
Metro Vancouver Board Budget Workshop
WATER 2022-2026 CAPITAL PLAN
2022 2023 2024 2025 2026
Annual Capital Expenditures (millions)
WaterServices $222.2 $203.0 $178.0 $158.6 $209.3
ProjectDelivery $249.1 $310.6 $305.3 $292.0 $355.5
Projects Summary:• Water Services – 134 projects in 2022-
2026 capital plan• Project Delivery – 8 projects in the
2022-2026 capital plan
53% 60% 63% 65% 63%
47% 40% 37% 35% 37%
0%20%40%60%80%
100%
2022 2023 2024 2025 2026
Project Delivery Water
Metro Vancouver Board Budget Workshop
PROJECT DELIVERYDelivery of highest-value, highest-risk and complex Water infrastructure valued at $1.5B over 2022-2026:• Coquitlam Lake Water Supply • Coquitlam Water Main• Stanley Park Water Supply Tunnel • Second Narrows Water Supply Tunnel• Annacis Water Supply Tunnel • Cambie-Richmond Water Supply Tunnel
Through the Project Management Office:• Organization-wide Asset Management• Project Management and Capital Planning Support• Quality Management
Metro Vancouver Board Budget Workshop
65
WATER SERVICESHIGHEST VALUE, RISK AND CONSEQUENCE PROJECTS
2020 2030WATER SERVICES
2020 2030
Second Narrows Water Supply Tunnel
Annacis Water Supply Tunnel
Coquitlam Water Main
Construction
2022-2026FINANCIAL PLAN
Haney Water Supply Tunnel
Cambie-Richmond Water Supply Tunnel
2010
Coquitlam Lake Water Supply
Lulu-Delta Water Supply Tunnel
Stanley Park Water Supply Tunnel
Design
Metro Vancouver Board Budget Workshop
WATER SUPPLY TUNNEL PROJECTS
CONSTRUCTIONAnnacis Water Supply Tunnel
• Construction to start early 2022Second Narrows Water Supply Tunnel
• Construction in progressStanley Park Water Supply Tunnel
• Construction to start late 2022
$ 2022-2026 Cashflow$810 million
Second Narrows2019-2025
AnnacisTunnel2022-2027
Stanley Park2022-2027
Tunnel Boring Machine – Second Narrows Tunnel North Shaft
Metro Vancouver Board Budget Workshop
WATER SUPPLY TUNNEL PROJECTSPLANNING AND DESIGN
Project Updates• Lulu Island Delta Water Supply Tunnel
o Planning underway• Haney Water Supply Tunnel
o Planning underway• Cambie-Richmond Water Supply Tunnel
o Preliminary design starting in 2022
$ 2022-2026 Cashflow$105 million
ConstructionLulu Island Delta Tunnel 2029-2034
Cambie-Richmond2027-2032
Haney Tunnel2030-2035Tunnel Boring Machine and Loading System
Metro Vancouver Board Budget Workshop
COQUITLAM LAKE WATER SUPPLY PROJECT
ACCOMMODATE GROWTHProject Update• Project Definition
• Completion Q4-2021
• Permitting and Regulatory• Scheduled to begin 2022
$ 2022-2026 Cashflow$161 million
Schedule to be reviewedCoquitlam Water Supply Project Rendering
Metro Vancouver Board Budget Workshop
COQUITLAM MAIN WATER PROJECTACCOMMODATE GROWTH
Project Update• Central Section
• Detailed Design, Construction 2022• South Section
• Detailed Design, Construction 2024• Cape Horn Section
• Detailed Design, Construction 2024
$ 2022-2026 Cashflow$420 million
Construction begins – 2022Completion – 2029
Coquitlam Water Main Proposed RouteMetro Vancouver Board Budget Workshop
Water ($CAD / m3)
BENCHMARK OF UTILITY COSTS
Water (Wholesale water rate)
Metro Vancouver (2022) $0.84
Capital Regional District (2021) $0.71
Waterloo (2021) $1.10
Seattle (2021) $0.87
San Francisco (2021) $1.83
Metro Vancouver Board Budget Workshop
2021 2022 2023 2024 2025 2026
$320.1
$0.8110
WATER SERVICES
$431.3
$ 171
$335.4
4.8%
$0.8444
($0.0090)
$471.3
$175
2.3%
3.4%
$351.6
4.8%
$0.8958
($0.0120)
$513.6
$183
4.6%
4.9%
$391.6
11.4%
$0.9912
$0.0028
$483.3
$200
9.3%
7.6%
$437.5
11.7%
$1.1072
$0.0122
$450.6
$221
10.2%
9.3%
$488.3
11.6%
N/A
$564.9
$244
10.3%
N/A
WATER FINANCIAL PLAN SUMMARY
Total Expenditures ($ Millions)
% Change
Blended Water Rate ($/m3)
Blended Water Rate Change From Prior Cycle ($/m3)
Total Capital Cash Flow ($ Millions)
Household Impact ($)
% Change
Prior Cycle Household Impact Change (%)
$1.2345
Metro Vancouver Board Budget Workshop
That the GVWD Board:a) endorse the 2022 Budget and 2022 - 2026 Financial Plan for Water Services, as
presented, and direct staff to prepare the necessary budget information to be presented at the October 29, 2021 Metro Vancouver Districts and Housing Corporation Board meetings for consideration; and
b) direct staff to calculate the water rates applying the 2022 increase wholly to the peak rate.
Metro Vancouver Board Budget Workshop
SOLID WASTE SERVICESGREATER VANCOUVER SEWERAGE & DRAINAGE DISTRICT
Metro Vancouver Board Budget Workshop
SOLID WASTE SERVICES OVERVIEW
• Waste reduction and recycling planning and solid waste disposal services under the authority of the Greater Vancouver Sewerage and Drainage District (GVS&DD)
• Integrated solid waste management system with service delivery focused on achieving Metro Vancouver’s zero waste objectives through reliable, cost-effective, safe and environmentally-sound operations
• User pay model, primarily funded through tipping fees
Metro Vancouver Board Budget Workshop
PERFORMANCE METRICS
Key Performance Metric Current Performance Expected Performance 2022
Recycling Rate (percent of solid waste diverted from final disposal) 63% Increase
Waste Disposed (tonnes) per Capita0.45 Maintain or decrease
Annual solid waste flows in Metro Vancouver system (tonnes) 940,000 Decrease
Availability of the Waste-to-Energy Facility93% Maintain or increase
Metro Vancouver Board Budget Workshop
CONTINUOUS IMPROVEMENTInitiative Outcomes
Recycling Depot Funding Strategy Simplified and equitable funding of recycling depots - $1 million/year municipal savings.
North Shore Organics Contracting Two new contracts in place - $2 million per year regional savings
Waste-to-Energy Facility District Energy
GHG reductions of up to 45,000 tonnes per year
Bottom ash management procurement leading to pilots
Potential disposal reduction of 40,000 tonnes per year, or 5% of regional solid waste quantities and GHG reduction
Waste-to-Energy Facility BiosolidsManagement
Environmentally sustainable, cost effective biosolids solution optimizing use of Waste-to-Energy Facility
Metro Vancouver Board Budget Workshop
SOLID WASTE OPERATING HIGHLIGHTS
• Household Impact change lower than the previous cycle projection -$3 per household increase
• Cycle over cycle reduction of 0.6% expenditures for 2022• Recycling depot costs of $1,000,000 per year included in $4 per tonne
tipping fee increase.• Waste quantities increased over previous cycle projection• Contingency disposal projections decreased based on expected need• Operational cost increases for new recycling and waste centres
Metro Vancouver Board Budget Workshop
Overview:
Drivers for Change:
2021 Operating Budget:2022 Operating Budget:
2021-2025 “Function” Financal Plan
$118.5M$123.0M
3.8% increase
• New recycling and waste centres’ operations and debt servicing
60 63 65 68 71
74
-
10
20
30
40
50
60
70
80
0
20
40
60
80
100
120
140
160
2021 2022 2023 2024 2025 2026
$ M
illion
s
Operating Programs Debt Service Contribution to Capital Household Impact
Solid Waste Services Financial Plan
2022 – 2026 Solid Waste Services Financial Plan
OPERATING EXPENDITURES
Metro Vancouver Board Budget Workshop
Overview:
Drivers for Change:
2021 Operating Budget:2022 Operating Budget:
2021-2025 “Function” Financal Plan
$118.5M$123.0M
3.8% increase
0
20
40
60
80
100
120
140
160
2021 2022 2023 2024 2025 2026
$ M
illion
s
Tipping Fees Other External Revenues Energy Sales
Solid Waste Services Financial Plan
2022 – 2026 Solid Waste Services Financial Plan
OPERATING FUNDING
• Increased waste flow projections.• 2022 - $4 per tonne tipping fee
increase, $7 per tonne in subsequent years
• Consistent with previous cycle projections
Metro Vancouver Board Budget Workshop
Active Capital Projects:
Drivers for Change:
2022 Capital Budget:
SOLID WASTE CAPITAL BUDGET
Solid Waste Capital Budget
Landfills Recycling and Waste Centres Waste to Energy Facilities Opportunity
• Recycling and waste centres completion
• Langley and North Surrey recycling depots
• Waste-to-Energy Facility• District energy• Capital replacement• Biosolids processing
Capital Budget(per capital schedule)
Estimated Spend to Dec 31/2021 $ 142.8M
144.3M
$ 287.1M
For Approval
Metro Vancouver Board Budget Workshop
Active Capital Projects:
Drivers for Change:
2022 Capital Budget:
• Recycling and waste centres completion
• North Surrey land purchase• Timing of capital projects:
• Waste-to-Energy Facility projects
• Western Recycling and Waste Centre
$96.3M$50.8M
47.2% decrease
Solid Waste Capital PlanCAPITAL EXPENDITURES
2022 – 2026 Solid Waste Capital Cash Flow
0
10
20
30
40
50
60
70
2022 2023 2024 2025 2026
$ M
illion
s
Landfills Recycling and Waste Centres Waste To Energy Facilities Opportunity
Overview:
Metro Vancouver Board Budget Workshop
Active Capital Projects:
Drivers for Change:
2022 Capital Budget:
• Capital funding includes Liquid Waste funding for biosolids capital and third party revenues for district energy
$96.3M$50.8M
47.2% decrease
Solid Waste Capital PlanCAPITAL FUNDING
2022 – 2026 Solid Waste Capital Funding
0
10
20
30
40
50
60
70
2022 2023 2024 2025 2026
$ M
illion
s
New External Borrowing Reserve External Funding - Interagency
Overview:
Metro Vancouver Board Budget Workshop
Solid Waste ($ CAD / tonne)
BENCHMARK OF UTILITY COSTS
Solid WasteMetro Vancouver (average tipping fee; *2022) $130*
Capital Regional District (2021) $110
Toronto (2021) $161
Seattle (2021) $216
San Francisco (2021) $292
Metro Vancouver Board Budget Workshop
2021 2022 2023 2024 2025 2026
$118.5
$127
$96.3
$60
$123.0
3.8%
$130
2.5%
$50.8
$63
4.3%
6.4%
$129.3
5.2%
$137
5.4%
$53.9
$65
3.4%
3.3%
$137.2
6.1%
$144
5.1%
$62.4
$68
3.7%
3.7%
$144.3
5.1%
$151
4.8%
$46.0
$71
4.5%
4.5%
$151.4
5.0%
4.6%
$55.0
$74
4.3%
N/A
SOLID WASTE FINANCIAL PLAN SUMMARY
Total Expenditures ($ Millions)
% Change
Blended Tipping Rate ($/t)
% Change
Total Capital Cash Flow ($ Millions)
Household Impact ($)
% Change
Prior Cycle Household Impact Change (%)
$158
Metro Vancouver Board Budget Workshop
That the GVS&DD Board endorse the 2022 Budget and 2022 - 2026 Financial Plan for Solid Waste Services, as presented, and direct staff to prepare the necessary budget information to be presented at the October 29, 2021 Metro Vancouver Districts and Housing Corporation Board meetings for consideration; and
Metro Vancouver Board Budget Workshop
86
METRO VANCOUVER HOUSING CORPORATIONLynden Court
Metro Vancouver Board Budget Workshop
Metro Vancouver Housing
Metro Vancouver Board Budget Workshop
PROVIDE PRESERVE EXPAND11 PROJECTS
2,300 UNITS
RENEW &
IMPROVE
TENANT PROGRAMS
COMMUNITY BUILDING
Metro Vancouver Housing 10 Year Plan
Metro Vancouver Board Budget Workshop
• MVH 10 Year Plan implementation• ID Redevelopment and
Expansion Priorities• Manage redevelopment and
expansion projects to pre-construction
• Partnerships and Funding applications
• MVHC Policy and Agreements• Regional Policy, Data and Research
• Operations (49 sites)• Capital maintenance• Construct Development
and Redevelopment Projects
• Tenant Programs• Finance (Tenant Accounts
and Subsidies)
Housing Planning & Policy MVHC
Metro Vancouver Board Budget Workshop
Guided by the Metro Vancouver Housing’s 10-Year Plan: Provide safe, inclusive, diverse and affordable homes in communities throughout the region; Preserve existing portfolio through capital maintenance to support affordability & improve sustainability and accessibility; Expand through redevelopment and partnerships with member jurisdictions and other levels of government.
Metro Vancouver Housing over the next 5 yearsMVHC OVERVIEW
Somerset Gardens Complex
Metro Vancouver Board Budget Workshop
Key Performance Past Performance (Average) Expected Performance 2022
Total RGI units rented to subsidized tenants
33% (3 year average)
Metro Vancouver Housing Communities with tenant associations
63% (3 year average, 30 sites)
Vacancy percentage (based on number of rentable units)
0.2% (3 year average)
MVHCPERFORMANCE METRICS
33%
65% (2022, 32 sites)
0.2%
Metro Vancouver Board Budget Workshop
Key Performance Past Performance (Average) Expected Performance 2022
Reduce GHG emissions 10.2 grams CO2 Emissions per m2 (2010 baseline)
Welcher Avenue Redevelopment
2021: 10% Construction
Kingston Gardens Phase I Redevelopment
2021: 10% Construction
MVHCPERFORMANCE METRICS
7.45 grams CO2 Emissions per square metre
2022: 75% Construction
2022: 75% Construction
Metro Vancouver Board Budget Workshop
CONTINUOUS IMPROVEMENT
Initiative Outcomes
Expand through Redevelopment – add 736 new & redeveloped units in 5 Year Financial Plan Horizon
• Kingston Gardens Phase 1, Surrey – Construction 75%• Welcher Avenue, Port Coquitlam – Construction 75%• Heather Place B, Vancouver – Detailed design – 95%• Eastburn Square, Burnaby – Detailed design – 60%• Malaspina Village Phase 1, Coquitlam – OCP Application
100%, Rezoning 75%, Design 50%
Build New Amenity Space to Expand Free Food Program
Expand the free food program for vulnerable tenants –improved and expanded service, and provide new gathering place for community events and other tenant programs; leverage funding programs to improve service
Metro Vancouver Board Budget Workshop
CONTINUOUS IMPROVEMENTInitiative Outcomes
Accelerate Delivery of Large Capital Rehabilitation Projects through Financing
Front end projects to leverage low interest rates and mitigate commodity and service cost increases
• Strathearn Court, Vancouver – Construction 5%• Evergreen Downs, Delta – Construction 100%• Kelly Court, Vancouver – Construction 80%
Pembina REFRAMED
• Develop replicable approach to whole-building retrofits to improve tenant comfort, well-being and safety, extend the life of the asset, reduce operational costs, improve energy efficiency, and reduce GHG emissions at 3 sites
Innovations in Technology to improve efficiency and service levels
• Implement work order system for capital maintenance projects to improve timelines & decrease overall costs
• Develop online portal for tenants to submit documents and correspondence, 50% completion by end of 2022
• Improve/update existing housing website
Metro Vancouver Board Budget Workshop
OPERATING AND CAPITAL HIGHLIGHTSYear Initiative Description
2022 Full building rehabilitation projects (6)Financing of rehabilitation projects
6 rehabilitation projects in various stages of design and construction ongoing in 2022 (282 Homes)Accelerate preservation of portfolio through maintenance
2023 Expand Tenant Free Food Programs Develop an amenity space to run free-food and other tenant programs
2024 Rent up of 2 redevelopment projects: Kingston and Welcher
Additional 148 homes added to the Housing portfolio
2025 Rent up of 2 redevelopment projects: Heather Place B and Civic Centre
Additional 209 homes added to the Housing portfolio
2026 Rent up of 3 redevelopment projects: Eastburn, Southwynde and Malaspina
Additional 379 homes added to the Housing portfolio
Metro Vancouver Board Budget Workshop
Overview:
Drivers for Change:
2021 Operating Budget:2022 Operating Budget:
2021-2025 “Function” Financal Plan
$53.7M$54.8M
2.1% increase
• Expansion of portfolio by 736 units • Inflation for goods and services (1.9%)• Increases for janitorial services, waste
removal, utilities, property insurance, and landscaping, offset by property tax savings of $2.8M
0
20
40
60
80
100
2021 2022 2023 2024 2025 2026
$ M
illion
s
Contribution to Reserve Contributions to Capital Replacement Reserve
Debt Service Operating Programs
MVHC Financial Plan
2022 – 2026 MVHC Financial Plan
OPERATING EXPENDITURES
Metro Vancouver Board Budget Workshop
Overview:
Drivers for Change:
2021 Operating Budget:2022 Operating Budget:
2021-2025 “Function” Financal Plan
• Expansion of portfolio by 736 units • Projected inflationary rent increase
of 1.9% • Increase in financing to fund
rehabilitation projects
0102030405060708090
2021 2022 2023 2024 2025 2026
$ M
illion
s
Housing Rents Housing Mortgage and Rental SubsidiesOther External Revenues Financing ProceedsTransfer from Reserves
MVHC Financial Plan
2021 – 2026 MVHC Financial Plan
OPERATING FUNDING
$53.7M$54.8M
2.1% increase
Metro Vancouver Board Budget Workshop
2022-2026 CAPITAL MAINTENANCE EXPENDITURESCAPITAL MAINTENANCE
0
5
10
15
20
2022 2023 2024 2025 2026
Milli
ons
2022 – 2026 Capital Maintenance Plan
Manor House Kelly Court Strathearn Court Regal Hotel Le ChateauCrown Manor Minato West Evergreen Downs Somerset Gardens Other Maintenance
Overview:• Funding from Operating Surpluses / Reserve; financing• 2022-2026 Maintenance Plan Cash Flows: $72.9M
Drivers:• Asset Facility Condition Index• Preservation of existing affordable housing • Reduce GHG emissions by 45% (from 2010 levels) by 2030
Metro Vancouver Board Budget Workshop
Active Capital Projects:
Drivers for Change:
2022 Capital Budget:
2022 - 5 Year Approved Projects’ Budget as of October 2021MVHC CAPITAL BUDGET
2022 MVHC Capital Budget
• Support critical need for affordable housing in the region through redevelopment of existing sites to create additional homes
• Partnerships to deliver additional affordable housing sites across the region
• Welcher Ave. (construction) 63 Units• Kingston Gardens (construction) 85 Units• Heather Place B (planning and approvals) 87 Units• Eastburn (planning and design) 172 Units• Malaspina Phase 1 (planning and design) 85 Units• Southwynde (planning and design) 122 Units• Pitt Meadows (planning and design) 122 Units
Total is 736 new and redeveloped units
Active Capital Projects:
Capital Budget(per capital schedule)
Estimated Spend to Dec 31/2021 $ 14.8M
307.7M
$ 322.5M
Future Projected Spend
Metro Vancouver Board Budget Workshop
Active Capital Projects:
Drivers for Change:
2022 Capital Budget:
• Support critical need for affordable housing in the region through redevelopment of existing sites to create additional homes
• Partnerships to deliver additional affordable housing sites across the region
$39.6M$48.3M
22.0% increase
MVHC Capital PlanCAPITAL EXPENDITURES
2022 – 2026 MVHC Capital Cash Flow
020406080
100120140160
2022 2023 2024 2025 2026
$ M
illion
s
Heather Place - Building B Kingston Gardens - Phase 1 Welcher AvenueEastburn Square Malaspina Pitt Meadows Town CentreSouthwynde - Burnaby Projects in Planning
2021 Capital Cash Flow2022 Capital Cash Flow
Overview:
Metro Vancouver Board Budget Workshop
Active Capital Projects:
Drivers for Change:
2022 Capital Budget:
• Developing CMHC Partnership -providing low interest long-term loans
• Pursuing BC Housing Partnership
• Support development through Housing reserves
• Develop additional Partnerships with Member Municipalities
$39.6M$48.3M
22.0% increase
MVHC Capital PlanCAPITAL FUNDING
2022 – 2026 MVHC Capital Funding
020406080
100120140160
2022 2023 2024 2025 2026
$ M
illion
s
Reserves New External Borrowing Grant
2021 Capital Cash Flow2022 Capital Cash Flow
Overview:
Metro Vancouver Board Budget Workshop
2021 2022 2023 2024 2025 2026
$53.7
MVHC 2022 - 2026
$12.4
$54.8
2.1%
$12.7
$60.3
10.0%
$17.4
$66.8
10.7%
$20.2
$68.8
3.1%
$19.6
$76.4
11.0%
$18.8
MVHC FINANCIAL PLAN SUMMARY
Total Expenditures ($ Millions)
% Change
Other Revenues*
Housing Rents ($ Millions)
% Change 2.0% 1.9% 8.5% 5.7% 17.1%
$42.1 $42.9 $46.6 $49.2 $57.7$41.3
% Change 2.4% 37.0% 16.2% (3.0%) (4.2%)
*includes subsidies, other external revenues, financing proceeds, transfer from reserves
Total Capital Cash Flow ($ Millions) $39.6 $48.3 $48.2 $105.4 $148.3 $77.8
Metro Vancouver Board Budget Workshop
That the MVHC Board endorse the 2022 Budget and 2022 - 2026 Financial Plan for the Metro Vancouver Housing Corporation, as presented, and direct staff to prepare the necessary budget information to be presented at the October 29, 2021 Metro Vancouver Districts and Housing Corporation Board meetings for consideration; and
Metro Vancouver Board Budget Workshop
104
METRO VANCOUVER REGIONAL DISTRICTBurnaby, BC
Metro Vancouver Board Budget Workshop
• Housing Planning & Policy• Regional Planning• Electoral Area Services• Regional Parks• Air Quality• E911 Emergency Telephone Service• General Government Administration
• General Government Zero Waste Collaboration Initiatives• Regional Economic Prosperity• Regional Employer Services• Regional Emergency Management• Regional Global Positioning System• Sasamat Fire Protection Service
MVRD OVERVIEW
Metro Vancouver Board Budget Workshop
Key Performance Past Performance (Average) Expected Performance 2022
% of growth occurring within the Urban Containment Boundary(Regional Planning)
PERFORMANCE METRICS
98%98%
Regional GHG emissions(Air Quality)
2015: 5.8 tonnes per capita
2020: 5.4 tonnes per capita
4.2 tonnes per capita
Corporate GHG emissions (Air Quality)
2015, 2019, 2020: carbon neutral
2016 – 2018 average: 9,400 tonnes/yr
carbon neutral (net zero GHGs)
Metro Vancouver Board Budget Workshop
Key Performance Past Performance (Average) Expected Performance 2022
Number of Bilateral Meetings with First Nations (Indigenous Relations)
PERFORMANCE METRICS
100Five year average: 20(2020: 50)
Total Requests for Information of Advice (Indigenous Relations)
Five year average: 1,350
(2020: 2,268)
5,000
Annual number of visits to Regional Parks (Regional Parks)
3-year average: 13,390,000
(2020: 16,497,000)
16,500,000
Metro Vancouver Board Budget Workshop
Key Performance Past Performance (Average) Expected Performance 2022
Number of public meetings and engagement events (Electoral Area)
PERFORMANCE METRICS
88
Pitt Meadows Civic Centre site (municipal partner site) (Housing Planning & Policy)
10% 75%
Metro Vancouver Board Budget Workshop
MVRD CONTINUOUS IMPROVEMENT
Initiative Outcomes
Continued Implementation of the Regional Parks Land Acquisition 2050 (Parks)
• Carbon credits from Regional Parks land acquisition and restoration enabled Metro Vancouver to achieve corporate carbon neutrality for 2019 potentially through to 2022
• 92% (27,440 of 29,834 tCO2e) of the estimated carbon credits are from Parks projects.
• @ $150/ tonne, the 27,440 tCO2e is a $4.1M value.
Metro 2050 (Regional Planning)Improved policies for social equity, integration of First Nations interests, climate action and addressing the housing crisis
Strategic investment program (REPS) Establish a regional strategic investment retention program.
Metro Vancouver Board Budget Workshop
CONTINUOUS IMPROVEMENT (MVRD)
MVRD CONTINUOUS IMPROVEMENTInitiative Outcomes
Integrated Land Use Model (Regional Planning)
Improved ability to support scenario planning throughout the region
Barge Cleanup Events (Electoral Area) Enhanced service to reduce risk of environmental contamination and better serve residents
Climate 2050 Roadmaps (Air Quality)1/3 of the way to 45% reduction target by 2030;• Ongoing updates to enhance existing actions and add
new ones, to achieve 2030 climate targets.
Achieving and maintaining corporate carbon neutrality(Air Quality)
An evolving and innovative portfolio of GHG reductions, energy improvements, and carbon credits;• Targets and roadmaps by function area.
Metro Vancouver Board Budget Workshop
MVRD OPERATING HIGHLIGHTSYear Initiative Details
2022 Completion of Regional Parks Plan 2050 Board approval and engagement process for updated Regional Parks Plan
2022 Metro 2050 Adoption of regional growth strategy
2022 Zero Waste Conference Host a two-day 2022 Zero Waste Conference to help inspire and challenge participants to create a future without waste.
2022 Advance Housing development priorities Manage 6 Housing projects through design & approvals
2022 Climate 2050 roadmaps Complete 10 issue area roadmaps and seek Board adoption
2022 Establish a regional strategic investment retention program
Regional scale strategic investment retention program undertaken in collaboration with members
2022 Local Government Election for Electoral Area A
Administer local government election in Electoral Area A
Metro Vancouver Board Budget Workshop
REGIONAL DISTRICT FINANCIAL PLAN
7076
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20
40
60
80
100
120
140
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2021 2022 2023 2024 2025 2026
Milli
ons
Air Quality Housing Policy and Planning Regional ParksRegional Planning Other Household Impact
2022-2026 Regional District Financial Plan
Metro Vancouver Board Budget Workshop
Regional Parks CAPITAL PROGRAM HIGHLIGHTS
Year Initiative Details2022 Grouse Mountain Regional Park Trail and
Amenity Improvements (2021-2024)Trails, open space, ecological enhancements (Investing In Canada Infrastructure Grant)
2023 Widgeon Marsh Regional Park Development (2021-2024)Delta Nature Reserve & Delta South Surrey Greenway (2023-2024)
Development and opening of Widgeon Mash Regional park
2024 Campbell Valley Regional Park Management Plan Implementation (2022-2024)
Development of unopened parkland, greenway expansion, open space, trails and habitat enhancements
Greenway development, Delta Nature Reserve Boardwalks, ecological enhancements
2025 Belcarra South Day Use Area (2024-2025) New beach access, open space and parking
2026 Ongoing Land Acquisition/Capital Replacement and Greenway Implementation
Implementation of Regional Greenway and Land Acquisition Strategy
Metro Vancouver Board Budget Workshop
Active Capital Projects
Drivers for Change:
2022 Capital Budget:
REGIONAL PARKS CAPITAL BUDGET
2022 Regional Parks Capital Budget
• Capacity & Growth• Facility Replacement &
Asset Management• Ecological Resilience• Connected Network• Land Acquisition
Major Projects Greenways
Service Facilities Park Development
Regional Parks Land Acquisition
Capital Budget For Approval:
Active Capital Projects:
Capital Budget(per capital schedule)
Estimated Spend to Dec 31/2021 $ 19.4M
44.6M
$ 64.0M
For Approval
Metro Vancouver Board Budget Workshop
Active Capital Projects
Drivers for Change:
2022 Capital Budget:
• Capacity, Growth & Ecological Resilience
• Facility Replacement & Asset Management
• Connected Network• Land Acquisition
$19.0M$31.3M
64.7% increase
Regional Parks Capital PlanCAPITAL EXPENDITURES
2022 – 2026 Regional Parks Capital Cash Flow
05
10152025303540
2022 2023 2024 2025 2026
$ M
illion
s
Major Projects Greenways Service Facilities Park Development Land Acquisition
2021 Capital Cash Flow2022 Capital Cash Flow
Overview:
Metro Vancouver Board Budget Workshop
Active Capital Projects
Drivers for Change:
2022 Capital Budget: $19.0M$31.3M
64.7% increase
Regional Parks Capital PlanCAPITAL FUNDING
2022 – 2026 Regional Parks Capital Funding
05
10152025303540
2022 2023 2024 2025 2026
$ M
illion
s
Reserves External Funding - Grants
• Capacity & Growth• Facility Replacement &
Asset Management• Ecological Resilience• Connected Network• Land Acquisition
2021 Capital Cash Flow2022 Capital Cash Flow
Overview:
Metro Vancouver Board Budget Workshop
2021 2022 2023 2024 2025 2026
$101.1
$80.9
$19.0
$70
$113.5
12.2%
$89.9
11.0%
$31.3
$76
9.0%
4.9%
$121.4
6.9%
$101.8
13.3%
$33.6
$85
11.0%
5.2%
$127.1
4.7%
$107.9
5.9%
$32.3
$88
3.8%
4.4%
$130.7
2.9%
$111.0
2.9%
$29.0
$89
1.5%
1.8%
$135.8
3.9%
3.9%
$30.4
$91
2.5%
N/A
REGIONAL DISTRICT FINANCIAL PLAN SUMMARY
Total Expenditures ($ Millions)
% Change
MVRD Requisitions ($ Millions)
% Change
Total Capital Cash Flow ($ Millions)
Household Impact ($)
% Change
Prior Cycle Household Impact Change (%)
$115.3
Metro Vancouver Board Budget Workshop
That the Metro Vancouver Regional District Board endorse the 2022 Budget and 2022-2026 Financial Plan for the Regional District Service Areas and direct staff to prepare the necessary budget information to be presented at the October 29, 2021 Metro Vancouver Regional District Board meeting for consideration
Metro Vancouver Board Budget Workshop
119SUMMARY
Metro Vancouver Board Budget Workshop
2022 – 2026 FINANCIAL PLAN OVERVIEW
3.5% Proposed 2022 Budget
$21 Increase for the average household in 2022(Water: $4, Liquid Waste: $8, Solid Waste: $3, MVRD: $6)
$595 Average annual costs for all Metro Vancouver services
2022 Budget – Bottom Line
Metro Vancouver Board Budget Workshop
OVERALL HOUSEHOLD IMPACT 2022 - 2026
2021 2022 2023 2024 2025 2026
Water District $171 $175 $183 $201 $221 $244
Liquid Waste $273 $281 $322 $375 $447 $538
Solid Waste $60 $63 $65 $68 $71 $74Regional District $70 $76 $85 $88 $89 $91Total Household Impact $574 $595 $655 $732 $828 $947% Change 3.5% 10.1% 11.6% 13.2% 14.3%15 Year Amortization $574 $595 $657 $735 $833 $952% Change 3.5% 10.4% 11.8% 13.3% 14.3%
NSWWTP 30 Year Amortization for NSSA
Metro Vancouver Board Budget Workshop
That the MVRD/GVS&DD/GVWD/MVHC Board:a) endorse the 2022 Budget and 2022 – 2026 Financial Plan for the Metro Vancouver Districts and
Housing Corporation, as presented, and direct staff to prepare the necessary budgetinformation to be presented at the October 29, 2021 Metro Vancouver Districts and HousingCorporation Board meetings for consideration; and
b) endorse a 30-year amortization term for the North Shore Sewerage Areas share of the debtrelated North Shore Wastewater Treatment Plant Project as requested by the three north shoremunicipal Councils; and
c) direct staff to calculate the water rates applying the 2022 increase wholly to the peak rate; andd) endorse amendments to the Cost Apportionment Bylaw to enable the division of the GVS&DD
levy into separate dry and wet weather components and issue a separate requisition for eachcomponent
Metro Vancouver Board Budget Workshop
QuestionsMetro Vancouver Board Budget Workshop
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