ADMINISTRATIVE REPORT

Date: January 29, 2001
Author/Local: Rudy Roelofsen

RTS NO. 01858

CC File No. 1602/3102

Council: February 13, 2001

TO:	Vancouver City Council
FROM:	General Manager of Parks and Recreation in Consultation with the Director of Finance
SUBJECT:	PARK BOARD CAPITAL FUNDING TRANSFERS

RECOMMENDATION

A. THAT Council endorse the Park Board's removal of asbestos-containing material from the ceilings of Trout Lake Ice Rink and Killarney Ice Rink.

B. THAT Council endorse the Park Board's construction of a sewage lift station at Brockton Point in Stanley Park.

C. THAT Council authorize the following fund transfers:

i. $120,000 from 2000 Capital-Major Maintenance Rinks (order 30002842) to 2000 Capital - Asbestos Abatement (order 30002847)

ii. $65,000 from 1997/99 Capital-General Rink Improvement (order 30001001) to 2000 Capital - Asbestos Abatement (order 30002847)

iii. $90,000 from 2000 Capital - Stanley Park Electrical (order 30002871) and $150,000 from 2000 Capital - Washroom Upgrades (order 30002843) to a new Capital project called Stanley Park Sewage Lift Station.

COMMENTS OF THE DIRECTOR OF FINANCE

The Director of Finance notes that the transfer of capital funds proposed by the Park Board is: (i) consistent with the borrowing authority under which it was provided, or (ii) is provided from Capital from Revenue. As a result, these transfers can be approved by a simple majority vote of Council.

COUNCIL POLICY

The City's annual capital budget, including the Park Board's capital budget, requires Council approval. In addition, capital funding transfers in excess of $50,000 initiated by the Park Board require Council approval.

PURPOSE

To approve transfer of funds within the Park Board's capital budgets.

ASBESTOS REMOVAL

Background

In May of 2000 the Board found out that the sprayed-on ceiling insulation in two of its rinks, Trout Lake and Killarney, contained asbestos amounts in excess of Workers' Compensation Board regulations. The rinks had to be closed immediately, and staff made arrangements to have the asbestos removed.

The cost of the removal amounted to: Killarney $193,500

Trout Lake $177,000
Total $370,500

In addition at Trout Lake a previously planned low emissivity ceiling was installed ($25,000) at the same time, since scaffolding installed for the asbestos removal could also be used for this project.

At the meeting of October 16, 2000, the Board passed the following resolution:

THAT the following two permanent transfers of capital funds be approved:

i. $120,000 from 2000 Major Maintenance Rinks (#30002842) to 2000 Asbestos Abatement (#30002847)

ii. $65,000 from 1997/99 General Rink Improvement (#30001001) to 2000 Asbestos Abatement (#30002847).

Discussion

The total 2000 Capital Asbestos Abatement budget was $133,000. A small number of projects could be deferred ($35,500), requiring an additional $335,000 to be obtained from other capital accounts.

Staff identified three temporary transfers totalling $150,000. The three temporary transfers are to be repaid from the 2001 Asbestos Capital allocation, and fall within the General Manager's approval authority. The temporary transfers will not affect the realization of planned projects in the three listed accounts.

The two permanent transfers require Board and Council approval.

· 2000 Capital Rink Major Maintenance, transfer $120,000 to 2000 Capital Asbestos Abatement . This account has an allocation for $247,000, which includes $25,000 for the installation of a low emissivity ceiling at Trout Lake. After installing the low emissivity ceiling and accounting for the proposed transfer, the 2000 Rink account will have a balance of $102,000. This will result in a reordering of priorities of planned projects in this area.

· 1997/99 General Rink Improvements, transfer $65,000 balance to 2000 Capital Asbestos Abatement.

Due to the emergency nature of this work and a commitment to minimize the interruption to clients, staff have completed this project. The work needed to be completed immediately to prevent a WCB Order and potential fine.

SEWAGE LIFT STATION

Background
The construction of the new Totem Pole Visitor Centre, approved in previous budgets, necessitated the review of the sewage handling infrastructure in the Brockton Point area.

Sewage from the Brockton Point area is presently pumped to a gravity main near the Aquarium. There are existing sewage pumps at the Cricket Pavilion and Brockton Oval Fieldhouse. Planning for the Totem Pole Visitor Centre assumed sewage would be pumped up to the existing station at the Cricket Pavilion. Due to the poor condition of that station and the one at the Brockton Oval Fieldhouse, staff retained an engineering consultant to assist in the review of the sewage handling plan for the entire eastern part of the park.

A consultant's report has recommended that the two existing and one proposed lift stations be replaced with one major lift station for the area.

The new arrangement addresses the issue of inadequate and aging existing plant, will reduce operating and maintenance costs in future, and will ensure a more reliable sewage handling system for the area.

The consultant estimates the total cost of the project at $240,000 including design,construction and contingency costs.

At the meeting of September 25, 2000, the Board passed the following resolutions:

A. THAT the Board authorize the design and installation of a new sewage lift station in Stanley Park at a cost not to exceed $240,000.

B. THAT the Board authorize the transfer, within the 2000 Capital Budget, of:

· $90,000 from Order 30002872 - Stanley Park Electrical, and
· $150,000 from Order 30002843 - Washroom Upgrades
to a new Project called Stanley Park Sewage Lift Station.

C. THAT the Board submit recommendations A and B to Council for approval.

Discussion
Staff recommend creating a capital account for this work using funds transferred from the following accounts in the 2000 Capital Budget:

· Washroom Upgrades, transfer $150,000 from the 2000 Capital Budget allocation of $172,000 for upgrading Stanley Park or beach washrooms. The proposed sewage lift station work is related to washroom upgrading, and in fact required to maintain dependable washroom service in this part of Stanley Park.

·
Electrical Service Extension, transfer $90,000 from the 2000 Capital Budget allocation of $190,000 to provide service to the miniature train area. Some of the intended work will be deferred to future capital plans.

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(c) 1998 City of Vancouver