ADMINISTRATIVE REPORT Date: April 21, 1997 Dept. File No. CC File No. 5750-1 TO: Vancouver City Council FROM: General Manager of Engineering Services SUBJECT: Enhanced Canada-B.C. Infrastructure Works Program RECOMMENDATION THAT Council endorse the prioritized list of transportation projects and the Hastings Park sewer project in Appendix A, for submission to the Enhanced Canada - B.C. Infrastructure Works Program, and authorize staff to submit applications to the Provincial government. COUNCIL POLICY In 1985, Council endorsed the Federation of Canadian Municipalities (FCM) initiative to take steps to halt the significant decline in the condition of infrastructure in urban areas, placing emphasis on maintenance and reconstruction as opposed to new construction, in partnership with senior governments. In 1993 and 1994, Council reiterated this position to the Federal and Provincial Governments, and noted the need for municipal involvement in the Management Committee reviewing projects for the Infrastructure Works Program. In 1995, Council again informed the Federal and Provincial Governments of the City s views regarding the Infrastructure Program, including a request to place more emphasis on municipal infrastructure and provide more timely project approvals. PURPOSE This report presents Council with an overview of recently released information on the Enhanced Canada-B.C. Infrastructure Works Program, and recommends approval of a prioritized list of projects for submission to the program. BACKGROUND As part of the 1987-1990 Capital Plan, voters approved a $10 million borrowing plebescite for cost-sharing infrastructure improvements with senior governments. In February 1994, agreements between the Provincial and Federal Governments were signed to start the first Canada-B.C. Infrastructure Works Program. Funding totalling $675 million was made available in British Columbia. Public works awards to the City were received for sewer separation ($12,000,000), left turn bays and arterial street realignment($1,350,000) and the Port Roadway/Transit Lane ($840,000). The majority of this work has been completed. On January 6, 1997, the FCM forwarded a communique to Mayors in cities across Canada, informing them that the Federal Government had made an offer to the Provinces to extend the Infrastructure Program. The communique also stated concerns that some provinces may hesitate or propose initiatives that do not address municipal needs. Based on this communique and the City s own concerns, Council passed several motions regarding extension of the Infrastructure Program on January 28, 1997: THAT the Mayor write a letter to the Federal and Provincial Governments informing them that Council supported the Federation of Canadian Municipalities (FCM) resolution on renewal of the National Infrastructure Program; THAT the Mayor's letter to the Federal and Provincial Governments also reiterate the City s previous comments that there be municipal representation on the Management Committee reviewing projects submitted under the Infrastructure Works Program, that the only priority be for projects that replace existing, deteriorating municipal infrastructure, and that soft infrastructure projects be eliminated; THAT Council request the Union of B.C. Municipalities to provide the municipal representation on the Infrastructure Works Program management committee; and THAT the General Manager of Engineering Services report back to Council, in consultation with the Director of Finance, on details of the projects, and the source of the City s share of funding for projects. Accordingly, letters from the Mayor were sent to the Federal and Provincial governments, and the Union of B.C. Municipalities. On March 25, 1997, the Minister for Transportation and Highways, the Minister for Municipal Affairs, and a delegation headed by the president of the Union of B.C. Municipalities (UBCM) met to discuss the terms and status of the Gederal Government offer to enhance the Canada-B.C. Infrastructure Works Program. At this meeting, the ministers expressed concerns regarding the Federal Government s requirement that all projects be completed by March 31, 1998, and the limitations this put on the level of consultation that the UBCM would have preferred. In anticipation that a new agreement would be signed shortly, and in acknowledgement of the very brief window for project construction, a Program Guide and Application Kit was forwarded to municipalities in advance (copy on file with the City Clerk). This kit was received by the City on April 11th, and gives a deadline for submissions of April 22nd. It covers only the transportation component of the program. The general content is similar to the original Infrastructure Works Program kit. On April 18th, a local newspaper article indicated that the signing of the agreement for the Enhanced Canada-B.C. Infrastructure Works Program would be announced later that day. It also noted that $85 million or 55% of the $155 million in program funding would be allocated to improving transit services ($25 million for new buses and $60 million to other transit improvements such as park-and-ride facilities and transit terminals). Subsequently, the Mayor s Office received a News Release dated April 18, 1997 announcing that the top-up to the program had been signed. New information contained in the News Release includes the following: - projects already earmarked under the Province's expenditure plans will be accelerated to meet the requirement for completion in their 1997/98 fiscal year; - this phase will focus primarily on road and transit improvements; - projects will be reviewed by a committee with representation from both the Provincial and Federal governments; - proposed projects must be approved not later than December 31, 1997; - there will be three components: (1) Local roads and cycling network, (2) Cultural and (3) Telecommunications and Transit; and - there is not a hard deadline for applications, but applicants should submit their information as soon as possible. The "local" roads component is the only component covered in the Program Guide and Application Kit that the City received earlier. DISCUSSION As with the original program, the Federal, Provincial, and local governments would each contribute one-third of the total program funding. Also, projects must represent new or accelerated investment, result in short term job creation, and develop physical infrastructure. The "local" roads guidelines note that the purpose of this component of the Infrastructure Works Program is "to assist municipalities in the construction of major roads by sharing the cost of new roads, additional traffic lanes on existing roads, and upgrading of existing poor standard roadways". Further, funding will be available for major roads in the following order of preference: 1. Planned in accordance with Official Community and Regional Plans, containing a transportation component; 2. Planned in accordance with approved transportation network systems, where no Official Community or Regional Plan exists; and 3. Others which are determined to be of community wide significance and demonstrated necessity. Based on the guideline's emphasis on new construction, they still do not meet Council's intent with respect to giving top priority to the replacement of deteriorating municipal infrastructure. This concern has been raised numerous times to Provincial and Federal Government officials over the last three years by both Council and staff. Accordingly, it is disappointing to see that our requests have not been incorporated. Although the Program Guide and Application Kit that the City received only considers the "local" road or transportation component of the Infrastructure Works Program, staff feel that a sewer reconstruction project in Hastings Park is also a very strong candidate for a potential project. This project would help support the Park Board s plans to daylight a stream in the park, which has strong community support. The projects listed in Appendix A take into account the program requirements with respect to completing all work by March 1998, the short notification received, other eligibility guidelines, and City priorities for infrastructure replacement. The General Manager of Engineering Services recommends that Council endorse the prioritized list of transportation projects and the Hastings Park sewer reconstruction project. Staff will be submitting the City s projects immediately after Council's approval, since the deadline is the same day as Council's meeting. Staff will also be including two submissions from the Park Board in the package that is sent out. These two projects are also noted in Appendix A for Council's information. FUNDING Guidelines for the enhanced Infrastructure Program state that funding for the municipal share of projects must be in excess of existing capital budgets or at least represent accelerated funding. A total of $296,000 in existing funding remains from the $10 million infrastructure borrowing authority approved as part of the 1987-1990 Capital Plan. Without knowing the details regarding all the components of the enhanced Infrastructure Works Program, and the exact amount of funding that would be needed, it is not possible to report any further information on funding at this time. The Director of Finance indicates that any additional funding for new streets infrastructure projects would have to come from existing authorities. This means that Council may have to make substitutions within the existing Capital Plan if the City s share of awards exceeds $296,000. Once details of all the components of the enhanced Infrastructure Works Program are known, and as project awards are received, Engineering Services, will report back on the details of funding, in consultation with the Director of Finance. * * * * * APPENDIX A SUMMARY - TRANSPORTATION PROJECTS & HASTINGS PARK SEWER PROJECTS FOR ENHANCED INFRASTRUCTURE WORKS PROGRAM TRANSPORTATION 1. Commercial Drive Bus Bulges $ 300,000 Installs bus bulges along the retail portion of Commercial Drive. This project would improve bus service by eliminating the need for buses to merge in and out of traffic in this area. It would also allow for wider passenger loading areas at stops, outside of the existing a sidewalk. Among the benefits are greater flexibility in the design of bus shelters, and increased space on the existing sidewalks for pedestrians. Accordingly, this would help promote transit use in the area, and improve pedestrian conditions along this retail strip. 2. Powell Street Pavement Reconstruction $ 700,000 Reconstructs the pavement on Powell Street between Rogers Street and Commercial Drive. This project will reconstruct the portion which has deteriorated past the point where normal maintenance is worthwhile. This improvement will benefit goods movement to the Port and local businesses. In addition, this section of street is also a transit route. 3. Traffic Signal Management System $1,000,000 The first phase of the $3,000,000 upgrading of the Traffic Signal Management System (TSMS)was approved in the 1997 Capital Budget. This project accelerates the final phase to complete all upgrading of the TSMS this year. The new TSMS will provide improved service for pedestrian and cyclist signals, bus priority, emergency vehicles, and will be able to communicate with other lower mainland systems to help implement Transport 2021 strategies. 4. Burrard Bridge Seismic Upgrading, Phase III $3,100,000 Completes the seismic upgrading of Burrard Bridge, which is a historic landmark and major access route to downtown. This project would bring the bridge approaches up to current seismic standards. It would prevent the collapse of the concrete approach spans in a major earthquake. This would be the last of the major seismic bridge upgrading projects for the City. .../2 Appendix A - Page 2 TRANSPORTATION (continued) 5. Downtown Historic Railway Streetcar $ 280,000 Constructs a permanent building for display of the heritage streetcar leased by the City, provides further restoration of the streetcar, installation of an overhead trolley power system, drainage improvements and related improvements for pedestrian access from Leg in Boot Square and Granville Island. 6. 49th Avenue Pavement Reconstruction $ 540,000 Reconstructs the pavement on 49th Avenue between Prince Albert and Windsor, and Sophia and Frederick. These two sections of 49th require reconstruction which will benefit transit usage along this route and east/west circulation in this area. TOTAL TRANSPORTATION $ 5,920,000 SEWER 1. Hastings Park Sewer Infrastructure Reconstruction $5,000,000 Replaces the existing deteriorated combined sewer located in Hastings Park. A new sanitary sewer would be constructed, while storm water would be directed to the original stream which would be opened up by the Park Board (see below). Reconstruction would help reduce combined sewer overflows and City assessments for dry weather flows to Iona Sewage Treatment Plant. PARK BOARD 1. Hastings Park Biofiltration for Storm Water $5,000,000 This work would be done in connection with the sewer construction projects noted above and would complete day lighting of the old stream through the site. The biofiltration system will collect and clean the storm water, such that the water entering the stream will be of very high quality. Re-establishment of the Hastings stream will provide long-term aesthetic and recreational benefits. The local share of this project would be funded by the Park Board. 2. Stanley Park - Park Drive Road Resurfacing $ 2,770,000 Resurfaces the existing deteriorated road surface, and installs new curb and gutter, and sidewalks where needed, and provides additional wheelchair accessible transit stops. * * * * *