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HomeMy WebLinkAboutCS 21-03 CiiL¡ 0# 013 REPORT TO COUNCIL Report Number: CS 21-03 Date: April 16, 2003 From: Gillis A. Paterson Director, Corporate Services & Treasurer Subject: Ontario Transit Renewal Program - 2003 Request for Allocation of Funds Recommendation: That Report CS 21-03 be received for information and that: 1. 2. 3. Council approve the request for allocation of funds as directed in the Ontario Transit Renewal Program guidelines for 2003; Council approve the application of the Ontario Transit Renewal Program Funding for the eligible expenditures as approved in 2003 APTA Budget; and, 4. the appropriate officials of the City of Pickering and the Ajax Pickering Transit Authority be given authority to give effect thereto. Executive Summary: The Ontario Transit Renewal Program (OTRP), an important element of the $9 billion, 10-year transit investment plan was announced by the Government of Ontario in September 2001. The OTRP is designed to assist in and provide up to one-third of the costs of the replacement or major refurbishment of ageing municipal transit vehicles. We very recently received the application forms and an information package from the Province wherein it is indicated that submissions must be made to the Ministry of Transportation by May 1, 2003 and that Council must pass a Resolution supporting the application. The Council of the Town of Ajax will be passing a similar Resolution. Financial Implications: On January 16th, 2003, the Province announced the release of over $103 million for this year's portion of the 10-year Ontario Transit Renewal Program. The 2003 allocation for each municipality is based on spending estimates provided by municipalities. OTRP will provide up to one-third funding in 2003 for all eligible renewal expenditures. Under the Ontario Transit Renewal Program, APT A's eligible renewal expenditures are based on the following APT A Board and Council approved 2003 capital budget items: 014 Report CS 21-03 . Date: April 16, 2003 Subject: Ontario Transit Renewal Program - 2003 Request for Allocation of Funds Page 2 page 39 Replacement - 1982 Orion 1 Bus #2044 page 39 Replacement - 1984 Orion 1 Bus #2043 page 39 Replacement - 1984 Orion 1 Bus #2042 page 39 Mid-life Refurbishing - 1990 Orion 1 Bus #2021 page 39 Mid-life Refurbishing - 1991 Orion V Bus #2020 page 39 Mid-life Refurbishing - 1992 Orion 1 Bus #2019 page 46 Replacement - 1995 Ford CTV Bus #9010 page 46 Replacement - 1995 ELF 125 Bus #9008 $515,000 $515,000 $515,000 $45,000 $45,000 $45,000 $90,000 $90,000 Based upon the above the eligible funding for 2003 under this program is $650,000 ($873,126 in 2002). Approval of the above Recommendations will provide the necessary authority for the Ministry of Transportation to issue payment of renewal funds based on our request for allocation of such funds. Background: On September 27, 2001, the government announced a 10-year, $9 billion transit investment plan to contribute towards an efficient and integrated provincial transportation system. The plan is made up of $3 billion from the provincial government, along with matching contributions from municipalities and potentially the federal government to renew and expand transit systems across the province. This is in addition to $250 million announced for transit expansion in the Golden Horseshoe. The government's plan is based on: . An investment of $3 billion from the province over 10 years; . An acceptance of the federal government's proposal to participate in municipal transit infrastructure funding - with an expected matching contribution of $300 million annually, ($3 billion federal government potential share over 10 years); . Creating a new partnership in which the municipalities' share of transit capital is reduced from 100 per cent to one-third -- through their own annual investment of $300 million, ($3 billion - municipal share over 10 years) In response to the package recently received concerning the Guidelines and Requirements of the Ontario Transit Renewal Program for 2003 recently received, APT A is required to submit required forms to the Ministry of Transportation by May 1, 2003. Report CS 21-03 Date: April 16, 2003 f'tl!) Subject: Ontario Transit Renewal Program - 2003 Request for Allocation of Funds Page 3 As such, under the current legislation the Request for Allocation of Renewal Funds must be accompanied by a Resolution of the Council of the respective Corporations (Pickering and Ajax) supporting an allocation of funds for eligible expenditures. Payment of renewal funds in the amount of $650,00 will only be made upon receipt of above-stated Resolution. A Reserve Fund has been established by both Pickering and Ajax for the purpose of administering OTRP funds intended to be used toward progress or final payments for eligible transit vehicles ordered or eligible major refurbishment costs of transit vehicles. Attachments: Not applicable Prepared I Approved I Endorsed By: --P ~ ¿':ß. ----- -Gillis A. Paterson Director, Corporate Services & Treasurer GAP:vw Copy: Chief Administrative Officer Recommended for the consideration of Pickering City Coun . -'" ¡? Thomas J. Quinn,