HomeMy WebLinkAboutCS 88-05 REPORT TO
EXECUTIVE COMMITTEE
Report Number: CS 88-05
Date: November 22, 2005
Gillis A. Paterson
Director, Corporate Services & Treasurer
Subject: Ontario Transit Vehicle Program - 2005 Request for Allocation of Funds
Recommendation:
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That Report CS 88-05 be received for information and:
That Council approve the application for Provincial subsidy funding as directed in
the Ontario Transit Vehicle Program (OTVP) guidelines for 2005;
That Council approve the (OTVP) application for the eligible expenditures as
approved in 2005 APTA Budget and the Director, Corporate Services and
Treasurer be authorized to make any changes to the OTVP application or
undertake any actions necessary in order to ensure the application process is
complete; and,
That 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 Vehicle Program or OTVP is designed
to provide up to one-third subsidy funding for: replacement transit vehicles, major
refurbishment of ageing municipal transit vehicles and for fleet expansion. The
application must be approved by the municipal Council and the Council of the Town of
Ajax will be passing a similar Resolution.
Financial Implications: In 2002, 2003 and 2004, APTA had applied to the Province
for one-third subsidy funding for the purchase of replacement vehicles and for major
transit vehicle refurbishments.
Report CS 88-05 Date: November 22, 2005
Subject: Ontario Transit Vehicle Program - 2005 Request for Allocation Page 2
of Funds
Under the Ontario Transit Vehicle Program, APTA's eligible renewal expenditures are
based on the following APTA Board and Council approved 2005 capital budget items:
2005 APTA Capital Budget Submission for
OTVP Funding
Rep. - 1997 Ford
CTV Bus #9006 $110,000 $36,630 $73,370
Rep. - 1995 ELF 125
Bus #9007 110,000 36,630 73,370
Rep. - 1995 Ford
CTV Bus #9010 110,000 36,630 73,370
Mid-life Bus Refurb.
1994 Orion V #2012
80,000 26,640 53,360
Mid-life Bus Refurb.
1994 Orion V #2013
80,000 26,640 53,360
Mid-life Bus Refurb.
1994 Orion V #2014
80,000 26,640 53,360
TOTAL Related to
2005 APTA Budget
$570,000 $189,810 $380,190
APTA staff have received price quotes for the above work. The price quotes have
exceeded the approved budget and APTA's management has decided to defer mid-life
bus refurbishment for bus 2012 in order to stay within the requirements of the approved
budget and to provide flexibility for any additional work if it is required for bus
refurbishments units 2013 and 2014. APTA's mechanical staff have determined that
bus 2012 is the least in need of structural and mechanical refurbishment of the three
buses that have been approved in the budget. In 2006, APTA's management plans to
re-budget for refurbishment work related to bus 2012.
Last year, APTA applied for one-third Provincial funding for several buses. Ministry of
Transportation Ontario or (MTO) staff have informed APTA staff that due to the fact
that these buses were not received until 2005, APTA needs to re-apply for the
Provincial subsidy related to these buses. The table below reflects the re-submission.
Report CS 88-05
Subject: Ontario Transit Vehicle
of Funds
Date: November 22, 2005
Program - 2005 Request for Allocation Page 3
Re-Application Related to 2004 APTA Capital Budget order
(Delivered in 2005)
Re-application for
2004 order for (2)
Replacement
Vehicles (Bus #2040
& #2039) $378,000 $125,874 $252,126
Re-application for
2004 order for (4)
Replacement
Vehicles 756,000 251,748 504,252
Total $1,134,000 $377,622 $756,378
Based upon the above two tables, APTA is asking the Province to provide funding in
the amount of $567,432 (which consists of 2005 application $189,810 and 2004 of
$377,622). Approval of the above Recommendations will provide the necessary
authority for APTA to apply for the Ministry of Transportation subsidy funding. (The
remaining net capital costs for the projects listed above are included in APTA's Capital
Budgets and are funded equally by the Town of Ajax and City of Pickering).
Background: In 2004, the Provincial Government announced, in its 2004 budget,
a commitment of providing transit funding to municipalities. Through the OTVP, the
Province will provide funding of up to one-third of the eligible capital costs incurred by
municipalities to replace or refurbish ageing transit vehicles or to purchase new vehicles
to expand their transit fleets to increase ridership and reduce gridlock. APTA staff
received notification from MTO to apply for the subsidy in late fall of this year.
In APTA's situation, both the Town of Ajax and the City of Pickering Councils must pass
resolutions supporting APTA's OTVP application.
Attachments: Not applicable
Report CS 88-05 Date: November 22, 2005
Subject: Ontario Transit Vehicle Program - 2005 Request for Allocation Page 4
of Funds
Prepared By:
Approved / Endorsed By:
Stan Karwowski
Manager, Finance & Taxation
Gillis A. Paterson
Director, Corporate Services & Treasurer
GAP:vw
Copy: Chief Administrative Officer
Recommended for the consideration of
Pickering City Council
Tho/mas j. QutS~, Chi~"~dmin~e Officer