Municipal Stimulus Program Projects Approved
December 4, 2020: The Province of Alberta approved new projects for Calgary in seven categories, totaling $152.8 million for 2020-2021. Funding for the new projects comes from the Province of Alberta’s $500 million Municipal Stimulus Program for capital investment, announced July 30.
View the full News release and Backgrounder
Infrastructure Investments Benefit Calgarians
Capital planning and investment play a pivotal role in creating inclusive, accessible and connected communities and dynamic economies, contributing to a resilient city.
Infrastructure Calgary manages the assets that provide the services Calgarians have come to rely on:
- Maintenance of current infrastructure
- Upgrades to existing community infrastructure
- New infrastructure to provide services to areas that are underserved (e.g. Green Line)
- New infrastructure for growing areas of the city.
The replacement value of The City’s current infrastructure assets is $84.7 billion across five asset classes.
Summary Business Cases for Proposed Capital Investments, 2019-2022
Infrastructure Asset Classes
Engineered structures - 88.16%
Engineered structures include 88.16% of all City infrastructure. This includes: roads, bridges, transit track and stations, water treatment and distribution, wastewater collection and treatment, communication towers, landfill sites.
Buildings - 5.35%
Includes: fire halls, recreation centres, laboratories, affordable housing, city portfolio. This accounts for 5.35% of the City's Infrastructure assets.
Land Improvements - 3.39%
This accounts for 3.39% of The City's infrastructure assets. It includes: parks, playgrounds, sports pitches, boulevards, carparks, other land improvements
Vehicles - 2.14%
Vehicles account for 2.14% of The City's infrastructure assets. This includes: busses, LRVs (Trains), trucks, other vehicles supporting service delivery.
Machinery & Equipment - 0.95%
Machinery and Equipment account for 0.95% of The City's infrastructure assests. This includes: fire fighting equipment, computer hardware/software, vehicles to work landfills and create asphalt, plant & equipment to support transit fleet, etc.
Not all of The City's capital fits within a four-year cycle. Some projects are already underway, some will be getting started and some will extend into the next budget cycle. This necessitates the need to secure long-term funding.
Capital funding comes from different sources:
- Federal and provincial government grants
- Corporate Reserves
- Self-Supported Debt
- Business Unit Reserves
- Developer/Other Contributions/Levies
The demand for infrastructure investments, increase in costs due to growth, constrained capital funding sources and pressure to balance tax rates with service levels is a new reality for all municipalities.
The City’s capital budget relies heavily on grant funding compared to our operating budget, which has more funding sources. When grant funding is cut for capital, we need to either reduce our capital budget or switch funding sources to make up the shortfall. When this occurs we conduct a rebalancing of the capital portfolio.
Capital Infrastructure Investment Principles
In March 2018, Council approved an update to the Capital Infrastructure Investment Strategy and identified Capital Infrastructure Investment Principles (CIIP). The CIIP guide capital investment decisions.
- Support the delivery of City of Calgary’s services, at approved service levels
- Promote the well-being of communities, environment and economy
- Build an adaptable, resilient and smart city
- Enhance the long-term value of City assets
- Integrate, coordinate and optimize The City’s investment
- Optimize financing and funding sources
With the introduction of the 2019-2022 One Calgary business plans and budgets, capital envelopes are coordinated by a cross-corporate group, Infrastructure Calgary. This corporate approach to capital investment supports infrastructure resilience, organizational alignment amoung departments and business units; intentional management and a cultural shift to integrated service delivery of The City’s capital portfolio.