Richmond Hill Invests in the Community with Capital Budget

$61.8 million capital budget for 2017 will fund key infrastructure updates

RICHMOND HILL – Richmond Hill Council approved a $61.8 million capital budget for 2017 that will focus on the repair and replacement of municipal infrastructure.  

“This capital budget will allow us to maintain and improve our infrastructure, services and quality of life,” said Mayor Dave Barrow. “Along with the highly-visible projects like the Lake Wilcox Youth Area park, we will also undertake projects like replacing heat pumps and mechanical systems at our facilities. This work helps us ensure the safety and comfort of the community.”

Highlights of the 2017 capital budget include:

• Lake Wilcox Youth Area Park Construction - $4.9 million
• Watermain replacement: Castle Rock Drive - $2.4 million
• Library Collection Development - $1.1 million
• Civic Precinct pre-design phase - $6.5 million
• Replacement of Town information technology systems for planning & regulatory management, customer relationship management and integrated financials - $11.4 million
• Rouge Woods Community Centre updates, including conversion of the Bocce Court to multi-purpose room (design phase) - $122,000

In order to mitigate costs to the community, Richmond Hill takes advantage of all available grant funding. Richmond Hill’s portion of the Federal Gas Tax Grant will contribute $7.8 million to the 2017 capital budget. Projects that qualify for Gas Tax funding in 2017 include new signage at Richmond Hill parks, a feasibility study for expanding the Central Library, new sidewalk installation including on Bayview Avenue from Stouffville Road to Bloomington Road and facility maintenance including heat pump and mechanical system replacements at several Town facilities.

“We manage our finances wisely and prudently and we are committed to get the best from all of our funding sources,” said Local and Regional Councillor and Budget Chair Brenda Hogg. “We have asked staff to continue to be vigilant about evaluating capital projects to ensure our reserve funds last well into the future.”

Along with the capital budget, Richmond Hill maintains a ten-year Capital Forecast to ensure the continued alignment of short and long-term priorities, funding sources and sustainability.

“We are focused on ensuring we initiate the right projects at the right time,” said Mayor Barrow. “Our ten-year forecast allows us to better plan for and prioritize all upcoming capital projects, including the maintenance of current service levels.”

Council and staff will now turn to the 2017 Operating Budget. A public information session will be held at the Central Library on Saturday, January 21. The Operating Budget will be debated by Council in January and February.

For more information about the 2017 Capital Budget or Operating Budget, including the dates of upcoming Budget Committee meetings, visit RichmondHill.ca/Budget.    

Backgrounder: Richmond Hill 2017 Capital Budget

Richmond Hill’s annual Budget is comprised of two components, the Capital Budget and the Operating Budget.

Capital Budget

Richmond Hill’s Capital Budget consists of expenses for assets or infrastructure that are typically long-term in nature such as land, buildings, roads, pipes and other equipment in excess of $5,000. The Capital Budget is funded through Richmond Hill reserve funds, development charges and grants rather than from property taxes.

Operating Budget

Richmond Hill's Operating Budget consists of expenses that cover day-to-day activities or operations, including items such as utilities, rent, insurance, staff wages and benefits, program supplies, transportation and repairs. It also includes revenues received from taxes, fees and other items like program registrations. With approval from Council, the Operating Budget establishes the annual tax rate.

Starting in January, each department’s budget is reviewed by the Budget Committee of the Whole (comprised of Council). Once all of the departments’ submissions are reviewed and new items are considered, a consolidated budget is presented.

Reserves

Reserves or Reserve Funds are an important part of the Town's long-range financial planning strategy. Reserves are accounts set up with the approval of Council for specific purposes like repair and replacement of Town-owned assets (e.g. equipment, vehicles and information systems) and infrastructure (e.g. roads, building repairs). They are used to offset impacts and stabilize operating and Capital Budgets, cushioning the impact of major expenditures like road construction projects.

2017 Additional Infrastructure

Richmond Hill’s 2017 Capital Budget will add the following new infrastructure.

• Roads (285 metres)
• Sidewalk (1,075 metres)
• Streetlights (3,270 metres)
• Watermain (1,795 metres)
• Lake Wilcox Youth Area (1.05 Ha)
• Casa Subdivision Parkette (0.95 Ha)
• Oak Ridges Bayview Median (566 sq. metres)
• Computer Software and Hardware infrastructure (Enterprise Resource Planning, Customer Relationship Management, Records Information Management)

2017 Capital Budget Funding Sources

The $61.8 million Capital Budget is funded through Richmond Hill's reserve funds, development charges and grants.