Dan Gibson
Despite staff’s desire to “bake” the 10 year, 1% Infrastructure Levy into the overall budget increase moving forward. What would be the impact (%) of only approving a 0.5% increase to the Infrastructure levy in 2020? I’m assuming it would reduce the budget increase to 2.58%? 
Reducing the Infrastructure Renewal Funding from $25.2 million to $24.1 million in 2020, equivalent to a reduction of a 0.5%, would have the impact of creating a $10.6 million deficit in the 10-year plan. This would mean that the City tax supported Infrastructure Renewal Strategy to get to sustainable funding would be delayed causing further deterioration in already aged assets like roads, bridges and facilities. Council has invested in the discipline of Asset Management and the evidence is showing that the City cannot afford to slow down the pace of this investment. Taking care of current assets should be prioritized above investment in new or enhanced asset/service levels.
This reduction in funding would mean the capital plan that Council received on November 13, 2019 is no longer fully-funded. For this reason, Council would need to direct staff to defer Infrastructure Renewal funded capital projects starting with 2021, or reduce the capital reserve fund balances to coincide with this funding reduction. Staff will need clear Council direction for how to address this funding reduction. This action will also make it more difficult to achieve the overall Strategic Plan just approved by Council.
The projects funded by Infrastructure Renewal funding include:
• replacement of Central Library and other City facilities that are at end-of-life
• fire, police and ambulance vehicle replacement
• road and bridge renewal
• other City equipment, and vehicle renewal replacement (including snow plows, playground equipment, recreation amenities like pools and ice rinks)
• information technology systems and network security replacement

Reduction in reserve fund balances will mean reduced flexibility and increased risk if unexpected emergencies occur and/or opportunities for funding from other levels of government arise.