The City of Kenora's Asset Management Plan (AMP) provides an overview of all municipal assets, assesses their conditions and provides a plan for how to maintain and prioritize certain assets while reducing the cost to taxpayers. Municipal assets include:
- road network
- bridges and culverts
- storm sewer network
- buildings
- fleet and equipment
- land improvement
- solid waste
- water and wastewater networks
Core values guiding service levels
- Accessible Services are available and accessible for customers who require them.
- Reliable Services are provided with minimal service disruption and are available to customers in line with needs and expectations.
- Safe Services are delivered such that they minimize health, safety, and security risks.
- Regulatory Services meet regulatory requirements of all levels of government.
- Affordable Services are suitable for the intended function (fit for purpose).
- Sustainable Services are designed to be used efficiently and long-term plans are in place to ensure that they are available to all customers into the future.
Asset key stats
- $1.2 billion replacement cost of asset portfolio
- $157,000 (2021 Census) replacement cost of infrastructure per household
- 87% of assets in fair or better condition
- 43% of assets with assessed condition data
- $137.7 million annual cap9ital infrastructure deficit
- 10 to 15 years recommended timeframe for eliminating annual infrastructure deficit
- 2% target reinvestment rate
- 0.8% actual reinvestment rate
Climate change
Delivery of services may not be sustainable without considering climate change impacts, such as flooding, high heat, drought, and more frequent and intense storms, as part of the asset management program. These impacts reduce the asset's useful life and increase the risk of asset failure.
The City of Kenora has made efforts to advance climate adaptation and mitigation practices by forming a Sustainable Advisory Committee, adopting a Sustainability Action Plan, and integrating climate considerations into their risk asset management program.
Infrastructure assessment
Findings |
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The overall replacement cost of the asset categories included in this AMP totals $1.2 billion. 87% of all assets analyzed in this AMP are in fair or better condition and assessed condition data was available for 43% of assets. For the remaining assets, assessed condition data was unavailable, and asset age was used to approximate condition – a data gap that persists in most municipalities. Generally, age misstates the true condition of assets, making assessments essential to accurate asset management planning, and a recurring recommendation in this AMP. The development of a long-term sustainable financial plan requires an analysis of whole lifecycle costs. This AMP uses a combination of proactive lifecycle strategies (paved roads) and replacement-only strategies (all other assets) to determine the lowest cost option to maintain the current level of service. To meet capital replacement and rehabilitation needs for existing infrastructure, prevent infrastructure backlogs, and achieve long-term sustainability, the City’s average annual capital requirement totals $23.6 million. Based on a historical analysis of sustainable capital funding sources, the City is committing approximately $9.9 million towards capital projects or reserves per year. As a result, there is currently an annual funding gap of $13.7 million, translating to $1,800 per household (2021 Census). It is important to note that this AMP represents a snapshot in time and is based on the best available processes, data, and information at the City. Strategic asset management planning is an ongoing and dynamic process that requires continuous improvement and dedicated resources. |
Recommendation |
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A financial strategy was developed to address the annual capital funding gap. The annual tax/rate change required to eliminate the City’s infrastructure deficit looks like this:
Recommendations to guide continuous refinement of the City’s asset management program include:
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Strategic Asset Management Policy
The Strategic Asset Management Policy provides leadership in and commitment to the development and implementation of the Municipality's asset management program. The policy is intended to guide the consistent use of asset management across the organization, to facilitate logical and evidence-based decision-making for the management of municipal infrastructure assets and to support the delivery of sustainable community services now and in the future.
Desired levels of service can be more difficult to achieve as a result of climate change impacts such as flooding, high heat, drought, and more frequent and intense storms.
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