Item - 2024.EX14.5

The Executive Committee recommends that:

1. City Council approve an adjustment to carry forward funding of an additional $519.9 million from unspent capital projects funding as detailed in Appendices 1a and 1b to the report (April 30, 2024) from the Chief Financial Officer and Treasurer, in order to continue work on previously approved capital projects in 2024 and beyond, and that the 2024-2033 Tax and Rate Supported Capital Budget and Plan for respective City Programs and Agencies be adjusted accordingly.

2. City Council approve in-year budget adjustments to the 2023 and future year cash flow commitments as detailed in Appendix 2 to the report (April 30, 2024) from the Chief Financial Officer and Treasurer.

As part of the 2024 Budget process, the 2024-2033 Capital Budget and Plan included a combined $1.157 billion of previously approved unspent capital projects to be carried forward to 2024-2028. This carry forward amount was based on an initial estimate as per projections available at the time of the budget development, prior to the 2023 year-end closing. With the 2023 fiscal year closed in February 2024, City Programs and Agencies have finalized the 2023 actual project spending as well as the total carry forward request. As a result, the purpose of this report is to seek Council's approval for an additional $519.9 million of carry-forward funding from 2023 to future years, of which $310.0 million to be carried to 2024 and $209.9 million to 2025 to 2028, to enable staff to complete multi-year capital projects approved in 2023 and prior years. 

With the additional carry forward request, the total capital carry forward funding will be $1.677 billion, and the total adjusted 2024 Tax and Rate Supported Capital Budget including previously approved carry forward amount will be $5.976 billion. The revised total carry forward funding is equivalent to 28.1% of the total 2024 Tax and Rate Supported Capital Budget.

This report also brings forward in-year Capital Budget adjustment requests for 2023 and future years, and the recommended incremental carry forward now take these changes into account. Approval of these requests is needed to provide necessary spending authority to continue with the project delivery.