Item - 2025.TTC3.8

The TTC Board:

1. Approved the attached 2025 Asset Management Plan, Policy, and Strategy.

2. Authorized a contract amendment with AtkinsRéalis Operations & Maintenance Inc. to increase the total upset limit amount by $4,365,384.70, from $7,786,332.40 to $12,151,717.10, inclusive of HST, to cover costs associated with the provision of additional EAM Professional Services.

3. Forwarded the TTC’s 2025 Asset Management Plan to the City Manager of the City of Toronto for submission and incorporation into the City’s Asset Management Plan.

This report provides an update on progress made to date in maturing the TTC’s Asset Management Program and seeks Board endorsement of the 2025 Asset Management Policy, Strategy and Plan (AMP) in compliance with O. Reg 588/17. In addition, the report requests the Board’s authorization to amend the Enterprise Asset Management (EAM) Professional Services contract with AtkinsRéalis Operations & Maintenance Inc. by increasing the total upset limit amount by $4,365,384.70, inclusive of HST, for the additional scope of services related to maturing the TTC’s EAM program.

Asset management is an ongoing effort, and the Board-approved AtkinsRealis contract accelerated the establishment of the TTC’s EAM program in alignment with best practices. As a result, a multi-year program was developed to leverage technology, improve business process and enhance data quality. The program consisted of three phases:

1. Setting Foundations.
2. Building and Embedding.
3. Maturing, Developing, continuously improving, and innovating.

Throughout 2023 and 2024 staff have focused on developing a sound foundation for asset management and as such, have substantially completed Phase 1, and staff are now in the process of transitioning to Phase 2.

One of the elements of the TTC’s asset management program is compliance with O. Reg. 588/17 – Asset Management Planning for Municipal Infrastructure. The Regulation requires the TTC to detail the information required for assets owned and managed by the TTC. Information on inventory, age, condition, life cycle activities, costs, and risks is presented according to the asset categories, with overall current and future levels of service considered for the TTC. In addition, analysis and information relating to the life cycle needs to maintain assets in a state of good repair are summarized.

Key conclusions of this plan indicates that while progress is being made, a large portion of the $39 billion assets are entering, or in some cases well into, their twilight years. Overall, the condition of these assets spans from poor to excellent. The plan also identifies the lack of adequate state-of-good-repair funding.

By endorsing the attached 2025 AMP, the TTC will have complied with the requirements of the Regulation. The 2025 AMP will also be provided to the City of Toronto for incorporation into the overall City Asset Management Plan that must be approved by City Council before July 1, 2025 to comply with legislated timelines.