Kawartha Lakes unveils asset management plan

Kawartha Lakes unveils asset management plan

DARRYL KNIGHT Local Journalism Initiative Reporter for The Standard

KAWARTHA LAKES: The City is taking a major step toward long-term infrastructure sustainability, with the adoption of its 2025 Asset Management Plan (AMP), following a presentation to Council by Dr. Adam Found, Manager of Corporate Assets, at a meeting, on Tuesday, June 24th.

Developed in collaboration with Watson & Associates Economists Ltd., the plan consolidates previous asset management strategies into one comprehensive document. It sets the foundation for how the municipality will care for its roads, buildings, equipment, and other infrastructure assets, over time, and ensures the city remains eligible for more than $13 million in provincial and federal infrastructure funding annually.

“This plan allows us to make smart, informed decisions about how we manage our assets,” said Dr. Found during the presentation. “It’s not just about meeting provincial regulations. It’s about building a sustainable future for Kawartha Lakes residents, by carefully planning for repairs, upgrades, and new investments.”

The AMP was created to meet provincial requirements, under the Infrastructure for Jobs and Prosperity Act which sets out a phased approach to municipal asset management. With this plan, the City has now completed all three phases of compliance. The first phase, focused on core assets, such as roads, stormwater, water, and wastewater infrastructure, was completed in June 2022. The second phase, dealing with non-core assets, such as facilities, fleet, equipment and landfills, was completed in May 2024. The third and final phase which consolidates all municipal assets and introduces more detailed standards around service levels and financial sustainability, was formally adopted on June 24th, 2025.

Unlike previous interim versions, the 2025 AMP is designed to be a living document, used by staff, to guide the City’s long-term capital planning. It plays a critical role in the development of the City’s Long-Term Financial Plan (LTFP), integrating capital and operating budgets, to ensure financial sustainability.

A key feature of the new plan is a proposed enhancement to the municipality’s Dedicated Capital Levy (DCL) strategy. While the original 2022 plan aimed for a sustainable reserve level, by 2031, the updated AMP recommends increasing the DCL’s second escalation component, from 1.5 percent to 2 percent, annually. This adjustment is intended to help the City catch up with rising capital costs, due to inflation, aiming to achieve sustainability by 2033.

“Recent cost escalations, in the construction and infrastructure sectors, have made it clear, we need to adjust our funding strategies,” said Dr. Found. “This recommendation ensures we can maintain service levels, manage debt responsibly, and invest wisely in future capital needs.”

The AMP also highlights the importance of reducing reliance on tax-supported debt and increasing contributions to the Asset Management Reserve (AMR). By doing so, the City will be better positioned to handle unexpected capital pressures, service enhancements, and potential reductions in grant funding.

“Asset management is a journey, not a destination,” Dr. Found emphasized. “We’re committed to improving our methodologies and data, and we look forward to updating this plan again in 2029, with even more refined tools and insights.”

Maintaining compliance with provincial regulations is critical, as the City risks losing access to significant funding streams, including $5.2 million annually, from the Canada Community Building Fund, and $8.4 million, from the Ontario Community Infrastructure Fund, if it falls out of compliance.

Council received the 2025 AMP report and presentation as written, marking the culmination of a multi-year special project, first approved in the 2020 budget.

Mayor Doug Elmslie praised the plan’s long-term vision. “This is a foundational document for how we manage our community’s most valuable public assets,” he said. “It reflects good governance, forward-thinking financial planning, and our commitment to maintaining a high quality of life for residents.”

The next update to the City’s Asset Management Plan is scheduled for 2029.