Mayor Don Iveson looks back on 2018

“I believe this was the year we made a shift to building Edmonton for the next generation,” said Mayor Don Iveson last week as he hosted the media at City Hall for a briefing and roundtable discussion on 2018.

Asked for a highlight from the past year, Mayor Iveson cited the new funding deal with the Province. The City Charters Fiscal Framework Act will provide Edmonton and Calgary with “infrastructure funding tied to provincial revenues, meaning they would share in Alberta’s future revenue growth.” It is both a replacement for Municipal Sustainability Initiative (MSI) funding and a new source of long-term transit funding. “We’re legislated now into long-term growth,” the mayor said. Last month he wrote that “the deal reflects the province’s economic reality now.”

Mayor Don Iveson

Here are some of the highlights from the roundtable discussion:

Budget Savings

Given the budget hadn’t yet passed when the roundtable took place, there were some questions related to cost savings. Acknowledging there were valid questions about the size of the City organization and in particular the size of management, Mayor Iveson said “it will be a continuing conversation for us.” He noted there are pros and cons to reducing the size of management that need further discussion.

In terms of savings, the mayor said that through innovation the City has harvested $68 million in savings in the last five years. And he indicated there was more to come. “I suspect there will be things over the next year that we close or significantly adjust our approach to,” he said. “We’re prepared to declare certain things no longer relevant.”

Culture of Confidence

Asked about his frustration this summer over the way Administration handled things like the bench plaques program, the mayor said “mistakes are going to happen given the complexity of what we do.” He acknowledged that Council had given Administration competing direction to both save money and to be as helpful as possible. “Both are values this organization has and they conflicted with one another,” he said.

The mayor made it clear he doesn’t want to micromanage things. “I don’t think every complex decision needs to come from Council,” he said. “It’s not an effective use of the thirteen members of Council.” Instead what he’d like to see is a “culture of confidence”.

“My expectation is that anyone working at the City with an idea that could lead to savings has the opportunity to bring that forward as opposed to being afraid to suggest it due to risk management,” he explained. That requires “a tolerance for failure and innovation” that won’t come easily. “We have to give some permission for it to not work out,” he said.

Mayor Iveson did say that he thought the “long-term culture change is moving in a good direction” at the City of Edmonton.

Edmonton Coliseum

On the question of what will happen to the Coliseum (formerly Rexall Place) the mayor said “it has no practical use or reuse that is economically viable” and as a result “it will be torn down.” He noted there are ongoing costs related to keeping the building secure and said, “I’m hopeful that we’ll be able to find a cost-effective and timely way to deal with the Coliseum.”

And what about the land? “We’re going to have some interesting discussions about how to redevelop those lands,” the mayor said. He’s not in a rush to sell the land, though. “In this market the land is probably not worth as much,” he said. “Where we try to rush land decisions that generally doesn’t go well for us.”

Media

Unsurprisingly, some of the journalists in the room were curious about the mayor’s thoughts on the media. He has made suggestions throughout the year that the City needs to do more of its own storytelling, and of course he continues to be active on Twitter and his own website.

“I think people expect a certain amount of direct content from their city,” the mayor said. “I think for most people the City of Edmonton is a credible source.” He doesn’t see direct communication from the City being the only channel, however. He talked about the importance of transparency and opening up multiple channels to the public. “Earned media is always going to be part of our day-to-day connecting with people,” he assured everyone.

Mayor Don Iveson

Innovation

Many of Mayor Iveson’s comments touched on innovation, but he used a question about the city’s economic outlook to share the majority of his thoughts on the subject. “We can fear the future or we can chart our own destiny,” he said. “This is why I put so much focus on the innovation economy.”

The mayor said he’s “excited” to work with EEDC’s Derek Hudson and Cheryll Watson further on a culture of innovation and said the recent scrutiny of EEDC “is really, really good.” He said the SingularityU conference that Edmonton is hosting next year “will be a platform for that culture to grow in our city.”

“As the world faces a lot of uncertainty, we can be problem-solvers for the world,” he said. “That’s not incompatible with our DNA as a city at all.”

Region

We didn’t have as much time to discuss the region as I’d have liked, but Mayor Iveson did touch on the subject. “If the region can speak coherently to the provincial and federal governments we can have much greater impact than historically we’ve had,” he said. The mayor cited work on transit, the regional growth plan, and economic development as recent successes in the region.

Mayor Iveson also spoke briefly about “shared investment for shared benefit” saying “it’s about the region getting to the point where we fix problems together.” He explained that the idea is “some of the new money that comes from new development goes into a pot that helps to pay for the next thing to attract jobs and prosperity to the region.”

Thoughts on Council

During the budget discussions Mayor Iveson expressed frustration with his colleagues on Council bringing forward ward-specific items to essentially try to “queue-jump”. He told us that he was talking to former mayor Stephen Mandel about it recently and realized, “I was doing the same things 7 years ago!” He added that “what we have ultimately is a Council that has come together remarkably well around this budget.”

“We have a group of very bright Councillors who have a desire to serve and to have their service noticed,” the mayor said. “It’s not a bad thing to have councillors with ambition to make an impact on the city.”

Third Term

“I really like being Mayor of Edmonton and I have no plans to enter federal politics, other than to stay on as chair of the Big City Mayor’s caucus,” he said in response to a question about running for another office. “I’ve got more work to do here.” Mayor Iveson told us “the City Plan is going to be a lot of fun” and that representing Edmonton through the upcoming provincial and federal elections would be “a great challenge”.

Noting “it’s a really long way to the next election,” he did acknowledge that others might be thinking about making a run for his chair. “I think it’s fair to say that some of them have their own political aspirations.” His advice to those Councillors? “Don’t get started too early.”

Mayor Iveson said he has not made any decisions about seeking a third term as mayor. “I want to focus on governing, and implementing the things I ran on,” he said. “If I can think of four more years worth of stuff to do, then I would look at running again.”

Mayor Don Iveson

Looking ahead to 2019, Mayor Iveson said “we must continue to rally for our city.”

Photo Tour: City of Edmonton offices in the Edmonton Tower

About a month ago I had the opportunity to tour the brand new City of Edmonton offices in the Edmonton Tower. The City is the largest tenant in the new building, leasing a total of 17 floors (with a 20 year lease). The goal is to consolidate a number of existing City offices into the new tower, which will house about 2,300 City employees when the move is complete later this year.

Our tour began on the sixth floor, which will be home to members of the Sustainable Development department. Robert Guenther, Project Director of the City’s Civic Accommodation Transformation, and Scott Varga, Workspace Design Lead, showed us around. They told us the project is on track to achieve the LEED Gold designation.

City offices in the new Edmonton Tower

As you might expect, the offices feature an open floorplan but have been organized into “neighbourhoods” to group colleagues together. Throughout each floor there are desks, shared desks or hotelling spaces, breakout rooms, meeting rooms of various sizes, and a variety of other types of workspaces. The walkways felt a little cramped at times, but the workstations themselves felt spacious and inviting.

City offices in the new Edmonton Tower

Employees are encouraged to work where and how they want to, and that includes in the large cafe space that is on each floor. It is intended to be more than just a kitchen, with movable furniture (they pointed out “things on casters” a few times during the tour) and tech amenities to facilitate meetings. The City refers to this varied way of working as “alternative work strategies” and they think it’ll help to attract and retain employees. At the same time, they expect about 90% of staff will work “similarly” to how they did in other offices.

City offices in the new Edmonton Tower

On the sixth floor we got to see a pretty neat drafting area, basically a large standing desk with storage underneath surrounded by whiteboards. Other floors might have something different in that location, something more suited to the work being done there.

City offices in the new Edmonton Tower

Every workstation features a sit-stand desk, which I think is amazing! The furniture all looks brand new but is mostly stuff the City already had, refurbished using recycled materials. About 40% of the furniture, including the walls of the cubicles, have been repurposed from elsewhere.

City offices in the new Edmonton Tower

Each floor features roughly 118 workstations and will be home to an average of 130 people. Every employee gets a locked cabinet for their stuff, but some employees will not have their own desks. Those employees will use the hotelling desks that are available, or the meeting spaces.

City offices in the new Edmonton Tower

There are about 25 meeting rooms on each floor, with the nicest conference rooms located on the exterior walls which means they feature lots of natural light. Speaking of light, all the light fixtures are LED and they’re dimmable. Smart monitoring systems will adjust the brightness of the lights depending on how bright it is outside. Other sensors monitor and automatically adjust air, heat, and other systems. The offices are climate controlled using “chilled beam radiant heating/cooling” in the ceiling, and apparently this is just the second office in Edmonton to use the technology (PCL’s headquarters is the other).

City offices in the new Edmonton Tower

There are a variety of breakout areas throughout each floor plus small meeting rooms called “now rooms”. One of the most interesting things about the office is that the walls are all component-based and can be taken down and moved in a couple of hours. That means that rooms are not 100% silent, but I went inside one and closed the door and had to strain to hear the folks outside. Additionally, the ceiling on each floor features a unique sound masking system that produces a sort of white noise that can be made louder or quieter as required.

City offices in the new Edmonton Tower

It was a bit harder to see all of the tech featured in the new offices, but it’s there, mostly behind-the-scenes like the smart sensor systems mentioned previously. Internet access is full gigabit, with increased wi-fi capacity compared to previous City offices. The building will also feature Open City Wi-Fi for guests. In an effort to continue reducing paper use, many meeting spaces feature Chrome boxes and the associated A/V to facilitate web meetings and document presentation.

City offices in the new Edmonton Tower

The outside of the Edmonton Tower features the revised, sans-serif City of Edmonton logo on the east and west sides of the building. Though it is often referred to as “the City tower” or something along those lines, it is officially just called “Edmonton Tower”.

Edmonton Tower

There’s nothing on the south side (which features the distinctive curve) but the north side is home to a large 4K screen that will be used for art and messaging (not ads), as captured in this photo by Jeff Wallace:

Ice District - Flag Wavin'

The City’s move to the tower began on November 4, and every two weeks or so another group of employees move in. The City expects the move to be complete this summer. They are upgrading Century Place, where some staff will remain, and Chancery Hall is also expected to remain in use by City staff for the time being.

Over the next couple of months you can expect new public art on the main floor of the Edmonton Tower. Next month, the brand new Edmonton Service Centre will open on the second floor, providing a one-stop shop for City services like transit, permits, and licenses.

You can see more photos of the workspace here. For more on the importance of office design, see this PDF report featuring the Civic Accommodation Transformation project.

Who’s responsible for the Edmonton Metro Region?

Last week the Metro Mayors Alliance signed a Memorandum of Understanding “outlining a commitment to plan, decide, and act as one Edmonton Metro Region on regionally significant issues.” The MOU was the first recommendation of the Advisory Panel on Metro Edmonton’s Future, which delivered its report in early June. The next step is to negotiate a legally binding Master Agreement.

Mayors at MOU signing
Photo courtesy of the Metro Mayors Alliance

Today the Capital Region Board approved its updated Edmonton Metropolitan Region Growth Plan with a 22-2 vote. The plan “sets a path for more compact and efficient growth within the region’s 24 municipalities” over the next 30 years. The next step for the CRB Growth Plan is to send it to the Government of Alberta for review.

CRB Growth Plan

If you’re thinking there might be some overlap here, you’re right.

The Metro Mayors Alliance is made up of the mayors of nine municipalities: Mayor Roxanne Carr (Strathcona County), Mayor Stuart Houston (City of Spruce Grove), Mayor Don Iveson (City of Edmonton), Mayor Gale Katchur (City of Fort Saskatchewan), Mayor Rodney Shaigec (Mayor of Parkland County), Mayor Greg Krischke (City of Leduc), Mayor John Whaley (Leduc County), Mayor Tom Flynn (Sturgeon County), and Mayor Nolan Crouse (City of St. Albert). The latter two are not pictured above and were not at the ceremony, but they did sign the MOU. All nine municipalities are of course members of the Capital Region Board, and together they represent 95% of the region’s population, 96% of its assessment base, and about 80% of its land base.

The Metro Mayors Alliance MOU declares the municipalities’ intent to work in three key areas: economic development, public transit, and land use and infrastructure. The idea is that by acting together on opportunities related to these three areas the region will be better able to compete globally. The CRB’s Growth Plan also aims to “advance the Region’s global economic competitiveness” in a way that balances the region’s diversity and rural and urban contexts. It too discusses economic development, transportation, and land use and infrastructure.

There are some key differences to note between the Metro Mayors Alliance (MMA) and the Capital Region Board (CRB). First, as mentioned above, the MMA is much smaller than the CRB which has in the past been criticized for moving too slowly due to infighting (the new Growth Plan took 30 months to develop). Fort Saskatchewan Mayor Gale Katchur spoke about this to the Fort Saskatchewan Record:

“Quite often, it takes us a long time to make decisions (at the CRB) and a lot of the projects can take years before we see any advancement on them. The Metro Mayors came together to say we would be the willing who want to move things forward and to see how we can advance the items out of the recommended report. We can show that working together corroboratively with the biggest population and the biggest land mass, we can be more effective and more efficient than the CRB.”

In theory getting just nine municipalities to approve something is easier than getting a majority of the twenty-four at the CRB.

Another key difference is that while the CRB was mandated by the Province in 2008, the MMA is merely a partnership between the nine municipalities (formed in 2015). It’s a “coalition of the willing” as opposed to a group of cities forced to play in the same sandbox. That means that until a legally binding agreement is in place, there’s really nothing forcing the members of the MMA to do the things they say they’re going to do, unlike with the CRB. At the same time, the members of the MMA are the ones with all the resources (and the bulk of the challenges) needed to make things happen.

St. Albert Mayor Nolan Crouse is the chair of the CRB and this week suggested the two groups have too much overlap. “The report that was issued by the panel is basically the same mandate that the capital region board is already working on,” he told the St. Albert Gazette. He signed the MOU, but only because there was no cost and nothing binding, and said he’d be skeptical of next steps. “I’m being critical because we’ve got a good amount of work going forward with the capital region board.”

Note that two CRB members voted against the new growth plan. Leduc County voted against it because they felt it didn’t value the agricultural land south of Edmonton highly enough (the new plan includes an Agriculture policy area). Parkland County voted against it because they felt the CRB was expanding its mandate by considering agriculture and economic development. The rest supported the new plan however, which CRB CEO Malcom Bruce has said will save the region $5 billion in land and infrastructure costs and will save 250 quarter sections (160 sq km) of land.

It does seem redundant to have two groups focused on the same goals. And it’s confusing when there are potentially two different visions for the future of the region, especially if they overlap significantly. Some are already trying to use this confusion to their advantage. On top of this there’s the Municipal Government Act review and the City Charter discussions, both of which could have an impact on how things get done in the region. Especially if the City of Edmonton is granted new powers that the other municipalities lack. And of course there are annexation proposals that add to the tension. Does our regional governance need to evolve to clean all this up? It’s a suggestion that has come up many times over the last few decades.

At least there seems to be some consensus that we’re calling it the Edmonton Metro Region.

Coming up at City Council: August 29 – September 2, 2016

In addition to discussing the report on Northlands’ Vision 2020, there are a number of other things coming up for Council next week.

Wading Pool Race!
Photo by Kurt Bauschardt

Here’s my look at everything else that Council will be discussing in the week ahead.

Meetings this week

You can always see the latest City Council meetings on ShareEdmonton.

Edmonton Arena District Update

The latest update on Rogers Place and the Edmonton Arena District states:

“Since the last update report, the private sector District development surrounding the Arena has continued to advance. A significant milestone occurred at the end of May when Greyhound transferred their bus operations out of the downtown. Demolition of the Greyhound building has been completed, and excavation of the site and the abutting former 103 Street is now underway.”

Rogers Place is “nearing completion and is expected to be available for occupancy by September 2, 2016, the contracted facility turnover date.” In other words, on time, at least as of August 8, 2016. The facility is also on target to achieve the LEED Silver designation.

Former Greyhound Station

Some other highlights:

  • “A robust communications plan is planned to roll out as the opening of the facility approaches.”
  • “At the time of writing this report, commissioning was underway and various areas of the building have received final inspection. Equipment and furniture is now being moved into the building.”
  • “As of the end of June, there was a daily average of 1,019 workers on-site. The on-site team continues to work in a safe manner with one lost-time-incident. To date, there have been 8,321 workers fully oriented on the site.”
  • “Through the beginning of May, 87 percent (7,045 tons) of all waste material had been diverted from the landfill.”
  • “The building will officially open September 8, 2016, with the first major event being an Open House planned for September 10, 2016, to give the public the opportunity to explore and enjoy the building.”
  • “The City will host a separate community-focused grand opening event for the Downtown Community Arena on September 25, 2016.”

On the financial state of the project:

“The total approved capital budget for the Downtown Arena project (capital profile #1117-0099 as amended) is $611,859,000. The total capital expenditure as at June 30, 2016, is approximately $542,044,192.”

The report mentions an “unresolved legal claim” that could mean additional interim funding is required.

Edmonton Filmed Entertainment Fund

Council had previously asked for an update on the Edmonton Filmed Entertainment Fund, which was established in 2012 by EEDC with Kilkburn Media LLC and with $5 million in grant funding from the City. It was created “to support filmed entertainment projects principally shot in Edmonton using local resources.” To date, the fund has invested in three projects: Freezer (2012), Cut Bank (2013), and 40 Below (2015).

Here’s how the fund has performed so far:

  • “The Fund has invested 92% ($4.62M) of the grant funding in three projects since inception and has received 64% ($2.9M) return to date toward this investment.”
  • “In regards to the Economic Impact goal, the Fund has generated $6.47M in economic activity from three films, including $2.34M of direct employment income in the film and entertainment industry.”
  • “The Fund was created as a revolving fund. However, the investments so far have begun generating revenues 12 months after the investments or later. The lengthy payback period limits the ability to invest in multiple projects or larger projects.”

The target was to generate an economic multiplier ratio of 6:1, but instead the return on investment was -33%.

Unsurprisingly, EEDC has “concluded that the existing model used for the Fund is not proving to be successful.” They said $5 million is not enough to invest in big enough projects to see larger returns, and that “13-20 percent return on investment was optimistic, this industry involves too many risks to guarantee any profits – even with industry experts involved.”

Other interesting items

Wrap-up

You can keep track of City Council on Twitter using the #yegcc hashtag, and you can listen to or watch any Council meeting live online. You can read my previous coverage of the 2013-2017 City Council here.

Coming up at City Council: July 4-8, 2016

There’s just two weeks left for Council until the summer break which runs from July 15 through August 12.

City Hall

Here’s my look at what Council will be discussing in the week ahead.

Meetings this week

You can always see the latest City Council meetings on ShareEdmonton.

MGA Review Update – City of Edmonton Submission

The Government of Alberta introduced Bill 21, the Modernized Municipal Government Act, on May 31, 2016 and is conducting public consultation over the summer. The City has been involved in the review of the MGA since the process began back in 2013. And it sounds like they have a lot of feedback:

  • “Bill 21 failed to fully address the City’s requests in several areas as was formally requested by the City through the provincial consultation process.”
  • “Bill 21 was also silent on over 30 policy amendments that were requested by the City over the review process.”
  • “In addition, there are numerous amendments requested directly by Assessment and Taxation that were not addressed in the legislative changes proposed in Bill 21 (or the preceding Bill 20, 2015). These amendments were initially provided Administration-to-Administration in June 2014, at the same time as the City’s Council Approved Municipal Government Act Submission. These amendments are being updated and will be readvanced through the same process.”

To provide feedback to the Province, the City has created a 21 page submission of recommendations ready for Council approval. The document covers recommendations related to governance and administration, assessment and taxation, and planning and development. For instance, the City is looking for “additional municipal taxation powers”, the ability to “establish controlled corporations without Ministerial approval”, and for municipalities to “receive the flexibility to determine the appropriate uses for reserve land within their jurisdiction.”

It is expected that amendments to Bill 21 resulting from the consultation process will be introduced in the Legislature during the fall sitting, and that the bill will pass by the end of the year. The City has created a website discussing the Municipal Government Act Review and outlining its activities related to the process. There are also plans for “a comprehensive communications strategy” that will share the City’s position and will support Councillor communication with constituents.

Chinatown Plan – Economic Development Report Findings

This report and the associated 129 page Chinatown Economic Development Plan provides recommendations and actions from the first phase of the Chinatown Plan development process. It is hoped that a new plan will make it easier to resolve the challenges the area faces.

The Chinatown Economic Development Plan outlines four key strategies:

  • Establish an Economic Development Zone
  • Utilize and Enhance Physical Assets
  • Address Safety and Security
  • Create Destination

As you may know, Edmonton actually has two Chinatowns – the north is the commercial zone while the south is the cultural zone. The report recommends focusing just on Chinatown North to “target resources, investments and implementation activities to build on strengths for a destination that can grow and be promoted to a broader array of visitors.” It is expected that The Quarters will support Chinatown South and the Chinese Garden (in Louise McKinney Riverfront Park).

Edmonton Chinatown Conference
The 97 Street bridge that separates North and South Chinatown

I think it’s safe to say there’s an overall perception that Chinatown “is greatly impacted by the clustering of social service agencies and general social disorder.” The recommendations in the report “call for continued relationship building, partnerships, and exploring other policing or security options that will incrementally improve the perception of the area.” This is not likely to satisfy the business and community leaders in the area.

There are the usual recommendations about branding, creating promotional materials, and building a website to improve tourism and marketing. “Edmonton’s Chinatown is well positioned to deliver a unique authentic cultural experience being proximally located to additional upcoming major attractions within the downtown and already offering an array of authentic cultural dining and retail offerings,” the report says.

Curiously, the report calls for the creation of a new organization called the “Chinatown Economic Development Group” to provide governance for the area. It’s true that there is a need “to go beyond established stakeholders to engage in a dialogue about future growth and planning for development” but I’m not sure that yet another group is the right solution. There’s already the City, Chinatown BRZ, Chinese Benevolent Association, Edmonton Chinese Youth Leadership Council, developers, and business owners. Those groups have failed to work together effectively thus far, so is it really realistic to think they can overcome their differences as part of a new organization?

The next step is to undertake phase 2 including the development of the Urban Interface Plan. The goal of that plan is to “resolve the concerns around the 97 Street rail bridge and to decide a location for the Harbin Gate.” Once that report is complete, the final Chinatown Plan will be presented to Council.

Changing Land Economics – Downtown Edmonton

More than 1.8 million square feet of office space is currently under construction in downtown Edmonton. That is “the greatest amount of office space under construction…in more than three decades, and exceeds the 35-year development forecast prepared in 2010.” The population is growing too, and is expected to grow from nearly 9,000 in 2014 to as high as 23,000 in 2036. Since 2010 when the Capital City Downtown Plan was approved, “several re-zonings within Downtown increased the developable floor area capacity by 2.6 million square feet.” The arena and entertainment district is responsible for nearly half of that, with five Direct Control Provisions responsible for the rest.

For this report it’s important to understand what the Floor Area Ratio (FAR) is:

“Floor Area Ratio (FAR) represents the total floor area of a building divided by the total area of a lot. It is used to limit the overall mass and intensity of a building or development. As the total buildable area allowed, FAR is used to balance the height and density of the building, controlling the overall mass of the development.”

So a FAR of 1.00 could be a 1,000 square foot building on a 1,000 square foot lot and that building could either be one storey on the entire lot or two storeys with 500 square feet on each floor on half the lot.

As the report outlines, landowners are motivated to puruse additional height and FARs through Direct Control Provisions as this can “significantly increase the value of land to which they apply.” And this increase in value can then be leveraged for financing purposes. But it also has an impact on the perceived opportunity for adjacent lands and can result in rising prices that discourage other developers from entering the market. “This can result in these sites being “frozen” and less likely to be developed or sold to another developer,” the report says. “This phenomenon is a primary reason so few Direct Control sites have developed among those approved prior to the new Downtown Plan in 2010.”

Downtown Sunset

The nut of the report is this paragraph:

“A small number of developments built under Direct Control Provisions with additional floor area height and density may not fundamentally alter the identity and character of a neighbourhood. However, a greater number of Direct Control Provisions with increased floor area opportunity in the McKay Avenue and Warehouse Campus residential neighbourhoods (areas where height and floor area is limited), may diminish the intended outcome for those neighbourhoods.”

Translation? A really tall tower on one site might be appealing for the impact it’ll have on the skyline, for the apparent “prestige” that comes along with height, and for the increased profits and/or reduced financial risks for the developer. But it could also mean that instead of development occurring on multiple sites, only the tall tower goes ahead. Look at it this way: would you rather have three 20-storey towers or one 60-storey tower? For areas like the Warehouse Campus district, definitely the former.

On the other hand, many Direct Control Provisions that produce a significant lift in value get negotiated to ensure there are public good contributions in exchange, like affordable housing, public art, and other contributions to the local economy. The problem is that these negotiations are not formalized in any way. The City is hoping to change that:

“Administration recommends that a comprehensive city-wide policy or framework be developed to formalize the review of the Direct Control Provision process. This framework would include the preparation of pro formas and establishment of a menu of public good contributions based on “lift in value”.”

“Improving the Direct Control Provision review process will provide Administration, project proponents, the development industry, community members, and City Council, with clear and updated understanding of how these applications will be reviewed and expectations to be met.”

Such a framework would take between 12 and 18 months to develop, according to the report. I think a framework to formalize all of this would be great for Edmonton, but let’s not forget that Council can vote against Administration’s recommendations anyway.

Paid Park & Ride

Changes could be coming to LRT Park and Ride lots starting September 1. The recommendation Council will consider includes the following changes:

  • “That up to 50 percent of parking stalls in the LRT Park and Ride parking lots be made available for paid parking.”
  • “That the fee charged for a parking stall at LRT Park and Ride parking lots be increased from $40 to $50 per month (plus GST).”
  • “That paid hourly parking stalls be provided at LRT Park and Ride parking lots at a rate reflecting the combined transit fare and local short term parking market rates.”

Currently, free and paid park and ride is available at Clareview, Belvedere, Stadium, and Century Park. Paid parking was introduced in January 2011 and was intended to help offset the maintenance costs of the lots, estimated at $799,000 per year (total). It has proven to be quite popular with waiting lists in place at all four stations – 410 people for Clareview, 220 people for Belvedere, 149 people for Stadium, and a whopping 3,540 people for Century Park.

Century Park Station & Park and Ride
Photo by City of Edmonton

So the recommended changes listed above are meant to deal with this situation. Why not just building more parking at LRT stations? Because that “is contrary to the City’s goal of moving towards more Transit Oriented Developments surrounding LRT stations.” If Council approves the changes, the expected impacts include:

  • “Total paid parking stalls will increase from 556 to 1,978.”
  • “Total free parking stalls will decrease from 3,441 to 1,977.”
  • “Annual paid parking revenue generated will increase from $266,880 to $1,186,800 (Gross revenue increase of $919,920).”

ETS did undertake a survey on this and received over 4,000 responses, but the results didn’t skew one way or the other:

“Results of the survey did not provide a clear direction as the results were mixed, competing and varied, with a group of users that are requesting that the parking lots remain free of charge to ensure transit is affordable and others who are willing to pay for a reserved parking stall to ensure they have a parking spot for a worry-free commute.”

It’s a challenge, no doubt. If Council doesn’t like the recommendation, they could go in one of four other directions. They could make all parking free, they could make even more parking paid, they could choose to building additional lots and parkades, or they could simply decide to make no changes.

In related news, Northlands has announced it will open 654 of its parking stalls to paying transit riders for $75/month.

Integrated Infrastructure Services Update

The Integrated Infrastructure Services department, first announced in October 2015, “represents a fundamental shift in how the City will develop and deliver capital projects.” This report provides an overview of why the department was created and what it will achieve for citizens.

integrated infrastructure services

One of the first things the City did after forming the new department was to develop vision, mission, and values statements to guide decision making. “We inspire trust among citizens and Council in our commitment and ability to deliver quality infrastructure,” reads the vision. Can you tell the department was formed in the aftermath of the Metro Line, 102 Avenue Bridge, and Walterdale Bridge fiascos?

Along with those statements comes a new business model, which consists of seven principles: Agency, Integration, Sustainability, Comprehensive planning, Never content with project management expertise, Continous improvement, and Role clarity is the key to accountability. The report highlights a number of improvements that have come as a result of this new model, using words like “better”, “greater”, and “improved”, but there are no measurable data points to be found.

The department now contains five branches:

  • Infrastructure Planning and Design
  • Infrastructure Delivery
  • Business Planning and Support
  • Building Great Neighbourhoods
  • LRT Delivery

The City is “actively recruiting” for all five branch manager positions. The goal is to have the new organizational model up and running for Q1 2017.

So what have they accomplished and what’s still to come?

“Over the last six months, there has been a focus on improvements in transparent communication with City Council, management of strategic risks, and enhancing relationships with industry partners. Transformation work in the next half of 2016 will be focused on developing more details within the organizational structure and establishing core department processes.”

There could also be changes to the capital budgeting process, with more detail expected in Q4 2016:

“Budget decisions supported by a greater level of detail in design will require an additional investment in projects at an earlier stage, similar to the recent approach to the Lewis Farms Recreation Centre project, where budget was provided to complete a portion of design to inform a future capital budget request.”

It sounds like the new department remains a work in progress, but the City certainly feels as though it is on the right track.

Other interesting items

Wrap-up

You can keep track of City Council on Twitter using the #yegcc hashtag, and you can listen to or watch any Council meeting live online. You can read my previous coverage of the 2013-2017 City Council here.

Linda Cochrane is Edmonton’s new City Manager

Mayor Don Iveson announced this morning that City Council has hired Linda Cochrane as Edmonton’s new City Manager. A long-time City employee, Linda has been the Acting City Manager since September when Council decided to fire Simon Farbrother.

Linda Cochrane

Here’s what the mayor had to say on why Linda was selected:

“As you know, Linda had been Acting City Manager since the fall of 2015. In that time she has earned the complete trust of City Council through her continuing work to transform the structure of the corporation and lead a more open and effective local government.

It is important to note that this was an international search with applications from candidates far and wide. The interest of so many talented applicants is a wonderful compliment to our community, our vision, and the work of our administration – things we should all be immensely proud of. More to the point, it is a reflection of the quality of Linda’s tremendous service and inspiring leadership that she was considered best amongst this class of impressive candidates.”

Council has signed Linda to a three year term, with options to renew. Linda was very clear back in January that she wanted to be considered for the role. Today she was elated to have been selected, telling the Journal: “I’m just over the moon. It’s a realization of a lifetime dream. I couldn’t be happier.”

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Linda started her career in aquatics programs, first in Edmonton as a swim instructor and then with Spruce Grove. She returned to the City in 1982 and started climbing the management ladder. She was director of the Kinsmen Sports Centre and in 1990 was asked to take on the role of director at the Valley Zoo. It wasn’t long until she was in charge of the City’s parks and recreation centres. Linda was most recently the general manager of Community Services (now Citizen Services after the reorg she announced in January), a position she took on in 2006.

Linda has worked on a number of high profile projects throughout her career. She defended the Valley Zoo’s care of Lucy the Elephant and refused to bow to pressure from Bob Barker and others who wanted Lucy moved. Linda was one of only four women on the eighteen-person bid committee for the 2001 World Championships in Athletics. She led the charge to build the Terwillegar Rec Centre and led a review of all the City’s facilities. Most recently of course she earned the nickname “cabbie whisperer” for her quick action to restore order during contentious Council discussions on Uber.

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Linda is Edmonton’s first female City Manager. That’s particularly interesting given that she is the only woman on the Corporate Leadership Team (CLT). “Between 2012 and 2015, the percentage of general and branch managers who were woman held steady at 22 per cent. It’s now 16 per cent,” reported the Journal. Of course there’s just one woman – Bev Esslinger – on City Council as well.

I wrote back in November that I didn’t think Linda was likely to get the job. That comment was based not on her abilities, but on what Council had publicly stated they were looking for. Mayor Iveson’s statement back in September said “the scale and complexity of the challenges ahead demand a fresh perspective” and that Council’s goal was to “hire someone who can meet the aspirations of this city head-on and help build the kind of city we can all be proud of.” It seemed as though Council wanted someone from the outside.

I do think Linda is a great choice for City Manager. She is well-known and widely respected at the City has earned a reputation as someone who gets things done. Linda will tell it like it is, and that’s certainly important to Council. She has been supportive of the ongoing culture shift at the City and has talked often of leading through service. Linda is ideally suited to guiding the City through turbulent times.

In just a few short months as Acting City Manager, Linda has really put her stamp on the organization, earning Council’s trust, the public’s admiration, and leading a key reorganization. I can’t wait to see what she accomplishes in her new role.

The City of Edmonton is reorganizing in support of functional integration

The City of Edmonton is being reorganized effective March 1, 2016 around a new mandate of integration based on function. Acting City Manager Linda Cochrane announced the changes yesterday in an email sent to all City of Edmonton staff. She wrote:

“This new structure bundles work in departments based on function: all operations work, all infrastructure work, all planning work, all financial and corporate services work, all citizen services and all communications/public engagement work will each be grouped in the same department.”

The City’s last reorganization took place back in 2011, roughly a year and a half after Simon Farbrother was hired as City Manager. That restructuring was largely cosmetic though in that it didn’t dramatically alter the silos that had existed since the late 1990s (though the Financial Services and Infrastructure Services departments were later merged). This reorganization is all about getting rid of silos and breaking down barriers to more integrated service delivery. And the most notorious silo of all, Transportation, is now gone. More dominoes are indeed falling.

Here is the new organizational structure:

New Org Structure
Click for a larger version with the branches & managers

So previously there were five departments, plus the Office of the City Manager (you can see the old org chart here):

  • Community Services
  • Corporate Services
  • Financial Services & Utilities
  • Sustainable Development
  • Transportation Services

And now we have six, plus the Office of the City Manager:

  • Citizen Services
  • City Operations
  • Communications & Public Engagement
  • Financial & Corporate Services
  • Integrated Infrastructure Services
  • Sustainable Development

The new structure “bundles work in departments based on function.” This is perhaps most evident in the dissolution of Transportation Services. Here’s what happened to each of that department’s branches:

  • Edmonton Transit is now in the City Operations department
  • LRT Design & Construction is now LRT Projects in the Integrated Infrastructure Services department
  • Roads Design & Construction is now Transportation Infrastructure in the Integrated Infrastructure Services department
  • Transportation Operations is now in the City Operations department
  • Transportation Planning is now in the Sustainable Development department

Mayor Iveson spoke to the Journal about the changes yesterday, saying: “we’ve been talking about this for years; the transportation department, quite frankly, was very siloed and off on its own.” Well, no more.

Why now?

I had the opportunity to speak with Acting City Manager Linda Cochrane about the changes today. I wondered about the timing, given that a new City Manager could be coming on board in a few months and may want to make his or her own changes. “That’s true, some things could change with a new City Manager,” she acknowledged, but said that “Council endorses the bundling of services in a functional way.” She feels there is “strong support” for the new structure. On top of that, Linda is very interested in the role herself and will be applying to become the new City Manager.

During last year’s budget deliberations, Council asked for a full service review of everything the City is doing. Couldn’t that have an impact on the structure, I wondered? “A structure based on function will facilitate the service review,” Linda said. “It will let staff and stakeholders speak in functional ways and that will further the 2% initiative too.” She noted that this structure provides a different lens through which Administration can work to find efficiencies.

A number of City staff I spoke with about the change referenced the importance that Linda places on servant leadership. That’s reflected in her message to staff as well, where she wrote: “as always, service to citizens is our priority.” I asked if she had any other key messages for City employees. “Keep doing the good work you’re doing,” she replied. “That work is important on its own, but it’s also part of the context of service delivery.”

And that speaks to what I think is the big factor driving this restructuring: integration. “There is some phenomenal work taking place in the organization,” Linda said. “But we need to get better at integrating the good work that is happening.”

It’s about integration

There are four principles that “underpin the development and implementation of The Way Ahead,” which is the City’s strategic plan.

  • Innovation: A planning approach and operational culture within a municipality that encourages and enables continuous improvement and the exploration and adoption of new techniques, technologies, products and ways of operating in order to improve results and lead progressive change.
  • Integration: A holistic view of strategic planning that acknowledges the interrelated and interdependent reality of complex urban environments.
  • Livability: A set of interrelated factors that influence people in choosing where they live and reinforce their sense of well-being.
  • Sustainability: A way of living that meets the needs of the present and does not compromise the ability of future generations to meet their own needs.

The reality of the last eight years or so is that the City has been tackling these things relatively independently from one another. On some, there has been good progress. Livability is central to the City’s existence and much of the work of “The Ways” has addressed this. Council’s 2% and the changes in culture really address innovation. And with The Way We Finance, there’s been a good start on addressing the City’s sustainability. That leaves integration.

I think the one tangible attempt at addressing the integration principle was the creation of the Great Neighbourhoods Initiative. It falls under the Neighbourhoods branch of Citizen Services, but it is really a cross-department effort to more efficiently deliver services of all kinds, to conduct comprehensive neighbourhood planning, and to improve communication with residents. And it has worked well as a way to revitalize our mature and high-needs neighbourhoods. In fact, one City report said it exemplified a “One City-One Voice” approach to “leading City efforts to deliver services in a coordinated, effective and efficient manner.”

This reorganization builds on that success and is all about addressing integration. Here’s another excerpt from Linda Cochrane’s email to employees:

“The goal is to help open doors for work groups to integrate their work and share expertise. It is based on the One City principle and we believe it will further stimulate our cultural effort.”

Most citizens don’t think about the City in terms of the silos that have long-existed. But thinking about planning things vs. operating them is a pretty easy distinction to make. By bringing that citizen-oriented perspective to the City’s internal structure, there’s a good opportunity to integrate the work of the City to really have a positive impact.

This won’t be easy. Just because a bunch of branches have moved into a new department that has the word “integrated” in its title doesn’t mean that magically everyone is going to start working together effectively. The leadership there has a difficult task ahead to break down barriers and really encourage that integration to happen.

A cultural fit

The City has been undergoing a cultural transformation since at least 2007. Over the years this effort has taken on different names, including “Transforming Edmonton Through Organizational Excellence”, and “Transforming Edmonton and Me” (TEAM). Currently known as “Building a Great City”, the City’s internal cultural strategy focuses on five outcomes:

  • Our Employees are Engaged
  • We Have Effective Leadership
  • We are a High Performance Organization
  • Our Workplaces are Collaborative
  • Our Work Focuses on Citizens

It’s the last two that this reorganization seems most aligned with. The strategy notes that “there are many excellent examples of collaborative success in our organization” and that building upon those will be critical for achieving business objectives “in a rapidly changing and increasingly complex world.” It also highlights the public sector trend toward “citizen-centered services redesigned around the needs of the end user.”

Communications & Public Engagement

I think the other big takeaway is that Communications & Public Engagement has been elevated to its own department. It’s a major change for the organization. I think it makes a lot of sense for Customer Information Services (which contains 311) to be part of the same department as Communications and the Office of Public Engagement (formerly part of the Office of the City Manager). It’s about listening to citizens and talking with them just as much as it is about telling them what the City is up to.

Some of CLT
Gary Klassen, Adam Laughlin, Rob Smyth, Linda Cochrane, Dorian Wandzura (some of the members of CLT)

The Office of Public Engagement is quite small at the moment, with only a handful of staff, so resourcing it effectively will be a challenge. The good news is that improving public engagement has the full support of both City Council and Administration. The Council Initiative on Public Engagement has been underway since 2014 and just began Phase 2 a few months ago. Over the next year and a half, citizens will come together with Council, Administration, and other partners to improve public engagement in Edmonton.

And the timing for this could not be better, with the full service review later this year, a municipal election coming in 2017, and a more complete review of the City’s vision and strategic plan commencing in the next couple of years as well. Effectively engaging the public will be important for all of these initiatives and more.

Dominoes are falling at the City of Edmonton

There’s a lot change taking place at the City of Edmonton right now and you should expect it to continue until well into next year. You might say the dominoes have started falling and no one knows when the final one will land. There are both internal and external causes for this change. Before we get into the changes, let’s consider some context.

Where It All Began
Photo by mckinney75402

Certainly the new Provincial and Federal governments have had an impact, both directly and indirectly. By directly I mean that the City has lost some key individuals. For instance, former City Clerk Alayne Sinclair left earlier this year to work in Premier Notley’s office, and of course former Councillor Amarjeet Sohi was just named to Prime Minister Trudeau’s cabinet. And by indirectly, there’s the uncertainty about funding and working relationships that always comes with new faces. At the Provincial level, the review of the Municipal Government Act and the ongoing discussions about the Big City Charter will also have an impact depending on the outcome.

As a result of the last municipal election, both Council and Administration identified public engagement as a key challenge area of focus. Council launched the Public Engagement Initiative while Administration launched the Open City Initiative. Now with the release of the Phase 1 report back in September, work is underway to establish an Advisory Committee and working groups organized around the five strategic areas of focus. That work is expected to last through the remainder of the current Council term.

I think another big factor to consider is The Way Ahead, the City’s strategic plan. That document, which was approved in 2009, was just reviewed and updated last year, but planning will soon be underway for a more thorough overhaul leading up to 2018 (though we need to ensure we do and not just plan). How public engagement and the municipal election in 2017 factor into that work is still an open question. And at some point, the new City of Edmonton office tower will be completed allowing staff to consolidate at a single location, which could have big cultural impacts.

Top of mind at the moment is the Operating Budget. Instead of an annual budget as in years past, the City has switched to a multi-year budget, and that’s having all kinds of knock-on effects. It should mean less effort is required each year to prepare the budget, but it also means that Council can be more strategic about spending.

And of course the City’s missteps have been well-documented this year. Major projects like the 102 Avenue Bridge over Groat Road and the new Walterdale Bridge have been significantly delayed, and the Metro Line LRT was perhaps the key catalyst for much of the change that has taken place.

Simon Farbrother
Simon Farbrother, photo by City of Edmonton

The most obvious change was Council’s decision to fire City Manager Simon Farbrother back in September. I must admit I was caught off-guard by the news, mainly because although Councillor Nickel called for Farbrother’s head during the Metro Line LRT discussions, he was the only one really doing so. Mayor Iveson and other Councillors suggested Nickel was grandstanding and said Farbrother had their full confidence. So the about face just a couple of weeks later was a surprise.

Linda Cochrane has been the Acting City Manager since late September. I think she’s a fantastic choice, certainly to maintain some stability throughout this uncertain time. But I don’t think it’s likely she’ll get the job. Here’s what Councillor Anderson said after she was made the Acting City Manager:

“She’s certainly been a part of everything that’s happened here for a long, long time and has a way with people,” he said. “I think an excellent choice.”

Being “a part of everything that’s happened here for a long, long time” is certainly a good thing for stability, institutional knowledge, and efficiency. But it’s not necessarily what you look for when you want to change things up. And that’s what Council seems to be interested in.

As Paula Simons noted, Al Maurer was widely considered a micro-manager and perhaps had too much control over the operations of the City. In contrast, Simon Farbrother brought more hands-off approach and focused on communication and culture. The assumption now is that the right person for the job can straddle the fence, able to get into the details and also able to articulate and connect the work to the big picture.

It’s clear that Council, led by Mayor Iveson, wants to go in a different direction:

“The scale and complexity of the challenges ahead demand a fresh perspective,” Iveson said. “This is about setting our administration on a new path to manage the next chapter in the city’s growth.”

Whoever the successful candidate is, it’s very likely they’ll want to make some big changes. That could mean even more turnover in senior staff than we have already begun to see.

Scott Mackie, who was in charge of Current Planning under Sustainable Development, tendered his resignation a couple weeks ago and will leave the City on November 13. I understand that Peter Ohm has been tapped to take his place. That’s a big branch, responsible for some of the most contentious issues that the City has dealt with this year.

Changes in transportation continue, with Eddie Robar joining the City from Halifax to lead ETS, filling the role that has been vacant since Charles Stolte was let go earlier this year. Robar will start on January 4. He’s very likely to shake things up upon arrival, bringing his experience overhauling Halifax’s transit system to the ongoing debate about our own.

And the biggest change could still be coming. Yesterday, Council voted to have Administration outline steps for a full program review. Mayor Iveson repeated a phrase he has used many times before, saying that setting targets for cuts is “the old ‘pin the tail on the budget'” and that the review should be focused on efficiency instead.

“Of the give or take 87 different things that we do at the city of Edmonton, there may be some that we should either stop doing or do less of versus other priorities,” said Iveson in support of the review. “Budget is not the best way to make those decisions and yet it is the default by which we make those decisions.”

The full program review is likely welcome news for some, like the Canadian Federation for Independent Business, which called current spending “unreasonable” and said property taxes have “ballooned”.

The last major review took place in 1997. Bruce Thom, who joined the City of Edmonton as City Manager in 1996, wasted no time in making changes. One of the first things he did was spend $500,000 to have Ernst & Young evaluate the City’s operations. That resulted in City ’97 (subtitled “Preparing for the Future”), a plan to save $52 million per year by the year 2000, principally by eliminating roughly 750 of the City’s 8,700 jobs. In the end about 400 positions were eliminated and the City reorganized from thirteen departments to just eight, resulting in a savings of roughly $22.5 million annually between 1997 and 2000.

It was a stressful time for City bureaucrats, and Council raised that as a concern with conducting another review now. They cited the importance of a clear communications plan and downplayed the idea that the review is being undertaken solely to find opportunities for job cuts.

full time positions

Though Simon Farbrother led a relatively minor reorganization in 2011, the City’s workforce has generally been growing in recent years. Prior to City ’97, the last major round of layoffs took place in 1983. At the time the City had about 11,000 employees, a number the City surpassed once again in 2012.

I think a review of the City’s operations makes sense, and perhaps the timing is right. With a new City Manager coming in, the possibility of a new relationship with the Provincial and Federal governments (especially with the City Charter), and a new round of strategic planning coming up, it’s entirely appropriate for Council and Administration to get aligned on priorities.

Expect much more change to come!

Edmonton will be well-represented in our new federal government

Though most of Alberta voted blue in yesterday’s election, there were a few key races that went red, including two here in Edmonton. Current City Councillor Amarjeet Sohi narrowly won against incumbent Tim Uppal (Conservative) in Edmonton-Mill Woods, and Randy Boissonnault defeated James Cumming (Conservative) and Gil McGowan (NDP) in Edmonton-Centre.

trudeau & sohi
Justin Trudeau & Amarjeet Sohi, photo by Sukhpreet Benipal

Sohi’s victory (assuming it is confirmed) means that Council will see it’s first by-election in more than 20 years. As I wrote earlier this year, a by-election must take place within 90 days according to the MGA, but the City is planning to ask the Province for a 30 day extension so that the Christmas holidays can be avoided. That will likely mean a nomination day sometime in January with the by-election taking place in mid-February.

Throughout his time on Council, Sohi has proven himself as a strong, effective leader who understands the importance of cities. He could have run for mayor in 2013 if Iveson hadn’t. Sohi has been a consistent supporter of both expanding the LRT here in Edmonton and of our city’s efforts to eliminate poverty. I’m sad to see him go from Council, and although he leaves behind a very capable group of colleagues, I know they’ll miss his wisdom and dedication. At the same time I’m thrilled to have such a great Edmonton champion in our nation’s government.

Randy Boissonnault was the other successful local Liberal candidate. I’m sure he’s excited to get to work in Ottawa, but I bet he could also use a moment to catch his breath as it feels like he has been campaigning forever! Boissonnault has been a consistent supporter of many important initiatives in Edmonton, including TEDxEdmonton and Startup Edmonton. He’ll bring a great Edmonton perspective to the government, and seems to have a strong relationship with Justin Trudeau as well.

Randy Boissonnault
Randy Boissonnault, photo by Dave Cournoyer

Edmonton-Centre was previously held by Laurie Hawn (Conservative) who announced he would not seek re-election after serving since 2006. He defeated Anne McLellan (Liberal) to win the seat, who was at the time the Deputy Prime Minister (the last person to hold that position as the Harper government did not name anyone).

We won’t know until November 4 if either Sohi or Boissonnault are named to Trudeau’s cabinet, but it’s a positive sign that the Prime Minister-elect was in both Edmonton and Calgary on Sunday doing some last minute campaigning.

It’s also a good thing that Edmonton has strong representation from all three parties, because opposition MPs do important work as well. Linda Duncan (NDP) won re-election in Edmonton-Strathcona, and Mike Lake (Conservative) won re-election in Edmonton-Wetaskiwin. Both have represented our city well in Ottawa and will continue to do so, although in slightly different roles. Joining them are new MPs like former City Councillor Kerry Diotte (Conservative) who should also bring an interesting municipal perspective to his new role.

Although we now have fewer Edmonton representatives in the government than we did under the Conservatives, I don’t think that necessarily puts us at a disadvantage. Trudeau and the Liberals are arguably a better fit with progressives like Premier Notley and Mayor Iveson. And the Liberal promise to invest $20 billion over 10 years in transit aligns very well with Edmonton’s top infrastructure priority.

For now I’m cautiously optimistic about what the new Liberal government means for Edmonton, and I’m thrilled for both Sohi and Boissonnault!