Management Tools

Sound infrastructure management begins with a clear picture of the municipal asset base. That's why the City's first task in 1998, when it was developing its Infrastructure Strategy, was to compile a comprehensive inventory of Edmonton's municipal infrastructure assets.

The City simplified a complex process by assigning assets within its infrastructure inventory to 1 of 4 portfolios:

  • Transportation,

  • Environment and Safety,

  • Social Infrastructure,

  • Corporate Infrastructure.

When the Office of Infrastructure was created in 2000, it completed the infrastructure asset inventory and associated investment needs.
The Office of Infrastructure updates the inventory annually, including replacement value, average age and expected asset life, asset condition and other criteria, including financial requirements and funding status. The Office submits a formal update to City Council every 3 years.

Refined data collection and the addition of new assets have created an increased estimate of the replacement value of municipal infrastructure over time and a more complete picture of the condition of Edmonton's asset base.

Cost escalation in the past few years has played a significant role in the increase in infrastructure value. In 2008, the Office estimated the total replacement value of Edmonton's infrastructure assets at $33 billion, a substantial increase from the $26 billion estimate from 2006.

City Council and the Administration still struggle to prioritize infrastructure projects, especially when comparing "hard" and "soft" assets, such as transit and recreation facilities, respectively. Edmonton is developing unique management tools to help City Council and the Administration better assess its required infrastructure investment requirements.

The first of these is the life cycle costing protocol, a financial tool that supports decision-making and investment planning. Life cycle costing enables the City to compare the costs of different construction techniques – for example, concrete versus asphalt –and determine the greatest return on investment over the life of an asset.
Another benefit of life cycle costing is that it determines costs for operations, maintenance and rehabilitation, so that the City can prepare for those in subsequent budgets.

Another management tool pioneered by the City is a risk assessment methodology. The risk assessment tool quantifies the risk of infrastructure failure and relates this risk to different financing scenarios.

The City has completed a risk assessment for the physical condition of existing infrastructure assets, and determined those in the greatest need of reinvestment if current funding patterns are maintained.

These management tools enable the City to prioritize its investment in infrastructure projects that will best benefit Edmontonians, and to better ensure that our municipal infrastructure’s condition supports our high quality of life.

For more information:

Office of Infrastructure

5th Floor, Chancery Hall
3 Sir Winston Churchill Square
Edmonton, AB
T5J 2C3

Telephone 780-442-6439
Fax 780-420-4884
Email infrastructure@edmonton.ca
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