annual report 2019message from the chairman of the board .....4 message from the ceo ..... 6 message...

annualreport

2019

SmartVMC Bus Terminal, Vaughan Metropolitan Centre

contentsMessage from the Chairman of the Board ...... 4

Message from the CEO ................................. 6

Message from the President ........................ 8

Vision, mission, values .............................. 10

Corporate governance ................................ 13

Global recognition ..................................... 14

Delivering on the vision A vision to connect people and places ......... 18

Delivering rapid transit .............................. 20

Bringing results ........................................ 21

Investing in our growing communities ......... 22

Critical investment to complete the network Priority projects to connect the network ...... 26

More funding is needed .............................. 27

Re-imagining city centres Vaughan Metropolitan Centre ..................... 30

Richmond Hill Centre ................................. 32

Partnerships and collaboration Our role .................................................... 36

Working with the community ...................... 38

Supporting businesses ............................... 39

Social responsibility .................................. 40

2019 Financial and procurement reporting 2019 Financial and procurement highlights ... 44

2019 Audited financial statements ............... 49

Sources .................................................... 60

Contact us ................................................ 62

A N N U A L R E P O R T 2 0 19 3

message from the Chairman of the Board

Subway Station on TTC Line 1

A N N U A L R E P O R T 2 0 19 5

“ We’ve made significant progress, and now is the time to build out the network, with full funding for the Yonge North Subway Extension and the next wave of bus rapid transit projects.”

In 2019, York Region’s rapid transit network expanded more than it ever has before, bringing new possibilities with subway and bus rapid transit.

I’ve spent my tenure advocating for long-term funding and the advancement of the Yonge North Subway Extension as the one of the most justified transit projects in the country, so I was pleased to see it included in a funding commitment from the Province. We’ve made significant progress, and now is the time to build out the network, with full funding for the Yonge North Subway Extension and for the next wave of bus rapid transit projects. By connecting urban centres and employment megazones, the subway extension will help create jobs and generate a lasting economic stimulus.

Vaughan Metropolitan Centre [VMC] is a prime example of how higher-order transit can stimulate growth, and connect key transportation hubs. With the SmartVMC Bus Terminal connecting subway to buses in the VMC, and another 15 kilometres of dedicated rapidway lanes for buses completed across the Region, 2019 was a big year of accomplishments.

Rapid transit infrastructure projects are planned with a sustainable and prosperous future in mind. The facts and statistics in this report show the benefits of investing in these projects, and the quality infrastructure that has transformed our busiest roads is evidence of the unwavering effort and spirit of the York Region Rapid Transit Corporation team.

Frank ScarpittiChair of the Board, York Region Rapid Transit Corporation

Mayor, City of Markham

message from the CEO

SmartVMC Bus Terminal, Vaughan Metropolitan Centre

Rapid transit corridors – including subway and bus rapid transit – bring proven benefits.“ ”

A N N U A L R E P O R T 2 0 19 7

The Regional Municipality of York is home to more than 1.2 million people with 54,000 businesses and 650,000 employees1. To be resilient and continue to grow, it’s important to support what matters most our residents and businesses. Transportation remains a top priority for those who live in York Region and investing in rapid transit infrastructure makes great sense.

Rapid transit corridors – including subway and bus rapid transit – bring proven benefits, including new businesses and residents, reduced greenhouse gas emissions and fewer collisions. The Yonge North Subway Extension provides the missing link to travel in the Greater Toronto Area, reducing commute times and traffic congestion for those who live, work and commute within York Region and the City of Toronto.

Large-scale infrastructure projects create a cycle of positive changes, bringing more businesses, jobs and residents, new development and construction employment. Having investments in place today will stimulate growth and create a powerful effect on the local economy. This includes completing the planned bus rapid transit network to provide a fast, convenient transit option, updated utilities and bridges, accessible sidewalks and intersections.

In the back-drop of the COVID-19 global pandemic, it is important for us to shape the future of our communities as they rebound with projects needed for generations to come.

Wayne EmmersonYork Region Chairman and CEOChief Executive Officer, York Region Rapid Transit Corporation

message from the President

Creditstone Station on Highway 7 West, Vaughan

As communities are transformed, we’re connecting people and places – and creating possibilities.“ ”

We’ve made great progress in 2019, delivering on York Region’s vision of seamless connections and re-imagined communities.

With 15 kilometres of new rapidway segments now open in Vaughan and in Newmarket, the transformation is well underway across the Region, and over 80% of the funded bus rapid transit system is now open. We also opened SmartVMC Bus Terminal for service, bringing a vital transportation hub to Vaughan Metropolitan Centre, connecting to TTC Subway and Viva at Highway 7. The Yonge Street rapidway project in Richmond Hill and Cornell Bus Terminal in Markham each made significant headway toward opening in 2020.

Along with new rapid transit options, having new sidewalks, bike lanes and utilities in place changes the relationship

of how buildings and open spaces relate to people. As communities are transformed, we’re connecting people and places – and creating possibilities.

Our collaboration with all levels of government, the private sector and community stakeholders is what makes our projects a success. For example, the important work we’ve completed on the Yonge North Subway Extension over the last decade included collaboration with our partners at Metrolinx, Toronto and the TTC.

More rapid transit projects are needed, so we need to continue the pace, investing in the Yonge North Subway Extension, and in the remaining bus rapid transit needed to complete the network.

Thank you to residents, businesses and our valued stakeholders for your patience through the disruptions that come with construction – and your support in delivering on a vision that will last for generations.

Mary-Frances TurnerPresident, York Region Rapid Transit Corporation

A N N U A L R E P O R T 2 0 19 9

visionRe-imagining communities, connecting people and places seamlessly.

A N N U A L R E P O R T 2 0 19 11

mission YRRTC collaboratively plans, designs and delivers,

innovative mobility and rapid transit solutions to

connect and transform communities.

values leadership An innovative results-driven workplace that

drives change to achieve excellence.

integrity A professional workplace that demonstrates

openness, respect, honesty and trust.

collaborationOpen communications and collaboration to foster

strong community and business partnerships.

inclusion A diverse, inclusive, supportive and caring work

environment that contributes to socially strong

and sustainable communities.

fulfillmentA safe and healthy work environment that

promotes happiness, engagement, continuous

learning and a good work-life balance.

VMC rapidway station on Highway 7, Vaughan

A N N U A L R E P O R T 2 0 19 13

corporate governance

m a n d a t eYork Region Rapid Transit Corporation [YRRTC] is responsible for the planning, design and construction of the rapid transit network and related infrastructure. The expertise of YRRTC lies in project management – design and engineering, procurement and financial management, and community relations. A proven record of disciplined, community-focused project implementation, transparency and collaboration helps get the job done. Project management is backed by knowledge, leadership and innovation in planning great cities.

g o v e r n a n c eYRRTC is a wholly-owned subsidiary and share capital corporation of The Regional Municipality of York. Its Board of Directors is comprised of elected officials from York Region. There is no private sector or other public sector representation on the YRRTC Board of Directors at this time.

Chair of the BoardFrank Scarpitti Mayor Markham

Vice-Chair of the BoardMaurizio Bevilacqua Mayor Vaughan

Director & CEOWayne Emmerson

Chairman and CEO The Regional Municipality of York

Director Dave Barrow Mayor Richmond Hill

DirectorJohn Taylor Mayor Newmarket

DirectorJim Jones Regional CouncillorMarkham

DirectorJoe Li Regional CouncillorMarkham

DirectorMario Ferri Regional CouncillorVaughan

ex e c u t i v e m a n a g e m e n t t e a m a n d re p o r t i n g The Executive Management Team reports to the Board of Directors and to YRRTC’s Chief Executive Officer. Board meetings are held in the York Region Administrative Centre located in the Town of Newmarket. Public reports are posted online at www.york.ca.

President Mary-Frances Turner

Executive Vice-President, Project Implementation Paul May

Chief Financial Officer and Treasurer Chad McCleave

Chief Infrastructure and Development Stephen Hollinger

Chief Communications Officer Dale Albers

Y O R K R E G I O N R A P I D T R A N S I T C O R P O R AT I O N14

global recognition

on the world stage

Stockholm • Presented on the topic of the role of public transport in shaping

cities at the Global Transportation Summit

Vancouver • Presented on the topic of alternative financing for transit

projects at the Urban Transit Infrastructure West conference

Toronto • Panelist on the topic of Strategy and Communications at the

Ontario Good Roads Association’s Emerging Leaders conference

showcasing York Region

Each year, we host visitors on tours of our rapidways, facilities and transit hubs, and from other conventions of North American public works and transit associations.

2019 visiting tours• Canadian Institute of Transportation Engineers• National Association of City Transportation Officials• City of Barcelona

Photo on left: Stephen Hollinger [far right], Chief, Infrastructure & Development at YRRTC, shows the BRT and subway connections in Vaughan to tour participants from the National Association of City Transit Officials [NACTO]

Photo on right: Matthew Hum [2nd from left], Project Manager - Bus Rapid Transit at YRRTC, accepts a Municipal Paving Award for YRRTC’s rapidway projects

A N N U A L R E P O R T 2 0 19 15

2019 York Region was awarded a Bronze certification from the Institute for Transportation and Development Policy [ITDP], based on the “BRT Standard,” an evaluation tool for world-class transit based on international best practices.

ITDP looks at both design and performance, and since YRRTC designed York Region’s system and YRT operates it, we worked together to achieve this certification.

2019 awards

• Bronze BRT Standard certification,

Institute for Transportation and Development Policy

• 2019 Municipal Paving Project Finalist,

Ontario Good Roads Association

awards highlights

• 2017 Awar d of Merit, Vaughan Urban Design Awards

• 2016 LEED Sil ver certification - transit facility / Richmond Hill, Canada Green Building Council

• 2016 National Corpor ate Leadership, Communications, Canadian Urban Transit Association

• 2015 Pr oject of the Year Finalist, Professional Engineers of Ontario

• 2014 Pr oject of the Year, American Public Works Association

• 2013 Pr oject of the Year, Professional Engineers Ontario

• 2013 Pr oject of the Year, Ontario Public Works Association

• 2007 Planning Ex cellence in Transportation and Infrastructure, Canadian Institute of Planners

• 2006 Ex cellence, Transportation over $50 Million, Design-Build Institute of America

• 2006 P eter J. Marshall Municipal Innovation, Association of Municipalities of Ontario

• 2006 Inno vation in planning, American Public Transportation Association

• 2006 Ex cellence, Environmental Impact, Canadian Institute of Planners

• 2005 Sus tainable Urban Transportation, Transportation Association of Canada

Y O R K R E G I O N R A P I D T R A N S I T C O R P O R AT I O N16Cedarland Station,

Highway 7 East, Markham

deliveringon the vision

17

VAUGHAN

AURORA

RICHMOND HILL

NEWMARKET

MARKHAM

TORONTO

Yong

e S

tree

t

Highway 7

Highway 7

Major Mackenzie Drive

Steeles Avenue

Davis Drive

Jane

Str

eet

Les

lie S

tree

t

a vision to connect people and places

downtown destinations

York Region is growing in all the right places. The Region’s Official Plan and 2041 Transportation Master Plan focus growth in our downtown areas where there is already development, and it’s planned hand-in-hand with transit. Four downtown areas form York Region’s Centres and Corridors – walkable, transit-oriented communities and main connector roads:

1• Ne wmarket Centre – Yonge Street and Davis Drive

2• V aughan Metropolitan Centre – Highway 7 and Jane Street

3• Richmond Hill/Langs taff Gatewa– Highway 407 and Yonge Street

4• Markham Centr e – Highway 7 and Warden Avenue

Richmond Hill Centre Markham Centre

43

2

1

y

Newmarket Centre

Vaughan Metropolitan Centre

Unfunded Rapid TransitFunded Rapid TransitProposed Yonge North Subway ExtensionToronto-York Spadina Subway ExtensionFuture service to be determined

more people

1.2 million people increasing to

1.79million by 20411


more travel • F or decades, the Greater

Toronto and Hamilton Area grew outward, expanding to accommodate huge numbers of people commuting by car.

• In 2016, a t otal of 1.5 million Canadians spent at least 60 minutes commuting to work, an increase of nearly 5% since 2011.2

• A c ommuting time to work of one hour each way means a cost of about $273 per week, per commuter.3

more jobs

54,200+employers in York Region, increasing at 2% annually 1

654,650jobs in York Region, [1 job for every 2 residents] growing to

900,000 jobs by 20411

Professional, scientific, and technical services increased by over 1,000 jobs in 2019, and account for almost 10% of all jobs in York Region.1

Vaughan Metropolitan Centre Station on the Highway 7 West rapidway

delivering rapid transit over 80% of York Region’s funded rapid transit projects are complete

1. Davis Drive, Newmarket 2. Yonge Street, Newmarket 3. Highway 7 West Woodbridge / Vaughan

4. SmartVMC Bus Terminal, Vaughan 5. Toronto-York Spadina Subway Extension 6. Highway 7 West, Vaughan Metropolitan Centre

7. Bathurst and Centre, Vaughan 8. Operations, Maintenance and Storage Facility 9. Highway 7 East, Markham and Richmond Hill

A N N U A L R E P O R T 2 0 19 21

bringing results

VAUGHAN

Bat

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t Str

eet

Bat

hurs

t Str

eet

Hig

hway

400

H

ighw

ay 4

00

Hig

hway

404

Hig

hway

404

Lesl

ie S

tree

tLe

slie

Str

eet

Nin

th L

ine

Nin

th L

ine

Highway 407Highway 407

Steeles AvenueSteeles Avenue

VaughanMetropolitanCentreH

ighw

ay 2

7H

ighw

ay 2

7

19th-Gamble

Mulock Drive

AURORA

RICHMOND HILL

NEWMARKET

MARKHAM

TORONTO

Major Mackenzie DriveMajor Mackenzie Drive

Davis Drive

Sheppard AvenueSheppard Avenue

Green Lane

Yong

e S

tree

t

HeritageArea

Highway 7

Highway 7

21

3 76

9

8

54

Unfunded Rapid TransitFunded Rapid TransitProposed Yonge North Subway ExtensionToronto-York Spadina Subway ExtensionFuture service to be determined

safety first• impr oved travel for ambulance

and fire vehicles, with access to traffic-free rapidway lanes

• betw een 51% and 74% fewer collisions along rapidways,4 likely due to eliminating mid- block left turns across traffic

travel time savings

15%-39%faster on rapidways 5

ridership up

18%-67%on routes with completed rapidways5

thinking green

3,480 trees and shrubs, plants and flower

76,000 s planted along

rapidways, as of the end of 20196

1 bus ==

up to 70 cars on the road

reduced carbon footprint

subway xtension

o Richmond Hill

1et

13 tonnesper average workday in reduced greenhouse gas emissions by 20307

=

bringing technology

30.5 kmof fibre-optic cable installed on rapidways in collaboration with YorkNet

Highway 7 East rapidway traveling through Markham Centre

A N N U A L R E P O R T 2 0 19 23

investing in our growing communities

6,800 new jobsin Centres and Corridors account for nearly half of York Region’s 13,800 new jobs 8

approx. 2 million sq. ft. of office space proposed or underway in York Region’s Centres and Corridors8

1,500 new businessesper year for the past 10 years, on average8

employment grew by

5.3% in Centres and Corridors in 2019

• fastest gr owth since tracking began in 2009

• outpacing ne w jobs across York Region [2.2%], in the GTA [3.8%], in Ontario [2.5%], and nationally [2.2%] 8 79% of apartment units in York Region

were located in Centres and Corridors in 2019 [1,730 units]8

24 buildings under construction in York Region's Centres and Corridors by the end of 2019 [7,450 units]8

As of the end of 2019, YRRTC has delivered over $2.1 billion in assets, including rapidway vivastations and lanes, boulevard work, underground infrastructure, streetscape features, facilities and terminals, and subway infrastructure.

Vaughan Metropolitan Centre subway station platform

criticalinvestment

to completethe network

A N N U A L R E P O R T 2 0 19 25


priority projects to connect the network

future investment needed to complete the network

While 33.7 kilometres of the rapid transit network are either in service or under construction, less than half the network needed to service the growth plan to 2041 is funded.11

The Yonge North Subway Extension from Finch to Highway 7 is the missing link needed to connect the GTA, and unlock new businesses and jobs in the Richmond Hill/Langstaff Urban Growth Centre.

Bus Rapid Transit Corridors Current ridership, AM peak

Projected ridership,AM peak 12

Travel time savings12

Yonge StreetConnecting Richmond Hill and Newmarket rapidways 370 2200 13%

Highway 7 EastUnionville GO Station east to Ninth Line 270 1600 36%

Highway 7 WestHelen Street west to Highway 50 300 1200 35%


Jane Street east to Donald Cousens Parkway 220 1400 45%

Jane StreetMajor Mackenzie Drive south to Steeles Avenue 100 1200 38%

Leslie StreetMajor Mackenzie Drive south to Don Mills subway station 100 950 57%

Subway

Yonge North Subway Extension Finch Avenue to Highway 7 165,000 riders/workday [2/second] 22.5% - 40%

unfunded future rapid transit network includes

over 75 kmof Bus Rapid Transit

7.4 kmYonge North Subway Extension to Richmond Hill Centre

more funding is needed

Pearson Airport

Lincolnville

to Barrie

to Kitchenerto Oshawa

to Hamilton

to Milton

T O R O N T O

Y O R K R E G I O N

Yong

e St

reet

Yong

e St

reet

Steeles Avenue

Highway 7

Highway 7


Jane

Str

eet

Lesl

ie S

tree

t

Green Lane

A N N U A L R E P O R T 2 0 19 27

Steeles AvenueJane Street to Kennedy Road

future serviceto be determined

Yonge Street & Green Lane

4.4 km3 stations $184

million*

Unfunded Rapid TransitFunded Rapid TransitViva CurbsideProposed Yonge North Subway ExtensionGO Expansion / MetrolinxFuture service to be determinedTerminals [current and future]

*Costs in 2017 dollars

Yonge Street19th / Gamble to Savage Street North


million

Yonge North Subway Extension

$5.6billion*

extension from Finch to Richmond Hill Centre7.4 km

3,300 fewer bus trips per workday by 20305

Highway 7 EastPost Road to Cornell Bus Terminal


million

Highway 7 WestHighway 50 to Helen Street


million*

$3.72billion*

Future BRT

Major Mackenzie 23 km$1.25 B

Jane Street 6 km$313 M

Leslie Street 14 km$470 M

Vaughan Metropolitan Centre is attracting new people and places as a Transit-Oriented Community

re-imaginingcity centres

A N N U A L R E P O R T 2 0 19 29


Vaughan Metropolitan Centre transit connections bring new growth

VMC at night

6 high-rise and mid-rise towers already built, and 14 more under construction or in application in Vaughan Metropolitan Centre as of the end of 20198

SmartVMC Bus Terminal - now open!

Toronto-York Spadina Subway Extension

42 minutes from VMC to Toronto’s Union Station 8.6 km subway

extension

6 subway stations, including 3 in York Region 3 bus terminals

2,464 commuter parking spaces at Pioneer Village and Highway 407 stations

Vaughan Metropolitan Centrerapidway station

direct connection to the subway

Vaughan Metropolitan Centresubway station

42 minutes to Union Station

7 minutes to York University

SmartVMC Bus Terminal

2 minutes to Viva rapidway or subway

9 YRT bus bays

connected to the subway and rapidway, businesses and condo developments via underground walkway

Richmond Hill Centre

York Region Council has provided unwavering support for the Yonge North Subway Extension, championing it as York Region’s top transit priority. It has been remarkable to see the progress this critical project has made in the past few years, and we appreciate the efforts Council has made.

Yonge North Subway Extension >> shovel ready, building momentum

start 2009 environmental assessment [EA] 13

2009-2012conceptual design study, rail yard needs study 13

2014train storage addendum to the EA 13

2017-2020 preliminary design and engineering

Illustration of the future transit hub where the YNSE will meet at Highway 7

A N N U A L R E P O R T 2 0 19 33

Commuters at the Richmond Hill Centre Terminal - future

northern terminus of the YNSE

bringing new jobs and businesses with the Yonge North Subway Extension [YNSE]

165,000riders / work day [2 people / second]9

over 60,000 new jobs

along the YNSE corridor by 2031 10

3,300 fewer bus trips / work up to day on Yonge by 20305

3,445 tonnes / year less greenhouse gas emissions by 2030 7

takes at least 10 years to build

The YNSE, together with rapidways on Highway 7, connect Markham and Vaughan, two of the largest employment megahubs in the GTA.

17 new developments proposed or underway in 2019 along the Yonge corridor from Steeles Ave. to Highway 7, including 17,806 residential units and 613,595 square feet of retail/commercial space 8

Working together on every detail of project planning

partnershipsand collaboration

A N N U A L R E P O R T 2 0 19 35


our role changes of great magnitude are fueled by the power of collaboration and partnerships

our partners

• The Government of Canada, funding partners for subway projects, facilities and terminals

• The Province of Ontario, funding partners for subway projects, facilities and terminals

- Metr olinx, an agency of the Province, our funding partner on subway and rapidway projects

• York Region, our sole shareholder and funding partner on subway, facility and terminal projects, and author of York Region’s Transportation Master Plan 14

• Cities of Markham, Vaughan and Richmond Hill, and the Town of Newmarket, where we’re building rapid transit projects to prepare for and help shape growth

designing for smart investment

From start to finish, YRRTC designs projects to suit York Region’s future growth. Our team oversees environmental, contract management, procurement, finance and budgeting, real estate and community engagement.

Bus rapid transit projects include upgrades to infrastructure and utilities, and include sustainable and eco-friendly elements wherever possible.

focusing on the community

YRRTC has built relationships with stakeholders across York Region, with funding partners, neighbouring municipalities and transit operators.

Each project has staff dedicated to providing the community with detailed construction updates, enabling those who live, work or commute in the area to understand and plan ahead or construction.


Beautiful wood structure inside SmartVMC Bus Terminal, surrounded by office and condo towers, a library and community centre, and connected with an underground path to TTC subway and the Highway 7 rapidway


working with the community

keeping communities informed

Proactive communications are woven through each project:

• Sho wcasing the project’s vision

• Hos ting open houses and presentations

• Sharing pr actical, timely, information using newsletters, construction notices and social media

Community Liaisons work closely with business owners, local associations, property owners and local municipalities, and make extra effort to reduce the impacts of construction where possible.

This page: Community Liaison Specialists talk to residents at local events, and along construction corridors

Facing page: 2019 business support ad campaign

A N N U A L R E P O R T 2 0 19 39

supporting businesses

award-winning business support program

YRRTC delivers a Business Support Program to help businesses along construction corridors, including:

• Complimentary memberships to local Chamber of Commerce or Boards of Trade

• Inf ormation, tools and resources for continued business success

• Advertising campaigns in spring and winter to remind the community to support businesses during construction by shopping and dining locally.

in 2019

3 community clean-up events held in Vaughan and Richmond Hill 56

community engagement events attended

overconstruction notices hand-deliv

10,000ered

to residents and businesses4 days of community events to celebrate opening SmartVMC Bus Terminal and the Highway 7 West rapidway in Vaughan

nearlyto community contacts and enquiries

1,400 responses


YRRTC’s #BellLetsTalk Café

YRRTC Halloween event to raise funds for United Way

social responsibility

A N N U A L R E P O R T 2 0 19 41

Christmas donation to Big Brothers Big Sisters

Participation in Scotiabank’s Rat Race

contributing to our community

In 2019, the YRRTC team made a positive impact in York Region’s communities:

• 100% department participation in a variety of internal United Way fundraising activities, raising $3,682

• Donated gifts to support a family during Christmas, through Big Brothers Big Sisters York

• Participated in the #BellLetsTalk initiative, hosting a Café event for staff and encouraging social media activity

• Participated in Scotiabank’s Rat Race in support of the United Way

• Provided summer jobs to 7 students

conscientious projects

Over the years, YRRTC has put a lot of thought into our project management, donating trees and landscaping materials from our construction projects to community organizations/schools where possible.

celebrating diversity

YRRTC continues to encourage a variety of cultural celebrations, and honours York Region’s inclusion charter.

Enjoying the walk-ability of a Transit-Oriented Community, in Markham Centre

2019financial and

procurementreporting

A N N U A L R E P O R T 2 0 19 43

Y O R K R E G I O N R A P I D T R A N S I T C O R P O R AT I O44

2019 financial and procurement highlights

financial highlights

York Region Rapid Transit Corporation

is committed to the highest standards of accountability

and transparency.

The current funded capital

program for rapid transit

infrastructure in York Region

is $3.544 billion,

$1.911 billion of which is

for the 34.6 kilometers

of rapidways and is fully

funded by the Province.

The remaining $1.632 billion

balance is for the Regional

Capital Program and is

cost-shared among the

provincial and federal

governments and York Region,

with the Region responsible

for about $0.774 billion,

mainly for the Toronto-York

Spadina Subway Extension and

Facilities and Terminals.

summary of funded capital expenditures at end of 2019*

total capital budget $3.5 billion

92%$3.3 billion

total capital expenditures inception to-date

8%$0.2 billion

remaining budget

total capital expenditures inception to-date $3.3 billion

53%$1.7 billion

rapidways & station

39% Toronto-York Spadina Subway Extension

$1.3 billion [TYSSE]**

6%$0.2 billion

facilities & terminals

2%$0.05 billion

Yonge North Subway Extension conceptual design & other rapid transit initiatives

* Th

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ove

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350

300

250

200

150

100

50

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illi

on

s

2012 2013 2014 2015 2016 2017 2018 2019actual actual actual actual actual actual actual actual

A N N U A L R E P O R T 2 0 19 45

funding sources for bus rapid transit projects

Metrolinxcapital pr

$1.9ogram

billion

completion of 27.3 km of rapidways

• Highway 7 East• Davis Drive• Highway 7 West • Yonge Street - Newmarket

active BRT projects under construction

• Yonge Street - Richmond Hill

90%$1.7 billion

total expenditures inception to-date

10%$0.2 billion

remaining budget

100%Provincial

Regionalcapital pr

$1.3ogram

billion

Toronto-York Spadina SubwaExtension [TYSSE]

The overall Toronto-York SpadinSubway Extension [TYSSE] projecosts total $3.184 billion, of whic$1.274 billion or 40.04% is for the extension of 2.4 km from Pioneer Village Subway Station to Vaughan Metropolitan Centre Subway Station in York Region.

With the subway in service in December 2017, the remaining budget is estimated for the close-out of the project cost.

y

a ct h

96%$1.3 billion

total expenditures inception to-date**

4%$0.1 billion

remaining budget

20%Federal

33%Provincial

City of T28%

oronto19%

York RegionRegional

** T

YSSE

bud

get i

nclu

des

Cap

acit

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uy-i

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iva

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view


2019 financial and procurement highlights

Yonge North Subway Extension - planning and design

Yonge North Subway Extension Preliminary Design and Engineering, cumulative funding of $91.3 million [$55.0 million from Metrolinx and $36.3 million from York Region’s Federal Public Transit Infrastructure Fund [PTIF].

Regional

$0.363capital program

billion

51% total expenditures

$18.5 million inception to-date

49% remaining budget$17.7 million

YNSE preliminary design and engineering

60%$55.0 million

Metrolinx

40%$36.3 million

York Region [PTIF Phase 1]

capital

$0.2program

billion

facilities and terminals completed projects

• Oper ations, Maintenance and Storage Facility

• P ark and Ride at Davis Drive and Highway 404

• SmartVMC Bus Terminal

active projects under construction

• Cornell Bus Terminal• Park and Ride facilities

93%$0.2 billion

total expenditures inception to-date

7%$0.01 billion

remaining budget

32%Federal

23%Provincial

45%Regional

A N N U A L R E P O R T 2 0 19 47

procurement highlightsIn 2019, 18 existing contracts received a total net increase of approximately $82.2 million and five new contracts with an approximate total value of $0.2 million were awarded. Contracts greater than total net increase of $500,000 include:

• Construction contracts for Yonge Street - $69.2 million [total contract value of $280.0 million]

• Utility Relocation contracts for Yonge Street - $5.1 million [total contract value of $20.0 million]

• Delineated Services for Program Management & Technical Advisory and Construction Oversight - $7.1 million [total contract value of $18.4 million]

97% of the Regional

Program budget is committed

projects remaining• Development opportunities• Cornell Bus Terminal

x et 98% of the Metrolin

Program budgis committed

projects remaining• Yonge Street bus rapidway

A N N U A L R E P O R T 2 0 19 49

2019 audited financial statements

Enclosed are the audited financial statements for York Region Rapid Transit Corporation. YRRTC’s capital projects bring assets York Region residents will benefit from for generations to come. To continue delivering these capital projects in 2019, the gross operating costs were $33.9 million, including:

• $21.1 million from the Metrolinx Capital Program for bus rapid transit projects

• $8.3 million for Region-funded capital projects

• $4.5 million from York Region for project management services

KPMG LLPVaughan Metropolitan Centre100 New Park Place, Suite 1400Vaughan ON L4K OJ3CanadaTel 905-265-5900Fax 905-265-6390

INDEPENDENT AUDITORS' REPORT

To the Board of Directors of York Region Rapid Transit Corporation

OpinionWe have audited the financial statements of York Region Rapid Transit Corporation (the Entity), which comprise:

• the statement of financial position as at December 31, 2019• the statement of operations for the year then ended• the statement of cash flows for the year then ended• and not es to the financial statements, including a summary of significant

accounting policies

(Hereinafter referred to as the "financial statements").

In our opinion, the accompanying financial statements present fairly, in all material respects, the financial position of the Entity as at December 31, 2019, and its results of operations and its cash flows for the year then ended in accordance with Canadian public sector accounting standards.

Basis for OpinionWe conducted our audit in accordance with Canadian generally accepted auditing standards. Our responsibilities under those standards are further described in the ''Auditors' Responsibilities for the Audit of the Financial Statements" section of our auditors' report.

We are independent of the Entity in accordance with the ethical requirements that arerelevant to our audit of the financial statements in Canada and we have fulfilled ourother ethical responsibilities in accordance with these requirements.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

KPMG LLP, is a Canadian limited liability partnership and a member firm of the KPMG network of independentmember firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity.KPMG Canada provides services to KPMG LLP.


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Responsibilities of Management and Those Charged with Governance for the Financial Statements

Management is responsible for the preparation and fair presentation of the financial statements in accordance with Canadian public sector accounting standards, and for such internal control as management determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, management is responsible for assessing the Entity's ability to continue as a going concern, disclosing as applicable, matters related to going concern and using the going concern basis of accounting unless management either intends to liquidate the Entity or to cease operations, or has no realistic alternative but to do so.

Those charged with governance are responsible for overseeing the Entity's financialreporting process.

Auditors' Responsibilities for the Audit of the Financial StatementsOur objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditors' report that includes our opinion.

Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with Canadian generally accepted auditing standards will always detect a material misstatement when it exists.

Misstatements can arise from fraud or error and are considered material if, individuallyor in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of the financial statements.

As part of an audit in accordance with Canadian generally accepted auditing standards, we exercise professional judgment and maintain professional skepticism throughout the audit.

We also:

• Identify and as sess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion.

The risk of not det ecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

• Obt ain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Entity's internal control.


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• Ev aluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management.

• Conclude on the appr opriateness of management's use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Entity's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditors' report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditors' report. However, future events or conditions may cause the Entity to cease to continue as a going concern.

• Ev aluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.

• Communic ate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

Chartered Professional Accountants, Licensed Public Accountants

Vaughan, Canada

May 19, 2020

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YORK REGION RAPID TRANSIT CORPORATION

Statement of Financial PositionDecember 31, 2019, with comparative information for 2018

2019 2018

Financial AssetsDue from Regional Municipality of York (note 3) $ 508,047 $ 630,033

LiabilitiesDue to others (note 4) 508,046 630,032

Net debt 1 1

Subsequent event (note 9)

Accumulated surplus (note 5) $ 1 $ 1

See accompanying notes to financial statements.

On behalf of the Board:

Treasurer



Statement of OperationsYear ended December 31, 2019, with comparative information for 2018

Budget 2019 2018Revenue: Program management fee (note 6) $ 4,720,538 $ 4,496,153 $ 4,630,895Expenses: York Region Rapid Transit Program Management: External professional contracted

services (note 7) 11,370,926 13,890,282 10,610,671Salaries and benefits 14,226,792 12,638,992 15,184,609Regional Municipality of York professional contracted services (note 8) 4,743,171 4,452,339 4,984,659Office administration 1,580,439 931,921 1,012,661Occupancy and rent 991,377 460,686 1,018,951

32,912,705 32,374,220 32,811,551 Regional Municipality of York Corporate Allocation: Computer hardware 666,641 572,281 479,868 Computer software 366,439 318,269 459,707 Legal 341,542 263,525 482,096 Telephone and data management 172,729 143,558 156,187 Human resources 118,954 118,384 78,834 Finance charges 86,103 72,480 92,229 Occupancy costs 68,363 53,470 -

1,820,771 1,541,967 1,748,921 Operating recoveries: Recoveries from the

Metrolinx Capital Projects (22,247,963) (21,129,318) (28,042,880) Recoveries from the

Regional Capital Projects (7,764,975) (8,290,716) (1,886,697)

[30,012,938) (29,420,034) (29,929,577)

4,720,538 4,496,153 4,630,895

Annual surplus - - -Accumulated surplus, beginning of year - 1 1

Accumulated surplus, end of year $ - $ 1 $ 1


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Statement of Cash FlowsYear ended December 31, 2019, with comparative information for 2018

2019 2018

Operating activities: Annual surplus $ - $ - Change in non-cash assets and liabilities: Due from Regional Muncipality of York (121,986) (124,635) Due to others 121,986 124,635

Cash, end of year $ - $ -




Notes to Financial StatementsYear ended December 31 , 2019

The York Region Rapid Transit Corporation (the “ Organization”) was incorporated on July 2, 2003 under the Ontario Business Corporations Act. The Organization is responsible for the planning, design and construction of the rapid transit network and related infrastructure. The expertise of the Organization lies in project management - design and engineering, procurement and financial management and community relations.

The Organization manages the capital projects funded by the Regional Municipality of York such as road widening, sidewalks, landscaping, storm sewers and fiber communications. In addition, the Organization manages the capital projects funded by Metrolinx which results in betterments for the Regional Municipality of York and assets for Metrolinx. As of December 31 , 2019, total assets with a cost of $1.5 billion have been recorded in the Regional Municipality of York’s financial statements.

The Organization is exempt from income taxes if certain requirements of the Income Tax Act (Canada) are met.

1. Significant accounting policies:

(a) General:

These financial statements have been prepared in accordance with generally accepted accounting principles established by the Public Sector Accounting Board (“PSAB”) of the Chartered Professional Accountants of Canada.

(b) Accrual basis of accounting:

The financial statements are prepared using accrual basis of accounting. Revenue is recognized as earned and measureable. Expenses are recognized as they are incurred and measurable based upon the receipt of goods and services or the creation of a legal obligation to pay.

(c) Revenue recognition:

The pr ogram management fee is recognized as revenue in the year in which related expenses are recognized.

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1. Significant accounting policies (continued):

(d) Use of estimates:

The pr eparation of financial statements in conformity with Canadian public sector accounting standards requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the year. Estimates are based on the best information available to management at the time of preparation of the financial statements and are reviewed annually to reflect new information as it becomes available. Measurement uncertainty exits in these financial statements. Actual results could differ from these estimates.

(e) Adoption of new accounting standard:

The f ollowing standard issued by PSAB was effective January 1, 2019. The implementation of this standard had no impact on the annual deficit, net debt or accumulated surplus.

PS 3430 - Restructuring Transactions:

This ne w standard provides guidance on the treatment of assets and/or liabilities transferred in restructuring transactions by both transferors and recipients.

2. Statement of change in net debt:

A statement of change in net debt has not been presented, as the amount of net debt remains unchanged year over year and any other information which would be contained within the statement is readily available elsewhere in these financial statements.

3. Due from the Regional Municipality of York:

Amounts due from the Regional Municipality of York are non-interest bearing and have no specific terms of repayment.




4. Due to others:

Due t o others is primarily comprised of payroll related liabilities at the end of the year. They are non-interest bearing and are normally settled on 30-day terms; therefore, their carrying amount approximates the fair value.

5. Accumulated surplus:

The accumulated surplus as December 31 comprises:

2019 2018

Share capital $ 1 $ 1

6. Program management fee:

P er the Rapid Transit Agreement, the Organization is the Program Manager tasked with delivering the rapid transit infrastructure projects for the Regional Municipality of York.

In 2017, the Or ganization and the Regional Municipality of York entered into a Memorandum of Understanding, whereby the Organization will invoice project management fees to the Regional Municipality of York on a quarterly basis for project management services rendered in the year.

7. External professional contracted services:

Expenses on pr ofessional contracted services include external legal counsel, external communications, public relations, consulting services and audit services.

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8. Relat ed party transactions - Regional Municipality of York professional contracted services:

F or efficiency purposes, the Regional Municipality of York departments provided contracted services to the Organization per Dedicated Charges Agreements between the Regional Municipality of York and the Organization. These charges were fully recovered against capital projects.

Budget 2019 2018

Regional Municipality of York professional Contracted services:

Property services $ 1,753,139 $ 1,619,770 $ 1,782,138Legal services 1,121,400 896,496 959,410Transportation services 1,169,264 1,288,594 1,487,081 Community and planning services, long range planning services and data analysis and visual services 435,299 385,621 519,676Records and information management services 128,765 126,554 103,703

Supplies and services 135,304 135,304 132,651

$ 4,743,171 $ 4,452,339 $ 4,984,659

9. Subsequent event:

Subsequent t o year end, the COVID-19 outbreak was declared a pandemic by the World Health Organization. This COVID-19 pandemic is currently impacting many organizations, as all levels of government are advising individuals to self-isolate or to practice social-distancing. It is currently not known how long or to what extent the pandemic will impact the Organization’s operations. Currently, an estimate of the financial effects to the Organization cannot be made as the pandemic’s impact is changing daily.


sources

1. Y ork Region Planning and EconomicDevelopment Branch. [2020] 2019Employment & Industry Report: Adetailed overview of industry andemployment trends in York Region.Retrieved from https://www.yorklink.ca/wp-content/uploads/2020/02/2019-york-region-employment- industry-report.pdf

2. CBC Ne ws. [2019] StatsCan studyshows Canadian commute times aregetting longer — and it’s costing us.Retrieved from https://www.cbc.ca/news/business/statistics-canada- commute-times-study-1.5038796

3. St ats Canada. [2019] Study: Longcommutes to work by car. https://www150.statcan.gc.ca/n1/daily- quotidien/190225/dq190225a-eng.htm

4. St atistics provided by York RegionTransportation Services Department,Corridor Control and Safety,Traffic Data.

5. Cal culated based on modelling byYork Region Transit, Service Planning.

6. P er corridor, rapidway projects included:

• Highway 7 East in Richmond Hill andMarkham: 1,250 trees, 21,000 shrubs

• Highway 7 West in Vaughan MetropolitanCentre: 330 trees, 14,000 shrubs

• Highway 7 West, Bathurst & CentreStreets in Woodbridge and Thornhill:930 trees, 11,000 shrubs

• Davis Drive in Newmarket: 470 trees,21,000 shrubs, plants, flowers

• Yonge Street in Newmarket: 500 trees,20,000 shrubs, plants, flowers

7. Pr ojected based on modelling by YorkRegion Transit, Service Planning.Calculation of “13 tonnes per averageworkday in reduced greenhouse gasemissions by 2030” and “3,445 tonnes /year less greenhouse gas emissions by2030” based on: Average fuel economy ofa transit bus [1.77 km/L for York Region’sNew Flyer, Nova Bus and Van Hool buses];Number of bus transit trips per averageworkday [3,300 projected by YRT ServicePlanning by 2030]; Distance along busiestsection of Yonge St. from Finch Ave. toSteeles Ave. [2.09 km]. Result using onlinegreenhouse gas calculator [https://www.e3fleet.com/emissions_calculator.html] is13 tonnes of GHG emissions per workday,and 3,445 tonnes per year. Once the

https://www.yorklink.ca/wp-content/uploads/2020/02/2019-york-region-employment-industry-report.pdf

https://www.cbc.ca/news/business/statistics-canada-commute-times-study-1.5038796

https://www.e3fleet.com/emissions_calculator.html

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vehicles/technology planned for the subway extension are determined, this equation will be updated to take into account the greenhouse gas emissions from vehicles on the subway extension.

8. St atistics provided by York Region Planning and Economic Development Branch, Long-Range Planning.

9. The Mis sing Link: Yonge Subway Business Case. Page 3. “1 bus every 30 seconds” calculated based on typical bus capacity of 70 passengers, multiplied by the number of hours per work day of bus operations. Retrieved from http://www.vivanext.com/PDFs/YSE/2011_MissingLink_YSE_MayBreakfastMtg.pdf

10. Pr ojected based on statistics maintained by York Region Planning and Economic Development Branch, Long-Range Planning.

11. The “gr owth plan to 2041” refers to Ontario’s growth plan: Province of Ontario, Ministry of Municipal Affairs and Housing. [2019]. A Place to Grow: Growth plan for the Greater Golden Horseshoe. Retrieved from https://www.ontario.ca/document/place-grow-growth-plan-greater-golden-horseshoe

12. Pr ojected based on modelling by York Region Transportation Services Department, Date and Forecasting.

13. Find the Y onge North Subway Extension documents, including the Environmental Assessment [EA]; Conceptual Design Study; Rail Yard Needs Study; and Train Storage Addendum to the EA, at http://www.vivanext.com/YongeSubwayExt

14. Y ork Region Transportation Services Department. [2016]. The Regional Municipality of York Transportation Master Plan. Retrieved from https:// www.york.ca/wps/portal/yorkhome/yorkregion/yr/plansreportsandstrategies/ transportationmasterplan/

http://www.vivanext.com/PDFs/YSE/2011_MissingLink_YSE_MayBreakfastMtg.pdf

contact us

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905.886.6767 or 877.464.9675

York Region Rapid Transit Corporation 3601 Highway 7 East, 12th Floor, Markham, ON L3R 0M3

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