Yesterday, London City Council received and endorsed the City of London Strategic Financial Framework, 2023 Corporate Asset Management Plan, and received an update that for the 47th consecutive year London has achieved the Aaa (‘triple A’) credit rating.
Guided by the strategic focus of ‘Well-Run City’ as identified in Council’s 2023-2027 Strategic Plan for the City of London, the three reports endorsed by Council yesterday demonstrate that London’s finances are maintained in a transparent, sustainable, and well-planned manner, incorporating intergenerational equity, affordability and environmental, social, and governance considerations.
The 2023 Corporate Asset Management Plan (CAM Plan) outlines how London's City-owned assets, with a replacement value of approximately $28.5 billion, will be managed over the next ten years and beyond.
London's CAM Plan focuses on the state of local infrastructure, levels of service, risk, lifecycle asset management planning and long-term financing. The information is used to inform decisions regarding the building, operating, maintaining, renewing, replacing and disposing of assets to ensure the City can provide and maintain the many services like transportation, clean drinking water, recreation, garbage collection and recycling that Londoners rely on every day.
“The City’s CAM Plan is how we prioritize our infrastructure needs to achieve the greatest benefit to our community and to ensure London is a great place to live now and well into the future. Simply put it is about making the right decision, at the right time for the right amount,” said Anna Lisa Barbon, Deputy City Manager, Finance Supports.
The Strategic Financial Framework is a foundational document that links existing financial policies, reports and plans, including the CAM Plan, and ongoing financial practices together. It provides a high-level summary of the strategic principles and practices that staff and Council utilize in financial planning and decision-making and that govern the long-term financial management of the City of London.
Many of these principles and practices are longstanding and are contributing factors to the City maintaining its Aaa credit rating, the highest rating possible, since 1977. Moody’s Investors Service, in maintaining the City of London’s Aaa credit rating, noted the City’s strong governance and management practices, such as the application of multi-year budgets, which helps to promote stable operations.
The sound financial policies and prudent financial planning principles will position the City of London well as the City embarks on the 2024-2027 Multi-Year Budget beginning in December 2023. The Strategic Financial Framework will serve as a foundation to guide decision-making through the budget process.
The draft 2024-2027 Multi-Year Budget will be presented to the Strategic Priorities and Policy Committee on December 12, 2023. Londoners can visit london.ca/budget to learn more about the upcoming budget and watch for upcoming opportunities provide feedback during the budget process.