Capital Projects

a. A Capital Project is a long-term project to build, improve, maintain, or develop a capital asset. This type of project involves a significant and consistent flow of investment. A capital project can be large scale, needing constant management and resources for completion.
Put simply; a capital project is a huge project that costs a lot of money, lasts a long time, and is generally extremely complex. Projects that we can capitalize or depreciate.

Capital assets, in the world of business, include land, buildings, machinery, factories, vehicles, and computer equipment. In other words, for a company, a capital asset is something it needs to produce goods or services.

b. Types of Capital Projects are:

i. New construction – land improvements, lot development, buildings (commercial or residential), major components to a building, processing systems, etc.

ii. Major repairs requiring an investment in resources – staff, contractors, goods, materials, land, property, large equipment and machinery, vehicles, roofs, foundations, building envelope, etc.

iii. Retrofits to existing building components and/or systems with new, improved components – HVAC systems, doors, windows, etc.

iv. Major renovations requiring an investment in resources – staff, contractors, goods, materials, land, property, large equipment and machinery, vehicles, roofs, foundations, building envelope, decks, steps, stairs, landings and/or ramps, etc.

a. Typical stages (project dependent) are as follows, including, but not limited, to:

i. Planning
ii. Funding
iii. Feasibility Study
iv. Design
v. Construction
vi. Commissioning
vii. Completion
viii. Reporting

a. Determine project goals and objectives

b. Determine if it project goals and objectives align with Nation’s Comprehensive Community Plan

c. Determine available funding programs suitable for project – does it meet the funding program eligibility requirements

i. Nation’s Own Source Revenues
ii. Government funding programs – federal, provincial, regional
iii. Non-government funding programs
iv. Other sources

d. Determine all steps required to obtain funding for project

i. Source(s)

1. If more than one, is it stackable? (can WMFN apply for multiple funding programs for the same project?)
2. Which program makes better business sense to pursue if not stackable?
3. Which program allows for the best solution for this project?

ii. Program and Stream (if applicable)

1. Is it a one-time funding opportunity?
2. Or is it a multi-year funding program that can be applied for next year?

a. When is the last year of the funding program?

3. Which Stream does WMFN qualify for?
4. Which Stream provides the best solution to meet the project’s goals and objectives?

iii. Eligibility requirements
iv. Application processes and submission requirements – review of application guidelines and attending webinars if applicable:

1. Prerequisites – feasibility study, other projects completed, In-Kind Contributions, Own Source Revenue Contributions, surveying, geotechnical assessments, plot plans, permits, environmental assessments, financing, Ministerial Loan Guarantee, inspections, assessments (before and after?), etc.
2. Who?
3. What? Type of project – new construction, repair, retrofit, or renovation?
4. When?
5. Where?
6. Why?
7. How?
8. Budget
9. Design and engineering – all respective regulatory requirements must be met
10. Letter of Support?
11. BCR?
12. ISC PAR submission?
13. Project management
14. QA/QC
15. Etc.?

v. Deadlines for applications or proposals

e. Even if the aforementioned items are all in order, does it make good business sense to pursue this project at this time?

i. What is this projects priority compared to other projects? (Need vs desire)
ii. Consider Nation’s capacity to complete project

1. Do we have the resources to complete the project?

a. Nation’s own Human Resources

i. Skills, knowledge, experience, certification, etc.

b. Consultants and third-party contractors
c. Time
d. Funding
e. Space, land, or other requirement (workspaces, building(s), secured site(s), lot, shoreline, staging areas, transportation, accommodations, infrastructure, etc.)
f. Equipment
g. Goods and materials

iii. Consider how this project aligns or conflicts with other current and/or planned projects
iv. Is this project a key project in the Nation’s CCP, or a prerequisite for completion prior to another project’s commencement?
v. Are there economic or other considerations that could have impacts to the success of this project?

f. Budget

i. Costs and resources required for every stage of the project

1. Project Management
2. Consultants and Professionals (architects, engineers, design, energy modellers, etc.)
3. Feasibility Study
4. Assessments and Investigations

a. Environmental
b. Consultation with other stakeholders
c. Geotechnical
d. Etc.

5. Contractors
6. Vendors
7. Acquisition and procurement

a. Permits and approvals
b. Plot plans
c. Land(s)
d. Building(s)
e. Goods
f. Materials
g. Schedule C-B’s, Letters of Assurance

8. Manufacturing
9. Transportation
10. Installation
11. Commissioning
12. Completions
13. Etc.

ii. Complete budget for application or approval from Council to proceed with project or next steps; OR
iii. Class D estimates to complete a preliminary budget for application or approval from Council to proceed with project, or next steps
iv. Administration
v. Financing
vi. Security
vii. Bonding
viii. Insurance coverage

1. Nation’s insurance

a. Construction
b. Building
c. Assets
d. Other

2. Project Manager and Contractor’s insurance coverages
3. Liability
4. Financing

ix. Warranties
x. Contingency?
g. Contingencies
i. What issues or challenges can be expected to occur during the implementation to complete the project?
ii. What plans have been prepared to eliminate or mitigate these challenges?
iii. Are there monies budgeted for these contingencies? (Typically 3%)
h. Approvals
i. All required approvals from appropriate sources (Council, funding agency or organization, etc.) for:

1. Proceeding with applications
2. Obtaining funding and financing
3. Proceeding with project

i. Agreements and Contracts
i. Signing all requisite agreements for funding and financing at this stage of the project
ii. Signing all required contracts for delivery of goods and services at this stage of the project

a. The WMFN membership was consulted on to determine the projects identified in the WMFN Comprehensive Community Plan (CCP)

b. Department Managers follow the CCP to determine which projects are completed and which order for their department

i. Department Managers work with the Capital Projects Manager to research and determine what funding programs they will apply for funding to realize their projects, and complete all planning, Decisions Sheets for Council and all funding applications or proposals for submission to the appropriate funding agency or organizations (including Council for Own Source Revenues as required to complete projects where a contribution is required, or no funding is available for the priority project)
ii. Once determined, the Dept. Manager and Capital Projects Manager prepare the Decision Sheet for Council for approval to:

1. Upon approval, they submit funding applications and the Director of Operations signs any Contribution Agreements and contracts with the appropriate funders for the monies to complete the project

a. In many cases, Capital Projects are requested by Council for adding to the Capital Projects work plan and budget.

i. The Capital Projects Manager will add the project to the work plan, and plan the project as appropriate, and supply a Decision Sheet back to Council with all relevant information required to receive the approval for proceeding with the project (incl/ funding applications, etc.)
ii. Upon approval, the project proceeds to completion

b. In other instances, funding opportunities become available for Capital Projects that are not identified within the CCP.

i. The Capital Projects Manager, or the appropriate Dept. Manager will contact one another about the project funding program and work together to plan the project as appropriate, and supply a Decision Sheet back to Council with all relevant information required to receive the approval for proceeding with the project (incl/ funding applications, etc.)
ii. Upon approval, the project proceeds to completion