WELCOME TO THE ENGINEERING SUCCESS IN THE GREATER TORONTO AREA WEBINAR Presented by Sept. 15 2015
1. Introduction AGENDA 2. Keynote Speaker: 3. Halton Region Case Study: 4. Wrap-up & Video Carl Bodimeade, P. Eng Vice President, Hatch Mott MacDonald Bill Bailey Vice President, Redevelopment at Halton Healthcare 2
INTRODUCTION: ONTARIO Population: 13.6 million Provincial Capital: Toronto 1 GDP: $720 Billion 37% of national GDP 2 1 Source: Statistics Canada 2 Source: Ontario Ministry of Finance U.S.A. 3
BUSINESS LOCATION DECISIONS 4
ONTARIO: BUSINESS ADVANTAGES Business Cost Index vs. G7 U.S. BASELINE 97.7 93.5 93.5 94.7 95.3 90.2 Ontario UK France Japan Italy Germany Source: Invest in Ontario 5
ONTARIO: BUSINESS ADVANTAGES Business Cost Index vs. U.S. 102.5 U.S. BASELINE 95 97.2 95.9 100 90.2 Ontario North Carolina Texas Florida New York California Source: Invest in Ontario 6
ONTARIO: BUSINESS ADVANTAGES Corporate Income Tax Rate 26.5% 28.2% 30.0% 39.2% Ontario* G20 Avg G8 Avg U.S. Avg *Combined Federal-Ontario general corporate income tax (CIT) rate Source: Invest in Ontario 7
ONTARIO: BUSINESS ADVANTAGES Corporate Income Tax Rate 26.5% 35.7% 38.6% 38.9% 39.6% 40.7% Ontario* Texas Florida North Carolina New York California *Combined Federal-Ontario general corporate income tax (CIT) rate Source: Invest in Ontario 8
ONTARIO: BUSINESS ADVANTAGES Employer health costs for a typical firm $980,000 $457,000 U.S. Ontario *Note: Typical firm defined as having approximately 93 employees. Source: Invest in Ontario 9
INTRODUCTION: GREATER TORONTO AREA (GTA) The GTA is Canada s industrial and financial capital, accounting for 20% of Canada s GDP Home to 40% of Canada s business HQ s Population: 6.3 million Source: Greater Toronto Marketing Alliance 10
GTA COST ADVANTAGE Business Cost Index Toronto vs. Select U.S. Cities U.S. BASELINE 103.6 104.2 U.S. BASELINE 93.6 97 99.1 93.6 94.7 Toronto Atlanta Miami Chicago New York City San Francisco Source: Source: KPMG Competitive Alternatives 2014 11
WHERE IS HALTON? Mobility Hubs across the Region Chicago 1.5hrs 7hrs Halton Waterloo.5hr 50 mi Detroit 1hr 3hrs 150 mi Ottawa 1hr 4.5hrs Toronto.5hr Niagara Falls 1hr Buffalo.5hr 1hr Montreal 1hr 5.5hrs Boston 1.5hrs 8hrs 250 mi New York 1.5hrs 7hrs 350 mi Washington D.C. 1.5hrs 8hrs 450 mi 12
INTRODUCTION: HALTON REGION 13
GROWTH: ONE OF THE FASTEST- GROWING REGIONS IN CANADA Population 2015 2020 2025 HALTON 543,557 610,517 675,932 GTA 6,739,504 7,147,491 7,688,961 Sources: Ontario Ministry of Finance, Halton Best Planning Estimates 14
UNPARALLELED ACCESS TO TALENT More than 4.5 million within commuting distance 4 15
ACCESS TO TALENT: CONNECTIVITY 8 Go Train Stations across the region 4 mobility hubs across the region 30-minute all-day GO train service to downtown Toronto 16
UNPARALLELED ACCESS TO TALENT Labour force size: 281,000 Commuter labour pool: 4.5 million Businesses in Halton have access to a highly educated labour pool. Post Secondary Education Attainment Halton 74% Canada 64% 17
ENGINEERING TALENT POOL Segment Engineering, architectural & related services Reside in Halton Employed in Halton Net outflows from Halton 4,705 42,30 475 Specialized design services 1,265 1,100 165 Computer system design and related services Management, scientific & technical consulting services Scientific research & development services Other professional, scientific & technical services 5,655 4,240 1,415 4,365 3,140 1,225 1,025 575 450 1,620 1,140 480 Sources: 2011 Census, Analyst Program 18
Halton is centrally located in an education triangle of Canada s largest universities and colleges. 19
ENGINEERING TALENT PIPELINE Highly Ranked Engineering Schools within an hour s drive of Halton: 20
ENGINEERING TALENT PIPELINE 80,000 Total National Undergraduate Enrolment in Accredited Engineering Programs 75,000 70,000 65,000 60,000 55,000 50,000 45,000 40,000 35,000 30,000 2009 2010 2011 2012 2013 Source: Engineering Canada 21
RESEARCH PARTNERSHIPS $980M research software grant Provision of industry-level software for course work and research, aiding the development of advanced skills required by key industry players. 22
TRAINING TIES Siemens provides engineering internships and co-op placements Siemens maintains a close relationship with several educational institutions nationally as part of the Siemens Canada Engineering and Technology Academy (SCETA) SCETA provides enhanced certification and training for tomorrow s skilled workforce 23
ENGINEERING HQs: ONTARIO More than 200 engineering firms have chosen to locate their headquarters in Ontario, benefitting from major national and provincial infrastructure projects that have been undertaken in recent years. HALTON 24
ENGINEERING CLUSTER: GTA 25
ENGINEERING CLUSTER: HALTON 26
PROJECTS: NATIONAL New Federal Building Canada Plan: $130 Billion 10- year public infrastructure plan included in 2015 budget 3.1% Average annual growth in infrastructure construction through 2025 Source: Oxford Economics 27
PROJECTS: PROVINCIAL Planned investment of $11.9 billion in 2015-16 on infrastructure such as roads, bridges, public transit, water systems, hospitals and schools. Ontario Community Infrastructure Fund (OCIF) provides $100 million annually to support small and rural communities in Ontario. Community Improvement Fund: $32 billion provided to municipalities for infrastructure projects. Source: Ontario Ministry of Finance, Government of Canada 28
PROJECTS: PROVINCIAL Major Infrastructure Projects Currently Underway - Ontario PROJECT TORONTO EGLINGTON CROSSTOWN LRT SCARBOROUGH SUBWAY EXTENSION SPADINA SUBWAY EXTENSION LOWER MATTAGAMI HYDROELEXCTRIC COMPLEX DARLINGTON GENERATION STATION REFURB-DEFINITION PHASE VALUE $5.3B $3.3B $2.6B $2.6B $2.5B OTTAWA CONFEDERATION LINE $2.1B GORDIE HOWE INTERNATIONAL BRIDGE - WINDSOR $2.1B NEW OAKVILLE HOSPITAL $2B HURONTARIO-MAIN LRT - MISSISSAUGA $1.6B YORK VIVA BUS RAPID TRANSIT $1.4B PORT HOPE AREA INITIATIVE $1.2B FINCH WEST LRT $1B HIGHWAY 407 EAST - PHASE 1 $1B Sources: Infrastructure Ontario & The Top 100 Projects 29
PROJECTS: HALTON $2.9 billion in infrastructure investment over the next 10 years as part of our Strategic Action Plan 2015: $314 million invested in planning, waste management, water and wastewater projects. 30
PROJECTS: HALTON Halton Capital Improvement Program $120 million annual investment towards ongoing or new construction projects 2013: $289 million directed towards Regional road projects 31
Public-Private Partnerships (P3s) Canada has positioned itself as the North American leader in public-private partnerships (P3s), much of which is centred in the Greater Toronto Area. Canada is acknowledged to be the key source of international best practice Source: The Canadian Council for Public-Private Partnerships (CCPPP) 32
Public-Private Partnerships (P3s) Over 220 P3 infrastructure projects in operation, under construction, or in procurement across Canada and across a variety of priority sectors of the economy. The value of those projects which have reached financial close exceeds $70 billion. Source: The Canadian Council for Public-Private Partnerships (CCPPP) 33
TOP P3 PROJECTS (2015) Value New Bridge for the St. Lawrence $5B New Oakville Hospital $2.7B CHUM (Centre hospitalier de l université de Montréal) $2.6B New International Trade Crossing $2.1B Edmonton Valley Line Stage 1 $1.8B Humber River Regional Hospital $1.7B Evergreen Rapid Transit Line $1.4B New Cancer Centre in Calgary $1.3B John Hart Generating Station Replacement Project $1.1B Highway 407 East Extension Phase 1 $1B P3 TOTAL $ 23.9 Billion Source: The Top 100 Projects 34
P3s IN ONTARIO Approached through Alternative Financing and Procurement (AFP) model. AFP Model Project scope determined by public sector. Design and construction is financed and carried out by the private sector. Repayment occurs following completion over a set timeframe Over $42 billion in capital infrastructure projects realized through the AFP model in Ontario since 2006 75 projects completed since 2005. 35
TOP P3 PROJECTS - ONTARIO Value New Oakville Hospital $2.7B New International Trade Crossing $2.14B Humber River Regional Hospital $1.75B Highway 407 East Extension Phase 1 $1B ION Region of Waterloo LRT $818B Providence Care Hospital $810B CIBC Pan Am and Parapan Am Athletes Village $514B Peel Memorial Centre for Integrated Health and Wellness $491B Women s College Hospital Redevelopment $460B Union-Pearson Express Spur Line $456B Source: The Top 100 Projects 36
AVAILABLE OFFICE REAL ESTATE Class A office space Flex office space Green standards Built-to-Suit opportunities Competitive lease rates Halton avg. office rent ($17.10 /sq. ft.) less than GTA
BUSINESS PARKS 16 business parks + 7 additional locations planned for the future Close to Ontario's major highways: excellent access to talented labour and the Greater Toronto Area market Average annualized cost for office development lower than in Toronto & other GTA communities Over 1,400 acres of vacant, serviced designated Employment lands Over 5,800 acres of vacant, planned Employment lands
QUALITY OF LIFE Halton offers such a range of high quality neighbourhoods that it is no surprise many Siemens Canada employees call it home. Robert Hardt CEO, Siemens Canada 39
GREAT PLACE TO LIVE Consistently Ranked Best Place to Live in Canada Top Ranked Schools 90% literacy rate (provincial average = 82%) 32 renowned private schools Safest Large Municipality in Canada 7 consecutive years One of Canada s most affluent regions Average household income is $119,000 40
GREAT PLACE TO LIVE $679K AVERAGE HOME PRICE Q2 2015 41
GREAT PLACE TO LIVE THE GTA S BACK YARD.
For More Information Contact information: Stephanie Mazhari Manager, Economic Development stephanie.mazhari@halton.ca 905-825-6000 Ext. 7229 halton.ca/investinhalton linkedin.com/company/halton-business @HaltonEcDev Halton Region Economic Development 1151 Bronte Road Oakville, Ontario L6M 3L1 Canada