HomeMy WebLinkAboutCouncil - 2010-05-03 SSPECIAL COUNCIL MINUTES
MAY 3, 2010 CITY OF KITCHENER
A special meeting of city council was held at 2:36 p.m. this date, chaired by Mayor C. Zehr with all
members present except Councillors B. Vrbanovic and G. Lorentz.
Notice of this meeting had been previously given to all members of Council by the City Clerk pursuant
to Chapter 25 (Council Procedure) of the Municipal Code.
Moved by Councillor C. Weylie
Seconded by Councillor J. Smola
"That an in-camera meeting of City Council be held immediately following this special meeting to
consider a land acquisition /disposition matter and two matters subject to solicitor-client
privilege."
Carried.
The meeting then recessed at 2:37 p.m. and reconvened at 3:10 p.m. chaired by Mayor C. Zehr with
all members present except Councillor G. Lorentz. Councillor B. Vrbanovic was in attendance for part
of the meeting.
It was noted that this portion of the special meeting was a strategic planning session which was being
held to allow discussion on various strategic initiatives and directions being taken by the City.
Council considered Development & Technical Services Department report DTS-10-085, dated April
27, 2010, regarding an Update on a Stormwater Utility. Mr. Murphy, Director of Engineering Services
along with Mr. M. Gregory of AECOM Canada Architects Ltd. and Mr. S. Sedgwick of Camp Dresser
McKee, presented the report.
Following the presentation, Mr. Murphy again reviewed the current costs for the utility, explaining that
when the costs were first considered, they were based on the 2007 program information and
estimated to be $5.82M to continue at the current service level. This figure has now been revised to
$8.9M. Consequently, the cost of providing a sustainable level of service has risen from $9.1 M to
$13M annually, based on the Council approved increase in service level of $4.1 M. Mr. Murphy also
advised that implementation of the tiered flat fee is intended to start on January 1, 2011.
Councillor B. Vrbanovic entered the meeting.
Mr. Murphy explained that the $13M figure includes administrative and support service overheads
which are already being paid by the City but accounted for in other budgets. These costs amount to
approximately $1 M and will result in a shift from the tax or utility base resulting in a reduction in the
property tax rates and other utility rates.
Members of Council questioned the basis on which the Draft Tiered Flat Rate Schedule has been
determined. They were advised that the residential rates have been determined on the basis of the
building footprint rather than the amount of impervious area. The consultants advised it is not
possible to measure the impervious area on each residential property in the City. However, for the
non-residential categories, actual impervious areas have been calculated and those rates have been
based on impervious area. Mr. Murphy advised that if impervious area is to be the basis of the
residential rates, the additional administrative costs would be substantial.
Mr. Murphy then spoke of other rate schedules for the non-residential properties: Option 2 has 4
categories for taxable properties and 3 categories for tax-exempt properties; and Option 3 has 5 non-
residential tiers where cost differences between the tiers is minimized but does not distinguish
between taxable and tax-exempt properties. He noted that tax-exempt properties have never paid for
this service.
Upon questioning, Mr. Murphy explained that funding through the federal gas tax is available for
capital programs and in this case a portion of the storm pipe can be funded through that program.
Councillor Vrbanovic stated his concern that the large differences between one non-residential tier
and the next; suggesting that removal of a small amount of impervious area could drop a property into
a lower tier. Mr. Murphy responded that they are trying to change that possibility through Option 3
which has additional tiers and staff will continue to explore other options.
SPECIAL COUNCIL MINUTES
MAY 3, 2010 - 110- CITY OF KITCHENER
Mayor Zehr raised a concern about charitable/not-for-profit organizations, noting that those who own
their property will be tax-exempt whereas those who rent property will not be. He directed that tax-
exempt charities/not-for-profits be notified that a report concerning the stormwater utility will be
considered at the May 10t" Finance & Corporate Services Committee meeting.
Mr. Murphy advised that the report to be presented at the May 10th Finance & Corporate Services
Committee meeting will include updated rate figures and comments that have been provided by the
places of worship. He also noted that through this program the Victoria Lake remediation will be
advanced to early 2011 or late 2010.
Council next considered Chief Administrator's Office report CAO-10-019, dated April 29, 2010,
attached to which was a discussion paper titled Redevelopment Strategy for Downtown City-Owned
Lands. Mr. C. Bluhm, Manager, Downtown Community Development, presented this report.
Following the presentation and a brief discussion it was suggested that it is premature to take this
discussion paper to the public at-large. Ms. Ladd, Chief Administrator, recommended forming a "Blue
Sky Group" composed of various experts; as there are so many things happening, there is a need to
understand where the gaps are before going out to the public. She noted that parking is not
considered a high and best use but it is needed.
Councillor Vrbanovic stated that a form of steering committee is required to bring together across-
section of experience and expertise to undertake a visioning exercise. He recommended inviting
someone from Gatineau, Quebec to speak to the steering committee about their experience; this city
having been voted the most liveable city in Canada. Councillor Galloway questioned what direction is
given in the Downtown Strategic Plan and Ms. Ladd responded that the proposed process might
change or replace the Downtown Strategic Plan. Mayor Zehr stated that there is still need to go to the
public for input but not at this time; and, there should also be a broader consultation on the whole of
the Downtown Strategic Plan. He recommended that staff think in terms of a timeline for the new
council.
On motion the meeting adjourned at 4:55 p.m.
MAYOR CLERK