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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