HomeMy WebLinkAbout2012-05-07FINANCE AND CORPORATE SERVICES COMMITTEE
MAY 7, 2012 CITY OF KITCHENER
The Finance and Corporate Services Committee met this date commencing at 10:34 a.m.
Present: Councillor S. Davey - Chair
Mayor C. Zehr and Councillors J. Gazzola, B. Vrbanovic, Y. Fernandes, K. Galloway, B.
Ioannidis, Z. Janecki, F. Etherington and D. Glenn-Graham.
Staff: D. Chapman, Deputy CAO, Finance & Corporate Services
J. Willmer, Deputy CAO, Community Services
P. Houston, Deputy CAO, Infrastructure Services
R. Gosse, Director, Legislated Services & City Clerk
R. Regier, Executive Director of Economic Development
L. Gordon, Director of Supply Services
R. Hagey, Director of Financial Planning
D. Murray, Interim Director of Information Technology
C. Tarling, Manager of Corporate Records
P. Harris, Manager of Licensing
R. Morgan, Capital Investment Advisor
C. Goodeve, Committee Administrator
CSD-12-075 - APPOINTMENTS - GRAND RIVER ACCESSIBILITY ADVISORY COMMITTEE
1.
The Committee considered Community Services Department report CSD-12-046, dated April 19,
2012, regarding appointment of two new members to the Grand River Accessibility Advisory
Committee.
On motion by Councillor B. Ioannidis -
it was resolved:
“That the following applicants be appointed to the Grand River Accessibility Advisory
Committee (GRAAC) for a 3-year term ending December 31, 2015, pending ratification
by the partnering municipalities of the City of Waterloo, Region of Waterloo, Township of
North Dumfries, Township of Wellesley and Township of Woolwich:
Amanda Moorhead New
Stephannie Leac New
FCS-12-089 - REQUEST FOR REDUCED FEE - JOSEPH SCHNEIDER HAUS
2.
- HEART & HAND FESTIVAL - SEPTEMBER 22, 2012
The Committee considered Finance and Corporate Services Department report FCS-12-089,
dated April 27, 2012 regarding a request for reduced licensing fees.
On motion by Councillor B. Ioannidis -
it was resolved:
“That the licence fee for the Heart and Hand Festival on September 22, 2012 taking place
at the Joseph Schneider Haus be reduced to $48.20.”
FCS-12-090 - LIQUOR LICENCE APPLICATION - THE GUANAQUITA RESTAURANT
3.
- 273 KING STREET WEST, UPPER
The Committee considered Finance and Corporate Services Department report FCS-12-090,
dated April 27, 2012, regarding an agreement with respect to a liquor licence application for a
downtown restaurant.
On motion by Councillor B. Ioannidis -
it was resolved:
”That subject to the applicant entering into an agreement with the City including certain
conditions of operating a licensed establishment as set out below, that Council take no
action to oppose the application for a liquor licence for The Guanaquita Restaurant
located at 273 King Street West, Upper Floor, applied for by Irma P. Donan (herein
referred to as the “Applicant”; and further,
FINANCE AND CORPORATE SERVICES COMMITTEE MINUTES
MAY 7 2012 - 91 - CITY OF KITCHENER
FCS-12-090 - LIQUOR LICENCE APPLICATION - THE GUANAQUITA RESTAURANT
3.
- 273 KING STREET WEST, UPPER (CONT’D)
That the Mayor and Clerk be authorized to enter into an agreement with the applicant
should she be willing wherein the applicant agrees to abide by the following conditions
and to request she be added to their licence if the Alcohol and Gaming Commission of
Ontario chooses to issue the licence:
1. to post in a conspicuous place and abide by the Downtown Licensed
Establishments Code of Conduct;
2. to become an active member of the Downtown Kitchener Business Improvement
Area’s License and Entertainment Committee and attend its meetings;
3. to abide by a set 40% monthly ratio of alcohol sales to gross refreshment sales
(including food and other sundries) in other words alcohol sales will be limited to
40% of gross refreshment sales;
4. to stop serving alcohol by 12:01 a.m. daily in the first year of operation and
thereafter to stop serving alcohol by 2:00 a.m. daily;
5. to notify the Clerk of the City of Kitchener in writing of any application to change
the license at the time the application for the change is made to the Alcohol and
Gaming Commission, and not to expand the establishment without the consent of
the City Council;
6. to comply with the Noise By-law and the Region of Waterloo Smoking By-law;
and,
7. these conditions shall bind all successors, assigns and subsequent licence
holders (if any).”
FCS-12-092 - REQUEST FOR CIVIC CELEBRATION - K-W MULTICULTURAL FESTIVAL
4.
The Committee considered Finance and Corporate Services Department report FCS-12-092,
dated April 27, 2012, regarding a request to declare the K-W Multicultural Festival a civic
celebration.
On motion by Councillor B. Ioannidis -
it was resolved:
“That in conjunction with the K-W Multicultural Festival and its associated activities, the
period June 23 to July 1 inclusive, be declared a Civic Celebration; and further;
That the K-W Multicultural Festival be granted a Temporary Retail Market Licence,
provided that the necessary licence, including Health and Fire approvals, is obtained.”
CAO-12-022 - WATERLOO REGION COLLABORATIVE ECONOMIC RESEARCH GROUP
5.
The Committee considered Chief Administrator’s Office report CAO-12-022, dated April 30,
2012, regarding the execution of a collaborative data collection and research agreement.
On motion by Councillor B. Ioannidis -
it was resolved:
“That the Mayor and Clerk be authorized to execute a collaborative data collection and
research agreement satisfactory to the City Solicitor with Wilfrid Laurier University and
such other parties as participate in the arrangement; and further,
That the Director of Economic Development be authorized to exercise the City’s
authorities and powers of consent under the agreement.”
FINANCE AND CORPORATE SERVICES COMMITTEE MINUTES
MAY 7 2012 - 92 - CITY OF KITCHENER
FCS-12-085 - CANADA-EUROPEAN UNION COMPREHENSIVE ECONOMIC AND TRADE
6.
AGREEMENT
The Committee considered Finance and Corporate Services Department report FCS-12-085,
dated April 27, 2012, regarding potential municipal impacts under the proposed Canada-
European Union Comprehensive Economic and Trade Agreement (CETA).
Mr. L. Gordon provided a brief background on the proposed CETA advising that under the
agreement, the European Union (EU) will have the ability to access natural resources; bid on
government contracts including municipal ones; and, open up public municipal water systems to
privatization. In addition, there are spending limits for when a bid would need to be available to
the EU. Mr. Gordon further advised there are concerns with the potential impact with timelines
with respect to bids and many un-answered questions with advertising and posting bids.
Councillor B. Vrbanovic advised that the provision to open up municipal water systems to
privatization will not form part of the agreement. In addition, the Federal Minister has
commented that the government is in support of the Federation of Canadian Municipalities’ 7
guiding principles as provided in report FCS-12-085. In answer to questions raised with respect
to the proposed spending limits when municipal bids would need to be made available to the EU;
Mr. Gordon explained that the City would meet those limits for some larger projects and/or
procurement of products such as: water and gas meters and the Kitchener Operations Facility
project. Mr. D. Chapman advised that another potential area of concern is tenders issued by the
various cooperative purchasing groups.
Mayor C. Zehr pointed out that it is difficult for this council to debate the merits of the agreement
without more information therefore; he suggested that it would be best to support FCM and AMO
as representatives for all municipalities.
On motion by Councillor B. Vrbanovic -
it was resolved:
”Whereas the Government of Canada and the European Union have been negotiating a
trade agreement known as the Comprehensive Economic and Trade Agreement (CETA);
And whereas the Canada-European Union relationship holds great potential for growing
Canada’s trade and collective prosperity;
And whereas the Council of the City of Kitchener has been made aware that some
members of the community have concern regarding the impact of CETA negotiations
currently underway between Canada and the European Union;
And whereas the City of Kitchener supports the guiding principles as set out by the
Federation of Canadian Municipalities (FCM) and endorsed by the Association of
Municipalities of Ontario (AMO);
Be it resolved that the City of Kitchener requests the Federal Government and the
Province of Ontario to continue to ensure that the municipal sectors’ interests are
represented in the ongoing negotiations; and
That the federal government’s negotiations ensure that the FCM guiding principles will be
fully reflected in any trade agreement reached between Canada and the European Union;
and,
That the federal and Ontario governments provide FCM and AMO with regular, detailed
updates on the status of the European Union trade negotiations to the fullest extent
possible;
And further this resolution be forwarded to the Minister of International Trade; local MPs,
the Premier of Ontario, local MPPs, the Ontario Minister responsible for Trade and
Economic Development, FCM and AMO.”
FINANCE AND CORPORATE SERVICES COMMITTEE MINUTES
MAY 7 2012 - 93 - CITY OF KITCHENER
FCS-12-091 - APPEAL - REFRESHMENT VEHICLE 385 FAIRWAY ROAD SOUTH
7.
The Committee considered Finance and Corporate Services Department report FCS-12-091,
dated April 30, 2012, regarding an application for a refreshment vehicle licence that did not meet
distance separation requirements.
On motion by Councillor J. Gazzola -
it was resolved:
”That the request of Rumen Yankov to operate a refreshment vehicle at 385 Fairway
Road South be approved.”
FCS-12-076 - PUBLICALLY ACCESSIBLE WI-FI SERVICE
8.
The Committee considered Finance and Corporate Services Department report FCS-12-076,
dated May 1, 2012, regarding the proposed implementation of free Wi-Fi service at various City
facilities.
Mr. D. Murray advised that with the upgrade to the telephone system to Voice over Internet
Protocol (VOIP), the City will be in position to offer free Wi-Fi service at most of its facilities. Mr.
Murray explained that the equipment and systems being installed for the telephone system will
allow Wi-Fi service at the Community Centres, Pools, Golf Courses, Kitchener Market and City
Hall. He added that the Victoria Park Pavilion, Community Arenas and The Auditorium will be
considered in future as these sites do not have the network facilities to support the service. In
rd
regard to The Auditorium, he explained that a 3 party currently provides free Wi-Fi in some
areas therefore; there will be a need to review any agreements in place as well as costs due to
the size of the facility. Mr. Murray further advised that the service will have web content filtering
added similar to that used on the ConnectKW computers provided for public use in community
centres.
In answer to questions raised by council, Mr. Murray advised that the service should be available
by the end of the year. In regard to providing the service to the Pavilion and community arenas,
it would take 4-6 months to install the required system at a cost of approximately $7000/site.
On motion by Councillor B. Vrbanovic -
it was resolved:
“That the provisioning of free public Wi-Fi Internet service at a number of public facilities
as outlined in Schedule “A” be approved; and,
That staff be directed to prepare an Acceptable Use Policy that defines the terms and
conditions that patrons of the service must accept prior to using the public Wi-Fi Internet
service, subject to the satisfaction of the City Solicitor; and further,
That the use of web content filtering be implemented to enforce the terms of the
developed Acceptable Use Policy in regards to accessing offensive and/or malicious
content in public facilities.”
FCS-12-075 - CORPORATE TELEPHONE SYSTEM UPGRADE STRATEGY
9.
- REMAINING STAGES
The Committee considered Finance and Corporate Services Department report FCS-12-075,
dated May 1, 2012, regarding the upgrading of the current telephone system to a Voice over
Internet Protocol (VOIP) system.
Mr. D. Murray provided background information on the telephone system upgrade strategy which
was approved in 2010. Essentially the strategy calls for an upgrade to a VOIP system due to the
st
age of the current system and the risk of system failure. Mr. Murray explained that the 1 phase
which included the installation of the system in the Kitchener Operations Facility has been
successfully completed and staff is ready to implement phases 2 and 3.He further explained
that the switch to the VOIP system will result in a saving of $13K/month due to a reduction in the
number of T1 lines required however; maintenance and licensing costs for the new system will
be approximately $223K/ year.
FINANCE AND CORPORATE SERVICES COMMITTEE MINUTES
MAY 7 2012 - 94 - CITY OF KITCHENER
FCS-12-075 - CORPORATE TELEPHONE SYSTEM UPGRADE STRATEGY
9.
- REMAINING STAGES (CONT’D)
In answer to questions, Mr. Murray advised that the new system is expected to last for 10 years
but with a VOIP system, a wholesale change in the system may not be required as the system
will be updated regularly through the maintenance/licensing agreement. In addition, as staff
learns the new system they may be in a position to undertake certain maintenance requirements
resulting in reduced maintenance costs.
On motion by Mayor C. Zehr -
it was resolved:
“That staff be directed to proceed with the two remaining phases of the telephone system
upgrades using the established Vendor of Record for this project, Softchoice Corporation
(formerly Unis Lumin, Inc.), provided expenditures do not exceed an upset limit of
$1,368,720 plus H.S.T.; and,
That the Mayor and Clerk be authorized to execute a contract with Softchoice Corporation
(formerly Unis Lumin Inc.) to allow the City to purchase annual maintenance for the
telecommunication system as needed and that said contract be for a term matching the
Vendor of Record arrangement and that said contract be subject to the satisfaction of the
City solicitor; and further,
That the Director of Information Technology be delegated authority to determine what
maintenance the City will purchase for the telecommunications system pursuant to the
contract, provided such expenditures do not exceed $223,000 plus H.S.T. annually.”
CAO-12-018 - DECLARATION OF SURPLUS AND SALE OF BLOCK B - PLAN 1359
10.
- MELVERN COURT - CITY OF KITCHENER
The Committee considered Chief Administrator’s Office report CAO-12-018, dated April 11,
2012, regarding a request from two homeowners to purchase a strip of city-owned land running
between their properties.
Mr. R. Morgan advised that a request has been received from the owners of 15 and 21 Melvern
Court to purchase a 415 square metre strip of land located between their properties. He further
advised that the City’s Property Management Team have reviewed the request and determined
the land has no community or development use therefore recommends the purchase and sale.
He added that should the sale and purchase be approved, the City will retain an easement as
the land contains storm water and sanitary sewers.
Mr. John Hashoian, one of the property owners requesting to purchase the property, attended
advising that the land is not a walkway but is being used as such by a few residents in the area.
He explained that when the subdivision was originally planned, the land was to be a street but
that changed and now the land goes nowhere. He added that some of the properties located on
Coventry Drive have gates installed to allow the residents access to the land.
In answer to questions, Mr. Morgan explained that the price being recommended is based on the
valuation provided by the City’s real estate service, reduced by 50% for the required easement.
He added that staff will ensure the sewers located there will remain accessible through the
easement.
On motion by Councillor B. Vrbanovic -
it was resolved:
“That the Corporation of the City of Kitchener’s lands located on Melvern Court, in the City
of Kitchener, described as Block B, Plan 1359, to be further described as two parts on a
Reference Plan, be declared surplus to the City’s needs and sold to one or both of the
abutting property owners at 15 Melvern Court and 21 Melvern Court for a total purchase
price of $26,390.00 plus HST; subject to an easement over each part being granted in
favour of the City; and further,
FINANCE AND CORPORATE SERVICES COMMITTEE MINUTES
MAY 7 2012 - 95 - CITY OF KITCHENER
CAO-12-018 - DECLARATION OF SURPLUS AND SALE OF BLOCK B - PLAN 1359
10.
- MELVERN COURT - CITY OF KITCHENER (CONT’D)
That the Mayor and Clerk be authorized to execute the necessary documentation to effect
this transaction with each property owner, said documentation to be to the satisfaction of
the City Solicitor.”
The meeting adjourned at 11:59 a.m. and reconvened at 1:07 p.m., chaired by Councillor S. Davey with
all members present, except Councillor P. Singh.
FCS-12-082 - P12-021 COUNCIL CHAMBERS AUDIO VISUAL SYSTEM
11.
The Committee considered Finance and Corporate Services Department report FCS-12-082,
dated April 30, 2012, recommending approval for Request for Proposal (RFP) P12-021 to
replace the existing audio-visual system in the Council Chamber, with an upset limit of
$214,708.99 for mandatory components and $61,257. for optional components. Ms. C. Tarling
reviewed the report.
Concerns were expressed that there was only one response to the RFP and several members
inquired as to the possibility of retendering this project. Ms. Tarling advised that the project
schedule was originally devised to minimize disruption to the June meeting schedule. She
added that retendering would delay the project anywhere from six months to a year and would
further disrupt Council / Standing Committee meeting schedule. She commented that although
Westbury was the only contractor who responded to the RFP, they are one of five companies in
Ontario that are capable of undertaking this work.She indicated that they have installed similar
systems for the Perimeter Institute, University of Toronto, Region of Peel and the City of
Mississauga. She noted that while retendering might attract additional bidders, the cost of the
system is unlikely to change.
Additional questions were raised regarding the project components. Ms. Tarling confirmed that
the new audio-visual system would include new microphones as well as a programmable
speaker array to improve the overall sound quality throughout the Council Chamber. She added
that given the estimated costs and the conversion from analog to digital video technology, it is
not being recommended that the existing projector be replaced at this time. She further advised
that the Council Chamber upgrades would also include the installation of a voting system, which
can be utilized for recorded votes.
It was noted that any recommendation arising from the Committee regarding this matter would
be considered at the special Council meeting scheduled for later this same date.
On motion by Mayor C. Zehr -
it was resolved:
“That Request for Proposal P12-021, Council Chambers Audio-Visual System Retrofit, be
awarded to Westbury National Show Systems Ltd., at their upset limit of $214,708.99 for
mandatory components and $61,257.00 for optional components as outlined in report
FCS-12-082 plus $4,857.00 unrebated HST; and further,
That $41,174.98 be transferred from the City’s capital contingency account to account
59500755 (City Hall Renovations).”
FCS-12-078 - 2013 BUDGET PROCESS
12.
The Committee considered Finance and Corporate Services Department report FCS-12-078,
dated April 16, 2012 regarding the proposed approach to the preparation of the 2013 Budget
submission to Council.
Mr. R. Hagey presented the report, advising that during the 2012 Budget deliberations a tax rate
increase of 5.87% was projected for 2013. He indicated that this projected increase was
primarily related to non-discretionary costs that the City will incur next year. He stated that staff
recognize that this level of increase is not affordable and will strive to identify reductions in the
tax supported operating budget of 3% to bring the 2013 Budget submission to a more
reasonable level.
FINANCE AND CORPORATE SERVICES COMMITTEE MINUTES
MAY 7 2012 - 96 - CITY OF KITCHENER
FCS-12-078 - 2013 BUDGET PROCESS (CONT’D)
12.
In response to questions, Mr. Hagey reviewed a list of the unavoidable costs that are expected
to be incurred in 2013. He advised that as an increase of only 1.69% is projected for 2014, it
might be possible to spread the impact of some of the non-discretionary items over several
years. Mr. D. Chapman added that it is staffs’ intention to deliver an affordable Budget
submission, which does not compromise service levels or worsens the City’s overall financial
position. He confirmed that staff would be pursuing measures to reduce the 2013 Budget
submission projection to at least 2.87%, while maintaining existing services. He pointed out that
any additional reductions beyond that 3% target would adversely affect the services that the City
currently provides to its citizens.
Councillor D. Glenn-Graham encouraged the utilization of social media to engage members of
the public in the City’s 2013 Budget process. He added that this could be a means of receiving
feedback as to whether Council’s priority should be cutting costs or maintaining service levels.
He further suggested that the City could establish a citizen budget advisory board similar to the
one used by the City of Waterloo for their 2012 Budget. Mr. Hagey confirmed that to date, a
public input session has been scheduled for January 2013. Mr. Chapman advised that it is
staffs’ intention to have more information out to the public earlier in the process and
acknowledged that staff will be investigating multiple avenues for engagement.
Councillor Y. Fernandes expressed concerns regarding the process currently being used to
replace City owned vehicles and asked if a review should be undertaken of this policy. Mr.
Chapman advised that annually the Equipment Review Committee examines the costs related to
continuing to maintain a vehicle. He stated that in instances where the cost benefits analysis
determines that the funding needed to restore or maintain a vehicle exceeds depreciation
charges, those vehicles are subsequently proposed for replacement.
Councillor B. Vrbanovic spoke to the need for engaging the overall community in the City’s
Budget process, rather than a select group of people. He expressed concerns regarding the
accountability of a special citizen budget advisory board, noting that unlike Council there would
be little to no repercussions for the actions undertaken by such a group. He stated that he would
be hesitant to give a small group unelected citizens such clout over the City’s Budget process,
adding that it would be preferable to get input from as many residents as possible.
Mayor C. Zehr indicated an interest in providing several opportunities for the public to take part
in the 2013 Budget, and agreed that establishing a citizen budget advisory board might not be
the best means of involving the whole community. He inquired into the anticipated timing that
materials would be released for public review. Mr. Hagey advised that staff will be conducting
their administrative review throughout September / October, during which time adjustments
would be made to the Budget projection. Mr. Chapman added that staff anticipates presenting a
high level overview of the 2013 Budget by mid-November 2012.
Councillor Fernandes commented that establishing a citizen budget advisory board would not
preclude the rest of the public from being engaged in the City’s Budget process. She stated that
the annual Budget package contains a number of complicated documents, adding the proposed
advisory board could assist with disseminating that information to the public. She spoke to a
desire for additional details on the costs related to staff conference attendance and suggested
that when the Capital Budget is presented a notation be given to highlight those projects funded
through capital out of current. She commented that this could assist Council in identifying the
projects that could be potentially deferred to 2014.
Councillor J. Gazzola indicated that he would like to see an additional 1% reduction to staffs’
proposed Budget submission target of 2.87%. He acknowledged that this may result in cuts to
some of the City’s current service levels, suggesting that the items put forward for the additional
1% reduction should be things that could be implemented without impacting public safety. In
addition, he requested that when the 10-Year Capital Forecast is presented, details should be
given as to what the remaining balance is in each account.
Mr. Chapman clarified that Report FCS-12-078 was brought forward for information and
discussion purposes. He suggested that any requests for specific information should be
incorporated into a resolution outlining the items that the Committee would like staff to report
FINANCE AND CORPORATE SERVICES COMMITTEE MINUTES
MAY 7 2012 - 97 - CITY OF KITCHENER
FCS-12-082 - 2013 BUDGET PROCESS (CONT’D)
12.
back on at a later date. He stated that in terms of the additional 1% reduction, to avoid having
staff bring forward items that may not be palatable to Council, a report could be brought forward
in August 2012 to provide an opportunity for members to identify those areas where they would
like staff to focus on in greater detail. He clarified that it would not be staffs’ intention at that time
to bring forward a list of items to achieve the proposed additional 1% reduction; rather,
information would be provided relative to the costs of certain services and feedback that has
been received from the public in terms of the importance as well as desired service levels.
Councillor Glenn-Graham requested that staff be directed to investigate the pros and cons of
potentially undertaking any of the following public engagement options, including: use of social
media; creation of an interactive budget website; and the establishment of a citizen budget
advisory board.
Councillor S. Davey spoke in support of undertaking expanded public engagement on the 2013
Budget, noting a need for statistically significant data indicating the public’s priorities for the
City’s finances. He asked that as part of staffs’ investigation into public engagement options,
consideration be given to the development of representative survey questions.
On motion, Councillor J. Gazzola brought forward a recommendation directing staff to provide a
report in August 2012 to facilitate direction setting on options to potentially reduce the projected
2013 Budget submission target of 2.87% by up to an additional 1%; and, to investigate the
public engagement options identified by Councillors Glenn-Graham and Davey.
Councillor K. Galloway cautioned that while a Budget submission target of 2.87% has been
identified at this time; unforeseeable issues could arise between now and the start of the 2013
Budget deliberations. She encouraged members to take ownership over this process by
providing ideas to staff early on; rather, than waiting until Final Budget Day.
On motion by Councillor J. Gazzola -
it was resolved:
“That a report be provided to the August 13, 2012 Finance & Corporate Services
Committee meeting to facilitate direction setting on options to potentially reduce the
projected 2013 Budget submission target of 2.87% by up to an additional 1%; and further,
That staff investigate and report back on the pros and cons of potentially undertaking any
of the following public engagement options for the 2013 Budget process, including: use of
social media; creation of an interactive budget website; a citizen budget advisory board;
and, representative survey questions.”
ADJOURNMENT
13.
On motion, the meeting adjourned at 2:34 p.m.
R. Gosse C. Goodeve
City Clerk Committee Administrator