Loading...
HomeMy WebLinkAboutFinance & Corp - 2004-02-02FINANCE & CORPORATE SERVICES COMMITTEE MINUTES FEBRUARY 2~ 2004 CITY OF KITCHENER The Finance and Corporate Services Committee met this date, commencing at 1:35 p.m. Present: Chair Councillor M. Galloway Mayor C. Zehr Councillors J. Smola, J. Gazzola, C. Weylie and G. Lorentz Councillor B. Vrbanovic (in attendance for part of the meeting) Staff: J. Fielding, Chief Administrative Officer P. Houston, General Manager of Financial Services/City Treasurer G. Sosnoski, General Manager of Corporate Services/City Clerk F. Pizzuto, General Manager of Community Services G. Stewart, General Manager of Development & Technical Services L. MacDonald, City Solicitor J. Sheryer, Assistant City Solicitor K. Bissell, Manager of Business Development K. Smith, Manager of Business Enterprise Centre J. Koppeser, Manager of Licensing H. Gross, Director of Project Administration D. Quinn, Director of Utilities R. Shamess, Director of Engineering R. Gosse, Director of Legislated Services D. Gilchrist, Committee Administrator CRPS-04-019 REQUEST FOR MIDWAY 707 OTTAWA STREET SOUTH APRIL 22 - MAY 27 2004 The Committee was in receipt of Corporate Services Department report CRPS-04-019, dated February 2, 2004, with respect to a request received from Homeniuk Rides Inc. to operate a Midway at 707 Ottawa Street South, from April 22 - May 2, 2004. It was resolved: "That Homeniuk Rides Inc. be granted permission to operate a Midway at Weiland Ford, 707 Ottawa Street South, from April 22 to May 2, 2004, subject to the following: Hours of operation; and, Date Start Close Thursday, April 22 3:30 pm 10:00 pm Friday, April 23 3:30 pm 11:00 pm Saturday, April 24 10:00 am 11:00 pm Sunday, April 25 Noon 10:00 pm Monday, April 26 to 3:30 pm 10:00 pm Thurs. April 29 Friday, April 30 3:30 pm 11:00 pm Saturday, May 1 10:00 am 11:00 pm Sunday, May 2 Noon 9:00 pm That the music at the Midway be turned down at 8:00 p.m. excepting those evenings preceding a school day when it shall be turned off at 8:00 p.m.; and, That the music be turned off one hour before closing time on the evenings preceding a non-school day; and, That parking arrangements be reviewed with Transportation Planning staff to ensure adequate off-street parking will be provided; and further, That the required licence be obtained prior to operating the Midway." FINANCE & CORPORATE SERVICES COMMITTEE MINUTES FEBRUARY 2~ 2004 - 12 - CITY OF KITCHENER 2. DEFERREDITEMS The Committee agreed to defer and refer consideration of the following two reports to its February 16, 2004 meeting: · SSD-03-040 AMENDMENT TO COUNCIL POLICY 11-240 RECOGNITION OF EMPLOYEES WITH 15 YEARS OF SERVICE · SSD-03-041 BUDGET REQUEST NEW CORPORATE EMPLOYEE DEVELOPMENT PROGRAM 3. SSD-03-039 FUNDING REQUEST WATERLOO WELLINGTON TRAINING AND ADJUSTMENT BOARD The Committee was in receipt of Strategic Services Department report SSD-03-039, dated November 17, 2003, with respect to a request received from the Waterloo Wellington Training and Adjustment Board for a $10,000 one-time grant to assist with the cost of the Community Economic Development Project known as "Hire Profitability" which will promote skilled trades and encourage employer use of apprenticeship programs. A written submission from the Waterloo Training and Adjustment Board, including its 2002-2003 annual report, was provided to Committee members. It was noted in the report that Council, at its meeting August 25, 2003, passed a resolution referring the request of the Waterloo Wellington Training and Adjustment Board to the 2004 Operating Budget deliberations, and directed staff to determine an appropriate source for this funding, and provide additional information concerning the Project's proposed budget and program details. Ms. K. Bissell presented the report, noting the additional information requested by Council in this regard. She recommended the funding be paid from the General Provision Grant Account. Councillor Weylie directed staff to obtain letters from any Kitchener businesses who participate in this apprenticeship program, advising of their experiences. Ms. P. Houston requested the funds be paid from the 2004 Operating Budget rather than the General Provision Grant Account. On motion by Councillor G. Lorentz - it was resolved: "That subject to final budget approval, a one-time contribution of $10,000 be approved for the Waterloo Wellington Training and Adjustment Board, for the Community Economic Development Project known as "Hire Profitability", with the funds to be paid from the 2004 Operating Budget." SSD-04-002 BUSINESS ENTERPRISE CENTRE UPDATE & REQUEST FOR FUNDING The Committee was in receipt of Strategic Services Department report SSD-04-002, dated January 27, 2004, requesting an additional $50,000 in funding, in 2004, from the City of Kitchener. Ms. K. Smith was in attendance to present the report which provides an update on the work and successes of the Business Enterprise Centre, the financial situation, a comparison with other Business Enterprise Centres across the province, and explained the need for the additional funding. She advised that the Business Enterprise Centre's strategic goal for 2004 is to secure baseline funding from the public sector to allow for stabilization of staff and operations. Once baseline funding is in place, private sector funding can be used to address objectives and enhance services. Ms. Smith advised of the substantial loss of funding from the Federal government and Lutherwood CODA, and the accumulated deficit incurred by the Centre of $76,000 by the end of 2003. FINANCE & CORPORATE SERVICES COMMITTEE MINUTES FEBRUARY 2, 2004 - 13 - CITY OF KITCHENER 4. SSD-04-002 BUSINESS ENTERPRISE CENTRE UPDATE & REQUEST FOR FUNDING (CONT'D) The Committee directed that additional information be provided prior to final consideration of this budget request, including: cost per client, cost per capita, a statement of revenue and expenses, details of the accumulated deficit, financial statements for 2001, 2002 and 2003, confirmation of approved funding from other municipalities, and a business plan. They also requested that the Chair of the Business Enterprise Centre appear before this Committee. On motion by Mayor C. Zehr - it was resolved: "That consideration of the request of the Business Enterprise Centre for an additional $50,000 in funding in 2004, be deferred and referred to the Finance and Corporate Services Committee meeting of February 16, 2004; and further, That the Chair of the Business Enterprise Centre be requested to make a presentation to the Committee that date." 5. FIN-04-007 AUDITOR REVIEW OF CAPITAL FUNDING OPTIONS The Committee was in receipt of Financial Services Department report FIN-04-007, dated January 26, 2004, in response to this Committee's direction of January 12, 2004, to obtain a quotation from Ernst and Young to review the financial impacts of the various funding options for Capital Projects, as outlined in Financial Services Department report FIN-04-001. Ernst and Young have provided an estimate of $5,000 to $10,000 to undertake the review. The report seeks the Committee's direction in this regard. Councillor Gazzola did not agree with having external auditors undertake this review, as the Corporation has professional staff who can undertake this review. He put forward a motion of no action to hire Ernst and Young. Mayor Zehr stated an independent review is essential, and advised that should Councillor Gazzola's motion be unsuccessful he would put forward a motion to table this report to an appropriate time when dealing with Capital Funding. Councillor Gazzola's motion of no action was voted on and lost. On motion by Mayor C. Zehr - it was resolved: "That consideration of hiring an external auditor to review the financial impact of the Capital Funding Options, as outlined in Financial Services Department report FIN-04-007, take place prior to the March 22, 2004 Finance and Corporate Services Committee meeting, at which time consideration will be given to Capital Investment Funding Options." Councillor B. Vrbanovic entered the meeting at this time. 6. FIN-04-008 WATER & SEWER RATES 2004 OPERATING BUDGET 2004-2013 CAPITAL FORECAST RATE PROJECTION The Committee was in receipt of Financial Services Department report FIN-04-008, dated January 27, 2004, recommending 2004 Water and Sewer Rates, the 2004 Budget and Capital Forecast for the Water and Sewer Enterprises. Ms. Houston noted the new water legislation (Bill 175), and its requirement that there be full recovery of water and sewer costs through the utility rates. She also noted the requirement of fully funding the replacement of infrastructure over its expected life cycle. Ms. Houston pointed out the three options contained in the staff report for the phasing in of rate increases, and that staff recommend Option #1, which phases rates over a two year period. She advised that most municipalities are in a similar position, with respect to infrastructure replacement. FINANCE & CORPORATE SERVICES COMMITTEE MINUTES FEBRUARY 2~ 2004 -14- CITY OF KITCHENER 6. FIN-04-008 WATER & SEWER RATES 2004 OPERATING BUDGET 2004-2013 CAPITAL FORECAST RATE PROJECTION (CONT'D) Mayor Zehr questioned the ability of the construction industry to undertake the volume of work across the Province, and was advised that projected costs include an inflation factor because of the anticipated price rise due to demand. Councillor Vrbanovic moved the recommendation in the staff report. All members of Council agreed with the necessity of undertaking the infrastructure replacement as detailed in the staff report. Councillor Gazzola spoke in opposition to the 18% rate increase which is proposed in Option #1 in the staff report, and suggested the necessary increase be phased in over a longer period of time, suggesting a five-year period. On motion by Councillor B. Vrbanovic- it was resolved: "That the 2004 Budgets for the Water and Sewer Municipal Enterprises as detailed in Financial Service Department report FIN-04-O08, Option 1, be approved as follows: Surplus (Deficit) Water ($1,184,000) Sewer ($3,289,000); and, That the 2004-2014 Capital forecast for Waterworks and Sewer Operations as detailed in Financial Services Department report FIN-04-008 be approved; and further, That effective March 1, 2004, the water rate be set at $.9586 per cubic metre and the sewer rate be set at $.8153 per cubic metre." FIN-04-006 2004-2013 CAPITAL FORECAST TAX REFUND PORTION OF THE INFRASTRUCTURE PROGRAM The Committee was in receipt of Financial Services Department report FIN-04-006, dated January 26, 2004, recommending pre-budget approval for an Accelerated Infrastructure Program as detailed in the report. It is noted in the report the Accelerated Infrastructure Program as proposed will allow infrastructure replacement within a 75-year life cycle, and the acceleration of the program will be phased in over the next 30 years. On motion by Mayor C. Zehr - it was resolved: "That the tax funded portion of the Infrastructure Program for 2004-2013 totalling $35,289,000, and the related projects as detailed in Schedule A of Financial Services Department report FIN-04-006, be approved for inclusion in the 2004-2013 Capital Forecast." This meeting recessed at 3:58 p.m. and reconvened at 6:42 p.m. with the following members present: Mayor C. Zehr and Councillors C. Weylie, B. Vrbanovic, M. Galloway, J. Smola, J. Gazzola and G. Lorentz. 8. CRPS-04-020 EXECUTION OF LEGAL DOCUMENTS REGISTRATION OF LAND TRANSACTIONS The Committee considered Corporate Services Department report CRPS-04-020 (L. MacDonald) dated January 28, 2004 recommending that a by-law be prepared for Council's consideration to implement an electronic land registration process. L. MacDonald explained that the process for transacting lands, registering agreements on title and other matters pertaining to land registry has moved from a paper process to an electronic searching and registration process and that the proposed by-law is necessary to implement this FINANCE & CORPORATE SERVICES COMMITTEE MINUTES FEBRUARY 2, 2004 - 15 - CITY OF KITCHENER 8. CRPS-04-020 EXECUTION OF LEGAL DOCUMENTS REGISTRATION OF LAND TRANSACTIONS (CONT'D) new process. Ms. MacDonald also requested that the Committee consider delegating the authority to grant easements, to the Solicitor's office as a more efficient means of processing these routine land matters. L. MacDonald was directed by the Committee to provide further information on her request to delegate authority to her office with respect to easements. On motion by Councillor G. Lorenz - it was resolved: "That a by-law pertaining to the Execution of Documents be considered at the February 9, 2004, Council meeting, based on the proposed by-law dated January 28, 2004 attached to Corporate Services Department report CRPS 04-020." CRPS-04-009 AMENDMENT TO COUNCIL POLICY RESPECTING FLAGS The Committee was in receipt of Corporate Services Department report CRPS-04-009 (R. Gosse) dated January 14, 2004, outlining suggestions from staff regarding amendments to the current flag policy and requesting direction from the Committee on this matter. Mayor C. Zehr explained that due to problems encountered regarding the flying of various flags and the lowering of flags as a symbol of mourning, he had requested that staff review the current flag policy and report to the Committee with any suggested amendments. Mayor Zehr advised that he was in agreement with the suggestions contained in the report but with respect to the discretion given to the Mayor regarding the lowering of flags that this discretion should be given to the Mayor, Acting Mayor or CAO. Councillor J. Gazzola suggested that the lowering of the flag should include the passing of retired City employees. R. Gosse explained that notification of retired employees is not always received by the City, therefore there is no consistency in the lowering of the flags for the passing of retired employees. R. Gosse was directed to prepare an amended flag policy taking the comments of the Committee under advisement and circulate the draft policy to members of the Committee for further comments. 10. ADJOURNMENT On motion, the meeting adjourned at 6:55 p.m. Dianne Gilchrist Committee Administrator