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HomeMy WebLinkAboutFinance & Admin - 1992-10-19FAC\1992-10-19 FINANCE AND ADMINISTRATION COMMITTEE MINUTES OCTOBER 19, 1992 The Finance and Administration Committee met this date, commencing at 11:05 a.m., under the Chairmanship of Alderman C. Zehr with the following members present: Mayor D.V. Cardillo, Aldermen B. Stortz, T. Galloway, G. Lorentz, M. Wagner and C. Weylie. Others present: Alderman G. Leadston, Alderman M. Yantzi, Messrs. T. McKay, J. Gazzola, R. Freeborn, J. Wallace, R.W. Pritchard and G. Sosnoski, Ms. J. Koppeser, Ms. L. MacDonald and Ms. G. Meyer. 1. LEASE REQUEST - KITCHENER YMCA Mr. Stephen Cameron appeared on behalf of the YMCA along with two other organization representatives and circulated an information package outlining their request to occupy vacant, City owned premises in Market Square. Mr. Cameron explained the program involvement of the YMCA and its relationship to the subject premises, and indicated that the Market Square Mall is generally supportive. Mr. Cameron advised that the YMCA is looking for a lease of approximately 5 years and asked for the Committee's recommendation of approval in principle, which would allow detailed negotiations to proceed. He clarified that given the present circumstances it may be necessary to assign the remainder of a 4 year lease to the YMCA or directly enter into a new lease with the City. Alderman T. Galloway disclosed a conflict of interest and abstained from all voting and discussion concerning the lease request of the YMCA as two of his dependents work for the organization. Mr. McKay explained that at present the premises are leased to Market Square for $1.00 per year and that they are responsible for the direct costs as well as a share of all common costs. It was also pointed out that approximately $9,547.00 in taxes are paid to the City annually. Mr. McKay advised that when the lease arrangement ends in 1996 the City would be responsible for both the direct and the common costs. In addition, should there be a disagreement as to the nature of the latter both sides would share in the cost of closing off the entrance to Market Square, which is the only access point. Mr. McKay also explained that at present the City has no need for the space in question and recommended that the Committee agree in principle and refer the issue to staff to prepare a suitable agreement. Alternately, he advised that the present lease to Market Square could be extended, with a subsequent sub-lease to the YMCA. He also pointed out that under this arrangement the space would be exempt from taxation and the City would lose 30% of the taxes it presently receives. On a motion by Alderman Lorentz - It was resolved: "That Council agree, in principle, to the request of the YMCA for permission to lease City owned premises in Market Square, with staff being directed to prepare a suitable agreement." 2. STREET VENDOR LICENCES The Committee was in receipt of a report from Mrs. J. Koppeser dated October 13, 1992 concerning renewal of the 1992 by-law to license street vendors in Victoria Park and selected downtown street locations. Alderman Stortz explained that at present it is being suggested the program, which began in 1992 and the subject of By-law 92-45, be extended to 1993 in substantially the same form and with the same waiting list. Mr. Eric Van Miltenburg appeared and indicated he is hoping to obtain a vendors licence and asked that changes in the regulations be contemplated which would allow the sale of coffee from a stand in the downtown. Mr. Van Miltenburg explained the concept proposed, which is based on stands presently operating on the west coast. In response to a question from Alderman Stortz, Mr. Van Miltenburg indicated that he was not contemplating a specific location at this time, only that it be in the downtown core. 2. STREET VENDOR LICENCES (cont.) FINANCE AND ADMINISTRATION COMMITTEE MINUTES -71 - OCTOBER 19, 1992 Mr. Terry Voulcaridis appeared on behalf of several downtown restaurant owners opposed to the licensing of street vendors and circulated a petition in this regard containing 11 signatures. Mr. Voulcaridis expressed the concern that hot dog vendors are taking business away from downtown restaurants and indicated that they have less overhead and enjoy Iow licensing fees. He refuted the claim that street vendors are a tourist attraction and add life to the downtown, citing a number of recent business closings. Mr. Voulcaridis concluded that street vendors represent unfair competition to restaurants. Alderman Stortz reminded the delegation that the present licensing by-law was the product of an extensive process which included input from the business community. He acknowledged that the economic climate has changed since the by-law was first enacted, however, other requirements have been relaxed in order to allow restaurants to operate food carts in front of their premises. Alderman Yantzi referred to the City's long term goal of promoting more animation in the downtown, and suggested that it would be shortsighted to hold a two year moratorium on street vendors, as suggested in the petition circulated by Mr. Voulcaridis. Mr. Voulcaridis suggested that the City increase licences for street vendors to $4,000.00 or $5,000.00 annually based on the right to operate year round, and suggested that this amount be used for promotion of the downtown, offsetting parking costs or reducing business taxes. Alderman Lorentz pointed out that at present vendors are paying approximately $100.00 per square foot and that no business taxes are presently levied on the patio area which Mr. Voulcaridis operates in front of his premises. Mr. Walter Dudek appeared on behalf of Mr. Slawomir Marczak and indicated that the latter has been on a street location waiting list for approximately two years. He suggested that the City consider two additional locations in the downtown and that specific vendors should not be guaranteed the same spot year after year as some of the locations are busier than others. Alderman Stortz advised that it was Council's decision to allow vendors access to the same locations in 1993 as they had in 1992 in recognition of their investment and loyalty to the concept of street vending. He suggested that adding more sites at this time would create an imbalance. Alderman Zehr inquired whether anyone else in attendance this date wished to address the Committee. Mr. Kirk McBride appeared on behalf of Reggie's Restaurant and indicated that though he does not begrudge the opportunity for hot dog vendors to make a living, he is concerned that the $1,000.00 licensing fee is excessively Iow. He suggested that a percentage of an adjusted fee should include a contribution toward the Kitchener Downtown Business Association (KDBA), since the vendors are members of the downtown business community. Mr. McBride stressed that his only concern is to insure that all businesses are treated equally. Alderman Stortz replied that the possibility of a formula has been discussed, and noted that this contribution would only apply to the street locations within the KDBA area of jurisdiction. Mr. Cam Costley, General Manager - Market Square, informed the Committee that it is their practice when leasing temporary space to charge an additional 10% as a contribution toward mall promotions. Mayor Cardillo inquired of Mr. McBride whether his business had suffered as a result of the introduction of street vendors. Mr. McBride acknowledged that the business had suffered, but not necessarily as a direct result of vendor competition, and pointed out that he had not signed the petition previously circulated by Mr. Voulcaridis. Alderman G. Leadston entered the meeting at this time. Alderman Stortz put forward a motion recommending that the substance of the 1992 street vendor by-law be applied in 1993, with Council reaffirming its commitment to the 1992 program. STREET VENDOR LICENCES (cont.) Alderman Stortz acknowledged that a vendor contribution to the KDBA should be examined, along FINANCE AND ADMINISTRATION COMMITTEE MINUTES - 72 - OCTOBER 19, 1992 with development of a formula for application in 1993. He also suggested that the amount of the licence fee should be re-examined. Alderman Yantzi suggested that an amount comprising 10% of the licence fee should be charged in 1993 and Alderman Stortz accepted the suggestion as a friendly amendment. Mr. McKay pointed out that it may be necessary for the City to collect the 10% contribution and redistribute it accordingly. Mr. Pritchard also noted that a fee for street vendor licences was not included in the 1993 fee schedule already approved by Council. A brief discussion took place concerning concerns of the Health Unit as regards the preparation of food sold from street vendor carts. Ms. Nancy Brawley appeared on behalf of the KDBA and advised that a new store is opening in the downtown whose principal product is coffee. She pointed out that at present coffee is an important source of revenue for local restaurants and suggested that any consideration of allowing the sale of coffee from a cart should be deferred until a recovery from the recession is underway. Alderman Stortz suggested a deferral of the previous request from Mr. Van Miltenburg, with only informal discussion taking place at this time. The previous motion to apply the substance of the 1992 street vendor by-law in 1993 was voted on, as amended. On a motion by Alderman B. Stortz - It was resolved: "That the substance of the 1992 by-law to license street vendors in Victoria Park and at specific street locations be applied in 1993 with the additional provision that all street vendor licences issued within the designated area of the Kitchener Downtown Improvement Area Board of Management be subject to a 10% increase as a contribution toward the Kitchener Downtown Business Association." On a motion by Alderman G. Lorentz - It was resolved: "That the fee for the licensing of street vendors in Victoria Park and at specific street locations be increased by 2% in 1993." 3. PET SHOP AND DOG KENNEL LICENSING BY-LAW Ms. L. MacDonald gave a verbal report concerning staff activity as regards the proposed by-law, and advised that discussions have taken place with the Human Society. She noted that Council has the authority to limit the number of dogs and this may indirectly address concerns over breeding and boarding facilities. However, she stated that Council may not have authority under the Municipal Act to directly license dog boarding and breeding facilities. Ms. MacDonald asked for further direction from the Committee regarding the proposed by-law and the public meetings referred to in an earlier Council resolution. Alderman Wagner questioned why the City is involving itself in such licensing and asked whether any problems could be effectively dealt with under existing legislation, for example as it applies to noise. Reference was made to an intolerable situation encountered by Alderman Ziegler and Ms. MacDonald voiced the opinion that the by-law proposed would not solve this problem. Alderman Stortz suggested a further deferral until such time as Alderman Ziegler is in attendance. By general consent, it was agreed that the proposed by-law would be discussed further and that Ms. MacDonald would advise Mr. Sosnoski in the event this item requires further discussion at a future Finance and Administration Committee meeting. KITCHENER FACADE/INTERIOR LOAN PROGRAM The Committee was previously circulated with a report from Mr. T. O'Brien dated October 8, 1992 concerning loan applications, which due to extenuating circumstances do not conform to the City's FINANCE AND ADMINISTRATION COMMITTEE MINUTES - 73 - OCTOBER 19, 1992 Program requirements. On a motion by Alderman B. Stortz - It was resolved: "That in view of the exceptional nature of the loan requests by the occupants of 37 Market Lane (Oasis Ministries and The Waterloo Arts Council), staff be authorized to execute interior and facade loans, subject to the evaluation and criteria prescribed in Schedule A of the Facade and Interior Loan Programs." 5. EMPLOYMENT EQUITY REVIEW COMMITTEE - TERMS OF REFERENCE The Committee was in receipt of a report from Ms. G. Meyer dated October 9, 1992 outlining proposed Terms of Reference, including Committee membership. Mr. Freeborn explained that it is planned that the Committee focus on the firefighter recruitment process only and not the new employment equity legislation as previously discussed by Council. He advised that this is in response to the likelihood that new legislation will not be passed until the Spring of 1993. Mr. Freeborn asked for the Committee's endorsement and direction as regards the Terms of Reference. In response to a question from Alderman Galloway, Mr. Freeborn indicated that a hearing date has not been set for the Human Rights complaints resulting from the last recruitment process. Alderman Galloway offered the opinion that the Committee should proceed now, but expressed concern that those objecting to the last job competition may view the proposed membership as biased in favour of Council and staff. He advised that in his opinion two as opposed to three Council members may suffice. He asked whether consideration should be given to appointing a representative from People Promoting Equal Treatment for Employment. Mr. Freeborn replied that this would not pose a problem, however, if such a representative is appointed, the Review Committee should meet after the Human Rights complaints have been dealt with. It was also noted that Committee membership was determined based on staff who had an involvement in the past recruitment process. Alderman Stortz agreed that the number of Council representatives should be reduced and suggested that in addition two representatives from the community at large be included rather than an advocacy group member. Mr. McKay suggested removing the Employment Equity Officer as a voting member, but having her assist the Committee as a resource person. Moved by Mayor D.V. Cardillo - "That Council accept the Terms of Reference for the Employment Equity Review Committee as outlined in the report of Ms. Gail Meyer dated October 9, 1992, subject to amending of the Committee membership to read: two representatives of City Council; one representative of the Kitchener Professional Firefighters' Association; one representative of the Kitchener- Waterloo Race Relations Committee; two representatives from the community at large; the Commissioner of Administrative Services; and the Fire Chief, and further, That the Employment Equity Officer attend as a resource person and Aldermen J. Ziegler and T. Galloway represent City Council." It was suggested that the Council representatives should reflect an appropriate balance of opinion and in this regard Alderman Stortz suggested Alderman Yantzi as a representative. Mayor Cardillo accepted the substitution of Alderman Yantzi for Alderman Ziegler as a friendly amendment. EMPLOYMENT EQUITY REVIEW COMMITTEE - TERMS OF REFERENCE (cont.) Alderman Stortz indicated that if Council's intention was to appoint a member of the Race Relations Committee, it may be appropriate to delete this reference in the membership and increase the number of community at large representatives from two to three. Mayor Cardillo FINANCE AND ADMINISTRATION COMMITTEE MINUTES - 74 - OCTOBER 19, 1992 accepted this suggestion as a friendly amendment. The main motion was then voted on, as amended. On a motion by Mayor D.V. Cardillo - It was resolved: "That Council accept the Terms of Reference for the Employment Equity Review Committee as outlined in the report of Ms. Gail Meyer dated October 9, 1992, subject to amending of the Committee membership to read: two representatives of City Council; one representative of the Kitchener Professional Firefighters' Association; three representatives from the community at large; the Commissioner of Administrative Services; and the Fire Chief, and further, That the Employment Equity Officer attend as a resource person and Aldermen T. Galloway and M. Yantzi represent City Council." By general consent, and in response to a request from Mr. Pritchard, it was agreed that the three at large appointments to the Employment Equity Review Committee would be advertised only once. In this regard, the second of two advertisements soliciting volunteers for Council Committees would be amended accordingly. The Committee Chairman was in receipt of a memorandum dated October 16, 1992 advising of the sudden death of Committee of Adjustment member Mr. Donald Jamieson. Similarly, it was agreed that notice of the vacant position would be included for one printing only in the above advertisement. 6. ONTARIO CASINO PROJECT The Committee was in receipt of an information report from Mr. R.W. Pritchard dated October 8, 1992. Mr. Pritchard advised that the Province has announced a single pilot project in Windsor, which will not be evaluated for approximately two years. He asked whether Council wished at this time to give political input to the Province. Alderman Stortz suggested that any local organization which is considering submitting an application for a casino should be given any and all advanced information. Alderman Lorentz indicated his support for the casino initiative, provided there is the necessary Provincial control. He pointed out that gambling presently exists in the community in other forms and this initiative is an excellent means of diversifying the City's economic base. Mr. Pritchard pointed out that casino operations aimed at charitable organizations have been allowed in the Province of British Columbia, but to date the revenues generated are less than anticipated. He also noted that a Provincial analysis suggests that a casino would draw its business from a radius of up to 50 miles. Alderman Stortz inquired as to the reason for the lower than expected revenues and Mr. Pritchard replied that to date the casinos are only drawing the local population. Alderman Wagner expressed the opinion that it is too early to discuss the issue as there are too many unanswered questions and a shortage of information. Alderman Weylie advised that she wished to be recorded as opposed to the casino initiative and suggested that any public meetings planned by Council should be held prior to any indication of support. Mayor Cardillo put forward a motion that the City advise the Province that Kitchener is interested in the casino initiative, on condition that the Province exercises the appropriate control. ONTARIO CASINO PROJECT (cont.) Mr. Pritchard pointed out that the Province has indicated the municipality would not share directly in any casino revenues, though there is a possibility of additional funding to compensate for increased service costs such as policing. FINANCE AND ADMINISTRATION COMMITTEE MINUTES - 75 - OCTOBER 19, 1992 On a motion by Alderman M. Wagner- It was resolved: "That consideration of the initiative proposed by the Province of Ontario regarding the licensing of casinos be deferred and referred to the first meeting of the Finance and Administration Committee in January of 1993 pending receipt of additional information and an appropriate staff report." On a motion by Alderman C. Weylie - It was resolved: "That the Finance and Administration Committee resolve itself into caucus to consider a property related matter." 7. NEXT MEETING The next regularly scheduled meeting of the Finance and Administration Committee will be held on Monday, November 2, 1992. 8. ADJOURNMENT On motion, the meeting adjourned at 12:40 p.m. G. Sosnoski Manager of Corporate Records/Assistant City Clerk