HomeMy WebLinkAboutFinance & Admin - 1995-03-20FAC\1995-03-20
MARCH 20, 1995
FINANCE & ADMINISTRATION COMMITTEE MINUTES
CITY OF KITCHENER
The Finance and Administration Committee met this date, commencing at 10:10 a.m., under the
Chairmanship of Councillor J. Ziegler with the following Members present: Mayor Richard D. Christy,
Councillors T. Galloway, G. Lorentz, K. Redman, Jake Smola, John Smola, B. Vrbanovic, M. Wagner and
C. Weylie. Councillor M. Yantzi was in attendance for part of the meeting.
Others present: Messrs. T. McKay, J. Gazzola, T. McCabe, R.W. Pritchard, R. Freeborn, T. Clancy, J.
Hancock, D. Snow, L. Parkhouse, B. Kuntz, L. Gordon, D. Blain, D. Milne, G. Sosnoski, Ms. V. Gibaut,
Ms. P. Houston and Mrs. J. Koppeser.
DELEGATION - CITY OF LVIV, UKRAINE
Mr. T. McKay introduced Mr. Anatolij Kopets, Deputy Head of Administration, City of Lviv, who is in
Canada as a guest of the Ministry of Municipal Affairs and will be reviewing Kitchener's training
programs.
Mayor Christy welcomed Mr. Kopets on behalf of Council and the community and presented a gift
from the municipality.
CLAIM FOR DAMAGES - MS. V. CAUGHILL
Mr. Lorne Caughill appeared on behalf of his wife and circulated additional correspondence
outlining the accident details and their position on the report and recommendation of Adjusters
Canada, which previously denied the claim.
Mr. Caughill noted that on the date of the accident (January 4, 1995) weather conditions were bad
and his wife was descending on the partially covered exit ramp from the third floor level of the
Market Square parking garage when the front wheels of her car hit an ice patch causing the
vehicle to hit a concrete barrier. Mr. Caughill suggested that a change in wind direction could
have been responsible for the slippery conditions. He indicated that to the best of his knowledge
the ramp had not been sanded/salted at the time, which could have easily been done before
vehicles on the third floor exited the parking garage. It was also noted that when reporting the
accident to the parking garage cashier his wife was informed that a crew would be salting the ramp
shortly. Mr. Caughill referred to his wife's 45 year accident-free driving record and requested
compensation in the amount of $246.10, being the lower of two estimates obtained for Adjusters
Canada.
Councillor Jake Smola indicated that he was uncomfortable dealing with the request in the
absence of Legal staff, though it appeared the City had done everything it could to properly
maintain the garage ramp. Councillor Ziegler pointed out that the adjusters felt the City had acted
responsibly, and Councillor Weylie referred to a similar claim which was recently denied by City
Council.
On a motion by Councillor C. Weylie,
It was resolved:
"That no action be taken on the request of Ms. Vera Caughill concerning her
claim for the damage to her vehicle resulting from the use of the Market
Square parking garage ramp on January 4, 1995."
Councillor Ziegler advised Mr. Caughill that the recommendation of the Committee would be
considered by City Council on March 27, 1995.
AMENDMENT - CHAPTER 539 (MASTER ELECTRICIANS) OF THE MUNICIPAL CODE
The Committee was in receipt of a report and recommendation from Mrs. J. Koppeser dated March
13, 1995 concerning changes to the qualification procedure requested by the City of
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MARCH 207 1995
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CITY OF KITCHENER
3. AMENDMENT - CHAPTER 539 (MASTER ELECTRICIANS) OF THE MUNICIPAL CODE - cont'd
Kitchener Examining Board in response to an initiative by the Electrical Contractors Association of
Ontario.
Councillor Jake Smola expressed concern over the impact such an extension would have on
individuals attempting to set up a new business in the City.
On a motion by Councillor G. Lorentz,
It was resolved:
"That the City Solicitor be instructed to prepare a by-law to amend Section
539.6.3 of Chapter 539 (Master Electricians) of the City of Kitchener
Municipal Code to provide for a two year waiting period between the time a
Certificate of Qualification is issued by the Province of Ontario and the time a
person may write a Master Electrician's exam."
4. CTT-2000 CONSORTIUM
The Committee was in receipt of a report and recommendation from Ms. V. Gibaut dated March
13, 1995 regarding the City's support of the Consortium initiative. Ms. Gibaut pointed out that the
recommendation asks for support, in principle, and noted that to date 35 other agencies have
supported the initiative.
Councillor Ziegler asked whether the dollar amounts in the recommendation refer to a reallocation
of funds already in the budget. Ms. Gibaut replied that this is only the case for the purpose of
obtaining matching funds from the Province, though the City may have to write a cheque at a later
date. Councillor Redman asked for assurances that Council would have to approve any future
expenditures in this regard, and Ms. Gibaut acknowledged that this would be the case. Councillor
Vrbanovic asked for clarification as to the impact of the initiative on the GIS project, and Ms.
Gibaut indicated that the Consortium initiative is linked to the GIS project and that money has
already been committed for the type of purchases involved.
Mr. McKay clarified that no money is being spent on the CTT-2000 project; however, GIS money
will be involved and the product achieved by the GIS system will form part of the hardware and
information base required to support the CTT-2000 concept. He assured the Committee that no
money is to be spent outside the GIS allocation.
Councillor Wagner asked for clarification of what Council is being asked to approve and
expressed confusion as to the integration of the CTT-2000 and GIS programs. Ms. Gibaut
attempted to explain the relationship and referred to the mutual benefits to all participating parties.
Councillor Wagner suggested ongoing presentations to Council in this regard. Councillor
Vrbanovic asked for information on any separate future cost of the CTT initiative and suggested
that a detailed plan should be put before Council for consideration before any further steps are
taken.
On a motion by Councillor C. Weylie,
It was resolved:
"That the City of Kitchener support, in principle, the CTT-2000 Consortium
initiative through a letter of support to be forwarded to the Minister of
Economic Development and Trade indicating the City's capital contribution of
$100,000.00 to this project through its implementation of the GIS program
already approved in the Capital Budget, as well as an "in kind" contribution
through staff technical expertise."
5. BINGOS - EXTENSION OF LICENSING TERM
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The Committee was in receipt of a report from Mrs. J. Koppeser dated March 10, 1995 in response
to a request for extension of the bingo licensing period to four months.
In response to a question, Mr. Parkhouse advised that staff are comfortable with the present
situation; however, should Council wish to extend the term they would recommend a three rather
than a four month interval as outlined in the report.
On a motion by Councillor John Smola,
It was resolved:
"That no action be taken on the request of Mr. Max Rausch, representing
various groups holding bingos at the Kitchener Charities Bingo Palace, for a
four month licensing period relative to bingo licences."
6. PENALTY - FLYING DUTCHMEN DRUM CORPS BINGO LICENCE
The Committee was in receipt of a report and recommendation from Mrs. J. Koppeser dated March
13, 1995 concerning a penalty for failure to obtain a bingo event licence.
On a motion by Councillor John Smola,
It was resolved:
"That the Flying Dutchmen Drum Corps not be allowed to apply for one bingo
event during the licensing period May-June, 1995 as a penalty for failure to
obtain a licence for a March 11, 1995 event."
7. TENDER AWARD - FIRE EQUIPMENT
The Committee was in receipt of reports from Mr. T. McKay (March 6, 1995) and Mr. L. Gordon
(March 1, 1995) concerning a combined Tender involving aerial ladder and pumper trucks.
Fire Chief Hancock pointed out that this is the second time the Tender has been let, and their are
some equipment savings from tender to tender.
Moved by Councillor M. Wagner,
"That Tender T94-80 (Two Triple Combination Pumpers/One Aerial Ladder)
be awarded as follows:
a)
Two (2) Triple Combination Pumpers - Superior Emergency Vehicles
Ltd., Red Deer, Alberta at their tendered price of $880,900.00 less
$30,000.00 for trade-in vehicles, plus GST;
b)
One (1) Aerial Ladder - Nova QUINTECH division of Nova Bus
Corporation, St. Francois-du-Lac, Quebec at their tendered price of
$678,000.00 plus GST;
c)
Pumper/Aerial Ladder Equipment to be split among nine bidders
based on the Iow bid price meeting specification for a total equipment
value of $79,622.82 plus GST."
Councillor Jake Smola asked for clarification as to the proposed staffing of the new aerial ladder
truck, noting that the existing equipment is staffed by two individuals. Fire Chief Hancock
explained that the aerial equipment presently used by the Fire Department requires a separate
pumper truck to supply water. He suggested that this equipment is obsolete and pointed out
7. TENDER AWARD - FIRE EQUIPMENT - cont'd
that the proposed unit incorporates elements of a pumper and an aerial ladder truck. He also
indicated that the new equipment would be staffed by two fire fighters and would provide the
FINANCE & ADMINISTRATION COMMITTEE MINUTES
MARCH 207 1995
Department with increased flexibility.
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CITY OF KITCHENER
Councillor Galloway asked for clarification as to whether the City could incur any liability in
recalling the Tender. Mr. McKay replied that the City has no liability with regard to the previous
Tender.
The previous motion by Councillor M. Wagner to award the Tenders was voted on and Carried.
8. CITY OF KITCHENER HOME PAGE
The Committee was in receipt of a report from the staff Home Page Committee dated March 13,
1995 outlining a development approach and requesting the Committee's direction.
Mr. George Borovilos introduced the report and the demonstration by Mr. D. Milne of various
Home Page formats. Mr. Borovilos referred to the various marketing and technical features of the
Home Page and noted that an Expression of Interest previously let by the City will close on March
27, 1995 and Council may wish to send representatives to review the submissions.
In response to a question from Councillor Vrbanovic, Mr. Borovilos advised that internal
maintenance of the Home Page is anticipated. Mayor Christy questioned the appropriateness of
this format for conveying minutes and agendas to the public on the basis that this is a high
maintenance function and may not generate sufficient public interest. Mr. Freeborn replied that
other municipalities have distributed this material via the Home Page and have felt that there is a
suitable level of interest. In regard to the maintenance requirements, Mr. Freeborn pointed out
that the City already captures the data on personal computer and would only have to develop a
distribution network, which is not an onerous task.
Mr. Milne then demonstrated various Home Pages from cities in Canada and the United States,
emphasizing variables such as the attractiveness of the page, call up time, the type and scope of
information included, and the number of links to foreign systems.
Councillor Wagner questioned who in the community would have the resources and would be
most likely to access this information. Mr. Milne explained that Internet access is required and it is
difficult to judge the number of interested parties; however, studies indicate that the typical user is
highly educated and has a high income. He added that the CTT-2000 initiative is aimed more at
overall ratepayer access.
Councillor Lorentz suggested that pursuing this initiative requires a leap of faith which the City
should take, noting that use of the Internet is increasing daily. Councillor Redman indicated her
interest in seeing a system which would allow local government forms to be printed at remote
locations. Mr. Milne commented that the Committee is looking at this option in regard to a more
localized network, though it has targeted the larger world market first due to the business and
tourism opportunities. Councillor Vrbanovic asked whether the City was still exploring the
possibility of a Home Page development partnership, or whether it was pursuing development on a
fee for service basis. Mr. L. Gordon replied that at present staff are assuming a fee for service
arrangement. Councillor Vrbanovic suggested that a partnership should be investigated further,
as there would likely be an opportunity for cost savings.
8. CITY OF KITCHENER HOME PAGE - cont'd
On a motion by Councillor B. Vrbanovic,
It was resolved:
"That the suggested direction outlined in the staff Home Page Committee
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MARCH 207 1995 - 55 - CITY OF KITCHENER
report dated March 13, 1995, concerning an approach to developing a Home
Page be adopted, and further,
That Councillors B. Vrbanovic and C. Weylie represent Council on the
Committee evaluating Expressions of Interest."
Both Councillor Galloway and Mayor Christy suggested that the Kitchener Home Page should be a
high quality project. Mayor Christy referred to the proposed content of the Home Page and
suggested that there should be continuous feedback between all members of Council and staff on
the status of development.
Councillor M. Yantzi entered the meeting at this time.
9. COUNCIL APPOINTMENTS - CONTINUOUS IMPROVEMENT STEERING COMMITTEE
The Committee was in receipt of a report from Ms. P. Houston dated March 14, 1995 requesting
the Committee's direction on the appointment of two Council representatives.
On a motion by Mayor R. Christy,
It was resolved:
"That Councillors J. Ziegler, C. Weylie and B. Vrbanovic be appointed as
Council's representatives on the City's Continuous Improvement Steering
Committee."
Ms. P. Houston and Mr. D. Blain gave presentations concerning the background to the Continuous
Improvement Program and a recent project involving the Licensing section of the Clerk's Division.
Councillor Lorentz indicated that it was his understanding teams would be developed in each
department to further entrench the Continuous Improvement Program and asked for an update in
this regard. Mr. McKay advised that staff have begun this process; however, there is a limit to the
number of teams that can be addressed and the available facilitators. He stressed that continuous
improvement is a matter of changing the culture of an organization and that many departments
now use continuous improvement initiatives to solve problems on a day to day basis. In summary,
he advised that staff are proceeding as quickly as the present resources will allow.
Councillor Galloway pointed out that Ms. Houston's report refers to the program being at a
crossroads in terms of a decision to carry on with the existing team structure or to further entrench
continuous improvement in the organization. Ms. Houston suggested that this decision would form
part of the 1995 mandate for the Continuous Improvement Committee. Councillor Wagner
questioned whether the public was aware of these initiatives and what further steps could be taken
to promote the success of the program. Mayor Christy asked whether staff had considered a
press release. Mr. McKay replied that he had previously issued a report in 1993 showing
substantial savings, a copy was provided to the media but there was no coverage. Similarly, a
survey of Ontario municipalities involved in continuous improvement programs was also circulated,
again with no news coverage.
Mr. Clancy indicated that he personally supports the continuous improvement initiative and
referred to evidence of its ongoing use in the Parks and Recreation Department.
10.
EARLY RETIREMENT INCENTIVE PROGRAM
The Committee was in receipt of a report from Mr. R. Freeborn dated March 14, 1995
recommending an extension of the program for a further three years.
Councillor J. Ziegler vacated the Chair for the duration of discussion involving the above Program
and Councillor T. Galloway, as Vice-Chairman, assumed the Chair.
Councillor J. Ziegler put forward a motion that the City's Early Retirement Incentive Program be
discontinued effective December 31, 1995 and be reactivated at the direction of Council and as
FINANCE & ADMINISTRATION COMMITTEE MINUTES
MARCH 207 1995
circumstances warrant.
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CITY OF KITCHENER
Councillor Ziegler referred to a report which he previously circulated outlining the reasons for his
motion. He advised that he does not support what he characterized as generous incentives on the
basis that these are being offered over and above the standard sick leave buyout and the
employees' regular pension, a part of which is paid for by the City. He expressed concern over the
number of retirement incentives and the perception that special incentives are being viewed as
part of a regular program. Councillor Ziegler suggested that any special incentives should clearly
be limited in duration and questioned why the City would offer any special incentive at all to
retirees with thirty or more years of service. He suggested that in future this Program should be
used selectively over a short period of time. Councillor Ziegler also referred to the incentive total
in Mr. Freeborn's report and noted that this should read $1.1 million rather than the $712,000.00
figure indicated.
Mr. Freeborn responded that in his opinion all 108 people would not have taken advantage of
early retirement without some form of incentive, and offered the opinion that anyone with thirty
years of service should retire in any case. He noted that there are benefits to retiring employees
at the sixty percent pension level; however, from a financial perspective this would require some
form of retirement incentive to compensate for lost pension income. Mr. Freeborn also suggested
that in his opinion productivity has improved as a result of the Program and there has been a
corresponding reduction in sick leave. Mayor Christy asked whether additional early retirements
are being considered or whether staff feel they have reached an appropriate staffing level. Mr.
Clancy also suggested that without incentives several employees who took early retirement would
not have done so, and noted that such a Program allows the municipality to take a more pro-active
role in downsizing the administration.
Councillor Ziegler clarified that he is not suggesting a permanent elimination of the Program,
noting that the situation could be reviewed annually to see whether a one year window of
opportunity is appropriate at any point in time. Councillor Yantzi reminded the Committee that the
reason for the incentive program is to rejuvenate and downsize the City administration, and
expressed concern that removing the Program could send the wrong message and preclude
further beneficial changes. He suggested that a continuing program in this regard has merits and
referred to the benefits to date. Councillor Redman indicated that she would support the motion of
Councillor Ziegler, and in future would like to see a rationale and criteria prior to the Program
being reinstituted. Councillor Wagner expressed his concern that both the December 31, 1995
date in Councillor Ziegler's motion and the three year extension in Mr. Freeborn's report may be
arbitrary in nature. He suggested a deferral of a minimum of two weeks to obtain additional
information.
On a motion by Councillor M. Wagner,
It was resolved:
"That further consideration of the proposed renewal of the Early Retirement
Incentive Program for a further three year period be deferred to the April 3,
1995 Finance and Administration Committee meeting."
Councillor Redman suggested that when this item is reconsidered, thought should be given to the
implications of the Social Contract. Councillor John Smola suggested that consideration should
also be given to whether the City intends to continue the downsizing of its administration
10. EARLY RETIREMENT INCENTIVE PROGRAM - cont'd
and if so, how it would deal with redundant positions.
11. NEXT MEETING
The next regularly scheduled meeting of the Finance and Administration Committee will be held on
Monday, April 3, 1995.
12. ADJOURNMENT
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MARCH 207 1995
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On motion, the meeting adjourned at 12:10 p.m.
........... G. Sosnoski
........... Manager of Corporate
........... Records/Assistant City Clerk