HomeMy WebLinkAboutFinance & Admin - 1996-10-21FAC\1996-10-21
OCTOBER 21, 1996
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 R. Christy, Councillors
T. Galloway, G. Lorentz, K. Redman, Jake Smola, John Smola, B. Vrbanovic, M. Wagner M. Yantzi and
C. Weylie.
Others present: Mrs. J. Koppeser, Ms. R. Upfold, Ms. D. Arnold, Messrs. J. Gazzola, T. O'Brien, L.
Proulx, T. Clancy, R. W. Pritchard, K. Tribby, J. Shivas, D. Paterson, J. Witmer and G. Sosnoski
1. HIRING OF TRADESPERSON - FACILITIES MANAGEMENT
The Committee was in receipt of a report and recommendation from L. Proulx dated September
19, 1996 requesting a technician to perform preventative maintenance on the City Hall building
and other City facilities.
Mr. Proulx explained that preventative maintenance is required to ensure that machinery reaches
or exceeds it's life expectancy. He noted that the City Hall contains $8,000,000.00 worth of
equipment with a 20 - 25 year life expectancy, which can be reduced by as much as five years if
not properly maintained. Mr. Proulx pointed out that he has tried to perform the required
maintenance with the existing staff; however, an unreasonable number of work orders have
accumulated and this is no longer feasible. He also added that funds to offset the cost of the
additional staff person have been found in the Facilities Management budget. In response to a
further question, Mr. Proulx clarified that this position would not be involved in preventative
maintenance for the Fire Halls, Community Centres or the Auditorium Complex.
On a motion by T. Galloway,
it was resolved:
"That the City hire a tradesman to perform preventative maintenance for City Hall and other
City facilities, as outlined in the report of L. Proulx dated September 19, 1996."
2. BLOCKLINE TOURNAMENT SPORTSPARK
The Committee was in receipt of a joint report from R. Wyatt and T. O'Brien dated October 16,
1996 requesting pre-budget approval of budgeted 1997 construction funds.
Mr. O'Brien advised that if funding is approved for 1996, the Sportspark will be open for play in
1997, with one field available for night play in the course of the year. If funding is not approved,
construction will be delayed until July or August of 1997 for a 1998 Sportspark opening. Mr.
O'Brien added that earlier construction will allow the City to attract tournament revenue in 1997 as
opposed to waiting until 1998.
Councillor Wagner enquired whether there are longer term plans to light additional fields, and Mr.
O'Brien replied in the affirmative, indicating that the third field will be lit with completion of the
Blockline road extension.
Mr. Gazzola commented that generally it is bad practice to advance funds in the way requested;
however, in this instance net savings have been identified and there appears to be enough benefit
to merit the advance.
On a motion by Councillor M. Wagner,
it was resolved:
"That Council give pre-budget approval for the expenditure, in 1996, of $100,000.00 from
the 1997 budgeted allocation for Major Park Development in order to allow the installation
of sports lighting at the Blockline Sportspark in the Fall of 1996."
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VICTORIA PARK LIGHTING
The Committee was in receipt of a report and recommendation from R. Wyatt dated October 15,
1996 requesting pre-budget approval of capital funds for the purchase and installation of lighting in
Victoria Park.
On a motion by Councillor M. Yantzi,
it was resolved:
"That Council give pre-budget approval for the expenditure, in 1996, of $30,000.00 from the
1997 budgeted allocation of $70,000.00 in index number 679605 of the Parks and
Recreation Department capital budget to facilitate the 1996 purchase and installation of 17
new lighting poles, bases and wiring in Victoria Park, plus the additional purchase of 3
spare poles."
LOT MAINTENANCE BY-LAW - 530 CHARLES STREET EAST
The Committee was in receipt of Planning and Development Department report number PD96/100
recommending enacting of a cleanup by-law in the event of non-compliance by the property
owner.
On a motion by Mayor R. Christy
it was resolved:
"That the property owner be notified that City Council will consider a by-law at it's October
28, 1996 meeting authorizing the removal of discarded vehicles and waste material from
530 Charles Street East, at the owner's expense, if this has not been done by the owner on
or before November 8, 1996."
BINGO STATISTICS - 1995/1996
The Committee was in receipt of a summary report from J. Koppeser dated October 10, 1996
outlining comparative figures for the periods January - June of 1995 and 1996, and the report was
accepted as information.
Councillor Lorentz drew the Committee's attention to the amount of revenue at issue and reminded
of Council's earlier decision to voice it's objection to the location of a charity casino in the
municipality. He suggested that the revenues outlined in the report will no longer be in the
municipality if such a casino is located elsewhere in the Region. Councillor John Smola reminded
Councillor Lorentz that the City's position was to urge the Province to retain the existing system of
charity bingos and Councillor Wagner further reminded that another related and important issue
involved the Province's plans to locate video lottery terminals in charitable casinos.
WATER SERVICE LEAKS - MISTY CRESCENT
Councillor J. Ziegler, admitted, as a late item, a report and recommendation from Councillor Jake
Smola dated October 21, 1996 dealing with water service leaks in the Emerald Hills Estates sub-
division. Councillor Smola's report recommends that Council grant compensation to the owners of
458, 477 and 481 Misty Crescent, patch asphalt driveways damaged during the course of repairs,
and accept responsibility for all future water service valve repairs on Misty Crescent up to one
meter on the homeowner's side of the valve. The latter is to be retroactive to September 15, 1996.
In addition Councillor Smola has suggested that the City undertake to complete a leak detection
survey on Misty Crescent each year.
In addition the Committee was in receipt of copies of three invoices submitted for the properties at
458, 477 and 481 Misty Crescent.
Councillor Jake Smola referred to his report, noting that leaks have occurred on both the City and
homeowner sides of the service valve. Councillor Smola referred to a diagram of a water
WATER SERVICE LEAKS - MISTY CRESCENT - CONT'D
service valve, noting that of the seven repairs that have taken place to date, the last five were
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inspected specifically for blocking which is to be inserted under the valve at the time of installation,
and in all five cases there was no block present. He pointed out that the leaks were almost evenly
split between the City and homeowners sides of the valve, noting that to date there have been four
on the City's side and six on the homeowners side. He suggested that this points to the likelihood
that the workmanship is of equal quality on both sides and that the common denominator appears
to be the absence of blocking under the valve. Councillor Smola advised that in view of the fact
the City sets the standards for water service valves and retains an engineering consultant to act on
it's behalf to ensure that these standards are met, and that the City does a visual inspection of the
final valve connection on City property, the municipality should therefore pay for any homeowner
repair costs in this regard.
Councillor Ziegler suggested that the City should be compensating the homeowners but should
not be doing the actual repairs. Mayor Christy enquired whether staff have reviewed the
recommendations and report put forward by Councillor Jake Smola, and Councillor Smola advised
that his report was circulated. He also advised that he had met on October 19 with the residents
effected and has also met with the City's Legal Department to discuss compensation payments to
homeowners, as well as the possibility of the City seeking compensation from a third party.
Councillor Redman questioned whether Management Committee had been given an opportunity to
review the report, and Councillor Ziegler suggested that the recommendation could be adopted in
principal, subject to Management Committee comment prior to the October 28, 1996 Council
meeting. Councillor Jake Smola suggested that there is some urgency attached to the
recommendation, as winter is setting in and repairs should be made before the frost. He referred
to one homeowner who is currently receiving water through a hose attached to a neighbours
external faucet. Mayor Christy suggested that the first priority is to repair the valves, and that the
issue of compensation can be discussed later. Councillor Redman questioned why the City would
not pursue the engineering consultant on the assumption that the inspection was not properly
conducted. Councillor Jake Smola responded that it is questionable whether discussion of
pursuing the consultant should take place at this time due to uncertainty over whether the final
configuration is the responsibility of the builder, the developer or the engineering consultant. He
offered the opinion that evidence seems to indicate the concrete block were not put in place during
the initial installation. Councillor Smola also indicated that he is hoping for cooperation from the
parties involved in development of the subdivision, and suggested it may be appropriate to form a
pool of money, from contributions of the parties responsible, which can be drawn on by
homeowners as repairs as required. He also suggested that the City should seek compensation
on behalf of all the effected homeowners.
Councillor Galloway indicated his support of the recommendations put forward by Councillor Jake
Smola. He further suggested that Management Committee should consider how the City will in
future hold engineering consultants responsible for errors and omissions, whether it be through
letter of credit or some other form of security. In this regard he referred to a problematic
intersection developed on the basis of advice given by a transportation consultant. Councillor
Galloway also pointed out that in his view, individual homeowners should not be required to
approach a consultant for compensation. Councillor Lorentz offered the opinion that the defective
valves should be repaired as soon as possible, irregardless of who is responsible. He also
suggested that the City should be responsible for any leaks which occur around the valve box,
irregardless of which side of the box the leak occurs on. Councillor Lorentz also expressed
concern over the precedent which would be set were the City to assume responsibility for
conducting the annual leak survey referred to in Councillor Smola's report. Councillor Jake Smola
noted that the four repairs conducted by the City to date have cost approximately $1,500.00 each;
whereas, the three conducted by private firms averaged $1,429.00 each, with these costs not
including the replacement of asphalt. He encouraged the Committee to consider the most cost
effective way of carrying out the necessary repairs. Councillor Vrbanovic suggested that the
recommendation of Councillor Smola should be reworded to indicate that the City would be
responsible for the costs of all future repairs, irrespective of whether they are done by the City or a
private contractor. Councillor Ziegler reminded the Committee that there are potentially 84
residents involved in this area. He
WATER SERVICE LEAKS - MISTY CRESCENT - CONT'D
suggested that the City should be responsible for the cost of repairs at this time, but questioned
assuming responsibility for future repairs. He also stressed that the City should pay based on
invoices
received and not through unilateral compensation. Mayor Christy suggested that the homeowners
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should be encouraged to make repairs as soon as possible, then put forward the following deferral
motion.
Moved by Mayor R. Christy
"That consideration of the recommendations of Councillor Jake Smola concerning the
repair of water service valves on Misty Crescent be deferred and referred to the October
28, 1996 Council meeting pending consideration by Management Committee and receipt of
a staff report."
Councillor Galloway advised that he does not support referral of the entire issue, and suggested
that the Committee recommend now on compensation for repairs completed to date. Mr. Gazzola
advised that Management Committee has not had an opportunity to discuss the issues raised in
Councillor Smola's report, and that a number of outstanding questions have yet to be answered.
He asked for the opportunity to examine the issue from all sides. Councillor Jake Smola
responded that he initially brought the issue up in June of this year, and waited approximately
three months for a Public Works staff report. He pointed out that his recommendations are a direct
result of these reports and his discussion with the residents effected. He also noted that the report
from Mr. Bailey in this regard was inconclusive. Mr. Gazzola argued that allowing Management
Committee to review the situation would not hold up the process, as any recommendation made
this date would have to be ratified by Council on October 28, at which time a further staff report
would be available. Councillor Jake Smola indicated his preference that the issue be dealt with
prior to October 28. Councillor Redman pointed out that the repairs at issue have already taken
place, noting that the pending repairs are the main issue, and suggested that it would not be
inappropriate to allow staff an opportunity for further consideration.
Mr. Kovacs referred to an earlier report submitted to the Public Works and Transportation
Committee, in which there were no conclusions drawn as to who is to blame for the situation. He
noted that the engineering consultant confirmed the installation to City standards, and uncertainty
remains as to whether the homebuilder's plumber altered the blocking arrangement or removed
the blocks at the time the private water line was connected to the City's valve. He referred to a
number of technical recommendations in the report which were subsequently adopted by Council.
Mr. Kovacs added that the issue of compensation was not discussed at that time, but
acknowledged that the repairs should be done now and the issue of compensation considered at a
later date.
The Committee then voted on the motion by Mayor R. Christy to defer consideration of the water
service leaks on Misty Crescent to the October 28 meeting. A recorded vote was requested, and
the motion was subsequently Carried.
In Favour: Mayor R. Christy, Councillors G. Lorentz,
K. Redman, J. Ziegler, M. Yantzi and M. Wagner
Contra: Councillors J. Smola, Jake Smola,
B. Vrbanovic, T. Galloway and C. Weylie
Councillor Vrbanovic suggested that the Committee could direct staff to perform outstanding work
on three additional properties, and Councillor Ziegler suggested that such a motion would be out
of order as the entire issue has been referred to the October 28, 1996 Council meeting. Councillor
Jake Smola argued that one week of additional water damage can be extensive and could effect
City property as well. He stated that he would be advising homeowners not to fix the water service
valve pending Councils decision on October 28. Councillor Ziegler suggested that if any repairs
are completed prior to the 28th meeting that the City be advised so that it can
WATER SERVICE LEAKS - MISTY CRESCENT - CONT'D
inspect the conditions and the remedial work. Mr. Kovacs responded that this would be useful
information, but would not prove liability.
Councillor Weylie also asked that Management Committee discuss the appropriateness of the City
using the same engineering consultant as the developer and the homebuilder.
7. NEXT MEETING
FINANCE & ADMINISTRATION COMMITTEE MINUTES
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CITY OF KITCHENER
The next regularly scheduled meeting of the Finance and Administration Committee will be held on
Monday, November 4, 1996.
ADJOURNMENT
On motion, the meeting adjourned at 11.10 a.m.
G. Sosnoski
Manager of Corporate
Records/Assistant City Clerk