HomeMy WebLinkAboutFinance & Admin - 1997-06-10FAC\1997-06-10
JUNE 10, 1997
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: Councillors M. Wagner, M.
Yantzi, John Smola, Jake Smola and B. Vrbanovic. Mayor R. Christy, Councillors T. Galloway and G.
Lorentz were in attendance for part of the meeting.
Others present: Mrs. J. Koppeser, Ms. L. Pasternak, Ms. P. Houston, Messrs. J. Gazzola, J. Shivas, T.
McCabe, J. Witmer, K. Tribby, L. F. Parkhouse, R. W. Pritchard, T. Clancy and G. Sosnsoki.
1. HOSPITAL BOARD APPOINTMENT
The Committee was in receipt of a report from G. Sosnoski dated June 6, 1997 with respect to an
upcoming vacancy on the Grand River Hospital Board of Trustees and a recommendation
submitted by Mr. R. C. Dahmer, the Hospital Board Chair. Consideration of this item was
previously referred by Council to the Committee meeting this date pending receipt of additional
information with respect to the appointee.
Councillor Galloway suggested that in the past, the City has simply ratified Board
recommendations, but given the current changes in the healthcare environment, Council should
take more care in scrutinizing appointees. Councillor Galloway also enquired of Mayor Christy
whether the Hospital Board Nominating Committee has met and is making a recommendation,
suggesting that if the Nominating Committee hasn't met, the issue should be referred back to them
for consideration and a subsequent recommendation. Mayor Christy confirmed that to the best of
his knowledge the Nominating Committee has not met, nor has a future meeting date been set.
On a motion by Councillor T. Galloway,
it was resolved:
"That the recommendation of Mr. R. C. Dahmer, Chair, Grand River Hospital Board of
Trustees, in his correspondence of May 28, 1997, that Mr. Peter Naus be appointed to
replace Claire Forster be referred to the Hospital Board Nominating Committee for
consideration, with their subsequent recommendation to be referred to Kitchener City
Council."
2. REDEVELOPMENT ALLOWANCE - 11 BRAUN STREET
Council was in receipt of written submissions from Mr. Michael Brisson dated May 23, 1997
requesting that he be granted a redevelopment allowance in order to make construction of a small
new house to replace two demolished apartment units more financially feasible.
Mr. Brisson explained that the small 800 square foot house is being built on a newly created lot
and that he is requesting a grant by way of a credit. Mr. Brisson explained that the Building
Division informed him that his permit would not be issued unless the development charges were
paid by May 27, 1997, after which date his application would be cancelled. He asked that if a
credit is not given, that at minimum Council agreed to extend the amount of time he has to claim
his permit and pay the development charges owing. Mr. Brisson also suggested that the
development charges applying to this project are disproportionately high in relation to the selling
price and this is making the project financially unfeasible.
In response to a question from Councillor Wagner, Mr. Brisson advised that at first the Region was
not willing to offer a credit, but the City was; however, since then the Region has changed its
position and will offer a revised credit, but in the interim the City has since cancelled its credit.
Mr. J. Witmer pointed out that a redevelopment allowance is granted for demolition of apartment
units and the $2,500.00 credit is applicable if redevelopment occurs within two years of demolition.
He added that the permit was not issued as the development charges were not paid, and that Mr.
Brisson was advised at the time to pay the development charges under protest and to
subsequently request a grant in this amount. Mr. Witmer pointed out that the City has been
dealing with this property for over two years and would like to see the permit either issued or
cancelled and a refund given under the current building by-law. Mr. Witmer also pointed out that
should the project proceed, Mr. Brisson would have approximately six
2. REDEVELOPMENT ALLOWANCE - 11 BRAUN STREET - CONT'D
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months after the permit is issued to begin construction, with substantial completion of the project
required within one year.
On a motion by Councillor M. Wagner,
it was resolved:
"That without prejudice or precedent, a $2,500.00 grant in lieu of development charges be
awarded to Mr. Michael Brisson with respect to the property at 11 Braun Street, and that a
three month extension be granted in order to arrange payment of the outstanding
development charges; and further,
That the above grant must be claimed within three months, and is payable only upon
receipt, by the City of the balance of the development charges owing with respect to the
subject property."
3. REQUESTED AMENDMENT - CHAPTER 586 (REFRESHMENT VEHICLES)
The Committee was in receipt of a report from J. Koppeser dated June 5, 1997 outlining a request
from Mr. Patrick Carter, owner/operator of Dickie Dee Ice Cream for an amendment to Chapter
586 of the Municipal Code which would allow him to hire operators to work in Kitchener who do not
reside in the City.
Mr. Patrick Carter appeared and requested a change in the residency clause in Chapter 586, on
the basis that it is difficult to comply and the clause is creating hardship as he is having difficulty
finding Kitchener residents to fill in as ice cream vehicle operators. He requested the right to hire
Waterloo residents, noting that for the past 20 years he has hired Kitchener residents to work in
Waterloo.
It was subsequently clarified that permission to hire outside of Kitchener should be extended to
include residents of the Region of Waterloo and that such permission must be applied for
annually.
On a motion by Councillor M. Wagner,
it was resolved:
"That notwithstanding the provisions of Chapter 586 (Refreshment Vehicles) of the City's
Municipal Code, Mr. Patrick Carter, owner/operation of Dickie Dee Ice Cream be permitted
to use operators in Kitchener who are not residents of the municipality, but who reside
within the Region of Waterloo, with this permission granted on a one year trial basis."
4. BODY RUB PARLOURS
Council, on May 12, 1997, deferred and referred consideration of the draft by-law for non-erotic
and non-sexual body rub parlours to the meeting this date. They also requested a staff report
recommending detailed selection criteria by which the current 1997 operators of sexual/erotic body
rub parlours would be awarded 1998 licences, recognizing that it is Council's intention to reduce
the current number of sexual/erotic body rub parlours from five to two.
The Committee was in receipt of a report from J. Koppeser dated June 3, 1997 recommending
selection criteria and a process for determining which of the five currently licensed sexual/erotic
body rub parlours would be eligible for the two available 1998 licences.
Ms. Carol Kraft appeared with respect to non-erotic/non-sexual body rub parlours and questioned
why the City feels a by-law is required at this time, given that concerns have arisen only with
erotic/sexual body rub parlours. She indicated a willingness to discuss further with members of
Council the issue of licencing alternate health practitioners. She pointed out that many schools
recognized by the Province are teaching alternative health skills, and expressed
BODY RUB PARLOURS - CONT'D
concern that the enacting of a non-erotic/non-sexual body rub by-law casts suspicion on the
legitimacy of these activities. She requested that the by-laws legislating these two areas be
separate and distinct, and that one not be a subset of the other.
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Mayor R. Christy left the meeting at this time.
Mr. Shivas replied that in his view the City has created two separate by-laws and has addressed
the concerns raised to date, noting that with regard to non-erotic/non-sexual massage only the
licence number will be required in public advertisements, the licencing fee has been substantially
reduced, and alternative health skills defined separately from those relating to erotic/sexual
massage. Mr. Shivas reminded the Committee that the Province does not recognize some areas
of alternate health such as reflexology and that the City should not take on the role of the Province
in this regard. He added that the practitioners in these fields have been given an opportunity to
review and comment on the proposed legislation. Ms. Kraft responded that the time was
insufficient to allow for review by practitioners as a group.
The Committee agreed with the suggestion of Councillor Ziegler that the draft body rub parlour by-
laws be revisited at the September 8, 1997 Finance and Administration Committee meeting, with
any presentations in this regard to be made to the Committee on August 11, 1997. Ms. Kraft also
agreed with this proposal.
Councillor T. Galloway left the meeting at this time.
Mr. Brad Baumbach appeared as the owner of Phoenix, a sexual/erotic body rub parlour, to
comment on the lottery proposal outlined in the report of J. Koppeser. He suggested that if one of
the two operators selected to receive 1998 licences do not commence business, one of the
remaining three should be given an option to replace. Councillor Ziegler suggested that the
application process would not be reopened, but that in all likelihood the City would continue to
draw on the finite list of names to fill vacancies as they occur. Mr. Shivas advised that Section 26
of the draft by-law provides a procedure to be followed in future when a vacancy occurs. It was
noted that staff could add a clause to revert back to a second draw, with a time limitation on this
method of replacement. It was suggested that this time limit be twelve months, and Mr. Baumbach
commented that this is too short a period of time given the initial investment made by each of the
five operators and indicated his preference for a five year time frame. Councillor Vrbanovic
suggested that he would be amenable to a two year period during which time the remaining,
currently licensed massage parlours could fill any vacancy, and reminded Mr. Baumbach that the
City only issued body rub parlour licences for a twelve month period with no guarantee of renewal.
Councillor B. Vrbanovic put forward a motion to amend the lottery procedure outlined in Mrs.
Koppeser's report so as to allow a draw involving the three body rub parlour operators who are not
selected for 1998 licences to fill any subsequent vacancies provided such vacancies occur within
twenty four months of the initial draw. Councillor M. Wagner questioned the motion of Councillor
Vrbanovic on the grounds that the amendment presupposes Council is in agreement with the use
of a lottery to select the businesses which will receive 1998 licences. Councillor Vrbanovic agreed
and then withdrew his amendment.
Councillor Yantzi acknowledged that the lottery method is totally objective, but expressed concern
that it may not take into consideration other important information about the business. He
expressed an interest in criteria referencing such things as professional appearance or a code of
conduct relating to the operation of body rub parlours. Councillor Yantzi also asked that there be
an indication of neighbourhood acceptance, and suggested the development of criteria in this
regard. Councillor Yantzi questioned whether C6 zoning would include the Downtown area, and
Mrs. Koppeser replied that it applies to larger commercial zones located on arterial roads such as
Weber or Victoria Streets and excludes the Downtown at this time. In response to a further
question, Mr. Shivas advised that none of the existing operators have been found guilty of an
indictable offence and in this regard all are equal at this time. He also pointed out that some
complaints have been received concerning the use of addresses and
BODY RUB PARLOURS - CONT'D
telephone numbers in body rub parlour advertisements which is contrary to the existing by-law. Mr.
Shivas commented that neighbourhood acceptance criteria would be very hard to administer, and
suggested that with regard to renewal of any licence awarded in 1998 Council still has the option
of establishing further criteria and adjusting locations as it sees fit.
Mr. Baumbach suggested that if only two of the five existing operators will be granted licences in
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1998, it is a waste of time to have all five select locations prior to awarding the licences, as is
suggested in Mrs. Koppeser's report. Mr. Shivas replied that holding the draw first then having the
two successful operators identify locations would be feasible. Councillor Jake Smola questioned
how the separation distances were determined and Mr. Parkhouse replied that with regard to
Schools, 100 meters was determined to be the distance at which such a business would no longer
infringe on a normal line of site. He added that with regard to Churches, staff felt that 50 meters
was adequate as most Church activities occur in the evening and on weekends. Councillor Smola
also expressed concern that the licence fee may not be high enough to incorporate the actual
costs of administration and inspection. Mr. Parkhouse replied that the type of inspection
undertaken would be very limited. Councillor Jake Smola enquired whether the draft by-
law/criteria should make reference to a minimum room size, and Mr. Shivas replied that he would
like an opportunity to examine this in the context of the building code and any special authority that
Council may have.
Councillor B. Vrbanovic put forward a motion to adopt the selection criteria and process as
outlined in the report of J. Koppeser with amendments to increase the separation distance from
Churches to 100 meters, to specify that the two winners of the draw would have 45 days to find a
location and a further 45 days to establish business, and that the staff recommendation to continue
licencing non-erotic massage operations be adopted conditional upon further input from
practitioners on or before August 11, 1997.
Councillor Yantzi suggested that a sign could be required in the waiting area of sexual/erotic
massage parlours indicating that the massagists are not registered massage therapists, and Mr.
Shivas indicated that he would look into this and report back to Council.
Councillor Vrbanovic accepted, as a friendly amendment, a suggestion from Councillor Jake
Smola that staff consider further the licencing fee proposed to ensure that it adequately covers
administration and inspection costs. Councillor Vrbanovic then amended his earlier motion to
remove clause A(3) relating to door locks from the selection criteria on the understanding that it
would be included in the by-law proper.
Mayor R. Christy re-entered the meeting at this time.
The main motion, as amended was then voted on.
On a motion by Councillor B. Vrbanovic,
it was resolved:
"That the recommendations contained in the report of J. Koppeser dated June 3, 1997 with
respect to selection criteria and a selection process for sexual/erotic body rub parlours and
the licencing of non-erotic/non-sexual massage operations be adopted, subject to the
following amendments:
a) That the separation distance from Churches be 100 meters rather that 50 meters;
b)
That the requirement that no locks be installed on doors leading to rooms where
services are being provided be removed from the "Selection Criteria" section, but be
included in the draft by-law;
c) That under the "Selection Process" section, Clause B(4), be amended to read "That
the first two operators drawn be given 45 days to find a suitable location, and a
further 45 days to commence business"; and, that Clause B(5) be amended
BODY RUB PARLOURS - CONT'D
to read "If one of the first two operators drawn fails to find a suitable location within
45 days or to commence business within a further 45 day period, or a licence
expires without renewal or is otherwise surrendered or lawfully revoked, that the
third operator drawn be given the opportunity to find a suitable location and
commence business, again within the above specified periods of time, and that this
substitution process continue for a two (2) year period from the date of the initial
draw."; and,
That the staff recommendation with respect to non-erotic massage operations be adopted
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subject to further input from practitioners in this area on or before August 11, 1997; and
further,
That staff reassess the amount of the proposed licencing fees to ensure that they
adequately cover anticipated administration and inspection costs."
Councillor Ziegler advised those in attendance that the Committee recommendation would come
before Council of June 16, 1997 at 7:00 p.m. Mr. Shivas advised that the criteria discussed this
date are intended to be adopted by resolution and a confirmatory by-law and that he would
request discussion at the June 23, 1997 Finance and Administration Committee meeting of the
administrative details relative to a lottery, including the time lines.
FUNDING REQUEST - HABITAT FOR HUMANITY
The Committee was in receipt of a report from P. Houston dated June 6, 1997 providing
background information on the June 3, 1997 request of Habitat For Humanity for financial
assistance with respect to a 1997 project at 250 Fairway Road South.
Ms. Patricia McLean appeared in support of the funding request.
Councillor M. Yantzi put forward a motion to award a grant in the requested amount of $45,897.00.
Mayor Christy suggested that it is important to support this project; however, $45,000.00 in
unbudgeted funds is too much. Councillor Vrbanovic questioned whether the amount awarded
could be borrowed against the development charge account, and Mr. Gazzola replied that funding
has to come out of a grant account. Ms. Houston clarified that the grant awarded last year was
approximately $9,000.00.
Councillor M. Yantzi then withdrew his earlier motion.
Councillor B. Vrbanovic put forward a motion to provide a grant in the amount of $16,191.00, being
the cost of development charges and the 15 percent administrative fee on servicing.
A brief discussion took place after which Councillor Vrbanovic amended his earlier motion to
reduce the grant amount to $12,441.00 relative to a grant in lieu of development charges only. He
also suggested that staff advise Habitat For Humanity that if funding is required in 1998, they
apply earlier in the year and as part of the City's regular grant process.
On a motion by Councillor B. Vrbanovic,
it was resolved:
"That a grant in lieu of development charges totalling $12,441.00 be awarded to Habitat For
Humanity in conjunction with their 1997 project at 250 Fairway Road South."
APPROVAL OF MIDWAY LOCATIONS
Council, at its meeting of June 3, 1997 deferred and referred consideration of clause #1 of the
Community Services Committee report dealing with changes to the approval process for midway
locations to the meeting this date pending receipt of a report outlining staff concerns. The
Committee was in receipt of a report in this regard from J. Koppeser dated June 5, 1997.
On a motion by Councillor M. Wagner,
it was resolved:
"That prior to the approval of an application for a midway location, the proposed site and
details as well as the dates and hours of operation be brought to the attention of the Ward
Councillor and be put on an agenda of the Finance and Administration Committee to allow
an opportunity to address the potential concerns of residents; and further,
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That between the time the application is considered by the Finance and Administration
Committee and the date of the next Council, the applicant be required to notify residents
within 120 meters of the proposed midway location that it will be operating, the dates and
hours of operation and the name of the sponsoring charity, and in this regard the City
Clerk's Division will, upon receipt of a midway application, provide the applicant with the
necessary mailing labels reflecting the circulation requirement."
LOT MAINTENANCE/CLEANUP - 227 LOUISA STREET
The Committee was in receipt of a report from K. Tribby dated June 4, 1997 recommending
initiation of the process to compel maintenance and cleanup of the subject property.
On a motion by Councillor John Smola,
it was resolved:
"That the property owner be notified that the City intends to consider a by-law at the June
16, 1997 Council meeting authorizing the removal of waste material from 227 Louisa Street,
at the property owner's expense if this has not been done by the owner on or before June
30, 1997.
DOG DESIGNATION APPEAL COMMITTEE
The Committee was in receipt of a report from J. Shivas dated June 10, 1997 recommending
indemnification of Appeal Committee members and a change in the voting status of the K-W
Kennel Club from voting to non-voting member.
Councillor Vrbanovic noted that if agreed to, the Appeal Committee would have only two voting
members and questioned what would occur in the event of a tie. Councillor Ziegler advised that in
this case the decision would go in favour of the appellant and would come before Council for
consideration and if appropriate, ratification. He further noted that the Kennel Club has asked to
remove its representative as a voting member as it does not wish to vote on life or death issues
which will arise when a dog is declared prohibited.
Councillor Jake Smola suggested that any indemnification should include not only the individual
member, but the organization they represent.
On a motion by Councillor B. Vrbanovic,
it was resolved:
"That the City indemnify the members of the Dog Designation Appeal Committee and the
organizations they represent for all actions taken while acting in good faith and in the scope
of their duties; and,
DOG DESIGNATION APPEAL COMMITTEE - CONT'D
That the City Solicitor report back to the Finance and Administration Committee concerning
indemnification for members of Council, members of other Committees and City employees
as has been recently undertaken by the Regional Municipality of Waterloo; and further,
That effective June 17, 1997, the appointment of the K-W Kennel Club representative and
alternate to the Dog Designation Appeal Committee be changed to reflect that such
representatives act as non-voting members."
Councillors G. Lorentz and T. Galloway re-entered the meeting at this time.
REGIONAL MEETING CONFLICT
Councillor Ziegler requested consideration of an alternate date for the scheduled meeting with
representatives of the Regional Police on June 19, and suggested a meeting in either July or
August. Mayor Christy indicated that Mayor's Office staff will advise that the June 19 meeting is
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10.
11.
being cancelled and will poll members of Council for a rescheduled date in August.
NEXT MEETING
The next regularly scheduled meeting of the Finance and Administration Committee will be held on
June 23, 1997.
ADJOURNMENT
On motion, the meeting adjourned at 12:30 p.m.
Assistant City Clerk
