HomeMy WebLinkAboutFinance & Admin - 1998-01-12FAC\1998-01-12
JAN UARY 12, 1998
FINANCE & ADMINISTRATION COMMITTEE MINUTES
CITY OF KITCHENER
The Finance and Administration Committee met this date commencing at 10:30 a.m. under the
Chairmanship of Councillor J. Ziegler with the following members present: Mayor C. Zehr, Councillors
T. Galloway, K. Taylor-Harrison, M. Yantzi, John Smola, Jake Smola, B. Vrbanovic, J. Haalboom, G.
Lorentz and C. Weylie.
Others present: Ms. P. Houston, Mrs. J. Koppeser, Messrs. J. Gazzola, T. McCabe, L Parkhouse, J.
Shivas, J. Witmer, R. W. Pritchard, C. Ford, L. Proulx, T. Clancy and G. Sosnoski.
1. ANABELLA'S MASSAGE STUDIO-PROPOSED LOCATIONS
The Committee was in receipt of a report from J. Koppeser dated January 8, 1998 outlining four
possible locations for the business; being, 275 Lancaster Street West, 1027 King Street East,
2255-2263 Kingsway Drive, 44 Beasley Drive. They were also in receipt this date of a written
submission from J. Stephen Schmidt, Barrister and Solicitor, representing the owner, Mr. Randy
Zivkovic. Mr. Schmidt's submission indicates the owner's preference for the previously submitted
1206 King Street East location and requests a 30 day extension to allow for negotiations to occupy
any of the locations, and a further 30 day period to allow for possible leasehold improvements and
renovations.
Ms. Mary-Lee Gastmeier was in attendance in her capacity as the owner of 1206 King Street East
and advised that she would like an opportunity to sell the subject property to Mr. Zivkovic. She
also expressed concern that Victoria's was exempted from the location criteria involving separation
from a Church to allow for relocation to 1127 King Street East. Mrs. Koppeser clarified that the
1127 King Street East location referred to does meet the criteria for separation from the Church.
Mr. Randy Zivkovic appeared as the owner of Anabella's Massage Studio and indicated his
preference for the 1206 Victoria Street East location, and advised that his position is outlined in
the written submission from Mr. Stephen Schmidt.
Councillor T. Galloway enquired whether Mr. Zivkovic had entered into lease discussions with the
owner of 44 Beasley Drive, and he replied that negotiations have not been entered into with any of
the owners of the four properties submitted; however, it is his understanding that any of the
property owners will accept Anabella's as a tenant, subject to specific terms. Councillor J. Ziegler
expressed concern over the proposed Kingsway Drive location, now a vacant car lot, and enquired
whether Mr. Zivkovic had spoken with the residents of 5th Avenue who face onto this location. Mr.
Zivkovic replied in the negative, noting that the address reflects a Kingsway property and that the
5th Avenue properties do not abut the subject lands as they are on the opposite side of the street.
Councillor Ziegler argued that the location of the buildings on the proposed lot has a direct impact
on the 5th Avenue residences as the windows face in this direction. Mr. Parkhouse clarified that
when drafting the location criteria, staff did not look at this specific type of situation; however, his
personal view would be that he would not approve this location as notwithstanding the laneway,
there is a residential property across from the building. Councillor Ziegler questioned how the
property at 2255-2263 Kingsway Drive could meet the location criteria, as the purpose was to
address concerns over the impact of such an establishment on neighbouring residences.
Mr. McCabe confirmed that the property at 44 Beasley Drive is the subject of a current zone
change application which is now awaiting the end of the statutory appeal period.
On a motion by Councillor B. Vrbanovic,
it was resolved:
"That subject to the successful conclusion of the current zone change application for the
subject property, Council approve the relocation of Anabella's Massage Studio to 44
Beasley Drive, and that Mr. Randy Zivkovic be granted permission to operate a body rub
parlour at that location during the year 1998."
1. ANABELLA'S MASSAGE STUDIO-PROPOSED LOCATIONS - CONT'D
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CITY OF KITCHENER
On a motion by Councillor B. Vrbanovic,
it was resolved:
"That in regard to relocation of Anabella's Massage Studio to 44 Beasley Drive, Mr. Randy
Zivkovic be granted a further 30 day extension to the relocation deadline in order to
negotiate the terms of occupancy with the owner of 44 Beasley Drive; and if required, an
additional extension of up to 30 days to allow for completion of any renovations at this
address; and further,
That the owner be allowed to operate at the present Queen Street location until such time
as he either occupies the Beasley Drive premises within the stipulated 60 day period; or, he
gives up his licence to operate subsequent to the March 13, 1998 relocation deadline."
Councillor J. Ziegler expressed an interest in considering the two recommendations with respect to
Anabella's Massage Studio at the special Council meeting scheduled later this date. Mr. Sosnoski
advised that this item could be added to the agenda if unanimously approved by the whole
Council, all members of whom were in attendance this date.
On a motion by Councillor B. Vrbanovic,
it was resolved:
"That pursuant to Section 25.4.4 (e) of Chapter 25 (Council Procedure) of the City of
Kitchener Municipal Code, the agenda of the special Council meeting scheduled for 12:00
noon this date be amended by adding for consideration the two recommendations of the
Finance and Administration Committee of this date pertaining to Anabella's Massage
Studio."
The above motion was carried with the unanimous consent of all members of Council.
DEVELOPMENT CHARGES FOR HOMES CONVERTED TO DUPLEXES (295 CONNAUGHT
STREET)
Mr. Peitro Gagliano, owner of 295 Connaught Street, appeared and requested an exemption from
the development charges associated with a recent expansion and duplexing of his property.
Mr. Witmer advised that development charges would normally be applicable in this instance as Mr.
Gagliano built onto an existing building and created a separate residential unit which places an
additional Icad on municipal services. He further explained that the development charge would
not apply had Mr. Gagliano simply converted existing residential space. Mr. Witmer advised that
staff are aware of this issue and will include consideration in the next review in the development
charge by-law scheduled for 1999. He explained that the only option at this time would be to
consider a grant for the municipal portion of the development charges as the City cannot deal with
the Region of Waterloo portion. In this regard he advised that the City portion is $2,700.00 and
the Region's portion is $2,533.00.
Councillor Galloway expressed concern over the possible precedent which would be set in this
regard and the possibility of retroactive claims where buildings have been constructed and
converted and the owners have already paid development charges. Mr. Witmer clarified
that seven duplex permits were issued in 1997, all involving existing buildings only, the
Connaught Street property being the only addition. Mr. McCabe further clarified that in the
past there have been two or three payments for development charges similar to those paid
by Mr. Gagliano and that awarding him a grant would establish a precedent. Mr. Shivas
added that the Province established the distinction with regard to existing buildings in its
Development Charge Act and the City by-law incorporates the Provincial regulation. He
advised that Council does not have the authority to make changes in this regard. He
further advised that a new Development Charge Act was recently passed incorporating
further changes and that staff would like the 2. DEVELOPMENT CHARGES FOR
HOMES CONVERTED TO DUPLEXES (295 CONNAUGHT STREET) - CONT'D
opportunity to review and contemplate the request before the Committee this date in relation to
these changes.
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CITY OF KITCHENER
Mayor Zehr commented that it would appear from a standpoint of reasonableness, that there
would be very little in the way of additional load on municipal services as a result of constructing
the new building since the tenant would have the same requirements if a portion of the existing
residence had been converted. He advised that he is inclined to support the request, but is
comfortable with a deferral for additional clarification. Councillor Yantzi pointed out that though he
is sympathetic to the delegation, the fact remains that the physical envelope of the house was
enlarged and development charges are applicable.
Mr. Gagliano advised as to the nature of the addition, which will be occupied by his son and
questioned the amount of the development charge with reference to his personal circumstances.
He then asked that the development charges be refunded. Councillor Jake Smola questioned
whether Mr. Gagliano had been advised of the development charge at the time he applied for a
building permit and Mr. Witmer clarified that the applicant's contractor was advised of the charge
and that staff spoke with Mr. Gagliano's son to explain the situation. Mr. Witmer subsequently met
with Mr. Gagliano in mid-December to discuss the situation. Mr. Gazzola clarified that Council
does have the authority to award a grant on an individual basis and that bonusing is not a concern
in this instance.
Councillor Galloway questioned whether Council must await a comprehensive review in 1999 or
whether it can proceed to amend a portion of the by-law at this time as was done with regard to a
commercial exemption. Mr. McCabe replied that the amendment referred to was prior to the
Province placing a freeze on all Development Charge By-laws and that the only other amendment
was to remove the Downtown from the By-law and convert related costs. He questioned whether it
would be wise to open the By-law to question prior to a comprehensive review.
On a motion by Councillor C. Zehr,
it was resolved:
"That consideration of the request of Peitro Gagliano to exempt the property at 295
Connaught Street from the payment of development charges in conjunction with recent
construction and duplexing, be deferred and referred to the January 26, 1998 meeting of
the Finance and Administration Committee pending receipt of additional information on the
City's options in this regard and the impact of Provincial legislation."
ANNUALENERGY MANAGEMENT REPORT
The Committee was in receipt of a written summary dated December 3, 1997 outlining energy
management initiatives in that year.
Mr. Ford gave an audio-visual presentation outlining current initiatives as well as accumulative
benefits since the programs inception. He noted that over the past 18 years the City has spent
$3.4 million on energy saving initiatives and received a further $1.3 million in related grants. He
pointed out that over that time period and to date the municipality has saved approximately $7
million in energy costs and it is expected that savings will reach $16 million by the year 2007. He
also referred to annual savings in utility costs of $900,000.00.
Councillor Galloway noted that the program has been very successful for the City and questioned
whether it would be possible to borrow the additional $5 million needed to complete all other
projects as early as possible given the fact that they have a maximum payback of five years. Mr.
Ford responded that though this may be possible, the problem would be with the staff time
required to complete that number of projects in a short space of time. Councillor Galloway asked
that energy management be discussed in the context of Capital Budget deliberations on January
23, 1998.
HOT TUBS IN BODY RUB PARLOURS
The Committee was in receipt of a report from J. Koppeser dated January 6, 1998 recommending
deferral of discussion pending receipt of comments from the Regional Health Unit, with a
prohibition on hot tubs in the interim.
On a motion by Councillor G. Lorentz,
it was resolved:
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CITY OF KITCHENER
"That the discussion of hot tubs in Adult Entertainment Establishments (body rub parlours)
be deferred pending the receipt of comments from the Regional Health Unit; and further,
That in the interim, hot tubs not be permitted in any Adult Entertainment Establishment."
KITCHENER PUBLIC LIBRARY BOARD APPOINTMENTS - WATERLOO COUNTY BOARD
OF EDUCATION REPRESENTATIVES
The Committee was in receipt of a report and recommendation from L. Parkhouse dated January
6, 1998 in response to the Board of Education's submission.
On a motion by Councillor B. Vrbanovic,
it was resolved:
"That Kitchener City Council accept the recommendation of the Waterloo County Board of
Education and appoint Ms. Linda Lauber and Mr. Peter Moore to represent that Board on
the Kitchener Public Library Board for a term of three (3) years expiring November 30,
2000."
PROJECT LIFT INC. BOARD OF DIRECTORS APPOINTMENT
Councillor John Smola circulated copies of an appointment application from Mr. Kenneth
Cressman and suggested that he be appointed to fill the current vacancy.
On a motion by Councillor John Smola,
it was resolved:
"That Council appoint Kenneth F. Cressman to the Board of Directors of Project Lift Inc. for
a term expiring on November 30, 1998."
7. CITY REPRESENTATION ON REGIONAL COUNCIL NOVEMBER 2000 MUNICIPAL
ELECTION
The Committee was in receipt of a report from R. W. Pritchard dated January 6, 1998 relative to
direct election to Regional Council. The report notes that Bill 135 - An Act to Amend the Regional
Municipality of Waterloo Act, received Royal Assent on June 26, 1997 and requires that in regular
municipal elections after 1997, the 6 Kitchener representatives are to be elected by the electors of
the City and sit on both the Regional and local Councils.
Councillor Galloway suggested that Mr. Pritchard submit a further report outlining a recommended
process. He further noted that the new Municipal Elections Acts allows for alternate forms
of voting including telephone voting and suggested that the City should investigate this
option first as opposed to changing Wards. Councillor Lorentz agreed that the City should
not necessarily look at re-arranging the Wards, but should investigate more unique options.
He added that if the telephone option is not viable then other more time consuming
alternatives could be subsequently investigated. He indicated his personal preference for
the telephone vote following the regular municipal election. Councillor Vrbanovic voiced his
support for alternate voting methods, noting that a telephone vote was used at the last
Association of Municipalities of Ontario Conference. Councillor Yantzi indicated his
preference for seeing all options evaluated, including Ward changes with the advantages
and disadvantages of each 7. CITY REPRESENTATION ON REGIONAL COUNCIL -
NOVEMBER 2000 MUNICIPAL ELECTION - CONT'D
identified. Councillor Galloway agreed that there should be a broader consideration of multiple
options, especially considering that the Ontario Municipal Board must approve any changes in this
regard and usually considers the extent of the process followed in arriving at its decision.
Councillor J. Ziegler suggested that a mail-in ballot following the municipal election would also be
an option.
Councillor T. Galloway put forward a motion directing R. W. Pritchard to prepare a report outlining
a recommended process for discussion in two to four weeks time.
Mayor Zehr suggested that the Committee which looked at Ward redistribution in 1996 should be
FINANCE & ADMINISTRATION COMMITTEE MINUTES
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CITY OF KITCHENER
reconstituted and asked to develop a list of options and undertake a high level evaluation of each.
Mr. Pritchard pointed out that one of the problems, irrespective of the alternatives, involves legal
issues surrounding the official release of election results and the date Regional Council must be
installed. He asked that he be directed to look at the legal issues in this regard in consultation with
the City Solicitor and the Ministry of Municipal Affairs and Housing. He added that he would
require approximately four weeks to complete the evaluation and report.
Councillor T. Galloway amended his previous motion to include the direction to staff referred to by
Mr. Pritchard. The main motion was then voted on, as amended.
On a motion by Councillor T. Galloway,
it was resolved:
"That the General Manager of Corporate Services and City Clerk submit a report for
consideration at the February 9, 1998 Finance and Administration Committee meeting
outlining a process whereby the City would implement direct election to Regional Council,
and that in preparing the above, consultation take place with the City Solicitor and the
Ministry of Municipal Affairs and Housing concerning the legal issues involved in the
possible use of phone-in ballots in this regard."
COUNCIL APPOINTMENTS TO COMMITTEES, BOARDS AND COMMISSIONS
The Committee was in receipt of a letter from Mr. Branko Brkovitch dated December 11, 1997
raising concerns over the process by which certain members of the Centre in the Square Board of
Directors were chosen.
Moved by Councillor M. Yantzi,
"That Council amend its current policy regarding appointments to Committees, Boards and
Commissions so as to require the unanimous consent of all members of Council present at
the appointment meeting in order to consider any applications submitted after the
advertised deadline."
Councillor Vrbanovic suggested that a study group be formed to look at the entire appointment
process to determine whether additional changes are required. Mr. Parkhouse clarified that the
deadline in 1997 was October 31 and this was due to the need for administrative time to compile
and print the submissions and related material as well as the expectation of late applications, in
part due to the difficulty of obtaining re-appointment applications from some current members.
Councillor Jake Smola suggested moving the submission deadline closer to the appointment
meeting date and a discussion took place concerning various alternative dates.
The motion by Councillor M. Yantzi to require Council approval before dealing with any
applications filed after the deadline date was then voted on and Carried.
COUNCIL APPOINTMENTS TO COMMITTEES, BOARDS AND COMMISSIONS - CONT'D
A motion by Councillor Jake Smola whereby Council would direct that the application deadline be
October 31 in any appointment year was voted on and Lost.
On a motion by Councillor M. Yantzi,
it was resolved:
"That staff set the deadline for submitting applications for Committees, Boards and
Commissions, and in so doing ensure that members of Council have a minimum of seven
(7) days to review the compiled submissions and related background information."
FLAGS-CITY HALL/FORMER GOUDIE'S BUILDING
Council had previously requested a report on the feasibility of converting the unused weather
beacon on the City Hall into a flag pole, and of flying flags on the former Goudie's building. Mr.
Proulx advised that he had spoken with the appropriate contractors and it was determined that the
hardware replacement costs for the Goudie's building would be approximately $800.00 and for the
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CITY OF KITCHENER
10.
11.
City Hall approximately $8,000.00. It was also noted that given the amount of wind, replacement
of the City Hall flag could be anticipated three times a year at a cost of $1,500.00 per flag.
OTHER BUSINESS
Mayor Zehr asked that given the upcoming February meeting of the Association of Municipalities
of Ontario, members of Council consider the issue of 1998 appointments and that these be dealt
with at the Council meeting on January 19, 1998.
Mayor Zehr suggested the need for general discussion on the direction of the 1998 budget given
recent Provincial downloading and it was suggested that this discussion could be accommodated
as part of the Capital Budget review meeting on January 23, 1998.
Mayor Zehr questioned Committee members as to their interest in meeting with local M.P.P.'s to
discuss issues relating to Provincial downloading, the principal reason being to register
Kitchener's position in this regard. It was generally agreed that the Mayor would invite M.P.P.s
Gary Leadston and Wayne Wettlaufer to attend, and that M.P.P. Elizabeth Witmer would be
invited to attend incidentally. Councillor Galloway also suggested that Kitchener should formally
question the Provincial downloading calculations in respect to the City's gas utility.
Mayor Zehr referred to his memorandum of January 9, 1998 which was circulated to Committee
members this date and which outlines a request from the Concordia Club that the City consider
purchasing a full page advertisement in the Club's 125th Anniversary Souvenir Publication. Mr.
Gazzola advised that the City does not normally respond to these solicitations, and Councillor
Vrbanovic suggested that in this instance it may be worthwhile to use this opportunity to promote
next year's Christkindlmarket. Councillor Galloway agreed and suggested that the space may also
be used to promote other City business enterprises.
On a motion by Councillor G. Lorentz,
it was resolved:
"That consideration of the request of the Concordia Club that Kitchener purchase a full-
page advertisement in their 125th Anniversary Souvenir Publication be deferred and
referred to the January 19, 1998 Council meeting pending more detailed information on the
nature and circulation of the Publication and the merits of using it to promote
Christkindlmarket and/or City business enterprises."
Councillor Taylor-Harrison asked that staff clarify whether Pleasures body rub parlour is still
conducting business at its former Duke Street premises.
Councillor Vrbanovic enquired whether it would be possible to have budget handouts available 10. OTHEF
to members of Council in the weekend mail packages prior to a budget meeting, as opposed to
circulating them at the meeting. Ms. Houston replied that this would be generally possible;
however, there is a problem with the Capital Budget as the meeting occurs on a Friday. In regard
to the Capital Budget, Councillor Vrbanovic asked that the material be put in the Councillor
mailboxes on the Wednesday prior to that meeting, with Operating Budget information being
circulated as per his request.
Councillor Lorentz referred to recently released attendance figures for the Grand River
Conservation Authority Board of Directors and asked that staff request of the Authority that these
figures be available by November 15 in each year so that they can be considered prior to
Kitchener members making appointments.
INFORMATION ITEMS
The Committee accepted, as information, a summary report dated January 12, 1998 listing the
Monte Carlo events recently approved by Licensing staff; and, a report from J. Koppeser dated
January 8, 1998 advising that the name of the body rub parlour known as "Pleasures" has been
changed to "Mystique" and is now operating at 1412 Victoria Street North.
12. NEXT MEETING
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CITY OF KITCHENER
The next regularly scheduled meeting of the Finance and Administration Committee will be held on
Monday, January 26, 1998.
The first special meeting of the Finance and Administration Committee to consider the 1998
Budget is scheduled for Friday, January 23, 1998.
13. ADJOURNMENT
On motion, the meeting adjourned at 12:35 p.m.
G. Sosnoski
Manager of Corporate
Records/Assistant City Clerk
