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HomeMy WebLinkAboutFinance & Admin - 2001-08-13FINANCE & ADMINISTRATION COMMITTEE MINUTES AUGUST 13, 2001CITY OF KITCHENER The Finance and Administration Committee met this date, chaired by Councillor J. Ziegler, commencing at 10:07 a.m., with the following members present: Mayor C. Zehr, and Councillors M. Galloway, G. Lorentz, J. Smola, B. Vrbanovic and C. Weylie. Others Present:Ms. P. Houston, Ms. A. Menon, Ms. J. Koppeser, Ms. D. Gilchrist and Messrs. R. Pritchard, B. MacDonald, J. Shivas and J. Witmer. 1. BPS-01-096 – HOMER WATSON BOULEVARD – BY-LAW FOR REMOVAL OF WASTE MATERIAL – MUNICIPAL CODE CHAPTER 650 (LOT MAINTENANCE) The Chair noted that the committee administrator had been advised by enforcement staff that they wished to have this matter deferred; consequently, Mr. Jack Redmond will not be appearing as a delegation at this meeting. On motion by Councillor C. Weylie – it was resolved: “That consideration of Development & Technical Services report BPS-01-096, requesting a by-law pursuant to Municipal Code Chapter 650 (Lot Maintenance) for the property (Assessment Roll # 3012040034196000000), on Homer Watson Boulevard, be deferred and referred to the Finance & Administration Committee meeting of pending advice from staff as to how the matter is to be resolved.” September 10, 2001, 2. PRESENTATION OF YEAR 2000 FINANCIAL STATEMENTS The Committee was in receipt of Financial Services Department report FIN-01-018, attached to which was the official annual financial report of the City of Kitchener for the period ending December 31, 2000. Ms. Theresa Fischer of Ernst & Young, the City’s auditors, and Mr. Brian MacDonald were in attendance to present the annual financial report. Ms. Fischer commented that there were accounting changes required with respect to post-retirement benefits, which required a lot of work on staff’s part, and she complimented staff for their excellent effort in this regard. Ms. Fischer then commented that there are no significant control weaknesses and a smooth auditing process took place. Ms. Fischer and Mr. MacDonald then reviewed the key performance indicators and 2000 consolidated revenues, noting that “other” revenues include the hydro surplus funds. Mayor Zehr questioned the use of 1995 financial figures as the comparator and Ms. Fischer advised that in the 5 year period 1995-2000, the City has essentially stabilized taxes and absorbed an 8% loss in grants from the province; this being accomplished through revenues from the gas and hydro utilities as well as the transfer of transit and garbage to the Region. Ms. Fischer reviewed key balance sheet items noting the added equity in the Kitchener Power Corporation. With respect to the post-retirement benefits liability, Ms. Fischer noted that there has been a change required in accounting practice for this liability and it must be accounted for as it is earned by the employees. She advised that, in the future, this amount must be calculated by an actuary. With respect to tax arrears being 9.4%, Ms. Fischer advised that this is a result of Bill 79. Ms. Fischer commented on the City’s reserves and reserve funds, noting that the figures presented in the report are the true reserves. With respect to the Sick Leave Reserve Fund as a percentage of liability, Ms. Fischer advised that the current 8.1% is an improvement over last year; however, is still substantially below the 25% which is Council’s policy. Councillor Weylie questioned the total amount paid from the Sick Leave Reserve Fund for actual sickness, as compared to retirement. Ms. Fischer advised that the amount actually paid for sickness is between $1M and $1.5M each year, and in the year 2000, retirement costs were $700,000. Mayor Zehr questioned the operating deficit of $700,000. and was advised that the following FINANCE & ADMINISTRATION COMMITTEE MINUTES AUGUST 13, 2001 -86-CITY OF KITCHENER 2. PRESENTATION OF YEAR 2000 FINANCIAL STATEMENTS (CONT’D) accounts for the deficit: a reduction in bingo revenues of $300,000., an over expenditure in the Fire Department, an increase in the cost of snow removal, the Kiwanis Park write-off and an over expenditure for Community Services. It was noted that some of these over expenditures were off- set by an increase in building permit revenues. Mayor Zehr noted that the City of Kitchener won the Canadian Award for Financial Reporting for our 1999 annual financial report, by the Government Finance Officers Association of the United States and Canada. Mayor Zehr congratulated staff for this achievement. On motion by Mayor C. Zehr – it was resolved: “That the annual financial report of the City of Kitchener for the period ending December 31, 2000, be accepted as presented at the Finance & Administration Committee meeting of August 13, 2001.” 3. CRPS-01-137 – PROPOSED BY-LAW TO LICENCE COMPLEMENTARY HEALTH MODALITIES The Committee was in receipt of Corporate Services Department report CRPS-01-137, dated August 8, 2001, recommending that a by-law to license and regulate non-erotic massage practitioners be prepared, and requested direction as to whether members of certain organizations be exempt from the licensing requirements of such a by-law. Mr. Don Reid, Chair of the Reflexology Regional Council was in attendance to comment on the staff report. It was noted that he would be speaking not only on behalf of his Council but on behalf of other holistic health practitioners seated in the audience, collectively representing a variety of complementary health modalities. The chair asked each of those in the audience to identify themselves and the modality they are associated with. Mr. Reid advised of his involvement in working in other municipalities to prepare by-laws to define “complementary health modalities” and/or “holistic health care” and then to exclude these forms of health care from the provisions of the municipalities adult entertainment by-laws. He requested that, rather than licensing and regulating complementary health modalities, the City amend its Adult Entertainment by-law to define and specifically exclude complementary health modalities that have a regulating organization or association, from the provisions of that by-law. Mr. Reid referred to the by-law passed by the Town of Richmond Hill Council, which has taken the form being recommended by him. He advised that his association provides the municipality with his association’s qualifications and a list of currently registered practitioners. He suggested that the City should not be regulating health care, and stated that people receive these services based on their health care needs and have a right to receive such treatment in privacy and confidentiality. Mr. Reid noted that there have been no incidents or complaints regarding holistic health practitioners, and questioned why this matter is being considered. He then requested that Kitchener adopt the Town of Richmond Hill model. Councillor Galloway commented that the Town of Richmond Hill is the only municipality that has conformed to Mr. Reid’s preferred procedure. Mr. Reid agreed and noted that other municipalities do not license holistic health practitioners at all, and there is no consistency across the province. Councillor Galloway pointed out the City’s requirement for business licenses and questioned why Mr. Reid thought there should be no licensing requirements for complementary health modalities. Mr. Reid responded that municipalities should not be licensing health care, which he believed to be a provincial matter. Councillor Weylie questioned whether those practitioners registered with Mr. Reid’s association receive a licence, and if so, could these be provided to staff. Mr. Reid advised that they do receive a licence and the association could provide their Code of Ethics and registration list to staff, as they do in Richmond Hill. FINANCE & ADMINISTRATION COMMITTEE MINUTES AUGUST 13, 2001 -87-CITY OF KITCHENER 3. CRPS-01-137 – PROPOSED BY-LAW TO LICENCE COMPLEMENTARY HEALTH MODALITIES(CONT’D) Mayor Zehr questioned whether all complementary health modalities represented at this meeting would come under the definition used in the Richmond Hill by-law. Mr. Reid advised that the definition in the Richmond Hill by-law has a provision that where there is no association or organization, the practitioner can provide the municipality with their certificate. Mayor Zehr then questioned how this matter had started, noting that Council had an interest in licensing and regulating body-rub parlours and not holistic health practitioners. He suggested that the best way to deal with this matter is through an exemption. He stated that he would not support a by-law to regulate complementary health modalities at this time. Councillor Galloway stated that it is important to differentiate between erotic massage and complementary health. He stated that he would not support an amendment to the existing by-law because he would not want complementary health modalities to be associated in any way with erotic massage. He suggested that there is a need for rules and regulations respecting complementary health modalities and this should not be the responsibility of the various governing bodies. He agreed that health care, as governed by OHIP, is a provincial responsibility; however, any other kind of business is a City matter. Councillor Vrbanovic spoke in favour of the recommendation in the staff report. He stated the by- law is necessary to protect the integrity of the client. He asked that staff investigate how other municipalities are dealing with this matter, including exemptions for holistic health associations and organizations, prior to preparing the by-law. He moved the recommendation in the report. Councillor Ziegler spoke against the motion and in favour of Mayor Zehr’s comments. He stated that this matter is before the Committee in response to a request received from complementary health practitioners. They are now advising us that the best route to take is to follow the example of Richmond Hill. He questioned the need to have staff undertake this significant amount of work if it is not necessary. Councillor Vrbanovic stated that the intent of his motion is to have staff deal with this matter in light of the information received to date. Mayor Zehr stated that he could not support the motion. He stated that the Committee has four options: 1) take no action and continue to cause confusion; 2) prepare a by-law with exemptions for those practitioners who belong to professional associations/organizations; 3) prepare a by-law with no exemptions, and 4) amend the erotic massage by-law in the same manner as has been done in Richmond Hill. There was a brief discussion as to whether Councillor Vrbanovic would accept a friendly amendment to his motion to allow staff more flexibility. Ms. J. Koppeser suggested a further report for consideration at a future Finance and Administration meeting, listing the advantages and disadvantages of the possible methods of dealing with this issue. Included in the report, staff could provide information on how other municipalities are handling this issue. Councillor Vrbanovic withdrew his motion in favour of Ms. Koppeser’s suggestion, and directed that all interested parties be provided with a copy of the report and an invitation to attend the Finance and Administration meeting at which the report will be considered. 3. CRPS-01-137 – PROPOSED BY-LAW TO LICENCE COMPLEMENTARY HEALTH FINANCE & ADMINISTRATION COMMITTEE MINUTES AUGUST 13, 2001 -88-CITY OF KITCHENER MODALITIES(CONT’D) On motion by Councillor B. Vrbanovic – it was resolved: “That staff report at a future Finance & Administration Committee meeting on the advantages and disadvantages of: a) Licensing all Complementary Health Modalities without exception; b) Licensing Complementary Health Modalities excepting those regulated by associations or organizations; and, c) Amending Municipal Code Chapter 505 (Adult Entertainment Parlour – Regulation)by defining Complementary Health Modalities and specifically excluding them from the provisions of that Chapter; and, That staff include in the report comparisons of how other Ontario municipalities have dealt with licensing Complementary Health Modalities; and further, That all parties who have indicated an interest in this matter be provided with a copy of the staff report and be invited to attend the Finance & Administration Committee meeting at which it will be considered.” 4. CRPS-01-136 – YMCA OF KITCHENER-WATERLOO – REQUEST TO OPERATE ART AUCTION & REFRESHMENT STAND – REQUEST FOR REDUCED LICENCE FEE The Committee was in receipt of Corporate Services Department report CRPS-01-136, dated August 3, 2001, recommending that the request of the YMCA of Kitchener-Waterloo to operate an art auction and refreshment stand on November 2, 2001 in the City Hall Rotunda be approved, provided that the necessary licence, including Health and Fire approval is obtained. It also recommended that the nominal fee of $10.00 be applicable. On motion by Mayor C. Zehr – it was resolved: “That the request of the YMCA of Kitchener-Waterloo to operate an art auction and refreshment stand in the City Hall Rotunda on November 2, 2001 be approved; subject to the necessary licence, including Health and Fire approvals, being obtained, with the nominal fee of $10.00 being applicable.” 5. CRPS-01-135 – RATIFICATION OF LICENCE TO SOUTHWEST OPTIMIST CLUB FOR HOT DOG CART AT HURON PARK ON JULY 21, 2001 The Committee was in receipt of Corporate Services Department report CRPS-01-135, dated August 3, 2001, advising that the Manager of Licensing issued a licence to the Southwest Optimist Club to operate a hot dog cart on City property for a community event that took place on July 21, 2001. It was noted in the report that By-law 2001-51 (Street Vendors) requires that Council approval be obtained prior to any such licence being issued; however, due to Council’s summer recess a poll was made of the members of Council. As Council members did not express any concern with the request, the licence was issued after the applicant obtained Health and Fire approval. It was noted that the money raised at this event was donated to the Grand River Hospital Foundation. On motion by Councillor B. Vrbanovic – it was resolved: “That the July 19, 2001 action of the Manager of Licensing involving the issuance of a licence to the Southwest Optimist Club to operate a hot dog cart at Huron Park, Weber and Louisa Streets, on July 21, 2001, be ratified.” 6. CRPS-01-134 – SEPARATION DISTANCES BETWEEN ADULT ORIENTED BUSINESSES FINANCE & ADMINISTRATION COMMITTEE MINUTES AUGUST 13, 2001 -89-CITY OF KITCHENER The Committee was in receipt of Corporate Services Department report CRPS-01-134, dated August 3, 2001, attached to which were draft by-laws to implement separation distances between adult oriented businesses. The report notes that staff were directed to create a requirement for distance separation between various classes of sexually oriented businesses in order to prevent clustering of these within a particular area of the City. Upon questioning, Ms. Menon noted that the distance separation being recommended is 400 metres; this separation would not apply to strip clubs and theatres, and it would not affect existing uses. On motion by Councillor B. Vrbanovic – it was resolved: “That Council consider 3 by-laws at its August 27, 2001 meeting, to regulate separation distances between adult oriented businesses; in the form as attached to Corporate Services Department report CRPS-01-134.” 7. BPS-01-097 – 89 SAMUEL STREET – BY-LAW FOR REMOVAL OF WASTE MATERIAL – MUNICIPAL CODE CHAPTER 650 (LOT MAINTENANCE) The Committee was in receipt of Development and Technical Services Department report BPS-01-097, dated July 12, 2001, recommending that Council pass a by-law at its August 27, 2001 meeting authorizing the removal of waste material from the property municipally known as 89 Samuel Street, Kitchener, at the expense of the property owner, if the work has not been done by the owner on or before August 24, 2001. Mr. Ron Jones, rental agent for the owner and Ms. Hanna Peterson, friend of the owner, addressed the Committee advising that they are opposed to the staff recommendation and requested more time to clean up the property, advising that the removal of the waste material has commenced. He advised that financial resources to undertake this work is limited as the tenants, on social assistance, don’t always pay their rent. Ms. Peterson requested that the deadline to clean up the property be extended to mid-September. Councillor J. Smola noted that there are many landlords in Kitchener in a similar situation with respect to tenants not paying their rent, and there is a remedy for this situation through the Landlord and Tenant Act. The problem with lot maintenance on this property has existed for almost a year and he was not prepared to allow any more time for the clean up of the property. On motion by Councillor J. Smola – it was resolved: “That Council consider a by-law at its August 27, 2001 meeting authorizing the removal of waste material from the property municipally known as 89 Samuel Street, Kitchener, at the property owner’s expense, if the work has not been done by the owner on or before August 24, 2001.” 8. CRPS-01-138 – HOUSEKEEPING BY-LAWS TO AMEND VARIOUS CHAPTERS OF THE MUNICIPAL CODE The Committee was in receipt of Corporate Services Department report CRPS-01-138, dated August 8, 2001, recommending housekeeping amendments to various chapters of the City of Kitchener Municipal Code. On motion by Councillor M. Galloway – it was resolved: “That at its August 27, 2001 meeting, Council consider the amending by-laws attached to Corporate Services Department report CRPS-01-038, providing for minor amendments to various Chapters of the Municipal Code as follows: FINANCE & ADMINISTRATION COMMITTEE MINUTES AUGUST 13, 2001 -90-CITY OF KITCHENER 8. CRPS-01-138 – HOUSEKEEPING BY-LAWS TO AMEND VARIOUS CHAPTERS OF THE MUNICIPAL CODE(CONT’D) · Chapter 594 (Theatres) · Chapter 542 (Exhibitions, Circus, Midway or Carnival) · Chapter 690 (Trees) · Chapter 507 (Amusement Places-previously Chapters 524 and 588)” 14. ADJOURNMENT On motion, the meeting adjourned at 11:32 p. m. Dianne H. Gilchrist Committee Administrator