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HomeMy WebLinkAboutFinance & Admin - 2001-09-24FINANCE & ADMINISTRATION COMMITTEE MINUTES SEPTEMBER 24, 2001CITY OF KITCHENER The Finance and Administration Committee met this date, chaired by Councillor J. Ziegler, commencing at 9:51 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. M. Sanderson, Ms. J. Koppeser, Ms. R. Upfold, Ms. C. Ball, Ms. L. Bansen, Ms. T. Crawford, Ms. D. Gilchrist and Messrs. F. Pizzuto, G. Sosnoski, J. Shivas, G. Melanson, R. Gosse, D. Paterson, D. Trask and J. Witmer. 1. FIN-01-022-19 KING STREET EAST -REQUEST BY PROPERTY OWNER FOR REDUCTION OF PENALTY AND INTEREST CHARGES ON TAX ARREARS ON THIS PROPERTY The Committee was in receipt of Financial Services Department report FIN-01-022, dated September 14, 2001, providing the Committee with background information with respect to the request of Mr. Peyman Jabari for relief from the penalty and interest charges from tax arrears outstanding on his property at 19 King Street East. It is noted in the report that the property owner’s position is that the City caused significant delays in his being able to open his shop for business at 19 King Street East due to what he referred to, when he appeared before Council on August 27, 2001, as a “run around” and unnecessary changes to meet the requirements for Building and Fire inspections. Mr. Jabari was in attendance to provide the Committee with background to his acquisition of the property, difficulties he has encountered with City staff and his request for a reduction in the penalty and interest charges on his tax arrears. He advised the Committee that when he bought the property at 19 King Street East, City staff were very happy to have him open a business in Downtown Kitchener. He advised that the first contractor he hired died as a result of a car accident. After hiring a new contractor, City staff advised that he would have to undertake $30,000. in additional work on the building. Mr. Jabari stated that he had to talk to many members of staff to find out how to go about requesting financial relief from Council, and he got the City Hall “run around”, with one staff member telling him to sue the City. He then asked the Committee for relief from the penalty and interest from his taxes because of the difficult time he has been through. When questioned by the Committee, Mr. Jabari advised that he owns and operates a business called 20/20 Vision which he intends to locate at 19 King Street East, he also operates the same business at 598 Belmont Avenue West. Upon questioning, he advised that he thought he had paid some of the taxes for the property at 19 King Street East since he bought the property in 1997. He also advised that he does owe taxes on other properties he owns in the City of Kitchener. With respect to the property at 598 Belmont Avenue West, Mr. Jabari advised he owes taxes on that property, as he has been using revenues from that business to finance the work at 19 King Street East, which has cost him more than anticipated because of construction delays and additional work required by City staff. Upon questioning, Ms. Houston advised that taxes have not been paid for 19 King Street East since February 1998, and taxes for 598 Belmont Avenue West have not been paid since May 1999. When questioned about the additional requirements and delays imposed by staff, Mr. J. Witmer advised that it is not unusual for the property owner to expect City staff to take on the role of site superintendent. With respect to safety concerns, Mr. Witmer stated that these concerns had to be relayed twice because of the change in contractors. Also, staff found some of the construction taking place was not in accordance with the approved plans. Mr. Witmer then advised that staff were called to conduct a pre-final inspection in December but were not asked to do the final inspection until March. Councillor M. Galloway stated that there seems to have been some difficulties but not to the extent as advised by the property owner. He put forward a motion to waive $2,400. of the penalty and interest for the property at 19 King Street East, subject to the owner paying the remainder of the outstanding taxes, penalty and interest by a specific date. Mayor Zehr stated that he could not support Councillor Galloway’s motion as Ms. P. Houston advises that approximately 10% of Kitchener properties are in a similar situation. He felt that all those property owners could provide equally legitimate reasons why they could not pay their 1. FIN-01-022-19 KING STREET EAST FINANCE & ADMINISTRATION COMMITTEE MINUTES SEPTEMBER 24, 2001- 107-CITY OF KITCHENER -REQUEST BY PROPERTY OWNER FOR REDUCTION OF PENALTY AND INTEREST CHARGES ON TAX ARREARS ON THIS PROPERTY (CONT’D) taxes and need relief. Councillor Ziegler questioned whether Mr. Jabari has benefited from any of the City’s Downtown Financial Incentives and was advised by Mr. Jabari that he benefited from the Façade Improvement Program, part of which is forgivable. Councillor Galloway’s motion to waive $2,400. of the penalty and interest on the taxes for 19 King Street East was voted on and . lost On motion by Councillor B. Vrbanovic – it was resolved: “That the request of Peyman Jabari for a reduction of the penalty and interest charges on tax arrears for his properties at 19 King Street East be denied.” Mr. Jabari stated that he was not concerned about $2,400. but was present today to let Council know that City staff are a problem. The City has a responsibility to its citizens and there are things going on behind the scenes that Council is not aware of. Also, vandalism is taking place Downtown every day and it causes serious problems for people who want to operate businesses in the Downtown. Mayor Zehr invited Mr. Jabari to contact his office if he has specific information related to individuals and he would be pleased to discuss this with him. Also, Mayor Zehr noted that the City has programs in place to deal with difficulties in the Downtown, as well as working with the Kitchener Downtown Business Association in this regard. 2. CSD-01-166-AUTOMATIC DOOR OPENERS -CITY HALL PARKING GARAGE The Committee was in receipt of Community Services Department report CSD-01-166, dated September 18, 2001, recommending that the City install automatic door openers on seven double sets of doors in the City Hall parking garage, the first set to be installed in 2001 and that two double sets of doors have automatic door openers installed on them each year for 2002-2005. Councillor B. Vrbanovic put forward the recommendation contained in the staff report, noting that the recommendation results from a presentation made some months ago by the K-W Barrier Free Advisory Committee. With respect to the first clause in the staff recommendation, Councillor Vrbanovic amended that section to provide for $5,000. plus GST to be allocated in 2001 and with respect to the second clause of the staff recommendation he amended the clause so as to allocate $10,000. in the capital budgets for the years 2002-2005. Ms. P. Houston asked that the recommendation recognize this expenditure as an over expenditure in the capital budget. Mayor Zehr questioned the location of designated parking in the City Hall parking garage and was advised by Ms. M. Sanderson that they are adjacent to the P1 Tower Elevator Lobby and the elevator closest to the Mayor’s Office. In response to a question from Mayor Zehr, Ms. P. Saunders of the K-W Barrier Free Advisory Committee, advised that often designated parking spaces are full and people in wheelchairs must park elsewhere, also others will benefit from automatic door openers such as the elderly and people with baby carriages. On motion by Councillor B. Vrbanovic – it was resolved: 2. CSD-01-166-AUTOMATIC DOOR OPENERS -CITY HALL PARKING GARAGE (CONT’D) FINANCE & ADMINISTRATION COMMITTEE MINUTES SEPTEMBER 24, 2001- 108-CITY OF KITCHENER “That $5,000. plus G.S.T. be allocated in 2001, as a capital budget over expenditure, for the purchase and installation of automatic door openers on the set of doors located in the City Hall parking garage, P1 level Tower Elevator Lobby, adjacent to the designated parking for disabled persons; and further, That $10,000. be allocated annually in the capital budget in 2002 – 2005 for the installation of automatic door openers on 2 sets of doors each year in the City Hall parking garage, as outlined in Community Services Department report CSD-01-166.” 3. CRPS-01-174 - OKTOBERFEST OPENING CEREMONIES – OCTOBER 5, 2001 -REQUEST FOR SPECIAL EVENT LICENCE FOR 3 FOOD VENDORS IN CIVIC SQUARE The Committee was in receipt of a Corporate Services Department report CRPS-01-174, dated September 18, 2001, in which staff recommend that a Special Event Licence to allow 3 food vendors to operate in Civic Square during the Oktoberfest Opening Ceremonies on October 5, 2001, be approved provided that the necessary licence including Health and Fire approvals is obtained. On motion by Mayor C. Zehr - it was resolved: “That the request of the Community Services Department to allow three food vendors to operate in Civic Square during the Oktoberfest Opening Ceremonies on October 5, 2001, be approved, subject to obtaining the necessary ‘Special Event’ licence including Health and Fire approvals.” 4. CRPS-01-172-REQUEST FOR DIRECTION RE: NON-EROTIC MASSAGE - OPTIONS FOR LICENSING BUSINESSES AND PRACTITIONERS Councillor Ziegler advised that this matter is to be deferred to the October 15, 2001 Finance and Corporate Services Committee meeting and that all interested parties have been advised of this deferral. It was noted that the Committee had asked staff to provide copies of the Richmond Hill by-law in this regard and it was also noted that recently the City of London has changed its by-law and staff were requested to provide information on changes to the London by-law to Committee members. On motion by Councillor B. Vrbanovic – it was resolved: “That consideration of Corporate Services Department report CRPS-01-172 (Non-Erotic Massage – Licensing By-law) be deferred and referred to the October 15, 2001 ; and further, Finance and Corporate Services Committee meeting That staff provide the Committee with copies of the Town of Richmond Hill by-law concerning Complementary Health Modalities, and advise the Committee of recent changes made to the City of London by-law.” 5. CRPS-01-176-GERMAN PIONEERS DAY – OCTOBER 9, 2001 -REQUEST FOR SPECIAL EVENT LICENCE FOR 1 FOOD VENDOR IN CIVIC SQUARE The Committee was in receipt of Corporate Services Department report CRPS-01-176, dated September 18, 2001, recommending that a Special Event licence be issued to the German Pioneers Day Committee for a food vendor to locate in Civic Square on October 9, 2001, during the German Pioneer Day event, provided that the necessary licence including Health and Fire is obtained. 5. CRPS-01-176-GERMAN PIONEERS DAY – OCTOBER 9, 2001 -REQUEST FOR SPECIAL EVENT LICENCE FOR 1 FOOD VENDOR IN FINANCE & ADMINISTRATION COMMITTEE MINUTES SEPTEMBER 24, 2001- 109-CITY OF KITCHENER CIVIC SQUARE (CONT’D) On motion by Mayor C. Zehr – it was resolved: “That the request of the German Pioneers Day Committee for a food vendor to locate in Civic Square on October 9, 2001, during the German Pioneers Day event be approved, subject to obtaining the necessary ‘Special Event’ licence including Health and Fire approvals.” 6. KFD-01-003-2002-2005 CAPITAL BUDGET ADDITIONS -FIRE SERVICES The Committee was in receipt of Development and Technical Services Department report KFD-01-003, dated September 5, 2001, recommending additional items to be included in the 2002 submissions for capital budget consideration, with respect to purchasing Fire Service MPA portable radios, the purchase of Building Collapse and Trench Rescue Equipment and required training and the acquisition of land for the proposed Fire Station #7. Mr. D. Trask was in attendance to answer any questions the Committee might have in this regard. On motion by Councillor G. Lorentz – it was resolved: “That consideration be given, during 2002 budget deliberations, including the following Fire Service capital items in the City’s capital forecast: (a) Replacement Plan for MPA portable radios; · 2002 – approximately $35,000. to replace six portable radios; · 2003 – approximately $69,000. to replace twelve portable radios; · 2004 – approximately $69,000. to replace twelve portable radios; · 2005 – approximately $75,000. to replace thirteen portable radios; · total cost of replacing radios - $248,000. including taxes. (b) 2002 – $161,000. including taxes, to purchase Building Collapse and Trench Rescue Equipment and required training to support Emergency Rescue Operations. (c) 2005 – $400,000. acquisition of land for proposed Fire Station #7.” 7. FIN-01-021-APPOINT CITY’S AUDITORS -AMENDMENT TO MUNICIPAL CODE CHAPTER 103 (AUDITORS) The Committee was in receipt of Financial Services Department report FIN-01-021, dated September 13, 2001, recommending that Municipal Code Chapter 103 (Auditors) be amended to reappoint Ernst & Young as Auditors for the City of Kitchener, its Boards and Enterprises for the years 2001, 2002 and 2003. On motion by Councillor G. Lorentz – it was resolved: “That Council consider a by-law, in the form attached to Financial Services Department report FIN-01-021, at its October 2, 2001 meeting, to amend Municipal Code Chapter 103 (Auditor) to reappoint Ernst and Young as Auditors for the City of Kitchener, its Boards and Enterprises, for 2001, 2002, 2003.” 8. FIN-01-023-ACCOUNTING, FINANCIAL SERVICES DEPARTMENT -REQUEST FOR ADDITIONAL STAFF The Committee was in receipt of Financial Services Department report FIN-01-023, dated 8. FIN-01-023-ACCOUNTING, FINANCIAL SERVICES DEPARTMENT -REQUEST FOR ADDITIONAL STAFF (CONT’D) FINANCE & ADMINISTRATION COMMITTEE MINUTES SEPTEMBER 24, 2001- 110-CITY OF KITCHENER September 17, 2001, recommending that one full-time Accounting Analyst and one part-time Accounting Clerk be hired in Accounting, Financial Services Department, effective October 1, 2001, with the net funding for these positions to be included in the 2002 Operating Budget. Ms. P. Houston advised that there is a cost saving which would accrue to the City of Kitchener with the hiring of the part-time Accounting Clerk and currently the Accounting Analyst is a contract position. Councillor Galloway stated that he would prefer to have this request referred to budget as he thinks it is important for the new Chief Administrative Officer to review these requests to hire. Ms. Houston advised that the part-time position will save the City more than the cost of the salary. On motion by Councillor M. Galloway – it was resolved: “That effective October 1, 2001, the staff complement for Accounting, Financial Services Department, be increased by one part-time Accounting Clerk; with the net funding for this position being included in the 2002 operating budget; and further, That the request of Accounting, Financial Services Department for one additional full- time Accounting Analyst be deferred and referred to 2002 Budget deliberations.” 9. REQUEST FOR NOISE BY-LAW EXEMPTION - BETHANY EVANGELICAL MISSIONARY CHURCH -CHRISTMAS PAGEANT – DECEMBER 6-9, 2001 The Committee was in receipt of correspondence from Bethany Evangelical Missionary Church requesting an exemption to Municipal Code Chapter 450 (Noise) to allow them to hold their Christmas pageant from 6-9 p.m. on December 6, 7, 8 & 9, 2001. On motion by Councillor J. Smola – it was resolved: “That the request of Bethany Evangelical Missionary Church for an exemption to Municipal Code Chapter 450 (Noise) relative to their Christmas Pageant to be held from 6-9 p.m. on December 6-9, 2001, be approved.” 10. SSD-01-009-NEW AND REVISED HUMAN RESOURCES POLICIES The Committee was in receipt of Strategic Services Department report SSD-01-009, dated September 19, 2001, recommending revisions to specific Human Resources Policies along with the deletion of policies and the inclusion of new policies. The Committee had also been provided with a book containing the existing policies along with an indexed book of reworded and amended policies. Mr. D. Paterson reviewed each of the policies with the Committee. With respect to the policy “Confidentiality of Information”, Mr. Paterson advised that the highlighted paragraphs in the text are in keeping with the Province’s policy on confidentiality. He advised that each existing member of staff will be provided with a copy of this policy, once approved, with their paycheques. New employees will be provided with a copy of this policy at their orientation and will be asked to sign a form acknowledging receipt. Also, at the orientation sessions, the importance of confidentiality will be emphasized. Mayor Zehr requested that existing employees be required to sign a form stating that they have received a copy of the Confidentiality Policy. He felt that as this is a new policy, acknowledgement of receipt will stand the Corporation in better stead. Councillor Weylie commented on the “Definition” policy questioning why Human Resources would have personal information as to race, colour or religion. Mr. Paterson responded that 10. SSD-01-009-NEW AND REVISED HUMAN RESOURCES POLICIES (CONT’D) FINANCE & ADMINISTRATION COMMITTEE MINUTES SEPTEMBER 24, 2001- 111-CITY OF KITCHENER Human Resources does not collect this information but at some time this information may have been recorded. Councillor Lorentz questioned Step 4 in the Policy titled “Complaints” stating that the matter should be placed before the Chief Administrative Officer only, and not the Director of Human Resources. Mr. Paterson suggested that the Chief Administrative Officer could designate this function to the Director of Human Resources, and the policy could be reworded to “Chief Administrative Officer or Designate”. Councillor Lorentz stated that he does not want this type of situation occurring without the Chief Administrative Officer being aware of it. Mr. Paterson then reviewed the new policy titled “Employment – Testing” noting that the requirement for aptitude testing has been the Corporation standard for some time, and uses the “GATB” test which applies both inside and outside the Unions. He noted that GATB is used where a college diploma or university degree is not a prerequisite for the job. He also advised that the standard of results is not the same for all jobs. Councillor Vrbanovic cautioned that he has concerns about the impact of this kind of testing and the ability to take into consideration such things as cultural background. Mr. Paterson noted that previously the Corporate standard was a Grade 12 education which can also cause difficulty for people from other countries. He suggested that GATB is a better measure. Councillor Vrbanovic stated that GATB should be used as only part of the decision making process, along with interviews and references, when hiring. He stated that he would need more information on GATB before he could support this policy. Mayor Zehr referred to the policy titled “Employment – Relatives of Staff Members and Elected Officials” noting that the exception of election of an individual is missing, and directed that this be incorporated into the policy. Councillor B. Vrbanovic offered his concerns respecting deletion of the policy “Hiring – Selection Disputes” stating that there should be a written protocol and directed staff to prepare a new policy on this subject. Following review of all the Human Resources Policies, Mr. Paterson advised that staff will revise the Human Resources Policies as directed at this meeting and present the policies at a future meeting for this Committee’s endorsement. 11. FIN-01-024-2001 FINAL TAX BILLING PROCESS Councillor B. Vrbanovic commented on the Information Report provided by the Financial Services Department with respect to the delays caused by the Province, in mailing the final Tax Bills for 2001. He noted that this is the second time the Province has changed the rules so close to the normal billing date, and he suggested that the City send an invoice to the Province for the value of lost revenues and the cost of changing the billing system, which was made mandatory by the Province. On motion by Councillor B. Vrbanovic – it was resolved: “WHEREAS for the second time in the last 4 years the Province of Ontario has brought about last minute changes which have had an impact on Municipal taxes, and as a result Municipal cash flow; THEREFORE BE IT RESOLVED THAT the City of Kitchener invoice the Province of Ontario for the cost of programming changes resulting from Provincial standardization of the Municipal tax bill and the loss of interest income resulting from billing delays; and further, 11. FIN-01-024-2001 FINAL TAX BILLING PROCESS (CONT’D) FINANCE & ADMINISTRATION COMMITTEE MINUTES SEPTEMBER 24, 2001- 112-CITY OF KITCHENER That this resolution be forwarded to the Association of Municipalities of Ontario and they be requested to encourage all Ontario municipalities, who may have incurred costs or lost revenue due to last minute changes, to invoice the Province.” 12. ADJOURNMENT It is noted for the record that this is the last meeting of the Finance and Administration Committee and that as of October 1, 2001, the Finance and Corporate Services Committee will be dealing with matters arising from the Financial Services Department, Corporate Services Department and Strategic Services Department, in accordance with the restructured committee format established by Council resolution of August 27, 2001. On motion, the meeting adjourned at 11:42 a. m. Dianne H. Gilchrist Committee Administrator