HomeMy WebLinkAboutFin & Corp Svcs - 2008-06-09 SFINANCE & CORPORATE SERVICES COMMITTEE MINUTES
JUNE 9, 200$ CITY OF KITCHENER
The Finance and Corporate Services Committee met this date, commencing at 2:32 p.m.
Present: Councillor S. Smola, Vice-Chair
Mayor C. Zehr and Councillors J. Gazzola, G. Lorentz, K. Galloway and C. Weylie.
Staff: C. Ladd, Chief Administrative Officer
P. Houston, General Manager, Community Services
T. Speck, General Manager, Corporate Services
R. Browning, General Manager, Development & Technical Services
D. Chapman, General Manager, Financial Services & City Treasurer
W. Malcolm, Director of Utilities
S. Adams, Director of Community & Corporate Planning
M. Hildebrand, Director, Community Programs
L Pregel, Manager, Cultural Development
R. Willms, Supervisor of Administration
C. York, Co-ordinator, Arts & Culture
A. Mick, Utilities Water Engineer
K. Steiss, Inclusion Co-ordinator
C. Goodeve, Committee Administrator
1. CSD-0$-062 -THEATRE AND COMPANY PROGRAMMING PLANS
The Committee considered Community Services Department report CSD-08-062, dated June
3, 2008 regarding Theatre and Company's programming decisions for the remainder of 2008.
In addition, the Committee was in receipt this date of a copy of the presentation given by Mr.
Brad Hutton, General Manager, Theatre and Company.
Mr. B. Hutton reviewed the circulated presentation and advised that due to increasing
production costs and a sizable deficit Theatre and Company's Board of Directors has decided
to put the work of the theatre production company on hold while it determines the most
appropriate programming to maximize the benefit derived from the facility. He outlined that in
the mean time, theatre will still be presented and the space will be utilized through
partnerships with other special events, festivals and not-for-profit organizations. He noted
that the difference between presenting and producing theatre is the flexibility to present only
what is financially viable. He stated that Theatre and Company recognizes the need to be
known in the community, which is why they are seeking to build on existing community
outreach programs by opening the venue to different performing arts disciplines. Mr. Hutton
advised that it is imperative that the Board of Directors takes their time to identify the type of
theatre needs not currently being met in this region. He added that accordingly, Theatre and
Company is taking this opportunity to pause and rethink its programming options to ensure
that the organization is sustainable in whatever artistic choices are made in the future.
Several members expressed support for the initiatives being undertaken by Theatre and
Company.
On motion by Councillor C. Weylie -
it was resolved:
"That monthly grant payments in the amount of $4,250., be continued to Theatre and
Company from July 2008 through December 2008, with consideration being given to
Theatre and Company's programming decisions during the 2009 annual grants cycle."
2. CSD-0$-059 -GENERAL PROVISION GRANT APPLICATION
- FLUSH INK PERFORMING ARTS
The Committee considered Community Services Department report CSD-08-059, dated May
28, 2008 regarding a grant request in the amount of $5000. from Flush Ink Performing Arts to
assist with expenses related to the presentation of `Unhinged - Kitchener's Festival of Site-
Specific Theatre' in September 2008.
Mr. Bruce Wolff, Flush Ink Performing Arts, addressed the Committee in support of the grant
request and advised that building off the success of `Asphalt Jungle Shorts', Flush Ink
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2. CSD-A$-059 -GENERAL PROVISION GRANT APPLICATION
- FLUSH INK PERFORMING ARTS tCONT'D)
Performing Arts are seeking to expand their site-specific theatre by presenting `Unhinged';
which is a collection of performances developed from submissions received through local,
national and international theatres and theatre professionals. He added that each piece
would be performed a minimum of 4 times during the Festival and would take place in and
around Downtown Kitchener. He stated that the concept of this Festival is dependant upon
local businesses participating and the audience becoming engaged in the action; thus
becoming engaged in the urban architecture of Downtown Kitchener.
In response to questions, Mr. B. Wolff advised that while each successful applicant would be
required to provide an application fee, they should be able to recoup that money through the
sale of tickets to their individual performances. He added that it takes a number of highly
qualified people to coordinate these kinds of performances, which is why the Festival's
budget has a sizable allocation toward staff resources. He added that as these performances
will only be presented in Kitchener, Flush Ink Performing Arts does not intend to seek funding
support from any other local area municipality. He noted that they have applied for a grant
from the K-W Community Foundation and anticipate receiving a response as to the success
of that application sometime next week. Ms. Paddy Gillard-Bentley, Flush Ink Performing
Arts, advised that they became incorporated too late in the year to meet the deadline to apply
to the Ontario Arts Council for funding. She noted that in the past downtown businesses
have provided various types of in-kind support from allocating the use of their space, to
financial assistance. She commented that if they do not receive the requested grant from the
City, then they would need to investigate other means of raising the required funds. Mr. Wolff
stated that if this Festival is seen as a success by participating artists, than that will enhance
Kitchener's reputation as an artist-friendly City. He added that it is crucial to keep the arts
vibrant and exciting, as it always reflects upon the community as a whole.
Ms. R. Willms advised that in 2006, Special Events staff worked with Flush Ink Performing
Arts and provided in-kind printing support and event liability insurance for `Asphalt Jungle
Shorts'. She added that in 2007, aone-time general provision grant in the amount of $4,340.
was approved to Flush Ink Performing Arts to host `Asphalt Jungle Shorts II'. She noted that
the City is already providing funding in the amount of $6,000. to `Unhinged - Kitchener's
Festival of Site-Specific Theatre' through the Special Events Operating budget.
A motion by Councillor J. Gazzola was brought forward for consideration to oppose the
request of Flush Ink Performing Arts for a grant in the amount of $5,000.
Several members spoke in support of the May 20, 2008 Arts and Culture Advisory Committee
recommendation which states that notwithstanding the funding already allocated to Flush Ink
Performing Arts, some additional assistance should be provided based on the unique artistic
and cultural value of the Festival. At the request of Mayor C. Zehr, Mr. B. Wolff agreed to
meet with City staff and report back to the June 23, 2008 Council meeting regarding
alternative means of support that could potentially be provided by the City.
On motion by Mayor C. Zehr -
it was resolved:
"That consideration of the following recommendation be deferred and referred to the
June 23, 200$ Council meeting to allow time for the representatives of Flush Ink
Performing Arts to meet with staff and report back regarding alternative means of
support that could potentially be provided by the City:
`That a general provision grant in the amount of $5,000., not be approved to
Flush Ink Performing Arts to assist with expenses to host `Unhinged -
Kitchener's Festival of Site-Specific Theatre' in September 2008."'
3. CSD-A$-060 -GENERAL PROVISION GRANT APPLICATION
- THE CULTURAL JOBAL ARROZALES FOUNDATION
The Committee considered Community Services Department report CSD-08-060, dated May
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3. CSD-0$-060 -GENERAL PROVISION GRANT APPLICATION
- THE CULTURAL JOBAL ARROZALES FOUNDATION tCONT'D)
28, 2008 regarding a grant request from the Jobal Arrozales Cultural Foundation to assist
with costs related to funding the `Second Jobal Arrozales Literary Contest 2008.'
Ms. Tania Portillo, Jobal Arrozales Cultural Foundation, advised that the Foundation was
established in 2005 to promote a cultural exchange between Latin American and North
American literature and is devoted to promoting literary contests in Toronto, Guelph, the
Region of Waterloo and surrounding communities. She stated that they propose to continue
their Spanish-language contest and establish an additional contest for English-language
poets and short story writers. She added that all writers residing in Canada are invited to
contribute original, unpublished works of poetry or short stories to the `Second Jobal
Arrozales Literary Contest 2008', noting that prizes will be awarded on November 28, 2008.
In response to questions, Ms. T. Portillo advised that the winning writer in each genre will
receive a prize of $1,000., as well as the publication of their work by Kanatapress. She
confirmed that the Jobal Arrozales Cultural Foundation is not incorporated and does not have
formal non-profit status; and, that the printing company that will be used to publish the
winning works is owned by the grant applicant. She noted that as part of the jury selection
process they are planning to hold 5 literary gatherings in the Conestoga Room at Kitchener
City Hall to review the submitted works.
A motion by Councillor K. Galloway was brought forward for consideration to oppose the
request of the Jobal Arrozales Cultural Foundation for a grant in the amount of $18,800., and
approve an in-kind grant of $350. (5 meetings in the Conestoga Room, Kitchener City Hall at
$70. per meeting), to provide a venue for reviewing the works submitted to the `Second Jobal
Arrozales Literary Contest 2008.'
On motion by Councillor K. Galloway -
it was resolved:
"That the $18,800. general provision grant request of Jobal Arrozales Cultural
Foundation to fund the `Second Jobal Arrozales Literary Contest 2008', be denied; and
further,
That an in-kind grant in the amount to $350. (5 meetings in the Conestoga Room,
Kitchener City Hall at $70. per meeting), be approved to the Jobal Arrozales Cultural
Foundation to provide a venue to review the works submitted to the `Second Jobal
Arrozales Literary Contest 2008."'
4. FIN-0$-077 -WATER & GAS UTILITIES GIS DATA CONVERSION PROJECT
The Committee considered Financial Services Department report FIN-08-077, dated May 30,
2008 regarding the Water and Gas Utilities GIS Data Conversion project. Ms. A. Mick advised
that the Utilities Division is currently experiencing a backlog in maintaining the detailed water
and gas infrastructure records. She stated that the water infrastructure records are almost 10
years behind and have reached a point where users have minimal confidence in the accuracy
of the data. She added that due to the nature of the gas infrastructure, those records are more
accurate and current; however, they could reach a similar state in the foreseeable future.
In response to questions, Ms. A. Mick advised that this project was not identified during the
2008 Capital budget process, as its scope and timing had not been clearly defined; however,
it was understood that given the need for this project, it would be coming forward at some
point. As a result, unallocated funding in the Gas Capital Surplus account was retained with
this purpose in mind. Mr. D. Chapman noted that the Gas Capital Surplus account, which
has a balance of approximately $1 M, exists to fund these types of projects.
Ms. A. Mick further advised that as the Delta project moved forward, it became evident that
the timing of the Data Conversion project should be aligned with the Delta project to allow for
maximum efficiencies and benefit. She estimated that it would take approximately 12 months
to fully convert the existing hard copy records and as-recorded information over to the GIS
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4. FIN-0$-077 -WATER & GAS UTILITIES GIS DATA CONVERSION PROJECT tCONT'D)
system. She noted that this document conversion would put the City in a better position to
face challenges related to supporting legislated requirements, utility planning and
development, emergency response, operations, system maintenance and enhanced service
to the public.
On motion, Councillor K. Galloway brought the staff recommendation contained in report FIN-
08-077 forward for consideration.
Councillor J. Gazzola advised that he would not support the staff recommendation, stating
that in his opinion, it would have been more appropriate for this item to have come forward
during Council's 2009 budget deliberation process.
It was noted in the agenda that any recommendation from the Committee regarding this
matter would be forwarded for consideration to the special Council meeting to be held later
this same date.
On motion by Councillor K. Galloway -
it was resolved:
"That $485,000., be allocated from the following sources to provide funding for the
Water and Gas Utilities GIS Data Conversion Project:
• Gas Capital Surplus $436,500;
• Watertight Study $ 30,000;
• Watermain Replacement $ 18,500."
5. FIN-0$-091 -BOTTLED WATER ALTERNATIVES
The Committee considered Financial Services Department report FIN-08-091, dated June 2,
2008 regarding the development of a strategy to potentially eliminate the purchase and sale
of bottled water in all City facilities where practical and to raise awareness of why tap water is
safe, economical and environmentally friendly.
In response to questions, Mr. W. Malcolm advised that from a Kitchener Utilities perspective,
they want to ensure that customers know that the water coming out of their taps is safe to
drink, and that tap water is much more economical and environmentally friendly alternative to
bottled water. He stated that while the Region of Waterloo is responsible for the water
supply, the City is responsible for the infrastructure that distributes the water. Mr. Malcolm
acknowledged that there would be some challenges in implementing the proposed strategy;
such as, the need to offer bottled water at golf courses and other City facilities as a safety
precaution against heat-related stress and exhaustion. He pointed out that a key component
of this strategy is to determine the capacity available at each City facility to offer tap water, as
a feasible alternative to bottled water.
Councillor G. Lorentz expressed concern regarding the alternatives available to customers if
they are no longer able to purchase bottled water at City facilities. He stated that some
people prefer the taste of bottled or filtered water over tap water, outlining that it has been his
experience that regional tap water seems to have a chlorine taste. He noted that this is not a
reflection on the quality of regional tap water, adding that he is well aware that the Region
regularly meets or exceeds the water quality standards set out by the Ontario Ministry of the
Environment. He commented that this issue should be examined in greater detail prior to
moving forward and suggested that the Region be requested to provide information regarding
the measures they could undertake to eliminate the chlorine taste that some residents
experience when drinking regional tap water.
Councillor J. Gazzola also expressed concerns with prohibiting the sale of bottled water at
City facilities and suggested that additional information be provided regarding how this
initiative has been implemented in other jurisdictions.
Councillor K. Galloway requested that prior to the June 23, 2008 Council meeting, staff
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5. FIN-0$-091 -BOTTLED WATER ALTERNATIVES tCONT'D)
provide a list of the City facilities where this initiative could be practically implemented, as well
as a fact sheet outlining the environmental impacts of bottled water consumption.
Mayor C. Zehr commented that while this is an opportunity for Kitchener to lead the way in
reducing the amount of bottled water that is purchased and consumed; additional information
regarding the full implications of this initiative is needed prior to eliminating the sale of bottled
water at City facilities. He suggested that the staff recommendation be amended to indicate
approval of this initiative in principle and that a request be made to the Region of Waterloo to
provide information outlining the methods they would need to employ to remove the taste of
chlorine that some residents experience from regional tap water.
On motion by Mayor Carl Zehr -
it was resolved:
"That the expeditious development of a strategy to eliminate, where practical, the
purchase and sale of bottled water at City facilities, which would include steps to
further raise awareness of why tap water is safe, economical and environmentally
friendly, be approved in principle; and,
That the Regional Municipality of Waterloo be requested to provide information
outlining the methods they would need to employ to remove the taste of chlorine that
some residents experience from regional tap water; and further,
That bottled water no longer be served or offered at Council or any other committee or
public meetings held at Kitchener City Hall."
6. CSD-0$-05$ -CUSTOMER SERVICE REGULATION
- ACCESSIBILITY FOR ONTARIANS WITH DISABILITIES ACT, 2005
The Committee considered Community Services Department report CSD-08-058, dated May
22, 2008 regarding customer service regulations prescribed by the Accessibility for Ontarians
with Disabilities Act, 2005.
Ms. K. Steiss advised that on January 1, 2008, customer service regulations for persons with
disabilities came into law; as such, the City is required to establish policies, procedures and
practices governing the provision of goods and services to persons with disabilities. She
added that accordingly, the City needs to provide customer service accessibility training to all
staff, volunteers and any 3rd parties providing services for or on behalf of the municipality.
Further, the City is required to institute a process for receiving and responding to feedback
from persons with disabilities. She stated that it is anticipated that the current resources
allocated under the Corporate Accessibility Fund will not be sufficient to cover all associated
costs, adding that a detailed report with cost expectations would be presented to Council at a
later date.
7. FIN-0$-079- 2009 BUDGET PROCESS
The Committee considered Financial Services Department report FIN-08-079, dated May 22,
2008 regarding the 2009 budget process. Mr. D. Chapman highlighted the following issues
with respect to the 2009 budget process: the general approach; a guideline for user fee
increases; and, the timelines for Council meetings. He stated that the timelines were
advanced by approximately 2 to 4 weeks when compared to previous years. He pointed out
that this moves the City closer towards adoption of a budget prior to the commencement of
the fiscal year, which has a number of process and financial benefits. He noted that this
timing is made possible because of efficiencies in the budget process and the earlier
issuance of the budget call to staff.
In response to questions, Mr. D. Chapman advised that no provision has been made for a
`Grants Day' as part of the 2009 budget process, adding that it is anticipated that phase 2 of
the Community Investment Strategy would recommend a process with respect to approving
the 2009 grants. Ms. P. Houston noted that phase 1 of the Community Investment Strategy
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7. FIN-0$-079 - 2009 BUDGET PROCESS tCONT'D)
is currently scheduled to be presented at the June 16, 2008 Community Services Committee
meeting, with phase 2 scheduled to be brought forward in August 2008.
On motion by Councillor C. Weylie -
it was resolved:
"That staff be directed to prepare an operating budget for 2009 which is focused on
strengthening the financial base for existing City programs by holding discretionary
expenditure increases at 0% for the third consecutive year and not permitting program
expansions; and,
That a general guideline of 6% be maintained for user fee increases in 2009, subject to
the following:
• that, notwithstanding this general direction, recommendations related to fees
arising from the youth and older adult strategies be taken into consideration
when the fee schedule is finalized for 2009; and,
• that the staff budget submission include $20,000. of additional funding for leisure
access card subsidies, consistent with the three-year phase-in proposed in 2008;
and further,
That the 2009 budget meeting timetable outlined in Financial Services Department report
FIN-08-079, be approved, subject to the potential adjustment of the timing of final budget
day to conform to the 2009 meeting calendar."
8. FIN-0$-073- PROGRAM & SERVICES LEVEL REDUCTION COMMITTEE REPORT
The Committee considered Financial Services Department report FIN-08-073, dated May 26,
2008 regarding a provision in the 2008 Budget for savings arising from future program and
service level reductions in the amount of $220,000.
Mr. D. Chapman advised that for the 2008 Budget, Council agreed to include a provision for
$220,000. in savings arising from future program and service level reductions. He outlined
that the Program and Services Level Reduction Committee, composed of Standing
Committee Chairs and General Managers, was established to identify options to achieve this
total. He stated that to address the 2008 Budget shortfall that Committee is proposing a
$220,000. transfer from the Fire Fleet Capital account. He added that the Committee is also
proposing a permanent budget reduction of $220,000. be funded as of 2009 through:
increased sign shop revenues; a reduction in staffing costs for sports field maintenance; a
reduction in staffing and material costs for the print shop; and, by reducing the funding to the
Fire Fleet Capital account, given that many fire vehicles are purchased from the United States
and exchange rates have improved significantly over the past several years.
In response to questions, Mr. D. Chapman advised that the additional sign shop revenues
would be realized by increasing the overhead recovery rate from 50% to 65%. Ms. P.
Houston added that the sign shop would not be in competition with the private sector as it
would only be offering services to other public sector agencies. Mr. R. Browning confirmed
that a majority of fire vehicles are purchased from the United States, noting that Fire
Department senior staff were consulted during the development of the Committee's
recommendation.
On motion by Councillor G. Lorentz -
it was resolved:
"That the budget shortfall of $220,000. associated with the provision for program and
service level reductions be funded in 2008 through a transfer from the fire fleet capital
account in the amount of $220,000.; and,
That a permanent budget reduction of $220,000., be funded as of 2009 as follows:
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8. FIN-0$-073- PROGRAM & SERVICES LEVEL REDUCTION COMMITTEE REPORT
tCONT'D)
• increase sign shop revenues $10,000;
• reduce staffing costs for sports field maintenance $50,000;
• reduce staffing and material costs for print shop $75,000;
• reduce funding for fire fleet capital account $85,000; and further,
That the Chair of the Finance and Corporate Services Committee be authorized to
reconvene the Program and Service Level Reduction Committee to review potential
program and service level reduction options if they are identified as part of the 2009
budget development process."
9. ADJOURNMENT
On motion, this meeting adjourned at 4:17 p.m.
Colin Goodeve
Committee Administrator