2013 Ontario Building Code (OBC) Administration Budget

Transcription

1 2013 Ontario Building Code (OBC) Administration Budget Building Services is responsible for two primary service areas. These service areas are separate from one another due to their involvement with the administration and enforcement of the Ontario Building Code. The Ontario Building Code (OBC) service area, through the Chief Building Official, is responsible for administering and enforcing the Ontario Building Code. Building Services staff are directly involved in the health and safety of others through the authorization of all public and private building construction and demolition projects within the City of Guelph. This service area is funded solely from revenues generated by building permit fees and is provincially mandated to implement the requirements of the Ontario Building Code. Legislation requires staff to issue permits within mandated time frames, perform mandated inspections and be certified to provincial standards. Various City by-laws, programs and services which are not related to the Ontario Building Code are situated in the 2013 Tax-supported Operating Budget. The following are administered and enforced by Building Services staff Zoning By-law, Property Standards By-law, Yard Maintenance By-law, Standing Water By-law, Poultry By-law, Swimming Pool By-law, Sign By-law, Two-Unit Houses Registration By-law, Committee of Adjustment, Termite Control Program, Backflow Prevention Program and the preparation of Property Information Reports. The OBC budget had been prepared and included in the Tax Supported Operating Budget from 2005 to is the second year that the OBC service area will be presented as an Enterprise Budget, allowing for the budget to clearly demonstrate that the service area is entirely self-funded via building permit fees. >> 2012 OBC Accomplishments Building Services implemented a project that introduced mobile technology in the field. In many cases, inspection results are now being entered in the field. The use of mobile technology for inspection entry in the field allows for immediate access (on-line) to updated information for our customers and for staff. Building Services in partnership with our industry partners have successfully implemented significant Building Code changes related to energy conservation that came into effect January 1, >> 2013 OBC Objectives Building Services in partnership with Information Technology will successfully convert the Corporate AMANDA software program to a web-based platform. This will provide Corporate-wide benefit for all AMANDA users. Building Services is proposing additional staff resources (funded within current approved permit fee levels) to lead and support implementation of major initiatives that will improve on our efficiencies and enhance our customer service delivery. City of Guelph 2013 Proposed Enterprise Funded Budget 60

2 2013 Ontario Building Code (OBC) Administration Budget >> 2012 Performance Measures 1. Issuing Building Permits Permits Issued and 2013 permit volumes reflect a decrease in single detached dwellings and an increase in multiresidential projects. The percentage of permits not issued within the legislated time frames decreased in 2012 and will continue to decrease with the new Plans Examiner added in late City of Guelph 2013 Proposed Enterprise Funded Budget 61

3 2013 Ontario Building Code (OBC) Administration Budget Building Services provides the following public services associated with the administration and enforcement of the Ontario Building Code: pre-permit consultation for all customers process on-line applications accessible front counter for all members of the public plans examination and technical reviews permit issuance within mandated time frames to ensure conformity to the Ontario Building Code on-site Inspections of all new construction and demolition projects, to ensure conformity with approved permit drawings/specifications and the Ontario Building Code Act and regulations. Inspections can be scheduled and reviewed on-line. respond to all technical enquiries as projects proceed provide enforcement and initiate legal proceedings as required 2. Turnaround Times for House Permits In partnership with the Guelph & District Homebuilders Association, a maximum turnaround time of five days for all house permits was established in This service level had been maintained until 2010, however due to the reduction of technical staff in 2010, turnaround times for house permits continued to increase. Since the majority of permits being issued take longer than five days, staff continue to receive complaints from our industry partners. However, Building Services is in the process of hiring an additional Plans Examiner that will reduce turnaround times significantly Actual 2011 Actual 2012 Projected 2013 Forecast 1) Turnaround Times for House Permits Permits Issued Legislated Turnaround Time (days) Average Turnaround Times (days) Permits Issued Within Legislated Turnaround Times 96% 93% 95% 97% City of Guelph 2013 Proposed Enterprise Funded Budget 62

4 2013 Ontario Building Code (OBC) Administration Budget 3. Building Inspections It is projected that in both 2012 and 2013, Building Services staff will conduct approximately 23,500 on-site inspections within the legislated 48 hours. Currently the majority of inspections are performed within 24 hours. Building Services staff believe that this service level is necessary to accommodate the demanding and tight schedules associated with construction projects. 30,000 25,000 20,000 15,000 Building Inspections 10,000 5, City of Guelph 2013 Proposed Enterprise Funded Budget 63

5 2013 Ontario Building Code (OBC) Administration Budget >> 2013 Key Budget Drivers The proposed 2013 OBC Operating Budget reflects the following drivers: Forecasting future building activity and corresponding revenues. Uncertain economic conditions continue to result in a high variability in building permit activity, making it difficult to predict future revenues. The OBC service area is mandated to issue permits and conduct inspections within prescribed time frames. The 2013 OBC Administration Budget proposes additional staff resources to implement major initiatives that will improve on our efficiencies and enhance our customer service delivery. While these additional staff resources are funded solely by permit fees, there is no impact on permit fees; but rather a reduced contribution to the OBC reserve. >> 2013 OBC Administration Budget The proposed 2013 OBC Administration Budget has gross expenditures of $2,836,700, including internal charges and transfers from reserves. The chart below shows the cost by service area: Proposed 2013 OBC Administration Operating Budget (by Service Area) 2012 Approved Budget 2013 OBC Requested Budget Year/Year Change ($) Year/Year Change (%) Revenue Licenses and Permits ($2,400,000) ($2,800,000) ($400,000) 17% Transfer from Reserves ($94,680) ($36,700) $57,980 0% Total Revenue ($2,494,680) ($2,836,700) ($342,020) 14% Expenditures Purchased Goods 30, ,300 92, % Purchased Services 39,400 80,500 41, % Bank Charges 20,000 20, % Internal Charges 2,213,730 2,613, ,170 18% Transfer to Reserves 191,350 0 (191,350) -100% Total Expenditures 2,494,680 2,836, ,020 14% Net Budget $0 $0 $0 0% City of Guelph 2013 Proposed Enterprise Funded Budget 64

6 2013 Ontario Building Code (OBC) Administration Budget As presented, the OBC Administration budget reflects increased recoveries for three new FTE s. Descriptions of these FTEs are available at the end of the OBC Administration section (Tab 5) OBC Administration Budget ($2.8 million) Bank Charges 1% Purchased Services 3% Purchased Goods 4% Internal Charges 92% Significant changes to the 2013 OBC Administration Budget include: Licenses and permits have increased by $400,000 due to higher permit activity experienced through 2012 Internal Charges ($400,170), Purchased Goods ($92,100) and Purchased Services ($41,100) have increased due to the addition of 3 new FTE s. As a result of the three FTE s there will be no contribution to the Building Service Reserve. However, the new positions are funded within current approved permit fee levels. A transfer from reserves ($36,700) is included in the 2013 budget request to off-set one-time costs associated with the hiring of the 3 new FTE s (ie: vehicle acquisitions, advertising). This is within the identified use of the reserve per the Council approved policy and it is projected that in 2014 and 2015 there will be a return to contributing funds to the reserve. 2012/2013 Internal Charges Details Year/Year Change Direct Support Costs from Non-OBC Administration 1,702,830 2,155, ,570 Interdepartmental Service Area Support Costs (e.g. Legal, HR, etc) 510, ,500 (52,400) Total Internal Charges 2,213,730 2,613, ,170 City of Guelph 2013 Proposed Enterprise Funded Budget 65

7 2013 Ontario Building Code (OBC) Administration Budget OBC Administration Multi-year Operating Budget New to the 2013 budget process, is the inclusion of a Multi-year operating budget forecast for all Enterprise Budgets. The forecast shows the anticipated expenditure pressures and corresponding revenue requirements for the proposed budget year (2013) and the subsequent three years as related to OBC Administration Budget. Revenue estimates are based on projected future building permit sales. Alternatively, expenditures have been increased by the following: Compensation costs (which are recognized as an internal charge) for OBC Administration have been increased by 3 per cent. This is in-line with historical year over year changes. All other expenditures have increased by 2 per cent. The summary below is being provided for information only Multi-year Operating Budget 2013 OBC Requested Budget 2014 Proposed Budget 2015 Proposed Budget 2016 Proposed Budget Revenue Licenses and Permits ($2,800,000) ($2,875,000) ($2,950,000) ($3,000,000) Transfer from Reserves ($36,700) $0 $0 $0 Total Revenue ($2,836,700) ($2,875,000) ($2,950,000) ($3,000,000) Expenditures Purchased Goods 122,300 48,900 49,900 50,800 Purchased Services 80,500 57,000 58,100 59,300 Bank Charges 20,000 20,400 20,800 21,200 Internal Charges 2,613,900 2,687,100 2,761,900 2,838,700 Transfer to Reserves 0 61,600 59,300 30,000 Total Expenditures 2,836,700 2,875,000 2,950,000 3,000,000 Net Budget $0 $0 $0 $0 City of Guelph 2013 Proposed Enterprise Funded Budget 66

8 2013 Ontario Building Code (OBC) Administration Budget >> 2013 Capital Budget A recommendation from the Corporate Technology Strategy and Implementation Plan is a review of the utilization and operations of the Corporate AMANDA software. Building Services contribution to this Capital Project (if approved), will be as follows: $9, $31, $31, Ontario Building Code Capital Budget & Forecast - Service Based ( 000s) Project Category Project Cost Reserve Funded IT Strategic Plan Total Capital Budget A detailed set of project listing sheets is available at the end of the OBC Administration section (Tab 5). >> Reserves and Reserve Funds In 2005, the Building Code Act was amended allowing municipalities to set permit fees to cover the cost of the administration and enforcement of the Building Code Act, as well as reasonable contributions to a reserve. The reserve can be used to offset lean years (2008), implement service enhancements (on-line permits and inspections in 2007 and an Operational Review in 2010) and unexpected expenses. The Council approved maximum reserve limit equal to one year of operating costs, was introduced to provide staff with an upper limit to freeze automatic increases and the ability to maintain a healthy reserve. The City of Guelph maintains one reserve that is used to fund OBC s operations and capital works if required. City of Guelph 2013 Proposed Enterprise Funded Budget 67

9 2013 Ontario Building Code (OBC) Administration Budget The chart that follows describes the purpose of the reserve, the forecasted 2012 to 2015 year end balances and the upset limits. Reserve or Reserve Fund Purpose 2013 Forecasted Balance Upset Limit 2013 Forecast Building Services Stabilization Reserve Funds are transferred in from any surplus building permit fee revenues generated as a result of volume. Funds are transferred out, with Council approval, to stablize revenues in lean years or to cover unexpected expenses such as training, legal fees, staffing needs, and associated support costs. 1,344, % of one-year of Operating Costs (not including transfers to reserves) 47% With future expenditures such as mobile technology and the volatile nature of the construction industry, it is projected that the reserve will be at the maximum limit within 7 to 10 years. The graph below shows the inter-relationship between permit fees, operating costs and reserve activities. $3,000,000 $2,500,000 $2,000,000 $1,500,000 $1,000,000 $500,000 Permit Fees, Operating Costs and Reserve Activities $ Projected 2015 Projected 2016 Projected Permit Fees ($) Operating Costs ($) Reserve Balance ($) City of Guelph 2013 Proposed Enterprise Funded Budget 68

10 City of Guelph 2013 Operating Budget FTE Requests OBC Administration Dept Position Name Description Planning & Building, Engineering, Environment OBC OBC Supervisor of Inspections Building Inspector II A permanent full time position, the Supervisor of Inspections will report to the Manager of Inspection Services and will be responsible for the supervision, guidance and direction of all Building Inspectors and related support staff. The Supervisor of Inspections will also be responsible for the implementation of several bold cultural change initiatives, such as a Dormant Permits Program related to permits with outstanding inspections, a Mentoring and Job Shadowing Program, a Training and Development Program for Building Inspectors and an enhanced Legal Proceedings Program. A permanent full time position, the Building Inspector II will work in the Inspection Services area of Building Services. The primary purpose of this position will be to conduct Ontario Building Code inspections. Duties will also include inspections and follow up-up efforts on non-compliance issues such as dormant permits with outstanding inspections. It is proposed that the present Manager of Permit and Zoning Services position be separated into two positions; a) A Manager of Permit Services position, and b) A Manager of Zoning Services position. Business Unit FTE Impact Salaries & Benefits Purchased Goods & Services One-Time Costs Revenue / Reduced Expenditures 2013 Total 2014 Total 2015 Total ,900 16,700 33, , , , ,100 14,400 33, ,300 96,800 98, ,600 12,700 6, , , ,800 OBC Manager of Permit Services The Manager of Permit Services will report to the Chief Building Official and will be responsible for the management, supervision, guidance, and direction of all Permit Services Staff. This person will be responsible for the issuance of all Building Permits in the City of Guelph, as well as monitoring the quality of permit review and the provincially mandated building permit turnaround times. The Manager of Zoning Services will report to the Chief Building Official and will be responsible for the management, supervision, guidance, and direction of all Zoning Services Staff. This person will be responsible for the administration and enforcement of the Zoning By-law and related municipal by-laws. Total FTE Requests- OBC Administration 3 351,600 43,800 74, , , ,400

11 Qualitative Information Form Budget Column (click blue to select): FTE Position Title/Service Description: Department & Division: Business Unit # and Name: Department Priority Ranking: Summary: Growth Supervisor of Inspections Plannning, Building, Engineering and Environment Building Services NON-OBC ADMINISTRATION & OBC ADMINISTRATION A permanent full time position, the Supervisor of Inspections will report to the Manager of Inspection Services and will be responsible for the supervision, guidance and direction of all Building Inspectors and related support staff. The Supervisor of Inspections will also be responsible for the implementation of several bold cultural change initiatives, such as a Dormant Permits Program related to permits with outstanding inspections, a Mentoring and Job Shadowing Program, a Training and Development Program for Building Inspectors and an enhanced Legal Proceedings Program. Link to Council Goals: 6. Service Excellence- To achieve excellence in our service delivery approaches and practices Choose an item. Background & Context: This position is being proposed in response to the needs outlined below. 1. Healthier Management to Staff Ratio During the 16 year period from 1995 to 2011, non-management staff levels have increased by more than 60% (18 to 29) and yet there has been no increase in the number of supervisory/management staff (3) over the same 16 years. During this period there was an 83% increase in the number of building permits issued in the City of Guelph. Correspondingly, the number of building inspections has doubled. Also, during the 15 year period from 1996 to 2011 there was a 210% increase in the number of Property Standards and Yard Maintenance By-law complaints. According to an Operational Review conducted in 2010 by BMA Management Consulting Inc. the Inspections Services section, which includes property standards, is headed by a Manager position with no supervisory support. The management to staff ratio in this Building Services business unit is 1:16, which makes it very difficult to properly assess employee performance, develop policies and procedures, properly oversee staff in the field, implement new technologies and undertake special projects. Additionally, the administration and enforcement of the Property Standards by-law can be quite complex which takes time away from the core service of the manager to oversee building inspections. Also there is a need to provide mentoring and succession planning capabilities. 1 1 BMA Consulting Inc., Building Services Operational Review (2009), p Page 1 of 6

12 Qualitative Information Form This proposed position will reduce the average management to staff ratio to a more manageable 1:8 in the Inspection Services business unit. This is a ratio consistent with the overall management to staff ratio in comparator municipalities New Bold Cultural Change Initiatives The programs indicated below along with other initiatives and enhancements that have recently been developed are derived from the Building Permit and Inspections Services Operational Review. a) Implementation of a Dormant Permits Program Since 1974, the Ontario Building Code has stated that the person to whom a building permit is issued is responsible to request inspections. Historically, when this has failed to occur, Property Information Reports would bring this information to the attention of the purchaser and vendor of a property. However, since the advent of title insurance, requests for Property Information Reports have plummeted from 6,184 3 in 1998 to 366 in 2011, thereby virtually eliminating this means of informing property owners of active building permits. Over the years, Building Services staff have had variable success closing permits. Dormant Permits are addressed when time permits. A backlog of dormant permits with outstanding inspections results in a liability risk to the City and potential hazards to public safety. When a municipality is aware that a permit is issued for a property there is an inherent associated liability risk. There is an estimated backlog of more than 6,645 unclosed dormant permits. It is anticipated that this will require approximately 10 person years of work. 3 Due to this sizable backlog it is anticipated that once the Dormant Permits Program is fully on stream, additional resources will be required. The Supervisor of Inspections will be the lead on implementation of a Dormant Permits Program with Inspection Services staff. b) Implementation of a Mentoring and Job Shadowing Program The Supervisor of Inspection Services will be the lead for the implementation of a Mentoring Program for Building Inspectors which will include Job Shadowing for Plans Examination staff. The Job Shadowing Program is also intended to help newer staff gain an understanding of processes and develop required skills. Individual plans will be developed for employees using SMART objectives (Specific, Measureable, Attainable, Relevant, and Timely). c) Implementation of a Training and Development Program The Supervisor of Inspections will be the lead for the implementation of a Training and Development Program for Building Inspectors. In a recently released portion of the Training and Development Program for technical staff involved in the enforcement of the Building Code, each technical staff member will be required to select two secondary areas of specialization and will be required to take in depth training in these areas. This will provide enhanced technical expertise within Building Services in key areas related to the Ontario Building Code. This will enable us to better serve our customers and enhance the protection of public safety as it relates to the construction of buildings within the City of Guelph. 2 Management to Staff Ratio Municipal Comparisons (Source: 2011 LMCBO Survey), see Appendix A 3 Adrian van Eck, August 1, 2012 (City of Guelph, Building Services), Statistical Estimates Related to New Staffing Requests in Building Services (Sources: AMANDA software and custom statistical reports provided by Information Services) Page 2 of 6

13 Qualitative Information Form d) Implementation of an enhanced Legal Proceedings Program In addition to the above mentioned duties, the Supervisor of Inspections will also be the lead for the implementation of an enhanced Legal Proceedings Program which is critical to the success of all Building Services enforcement responsibilities. Presently there are no point persons dedicated to managing this responsibility. Due to the complexities of the prosecution process and court systems, a specialist in this area will be a valuable addition to the Building Services team. This position would be responsible to review existing policies & procedures, implement changes to create a more effective program and stay current with regulatory changes. 3. Range of Duties Performed The Manager of Inspection Services also oversees the enforcement of the Property Standards and Yard Maintenance By-laws. This range of duties is not included for similar positions in the City of Cambridge, the City of Waterloo and the City of Kitchener based on a 2011 LMCBO Survey conducted of municipalities. 4 Guelph s present Inspection Services Management to staff ratio is 1:16. 5 According to the Operational Review conducted in 2010 by BMA Management Consulting Inc. on Building Services, the Manager of Inspection Services spends a great deal of time addressing the enforcement of property standards (estimated to be as high as 60% of the time). While there are only three staff dedicated to property standards, this activity consistently generates a significant amount of work, follow up and community involvement. With so much time dedicated to property standards, the Manager has limited time available to oversee the building inspection functions and assess the quality of work and inspection standards. 6 The addition of the Supervisor of Inspection Services position will help to address these challenges faced by the Manager of Inspection Services. 4 Significant Increases in the Volume of Work There has been a significant growth in work volume for Building Services. See the follow comparative data from 1995 and 2011; 1995 Statistics # of Building Permits = 1,262 # of Building Inspections = 10,096 7 (estimated) # of Property Standards and Yard Maintenance Complaints = unknown (our complaint records in 1995 combined Property Standards and Yard Maintenance By-law Complaints with Zoning By-law complaints). However, our records indicate that in 1996 we received 326 Property Standards and Yard Maintenance Complaints. # of non-management staff = 18 # of supervisory/management staff = Statistics # of Building Permits = 2, LMCBO Survey, p. 2 5 Management to Staff Ratio Municipal Comparisons (Source: 2011 LMCBO Survey) See Appendix A 6 BMA Consulting Inc., Building Services Operational Review (2009), p Building Services Annual Report, p Building Services Annual Report, p 5 Page 3 of 6

14 Qualitative Information Form # of Building Inspections = 22,702 9 # of Property Standards and Yard Maintenance Complaints = 1, # of non-management staff = 29 # of supervisory/management Staff = 3 Qualitative Benefits: The Building Services management team believe that this new position is required: 1. To properly assess Building Inspector performance, develop policies and procedures, properly oversee staff in the field, implement new technologies and undertake special projects. 2. To commence implementation of a program to reduce the backlog of dormant permits with outstanding inspections, thereby reducing the liability risk to the municipality and potential hazards to public safety. 3. To commence implementation of a Mentoring and Job Shadowing Program for Building Inspectors. 4. To commence implementation of a program and provide guidance & direction to Building Inspectors in the area of training and development. 5. To commence implementation of an enhanced Legal Proceedings program, which will result in more positive results when laying charges and initiating court proceedings. 6. To allow the Manager of Inspection Services more time to work on strategic initiatives, bold cultural changes and management related duties. Quantitative Benefit Assumptions: This position will be funded accordingly ($166,400 initially in 2013) entirely through Building Permit fees. Risks: 1. The ability for the Manager of Inspection Services to properly assess employee performance, develop policies and procedures, provide staff oversight in the field, implement new technologies and the ability to undertake special projects will continue to be very limited. 2. The new Bold Cultural Change initiatives described above will not be implemented. 3. Additional stress will continue for the Manager of Inspection Services due to an excessive workload and associated responsibilities. 9 AMANDA Building Services Software, Quick and Simple Report # Data derived from AMANDA (Building Services Software) Page 4 of 6

15 Qualitative Information Form Alternatives: Status Quo Page 5 of 6

16 Appendix - A Management to Staff Ratio Municipal Comparisons Source: 2011 Large Municipalities Chief Building Officials Survey Municipality Total Staff Management Management to Staff Ratio Ajax Barrie Brantford Burlington Cambridge Kingston Kitchener London Oakville St. Catherines Waterloo Whitby Average Guelph 2011 Ratio * 10 Guelph Ratio proposed for 2013 budget Guelph 1995 Ratio * 6.0 * 3 Management staff since 1995 Note: The format of the municipal management to staff table above is based on the one contained on page 50 in the Building Services Operational Review completed by BMA Consulting Inc. Page 6 of 6

17 Qualitative Information Form 1 Budget Column (click blue to select): FTE Position Title/Service Description: Department & Division: Business Unit # and Name: Department Priority Ranking: Summary: Building Inspector II Growth Plannning, Building, Engineering and Environment Building Services NON-OBC ADMINISTRATION & OBC ADMINISTRATION A permanent full time position, the Building Inspector II will work in the Inspection Services area of Building Services. The primary purpose of this position will be to conduct Ontario Building Code inspections. Duties will also include inspections and follow up-up efforts on non-compliance issues such as dormant permits with outstanding inspections. Link to Council Goals: 6. Service Excellence- To achieve excellence in our service delivery approaches and practices Choose an item. Background & Context: This position is being proposed to address the following changes; 1. Additional Mandatory Inspections Due to changes to the Ontario Building Code that came into effect in January 2012, two additional mandatory building inspections are required to be conducted by Inspection Services staff. Air barrier/building envelope inspections for all residential, industrial, commercial, and institutional buildings AND occupancy inspections/permits for all single, semi, duplex and non-stacked townhouse units are now mandatory. It is estimated that these changes will result in an additional 1,513 required inspections per year to be completed by Building Inspectors. 2. Shared Rental Housing Program In the area of the Shared Rental Housing Program, the City is moving from reacting to complaints to proactive enforcement by Zoning Services staff. It is hoped that this action will increase the livability of neighbourhoods. This approach has significantly increased staff time and effort for Inspection Services staff. Due to the need to investigate work carried out without a building permit, it is estimated that these changes will result in an additional 400 inspections per year to be completed by Building Inspectors. Note: All estimates indicated in this Qualitative Information Form are from Statistical Estimates Related to New Staffing Requests in Building Services, a report completed by Adrian van Eck of Building Services. Supporting data was from AMANDA software and custom statistical reports provided by Information Services Page 1 of 3

18 3. Dormant Permits Program Qualitative Information Form Building Services aims to reduce the backlog of dormant permits with outstanding inspections to mitigate liability risk to the City and protect the interests of public safety. There is an estimated backlog of 6,645 unclosed dormant permits. Due to this sizable backlog, it is anticipated that once the Dormant Permits Program is fully on stream, additional resources will be required. 4. Reduction in Staffing Resources The effects of changes in existing staffing resources include: a) The impact of implementation of a Mentoring and Job Shadowing Program that is scheduled for implementation in the Fall 2012/Winter b) The impact of changes to the Collective Agreement (3 personal days each) for each Building Inspection staff effective in c) The impact of increases in vacation allocations (175 hours) to existing Building Inspection staff effective July 1, Qualitative Benefits: The Building Services management team believe that this new position is required: 1. To complete the new legislated mandatory air barrier/building envelope and residential occupancy inspections/permits under the Ontario Building Code. 2. To support the proactive enforcement of the Shared Rental Housing Program endorsed by City Council. 3. To commence initial implementation of a program to reduce the backlog of dormant permits with outstanding inspections. 4. To address changes in available existing building inspection staff resources (reduction in person hours). Quantitative Benefit Assumptions: The changes described above will require additional staff time to meet the additional building inspection workloads as indicated below; 1. Additional Mandatory Inspections It is estimated that these changes will result in an additional 1,513 inspections per year to be completed by Building Inspectors, which will require 87 additional person days per year. 2. Pro-Active Shared Rental Housing Enforcement It is estimated that these changes will result in an additional 400 inspections per year to be completed by Building Inspectors, which will require 55 additional person days per year. 3. Dormant Permits Program It is estimated that this program will require approximately 10 person years of dedicated work to complete. Page 2 of 3

19 Qualitative Information Form 4. Reduction of Staffing Resources It is estimated that these changes will eliminate 69 person days per year. Conclusions: 1. The total additional increases in work load = 211 working days per year. 2. Initial implementation of the Dormant Permits Program would form the remaining 10% of the workload for this position. Note: Total estimated working days for a full time employee = 231 working days per year. Funding: This position will be funded ($143,300 initially in 2013) entirely through Building Permit fees. Risks: 1. The provincially mandated Inspection Services response times will be compromised. 2. Full implementation of the pro-active zoning enforcement related to shared rental housing will not be possible. 3. Dormant permits with outstanding inspections will continue to present a liability risk to the City and a risk to public safety. Alternatives: Status Quo Page 3 of 3

20 Qualitative Information Form Budget Column (click blue to select): FTE Position Title/Service Description: Department & Division: Business Unit # and Name: Department Priority Ranking: Summary: Growth Separate the Manager of Permits and Zoning position into two positions: 1. Manager of Permit Services & 2. Manager of Zoning Services Plannning, Building, Engineering and Environment Building Services NON-OBC ADMINISTRATION & OBC ADMINISTRATION It is proposed that the present Manager of Permit and Zoning Services position be separated into two positions; a) A Manager of Permit Services position, and b) A Manager of Zoning Services position. The Manager of Permit Services will report to the Chief Building Official and will be responsible for the management, supervision, guidance, and direction of all Permit Services Staff. This person will be responsible for the issuance of all Building Permits in the City of Guelph, as well as monitoring the quality of permit review and the provincially mandated building permit turnaround times. The Manager of Zoning Services will report to the Chief Building Official and will be responsible for the management, supervision, guidance, and direction of all Zoning Services Staff. This person will be responsible for the administration and enforcement of the Zoning By-law and related municipal by-laws. Link to Council Goals: 6. Service Excellence- To achieve excellence in our service delivery approaches and practices Choose an item. Background & Context: The seperation of the Manager of Permit and Zoning Services position is being proposed in response to the needs outlined below. 1. Significant Growth in Volume of Work There has been significant growth in work volume for Permit and Zoning Services staff. Comparative data from 1995 and 2011 indicate, a 83% increase in building permits and a 22% increase in zoning complaints over this period with no related increase in the number of management staff. In addition the scope of Zoning Services responsibilities has also significantly increased. Page 1 of 5

21 Qualitative Information Form 1995 Statistics # of Building Permits = 1,262 1 # of Zoning Complaints = Statistics # of Building Permits = 2,312 3 # of Zoning Complaints = Range of Duties a) General The Manager of Permit and Zoning Services oversees Zoning By-law administration and enforcement. This range of duties is not included for similar positions in the City of Cambridge, the City of Waterloo and the City of Kitchener based on a 2011 LMCBO Survey conducted of municipalities. 5 b) Permit and Zoning Services added duties since 1995 The following are examples of some of the additional duties that have been added to Permit and Zoning Services since 1995: Permit Services a. Enhancements to Service Provided to Downtown Businesses and Property Owners A Plans Examiner in Permit Services and a Building Inspector in Inspection Services have been assigned to assist downtown businesses and property owners including pre-permit consultation. b. Changes to the Ontario Building Code since years has seen a significant amount of complex administrative and technical changes to the Ontario Building Code that have increased the work load, level of expertise and judgment required by Plans Examination Staff including the following: Barrier-free design requirements to ensure that buildings and facilities can be approached, entered and used by persons with disabilities Mandatory qualifications/registration for designers that must be confirmed prior to permit issuance Mandatory qualifications for all technical staff to perform their designated duties Energy Conservation requirements that allow multiple variations to obtain compliance Water Conservation requirements that are very stringent Alternative Solutions to requirements in the Ontario Building Code which promotes innovation Ontario Building Code has been continually transforming from a prescriptive Building Services Annual Report, p. 4 2 Data derived from AMANDA (Building Services Software) Building Services Annual Report, p. 5 4 Data derived from AMANDA (Building Services Software) LMCBO Survey, p. 2 Page 2 of 5

22 Qualitative Information Form based code to an objective based code Enhanced Fire Protection requirements to increase life safety Zoning Services a. Review and comment on Committee of Adjustment applications by Zoning Services and follow up inspections as required. b. Enhancements to Training Requirements for Zoning Services staff - new requirement for Zoning Inspectors to take Building Code courses c. Lodging House Certification Process - now contained within Zoning Services (formally a license application) d. Shared Rental Housing Program active team members and involved in policy formulation proactive inspections now taking place as directed by City Council e. Telecommunication Towers - Zoning process created for the review and issuance of permits f. Accessory Apartment Registration Program administered by Zoning Services g. Zoning Administrative Amendments - now being managed by Zoning Services (used to be Planning) h. Development of a Rental Housing Licensing Program - Zoning Services actively involved and may end up being lead i. Building Property Information Reports prepared by Zoning Services Clerk j. Sign By-law enhancements initiated by Zoning Services 3. Performance Measurements Results In 2011, approximately 21% of building permits issued exceeded the provincially mandated turnaround times. 6 The Manager of Permit Services will be tasked with the responsibility of reducing this to near zero. In 2011, approximately 45% of zoning complaints exceeded our customer service standard of response in 5 days or less. 7 One of the responsibilities of the Manager of Zoning Services will be to significantly improve performance in this area. This may require additional staff resources in subsequent years. 4. Operational Report Recommendations According to an Operational Review conducted by BMA Management Consulting Inc. on Building Services, there is no second in command in the Permit and Zoning business units. With too few managers/supervisors, there is a risk that those managers/supervisors will not be able to efficiently and effectively manage the employees, keep pace with written performance evaluations, effectively schedule workloads and oversee work that is undertaken from a quality of service perspective and plan for the future through the development of strategic processes Bold Cultural Change Initiatives The following new Bold Cultural Change initiatives would be the responsibility of the Manager of Inspection Services and Manager of Zoning Services: Building Services Annual Report, p. 5, 21, and Building Services Annual Report, p BMA Consulting Inc., Building Services Operational Review (2009) p. 48 and 50 Page 3 of 5

23 Qualitative Information Form a) Implementation of a Mentoring and Job Shadowing Program These positions would lead the implementation of the Mentoring and Job Shadowing Program for their respective staff. The Mentoring and Job Shadowing Program is intended to help newer staff gain an understanding of processes and develop skills. Individual plans will be developed for employees using SMART objectives (Specific, Measureable, Attainable, Relevant, and Timely). b) Implementation of a Training and Development Program c) The Managers will be responsible for the implementation of the Training and Development Program for their respective staff. A recently released portion of the Training and Development Program for technical staff involved in the Building Code is a program of secondary specialization that would involve Plans Examiners. Each technical staff member will select two secondary areas of specialization and will be required to develop their knowledge in these areas. This will allow for enhanced expertise within Building Services. The Manager of Zoning Services would be responsible to implement a similar initiative for Zoning Services staff. 6. Non-Compliant Permit Applications Some building permit applications cannot be issued for a number of reasons including zoning issues, nonpayment of fees, insufficient information, et cetera. The approach with these permits historically has been ad hoc. However with changes effective in the Ontario Building Code in 2005 there are requirements to send refusal letters to the applicants indicating all of the reasons. It is intended that with the separation of the Manager of Permit and Zoning Services position, the Manager of Permit Services will have time to work with the Technical Services Specialist on the development of a Standard Operating Procedure for handling of noncompliant permit applications. Qualitative Benefits: The Building Services management team believe that an additional management position is required: 1. To address large increases in the volume of work due to the amount of building permits, numbers of zoning complaints, and the increase in the range of duties associated with Permit Services and Zoning Services. 2. To improve performance measurements in the area of provincially mandated permit turnaround times and response times to zoning complaints. 3. To provide leadership with the development, administration, and oversight in the enforcement of the Shared Rental Housing Program. 4. To provide leadership for the proposed Bold Cultural Change initiatives such as the Mentoring and Job Shadowing Program as well as the Training and Development Program for their respective staff. 5. To develop and implement a Standard Operating Procedure for Non-Compliant Permit Applications. Page 4 of 5

24 Qualitative Information Form 6. To allow the Manager of Permit Services and the Manager of Zoning Services more time to work on strategic initiatives, bold cultural changes and management related duties. Quantitative Benefit Assumptions: This position will be funded ($160,100 initially in 2013) entirely through Building Permit fees. Risks: 1. The ability to efficiently and effectively manage their employees, keep pace with written performance evaluations, effectively schedule workloads and oversee work that is undertaken from a quality of service perspective and plan for the future through the development of strategic processes will continue to be very limited. 2. Failure to meet permit turnaround times will continue to be a risk (the Manager of Permit Services reviews and signs majority of building permits). 3. Failure to meet response times to zoning related complaints will continue to be a risk. 4. The new Bold Cultural Change initiatives described above will not be implemented 5. Additional stress will continue for the Manager of Permit and Zoning Services due to an excessive workload and associated responsibilities. Alternatives: N/A Page 5 of 5

25 CITY OF GUELPH 2013 TAX SUPPORTED CAPITAL BUDGET 2014 TO 2022 TAX SUPPORTED CAPITAL FORECAST OBC OBC Administration Gross Project Cost $(000's) Project Number & Description IT0029 IT STRATEGIC PLAN - BUILDING Total OBC Administration Total OBC Next 5 Years Total Project Cost Grants & Subsidies Federal Sources of External Financing Gas Tax Other DC's DC Debt Net Cost to City Equipment Replacement City Reserves Debt