CITY OF COLWOOD MINUTES OF COMMITTEE OF THE WHOLE MEETING Monday, February 19, 2018 at 6:00 pm 3300 Wishart Road Colwood BC Council Chambers

Transcription

1 CITY OF COLWOOD MINUTES OF COMMITTEE OF THE WHOLE MEETING Monday, February 19, 2018 at 6:00 pm 3300 Wishart Road Colwood BC Council Chambers FILE: COM DATE: Monday, February 19, 2018 To Committee for Adoption: Tuesday, February 27, 2018 To Council for Receipt: Monday, March 12, 2018 PRESENT Chair Mayor Councillors Chief Administrative Officer Director of Finance Manager of Public Works Administrative Assistant II (Recorder) Gordie Logan Carol Hamilton Cynthia Day Jason Nault Lilja Chong Terry Trace Rob Martin Ian Howat Christopher Paine Ross Myles Amanda Irving REGRETS 1. APPROVAL OF AGENDA MOVED BY: COUNCILLOR MARTIN That the agenda for the Committee of the Whole Meeting of February 19, 2018 be approved as presented. CARRIED. 2. ADOPTION OF THE MINUTES MOVED BY: COUNCILLOR NAULT That the following minutes be adopted as presented: 2.1 Committee of the Whole February 5, 2018 CARRIED.

2 Minutes of Committee of the Whole Meeting Monday February 19, 2018 Page 2 3. PUBLIC PARTICIPATION Owner/Occupant of Mary Anne Crescent requested that Committee consider releasing the meeting agendas on the Wednesday prior to the meeting to allow people more time to read through the information, give feedback and receive clarification if needed. If errors are found this would allow staff to fix them prior to the meeting. 4. OLD BUSINESS There was no old business scheduled for discussion. 5. NEW BUSINESS GRANT IN AID APPLICATIONS 5.1 Presentation Budget Process Overview Christopher Paine, Director of Finance Director of Finance, Christopher Paine, apologized for any errors in the agenda and directed the public and Committee to the revised operating budgets that were printed and distributed at the meeting with the agenda. Mr. Paine gave a recap of the budget process and items that have been undertaken so far as well as the steps that remain in the process. Mr. Paine made note of budget meeting date changes and that the Engineering operating budget discussions will be deferred to the February 27, 2018 Committee of the Whole meeting along with the capital budget discussions. At the March 5, 2018 Committee of the Whole meeting the budget will be looked at as a whole, receiving a preview to the Financial Plan Bylaw and notional approval from the Committee as a recommendation to Council. Mr. Paine reviewed some of the budget increases that we will see such as labour increases, fire dispatch services and election costs. These pressures will be mitigated through some core savings and revenues. Overall the financial plan is recommending at 1.3% tax increase. Core budget increases are approximately $174,000 not including new operating items that are due to community growth. It is recommended that these core budget items be funded by taxes. New construction revenue of $495,000 is anticipated. Staff is recommending that $265,000 be used for new operating budget items and the remaining amount to increase our sustainable infrastructure replacement reserve. There is approximately $1.1 million dollars recommended in special projects to be funded by surplus and $2.5 million for capital projects to be funded out of reserves. With that there will be a $100,000 increase to our reserves. There have been some substantive changes to the financial plan and version 3 will be posted on the website along with the February 27, 2018 meeting agenda. Some of the additions are Meadow Park electrical upgrades, rock face monitoring and Latoria Creek stairway which are funded by reserves and will not impact the overall tax increase being proposed. There will also be additional vehicle and equipment replacement added which will be funded through the equipment replacement fund.

3 Minutes of Committee of the Whole Meeting Monday February 19, 2018 Page 3 Councillor Martin asked how much was budgeted for election costs and if the province helps with these costs. Mr. Paine indicated that approximately $27,000 is budgeted for election costs and that he is not aware of any funding from the province. Councillor Martin asked for clarification with regards to the transfer to reserves, will it be $100,000 or will it increase by $100,000 from last year. Mr. Paine indicated that the transfer to reserves will be $100,000 more than transferred from last year s budget. Councillor Nault asked, if new construction revenue is reduced after a revised assessment would we be reducing the amount transferred to infrastructure deficit reserves. Mr. Paine indicated that would be one of the options recommended to Council. 5.2 Presentation Greater Victoria Public Library Maureen Sawa, Chief Executive Officer Paul McKinnon, Director of Finance and Facilities Deborah Begoray, Vice-Chair Greater Victoria Public Library Board Deborah Begoray, Vice Chair of the Greater Victoria Public Library, introduced the library members present: Maureen Sawa, Chief Executive Officer; Paul McKinnon, Director of Finance and Facilities; Jennifer Windecker, Director of Public Service and Andrea Brimmell, West Shore District Coordinator. Ms. Begoray recognized Councillor Rob Martin for representing Colwood on the Library Board. Ms. Begory indicated that the final budget package has been received by Committee for 2018 and thanked council for continued support. Ms. Begory invited Maureen Sawa, Chief Executive Officer, to continue the presentation. Ms. Sawa indicated that in 2017 they embarked on the second year of a five year strategic plan to provide community-inspired library service along with a business plan to measure progress as they move forward to fulfill their mission to build community and support literacy and lifelong learning by providing free access to information, space, tools and expertise. GVPL has more than 100 partnerships and outreach activities and continues to have the highest per capita circulation numbers in Canada. A 12th branch will open in James Bay in the spring of this year. This new location will feature materials available for library users everywhere to borrow. In 2017 there were two pop-up libraries in Colwood reaching 350 people at the Colwood Eats and Beats in July and the Colwood Seaside Festival in September. GVPL s Seed Library hosted a Seed Library Member Orientation in Colwood, and offered a Seed Swap as well as a Beginner Seed Saving workshop. GVPL launched virtual branch in August 2017 featuring a new learning platform, streaming music collection and a convenient library card application tool. Last year, the Juan de Fuca branch, provided: 17 public computers, access to high speed wifi and 42 one-on-one computer assistance sessions 8106 children participated in GVPL s Summer Reading Club 315 Colwood students came on class visits to GVPL GVPL staff reached 1283 children at their schools in Colwood

4 Minutes of Committee of the Whole Meeting Monday February 19, 2018 Page 4 Three main budget drivers are salaries and benefits, building occupancy costs and continued revenue decrease. Fine revenue has dropped off dramatically due to improved communication to patrons and e- materials that do not incur fines. The GVPL has realigned space, staff and resources to meet changing user needs while improving services and resources without impacting customers In preparing the 2017 budget, staff have refined the operating budget through line-by-line reviews, identifying efficiencies and new revenue opportunities, requesting a 2.90 % budget increase. This is a 1.40% increase from last year, cost per capita increase of $0.61. Owner/Occupant of Mary Anne Crescent asked if information is available for the cost of a median valued house in Colwood. Paul McKinnon, Director of Finance and Facilities, indicate that he did not have the information at this time. Owner/Occupant of Mary Anne Crescent suggested that to increase public input that the GVPL Board meet in the evening and rotate the location throughout the municipalities that they are involved. Maureen Sawa, Chief Executive Officer, indicated that they have looked at rotating locations and that evening meetings are a challenge with 10 councillor reps, coordinating around council meetings, but is something that they will take back to the board for consideration. Chris Paine, Director of Finance, noted that the tax payer impact of the budget increase is less than $2 for the average single family home. Councillor Day indicated that she understands that all the library branches participated in Rick Hansen Accessibility Audit and wonders if any upgrades are indicated in the capital expenses or if there is a plan to move forward with improvements at any of the branches as a result of the accessibility audits. Mr. McKinnon indicated that they are still waiting for the cumulated results from the study. The GVPL has funds available in reserves in which case there are recommendations made that they feel would be prudent. Councillor Day provided feedback from the Intermunicipal Advisory Committee on Disability Issues (IACDI). Ms. Day expressed IACDI s concerns about access at all three libraries on the Westshore including access to transit at the Heritage Library Branch in Langford. Ms. Day asked that the GVPL include IACDI in any audits or priority rating. Ms. Day also noted that she would like to see disabilities represented in future presentation as libraries are a very important resource for seniors and people with disabilities. Ms. Sawa thanked Councillor Day for her comments and suggestions. 5.3 Presentation West Shore Parks and Recreation Society Sandy Clarke, Acting Administrator Grant Brown, Manager of Finance Memo West Shore Parks and Recreation Society 2018 Budget Christopher Paine, Director of Finance Sandy Clarke, Acting Administrator provided background with regards to a draft budget that was sent out to member Councils in November 2017 with a 4.15% increase in requisitions. In December 2017 a member meeting was held in which a motion was passed by all members of the Society to hold the

5 Minutes of Committee of the Whole Meeting Monday February 19, 2018 Page 5 requisition dollars at a zero increase for With a zero increase since 2016 and the withdrawal of the Electoral District, the result is a total budget shortfall of $227,851 for This shortfall, as stated in the motion, would be funded through reserves. The reserve transfer will only occur if needed. The reserve fund is projected to be $2,141,419 at the end of 2017 and is maintained and owned by the Society. Grant Brown, Manager Finance, provided an overview of the 2018 expenses. Mr. Brown indicated that here is a small increase of 0.3% which includes wage, utility and major repair and maintenance increases. The total revenue has dropped 1.8% versus the 2017 budget and has been offset by a reduction in expenditures. To help offset the reduced revenue changes were made to operations for a reduction of $95,000. This included positions being combined, reductions in daytime maintenance staffing, parks seasonal work, staff training, legal and school district lease payments. No full time positions were effected and major repairs and maintenance will be maintained at the highest level. Mr. Brown indicated that there is a 25 year lifecycle plan for the facilities and a snap shot of the five year plan was provided in the budget package. There are annual shutdowns scheduled for all of spaces to ensure that preventative maintenance is done. Mr. Brown presented some regional and west shore comparatives that were taken to the board. Owner/Occupant of Mary Anne Crescent asked if there is a contingency funding plan in place if a municipality decides to withdraw from the WSPR Society. Mr. Paine indicated that the City s budget recommends an increase to the funding envelope of 2.6% for recreation despite the fact that the WSPR has brought forward a budget that keeps requisitions flat. Owner/Occupant of Mary Anne Crescent asked if the 2.5% funding over-collected would stay in a reserve fund or with the WSPR? Mr. Paine indicated that if taxes collected are more than the requisition, without the specific direction from Council, it would go into the city surplus. Mr. Paine s recommendation to Council would be that the difference be set aside as a reserve for the purpose in which it was collected. Owner/Occupant of Mary Anne Crescent commented that it would be sending mixed messages if we are over collecting and doesn t show confidence in what the board has decided. He asked why we have two different approaches that seem to be at odds with one another. Councillor Logan believes that there is a political reality in terms of holding the budget at a zero increase but the city realizes that there may be a future increase and wants to insulate the tax payer. Councillor Nault addressed a 2017/2018 budget summary document and expressed concern over the significant increase between the 2016 actual and 2018 budget for Admin and HR. Mr. Brown explained that the 2016 amount is based on actual expenses and they were under spent on legal costs, staff training and filling the HR manager position at part time instead of full time. Councillor Nault pointed out that the total maintenance budget in 2016 was $3.9 million compared to $4.5 million budget for Mr. Brown indicated that the 2016 amounts are actual and that the amount is less as certain budgeted items were not undertaken. Councillor Day commented that one of the projects that was in the five year capital plan was to fix the floor in the old arena and that much of the reserve fund being directed towards that is now being used to balance the budget. Ms. Day asked what the plan is for the arena floor if the reserves are being used

6 Minutes of Committee of the Whole Meeting Monday February 19, 2018 Page 6 to settle the budget. Ms. Clarke indicated that they would not be choosing to use the reserve, they have received political direction to hold the requisitions, at this point it is the only option put forward and has been approved by four other councils. Councillor Day indicated that fixing the arena floor was planned for 3 years ago and questioned why this wasn t done. Ms. Clarke advised that it was before her time but understands that it did not need immediate attention and are prepared to do it if and when required. Councillor Day expressed her concern over any area not being upgraded or maintained properly and that capital improvements have not been done in the last 3 years. Ms. Clarke recognized Ms. Day s concerns. Councillor Martin asked that since the 2017 budget never passed and reverted back to the 2016 budget would the 2017 budget be the same as the 2016 budget? Ms. Clarke advised that the only thing that reverts back are the requisitions as the expenses and revenues can t be changed year to year so they leave those in place. If the requisitions are not received then a shortfall is created. Councillor Logan clarified that the requisitions might stay the same and the line items may fluctuate. Councillor Nault asked if reducing services has been considered instead of taking money from the reserves. Ms. Clarke indicated that they haven t been asked to do that at this point from the other members. 5.4 Presentation Department Core Operating Budgets Christopher Paine, Director of Finance Christopher Paine, Director of Finance, directed the Committee and public to the updated handout that had been printed with the agenda. Public Works Mr. Paine indicated that the public works department is a good example of the benefit of switching from an object based budget to a service based budget. The budget is presented to the public in a more intuitive way. Overall the financial plan recommends a decrease of 1.6%, not as a result of a service decrease. The public works department has a work plan but the department needs to remain flexible due to snow events, etc. In subsequent budgets a reallocation of labour, training, administration, first aid, human resources and other resources will be shown for Recommended increases in solid waste and branch drop is due to reallocated overtime costs to run the program. Snow clearing came in under budget last year but an increase is recommended as this service is difficult to predict. Mr. Paine provided an overview of the variance between the 2017 actual versus the 2017 budgeted amounts and the need for the 2018 budgeted amount. Third party work performed for Fortis by the public works department was explained. Some public works accomplishments in 2017 were that over 200 yard of branch drop-off material was recycled into re-usable mulch for the City, 95km of line painted was conducted on City roads and three speed reader boards were installed. Looking forward to 2018 there is planned crack sealing for 22kms of road and achieving sustainable infrastructure funding for general fleet replacement.

7 Minutes of Committee of the Whole Meeting Monday February 19, 2018 Page 7 Councillor Nault asked if the 95 kms of line painting is an annual expense. Ross Myles, Manager of Public Works, indicated that is dependent on amount of snow fighting in the year. Last year due to the amount of snow fighting all the lines needed to be painted. Councillor Nault indicated that he has received comments from the public that they would like to see a more reflective paint on the lines. Mr. Myles advised that he would have to investigate that. He indicated the paint does meet a standard and that they use a glass bead paint but that the paint had to be changed due to environmental concerns. Councillor Martin questioned the road maintenance being offset by revenue from third party work such as Fortis. It is confusing as we don t see the real net costs and the revenue amount. Mr. Paine explained the different between revenue and recovery. It is not deemed to be an expense to the City as it is paid directly by Fortis. We are unable to predict work from third parties and we don t want to be reliant on this funding. Councillor Martin indicated that he unable to make a decision on the budget amount if he isn t able to determine what our costs are compared to cost recovery. Councillor Martin noted 60% of the drainage budget was not spent and asked if it is being suggested that the amount budgeted is a historical number based on past budgets. Mr. Paine indicate that this is the case and that due to this year s budget being based on activity levels we will see this to be very clear over a number of years. Mayor Hamilton asked if the road repairs from Sooke Road to Island Highway were going to be done in conjunction when transit is on the road. Mr. Myles advised that the work is planned for the summer and will have very little traffic delays. Councillor Day commented that increasing the snow clearing budget is good as we are unable to forecast the weather. Ms. Day expressed concern over a comment that if the snow clearing budget was not used that it would be reallocated somewhere else. She suggests that if the snow clearing budget is not used that it should come back to Council for reallocation or be put into reserves. Mr. Myles indicated that if we are not out clearing snow then we will be distributing staff elsewhere not the funding. Mr. Paine added that presenting the budget to Council this way we are establishing service levels. Quarterly reports will be provided to Council and if staff are proposing any major shifts in budget we would request an internal budget transfer from Council. Councillor Logan asked when the pavement condition assessment is done, will that have an impact on the road maintenance budget. Mr. Paine indicated that it would establish maintenance levels and their urgency. Councillor Logan mentioned that a number of years ago there were some significant risks identified with regards to drainage and would like to see that we keep the funding available for this. Mr. Paine indicated that the storm water management plan will establish risks and an appropriate amount of funding. Councillor Nault commented that he likes the new way that the budget is set up but he would like to see quarterly reporting back to Council. Mr. Paine indicated that quarterly reporting will provide Council with accurate information on the activities of the City and allows staff to start budgeting in advance and more accurately. Parks, Recreation and Culture

8 Minutes of Committee of the Whole Meeting Monday February 19, 2018 Page 8 Mr. Paine commented that staff is recommending a 2.6% increase in the City of Colwood Recreation budget envelope the reason being is that last year the requisitions were held at zero and came back to us with a 4.1% increase this year. If we continue down that path we could see large increases each year and that could put a lot of pressure on tax payers. Mr. Paine noted that the Library budget proposed increase is 1.7% which is based on assessed values which have decreased and is why we have lower increase than the average in the region. Mr. Paine provided an overview of the Heritage budget which includes St. John s Church and grounds. There is annual maintenance planned and it is recommended that the budget be maintained to provide an operating budget to compliment the capital work recommended. Mr. Paine addressed the parks fleet maintenance budget and the 11.5% decrease. This is due to the fleet costs now being distributed throughout the various divisions. Some of the accomplishments from last year were the Havenwood crosswalk and connector trail as well as the installation of the new splash park at Colwood Creek Park. There is a plan, pending Council approval, to construct a parking lot at Colwood Creek Park and a street tree maintenance program in keeping with the Municipal Street Tree Bylaw. A Parks Master Plan is proposed which is needed to grow our asset management plan and to plan and fund our parks. Councillor Martin asked how the per capita is calculated for West Shore Parks and Recreation, Colwood seems much lower than other municipalities. Mr. Paine indicated that we would need to know what the other municipalities park budgets are in the Westshore to figure out a comparable per capita. Ian Howat, Chief Administrative Officer, indicated that these numbers would be good to have and if they are easily accessible staff will provide them. Councillor Day would like to see an amount going into a reserve fund for the recreation centre so there is less confusion going forward. Councillor Logan questioned if the parks staffing is sufficient or is it conservative. Mr. Myles indicated that moving forward the Parks Master Plan and the service levels that will determine staffing. Councillor Logan expressed concern that the West Shore Parks and Recreation facility is falling behind with the current political climate. Mayor Hamilton asked about the plans in 2018 for the $5000 grant received for a pergola and would there be an opportunity for the pergola to be constructed a Colwood Creek Park? Mr. Myles indicated that he has been working with Sandra Russell, Communications Manager, to get pricing on pergolas and see what $5000 will buy. They will come back to Council with the information and options. Sewer Mr. Paine brought the Committee s attention to the funding increase for the Local Service Area Tax of 27.3%. This is a new parcel tax for the Central Sewer System. This amount is offset by a decrease in the transfer from Operating Reserves which is where we are paying the debt from for our Local Service Areas. Mr. Paine indicated that sewer connection fees and related expenses are based on previous year s activities but they are subject to how many people connect. The financial plan reflects a 33% increase to

9 Minutes of Committee of the Whole Meeting Monday February 19, 2018 Page 9 the volume of connections not an increase in fees. If the number of connections are less this will be offset by the expenses we will not incur. Mr. Paine discussed the pump station maintenance variance, a 10% increase which is due to the number of pump stations. Mr. Paine advised that there is proposed 14% increase to sewer user fees. This would result in a $25 increase to the average residential property. The main reason is to ensure that our transfers to reserves is sufficient. He explained that the transfer to reserve capital to fund our sewer capital equipment and infrastructure is what is driving the increase to the fees. Annually we transfer sewer enhancement fees received into a reserve. A more phased in approach could be taken and over time we would get to a sustainable level. Councillor Nault expressed concern with the large jump to the transfer in reserve capital in one year and would like to see more justification for that number. Mr. Paine advised that best practice and good principal with a sewer utility is that it should be self-funding, including equipment. He recognized that this is a big shift and acknowledged Mr. Nault s concern. Councillor Day indicated that she has heard from people in the community that it is very expensive to hook up to the sewer system and then on top of that have sewer user fees as well as the ongoing cost for supporting the system. She would support reaching sustainability in a more gradual manner. Mr. Paine indicated that the general consensus is that there be a more graduated option with the sewer user fee and will take that general direction. He will bring back forward a different option with the final version. Councillor Logan confirmed with the Committee that there were no objections and that staff will make the adjustment based on a phased in approach. 6. FINAL PUBLIC PARTICIPATION Owner/Occupant of Mary Anne Crescent commented that he is impressed with the format of this budget and thinks that this is driving people to think about the service levels behind the numbers. Colwood member of the West Shore Parks and Recreation Society Board, commented that he doesn t think that we ask enough of WSPR and that we should be asking more. Over the years it has been a very flexible efficient way of running a facility. They have the best resources with regards to fields, etc. but things are starting to get older and thinks the public and 5 owners have to sort out what they want to do. There are people there that want to do a good job. 7. NEXT MEETING The next Committee of the Whole Meeting is scheduled for Tuesday, February 27, 2018 at 6:00 pm or at the call of the Chair.

10 Minutes of Committee of the Whole Meeting Monday February 19, 2018 Page ADJOURNMENT MOVED BY: COUNCILLOR NAULT That the meeting adjourn at 7:50 pm. CARRIED. APPROVED AND CONFIRMED CERTIFIED CORRECT