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The Corporation of the City of St. Catharines

BUDGET STANDING COMMITTEE MINUTES

Tuesday, February 09, 2016

 

Members

Present:

Mayor Walter Sendzik (arrived at 3:03 p.m.)

Councillors Mike Britton (left at 5:09 p.m.), N. Carlos Garcia,
David A. Haywood, Bill Phillips, and Mathew Siscoe (Chair)

 

Officials

Present:

Dan Carnegie, Chief Administrative Officer

Shelley Chemnitz, Commissioner of Corporate Services

Kristine Douglas, Director of Financial Management Services

Bonnie Nistico-Dunk, City Clerk

Margaret Kreuk, Budget Analyst                      

Deanna Haine, Council & Committee Coordinator

 

1.

Call the Meeting to Order

Committee Chair, Mathew Siscoe, took the chair and called the meeting to order in Council Chambers at 3:02 p.m.

 

2.

Adoption of Agenda

Moved By:  Councillor Britton

That the Budget Standing Committee adopt the agenda for the meeting of Tuesday, February 9, 2016.

Carried

 

3.

Declarations of Interest

There were none declared.

 

4.

Adoption of Minutes

There were none at this time.

 

5.

Chair's Report

 

5.1.

The Chair reminded the Committee of the number of items on discussion on this evening's agenda, and to keep concerns, revisions and discussions under Item No. 8, Other Business.

 

 

 

 

6.

Discussion Items

 

6.1.

Revised SCCIP Funding Report

Kristine Douglas, Director of Financial Management Services

Kristine Douglas, Director of Financial Management Services provided an overview of the Revised SCCIP Funding Report regarding the Ticket Surcharge, Special Event Parking Revenues, Art Award Fundraising Event, and Tax Base Support. Discussion ensued, and Ms. Douglas answered questions of the Committee.

 

Moved By:  Councillor Phillips

That the Budget Standing Committee approve the implementation plan for increasing the SCCIP funding from $2.34 per capita or $307,500 in 2016 to $3.28 per capita or $431,000 in 2018; and

That the additional $1 surcharge funding be applied to take the place of the tax base contribution in 2017 and 2018; and

That staff engage SMG in the feasibility of a $1 surcharge at the Meridian Centre on non-sporting events; and

That the Executive Director of FirstOntario Performing Arts Centre include an option to directly support SCCIP on the annual FirstOntario Performing Arts Centre Membership Renewals.

Carried

 

6.2.

Reserve Balance Report

Kristine Douglas, Director of Financial Management Services

Kristine Douglas, Director of Financial Management Services gave an overview of the Reserve Balance Report to the Budget Standing Committee. Ms. Douglas gave an overview of the reserve fund balances, explained purpose of the FirstOntario Performing Arts Centre (FOPAC) Capital Sustainability Reserve, Tax Rate Stabilization Reserve, Winter Control Program (WCP) Stabilization Reserve, Parking Reserve Fund, and the Parking Reserve Funds.

 

Moved By:  Councillor Britton

That the Budget Standing Committee receive the Reserve and Reserve Fund December 31, 2015 balances for information; and

 

That staff be directed to report on the possible removal of reserve fund accounts no longer required.

Carried

6.3.

Internal Audit Report

Shelley Chemnitz, Commissioner of Corporate Services

Shelley Chemnitz, Commissioner of Corporate Services gave an overview of the Internal Audit Report to the Committee. Discussion ensued regarding the difference between conducting an internal audit process to an external consultant audit. Discussion ensued, and Ms. Chemnitz answered questions of the Committee.

 

Moved By:  Mayor Sendzik

That Standing Budget Committee direct staff to report back to the Committee in June on what comparator communities have for Internal Audit positions, what value has been received by those communities who have an Internal Audit position, and include alternatives in municipal and private sectors; and

That staff, determine if the City is too small for an Internal Audit function, and to identify the possibility of a commission-based core services review and the feasibility of an internal auditor position, and to budget for it over the next few years.

Carried

 

6.4.

Multi-year Budgeting Report

Kristine Douglas, Director of Financial Management Services

Kristine Douglas, Director of Financial Management Services gave an overview of the Multi-year Budgeting Forecast for the next three years as requested by Council at the meeting of June 8, 2015.  Ms. Douglas explained the three year budget forecast includes the City’s departmental expenditures forecast only, as it is the amount that the City has the most control in managing. This is due to it being difficult to predict the tax rate for future years, as outside boards and commissions information is required to determine to calculate the City’s tax rate. Ms. Douglas answered questions of the Committee.

 

Moved By:  Councillor Phillips

That the Budget Standing Committee defer the Multi-Year Budgeting Report until the first meeting of the Budget Standing Committee following Council’s approval of the 2016 budget.

Motion to Defer Carried

 

6.5.

Budget Comparison: 2016 Draft Budget to 2015 Actuals

Kristine Douglas, Director of Financial Management Services

Kristine Douglas, Director of Financial Management Services gave an overview of the 2016 Draft Budget to 2015 Actuals.  Ms. Douglas explained the reasons why a budget can be significantly more than the prior year actuals to the Committee, and the 2016 Draft Operating Budget increase of $3.5 million or 3.34% over 2015 Actuals.
Ms. Douglas and other City staff answered questions of the Committee regarding the report, as well as financials regarding the pool closure costs.

 

Moved By:  Councillor Garcia

That the Budget Standing Committee receive the comparison of the 2016 Operating Budget to 2015 Actuals for information purposes.

Carried

 

6.6.

Unallocated Grants

Kristine Douglas, Director of Financial Management Services

Kristine Douglas, Director of Financial Management Services gave an overview of the Unallocated Grants report and explained the reason staff did not recommend approval to the Norm Foster Theatre Festival (NFTF) request for seed funding for the festival.  Ms. Douglas answered questions of the Committee.

Mayor Sendzik, Councillors Haywood, and Siscoe declared a Conflict of Interest (Pecuniary) due to one of the items on the grants request list pertain to their employer.

 

That the Budget Standing Committee approve the funding for unallocated grants in the amount of $7,428; and

That Executive Director of the FirstOntario Performing Arts Centre be given latitude to negotiate an agreement to reduce the rental cost for the first year of the Norm Foster Theatre Festival with the upper limit valued at $25,000.

...

Councillor Britton requested the motion be voted on separately.

Moved By:  Councillor Britton

Part One:

That the Budget Standing Committee approve the funding for unallocated grants in the amount of $7,428.

Carried

Moved By:  Mayor Sendzik

Part Two:

That Executive Director of the FirstOntario Performing Arts Centre be given latitude to negotiate an agreement to reduce the rental cost for the first year of the Norm Foster Theatre Festival with the upper limit valued at $25,000.

Carried

 

6.7.

Hanging Basket Program Memorandum

David Oakes, Director of Parks, Recreation and Culture Services

David Oakes, Director of Parks, Recreation and Culture Services advised the Committee that the Downtown Association, Greater Niagara Chamber of Commerce, and the Port Dalhousie Business Association do not have the budgets to run this program in their areas and have no interest in participating in the 2016 Hanging Basket Program.

 

Moved By:  Councillor Garcia

That amount for hanging baskets ($9,000) be added to the City's budget with provision that funds be found elsewhere; and

That staff be directed to contact the Green Advisory Committee about possibly funding the program.

Carried

 

6.8.

Staff Complement History and Comparison Report - Jeanette Pillitteri

(Information to be made available at a later date)

 

 

7.

Information Items

There were none.

 

8.

Other Business

Moved By:  Councillor Garcia

That the departments that are over 2.85% over actuals, how they can come in at 2.85%, and include revenue side; and

That Corporate Support Services be directed to come in at inflation; and

That Fire Services non-fixed cost be kept at inflation.

Lost on a Tie

Moved By:  Councillor Haywood

That staff declare the Haig Bowl as surplus; and

That the process be started after the 2016 budget approval

Carried

Moved By:  Councillor Haywood

That the Budget Standing Committee direct staff to consider at least one basketball court and one tennis court each year for upgrades to the City's parks.

Carried

Moved By:  Councillor Haywood

That the Master Fire Planning Review Committee include the impact on Fire Services, if any, if Fire Services were limited to budgetary increases, starting in the 2017 budget cycle, of 0%, 0% plus inflation, and inflation plus 1%.

Carried

Moved By:  Councillor Garcia

That sufficient funds are added to the budget to implement five traffic calming initiatives for 2016 to a limit of $35,000; and

That the funding be provided from elsewhere, be it reallocated funds, or an additional levy.

...

Councillor Siscoe requested the motion be voted on separately.

Part One

That sufficient funds are added to the budget to implement five traffic calming initiatives for 2016 to a limit of $35,000.

Carried

Part Two

That the funding be provided from elsewhere, be it reallocated funds, or an additional levy.

Lost

Moved By:  Councillor Phillips

That the Budget Standing Committee forward the 2016 operating budget as revised to Council for approval.

Carried

9.

Adjournment

Moved By:  Councillor Phillips

There being no further items of business, this meeting be adjourned at 5:21 p.m.

Carried

Certified Correct:     Confirmed by:

Council & Committee Coordinator

Committee Chair