FOURTH MEETING
OF THE
2006 BUDGET
SUB-COMMITTEE
TOWN OF
Canada Room,
MINUTES
|
Budget
Sub-Committee Councillor D. Horchik, Chair Deputy Mayor F. Scarpitti Regional Councillor J. Heath Regional Councillor J. Jones Councillor E. Shapero Councillor S. Daurio Councillor K. Usman Councillor A. Chiu Others: Mayor
D. Cousens Councillor
J. Webster Councillor
G. McKelvey Councillor
J. Virgilio Absent: Reg.
Councillor B. O’Donnell |
Staff J. Baird,
Commissioner of Development Services J. Sales,
Commissioner of Community & Fire Services A.
Taylor, Commissioner of Corporate Services B.
Cribbett, Treasurer J.
Lustig, Director of Financial and Client Services F. Wong,
Manager, J. Kee,
Committee Clerk |
|
|
|
The fourth 2006
Budget Sub-Committee meeting convened at the hour of
1. APPROVAL OF
SUB-COMMITTEE MEETING MINUTES
Staff was requested to clarify the eligible project
categories of the Municipal Funding Agreement relating to the transfer of the
Federal Gas Tax Revenue. Copies of the
staff presentation made to the
There was some discussion regarding the matter of security
at all Town facilities. It was noted
that information on the Town’s security program is being presented to General
Committee later this date.
Moved by Councillor A. Chiu
Seconded by Councillor S. Daurio
That the minutes of the December 6, 2005 Budget Sub-Committee meeting be adopted.
CARRIED
2. STATUS OF 2006 OPERATING BUDGET
Mr.
Joel Lustig, Director of Financial and Client Services reviewed the status of
the 2006 Operating Budget, which now incorporated the adjustments from the
December 6th Budget Sub-Committee meeting and a three-year phase-in
of an unanticipated additional increase in the Town’s 2006 insurance
premium. The
In
response to Committee’s queries, staff explained that the base operating budget
included a 15% or $135,000 increase for insurance based on discussions with the
Town’s insurance company in the Fall of 2005.
In late December, the Town’s insurance company advised that an
additional $767,000 increase would be required for 2006. Staff recommended a three-year phase-in of
the additional $767,000 (or $256,000 per year) budget with payments to be
funded from the Insurance Reserve, if required.
Discussions have and will continue to take place with other
municipalities, and other insurers, and the feasibility of raising the Town’s
deductible is being considered. A report
detailing alternatives and options available will be presented to General
Committee in the near future.
Staff
suggested that one option to reduce the Operating shortfall from 5.5% to 4.9%
was to flatline the Operating Budget contribution to Capital at the 2005 level
of $16,700,000, but some concern was expressed that it is important to continue
to increase the amount each year for municipal infrastructure. Concern was also expressed that the quality of
services that the Town provides may be compromised if further reductions are
made to the Operating Budget.
3. GAS TAX RECAP
The Director of Financial and Client Services reminded Members that a detailed gas tax presentation had been given at the December 5th, 2005 meeting of General Committee, and provided a brief review of the gas tax spending requirements. The feasibility of using the gas tax funding to reduce the shortfall was discussed.
4. PROJECTS RECOMMENDED FOR GAS TAX
FUNDING
Committee
had before it the list of projects recommended by staff for gas tax funding in
the amount of $3,496,000. The Director of
Financial and Client Services advised that total gas tax funding for 2005/2006
is $4,068,000 and reports will come forward to General Committee in 2006
regarding the use of the remaining gas tax funds, which totals $572,000
($4,068,000 - $3,496,000).
Staff
was requested to update the list of potential gas tax funded projects and
forward to Members of Committee. It was
also requested that consideration be given to including environmental projects
such as Kyoto Task Force and water conservation.
Members discussed the $500,000 allocation for
Markham District Energy under the gas tax heading of “Community Energy
Systems”. Staff advised that the
$500,000 of gas tax funding for Markham District Energy is in as a placeholder
subject to a future Council presentation and Council approval to release the
funds.
5. STATUS OF 2006 CAPITAL BUDGET
The
Director of Financial and Client Services reviewed “Version 3” of the 2006
Proposed Capital and Other Programs Budget (incl. Waterworks), in the amount of
$69,780,115.
6. REVIEW OUTSTANDING COUNCILLOR REQUESTS
Committee reviewed the updated listing of Councillor
Requests.
Item #B-5E, River Crossing Signs – the Don and
Rouge, in the amount of $15,000, was withdrawn. Work on approximately 10 signs will be carried
out by staff, as no additional funding is required.
Item B-3, Mission Green Expansion for Events;
Project was reduced to $25,000; with funding from the Markham Environmental
Sustainability Fund as the project is not eligible for gas tax funding.
Moved by Regional Councillor J. Heath
Seconded by Deputy Mayor F. Scarpitti
That the project relating to Mission Green Expansion
for Events, in the amount of $25,000 funded from the Markham Environmental
Sustainability Fund, be approved and is subject to a report.
CARRIED
Item B-5D, Community Water Systems in Rural
Markham – Consultant Study; staff advised that water provision and water
treatment is under jurisdiction of Region.
Moved by Regional Councillor J. Heath
Seconded by Deputy Mayor F. Scarpitti
That staff from the Water and Wastewater Branch of
the Transportation and Works Department of the Region of York be invited to
attend a future meeting of General Committee to provide information regarding
community water systems in rural areas.
CARRIED
Item #B-2, Celebrate Markham, in the amount
of $30,000 was withdrawn. A motion to
increase the budgeted amount by $15,000 was defeated. Committee requested staff to bring back a
report providing an update on the status of Celebrate Markham spending in 2005,
prior to any additional funding being approved for 2006.
Item #B-6, Tourism Markham, in the amount of
$10,000 was also withdrawn.
Item #B-5B,
Item #7-B, Progress on the Ward 6 Firehall;
Staff provided an update on the status of the proposed Ward 6 and Cornell
firehall sites.
In response to a query regarding the status of the Civic
Centre Green Roof project, staff advised that a report will be presented at the
next General Committee meeting. The
report will provide information on various issues, including: project funding;
energy savings; roof life expectancy; maintenance; retrofit conversions; and
affordability vs value and benefits.
7. IMPACT OF
COMPARISONS TO OTHER MUNICIPALITIES
The
Director of Financial and Client Services presented information relating to the
impact of a 4.9% property tax rate increase on an average household in Markham,
in addition to comparison figures to other municipalities.
8. NEXT STEPS
Committee
had before it proposed dates of meetings relating to the finalization and
approval of the 2006 Budget.
Discussion continued regarding the proposed property
tax rate increase for 2006, and staff provided details of the changes made to
the Budget since
It
was also suggested that the date for the Budget Breakfast be changed from
January 31st to Monday, February 6th.
Committee directed that the following resolutions be
presented for consideration to the meeting of General Committee being held
later this date:
Moved
by Councillor G. McKelvey
Seconded
by Councillor A. Chiu
That
the Budget Sub-Committee recommends a property tax rate increase of 4.9% for
2006;
And
that the 2006 Operating Budget contribution to Capital be increased from $16.7M
to $17.2M as per the current policy;
And
that options to reduce the 2006 Operating Budget by $500,000 be presented to
the
CARRIED
Moved
by Regional Councillor J. Heath
Seconded
by Councillor S. Daurio
That
the Budget Breakfast be held on Monday, February 6, 2006 in the Canada Room of
the Markham Civic Centre from 8:00 a.m. to 10:00 a.m.;
And
that the February 6 meeting of General Committee be re-scheduled to begin at
CARRIED
ADJOURNMENT
The fourth Budget Sub-Committee meeting adjourned at