Loading...
MINUTES - Finance Advisory Committee - 20200128 Town of Aurora Finance Advisory Committee Meeting Minutes Date: Tuesday, January 28, 2020 Time and Location: 5:45 p.m., Holland Room, Aurora Town Hall Committee Members: Councillor John Gallo (Chair), Councillor Michael Thompson, Mayor Tom Mrakas Member(s) Absent: None Other Attendees: Keith Taylor, Investment Manager, ONE Investment, Colin Macdonald, Investment Services Manager, Municipal Finance Officers’ Association of Ontario, David Waters, Acting Chief Administrative Officer, Robin McDougall, Director of Community Services, Rachel Wainwright-van Kessel, Director of Finance, Jason Gaertner, Manager, Financial Management Services, Tracy Evans, Financial Management Advisor, Laura Sheardown, Financial Management Advisor, Ishita Soneji, Council/Committee Coordinator Councillor Thompson called the meeting to order at 5:45 p.m. Appointment of Committee Chair Moved by Mayor Mrakas Seconded by Councillor Thompson That Councillor Gallo be appointed as Chair for Year 2020 of the Finance Advisory Committee 2018-2022 Term. Carried Councillor Gallo assumed the Chair at 5:46 p.m. Finance Advisory Committee Meeting Minutes Tuesday, January 28, 2020 Page 2 of 4 1. Approval of the Agenda Moved by Mayor Mrakas Seconded by Councillor Thompson That the agenda as circulated by Legislative Services be approved. Carried 2. Declarations of Pecuniary Interest and General Nature Thereof There were no declarations of pecuniary interest under the Municipal Conflict of Interest Act, R.S.O. 1990, c. M.50. 3. Receipt of the Minutes Finance Advisory Committee Meeting Minutes of December 18, 2019 Moved by Councillor Thompson Seconded by Mayor Mrakas That the Finance Advisory Committee meeting minutes of December 18, 2019, be received for information. Carried 4. Delegations None 5. Consideration of Items The Committee consented to consider the items in the following order: Items 2, 1, and 3. 1. Review of Detailed Financial Budget Information Re: Community Services Staff presented an overview of the line-by-line analysis and year-to-date comparison of the final approved 2019 budget for the Community Services department, including detailed explanations regarding the highlighted budget Finance Advisory Committee Meeting Minutes Tuesday, January 28, 2020 Page 3 of 4 variances. Staff responded to questions and provided details on the budget variances for leases, federal grants, and tax rate stabilization contributions. It was mentioned that the department has noted a recent history of revenue surpluses and is working towards aligning its revenue budgets based on historical trends, and noted that the Facilities budget would be streamlined in the future. Moved by Councillor Thompson Seconded by Mayor Mrakas 1. That the comments and suggestions of the Review of Detailed Financial Budget Information for Community Services be received and referred to staff for consideration and action as appropriate. Carried 2. FAC20-001 – FAC Review of Prudent Investor Regime Staff provided an overview of the staff report providing details on the benefits of investing under a prudent investor regime, modelling of the expected returns under this regime, and comparison of historical rates of returns for various investment portfolios as managed per the Legal List and the regime. It was noted that quarterly reports to the Finance Advisory Committee has been added to the draft investment policy. Mr. Keith Taylor, Investment Manager, ONE Investment, and Mr. Colin Macdonald, Investment Services Manager, Municipal Finance Officers’ Association of Ontario, presented a draft investment plan for the Town’s funds not required immediately, and outlined the specific risk tolerances and projected return on investments. The Committee sought clarification on the annual return expectation range mentioned in the Municipal Client Questionnaire and the probability of incurring loss, and staff noted that a risk aversive investment plan could be considered and updated as needed. The Committee was in agreement with a report to a future General Committee meeting and requested that a side-by-side comparison of the Town’s current investment model’s historical returns and the new prudent investor regime including the costs and risks, and information regarding ONE JIB’s cost recovery framework be included in the forthcoming report to Council. Finance Advisory Committee Meeting Minutes Tuesday, January 28, 2020 Page 4 of 4 Moved by Mayor Mrakas Seconded by Councillor Thompson 1. That Report No. FAC20-001 be received; and 2. That the comments and suggestions regarding the Prudent Investor Regime be received and referred to staff to be incorporated into a report to General Committee. Carried 3. 2020 Work Plan for Finance Advisory Committee Staff provided a brief overview of the work plan. The Committee requested that the February 11, 2020 meeting be rescheduled due to lack of quorum on the scheduled day, and staff agreed to follow up. Moved by Councillor Thompson Seconded by Mayor Mrakas 1. That the proposed 2020 Work Plan for the Finance Advisory Committee be received; and 2. That the 2020 Work Plan be approved. Carried 6. New Business The Committee referred to Item 2 and suggested that background information on the ONE Investment organization be included in forthcoming report to Council for information purposes for the members of public. 7. Adjournment Moved by Mayor Mrakas Seconded by Councillor Thompson That the meeting be adjourned at 6:50 p.m. Carried