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AGENDA - General Committee - 20150504PUBLIC RELEASE May 1,2015 TOWN OF AURORA ADDITIONAL ITEMS FOR SPECIAL GENERAL COMMITTEE 2015 BUDGET REVIEW MEETING Monday,May 4,2015 (continued from February 23,March 2,March 9,March 23,and March 30,2015) 7 p.m. Council Chambers Item 18 –Memorandum from Director of Corporate &Financial Pg.1 Services/Treasurer Re:2014 Training and Development Expenditure Details RECOMMENDED: THAT the memorandum regarding 2014 Training and Development Expenditure Details be received for information. Item 19 –Memorandum from Chief Administrative Officer Pg.11 Re:2015 Proposed Budget Reductions RECOMMENDED: THAT the memorandum regarding 2015 Proposed Budget Reductions be received for information. Closed Session Item 1 –Personal matters about an identifiable individual,including a Town or Local Board employee;Re:Elimination of One Full-time Position Item 20 –Consideration of Motion to Move 2015 Budget to Council for Adoption RECOMMENDED: THAT the draft 2015 Operating Budget,with approved changes,be referred back to staff for preparation of a final Budget report and presentation to Council. MEMORANDUM DATE:May 4,2015 TO:Mayor and Members of General Committee –Budget FROM:Dan Elliott,Director,Corporate &Financial Services -Treasurer RE:2014 Training and Development Expenditure Details RECOMMENDATIONS THAT the memorandum regarding 2014 Training &Development Expenditure Details be received for information. BACKGROUND At its meeting of April 14,2015,Council adopted the following resolution: NOW THEREFORE BE IT HEREBY RESOLVED THAT staff provide a report,for Council consideration at the next Budget meeting,that includes the following information:for the year 2014,an itemized list of all conferences and/or training and/or development courses attended by all members of staff,the cost of each conference and/or training and/or development course attended. Attached to this memo is a detailed accounting of the conferences,training and development courses attended by all members of staff,including the total cost for each. Costs include where applicable meals,accommodation,travel/mileage,registration,books and supporting materials. In completing the review requested of Council,staff categorized each item into one of the following main groups: Public Health &Safety:Health or safety courses required by regulation or statute or for the continuing workplace safety of staff or patrons. Maintain qual/cert/lic/cred:Courses,conferences or sessions required to acquire or maintain a professional or other qualification,certification, licence or credential,which is required of the position,or which supports the work of the position and the Town,or which furthers the Town’s staff expertise. Town of Aurora Corporate &Financial Services Additional Items for Special General Committee 2015 Budget Review Meeting Monday,May 4,2015 Item 18 Page -1 -1 - 2014 Training &Development May 4,2015 -2 -Expenditure Details Professional Development Courses,conferences,webinars,seminars of any sort to develop specific skills of staff as required for improving their work performance,effectiveness,versatility or knowledge of new or emerging trends,techniques or regulations The total 2014 expenditures,using the above main groups is as follows: Public Health &Safety $5,293,06 Maintain qual/cert/lic/cred 44,736.25 Professional Development 91,353.64 Prof.Dev.Materials 939,83 Misc.Training Costs 127.91 Total 2014 Expenditure $142,449.97 The Town utilizes primarily two budget numbers in each work group or department for conferences,training and development.One is referred to as “conferences and seminars”, and the other is referred to as “mandatory training”. For the most part,conferences and training budgets are determined based on a formula approach,based on a fixed amount per CAO,per Director,per Manager,and per staff member.Mandatory training is budgeted based on local need to meet required courses for public safety,compliance,recertification etc. The Human Resources group have a third special account for Corporate Training,courses affecting many staff,or select staff for advanced learning such as certificates in municipal leadership or the like.These are normally reserved for staff who seeking to advance in the ranks,and have been identified as part of our succession planning for key leadership roles. The implementation of the Human Resource Information System will greatly assist in the consistency of categorizing training across the corporation with the view to simplify the process and apply the categories listed above.A separate report regarding the specific capabilities of this new system in this regard,as requested by Budget Committee,is pending and will be presented shortly. ATTACHMENTS Attachment 1 –Analysis and Reconciliation of Conferences/Seminars/Training/Mandatory 2014 Expenditures Additional Items for Special General Committee 2015 Budget Review Meeting Monday,May 4,2015 Item 18 Page -2 -2 - Attachment 1 Additional Items for Special General Committee 2015 Budget Review Meeting Monday,May 4,2015 Item 18 Page -3 -3 - Additional Items for Special General Committee 2015 Budget Review Meeting Monday,May 4,2015 Item 18 Page -4 -4 - Additional Items for Special General Committee 2015 Budget Review Meeting Monday,May 4,2015 Item 18 Page -5 -5 - Additional Items for Special General Committee 2015 Budget Review Meeting Monday,May 4,2015 Item 18 Page -6 -6 - Additional Items for Special General Committee 2015 Budget Review Meeting Monday,May 4,2015 Item 18 Page -7 -7 - Additional Items for Special General Committee 2015 Budget Review Meeting Monday,May 4,2015 Item 18 Page -8 -8 - Additional Items for Special General Committee 2015 Budget Review Meeting Monday,May 4,2015 Item 18 Page -9 -9 - Additional Items for Special General Committee 2015 Budget Review Meeting Monday,May 4,2015 Item 18 Page -10 -10 - MEMORANDUM DATE:May 4,2015 TO:Mayor Dawe and Members of Council FROM:Neil Garbe,Chief Administrative Officer RE:2015 Proposed Budget Reductions RECOMMENDATIONS THAT this memorandum regarding 2015 Proposed Budget Reductions be received; and THAT Council provide direction with respect to proposed expenditure reductions. BACKGROUND On March 30,2015 General Committee passed the following recommendation: THAT the memorandum regarding Proposed Budget Adjustment Impacts –Training &Development,Printing &Advertising,Telecommunications be received;and THAT the General Committee recommendations of March 23,2015,being:(a)THAT the 2015 Draft Operating Budget be adjusted by increasing Total Departmental Revenue by $100,000;(b)THAT the 2015 Draft Operating Budget be adjusted by reducing the “Training &Development”budget by $100,000;and (c)THAT the 2015 Draft Operating Budget be adjusted by reducing the “Advertising”and “All Other – Printing–Advertising Related”budgets by a total of $30,000,be combined and amended to read as follows: THAT the 2015 Draft Operating Budget be adjusted by increasing Total Departmental Revenues by $100,000 and decreasing Total Departmental Expenses by $300,000;and THAT staff report back to Council throughout the 2015 fiscal year regarding the opportunities to meet this target. 100 John West Way Box 1000 Aurora,Ontario L4G 6J1 Phone:905-727-3123 ext.4744 Email:ngarbe@aurora.ca www.aurora.ca Town of Aurora Administration Department Additional Items for Special General Committee 2015 Budget Review Meeting Monday,May 4,2015 Item 19 Page -1 -11 - 2015 Proposed Budget May 4,2015 -2-Reductions COMMENTS The current draft budget tax levy increase is 3.95%including the Council directed cuts to expenditures and increase in revenue.The 3.95%tax levy increase is comprised as follows: 1.3%Fire 0.75%Fiscal Strategy 1.90%All other services including library When combined with Region and education taxes,the property tax increase is 2.7%. The attachment provides a list of budget reductions that could meet this target.As noted on the table,to achieve a Town portion tax increase of 3.95%(when combined with the revenue increase target)a reduction of $305,000 in budget expenditures is required.On March 9,2015 Committee accepted proposed budget reduction of $167,700,which included an unspecified $10,000 reduction from across the corporation.The attachment, therefore,identifies a total budget reduction target of $315,000 and the corresponding items for reduction.The total identified is $327,750,which provides Council a degree of flexibility to make adjustments to the items listed. On April 28,2015 Council approved an upward adjustment to the budget of $7,000 to accommodate the request of Aurora King Minor Baseball Association.This adjustment is an increase tax pressure of 0.07%for a total tax levy increase of 3.97%. Revenue There are a number of opportunities for increasing revenue available to the Town. Included in these opportunities are: •Parking and parking related fees •Sponsorship/advertising revenue •Sports field/facility rental •Program subsidy levels •General fees for services (i.e.legal agreements) There are some challenges with immediate implementation of changes to revenues. With each opportunity listed above,Council would need to consider and provide direction including the approval of policy or approaches.Additionally,especially with sports field/facility rentals,the 2015 rates have been established and the respective organizations advised. Additional Items for Special General Committee 2015 Budget Review Meeting Monday,May 4,2015 Item 19 Page -2 -12 - 2015 Proposed Budget May 4,2015 -3-Reductions For 2015,the revenue target established by Council is expected to be met through higher than expected planning revenue generated from the high level of activity throughout the Town.Planning revenue is applied against the general levy and the operation of the Planning Department.Any funds that are surplus to budget contribute to an overall surplus for the municipality.Planning revenue as a long term source of revenue will decline and will need to be replaced.Initiating this approach in 2015 for 2016 implementation would allow for a successful transition away from planning revenue to more stable sources. It is proposed that an expert in municipal revenue generation (i.e.KPMG)be retained to review the Town’s current revenue sources,levels and policies,identify new sources of revenue and provide policy advice to Council on implementation.Should Council be in agreement with this approach,the cost should be in the $15,000 to $20,000 range. ATTACHMENTS Attachment No.1 List of Proposed Budget Reductions Attachment No.2 Five Year Operating Budget History –Select Expenditure Item Details, dated April 29,2015 Attachment No.3 Confidential Memo regarding elimination of one full-time position (separate confidential attachment) Additional Items for Special General Committee 2015 Budget Review Meeting Monday,May 4,2015 Item 19 Page -3 -13 - 2015ProposedBudgetReductionsDate:May4,2015ItemProposedCutCommentsExpendituresTarget$315,000EconomicDevelopmentCommittee$8,000PlaceholderforChamberofCommerceAwardseliminatedCommunityGrants$15,000AlignclosertopreviousactualsTraining$50,000ExpenditurealignedwithfouryearaverageexpenditurehistoryLegalAdvocacy$30,000OutlookpositiveintermsofexternallegalrequirementsAdvertising$30,000Eliminateadvertisinginsportsmagazines,humanresourcejobadvertisemetnsandsolidwasteadvertising.FurthersavingscouldoccurbyeliminatingduplicateplanningnoticesMandatoryfourmonthgappingonallvacancies$50,000AnyvacancymustbeheldvacantforfourmonthsunlessapprovedbyCouncilLibrary$10,000LibraryBoardtodecidehowtoachievecutinadditionto$3,100previouslycutonMarch9,2015AuroraCulturalCentre$10,000InadditiontoprevoiuscutonMarch9,2015ParksandRecreationPrograms$10,000ReviewofsubsidizedprogramsongoingEliminationofonefulltimeposition$108,000DetailsprovidedinconfidentialattachmentCouncilTraining$6,75025%reductionaligningmorecloselywithhistoricspendingTOTAL$327,750Attachment No.1 Additional Items for Special General Committee 2015 Budget Review Meeting Monday,May 4,2015 Item 19 Page -4 -14 - RevisedApril29,20152015BudgetActualBudgetActualBudgetActualBudgetActualProposedBudgetOtherExpendituresDetailAdvocacy100,000(29,575)100,00028,824100,00044,49197,000108,069100,000OMBRelatedLegalServices350,0001,105,544100,00048,850100,000-100,000-100,000TotalExternalLegalServices450,0001,075,969200,00077,674200,00044,491197,000108,069200,000CommunityGrants66,00036,22456,00031,03931,00013,83731,00013,87631,000Training&Development187,390143,832200,330153,049193,630155,061190,630142,450196,050CouncilTraining27,00011,49327,00013,84227,00022,22627,0008,74227,000Printing&Advertising**243,240212,075258,533189,669246,586213,588241,636247,191254,960**Printing&Advertisingfiguresexcludetheannualleisureguidepublishingcostsofapproximately$40,000peryearasthesecostsarefullycostrecoveredthroughadvertisingrevenues.ThesefiguresincludeCorporate/Specialeventcostsofapproximately$32,000peryear.TownofAurora-FiveYearOperatingBudgetHistory(SelectExpenditureItemDetails)2011201220132014Attachment No.2 Additional Items for Special General Committee 2015 Budget Review Meeting Monday,May 4,2015 Item 19 Page -5 -15 -