AGENDA - General Committee - 20151102SPECIAL GENERAL COMMITTEE
2016 BUDGET REVIEW
MEETING AGENDA
MONDAY,NOVEMBER 2,2015
5:30 P.M.
COUNCIL CHAMBERS
AURORA TOWN HALL
PUBLIC RELEASE
October 29,2015
TOWN OF AURORA
SPECIAL GENERAL COMMITTEE
2016 BUDGET REVIEW MEETING AGENDA
Monday,November 2,2015
5:30 p.m.
Council Chambers
1.DECLARATION OF PECUNIARY INTEREST AND GENERAL NATURE THEREOF
2.APPROVAL OF THE AGENDA
RECOMMENDED:
THAT the agenda as circulated by Legal and Legislative Services,with the
following changes,be approved:
THAT Agenda Items 1 and 2 be considered prior to Public Consultation –Open
Session–Opportunity for Members of the Public to Provide Input Regarding the
2016 Budget;and
THAT Agenda Item 3 be considered after Public Consultation –Open Session–
Opportunity for Members of the Public to Provide Input Regarding the 2016
Budget.
3.DELEGATIONS
RECOMMENDED:
THAT the requirements of section 3.8(c)of the Procedural By-law be waived to
permit the delegation of Patrick Moyle,Interim Chief Administrative Officer,and
Dan Elliott,Director of Corporate &Financial Services,to speak for more than
five (5)minutes.
(a)Patrick Moyle,Interim Chief Administrative Officer,and Dan Elliott,Director
of Corporate &Financial Services
Re:Item 1 –CFS15-045 –2016 Operating Budget
Special General Committee –2016 Budget Review Meeting Agenda
Monday,November 2,2015 Page 2 of 4
4.PUBLIC CONSULTATION –OPEN SESSION –OPPORTUNITY FOR MEMBERS
OF THE PUBLIC TO PROVIDE INPUT REGARDING THE 2016 BUDGET
Note:The Director of Corporate and Financial Services/Treasurer will provide a
summary of email comments from the public received to date.
5.CLOSED SESSION
6.CONSIDERATION OF ITEMS
7.ADJOURNMENT
Special General Committee –2016 Budget Review Meeting Agenda
Monday,November 2,2015 Page 3 of 4
AGENDA ITEMS
1.CFS15-045 –2016 Operating Budget pg.1
RECOMMENDED:
THAT Report No.CFS15-045 be received;and
THAT the 2016 draft Operating Budget be reviewed by General Committee –
Budget at its scheduled meetings;and
THAT the 2016 draft Operating Budget be approved;and
THAT the necessary bylaw establishing tax rates and due dates for 2016
property taxation be presented for adoption at a future Council meeting.
2.2016 Operating Budget –Departmental Business Plans (Binder Tab 6)
Presentations by Department
(a)Infrastructure &Environmental Services (Binder Page 6-1)
Ilmar Simanovskis,Director of Infrastructure &Environmental Services
RECOMMENDED:
THAT the presentation by the Director of Infrastructure &Environmental
Services be received for information.
(b)Parks,Recreation,&Cultural Services (Binder Page 6-9)
Al Downey,Director of Parks &Recreation Services
RECOMMENDED:
THAT the presentation by the Director of Parks &Recreation Services be
received for information.
(c)Corporate &Financial Services (Binder Page 6-16)
Administrative Services (Binder Page 6-33)
Dan Elliott,Director of Corporate &Financial Services/Treasurer
RECOMMENDED:
THAT the presentations by the Director of Corporate &Financial Services/
Treasurer be received for information.
Special General Committee –2016 Budget Review Meeting Agenda
Monday,November 2,2015 Page 4 of 4
(d)Legal &Legislative Services (Binder Page 6-23)
Warren Mar,Director of Legal &Legislative Services/Town Solicitor
RECOMMENDED:
THAT the presentation by the Director of Legal &Legislative Services/Town
Solicitor be received for information.
(e)Building &By-law Services (Binder Page 6-39)
Techa van Leeuwen,Director of Building &By-law Services
RECOMMENDED:
THAT the presentation by the Director of Building &By-law Services be
received for information.
(f)Planning &Development Services (Binder Page 6-53)
Marco Ramunno,Director of Planning &Development Services
RECOMMENDED:
THAT the presentation by the Director of Planning &Development Services
be received for information.
3.2016 Operating Budget –General Discussion
GENERAL COMMITTEE REPORT No.CFS15-045
SUBJECT:2016 Operating Budget
FROM:Dan Elliott,Director,Corporate &Financial Services -Treasurer
DATE:November 2,2015
RECOMMENDATIONS
THAT Report No.CFS15-045 be received;and
THAT the 2016 draft Operating Budget be reviewed by General Committee
Budget at its scheduled meetings;and
THAT the 2016 draft Operating Budget be approved;and
THAT the necessary bylaw establishing tax rates and due dates for 2016 property
taxation be presented for adoption at a future Council meeting.
PURPOSE OF THE REPORT
On September 15,2015,Council provided clear direction to staff for the preparation of
the 2016 Operating Budget.This report presents the 2016 draft Operating Budget for
review by General Committee Budget and approval by Council.
BACKGROUND
At its meeting of September 15,2015,Council adopted the following resolutions arising
from staff Report No.CFS15-035:
THAT staff be directed to prepare the 2016 Operating Budget in
accordance with the following directives:
1.The Base Operating Budget reflects an overall tax increase pressure
of 1.8%,including:
a.A reduction in hydro interest reliance of $100,000;and
b.A reduction of supplementary tax reliance of $75,000;and
c.Maintain current contributions to infrastructure sustainability
reserves;and
d.An overall increase in CYFS funding of 1.3%of the total tax levy
(contributing 1.03%to the overall tax increase pressure);and
e.Partial absorption of inflationary pressures;and
f.Maintain current service levels.
TOWN OF AURORA
Special General Committee -2016 Budget Review Meeting Agenda
Monday,November 2,2015 Item 1 Page -1
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November 2,2015 -2 -Report No.CFS15-045
2.All rates,fees and unit charges for non-tax revenues be indexed
individually by a minimum of 1.1%,unless set by contract or statutes;
and
THAT the Aurora Public Library Board be directed to prepare a budget
based on an anticipated Town of Aurora tax-based operating funding grant
of $3,659,000;and
THAT the Aurora Cultural Board be requested to prepare their 2016
Operating and Capital Budgets based upon the current Town funding in
the amount of $377,000.
COMMENTS
Staff are pleased to present the draft 2016 Operating Budget which reflects
direction,resulting in an average town share tax increase of 1.8%for residential
properties.
The following items of key interest to Council have been reflected in the draft budget:
1.Increased contributions to infrastructure reserves equal to 1%of tax levy.
2.
of $300,000 to only $200,000 for 2016.
3.Reduced planned reliance on supplementary tax revenues in accordance with
our financial strategy by $75,000 to only $500,000 for 2016,despite much higher
but short term expectations for sup taxes (mid-year taxation of new property
construction arising in the 2C lands).
4.Phase-in of expected cost increased for Central York Fire,which,as anticipated,
slightly exceeds the actual budget draft approved by the Joint Council
Committee for CYFS.The excess results in a contribution to tax stabilization
reserve for future use in this phase-in plan.The Town had previously adopted a
phase-
each year for six years.
5.All rates,fees,and charges of the Town have been indexed where permissible
by 1.1%representing inflation as reported for the 12 month period July to June,
2015.
6.All revenue estimates have been carefully considered in the context of the
inflated rates and fees,as well as expected activity volumes and reflected in the
budget.
Staff have been able to achieve a 1.8%tax levy increase budget by utilizing new growth
revenues arising from the recent growth of the 2C area,together with the above noted
revenue changes,as well as constraining wherever possible the costs of operations of
the Town.Training and development budgets remain substantially unchanged from last
year.By having a clear direction of Council,staff were able to focus their attention to
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November 2,2015 -3 -Report No.CFS15-045
.Attachment #1 outlines the
operating expenses of each department,net of their respective non -tax revenues.The
total Net Operating budget,so represented,shows the distribution of the actual total tax
revenue of $38,959,100.Attachment #2 outlines all revenues by type,showing the total
combined revenues of $57,999 ,900.Attachment #3 shows this information in tabular
format.The percentages in the right hand column represent the tax rate impact of the
line item change;not the year over year percentage change for the budget line item.
Attachment #4 outlines graphically the key budget pressures and influences in
compiling the 2016 budget,ending with a 1.8%tax increase.The six previously noted
budget highlights are included in these graphics.
The Budge
Tab #3 of the Budget Binder includes a summary of all corporate Key Performance
Indicators.As 2015 is not yet complete,the 2015 targets are shown,together with the
2016 targets.Past results are included.2015 estimates have been included where
possible.
Binder Tab #4 includes a summation of all departmental business objectives for the
Some of the highlights include:
Expand on 2015 successes of Lean Practices pilot to include cross functional
services in order to increase operational efficiencies;
Integrate various corporate project management practices in order to create a
consolidated delivery model;
Implement the required changes to winter snow control in order to eliminate the
use of sand on roads;
Roll out new e-billing program for water bills
process
Collaboration with downtown business owners to form a Business Improvement
Area
Update zoning bylaw
Update of the Corporate Environmental Action Plan
Update of Official Plan
To obtain Silver (Level 2)Certification from Excellence Canada
Develop more robust wellness program focusing on mental health and stress
issues.
Update Corporate Communications Strategy and Communications Policy
Technology advancements on line services,mobile devices,customer relations
management system.
Sign Bylaw implementation and education
Septic Maintenance program implementation
Advancement of recommendations from Parks and Recreat ion Master Plan and
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November 2,2015 -4 -Report No.CFS15-045
Sports Plan
Creation and implementation of a Public Art Policy
Update and review of the departmental Pricing Policy
Implementation of Electronic Document &Records Management System
Implementation of a new e-agenda system for Council and Committee
Binder Tab #6 contains the business plans and information regarding each operating
department of the Town.(Tab #5 is unused,and may be used to hold copies of
presentations from each department.)
LINK TO STRATEGIC PLAN
Developing the annual budget supports all aspects of the Strategic Plan.Specifically,
this report supports the Plan principles of Leadership in Corporate Management,
Leveraging Partnerships,and Progressive Corporate Excellence and Continuous
Improvement.
ALTERNATIVE(S)TO THE RECOMMENDATIONS
General Committee Budget will consider the presented draft budget in detail,
reviewing materials from each operating department,as well as materials presented by
the Library Board,the Aurora Cultural Board,and the Aurora Historical Society.Shortly,
the draft detailed budget for Central York Fire Services,as reviewed and recommended
by the Joint Council Committee will be presented to Committee for comment.
Committee may make recommendations for changes to the 2016 draft budget.
FINANCIAL IMPLICATIONS
Residential tax bills contain three different property taxes.Taxes collected for provincial
education purposes represents approximately 20.6%of a residential tax bill,while taxes
for York Region are approximately 43.0%,with the remaining 36.4%being retained by
the Town for Town purposes.
$6.20 per year to the tax bill for each
$100,000 of assessment.
When combined with the York Region expected 2.85%tax rate and the revenue neutral
education rate to be set by the Province (not until April 2016),the expected combined
tax impact to a residential property is 1.88%.For reference,Attachment #5 sets out a
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November 2,2015 -5 -Report No.CFS15-045
The proposed budget sets out planned expenditures totalling $57,999,900,funded with
non-tax revenues of $19,040,800,such as investment income,user fees,Federal Gas
Tax grants,and fines &penalties.The remaining $38,959,100 requirement is to be
raised through property taxes,requiring a 1.8%average tax increase.Attachment #5
A key budgeting change for 2016 affects the past practice of budgeting for
supplementary taxes.Supplementary taxes are taxes levied upon new structures which
are first assessed during the budget year.The Town is working on reducing its budget
reliance on supp.taxes as the current high levels will be short lived,and will affect the
tax budgets significantly if not managed over the next few years.For 2016,the planned
level of reliance is $500,000 down from the 2015 reliance of $575,000.The expected
supplementary tax revenue for 2016 is $1,100,000.For 2016,the budget reflects
supplementary tax revenue at $1,100,000,with an off-setting temporary contribution to
capital reserves of $600,000,resulting in a net budget revenue at the $500,000 planned
level.
CONCLUSIONS
Council established a budget target for 2016 operating budget of 1.8%tax increase.
Staff have responded and have developed a comprehensive budget.As directed,all
revenue rates,fees and charges have been indexed for inflation.All operating lines
were examined for opportunities for constraint,while maintaining services.All revenue
targets were examined for expected volumes of activities.Through careful review,the
goals set out in their
directives to staff.
PREVIOUS REPORTS
CFS15-2016 Budget Outlook and Preparation Directives to Staff to General
Committee September 8,2015,Council,September 15,2015.
ATTACHMENTS
Attachment #1 Net Operating Budget by Department
Attachment #2 Total Revenues by Source
Attachment #3 2016 Draft Operating Budget Summary by Department
Attachment #4 Key Budget Drivers Summary (graphical)
Attachment #5 Tax Rate History
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Attachment 1
Town of Aurora
2016 DRAFT Operating Budget
Net Operating Budget by Department
Shown in $000's
Planning &
Development
Services
$142.5
0%
Building &Bylaw
Services
$1,383.9
4%
Infrastructure &
Environmental
Services
$11,885.2
30%
Parks &
Recreation
Services
$3,385.8
9%
Internal Support
Services
$4,133.1
11%
Contributions to
Infrastructure,
$4,594.7
12%
Central York Fire
Services
$9,774.8
25%
Town of Aurora
Library Board
$3,659.0
9%
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Attachment 2
Town of Aurora
2016 DRAFT Operating Budget
Total Revenues by Source
Shown in $000's
*User Fees include revenue received in relation to the utilization of the town's various service
offerings such as its parks and facilities,building permit issuances and development application
fees.
Total Tax Levy
$38,959.0
67%
User Fees
$12,019.4
21%
Grants &Gas Tax
2,168.4
4%
Reserve Draws
1,928.2
3%
Investment
Income
$1,550.0
3%
Fines &Penalties
$1,175.0
2%
Hydro Fund
Proceeds
$200.0
0%
Special General Committee -2016 Budget Review Meeting Agenda
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Attachment 3
Town of Aurora
2016 DRAFT Operating Budget
Summary by Department
2015 2016 Tax
Shown in $000's Approved Draft Dollar Pressure
Budget Budget Change Change
(adjusted)
Gross Expenses
Council 525.3$532.8$(7.5)$(0.0 %)
Chief Administrative Office 1,869.3$1,889.0$(19.8)$(0.1 %)
Legal &Legislative Services 2,528.4$2,561.7$(33.3)$(0.1 %)
Election 2018 82.5$82.5$-$-
Corporate &Financial Services 3,190.7$3,283.1$(92.5)$(0.2 %)
Building &By-law Services 4,016.1$4,543.5$(527.4)$(1.4 %)
Planning &Development Services 1,926.0$1,985.8$(59.8)$(0.2 %)
Infrastructure &Environmental Services 12,740.6$13,492.8$(752.2)$(2.0 %)
Parks,Recreation &Culture Services 8,398.8$8,776.3$(377.5)$(1.0 %)
Corporate Expenses &Revenues 7,917.1$7,418.5$498.5$1.3 %
Central York Fire Services 9,287.4$9,774.8$(487.4)$(1.3 %)
Funding Provided for Library Operations 3,538.7$3,659.0$(120.3)$(0.3 %)
Gross Expenditure (Increase)/
Decrease 56,020.7$57,999.9$(1,979.2)$(5.2 %)
Gross Revenues
Council -$-$-$-
Chief Administrative Office -$-$-$-
Legal &Legislative Services (190.7)$(204.1)$13.4$0.0 %
Election 2018 -$-$-$-
Corporate &Financial Services (129.0)$(177.6)$48.6$0.1 %
Building &By-law Services (2,661.9)$(3,159.6)$497.8$1.3 %
Planning &Development Services (1,610.5)$(1,843.3)$232.8$0.6 %
Infrastructure &Environmental Services (1,181.9)$(1,607.6)$425.7$1.1 %
Parks,Recreation &Culture Services (5,520.9)$(5,390.5)$(130.4)$(0.3 %)
Corporate Expenses &Revenues (7,729.6)$(6,658.1)$(1,071.5)$(2.8 %)
(19,024.4)$(19,040.8)$16.4$0.0 %
Taxation -2015 (36,996.3)(36,996.3)$-
Taxation -Growth from New Assessment -(1,257.9)$1,257.9 3.4 %
Gross Revenue Increase /(Decrease)(56,020.7)$(57,295.0)$1,274.3$3.4 %
Net Expenditures/(Revenues)
Council 525.3$532.8$(7.5)$(0.0 %)
Chief Administrative Office 1,869.3$1,889.0 (19.8)$(0.1 %)
Legal &Legislative Services 2,337.7$2,357.6 (19.9)$(0.1 %)
Election 2018 82.5$82.5 -$-
Corporate &Financial Services 3,061.7$3,105.5 (43.9)$(0.1 %)
Building &By-law Services 1,354.2$1,383.9 (29.7)$(0.1 %)
Planning &Development Services 315.5$142.5 173.0$0.5 %
Infrastructure &Environmental Services 11,558.7$11,885.1 (326.5)$(0.9 %)
Parks,Recreation &Culture Services 2,877.9$3,385.8 (507.9)$(1.3 %)
Corporate Expenses &Revenues 187.5$760.4 (573.0)$(1.4 %)
Central York Fire Services 9,287.4$9,774.8 (487.4)$(1.3 %)
Funding Provided for Library Operations 3,538.7$3,659.0 (120.3)$(0.3 %)
36,996.3$38,959.1$(1,962.8)$(5.2 %)
Taxation (36,996.3)$(38,254.1)1,257.9$3.4 %
NET -$704.9$(704.9)$(1.8 %)
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Attachment 4
Town of Aurora
2016 Draft Operating Budget
KEY BUDGET DRIVERS
Net all other
Changes
2.4%
Reduce Supp &Hydro
Interest Reliance
0.5%
Increased Infrastructure
Renewal Funding
1.0%
Increase for Fire
Services
1.3%
Taxes from New
Growth
Less:3.4%
Net
Tax Increase
1.8%
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Town of Aurora
2016 Draft Operating Budget
HISTORY OF AURORA TAX RATE INCREASES
Attachment 5
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
6.0%
5.5%
7.9%7.9%
4.3%
5.0%
1.8%
2.8%
3.8%
4.8%
3.4%3.8%3.9%
1.8%
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