March 11, 2014 County Council Chambers Agenda A look back 1998 - - PowerPoint PPT Presentation

March 11, 2014 County Council Chambers

Agenda

 A look back…

 1998 – 2014

 Definitions  2014 Overview

 Budget Process  Budget Summary

 Budget Exclusions  Departmental Budgets

 Reserves and Reserve Funds  Tangible Capital Assets  Third‐Party Budgets

5,000,000 10,000,000 15,000,000 20,000,000 25,000,000 1998 2014 20,335,074 19,457,095 Tax Levy Years

County of Middlesex 1998 and estimated 2014 Tax Levy in 1998 Dollars (4.3% decrease)

0.0000000 0.0010000 0.0020000 0.0030000 0.0040000 0.0050000 0.0060000 1998 2014 0.00555153 0.00386042 Tax Rate Years

County of Middlesex 1998 and estimated 2014 Tax Levy (30.5% decrease)

Residential Tax Rate Comparisons 2013

County of Middlesex .00386 Wellington County .00664 Elgin County .00591 Huron County .00555 Lambton County .00456 Oxford County .00408

Levy / Tax Rate / Real Growth

 Levy

 A levy increase is an increase in the amount of money

that the municipality requires from the community’s tax payers in a given year

 Tax Rate

 A tax rate increase is impacted by the growth in

assessment

 Assessment growth does not always relate to new

development that is available to share the cost associated with funding the levy

Definitions

 Real Growth

 Real growth is an estimate provided by Municipal

Property Assessment Corporation (MPAC) of the new construction and development in the community that is available to help pay the cost of the levy

 We utilize the real growth number and the levy to

determine increases or decreases in our costs

Definitions continued

 Reassessment Growth

 In 2012 a reassessment of all properties in Ontario took

• place. Any increased assessment will be phased in over

four years (2013 – 2016), any decrease in assessment is allocated in the first year (2013).

Budget Committee

 The budget committee was established by County Council

to review in detail the departmental budgets and develop an overall budget philosophy

 Warden Vanderheyden  Deputy Warden Richards  Councillors Reycraft and Meyer

 This committee uses a modified zero‐based budget

process to ensure that every dollar expended is appropriate

Budgeting Philosophy

 Eliminate non‐essential budget increases  Examine current expenditures to determine whether they

remain relevant in 2014

 Eliminate expenditures that are not consistent with

council policies

 Limit expenditure increases

 Without dramatically impacting reserve levels

 Continue to fund the PSAB process

3,855,976 683,376 391,223 989,535 10,857,864 19,018,384 12,733,892 1,375,256 27,557,866 3,522,470 1,160,961 10,000

Municipal County Expenditures

1,687,904 429,959 391,223 784,209 5,360,290 15,657,372 1,696,147 757,000 2,065,646 3,281,289 1,160,961 10,000

2014 Net Taxation Requirement

2014 Levy

 The County levy for 2014 is up 5.9% or $1,730,784

 The County in 2013 had real growth of $403,653 or

1.4% when tax ratios are applied

 The County had reassessment increase of $1,327,131

• r 4.5%

 Inflation for 2013 is 0.9%  The tax rates stayed the same from 2013

Major Budget Impacts

Increase in Provincial Uploading of Social

Programs

Library rent changes to reflect new

comprehensive facilities

2013 Surplus included in the 2014 budget

$500,000

OMPF decrease of $252,700

2014 Budget Changes

 Audit fee reduction ($3,500)  Reduce non union additional benefits ($5,728)  Economic Development reduction ($400,000)  Digital Outdoor Connection eliminated ($57,960)  Hydro for 400 signage $2,500  Economic Development Operations $2,500  Economic Development Scenario 2 $95,000

2014 Budget Changes Continued

 IT PSAB addition for future capital $107,000  Strathmere Lodge savings ($133,000)  Strathmere Lodge backfilling reduction ($174,467)  Library rent reduction due to lower CPI ($4,159)  Library rent from Social Services – Lucan & Parkhill

($6,375)

 Doors Open Middlesex & Taste & Tour Middlesex

$10,000

Administration and Facilities

2014 Operating Budget

 2014 budget has an increase to non union staff,

Council, Warden and Committees of 1.5%

 an assistant solicitor and a facilities assistant in the

amount of $68,000

 changes to nonunion benefits $6,622  Increase to Municipal Property Assessment

Corporation (MPAC) of 1.3%

Administration and Facilities

2014 Capital Budget

 Councillors and Library Board Computer/Tablet

replacements $9,265.

 Great Plains System upgrade $20,000

 Upgrades and repairs to the County Building and 50 King

total $23,000

Planning and Woodlands

Planning

• The 2014 budget reflects the Local Planning service where the actual

expenses (Salaries, Benefits, and Operations) are billed to the participating local municipalities such that there are offsetting revenue and expense lines.

• The budget includes $10,000 for Special Projects which includes costs

associated with a County Official Plan amendment and for consulting backfill to assist in the County Planning function.

• Legal / Consulting Services remains budgeted at $10,000 as there are some

cases where an outside solicitor may be necessary and / or where an outside technical expert will be required related to a legal proceeding (ie Professional Forester).

Planning and Woodlands

Woodlands

• The Woodlands Conservation Officer is retiring in 2014. The hiring of a

replacement Officer is planned with four months of overlapping time to allow for knowledge transfer and training. This results in an increase in the Woodlands salaries and benefits and the Department’s budget.

• Woodland revenues from County Forest timber harvest are anticipated to

be $90,000 and County Forest direct management expenses are expected to be $40,000.

• The net impact would be the transfer of approximately 50,000 to the

Woodlands Capital reserve to be drawn upon in subsequent years to cover direct management expenses for years when the revenue from timber sales does not meet the costs.

Economic Development Expenditures

 Budget includes Scenario 2 ‐ increases economic development

activities with less labour intensive initiatives

 Operations shows an increase to join the London Chamber

(Agri‐Business Committee)

 Promotions includes additional investment in:

 Small business resources  Website upgrades and other marketing support  Commercial development & shovel ready sites promotion  Business retention & expansion  Participation in MEDTE’s Certified Site Program  Economic development partners forum

Economic Development Expenditures – Special Projects

 $38,000 for implementation of the tourism route sign

• program. 2nd of 4 year phase in. Total project costs ~$152,000.

 $18,500 to begin implementation of primary gateway signage

• installation. 2nd of 4 year phase in. Total project costs

~$74,000.

 $5,000 for Facilitated Tourism Workshop  $35,000 for Agriculture Sector Study  $10,000 for support for SWEA Intelligent Region Initiative

(computers, cellphones, mileage)

IT

2014 Budget Highlights

 Operating ‐ Network expenditures increased due to required

hardware maintenance and software licensing renewals

 Salary and Benefits ‐ In 2013 the 50% Systems Librarian position was moved to

100% Library. These duties were unable to be accommodated in existing staff. Included a 0.5 FTE.

‐ IT Staff now work 40 hours per week

IT

Capital

‐ Network upgrades to replace end‐of‐life equipment ‐ Security and management software for mobile devices ‐ PSAB / Capital Program of $150,000 per year to replace

future end‐of‐life assets

Social Services

• Total expenditures for the department decreased by

0.4% in 2014 compared to 2013.

• The economy is still recovering and as a result the

Ontario Works Program Costs (caseload and caseload costs) are higher than last year. This takes into account legislated Provincial increases.

• The Average Caseload is 486.
• Continued uploading of OW program costs has our

share now at 11.4% (2013 ‐14.2%).

Social Services

• The Social Housing budget is lower as it is based on the

new blended formula (70% weighted assessment and 30% actual costs basis).

• The new funding model for Child Care is now in place

and the program costs are consistent with the previous

• year. There is no expectation of increased municipal

contributions for 2014.

• Addition of Early Child Development funding of

$22,000 which is 100% Provincially funded.

Emergency Planning, Fire

 Continuation of emergency planning, fire prevention

and inspection, fire dispatch, fire communication, & 911 communication services pending approval by council.

 Wage increases per existing employment contracts as

per Council approved increases.

 Change over to Strathroy Caradoc Police Services for

provision of fire dispatch services resulted in a one time increase in 2014 for additional staff costs and expenses related to the transfer

Roads

Operating:

Increases to salary and material costs of

approximately 1.5%

Winter maintenance increase of 7% as per

Council direction from previous budgets

Increase in bridge maintenance budget to

prepare for additional inspection capacity in County roads department

Roads

Capital:

 In accordance with PSAB we now transfer funds from

• perating to capital to support the County’s capital

assets:

• Roads: $8,242,408 (1% increase from 2013)
• Bridges: $2,500,000
• Equipment: $800,000
• Facilities: $150,000

Roads

2014 Projects:

 Approx. 48.9 km of road rehabilitation/construction

as per map in the roads budget information

 Construction/replacement of Medway Creek Bridge,

Albert Street Bridge and Dorchester pedestrian bridge in 2013

 Rehabilitation of Nairn Creek Bridge, Smith’s Bridge

and Middlemiss Bridge

 Initiation of radio tower replacement project at

Central Garage (est. completion 2015)

Strathmere Lodge

 There is an overall increase in the County’s

contribution from the 2013 budget of 10 %.

 The Strathmere Lodge Case Mix Index (CMI), on

which most of the NPC envelope funding is based, increases to 1.0153 effective April 1, 2014. This is the highest CMI the Lodge has ever had.

 We have budgeted for a 2% increase in the Ministry

• f Health and Long Term Care NPC and PSS envelopes

and a 1.1% increase in OA based on past history.

Strathmere Lodge

 Staffing costs [salaries and benefits] are expected to

increase by approximately 5.2%.

 Personnel costs [wages and benefits only] comprise

82.41% of Strathmere Lodge overall proposed expenditures.

 Hands‐on Nursing and Personal care staffing levels at

Strathmere Lodge continue to be some of the lowest

• f all LTC Homes in the Province.

Land Ambulance

• An increase in budget costs is requested in
• rder to achieve 50/50 funding for previous

year 2013 and to avoid any claw backs and budget base reductions by the Ministry of Health.

• The 2014 budget as presented is basically the

approved 2013 budget with moderate

• increases. Reserves are no longer used to

buffer the 2013 service increases.

Land Ambulance

• There have been no resource changes reflected in

the 2014 Budget over the 2013 fiscal period. This is due in part to the ongoing Strategic Plan

• Review. Middlesex‐London EMS will review the

Strategic Plan findings and recommendations and work with County Council on a future plan to address the findings.

• There is an expectation that the Ministry of

Health will ensure the 50/50 funding formula is maintained in future years..

Land Ambulance

• MLEMS has yet to reach an agreement on a

new Collective Agreement with OPSEU, which expired September 2012. Negotiations continue.

• Capital expenditures of $900,000 are

recommended to fund the replacement of six ambulances this year.

LIBRARY SERVICES

 In 2014 the new 7,500 sq. ft. Parkhill Library and 7,038 sq. ft. Lucan Library

facilities will open in combined Municipal‐Library buildings. The necessary increases for these two facilities is reflected in staffing levels and open

• hours. The impact to the budget is in capital, salaries/benefits, branch

development and rent.

 Community Access Program (CAP) funding historically covered the cost of

replacement computers. This funding ceased to exist in 2013. The capital costs for scheduled computer replacement are included in the Transfer to Capital line.

 Strathroy and Dorchester Employment Resource Centres will continue to

provide enhanced government information to the public within the library facility through the cross‐trained staff and co‐location model that has been in place since 2001. Staff at Parkhill and Lucan will be cross‐trained to provide these services in 2014.

 Book budget remains unchanged. Acquisition practices will change to allow

for the provision of enhanced electronic resources balanced with traditional resources.

‐ 5.0 10.0 15.0 20.0 25.0 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Total Reserves $ millions

2012 2013 2014 Actual Estimate Projected Reserves Working Capital 339,623 $ 339,623 $ 339,623 $ Insurance 38,360 48,360 48,360 Tax Rate Stabilization 1,215,327 691,000 1,596,757 Workers' Compensation 532,889 501,363 471,363 Winter Control 226,189

• 354,897
• 284,897

Ambulance - Equip. & Facilities - 50%/50% 131,069 57,069 Ambulance - Equip. & Facilities - 100% 734,136 734,136 Ambulance - Severance - 50%/50% 439,359 439,359 Ambulance - Severance - 100% 161,170 161,170 Ambulance - Cross Border Billings - 50%/50% 637,468 633,359 623,359 Ambulance - Operations - 50%/50% 2,901,331 2,001,331 Ambulance - Operations - 100% 625,382 625,382 Woodlands 54,000 171,541 225,921 Tree Bank 2,988 2,988 3,188 Totals 8,547,290 $ 7,025,784 $ 7,042,121 $ 3,620,133

COUNTY OF MIDDLESEX Reserves Budget 2014

1,279,785 600,529

‐ 2.0 4.0 6.0 8.0 10.0 12.0 14.0 16.0 18.0 20.0 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Total Reserve Funds $millions

2012 2013 2014 Actual Estimate Projected Reserve Funds Capital Works 10,039,222 $ 10,052,673 $ 10,065,573 $ IT Equipment 107,000 Future Road Construction 941,280 2,001,706 2,469,135 Transportation Vehicles & Equipment 976,878 1,332,133 1,358,785 Bridges 1,591,618 1,611,575 2,791,720 Sand & Salt Domes 20,188 40,628 61,136 Garages 131,220 264,083 207,384 Lodge - Senior Services 603,548 611,116 618,755 Lodge - Gifts & Donations 41,923 34,058 37,484 Lodge - Chapel Fund 5,962 2,679 3,713 Lodge - Equipment & Facilities 637,250 729,780 692,202 Thorndale Branch Reserve Fund 2,252 2,280 2,308 Totals 14,991,340 $ 16,682,712 $ 18,415,195 $

COUNTY OF MIDDLESEX Reserve Funds Budget 2014

PSAB

 The amount included for Strathmere Lodge equipment

replacement is $200,000

 There was also an amount for Bridge replacement of

$2,500,000

 In the 2013 budget $8,160,000 for roads that was

increased to $8,241,600 for the 2014 budget

 roads vehicles ($800,000) and roads facilities ($150,000),

both included in the 2014 budget

 An amount of $150,000 has been allocated for IT capital

program in the 2014 budget.

The Middlesex‐London Health Unit’s 2014 Budget Tourism Middlesex 2014 Budget Request

2014 Budget Funding Sources

Middlesex‐London Health Unit

The 2014 Middlesex London Health Unit operating budget (Cost Shared Programs) has been apportioned between the Province 69.1%, City of London 25.9% and County of Middlesex 5.0%.

Total Province City County Mandatory Programs $ 22,784,655 $ 15,709,206 $ 5,943,379 $ 1,132,070 Vector Borne Disease 615,956 461,967 129,351 24,638 Small Drinking Water Systems 31,867 23,900 6,692 1,275 CINOT Expansion 74,463 55,847 15,637 2,979 2014 Total Cost- Shared $ 23,506,940 $ 16,250,920 $ 6,095,059 $ 1,160,961 2013 Total Cost- Shared $ 23,198,916 $ 15,942,896 $ 6,095,059 $ 1,160,961 Increase/(Decrease) $ 308,024 $ 308,024 $ 0 $ 0

Tourism Middlesex

Funding Requirements

Tourism Middlesex Basic Operational Costs $57,200 Less Revenue On Hand HSTRebates &Admin ($20,800) Revenue Less Estimated Tourism Membership Dues 100 artists@ $150 ($15,000) Funding Requirements Estimated Shortfall $21,400 Plus Project Contributions DoorsOpen. Middlesex $5,000 BR&EAction Plan $5,000 Taste & Tour Middlesex $5,000 Middlesex County 2014/2015 Contribution $36,400

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