[PPT] - Public Meeting April 10, 2019 Service Highlights Budget Process PowerPoint Presentation

SLIDE 1

Public Meeting – April 10, 2019

SLIDE 2

 Service Highlights  Budget Process  Tax Levy Explained  Budget Highlights for 2019  Revenues  Expenditures (Operating and Capital)  Tax Rate Impact  Budget and Strategic Plan  2019 and Future Budget Challenges

SLIDE 3

Transportation Services
Patrol, Maintenance and Repair of 437 km of

Unpaved and 46 km of paved roads including Winter Maintenance

Improved Dust Control, gravel for repairs, and

Phragmites Control in 2019

Prot
tec

ection S Services es

Fire and Police protection for 3,866 Residents

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Environme

menta tal S Serv rvic ices

Waste and Recycling collection for 1,646

households and 95 Business properties and

peration of the landfill
Rec

ecreat ation an and Cultural S Ser ervices es

Maintenance and operation of parks and recreational

facilities such as the Community Centre, Pool, South Dunwich Hall, Ball Diamonds, Theatre, Soccer Fields, Walking Path and the new Splash Pad.

Hea

Health S Ser ervices

Maintenance and operation of the Medical Centre and

Cemeteries.

SLIDE 5

Admi

minis istrativ ive S Serv rvic ices

Governance of the municipality
Assurance regarding compliance with legislation,

billing and collection for municipal services, application for government funding, advocacy for the municipality and its residents

Planning and Deve

velopm pment Servi vices

Building inspection and issuance of permits
Planning and zoning services provided
Economic Development
Heritage Committee funding
Drain maintenance and construction supervision

and governance under the Drainage Act

SLIDE 6

 Donated $22,500 to a variety of organizations including:

 Wallacetown Agricultural Society, Dutton Dunwich Horticultural

Society, and Backus-Page House Museum

 Allocated $120,000 toward a variety of organizations and

programs including:

 Lower Thames Conservation Centre and West Elgin Arena

 Provided summer students with employment and the

continued support of programs and community events, such as Canada Day Celebrations and the Santa Claus Parade

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 At the centre of the municipal finance system is the budget. Through

the budget, the council decides the municipality's priorities for the next year by setting aside money for each program or service. The budget is the single most important policy decision council makes each year. Careful budget planning and control mean better services for the residents. The budget of a municipality reflects its policies.

 The Municipal Act - governs what we can do and cannot do and

every aspect of our operation

 Required to have a “Balanced Budget”

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Expenditures

Assessment Growth

Non-Property

Tax Revenues

Tax Rate Increase

Net Budget/ Tax Levy

SLIDE 9

 Budget target of 3% tax levy increase was

provided by Council

 Department submission of budget requests  Unedited first draft was reviewed with Council  Detailed review by the Finance and

Department managers

 Second, third, and fourth drafts were

reviewed/prioritized/ amended by Council

 Public Budget meeting

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 Tax Rates are set by Council  Taxes need to increase to balance the budget and fund

the Municipality.

 Prior year tax rate increases:

2019 – 0.05%
2018 – (2.94)%
2017 – 1.86%
2016 – 3.0%

SLIDE 11

 Total budgeted Tax Levy increase – 4.36%

and is broken down as:

MPAC Assessment growth - 4.31%
Tax Rate increase – 0.05%

SLIDE 12

2019 Municipal Tax Levy

$324, $324,559 559 Munici cipal al L Level $155, $155,376 376 or 47. 47.9% 9%

2018 2019: Tax Levy Increase/(Decrease ) % Change

% Change % Change

Tax Levy MPAC Tax Rate Total Levy Total

MPAC Tax Rate

Municipal $ 3,562,423 $ 153,647 $ 1,927 $ 3,717,999 4.36%

4.31% 0.05%

County 2,555,305 110,134 19,420 2,555,305 5.07%

4.31% 0.76%

Education 914,860 39,430

954,290

4.31%

4.31% 0.00%

Total $ 7,032,588 $ 303,211 $ 21,348 $ 7,227,594 4.62%

4.31% 0.30%

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Municipal 52% County 35% Education 13%

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PROPERTY CLASS % CHANGE RESIDENTIAL 4.27% MULTI RESIDENTIAL 1.78% COMMERCIAL OCCUPIED

2.53%

INDUSTRIAL OCCUPIED 30.94%

COMM. VACANT LANDS

49.77%

COMM. EXCESS LANDS

75.92% PIPELINES 2.80% FARMLANDS 5.34% MANAGED FORESTS 29.67% NEW CONSTRUCTION COMMERCIAL 1.67% TOTAL WEIGHTED ASSESSMENT GROWTH 4.31%

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AMOUNT TO BE RAISED 3,717,799 2019 TAX RATE CALCULATIONS - OWN PURPOSE % TAX OF FULL WEIGHTED TAX TAX PROPERTY CLASS ASSESSMENT RATIO RATE ASSESSMENT RATE LEVY 2019 Assessments RESIDENTIAL 333,717,698 1.000000 100% 333,717,698 0.008056 2,688,338 FARMLANDS 410,678,737 0.230000 100% 94,456,110 0.001853 760,912 MANAGED FORESTS 1,365,432 0.250000 100% 341,358 0.002014 2,750 MULTI- RESIDENTIAL 4,983,000 1.999999 100% 9,965,995 0.016111 80,283 COMMERCIAL - OCCUPIED 9,457,725 1.637600 100% 15,487,970 0.013192 124,767 COMMERCIAL NEW CONSTRUCTION FULL 925,959 1.637600 100% 1,516,350 0.013192 12,215 COMMERCIAL NEW CONSTRUCTION EXCESS

1.637600

100%

0.013192
COMMERCIAL - EXCESS

186,300 1.637600 100% 305,085 0.013192 2,458 COMMERCIAL - VACANT 383,950 1.637600 100% 628,757 0.013192 5,065 INDUSTRIAL - OCCUPIED 676,055 2.225100 100% 1,504,290 0.017925 12,118 INDUSTRIAL - NEW CONSTRUCTION FULL

2.225100

100%

0.017925
INDUSTRIAL - EXCESS
2.225100

100%

0.017925
INDUSTRIAL - VACANT
2.225100

100%

0.017925
PIPELINE

3,133,464 1.144600 100% 3,586,563 0.009221 28,892 765,508,320 461,510,176 3,717,799 EXEMPT 21,419,814 0.00805573

COMMERCIAL PIL - FULL

978,121 2018 amount raised 3,562,423 Commercial PIL - GENERAL 1,364,000 COMM PIL EXCESS 166,750 NEW COMMERCIAL TAXABLE - FULL, SHARED 7,853,175 Increase (Decrease) 155,376 NC COMM PIL EXCESS 432,075 FARMLAND TAXABLE FULL, SHARED PIL 23,225 4.36% LANDFILL PIL 838,500 INDUSTRIAL PIL 17,725 798,601,705 2018 Increase (Decrease) 107,620 TOTAL PER MPAC 798,601,705 3.12%

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Property Taxation (Municipal) 66% Payments in lieu of taxes 1% User charges 4% Federal 1% Other municipalities 10% Province of Ontario 9% Penalties and interest

n taxes

2%

SLIDE 17

Year Funding 2013 $1,027,200 2014 $899,900 2015 $727,200 2016 $619,900 2017 $526,400 2018 $447,500 2019 $403,200

2019 2019 Impact o

n Municip

icipal Ta Tax x Levy = = 1. 1.24% 24% Increase

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 Total operating expenditures are $5,678,384  The largest department operating expenditure is

transportation ($2.17M) followed by protection services ($1.17M).

 Consistent with other Municipalities, the largest

perating expenditure is salaries and benefits

($2.2M).

SLIDE 19

General government 16% Protection of persons and property 21% Transportation services 38% Environmental services 7% Health services 5% Recreation and cultural services 9% Planning and development 4%

SLIDE 20

 Increase in Tax Revenue

155,376

 OMPF Decline

(44,300)

 OPP Increase

(3,295)

 LTCA Levy Increase

(1,513) Remaining Tax Increase 106,628

2.98% 2.98% Ta Tax Lev evy Incr crease

SLIDE 21

Water

Trunk Line Replacement - Currie Road $ 300,000 Currie Road Waterline Resizing $ 200,000 Cowal Road Waterline $ 250,000 $ 750,000

Administration

Server Upgrades $ 6,000 Roof Repair $ 6,000 $ 12,000

SLIDE 22

Public Works

Pioneer Line - Microsurface $ 180,000 Annie Street - Currie to Wesley Rehabilitation $ 150,000 Homestead Bridge Replacement $ 714,159 Homestead Hill Repair $ 50,000 Tandem Plow Truck Replacement $ 325,000 LED Conversion at Roads Garage $ 16,400 Brine Pond $ 75,000 $ 1,510,559 Parks & Recreation Splash Pad $ 150,000 LED Conversion at Community Centre $ 22,400 Community Centre Upgrades $ 20,000 $ 192,400

SLIDE 23

Debt, 33.9% Grants, 31.0% Fed Gas Tax, 4.8% Tax Revenue , 6.0% Donations, 6.1% Property Owner Recovery, 10.1% Developer Recovery, 8.1%

SLIDE 24

Tax Rate and Assessment Impact on the average Residential Property 2017 2018 2019 Change Average Assessed Value 183,133 196,585 204,609 8,024 Taxes: Municipal Taxes 1,514.93 $ 1,582.78 1,648 65.50 County Taxes 1,120.50 1,181.85 1,230 48.24 Education Taxes 327.81 334.19 348 13.64 Total Taxes 2,963.24 3,099 3,226 127.38

SLIDE 25

Tax Rate and Assessment Impact on the average Farm Property 2017 2018 2019 Change Average Assessed Value 394,702 458,638 524,494 65,856 Taxes: Municipal Taxes 816.27 923.17 971.79 48.63 County Taxes 603.75 689.32 730.72 41.40 Education Taxes 176.63 194.92 209.80 14.88 Total Taxes 1,596.65 1,807 1,912 104.90

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Strategic Priority To focus on financial management and planning in order to retire debt and increase revenues allowing the municipality to maintain and improve upon its services. Increased grants were obtained for 2019 Capital and services were increased in the form

f a Splash Pad.

No Services were cut in the 2019 Budget

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 Establish a 10 year infrastructure replacement

plan - The Municipality worked with a consultant in 2014 to develop an Asset Management Plan. Asset Management software was implemented in 2018 and further updates to the AMP will take place in 2019. This will ensure the Municipality’s eligibility for provincial funding and assist staff in managing infrastructure assets in the future.

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 Reduction in Ontario Municipal Partnership Funding (OMPF). Ontario

Government is conducting a comprehensive review in 2019.

 Continued increase in utility and fuel costs including Carbon Tax  More grant money has been promised by the Federal and Provincial

Governments. An updated Asset Management Plan will identify

Shovel-ready projects and ensure asset replacement is effective and efficient.

 Municipality needs to continue to reduce overall debt and increase

reserves as a contingency

 Find new sources of revenues and cost savings and continue to

lobby the Provincial government for new revenue tools

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 Thank you to Council, committees, and the

various departments for their help in preparing the 2019 budget.

 This presentation is available on our

Municipal Website at www.duttondunwich.on.ca

 Questions?

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APPEN ENDI DIX

SLIDE 31

2018 BUDGET 2019 BUDGET BUDGET DIFF % 1 COUNCIL

83,565 89,373 5,808 6.95%

ADMINISTRATION 2 Expenses

850,034 810,737

39,297
4.62%

3 Debt Repayment

6,191 7,761 1,570 25.36%

4 CONTINGENCY FUND

20,000 20,000 959,790 927,871

31,919
3.33%

FIRE 5 Expenses

321,538 286,367

35,171
10.94%

6 Debt Repayment

3,788 3,788 0.00%

7 Reserves

40,000 30,000

10,000
25.00%

8 POLICE

560,472 563,767 3,295 0.59%

9 BUILDING INSPECTION

138,558 129,923

8,635
6.23%

10 SERVICE ONTARIO

68,110 67,861

249
0.37%

11 ANIMAL CONTROL

17,300 16,550

750
4.34%

12 CONSERVATION AUTHORITY

49,974 51,487 1,513 3.03%

13 BY-LAW ENFORCEMENT

10,000 8,500

1,500
15.00%

14 EMERGENCY MANAGEMENT

8,900 8,900 0.00% 1,218,640 1,167,143

51,497
4.23%

ROADS 15 Expenses

1,570,538 1,623,446 52,908 3.37%

16 Debt Repayment

193,548 184,453

9,095
4.70%

17 Capital Funding

75,000 125,000 50,000 66.67%

18 Vehicles Fuel

69,750 87,250 17,500 25.09%

19 Vehicles Repair

91,150 119,600 28,450 31.21%

20 STREET LIGHTS - Expense

19,090 14,000

5,090
26.66%

21 STREET LIGHTS - Debt Repayment

15,137 12,888

2,249
14.86%

2,031,689 2,166,637 134,948 6.64%

22 WASTE COLLECTION/DISPOSAL

305,879 310,417 4,538 1.48%

23 RECYCLING

21,000 21,000 0.00%

24 HHWD

12,400 6,500

5,900

LANDFILL 25 Expenses

32,976 44,546 11,570 35.09%

26

Debt Repayment 2,524 2,524 0.00% 374,779 384,987 10,208 2.72%

OPERATIONS

CLASSIFICATION GENERAL GOVERNMENT PROTECTION SERVICES TRANSPORTATION SERVICES ENVIRONMENTAL

2019 BUDGET

SLIDE 32

2018 BUDGET 2019 BUDGET BUDGET DIFF %

MEDICAL CENTRE 27 Expenses

230,777 262,848 32,071 13.90%

28 Debt Repayment

3,345 4,461 1,116 33.36%

CEMETERY 29 Expenses

21,518 20,542

976
4.54%

30 Debt Repayment

394 382

12

0.00% 256,034 288,233 32,199 12.58%

31 REC ADMIN

13,351 12,950

401
3.00%

32 COMM CENTRE Expenses

161,830 198,133 36,303 22.43%

33 COMM CENTRE Debt Repayment

25,575 32,457 6,882 26.91%

34 POOL

118,679 97,029

21,650
18.24%

35 SPLASH PAD

8,000 8,000

36 PLAYGROUND/DIAMONDS

16,750 12,400

4,350
25.97%

37 PICNIC AREAS - Expense

7,250 9,750 2,500 34.48%

38 PICNIC AREAS - Debt Pmt

2,615

2,615

39 PROGRAMS

5,550 5,650 100 1.80%

40 SPECIAL EVENTS

16,550 18,100 1,550 9.37%

41 SOUTH DUNWICH HALL

10,600 12,850 2,250 21.23%

42 OTHER RECREATION

50 300 250

THEATRE 43 Expenses

7,750 8,650 900 11.61%

44 Debt Repayment

1,821 1,821 0.00%

45 185 CURRIE

7,182 5,254

1,928
26.84%

LIBRARY 46 Expenses

24,936 21,107

3,829
15.36%

47 Debt Repayment

2,274 4,216 1,942 85.40%

48 WEST ELGIN ARENA

79,418 59,149

20,269
25.52%

502,181 507,816 5,635 1.12%

49 PLANNING & ZONING

49,500 57,376 7,876 15.91%

50 HERITAGE

4,000 4,000

51 DRAIN MAINTENANCE

144,900 146,787 1,887 1.30%

52 ECONOMIC DEVELOPMENT

6,400 6,200

200
3.13%

53 TILE DRAINAGE

29,062 21,334

7,728
26.59%

233,862 235,697 1,835 0.78%

54 TOTAL EXPENDITURES

5,576,975 5,678,384 101,409 1.82%

RECREATION AND CULTURAL PLANNING AND DEVELOPMENT

CLASSIFICATION

HEALTH

SLIDE 33

2017 BUDGET 2018 BUDGET BUDGET DIFF %

2018 BUDGET OPERATIONS

CLASSIFICATION

55 GENERAL GOVERNMENT - Rentals

(23,134) (23,000) 134

0.58%

56 GENERAL GOVERNMENT - FEES

(22,500) (25,000) (2,500) 11.11%

57 FIRE

(10,000) (10,100) (100) 1.00%

58 CANABIS

(10,000)

59 LICENCE INCOME

(40,000) (41,000) (1,000) 2.50%

60 BUILDING PERMITS

(65,000) (60,000) 5,000

7.69%

61 DOG TAGS

(23,000) (22,500) 500

2.17%

62 TRANSPORTATION

(20,000) (20,500) (500) 2.50%

63 RECYCLING

(20,000) (20,000)

0.00%

64 LANDFILL FEES

(20,000) (12,500) 7,500

37.50%

65 COMMUNITY CENTER - Rentals

(20,000) (22,520) (2,520) 12.60%

66 POOL FEES

(26,450) (24,300) 2,150

8.13%

67 DIAMOND/FIELD RENTALS

(2,000) (2,000)

0.00%

68 PARK/PICNIC AREA RENTALS

(250) (600) (350) 140.00%

69 PROGRAM FEES

(1,100) (1,800) (700) 63.64%

70 SPECIAL EVENTS

(13,700) (13,000) 700

5.11%

71 SOUTH DUNWICH HALL

(5,000) (5,000)

0.00%

72 OTHER RECREATION

(550) (300) 250

45.45%

73 THEATRE

(2,000) (2,000)

0.00%

74 185 CURRIE RENTAL

(2,654) (2,700) (46) 1.73%

75 LIBRARY RENTAL

(70,964) (72,383) (1,419) 2.00%

76 PLANNING FEES

(21,000) (21,000)

0.00%

77 MEDICAL CENTRE

(139,300) (149,250) (9,950) 7.14%

78 CEMETERY

(12,000) (10,000) 2,000

16.67%

79 TILE DRAINAGE

(29,062) (21,334) 7,728

26.59%

80 DRAINAGE FEES/INTEREST

(1,000) (10,000) (9,000) 900.00% (593,664) (602,787) (9,123) 1.54%

81 BUILDING INSPECTION RECOVERY

(69,279) (64,735) 4,545

6.56%

82 COUNTY ROADS

(449,934) (454,634) (4,700) 1.04%

83 HHWD

(6,200)

6,200

84 PROVINCIAL OFFENCES ACT

(30,250) (45,250) (15,000) 49.59%

86 DONATIONS - LIONS CLUB,ETC

(6,100) (6,100)

0.00%

87 Other Grants

(3,050) (1,000) 2,050

67.21%

(564,813) (571,719) (6,906) 1.22%

MUNICIPAL

SLIDE 34

2017 BUDGET 2018 BUDGET BUDGET DIFF %

2018 BUDGET OPERATIONS

CLASSIFICATION

89 OMPF

(447,500) (403,200) 44,300

9.90%

90 BLUE BOX GRANT

(35,000) (35,000)

0.00%

91 ONTARIO TIRE STEWARDSHIP

(1,000)

1,000
100.00%

92 OMRFA DRAIN SUPER

(35,000) (30,000) 5,000

14.29%

93 DRAIN CONST/MTCE GRANT

(91,675) (28,713) 62,962

68.68%

(610,175) (496,913) 113,262

18.56%

94 SUMMER STUDENT

(12,000) (10,000) 2,000

16.67%

(12,000) (10,000) 2,000

16.67%

95 ADJUSTMENTS

30,000 30,000

0.00%

96 ALLOWANCE

20,000 10,000 (10,000)

50.00%

97 SUPPLEMENTAL

(40,000) (40,000)

0.00%

98 HYDRO PIL

(14,500) (24,166) (9,666)

99 PAYMENT IN LIEU

(129,400) (135,000) (5,600)

100 PENALTY/INTEREST

(100,000) (120,000) (20,000) 20.00% (233,900) (279,166) (45,266) 41.15%

101 TOTAL REVENUES

(2,014,552) (1,960,585) 53,967

2.68%

102 TO BE RAISED BY TAXES

3,562,423 3,717,799 155,376 4.36%

TAXATION ONTARIO CANADA

SLIDE 35

Project Account 2019 Budget COMMENTS FUNDING No. Code SOURCE Administration 19-11 Server and Backup Upgrades 03-2200-0096 $6,000 Operating 19-12 Roof Repair - 199 Currie 03-2200-0096 $6,000 Operating From Operating ($12,000) Total Expenditure

$

Public Works 19-01 Pioneer Line - Microsurface 03-5410-0205 $180,000 Gas Tax/Debt Gas Tax ($117,280) 19-02 Tandem Plow Truck Replacement03-5410-0204 $325,000 Debt/Operating From Operating ($125,000) 19-03 Annie Street - Currie to Wesley 03-5410-0205 $150,000 OCIF/Debt OCIF - Formula ($118,270) 19-05 Homestead Hill Roadwork 03-5410-0206 $50,000 Debt 19-09 LED Conversion at Roads Garage 03-5410-0202 $16,400 Incentive/Debt Incentive ($1,800) 19-22 Brine Pond - Remediation 03-5410-0206 $75,000 Debt 19-23 Homestead Bridge Replacement 03-5410-0205 $714,159 OCIF/Debt OCIF - Top-Up Funding ($642,743) Total Expenditure 1,510,559 $ Parks & Recreation 18-11 Splash Pad 03-7130-0203 $150,000 Donations Lions Contribution ($60,000) Donations ($90,000) 19-13 LED Conversion at Community Ce 03-7110-0202 $22,400 Incentive/Debt Incentive ($2,590) 19-21 Community Centre Improvements 03-7110-0202 $20,000 Debt/Operating From Operating ($10,000) Total Expenditure 192,400 $ Total Expenditure Taxation 1,714,959 $ Total Funding (1,179,683) $ Total Taxation (Unfunded Capital) 535,276 $ Water Department 19-19 12" Trunk Line Replacement - Cur03-4200-0205 $300,000 Debt 19-20 Currie Road Waterline Resizing (6 03-4200-0205 $200,000 Devloper Funded Recovery from Developer ($200,000) Cowal Road Waterline 03-4200-0205 $250,000 Ratepayer Funded Recovery from Property Owners ($250,000) 300,000 $ Total Expenditure Water and Sewer 750,000 $ Total Funding ($450,000) Total Water and Sewer (Unfunded Capital) 300,000 $ Total Unfunded (Debt Required) 835,276 $