HomeMy WebLinkAboutPSD-078-07
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REPORT
PLANNING SERVICES
Meeting:
GENERAL PURPOSE AND ADMINISTRATION COMMITTEE
Date:
Friday June 8, 2007
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By-law #:
Report #:
PSD-078-07 File #: PLN 20.7.1
Subject:
FINANCIAL IMPACT ANALYSIS OF NEW DEVELOMENT AREAS
RECOMMENDATIONS:
It is respectfully recommended that the General Purpose and Administration Committee recommend to
Council the following:
1. THAT Report PSD-078-07 be received;
2. THAT the Purchasing By-law 2006-127 be WAIVED and that Hemson Consulting Ltd. be
retained to undertake the Financial Impact Analysis of New Development Areas for $60,000
subject to receipt of funding from the development proponents; and,
3. THAT any delegations be advised of Council's decision.
Submitted by:
D vi . Crome, M.C.I.P., R.P.P.
Director, Planning Services
Reviewed by: d~
nklin Wu
f Chief Administrative Officer
ancy Ta~ r, .B. ,C.A.,
~
A.S. Cannella,
Director of Engineering Services
CS/CPIDJC/df
31 May 2007
CORPORATION OF THE MUNICIPALITY OF CLARINGTON
40 TEMPERANCE STREET, BOWMANVILLE, ONTARIO L 1C 3A6 T (905)623-3379 F (905)623-0830
REPORT NO.: PSD-078-07
PAGE 2
1.0 BACKGROUND
1.1 Section 5.3.8 of the Clarington Official Plan states that the Municipality may require a
Financial Impact Analysis to be undertaken for major development proposals. The
Municipality shall retain a qualified professional to undertake such a study, but the
expense of the study is borne by the proponent(s). Where the analysis demonstrates
that the development will have an adverse effect on the Municipality's financial situation,
then the development will be considered premature and contrary to the intent of the
Official Plan.
1.2 The Municipality of Clarington is currently reviewing development applications from
Smooth Run Developments (Metrus Developments Inc.) and Brookfield Homes
(Ontario) Limited for the North Village Neighbourhood in Newcastle Village. The
Development Charges Study was prepared on the assumption that development was
not anticipated in this neighbourhood until sometime after 2015. The Municipality
requested that a Financial Impact Analysis be undertaken to understand the
implications of these developments on municipal finances. The Municipality retained
Hemson Consulting to undertake the study and the work has partially been completed.
1.3 Similar concerns were raised with development applications in the Northglen
Neighbourhood and development applications submitted by Far Sight Investments.
Reports on these applications have advised of the need for a Financial Impact Analysis.
1.4 The Municipality has been experiencing difficulty recently in terms of development
charges funding, in part due to the impact of large infrastructure projects that are
required to service development. This includes the grade separation improvements for
Mill Street to serve Port of Newcastle and the grade separation for Green Road to
service west Bowmanville. There has been strain on the park financing for new
neighbourhood parks which are not keeping up with the pace of development. In
addition, the Municipality has identified projects to service the Energy Business Park
and the Science & Technology Park which are priorities for economic development
objectives.
1.5 There are a number of large scale developments being considered in Bowmanville and
Newcastle Village that are either subject to development applications or are within areas
that are currently under neighbourhood design plan studies. The five (5) areas
proposed for this Financial Impact Analysis are as follows:
· Northglen Neighbourhood in Bowmanville
· Far Sight Development in Massey Neighbourhood in Bowmanville
· Port Darlington Neighbourhood in Bowmanville
· North Village Neighbourhood in Newcastle Village
· Wilmot Creek Retirement Community, Phase 8
REPORT NO.: PSD-078-07
PAGE 3
The total number of dwelling units proposed is approximately 5,000 units or a population
increase of 15,000.
In terms of the Municipality's infrastructure financing, all or significant portions of these
areas were not anticipated to occur until after 2015. Prior to processing these
applications, the Municipality of Clarington needs to understand the long term revenue
and expenditure impact of these proposals on the Municipality's finances.
In May 2007, staff requested Hemson Consulting to amend the scope of the initial
Financial Impact Analysis for North Newcastle Village to include all of the above noted
development areas.
2.0 POLICY CONTEXT FOR FINANCIAL IMPACT ANALYSIS
2.1 The efficient and cost effective expansion of infrastructure is addressed in the Provincial
Policy Statement, Durham Region Official Plan and the Clarington Official Plan.
2.2 Provincial Policy Statement
The Provincial Policy Statement 2005 has a number of relevant policies on growth
management.
· Municipalities are to manage and direct land use to achieve efficient development
and land use patterns by promoting efficient development and land use patterns
which sustain the financial well-being of the Province and the municipalities over the
long- term;
· Land use patterns within settlement areas shall be based on densities and a mix of
land uses which efficiently use land and resources, and are appropriate for and
efficiently use the infrastructure and public service facilities which are planned or
available and avoid the need for their unjustified and/or economical expansion;
· Planning Authorities shall establish and implement phasing policies to ensure the
orderly progression of development within development areas and the timely
provision of the infrastructure and public service facilities require to meet current and
projected needs;
· Infrastructure and Public Service Facilities shall be provided in a coordinated,
efficient and cost-effective manner to accommodate projected needs. The use of
existing infrastructure and public services should be optimized where feasible before
consideration is given to developing new infrastructure and public services.
REPORT NO.: PSD-078-07
PAGE 4
2.3 Reaion of Durham Official Plan
Urban Areas shall be developed in accordance with the principles of sequential
development, progressive extension, improvement rehabilitation and economical
utilization or Regional water supply and sanitary sewerage facilities and minimization of
financial impacts on the region.
2.4 Clarinaton Official Plan
The Principles of the Clarington Official Plan state that public infrastructure and services
to accommodate growth will be extended in an orderly and cost efficient manner.
In considering an application for approval and phasing of residential development in
urban areas, including draft plans of subdivision the Municipality may seek to ensure:
a) The sequential development of neighbourhoods on prevention of leapfrogging of
vacant lands;
b) Development in or adjacent to Main or Sub Central areas; and
c) The economical use and extension of all infrastructure and services.
Council may declare a residential draft plan of subdivision to be premature and
recommend that it not be approved if any of the following circumstances apply:
a) The plan does not implement the principles contained in Section 5.3.6;
b) The municipal wide non-residential assessment is less than 15 percent of total
assessment;
c) The capital works and services required to service the lands and the future
residents are not within the Municipality's current budget or 10 year capital works
forecast as updated from time to time; or
d) Council is of the opinion that the Municipality's administrative and financial
resources are not sufficient to provide an adequate level of services for those
residents who would be accommodated in the proposed plan of subdivision as
well as to provide and maintain an adequate level of services for existing
residents and residents who will live in developments which have been approved
by the Municipality.
3.0 STUDY PROCESS
3.1 The Methodologv
The methodology used for the Financial Impact analysis would quantify the cost of
growth in the areas of the proposed development and identify the fiscal impact of the
proposed amendments on the Municipality. In this respect, future assessment, property
tax and development charge revenues and capital and operating expenditures will be
analyzed. Both the capital costs associated with providing necessary infrastructure for
the delivery of municipal services and the ongoing operation costs associated with
maintenance and operation of municipal services will be identified. The study will also
identify available revenue sources for both capital and operating expenditures to
determine the net impact on Clarington. The timing of the necessary capital works in the
context of the Municipality's broader growth related capital program and servicing
REPORT NO.: PSD-078-07
PAGE 5
demands of other new development will be considered. In addition, the study would also
provide an overview of Regional servicing requirements and constraints.
The study approach would focus on costs and benefits of growth, and would integrate
land use and demographic forecasts, identify the servicing requirements for the
development areas based on servicing needs and costs data provided in the 2005
Development Charges Background Study, and calculate the resulting financial impact
faced by the Municipality for both capital emplacement and ongoing operations and
maintenance. It will consider alternative financing strategies and possible changes to
the development process.
3.2 The Proposed Budoet
The proposed budget is $59,625.00 (not including GST). The proponents in each
development area have been requested to fund this study on the basis of their own cost
sharing formula.
3.3 Hemson Consultino
Craig Binning of Hemson Consulting Ltd. was responsible for the preparation of the last
three Development Charges Studies. Hemson Consulting is intimately familiar with the
Municipality's infrastructure plans and the financing strategy contained in the
Development Charges Study. Hemson has extensive experience in fiscal impact
modeling as outlined in their proposal. As such, Hemson Consulting was retained by
staff for the North Newcastle Village Financial Impact Study. The current proposal
incorporates the North Newcastle Village area and replaces the earlier study.
The scope of the revised work program has expanded to the range such that normally
tenders would be required. Based on the information provided above, it is
recommended that the purchasing by-law be waived and that Hemson be retained to
undertake this work. The Study is intended to be fully financed by the development
interests and it would not proceed until such time as the funding for the study is
provided by the Developers Group.
Although the study will involve input from all departments, a project Working Group will
be established with staff from Planning, Engineering, and Finance. The Region of
Durham will participate in this Study in order to coordinate regional servicing
requirements.
3.4 Developer Contribution
On Friday June 1, 2007, staff met with the development interests of the five areas
identified in this report. The developers have agreed to fund this project and will be
submitting their letters to proceed with the necessary funds by June 15, 2007.
REPORT NO.: PSD-078-07
PAGE 6
4.0 CONCLUSIONS
4.1 There are a number of large scale development applications currently before staff which
do not align with the timing assumptions in the Development Charges Background
Study. Consideration of these development applications must be evaluated in the
context of other projects currently budgeted for or forecasted for in the Development
Charges Study. The Financial Impact Analysis will assist staff in determining overall
fiscal impact on the Municipality in dealing with the infrastructure requirements to
service new development.
Attachments:
Attachment 1 - Key Map
Attachment 2 - Hemson Proposal for Financial Impact Study
List of interested parties to be advised of Council's decision:
Sernas Associates
D.G. Biddle Associates
The Kaitlin Group
Kevin Tunney, Tunney Planning Inc.
Roslyn Houser, Goodmans
REPORT NO.: PSD-078-07
INTERESTED PARTIES LIST
Name
Nick Mensink
Bob Annaert
Kelvin Whalen
Kevin Tunney
Roslyn Houser
Sernas
Associates
D.G. Biddle
Associates Ltd.
The Kaitlin Group
Tunney Planning
Inc.
Goodmans
110 Scotia Court
Unit 41
96 King Street East
1029 McNicol! Avenue
340 Byron Street South
Suite 200
250 Y onge Street
Suite 2400
Whitby, ON L 1 N 8Y?
Oshawa, ON L 1 H 1 B6
Scarborough, ON M1W 3W6
Whitby, ON L 1 N 4P8
Toronto, ON M5B 2M6
Attachment 1
To Report PSO-078-07
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Attachment 2
To Report PSD-078-07
FINANCIAL IMP ACT
ANAL YSIS OF
NEW DEVELOPMENT
Municipality of Clarington
REMSON Co nsu 1 ti ng Ltd.
May 24, 2007
TABLE OF CONTENTS
Page
BACKGROUND ................................................ 1
A. METHODOLOGY OF NEW ASSIGNMENT
REMAINS UNCHANGED. . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . .. . 2
B. HEMSON IS WELL QUALIFIED TO COMPLETE
A SUCCESSFUL STUDY. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
II PROPOSED WORKPLAN ......................................... 4
1. Initial Meeting with Project Work Group ........................ 4
2. Data Specification and Collection ............................. 5
3. Financial Impact Analysis ................................... 6
4. Preliminary Findings Meetings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7
5. Establish Growth Scenarios .................................. 7
6. Prepare and Present Report .................................. 8
III EXPERIENCED CONSULTING RESOURCES WILL BE
ASSIGNED TO THIS STUDY.. ..................................... 9
A. HEMSON HAS EXTENSIVE EXPERIENCE IN
FISCAL IMPACT MODELING. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9
B. THE CONSULTING TEAM HAS HIGHLY
EXPERIENCED PROFESSIONALS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9
IV CONSULTING ARRANGEMENTS AND BUDGET...................... 11
HEMS ON
BACKGROUND
In 2005 the Municipality of Cia ring ton received an application to amend the Clarington
Official Plan from both Smooth Run Developments (Metrus Developments Inc.) and
Brookfield Homes (Ontario) Limited. The amendment requested an increase in
population and housing targets for Newcastle Village and the North Village
Neighbourhood. Development of the subject lands under the application would provide
for up to 1,700 new residential units. The Municipality was not anticipating development
of the lands until the period beyond 2015.
The Municipality needs to understand what the long term revenue and expenditure
impact of the proposed development would be on the City's finances. Accordingly, staff
of the Municipality has recommended, and Council has supported, that the application
undergo additional review and consideration, including:
That the applicants be required to undertake a Financial Impact Analysis to address the
impacts of these proposal on the Municipality.
This financial impact analysis is further to section 5.3.8 of Clarington's Official Plan that
requires an analysis fo this type for any large scale developments. Accordingly, in 2006
Hemson Consulting was hired by the Municipality to undertake the analysis of the
proposed OP amendment.
In May, 2007 staff of the Municipality requested that Hemson submit a proposal and
workplan to expand the scope of the financial impact analysis. The new assignment would
include all new development proposed in Clarington to build out of the Municipality's
Official Plan and anticipated under the Municipality's 2005 Development Charges
Background Study. The new development comprises:
1. Brookhill Development in Bowmanville
2. Northglen Development in Bowmanville
3. Far Sight Development in Bowmanville
4. Port Darlington Development in Bowmaville
5. Wilmot Creek Retirement Community, Phase 8
6. North Newcastle Village Development in Newcastle
REMSON
2
Through the most recent Development Charge Study review the majority of the above
developments were anticipated to occur after 2015. The Wilmot Creek Retirement
Community, Phase 8, proposal is currently beyond the existing urban boundary and was
not contemplated at all.
A. METHODOLOGY OF NEW ASSIGNMENT REMAINS UNCHANGED
The study objective is to quantify the cost of growth in the areas of the proposed
developments and identify the fiscal impacts of the developments on the Municipality. In
this respect, future assessment, property tax and development charge revenues, and capital
and operating expenditures in Clarington will be analyzed.
The methodology used for the financial impact analysis of all new development would be
the same as that employed for the analysis of the North Newcastle Village development.
Both the capital costs associated with providing the necessary infrastructure for the
delivery of municipal services, and the ongoing operating costs associated with the
maintenance and operation of municipal services, would be identified. The study would
also identify available revenue sources for both capital and operating expenditures to
determine the net impact on Clarington. This would include an assessment of the fiscal
impact of establishing front-ending or similar cost sharing arrangements between the
Municipality and the developers. This assessment would be used by the municipal solicitor
in providing advice to Council on such options, as proposed by some of the developers.
The timing of the necessary capital works in the context of the Municipality's broader
growth-related capital program and the servicing demands of other new development
would be considered. In addition, the study would also provide an overview of Regional
servicing issues and constraints.
Hemson's approach to the study would focus on the costs and benefits of growth, and
would integrate land use and demographic forecasts, identify the servicing requirements
for the expansion area based on servicing needs and cost data provided in the Municipal-
ity's 2005 Development Charges Background Study (costs and timing of works to be
reviewed with Municipal staff), and calculate the resulting financial impact faced by the
Municipality for both capital emplacement and ongoing operations and maintenance.
HEMS ON
3
B. HEMSON IS WELL QUALIFIED TO COMPLETE A SUCCESSFUL STUDY
Hemson Consulting has considerable experience in the development of economic and
fiscal assessment models and is highly respected for its work in the development charges
area. Our approach is to work closely with the Municipality's staff to develop models and
analysis which are concise, clear and easily understood. The models developed for
undertaking the analysis are flexible and permit changes to be made easily in response to
revisions in input data and planning assumptions.
Hemson is ideally suited to undertake this assignment based on our expertise in both fiscal
impact modeling and development charges and our experience with the Municipality of
Clarington. In the following section the approach we propose for this assignment is
described. In the subsequent sections we identify the consulting resources we would assign
to the project and provide our fee proposal. Resumes of key staff involved in the
assignment and our firm's qualifications are provided in the appendices.
HEMSON
4
II PROPOSED WORKPlAN
The proposed workplan is shown schematically on Exhibit 1. It is scheduled so that the
analysis is undertaken in June and July 2007, the presentation of preliminary findings is
made in August, and the preparation and presentation of results is completed by the third
week of September.
In the workplan it is proposed that the current Project Working Group established for the
original North Newcastle Village financial impact analysis be maintained. Staff members
from the key departments impacted by the study - Planning, Engineering/Building,
Finance, Community Services, Operations, and Emergency and Fire Services - will have
to be consulted regularly during the study process. The involvement of some departments,
such as Community Services and Emergency Services, may be more limited and we will
discuss this at the initial meeting.
It is our experience that the use of working groups facilitates the collection and
consistency of data as well as the understanding and knowledge of key staff regarding the
study methodology and results. We will work closely with the Project Work Group
throughout the study.
1. Initial Meeting with Project Work Group
A meeting of the Project Work Group is proposed to kick-start the project. It is proposed
that this meeting take place early in the week following the awarding of the study. The
objectives of this meeting will be to:
· review the proposed workplan and time lines;
· review the proposed study approach;
· identify and receive key background data required to conduct the study;
· receive available planning and land use information for the proposed
expansion areas;
· receive copies of any additional servicing studies;
· discuss other data required from departments for forecasting capital and
operating costs;
· discuss the degree to which Regional services and impacts will be
examined; and
REMSON
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· discuss key service and financial issues which will require attention during
the development of the fiscal impacts.
2. Data Specification and Collection
During this stage of the study the specific data required to undertake the analysis will be
defined. Hemson will define the specific requirements and develop the required
cost/revenue data. Some assistance will be required from Municipal staff and the
developers for the collection of base data. The types of data that will be required include:
· the anticipated amount, type and location of proposed development (an
estimate of the amount of development by ten year periods will be required
in order to calculate development charges for certain services in accor-
dance with the Development Charges Act);
· identification of the capital infrastructure required to service the proposed
development areas;
· the Municipality's historic current service standards for recreational and
cultural facilities, fire and policing to determine the amount of capital
infrastructure required for these services and the amount recoverable from
development charges;
· operating cost data, to determine the marginal cost impacts of operating
and maintaining the new infrastructure;
· evaluation of growth-issue, such as timing of development and impact on
other development in the development areas and the balance of the
Municipality;
· consideration of Regional servicing issues;
· average assessment data by property tax class to provide the basis for the
assessment forecast for the expansion area.
During this stage of the project the fiscal model will be developed. In many ways the
model will resemble a development charges model. The model will provide for the capital
servicing plans for each municipal service, identify the growth related net capital costs
which are recoverable from development charges, and non-growth related capital funding
requirements, as well as the ongoing operating costs arising from development of the
expansion areas.
The model will also include elements that go beyond a development charges model - one
module will provide assessment forecast for the expansion areas. The model will also
include the value of capital infrastructure that will be developed within plans of
subdivisions and the operating and maintenance costs associated with this infrastructure.
The model will be user friendly and flexible, so that assumptions can easily be revised.
HEMS ON
6
3. Financial Impact Analysis
During this stage of the study we will use the model to develop the capital and operating
cost/revenue forecast for development in each of the expansion areas. Each service will be
analyzed separately.
a. Capital Forecast
A capital forecast will be developed for each service based on the servicing
requirements identified by departments. The capital forecast will consider two
types of capital:
· Growth-Related Capital to be emplaced by the Municipality. This would
include the roads works, the construction of storm drainage facilities,
impact on Community Services, fire stations, expansion of fire fleets, etc.
As with a development charges study, the portions of projects to be
financed from development charges as well as portions requiring non-
development charge funding (e.g. non-growth shares, 10 per cent discount
portion) will be identified. The latter costs will affect tax rates either as
debt charge financing or capital from current. For "soft" services such as
Community Services, this will require identification of the Municipality's
ten year average service level so that the amount of funding to come from
development charges can be calculated.
· Capital Received Through Dedication - the amount of servicing to be
emplaced within residential and non-residential subdivisions will need to
be estimated by departments. This includes the length roadways, sidewalks,
etc., so that the operating and maintenance costs associated with these
services can be quantified.
b. Operating Costs and Revenues
The analysis of operating costs for the expansion area will be based on the
Municipality's 2007 budget. Costs/revenues will be developed for key services on
a program or sub-program basis, e.g. $/lane km for winter maintenance vs. $/km of
road shoulder maintenance. Costs will be forecast on a marginal basis, exclusive
of departmental and central administrative costs, for our experience suggests the
loading of "overheads" is not as realistic as it once was. It is proposed that these
costs be isolated, and their growth forecast at independent rates based on
assumptions defined through discussion with departmental representatives.
The analysis of operating costs and revenues will be exclusive of debt charges or
other capital financing. Capital financing requirements (debt, capital from
current) will be considered in the capital forecast.
HEMSON
7
Operating revenues will be forecast by service based on either average consump-
tion figures per development type (residential vs non residential) for roads (trip
generation), or based on the Municipality's average cost/revenue ratios for services
such as recreation centres. Adjustments to these averages may be required if
departments anticipate different demand levels in the expansion area.
The net operating cost impact will be calculated by service, and the total net
operating cost impact to be met through property taxation will be determined.
Property tax revenue will be based on a forecast of assessment for each of the
expansion areas based on average assessments for the different property types and
reflective of the appropriate tax classes.
c. Overall Impact
The resulting financial requirements determined in the forecasts of capital
requirements, operating costs and revenues will be consolidated to determine the
overall fiscal impact on the Municipality of the proposed developments. Annual
tax impacts will be calculated to build-out of each of the development areas.
4. Preliminary Findings Meetings
The preliminary results of the financial impact analysis will be presented in workshop
sessions to the Project Working Group, developer representatives, and members of
Council for their input and review.
5. Establish Growth Scenarios
With the assistance of the Project Working Group and senior municipal staff a number
of growth scenarios for the Municipality will be established. The growth scenarios will
consider the rate and quantum of growth arising out of the six developments as well as the
Municipality as a whole. Particular attention will be paid to determining the degree to
which the six developments displace growth anticipated in the Municipality or stimulate
growth over and above that already projected for the Municipality in the 2005
Development Charges Background Study.
The growth scenarios will include a base case in which growth, and the timing and cost
of future infrastructure, proceeds according to the forecasts in the 2005 Development
Charges Background Study.
HEMSON
8
6. Prepare and Present Report
With direction from Municipal staff, a draft report will be prepared. The focus of the
report will be the financial impact of each of the growth scenarios established in Step 5.
The report will summarize the capital and operating cost/revenue forecasts and resulting
fiscal impacts as calculated in Step 3 for each of the growth scenarios. The report will also
summarize the capital and operating cost/revenue forecasts by service, the key assumptions
on which the forecasts were based, and will identify the overall fiscal impact on the
Municipality in terms of a tax impact and on development charge reserve funds. Detailed
capital and operating cost/revenue forecasts by service will be included as appendices.
The report will be presented to the Project Working Group in August for their review.
The workplan provides for presentation of the final report to the Municipality's General
Purpose and Administration Committee and the public. Two additional meetings with
developer representatives prior to finalization of the report are also incorporated into the
workplan.
HEMSON
9
III EXPERIENCED CONSULTING RESOURCES Will BE
ASSIGNED TO THIS STUDY
A very strong consulting team with extensive experience in the development of fiscal
impact models and development charges is proposed for this study. A brief summary of our
firm and the study team members who will be involved in the study follows.
A. HEMSON HAS EXTENSIVE EXPERIENCE IN FISCAL IMPACT MODELING
Hemson Consulting Ltd. was incorporated in 1983. The firm specializes in public policy
advice in the areas of municipal finance, development planning, demographic and
economic forecasting, and real estate valuations. The staff includes finance professionals,
planners, demographers, real estate specialists and economists. Hemson's offices are
located in Toronto.
Hemson has developed some of the most detailed municipal financial models for
long-range financial planning and fiscal impact analysis in the Province, dealing with the
full range of municipal services in many different situations. We have recently completed
and are working on a number of fiscal impact models for a variety of municipal clients
including; the Cities of Brampton, Vaughan and Peterborough, Towns of Innisfil, Blue
Mountains and New T ecumseth and many others. We have also recently completed a
detailed Long Range Financial Plan for the City of Greater Sudbury. Financial impact
models have also been developed for the Town of Richmond Hill, the Town of Markham
and the Region of Peel. The firm is also highly regarded by both its municipal clients and
the development industry for its aggressive, yet fair, reasonable and thorough approach to
development charges.
B. THE CONSULTING TEAM HAS HIGHLY EXPERIENCED PROFESSIONALS
For this assignment, we are proposing a very strong consulting team with extensive
experience in long range financial planning for municipalities.
HEMS ON
10
Craig Binning, Partner - Craig has extensive experience with long-range financial
planning and the Development Charges Act for municipalities. He has recently directed the
development of a number of long-range financial planning models, including those for the
Town of Aurora and Town of Innisfil, and currently is leading similar projects for the
Town of the Blue Mountains and City of Peterborough. Craig has directed numerous
development charge studies under the Development Charges Act, 1997, including for: the
Municipality of Clarington; the Cities of Thorold, Aurora, Windsor, Peterborough and
Owen Sound; the Towns of Innisfil, New Tecumseth, Penetanguishene; and the
Townships of Springwater, Brock, Scugog and Uxbridge. Craig also assisted the Region of
York on the transportation component of its most recent development charges study.
Russell Mathew, Associate Partner - Russell has 20 years of professional experience in
demographic and economic forecasting, strategic planning and land economics. He has
prepared forecasts of population, housing and employment for all major cities in Canada
and for most municipalities in southern Ontario. Russell has directed and/or undertaken
all of the firm's demographic and economic forecasting work over the past 15 years
including Clarington's 2005 development charges study. He has also managed many
growth management projects throughout southern Ontario.
Stefan Krzeczunowicz, Consultant - Stefan will be assisting Craig throughout the
assignment. Stefan has experience in all aspects of fiscal impact and development charge
studies and has recently been involved in studies on behalf of Clarington, Halton Hills,
and the Counties of Grey and Peterborough. He has been assisting Craig with the
financial impact analysis of the North Newcastle Village development.
HEMSON
11
IV CONSULTING ARRANGEMENTS AND BUDGET
The proposed total upset budget for this study, including professional fees and disburse-
ments, is $59,625. The budget is summarized by major work task in Exhibit 2. Invoices will
be submitted monthly indicating time spent and expenses incurred on your behalf.
Questions concerning this proposal may be directed to Craig Binning, at (416) 593-5090
(ext. 20).
Yours very truly,
HEMSON Consulting Ltd.
~
Craig Binning
Partner
HEMSON
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