HomeMy WebLinkAboutTR-12-90TOWN OF NEWCASTLE
REPORT File #
Res. #
By-Law #
-~7jN0; SPECIAL GENERAL PURPOSE & ADMINISTRATION COMN
j~TE; March 9, 1990
REPORT #: TR-12-90 FILE #:
SUB,,ECT:
1990 CAPITAL BUDGET & 1990 CURRENT BUDGET
RECOMMENDATIONS:
It is respectfully recommended that the General .Purpose and
Administration Committee recommend to Council the following:
1. That report TR-12-90 be received for information; and
2. That the 1990 Capital and Current Budget be approved, as
outlined in Report TR-12-90.
Background & Comments•
1. Overall increase:
The 1990 Current Budget and 1990 Capital Budget are presented for
Council's consideration.
The 1990 mill rate for municipal purposes only, has been calculated
as follows:
...2
TR-12-90 Page 2
Municipal Mill Rate 1990 1989
Increase Proposed
Residential 129.32 119.97 7.79 8
Commercial 152.14 141.14 7.79 $
These calculations are based on the attached capital and current
budget, with the library budget adjusted to reflect a 158 increase
in its 1989 current budget, and the Library capital budget adjusted
to reflect only the eastern branch capital costs. The budget
otherwise, with the library budget as proposed would reflect an
increase of 12.598 overall. A graphic representation of total
costs is attached as Schedule B.
The 1990 current budget, which reflects all the capital projects,
has been addressed at the staff level in such a manner as to
provide a maximum level of service at a max unum efficiency level
with consideration for the. tax impact.
2. Tax Impact Comments
The impact of the 1990 budget is considerably lower in relation to
the previous year's increase. This is primarily due to the
assessment growth, which is approximately 128, and the prior year's
surplus which was created in part, by the increase in revenue
generated from the building permits issued, and interest earned on
this increased revenue. The Public Works, Community Services and
Fire Department have again drawn on the lot levy Reserve Funds to
keep the capital impact on the tax levy at a reasonable level. The
proposed contributions from these funds are in keeping with a
conservatively projected 58 growth to replenish the drawdowns. It
is anticipated that there will be ample funding to provide for the
four year forecasted capital requirements. A copy of the projected
draws on the lot levy Reserve Funds and the respective balance over
the next four years is attached as ~Schedule A" for Council's
information. ,,,3
TR-12-90 Page 3
3. Capital Projects:
The 1990 budget year will see the completion of the Northern Fire
Station, the extension of parks facilities into open space
maintenance, the gxtension of the building services/profile program
that was initiated in 1989, along with the expansion of the
Newcastle Branch of the Newcastle Public Library. There are
significant road reconstruction projects planned in the 1990
capital budget, including Trulls Road from Highway #2 to George
Reynolds Dr. These reflect some of the items detailed in the
capital budget for 1990.
4. Operations Programs:
The Clerk's Department will be implementing "Freedom of
Information" as dealt with in recent legislation. This year will
also see an aggressive approach to making the Town of Newcastle as
efficient as possible in providing information to the public and
industry in terms updated information, through the accommodations
of industry standard software programs. The Courtice Fire Station
will move to a seven day per week, 12-hour schedule in 1990,and the
Bowmanville Fire Department will, beginning in October, bring on
a central dispatch unit for co-ordination of all Town requirements
after hours. In addition there will be a streamlined effort exerted
to market the excellent community services programs available to
the public.
4.2:
The completion of the pay equity process, and the phasing in of any
resulting changes will be provided through the "contingency value"
allotted in the 1990 current budget. The Town is also into it's
second full year of annual debenture charges associated with the
two major projects completed in the previous year. The total
related debt charges approximate $188,000 for principal and
$559,000 for interest, to total $747,000. These charges will be
completed in the year 2003, and are approximately the same total
charge each year. ,,,4
TR-12-90 Paoe 4
4.3:
The 1990 budget proposed to offer Council and Staff a program which
is designed to provide assistance in many areas of daily concern
such as budgeting, emotional and other problems. The program is
referred to as an "Employee Assistance Program~, and is available
for a reasonable cost ($52.50/person/year). There is a growing
awareness amongst employers such as the area Boards of Education
that ensuring the well being of employees has the potential to
enrich their contribution to the organization. This budget
proposes to introduce this program as a benefit to Council and
Staff, and monitor it's use and perceived benefit over the 1990
year.
5. Garbage Charoes:
The garbage will continue to be collected on a contracted basis
which will be accommodated as a "flat rate" charge through the tax
bill as in the prior year. The calculated value for the 1990
garbage collection fee is $156.00. This value represents a 7.6$
increase, which is in keeping with the proposed increase for the
municipal tax rate.
The garbage charge includes collection, which is a municipal
charge, as well as recycling and tipping fees which are Regional
charges. The budget is again assuming no rebate from the tipping
fees as there is no certainty of the receipt or the amount until
well into the year. The 1990 charge includes a contribution of
$319,000 from the previous years rebate received. (It otherwise
would have been $178. in 1990).
The contribution is applied from the Garbage Reserve. The balance
in this reserve at December 31,89 was $866,054, of which $817,266
represents the total of all rebates received to date from the
Region. Of the balance in the reserve, funds are committed toward
Laidlaw potential consultant and legal fees of approximately
$60,000 by Council Resolution, and proposed in the 1990 budget -
TR-12-90 Paqe 5
$ 319,000 to offset the taxpayer's garbage charge, and a further
$80,000 has been built into the contribution to the general fund
for possible consulting issues related to garbage. The remaining
balance in the Garbage reserve for future drawdown against garbage
charges would be $407,000..
The Ministry has advised that the rebate monies be applied to
Regional garbage charges. Staff deem it grudent to keep the charge
to the taxpayer at a reasonable and gradual increase rather than
creating wide fluctuations in the annual charge by applying all
the rebate in one year followed by a drastic increase. This
proposal has been conveyed to the Ministry, and initial discussions
indicate their agreement with this principle which is in keeping
with the mill rate application concept.
6. Conclusion-
In conclusion, the philosophical approach to the 1990 budget
presentation has been to provide a comprehensive package that will
provide maximum benefit and an increased service level to the
public through comparatively minimal impact.
It is respectively recommended that the 1990 capital and current
budgets be approved in their entirety.
Respectfully submitted, Recommended for presentation
to the Committee,
Marie A. Marano, H.BSc., Lawrence Rotseff,
Treasurer. Chief A istrative Officer.
MAM~PP
ATTACH:
PAQ7ECTHD LOT LBVIH9 - PUBLIC NORRS
LEVEL PROJECTED @ 5$
SCHEDULE "A"
1988 1989 1990 1991 1992 1993 1994
Opening Hal6ace (1,509,040) (1,555,217) (2,570,232) (3,353,332) (4,379,103) (4,863,512) (6,379,091)
Expendituree 288,559 657,362 1,324,300 1,187,000 1,839,000 926,000 605,000
Internal Transfers 725,099 513,856 0 0 0 0 0
Interest (159,828) (179,165) 0 0 0 0 0
DHVSLOPERS CONTRIB. (900,007)
_________________ (2,007,048)
_______________ (2,107,400)
_______________ (2,212,770)
___ (2,323,409) (2,439,579) (2,561,558)
Balance Bnd of Yr.
(1,555,217)
(2,570,232)
(3,353,332) ____________
(4,379,103) _______________
(6,863,512) _______________
(6,379,091) _____________
(8,335,65 D)
CONTAIHUTION9 (900,007) (2,007,048) (2,107,400) (2,212,770) (2,323,409) (2,439,579) (2,561,558)
ROADS CONTRIBUTIONS A898AV8 PUAD PROJHCTION
LEVEL PROJBCTHD @ 58
1986 3989 1990 1991 1992 1993 1994
Opening Balance (893,985) (1,260,616) (1,386,637) (949,292) (969,292) (949,292) (949,292)
Hxpeaditurea 236,333 401,116 814,373 0 0 0 0
Intereat (129,301) (168,063) 0 0 0 0 0
DHVHLOPERS COPTRIH. (473,663) (359,074) (377,028) 0 0 0 0
Balance Had of Yr. (1, 26 D, 616) (1,386,637) (949,292) (949,292) (949,292) (949,292) (949,292)
CONTRIBUTIONS (473,fi63) (359,074) (377,028) 0 0 0 0
BNOINffilING 6 INSPHCTION RS88RVE FURD PROJHCTION
LSVHL PAOJHCTED @ 58
1988 1989 1990 1991 1992 1993 1994
Opening Balance (22,8327 (242,315) (380,446) (694,193) (694,193) (694,193) (694,193)
Hxpenditurea - Capital 248,171 392,473 6,000 0 D 0 0
- Operatioae 0 0 204,250 0 0 D 0
Intereat (36,785) (31,559) 0 0 0 0 0
DBVHLOPERS CONTRIB.
___ (430,669)
_______________ (499,045)
_______________ (523,997)
_____ 0 0 0 0
Balance Bnd of Yr.
(242,315)
(380,446) __________
(694,193) _______________
(694,193) _______________
(694,193) _______________
(694,193) ____________
(694,193)
CONTBIHUTIONS (430,869) (499,045) (523,997) 0 0 0 0
ROADS CAPITAL RHBHRVH FUND PROJECTION
LHVHL PR0.7ECT8D @ 58
1988 1989 1990 1991 1992 1993 1994
Opening Balance (106,169) (83,120) (93,515) (18,515) 18,515
( )
(18,515)
(18,515)
Hxpendituree 35,117 0 75,000 0 0 0 0
Intereat (10,848) (8,695) 0 0 0 0 0
Hale of Lantle (1,220) (1,700) 0 0 0 0 0
DEVHLOPBRS CONTRIB. 0 0 0 0 0 0 0
Balance Hnd of Yr. (83,120) (93,515) (18,515) (18,515) (18,515) (18,515) (18,515)
CONTAIBUTIOPB 0 0 0 0 0 0 0
SCHEDULE "A-1"
PROa%cT%D LaT LHVI%s - cotaeuNlTx asRVmss
L%V&L PROJ%CT%D @ 5$
1988 1989 1990 1991 1992 1993 1994
Opening Balance (736,653) (659,980) (2,160,287) (2,331,312) (3,398,326
j
(3,600,016)
(5,389,540)
Hxpenditures 190,445 362,392 1,603,750 796,500 1,755,000 265,000 fi5,000
Internal Tranefera 425,433 0 0 0 0 0 0
Inteieat (75,162) (192,437) 0 0 p p p
CONTRIBUTIONS
__ (464,043)
_______________ (1,690,262)
_______________ (1,774,775)
_______________ (1,863,514)
________ (1,956,690) (2,054,524) (2,157,250)
finding Halaace
(659,980)
(2,160,287)
(2,331,312) _______
(3,398,326) _______________
(3,600,016
J _______________
(5,389,540) _____________
(7,481,790)
CONTRIeUTIONB (464,043) (1,690,262) (1,776,775) (1,863,514) (1,956,690
(2,054,524)
(2,157,250)
PARKLAND R&8&RV8 FUND PRO.7ECTION
LEV&L PROJ&CTED @ 5$
1988 1989 1990 1991 1992 1993 1994
Opening Balance (519,867) (319,162) (804,970) (856,899) (298,566) 171,997 2,231,606
H[penditurea 405,369 126,091 421,200 1,051,000 990,000 2,605,000 515,000
Interest (47,881) (87,085) 0 0 0 0 0
Bale of Lando 0 (76,100) 0 0 p 0 p
CONTRIBUTIONS
_ (156,823
_________________
(648,694)
_______________
(671,129)
_______________
(494,685)
___________
(519,419)
(565,390)
(572,660)
%nding Balance
(319,182)
(804,970)
(854,899) ___
(298,586) _______________
* 171,997 _______________
*2,231,606 _____________
*2, 173,947
CONTRIBUTIONS (156,823) (448,694) (671,129) (494,685) (519,419) (545,390) (572,660)
* These differences to be accommodated through private contributions
-developers etc. or Lot Levy contributions as required.
SCHEDULE "A-2"
PROJECTED LOT LEVIES - FIRE DEPARIR~RT
LEVEL PROJECTED @ 58
1988 1989 1990 1991 1992 1993 1994
Opening Balance (92,966) (175,959) (447,816) (320,9977 (613,086
)
(819,781)
(1,041,8107
Expenditures 52,487 32,328 405,000 0 100,000 100,000 0
I¢tereat (16,534) (39,251) 0 0 0 0 0
DEVELOPERS COPTRIB.
___ (118,946)
_______________ (264,934)
_______________ (278,181)
_______________ (292,090)
_______ (306,694) (322,029) (338,1307
Balance ffid of Yr.
(175,959)
(447,816)
(320,997) ________
(613,086) ______________
(819,781) _______________
(1,041,8107 _____________
(1,379,940)
CORTAIBUTIONS (118,946
(264,934)
(278,181)
(292,0907
(306,694)
(322,029)
(338,130)
~•
;1990 Budget Coet Melysie
Total Costs - Municipal Purposes
1990 t of Total
CAPITAL 0,178,500 30.8
D88T CHARGBS 895,399 3.4
OPBRATIONS (bnlence) 16,031,273 60.3
Sub Total ___________
25,105,172 _____
94.4
LIBRARY Capital 573,400 2.2
Operations 654,732 2.5
GRABTS-others(incl.NUaeums) 260,328 1.0
26,593,632 100
• Values ezclude BIA•e b St.Lighte ~
whcih are separately millrated
1989 Compatetive
Coat 8 Total
7,011,345 32.8
934,184 4.4
12,545,252 58.6
___________ _____
20,490,781 95.7
90,000 0.4
684,855 2.3
339,605 1.6
___________ ____
21,405,241 100
SCHEDULE "B"
1990 Budget Cost Analysis
Total Costs - Municipal Purposes
_~
1
1
1i
CAP(fAL OPERATIONS LBRARY OPER.
DEBT LBRARY CAP. GRANTS
Category