HomeMy WebLinkAboutTR-61-96 THE CORPORATION OF THE MUNICIPALITY OF CLARINGTON
REPORT
Meeting:
GENERAL PURPOSE AND ADMINISTRATION COMMITTEE File# (-'�, , �_
Date: July 2, 1996 Res. # d —+IQ 9
Report#: TR-61_9A6 _ File#: By-Law#
Subject: PART-TIME TAX POSITION - 1996 BUDGET REQUEST
Recommendations:
It is respectfully recommended that the General Purpose and Administration Committee
recommend to Council the following:
1. THAT Report TR-61-94 be received;
2. THAT Council approve the request to extend the hours of the part-time position in
the Tax Division of the Finance Department to a full-time position.
Bachaonnd and Comment:
1.0 During the 1996 Budget deliberations, the Finance Department put forth a request to
extend the hours of the part-time cashier in the Tax Division to a full-time position (see
Attachment "A" from TR-28-96). This request was tabled per Resolution #GPA-172-96
to allow for a separate report on this issue.
1.1 The part-time position was added to the Tax Division of the Finance Department in 1990.
Originally the duties for this position for the most part were filing, typing, mail and
providing assistance to the full-time tax staff. This has steadily changed to the point that
the part-time position is relied on to perform all aspects of the Revenue Clerk I position.
The part-time staff currently works four (4) days or 24 hours per week. During busy
instalment periods this position often works full-time hours.
1.2 Over the past few years, the population, as well as the assessment base has grown
steadily (see Executive Summary portion of 1996 Current Budget). Also during the same
time period, the recession has created more work due to higher outstanding accounts
receivable balances. The volume of work has increased dramatically in the following
areas:
• number of bailiff warrants, tax sale proceedings, warning letters, etc.
• number of general inquiries, over the telephone and at the counter.
® number of returned cheques (non sufficient funds)
O number of bankruptcies
Increasing the part-time hours to full-time will allow for more time to be devoted to the
outstanding taxes receivable which gS Aq y,,3J, 1996 w 9 3 3 736.
PAPS P AP I
iHi51S P{iiMED CN RECYCLED ED PAPEq
TR-61-96 Page_- 2 -
1.3 As a result of a review by the Municipality's auditors in 1995, audit recommendations
have created new procedures and policies in the following areas:
a) All cash accepted from other departments is required to be verified by tax staff
and witnessed by a member of the originating department. Previously, deposits
from other departments were received in a sealed bag and verified at a time
convenient to work volumes of the Tax Division. This changes requires dedicating
a Revenue Clerk to this task who receives cash throughout the day from other
departments.
Scheduling the departments can be difficult when the part-time person is not
present, as well as when other staff are off due to sickness or vacation.
i
Often deposits are sealed in the vault until they can be verified, which is contrary
to the auditors recommendations. Also, in light of budgetary constraints, deposits
should be processed as quickly as possible to maximize interest revenue.
b) All cheques received by mail were previously totalled on a adding machine tape
by a staff member outside the Tax Division (by audit requirements), and
subsequently forwarded to the Tax Division for recording and deposit. For
internal control reasons, the above mentioned staff member must list all cheques
received by roll number, name, date and amount of cheque. This list must be j
checked in detail by a member of the Tax Division prior to recording and deposit
in the Tax System.
C) For audit internal control reasons, the Tax Collector is no longer authorized to
take tax payments. In the past, the Tax Collector assisted at the counter during
peak periods and times of staff shortages.
1.4 In order to improve customer service, as well as increase interest revenue to the
Municipality, via prompt collection and deposit of receivables, a number of new tax
payment methods have been introduced.
a) Visa, Mastercard and debit card payments are now accepted. Payment
authorization taken over the telephone for the credit card payments are now
available to taxpayers. This is a very time consuming process.
b) Effective December 1, 1996 a monthly Pre-Authorized Payment Plan (PAP) will
i
be available to taxpayers. This system will effectively spread the workload for
those taxpayer accounts who enroll from the current four instalments to a monthly
instalment basis. This plan will require continual maintenance and updating for
banking and other information changes, new enrollments and non sufficient fund
payments. This plan has been requested by taxpayers and will improve customer
service and satisfaction.
1.5 The additional staff hours provided by this requested change will also result in more
timely billing of supplementary taxes and notifications for grants-in-lieu. This in turn will
increase the investment income earned by the Municipality.
799013
TR-61-96 Page - 3 -
Conclusions:
2.0 There are many benefits to making the part-time position full-time. It would greatly
improve our cash flow and increase investment interest revenue. It will also assist in
adhering to the auditors' recommended cash controls. Customer service will also be
enhanced due to improving timeliness and quality of service.
2.1 Increasing this position from a 24 to 35 hour work week will reduce the amount of time-
in-lieu worked by other staff. Also, by delegating more of the clerical or payment
processing tasks, senior staff will be available to concentrate more fully on account
receivable collections. This is important to the long term financial stability of the
Municipality.
Recommendations:
3.0 Should Council approve the change in the part-time position in the Tax Division of the
Finance Department to a full-time position, the funds to cover this change could be
accommodated through the prior year surplus by allowing the normal budget account to
accommodate the approximate $10,000 annual difference. In 1996 the partial year actual
cost will be closer to $5,000.
(:;ne�&.e ly submitted, Reviewed by,
Marano, H.BSc., A.M.C.T., W.H. Stockwell,
Treasurer. Chief Administrative Officer.
MM/RS/hjl
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799014
Attachment "All
DW8.drep96 1996 BUDGET CONSIDERATIONS Attachment#A2
ta"i..d AW.91% Report TR-28-96
A 1996 BUpG)✓T D'JUS::MENTS
UNCONTROLLABLE PACTS ON 1996 BUDGET il nt UDGET ADJUSTMENTS O ACCOMMODA E 0% =Amount
(Romates MAJOR:EXP..ENDITURE REDUCTIONS::. "'' (Rounded)
t. Provincial Grant Reduction (37%REDUCED) 000 Roads Capital-Reduced Allocation (38/°matching want reduction 355,000
2. Fire Primary Response/grid movement of fire fighters ,000 Works Operations reduced(MadVac/Tree Planting etc) 65,000
3. Negotiated Contracts/health benefits/Pay Equity ,000 Vehicle Rate Cha rged reduced 125,000
4. Insurance Premiums(15%increase) 25,000 Position Vacancies:removed budget values 180,000
5. Other Inflation Costs(phone/heat,office supplies) 40,000 Consulting&Legal All Departments 95,000
G. Reduction in Surplus Application 190,000 Dufferin Aggregate Gravel value/rural gravel reduction 165,000
7. Reduced Reserve Fund support to operations(net) 135,000 General reductions all departments/contingency 80,000
s Courtice Complex-Core Operations 35,000 Reduction to Community Grant Allocation 15,000
9. Transfer to Equipment Reserve(Parks)/Computer appl. 50,000 TOTAL EXPENDITURE REDUCTION 1;08.0;..0.00
Amount Needed to Maintain 0%Budget 1 695 000 MAJOR:REVENUE;INCREA$ES: ::
User Fees 165,000
Permits&Licences 120,000
Other Revenue(Rents/Canteen Revenue etc) 140,000
TOTAL REVENUE INCREASE 42501.0.
OTHER:
Assessment Growth Contribution(1.8%) 190,000
TOTAL OTHER 19000Q
TOTAL:B.UD.GET AD 1t1.STMENTS'FOR;O.% i?695 00.0
u get a errs Items: or 199 ::.• ot►sl;,sfato[t.
De artment/Details.
p >. 1996:Budget:. Household;:
ImP:act. laX.1
Each$25,000 adds$1,to Tax Bill
Adrninisttaeon
I. Economic Development Officer-vacancy(Budget value in 1996 budget) (40,000) 0
2. Capital projects not included in draft-funding from Res.Fund
a)M.A.C.-paint cupola/flashings ($3,100.from Admin.Res.Fund/Civic Lot Levy) 0
b Newcastle Fire Stn.-reinforce resurface roof L$20,000 Fire Lot Le 0 0
Finance
t. Tax:Part-time cashier to full-time re:direct payment plan/more visa activity etc 10,00011 0
1Fire
1. Jr.Firefighting Program-Students 1 6.00011
1rublic works
I. King St.WD-47-95:KIng St.Pedestrian walkway/Park benches[Report Attached 23,000 1
2. Senior Snow Clearing-Fall 1996 for 1997 season (1/2.2 f season 15,000 1
1community Services [Reports Attac e
1. CS-30-95 Canada Remembers Program/50 Years of Peace Cemmorations[Flo 21,500
12. CS-02-96 Fitness Centre Squash Facilities-renovations-windows at viewing 16 000 1
manning
I. OMB legal cost-will be brought in separate report if required 0 0
.I Gcncral
11. Visual Arts Centre -art rentals discontinued in Administrative Centre 2,0
Grant Requests 1995 Buc jet
a)
Visual Arts (see Budget) 1996Reque 44,131 41,131 3,000
Attachnten[#
�:A-1 C.O.M.RA.(increase grant&ImplemenFees) 2,500 5,000
A=2 OVERT Rescue(delegation to Council M 0 3,500
A-3 Kindney Foundation(received Mar.28) Twinn 100 100
��A-4 Memorial Hospital Foundation:re`Bodie in Motion" 0 RRC booking fee
A-5 Salmon Derby:Roger Pardy Memorial Scholarship Trust Fund not specified
A-6 Durham Regional Police:250 Clarington Safety Patroller fanny packs not specified
I:A-7 Bowmanville Sr.Public Gr.7&8 Wellness Initiative Fundraising-back field not specified
A-8 City of Brampton - Korea Veterans Wall of Remembrance 400
A-9 the RYTE Approach-Rose of Durham Young Parents Support Services not specified
A-1 o Old Tyme Fiddle&Dance Club-Redce monthly rental fee for RRC RRC fee$15o/mon
A-11 Northumberland Business Self-Help Office:Andree Cooper 800
A-12Irene England-Senior Citizens bus fund(94 Contingency grant$556) not specified
A-13Durham Region Farm Safety Association-Ruth Powell 75
A-14Bowmanville Senior Public-Putnam Fitness Trail not specified
A-15Ontario Street Public School-playground-Ulrike&Karl Fliesser on grant list #96-
Total Grants/External Requests 12,875 1
Total Im ct Exclusive of 9PPpositionj 106 375 L $ 5
Mill Rate-Household mpact. °1?>0. ;ax::..i.;:?:`::;': ouse..9. :>.sus:.:!
Municipal 0%V, 9!t0:
Regioc�al 19%Q 41.$:
Education r:61:.°::::::::::::::.::::::::::.:::::.::.:......::::::::::::::::.: .:::: :::::::.::::::.
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