HomeMy WebLinkAboutTR-39-86 TOWN OF NEWCASTLE HANDOUT
REPORT File # ,• n �
Res.
By-Law #
MEETING, General Purpose and Administration Committee
DATE: MAY 20, 1986
REPORT #: TR-39-86 FILE #:
SU&IECT: DISPOSITION OF THE DENSITY GRANT
RECOMMENDATIONS:
It is respectfully recommended that the General Purpose and Administra-
tive Committee recommend to Council the following:
1 . That report TR-39-86 be received; and
2. That Committee provide direction to staff by adopting either
Schedule A, B, or C as outlined in this report.
BACKGROUND & COMMENT:
At the Council Meeting of March 10th, Resolution #C-249-86 was approved
which directed staff to prepare a report outlining a recommended
disposition of the density grant. At a subsequent meeting held on March
24, Resolution #C-280-86 acknowledged the presentation of Mr. W. Lover and
was referred to staff for review and report to Committee. Staff have
attempted to address both of these resolutions in this report.
On May 14th, the Chief Administrative Officer and Treasurer met with
representative from the Library Board to evaluate the concerns expressed
by Mr. Lover at Council . He indicated to Staff, that in order for the
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General Purpose & Administration Committee Meeting Page 2
TR-39-86
Library Board to maintain the same level of service as provided in 1985, they
would require an increase of approximately 9 112% over the Town' s 1985
operating Grant of $309,539.00, i .e. $338,945. Council authorized an
Operating Grant for 1986 in the amount of $325,016.00 or 5% which is 4 112% or
$13,929.00 short of the amount required to maintain the level of service
stated above.
The Board indicated that Council had not established any guidelines for them
to follow with respect to preparing their 1986 budget. Had such guidelines
been provided, they would have presented to Council a budget that was within
the perimeters established. They have requested that the guidelines and
perimeters for the 1987 budget process be forwarded to them in advance to take
some of the guess work out of the budget preparation.
Staff will be presenting a report on the 1987 Budget process in the near
future. At that time Council may wish to consider the communications between
the Council and the Board on budget preparation. From a staff perspective the
request of the Board seems reasonable. Staff have also attached the
Chairman' s earlier remarks to Council for Committee's information.
At an earlier point in time concern was expressed with respect to an apparent
surplus in the 1985 operating budget and the establishment of reserves and
i
reserve funds. After a lengthy discussion it was determined that not all of
the surplus was surplus in layman' s terms. For example books had been ordered
but not delivered at the year end. When the commitments of the operating year
I
had been taken care of the surplus was more like $100.00.
I
However, in order to take care of this surplus situation staff recommends that
Council as part of the 1986 budget considerations establish a general working
reserve fund so that surpluses, if any, be transferred to meet long term
library needs.
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General Purpose & Administration Committee Meeting Page 3
TR-39-86
It was acknowledged by the Board Chairman that after clarifying matters with
provincial officials and the auditors that the Town is the only body that can
establish Reserve Funds.
In view of the above and other concerns expressed by the board members, staff
recommend that a further operating grant as outlined in the Schedules
attached be considered.
Further to the above, Staff would recommend that the balance of the density
grant be allocated to the new Arena Fund Raising Committee and the Purchase of
an in-house computer system. Staff believe that the nominal contribution to
the Fund Raising Committee would indicate good faith on the part of the Town
towards the construction of a new arena and help defray start-up costs for
fundraising associated with such an undertaking. i .e. advertising,
promotional material , etc.
Respectfully submitted,
David ohnston,
Chief Administrative Officer.
CY-
J.R. Blanchard,
Treasurer.
JRB/DJ/pp
ATTACHMENTS:
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Disposition of Density Grant — $150,000
Schedule "A"
Library Operating Grant $ 15,000
Administrative Complex NIL
New Arena 20,000
Equipment purchase (Computer) 115,000
$150,000
Schedule "B"
Library Operating Grant $ 20,000
Administrative Complex NIL
New Arena 30,000
Equipment purchase (computer) 100,000
$150,000
Schedule "C"
Library Operating Grant $ 30,000
Administrative Complex NIL
New Arena 101000
Equipment purchase (computer) 110,000
$150,000
newcastle public library board
62 temperance street,
bowmanville, ontario
UC 3A8
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ti 1:
March 11 , 1986
Mr. David Oakes ,
Town Clerk,
Town of Newcastle
Dear Mr. Oakes;
Please be advised that the Library Board wishes its representatives
to appear as a delegation to the General Purpose and Administration
Committee of Council on Monday, March 17th. The speakers will be Mr.
William Lover, Chairman and Mes. Jennifer Walhout, Chairman of Finance
and the subject is the Library Operating Budget.
Thanking you for your attention to our request , I remain,
Yours sincerely v�2
William Lover
Chairman
Submission to Council March 17, 1986
r
I have been directed by the Town of Newcastle Library Board In a recorded
unanimous • vote to appear before you with our Chairman of Finance, Mrs.
Jennifer Walhout, to advise you of the Impact the final budget will have
upon our 1986 operations.
We have two areas of concern: first, the increased demand forecast by the
new residents of the Town, and secondly, the opportunity to providd Increased
services in both material and staff. With regards to the first item, I've
been directed to emphasize to Council that our miminum requirement in our
operational funds to provide "status quo" service to our patrons is
$339,877• You have granted us Just over $325,000. Although inflation factor
is only 4.2%, our costs in most major areas are over 5%. Books, for example,
are coming in at 6%, and in some minor cases increases as high as the 16%
In circulation processing. From 1980 to 1985, population of the Town was
static, but the new developments in housing and the corresponding increase
in library usage produces the end result that we will be unable to maintain
1985 performance in 1986 on the same money.
With regard to our second area, as the Town of Newcastle grows pressure on
the Library Board to increase both material and service also grows.
Unless the Council provides adequate funding, the Board cannot provide for
growth.
May we therefore suggest some of the options that would allow us to provide
not only status quo, but a planned growth and development for library services
in the Town of Newcastle.
First, we know from Council minutes that a grant of $40,000 for the library
was proposed from the density fund. Should you see fit to provide this money,
we would be able to provide a start to a growth program for the library.
However, in as much as this would be a one time grant, may we ask you to please
specify whether it is to be capital or operating in accordance with Town of
Newcastle By-law 85-85 and the Public Library Act, 1984.
Secondly, we ask (as we did in 1984, but did not receive) for relief of the
debenture payment to the Council in 1986 in the amount of $11,653. Such
relief together with very careful management by the Board and the Chief
Library would allow us to provide status quo level of service subject to
no significant population user increase.
We also request that the Town Council request staff investigation re: possible
relief on the rent charged by the Newcastle Community Hall Board for our
Newcastle Memorial Branch.
Lastly, the Town of Newcastle Library Board respectfully asked that we may be
advised of the lot levy distribution policy for the Library, and also the
projected growth of a estate residential and residential development and the
general growth stategy including industrial and commercial. Such information
will enable the Library Board to provide proper planning for Increased library
services in harmony with Town plans thus avoiding conflict of ideas and
duplications of effort.