Municipal Trailer Park Review

Municipal Trailer Park Review Parks, Recreation & Culture Community Services Project Team and Subject Matter Experts Name Role Craig Shanks Process Champion and Sponsor Jenn Johnson Process Owner – Trailer Park Management Kevin Brasier Trailer Park Operational Supervision Sharon Weir Process Administration Reference Christine Norris Subject Matter Expert for Collections Lance Sherk Subject Matter Expert for Tourism David Kerr Subject Matter Expert for Water and Wastewater Richard Holy Subject Matter Expert for Planning and Zoning Susanne Murchison Subject Matter Expert for Building Code Diane McFarlane Subject Matter Expert for Land Christina Sisson Process Improvement Facilitator city.kawarthalakes.on.ca Slide 2 Bobcaygeon Beach Park 1.78 acres city.kawarthalakes.on.ca Slide 3 Centennial Park, Kirkfield 32 acres both parcels city.kawarthalakes.on.ca Slide 4 Scope and Definitions • Currently the City has two municipal trailer parks both operated on a seasonal basis by Parks, Recreation and Culture Division (PRC) • Season extends from May to October (22 weeks) • Bobcaygeon Beach Park has a maximum of 40 sites (Council Resolution 2007-635) (one for staff trailer) • Centennial Park has 173 sites (one for staff trailer) • Both parks are Designated Campgrounds – “Beach Park Trailer Park” in Bobcaygeon and “Centennial Park” in Kirkfield as per Schedule “A” to By-Law 2006-147 consolidated on August 3, 2010 • Both trailer parks are on waterfront and have water, sanitary, and hydro city.kawarthalakes.on.ca Slide 5 Historical Perspective and Strategic Value • Bobcaygeon Beach Park purchased in 1963 from the Canadian Pacific Railway • Centennial Park acquired from the Federal Government in 1961 as part of The County of Victoria 100 Anniversary Celebrations • Both considered to provide a tourist destination • Both generate revenue to offset park operations • Both generate sales for local merchants • Both provide a service to users • Both assets have been reviewed in the past for best use scenarios – retain, sell, lease, enhance, and/or abandon city.kawarthalakes.on.ca Slide 6 Amenities Available • Bobcaygeon Beach Park: beach, two playgrounds, walking path, comfort station, concession booth, boat launch, communal fire pits, picnic shelter, approximately 20 docks (entire current property), walking distance to the downtown and existing waterfront park • Centennial Park: beach, two playgrounds, a baseball diamond, basketball court, volleyball, picnic shelter, boat launch, two comfort stations, site specific fire pits, laundry facilities, docking spaces for approximately 66 boats city.kawarthalakes.on.ca Slide 7 city.kawarthalakes.on.ca Slide 8 Project Goals Problem Statement: Municipal trailer parks provide a recreational opportunity to a select few. The true costs and net benefit need to be confirmed to determine the Return on the Investment. Project Goals: Confirm number of customers Confirm who are the customers Confirm the true costs – assets, revenues, expenses – operating and capital Confirm the strategic alignment Financial Implications: tax revenue, land value, and capital forecast city.kawarthalakes.on.ca Slide 9 Process Review 2015 For an asset, we confirm demand, costs, and resources provide the service, and assess. Voice of the Customer: Trailer Park Visitors want amenities and fast service City/Employees want to provide service and maximize occupancy while collecting revenue City/Management want to address the strategic value of the asset - input vs. output and customer value Data: Ratio of cost per site and utilization Who is benefitting from the service Demand and costs city.kawarthalakes.on.ca Slide 10 Project Metrics: All Bobcaygeon Beach Park Customers Since 2011 Bobcaygeon Beach Park Sites Rented 36.5% CKL Residents Other Communities Average turnover less than 5 years 63.5% city.kawarthalakes.on.ca Slide 11 Project Metrics: Recent Bobcaygeon Customers Bobcaygeon Beach Park Vacancy 2013 5% Vacant Sites Occupied Sites 87% from outside CKL 95% city.kawarthalakes.on.ca Slide 12 Project Metrics: All Centennial Park Customers Since 2005 Centennial Park Sites Rented 3.5% CKL Residents Other Municipalities 96.5% Majority of Customers have been on site for over 5 years city.kawarthalakes.on.ca Slide 13 Project Metrics: Recent Centennial Park Customers Centennial Park Vacancy 2010 - 2014 1% Vacant Sites Occupied Sites 99% 95% from outside CKL city.kawarthalakes.on.ca Slide 14 Operating Budgets Bobcaygeon Beach Park Profit every year Operating Actuals based on budgets except 2010 and 2013 $90,000 $80,000 $70,000 $490/Site $60,000 $50,000 Revenues $40,000 Expenses $30,000 $20,000 $10,000 $0 2008 2009 2010 2011 2012 2013 2014 city.kawarthalakes.on.ca Slide 15 Bobcaygeon Beach Park Expenses 2014 $1575/Site $110/site - water $400/site - hydro Occupancy Costs, $20,052 Personnel, $38,591 Communications, $639 Professional Technical & Contracted Services, $3,734 city.kawarthalakes.on.ca Slide 16 Past and Projected Capital Bobcaygeon Beach Park Capital $70,000 $60,000 $50,000 $40,000 $30,000 $20,000 $10,000 $0 2008 2010 2012 2013 2015 2016 Bobcaygeon Beach Park - Budget Bobcaygeon Beach Park - Actual city.kawarthalakes.on.ca Slide 17 Operating Budgets Centennial Park Operating Actuals Profit every year based on budgets $450,000 $400,000 $350,000 $1140/Site $300,000 $250,000 Revenues $200,000 Expenses $150,000 $100,000 $50,000 $0 2008 2009 2010 2011 2012 2013 2014 city.kawarthalakes.on.ca Slide 18 Centennial Park Expenses 2014 Other Expenses, $1,428 Fleet and Other Allocations, $10,086 $1088/Site Maintenance & Repairs, $13,783 Personnel, $87,023 $270/site - hydro Occupancy Costs, $59,668 $81/site – taxes* Or specific to site Professional Technical & Materials & Supplies, Communications, $2,797 Contracted Services, $643 $11,757 city.kawarthalakes.on.ca Slide 19 Past and Projected Capital Centennial Park Capital $120,000 $100,000 $80,000 $60,000 $40,000 $20,000 $0 2008 2010 2012 2013 2015 2016 Centennial Park - Budget Centennial Park - Actual city.kawarthalakes.on.ca Slide 20 Additional Costs Consistent with Corporate budget practice, the following costs are not included in the specific park budgets: • Management and Administrative costs within Community Services and Parks, Recreation and Culture (i.e. Administrative Assistant, Supervisor, Manager) • Finance and Revenue and Taxation costs (i.e. billing, collections, administration, etc.) • Insurance premiums for property and liability (estimated total/year of $770 - BBP and $1400 - CP) • Community well costs for Centennial Park (approximately $12,000/year or $70/site) city.kawarthalakes.on.ca Slide 21 Rate Comparison Neighbouring Parks 2014-2015 Victoria Park - Cobourg Riverwood Park-Lindsay Pigeon Lake Trailer Park-Lindsay Nestle In Resort-Dunsford Lovesick Lake Park-Burleigh Falls Long Beach Cottages&Trailer Park-Cameron Log Chateau Park-Fenelon Falls Layzee Acres RV-Sebright Premium/Waterfront Lot Green AcresTrailer Park-Bobcaygeon Preferred Lot Double "M" RV Resort-Lindsay Regular Lot Centennial Park-Kirkfield CAMPINN on Duck Lake-Kirkfield Bobcaygeon Beach Park Extras include: Birch Cove-Bobcaygeon Hydro Bell Haven Park-Bobcaygeon Water Sewer/Septic Beavermead Campground-Peterborough Docks Alpine RV - Lindsay Parking Visitors $0 $500 $1,000 $1,500 $2,000 $2,500 $3,000 $3,500 $4,000 Regular Lot Median= $2200 city.kawarthalakes.on.ca Slide 22 Additional Benefits Economic benefit to the City has been referenced but has not been quantified (Report CS2007-40). A recent report for the Beavermead Campground and Park in the City of Peterborough (The Planning Partnership, 2012) quoted a figure of $506/camper party. Potentially, for the combined 212 site in Centennial and Bobcaygeon, the same figure could result in $107,272 – primarily from tourists. city.kawarthalakes.on.ca Slide 23 Define and Measure Phases Summary and Conclusions • Both parks are occupied – very low vacancy • Majority of occupants are from outside the City of Kawartha Lakes • Demand has been continuous and steadily growing (waiting lists) • Review rates to confirm benchmark • Review options open to the City city.kawarthalakes.on.ca Slide 24 Options Data To Be Collected Potential Options Description Where to Who will Remarks Collect Data Collect Data Community Services – PRC Corporate Outline costs – Community Services - operating, capital, other #1 Status Quo Services and Revenue and – review information Facilitator Taxation and from a range of years Risk Management Community Community Outline potential costs #2 City retains the land – contract management Services and Services - PRC and risks Facilitator Community Community Outline potential costs #3 City retains the land – no trailer park activity Services and Services - PRC and risks Facilitator Land Management Legalities/realities of Property sold as trailer park with site agreements in Land #4 reviewing land this option need to be Management place values and any confirmed encumbrances Land Management Land #5 Property sold reviewing land Legal Review required Management values and any encumbrances city.kawarthalakes.on.ca Slide 25 Option #1 – Status Quo • City continues with operations and management of the municipal trailer parks • Bobcaygeon Beach Park – $80k revenue and $65k expense • Centennial Park – $370k revenue and $190k expense • Capital needs continue – varies year to year • Rates reflect market value • Potential to consider recuperating costs for water, hydro, taxes, etc. • Communication required city.kawarthalakes.on.ca Slide 26 Option #2 – Contract

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