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COMMITTEE of the WHOLE AGENDA MONDAY, JANUARY 27, 2020 COUNCIL CHAMBERS to Follow Council Meeting

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COMMITTEE of the WHOLE AGENDA MONDAY, JANUARY 27, 2020 COUNCIL CHAMBERS to Follow Council Meeting MUNICIPAL OFFICE CENTRE 2585 King Rd., King City, ON L7B 1A1 COMMITTEE OF THE WHOLE AGENDA MONDAY, JANUARY 27, 2020 COUNCIL CHAMBERS To Follow Council Meeting Chair: Councillor Cober Page 1. INTRODUCTION OF ADDENDUM REPORTS Any additional items not listed on the agenda would be identified for approval. Motion to add the items to the Agenda. 2. APPROVAL OF AGENDA Motion to approve the agenda, if any Addendum Items - as amended. 3. DECLARATIONS OF PECUNIARY INTEREST 4. DETERMINATION OF COMMITTEE ITEMS REQUIRING SEPARATE DISCUSSION Committee Chair will ask each Council Member if he/she wishes to separate any item(s) for discussion. Committee Chair will then ask if there are any persons present who wish to speak to any item(s) on the Agenda. 5. APPROVAL OF COMMITTEE ITEMS NOT REQUIRING SEPARATE DISCUSSION Motion to approve those items which were not requested to be separated. All of these are adopted with one Motion. 6. CONSIDERATION OF ITEMS REQUIRING SEPARATE DISCUSSION Chair will direct Committee to the first item on the agenda list which has circled initials beside it. Members of the Public, then Council Members who requested to speak to the item will be invited to speak, and then the floor is open to discussion by Committee or Council. 7. NEW BUSINESS Page 1 of 56 8. ADJOURNMENT 9. AGENDA ITEMS JC DB JS BC DS AE SP 4 - 17 9.1 Finance Department Report Number FR-2020-02 Re: 2020 Operating Budget & Business Plans and Amended 2020-2022 Capital Budgets a) That By-law 2020-005, being a By-law to adopt the 2020 Operating Budget & Business Plans, which includes the 2020 Business Plan for the Holland Marsh Drainage System Joint Municipal Service Board and the Amended 2020-2022 Capital Budgets, be approved by Council at its meeting of January 27, 2020; and b) That Council endorse the 2021 and 2022 operating forecasts tabled on January 13, 2020 as outlined on Schedule 1-3; and c) That Council authorizes the Director of Finance & Treasurer to apply for, accept and adjust the Budgets as a direct result of receiving incremental provincial/federal government funding, provided there is no tax levy impact. (By-law 2020-005 has been prepared for Council’s consideration this evening) COW #1 - FR-2020-02 JC DB JS BC DS AE SP 18 - 46 9.2 Clerks Department Report Number CL-2020-01 Re: Township of King: 2019 Accessibility Status Report (a) That Report CL-2020-01 be received for information. (b) That the 2019 Accessibility Status Report of the Township of King’s 2018-2025 Multi-Year Accessibility Plan be posted on the Township’s website as required by the Accessibility for Ontarians with Disabilities Act, 2005 (AODA). COW #2 - CL-2020-01 JC DB JS BC DS AE SP 47 - 49 9.3 Engineering, Public Works and Building Department Report Number EPW-2020-01 Re: Award of Tender 2019-T01 Supply and Delivery of Gasoline and Diesel Fuels 1.That Tender 2019-T01 for the supply and delivery of gasoline and diesel fuels be awarded to 941-2401 Heating Ltd. in the total amount of $523,350.00 (including H.S.T) for a 3 year period commencing January 31, 2020 thru Page 2 of 56 January 31, 2024. 2.That the necessary By-law be passed at the January 27, 2020 Council meeting; 3. That the Mayor and Clerk be authorized to sign the appropriate documents. (By-law 2020-009 has been prepared for Council’s consideration this evening) COW #3 - EPW 2020-01 10. NOTICES 50 - 56 10.1 Notices Notices - January 27 2020 Page 3 of 56 AGENDA ITEM #9.1 THE CORPORATION OF THE TOWNSHIP OF KING REPORT TO COMMITTEE OF THE WHOLE Monday, January 27, 2020 Finance Department Report #: FR-2020-02 RE: 2020 Operating Budget & Business Plans and Amended 2020-2022 Capital Budgets 1. RECOMMENDATIONS: The Finance Department respectfully submits the following recommendations: a) That By-law 2020–005, being a By-Law to adopt the 2020 Operating Budget & Business Plans, which includes the 2020 Business Plan for the Holland Marsh Drainage System Joint Municipal Service Board and the Amended 2020-2022 Capital Budgets, be approved by Council at its meeting of January 27, 2020; and b) That Council endorse the 2021 and 2022 operating forecasts tabled on January 13, 2020 as outlined on Schedules 1-3; and c) That Council authorizes the Director of Finance & Treasurer to apply for, accept and adjust the Budgets as a direct result of receiving incremental provincial/federal government funding, provided there is no tax levy impact. 2. PURPOSE: The purpose of this report is to seek Council’s approval of the 2020 Operating Budget and Business Plans and 2020-2022 Capital Budgets that were tabled on January 13, 2020. 3. BACKGROUND: The Draft 2020 Operating Budget and Amended 2020-2022 Capital Budgets presented to Council on January 13, 2020 remain unchanged with a proposed increase in 2020 net tax levy requirements of $889,398 or 2.89%. With respect to the 2020-2022 Capital Budgets, totalling $91.1M, also tabled on January 13, 2020, the proposed capital programs, by year through 2022, remain unchanged and include total estimated capital costs of $34.8M (2020), $28.8M (2021) and $27.5M (2022). In accordance with the multi-year budget format introduced in 2019, operating expenditures for the forecast years of 2021 and 2022 include increases in net tax levy requirements of $914,968 (or +2.88%) and $931,699 (or +2.85%), respectively. The ‘Term of Council’ budgets for the forecast years (2021-2022) are consistent with the directional threshold set by Township Council in that tax levy increase was to be no greater than 2.9% in 2020. Page 4 of 56 AGENDA ITEM #9.1 Finance Department Report FR-2020-02 Page 2 The following table summarizes annual tax levy increases as approved (2018-2019), proposed (2020) and forecast through the end of the current Term of Council, in 2022. Which in the case of the forecast years are reviewed annually. Annual Tax Levy Increases (2018‐2022) 3.00% 2.00% 2.89% 2.88% 2.85% 1.00% 2.30% 0.00% 0.00% 2018 2019 2020 2021 2022 "Approved" "Approved" "Proposed" "Forecast" "Forecast" The multi-year Term of Council budget model provides guidance to Council, as well as to the public from the perspective of understanding resource allocation requirements to support municipal service level standards and infrastructure investment recommendations. Consultation with Members of Council since tabling the 2020-2022 Budget on January 13, 2020 Since tabling the 2020 Budgets on January 13, 2020 members of Council have engaged in discussion with staff for purposes of seeking clarification regarding specific aspects of the recommended 2020 Operating Budget and 2020-2022 Capital Budgets. Amended 2020-2022 Capital Budgets The Amended 2020-2022 Capital Budgets have a total estimated cost of $91.1 million and include amendments to 20 of the proposed 109 projects. The top five major capital projects remain unchanged from the 2019-2022 (2023) capital budget program approved by Council and include: Township Multi-Purpose Recreation Centre Nobleton Sanitary Sewer – Phase 2, Contract Area 3 Nobleton Loop (10th Concession & 15th Sideroad) 2023 King City Public Library & Seniors Centre King Road (Dufferin to 2585 King Road) Sources of funding for the Term of Council (2019-2022) Capital Budgets, inclusive of those capital projects approved for 2019 @ $29.3M are proposed to be amended as follows: 2020-2022 2019-2022 Taxation $ 17.4 million or 14.4% $ 14.8 million or 14.8% Reserve & Reserve Funds 92.1 million or 76.6% 96.4 million or 76.6% Debentures 10.8 million or 9.0% 10.8 million or 8.6% TOTAL $ 120.3 million $ 125.8 million It is important to note that the aforementioned sources of funding from Reserve & Reserve Funds are directly linked to timely development of the north-east quadrant of the King City Community Plan. Timing issues associated with collection of Development Charges and/or Developer contributions under provisions of a Municipal Capital Facilities Agreement may result in delaying certain infrastructure works and/or use of temporary financing pending receipt of funds. Page 5 of 56 AGENDA ITEM #9.1 Finance Department Report FR-2020-02 Page 3 The 2019-2022 Capital Budget program was developed as strategic investments in municipal infrastructure supporting planned population growth throughout the Township. Similarly, the 2014 Development Charge Background Study, enacted under By-law #2015-100, established the need for four of the five major capital projects noted above in the context of directly supporting service level standards as planned population growth occurs. In the case of Phase 3 (Contract Area 3) of the Nobleton Sanitary Sewer project, it has been approximately ten years since phase 1 works commenced in Nobleton. Over the past 10+ years, the projected cost has continued to increase each year for both the Township and the benefitting property owners. Hence the importance of advancing these works as promptly as possible to mitigate against future cost escalation. Long-term Debenture Financing - 2020-2022 Capital Budgets The Township’s projected outstanding net long-term debt at December 31, 2019 is $22.7 million of which $17.5 million related to tax supported capital works. The residual debenture balance ($5.2 million) relates to Phase 1 Nobleton sanitary sewer and concurrent watermain works, the majority of which will be recovered directly from benefitting property owners. The aforementioned net long-term debt outstanding at December 31, 2019 includes debt ($6.1 million) that was refinanced in 2019 as well as new debt ($10.0 million) the Township took on during 2019 to support approved capital works (Graham Sideroad Bridge, King Township Municipal Centre and the King City Library & Seniors Centre).
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