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Budget Committee Minutes - 2020/11/12no The Corporation of the Township of Malahide Budget Committee Meeting November 12, 2020 — 7:00 p.m. Due to COVID 19 and Public Health concerns, the Budget Committee met at the Malahide Community Place, at 12105 Whittaker Road, Springfield, at 7:00 p.m. in order to allow for physical distancing and limited public attendance. The following were present: Council: Mayor D. Mennill, Deputy Mayor D. Giguere, Councillor M. Widner, Councillor M. Moore, Councillor S. Lewis, and Councillor C. Glinski. Council via Videoconference: Councillor R. Cerna. Staff: Chief Administrative Officer/Clerk M. Casavecchia-Somers, Information Technology Manager C. Coxen, Director of Financial Services A. Mohile, Director of Physical Services M. Sweetland, Director of Fire and Emergency Services B. Smith, and Deputy Treasurer T. Hoover. CALL TO ORDER: Chair Mennill took the Chair and called the meeting to order at 7:00 p.m. DISCLOSURE OF PECUNIARY INTEREST and the General Nature thereof: No disclosures of pecuniary interests were declared. MINUTES: No. B20-04 Moved by: Max Moore Seconded by: Rick Cerna THAT the Minutes of the Regular Meeting of the Budget Committee held on October 29, 2019 be adopted as printed and circulated. Carried. 20-2 PRESENTATIONS: No delegations or presentations were received. DRAFT 2020 BUDGET PRESENTATION: Year 3 of 2019-2022 Multi Year Budget The Director of Financial Services (Treasurer) presented Report No. FIN-20-22 entitled "Year 3 of 2019-2022 Multi Year Budget — Operating and Capital". The Treasurer reviewed the issues that shape Malahide's fiscal reality including the Township's Mission Statement, Township's Vision, Provincial legislation, key strategic goals, long term planning, funding opportunities, economic outlook and financial sustainability. The Treasurer reviewed the attachments to Report No. FIN-20-22 including the 2021 Summary of Proposed Changes to the 2019-2022 Multi Year Budget. In response to an inquiry from Councillor Widner regarding rising insurance premiums, the CAO advised that premiums are up across the Province even if a municipality has had few or no claims. In response to an inquiry from Deputy Mayor Giguere regarding the inflationary increase, the Treasurer advised that the 3% increase is being put forward in response to Statistics Canada predictions for inflationary increases next year as well as there being a smaller increase in tax revenues than previously predicted. No. B20-05 Moved by: Scott Lewis Seconded by: Mark Widner THAT Report No. FIN 20-22 entitled "Year 3 of 2019-2022 Multi Year Budget — Operating & Capital" be received; AND THAT the Draft 2021 & 2022 Budget Summary & Detail be received; AND THAT the Draft User Fee Schedules for 2021 and 2022 be received. Carried. Public Works — 2021 Priority Capital Proiects The Director of Public Works presented Report No. PS-20-53 entitled "2021 Priority Capital Projects. He reviewed the capital priority projects for the Public Works 20-3 Department including the pier rehabilitation project, pier parking lot improvements, wood chipper replacement, and Calton Line and Hacienda Road culvert replacements. In response to an inquiry from Deputy Mayor Giguere regarding the safety of the pier parking lot, specifically in this winter before the necessary repairs can be completed, the Director advised that the area will require special consideration during the winter season and maintenance will be completed as necessary. He indicated that an engineered solution is required to ensure that the surface water is considered and the pier protected. The Director confirmed that if it does become a safety concern, the area will be cordoned off to pedestrians. No. B20-06 Moved by: Dominique Giguere Seconded by: Max Moore THAT Report No. PS-20-53 entitled "2021 Priority Capital Projects" be received; AND THAT the Pier Parking Lot Design Project, in the budget amount of $10,000.00, be included in the 2021 Capital Budget; AND THAT, notwithstanding that the remainder of the 2021-2022 Budgets have not yet been approved, the Municipal Council be requested to approve the Port Bruce Pier Parking Lot Design Project and the Hacienda Road Culvert Class EA and Design Project, for completion in 2021; AND THAT, subject to Council approval of the 2021 Capital Projects, the Municipal Staff be authorized and directed to proceed with the Port Bruce Pier Parking Lot Design Project initiation and the Hacienda Road Culvert Class EA and Design Project initiation so that such projects can be pre -planned, tendered, and completed on time and within budget. Carried. 2021 Grant Requests from Community Groups The Deputy Treasurer presented Report No. FIN-20-21 relating to grant requests from Community Groups. She noted that some of the grant funds were not distributed to the community groups in 2020 because of events not taking place due to COVID-19 restrictions. No. B20-07 Moved by: Chester Glinski Seconded by: Mark Widner THAT Report No. FIN-20-21 entitled "2021 Grant Requests from Community Groups" be received; 20-4 AND THAT the following 2021 grant requests from Community Groups be included in the Draft 2021 Budget: Community Group Amount Aylmer Malahide Museum Grant 5,000.00 Malahide Community Policing Committee 1,500.00 Soccer — Knights of Columbus 1,200.00 Aylmer & East Elgin Agricultural Society (Aylmer Fair Board 1,000.00 Elgin County Farm Safety Council 0 Plowman's Association 500.00 EESS Environmental 0 Springfield Family Fun Day 1,350.00 Springfield Brewers Softball 2,100.00 Springfield Lioness Club 1,675.00 Springfield PS Parent Council 500.00 SD Optimists including at MCP 3,800.00 Corner Cupboard 0 Family Fun Da - Donation 325.00 Family Fun Da — Insurance 175.00 Kinsmen Santa Claus Parade 0 Springfield Parade 1,500.00 East Elgin Housing Initiative 0 Aylmer Cemetery Board 18,000.00 Springfield Cemetery Board 5,000.00 Luton Cemetery Board 2,250.00 Carried. Development Charges (DC) Update Study Service Contract. The Treasurer presented Report No. FIN-20-19 regarding Development Charges. In response to an inquiry from Deputy Mayor Giguere, the Treasurer advised that the timeline for next update to the Development Charges By-law will be extended 5 years from the most recent update to 2026. No. B20-08 Moved by: Scott Lewis Seconded by: Rick Cerna THAT Report No. FIN 20-19 entitled "Development Charges (DC) Update Study Service Contract" be received; 9a AND THAT the Municipal Council be requested to permit the contracting of professional consulting services to update the Development Charges Background Study and By-law as a single source procurement; AND THAT, notwithstanding that the remainder of the 2021-2022 Budgets have not yet been approved, the Municipal Council be requested to award the service contract for the Update to the Development Charges Background Study and By- law to Watson & Associates Economists Ltd., in the amount of $12,500.00 plus applicable taxes; it being noted that such service contract will be funded from the Development Charge Reserve. Carried. Rural Broadband Strategy The Information Technology (IT) Manager presented Report No. FIN-20-20 regarding the Rural Broadband Strategy. The IT Manager noted the COVID-19 pandemic has emphasized the need for rural high-speed solutions to address e-learning and work from home scenarios and Malahide is uniquely positioned to take the lead in providing local, high-speed, mesh - based Wi-Fi service across the municipality. The IT Manager reviewed the following 3 options to improve connectivity in the Township: Option 1 - County SWIFT Project and Connectivity Committee Option 2 - Enhanced Services from Existing Service Provider Option 3 - Develop Infrastructure and Become Broadband Provider. The IT Manager presented a map showing the current availability of existing internet connection, as well as, a map showing the potential tower locations if the Council proceeded with the Broadband initiative. The Treasurer reviewed the connection and future costs for the broadband strategy, as well as the elimination of the current expenses to the Township for internet. She also noted grant availability for the project and indicated that it would secure a future revenue stream for the Township. The Treasurer noted Option 2 was Enhanced Services from an Existing Service Provider. This option would allow the Township to rent out the towers to a third party to provide a revenue base. The Township would not be the operator of this type of system and, therefore, there would be less risk, but also less revenue. In response to an inquiry from Councillor Widner regarding satellite technology, the IT Manager noted that satellite technology can be slow, expensive, and vulnerable to weather conditions. 20-6 Councillor Lewis noted that the public has indicated to him that they desire good reliable internet and that they would be pleased if the internet revenue went back to the Township to help manage future tax levy increases. Deputy Mayor Giguere noted that under the proposed tower placements many areas in Malahide would still not be serviced. She advised that she is a member of the County's Connectivity Committee and that they are moving as fast as they can to implement SWIFT. The CAO indicated that if the Council wished to proceed with developing the infrastructure and become a broadband provider, there would be opportunities in the future to increase the number of towers and increase the service available which in turn would also increase the revenue. Mayor Mennill advised he too was a member of the County Connectivity Committee and that it will be receiving funding in 2021 in the amount of $6,000,000. This will improve about 30% of the County but that leaves 70% left without this improved internet access. The IT Manager proposed in Option 3 that the Township develop/construct infrastructure that will enable it to become a broadband internet service provider. The preliminary estimates suggest that there would be cost savings, even if the expanded services were limited to servicing its own municipal facilities. These funds could be enhanced if the next step was taken in revenue generation by leasing the infrastructure to a third party; and then finally higher revenues would be possible if the Township were to become a wireless internet service provider (WISP) for Malahide and surrounding area. In response to an inquiry from Councillor Widner regarding the costs for this type of endeavor, the Treasurer advised that it would be a separate entity and that it would require additional effort, but that this proposal is expected to bring in a large amount of revenue to the Township and be self -funding. Deputy Mayor Giguere noted her concerns regarding the amount of anticipated revenue and the large operating costs involved in this project and wanted to ensure a full Business Plan would be available to the Council before proceeding. The Deputy Mayor also questioned if Port Bruce was covered as there have been communication challenges with Port Bruce in the past. The Manager of IT responded that the Consultant would be asked to consider options to address such challenges. The Deputy Mayor also suggested that the Consultants look deeply into the proposed 10 year time frame regarding wireless capabilities compared to fibre. She also indicated her concerns regarding the use of the Unconditional Grant on this project which could be used on anything. She preferred to use specific broadband money for this project. The CAO assured the Council that Municipal Staff would be applying for all available grants relating to broadband funding. The CAO noted the Municipal Staff is very confident with the broadband research completed to date but require the Consultant's 20-7 review to provide the last of the specifications needed. The CAO asked the Committee to approve moving forward with the RFP due to funding timelines. No. B20-09 Moved by: Scott Lewis Seconded by: Mark Widner THAT Report No. FIN-20-20 entitled "Rural Broadband Strategy" be received; AND THAT, notwithstanding that the remainder of the 2021-2022 Budgets have not yet been approved, the Municipal Council be requested to authorize the Municipal Staff to issue a Request for Proposal for broadband consulting services to develop a strategy policy, design, and a phased implementation plan to expand broadband services in Malahide and surrounding area. Carried. NEXT BUDGET COMMITTEE MEETING: The next Budget Committee Meeting will be on December 10, 2020 at 7:00 p.m. The CAO requested the Members of the Committee to provide any specific questions or requests for information to the Municipal Staff prior to the next Budget meeting in order to ensure that such information is available. OPEN QUESTION PERIOD: The Committee received various comments/questions from the public concerning the Draft 2021 Budget specifically with regard to: Budget format and comparisons, proposed costing for water servicing to Springfield, proposed budget increase as compared to tax levy increase (Bill Maclntyre). Broadband costs/feasibility (Martin Baelde). Development opportunities for former railroad property (Jim Crane). ADJOURNMENT: No. B20-10 Moved by: Chester Glinski Seconded by: Mark Widner THAT the Budget Committee adjourn its meeting at 8:50 p.m. Carried. ME C it — D. Vennit AZ/A 0/04- � w Y Clerk— M. Casavecchia-Somers