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HomeMy WebLinkAboutCS 05-03 Ciú/ o~ REPORT TO COUNCIL 05 ,... Report Number: CS 05-03 Date: March 19,2003 From: Gillis A. Paterson Director, Corporate Services & Treasurer Subject: 2003 Current and Capital Budgets Recommendation: 1. That Report CS 05-03 from the Director, Corporate Services & Treasurer be received and that: 2. Report CS 05-03 of the Director, Corporate Services & Treasurer be approved; 3. the 2003 Gross Current (Operating) Budget for City purposes in the amount of $47,530,952 including capital expenditures from current revenues in the amount of $2,238,692, less estimated current operating revenues of $18,750,045 and one time transfers of additional funding of $2,758,380 resulting in a net levy for City purposes of $26,022,572, which is approximately a 4.9 percent increase over 2002, be adopted; - 4. a) the City of Pickering's financial share of the 2003 Current & Capital Budgets for the Ajax Pickering Transit Authority (APT A) be approved as follows: Current Core Capital Maintenance Transitional Net Capital Total $2,568,726 223,148 103,964 1,057,116 $3.952.954 ,- The Current Core Budget in the amount of $2,568,726, funded from the tax levy, resulting in a revised tax levy of $28,591,253, be approved and the "Transit Tax Levy" to be transferred from the Region of Durham to the City of Pickering in the currently estimated amount of $1,521,000 be applied towards: Capital expenditures in the amount of $1,057,116; Capital maintenance in the amount of $223,148; the Transitional Core (Operating) Budget in the amount of $103,964; and, the balance, currently estimated at $136,772, be transferred to the Transit Reserve and the Treasurer be authorized to fund Pickering's share of any overexpenditure or shortfall in revenue in APT A's operations by a transfer from the Transit Reserve; 0 6 Report CS 05-03 Date: March 19, 2003 """"" Subject: 2003 Current and Capital Budgets Page 2 5. 6. - - b) any grant funding for transit purposes received by the City of Pickering or APT A go towards the applicable capital or current expenditure and any surplus in the City of Pickering's APTA funding being transferred to the Transit Reserve to assist in funding future year's APTA Budgets; a) the net levy adopted under Recommendations 3 and 4 above be increased, currently estimated at $526,567, to reflect the decrease in property tax revenues resulting from changes in property taxation policies by senior levels of government and in a preliminary total tax levy of $29,117,820 be approved; b) the Director, Corporate Services & Treasurer present the 2003 final total tax levy and the tax rates for adoption by Council when further information regarding 2003 Tax Policy from the Region of Durham and the Province of Ontario is available; a) the 2003 Capital Budget for the City of Pickering with a Gross Expenditure of $9,071 ,058 be adopted as presented; b) the following capital financing sources be approved as presented in the 2003 Capital Budget: Transfer from Current Fund to Capital Fund $ 2,238,692 Transfers from Reserves: - Capital Equipment 96,400 Transfers from Reserve Funds - Development Charges - Development Charges - Old - Parkland Development - Public Works Services - City Share Dev. Charges Projects 817,635 186,100 487,000 1 ,117,255 Debt - 5 yr Debt - 10 yr Internal Loans Dealer Financing Donations Other 675,900 2,775,000 321,071 53,000 212,500 90.505 $9.071.058 Report CS 05-03 Date: March 19, 2003 07 - Subject: 2003 Current and Capital Budgets Page 3 - 9. 10. - 7. 8. a) b) c) that total external debt financing of $3,450,900 for the projects identified in the 2003 Capital Budget and as indicated in this report in the amount of $675,900 for a period not to exceed 5 years and; $2,775,000 for a period not to exceed 10 years be approved; d) that projects identified in the 2003 Capital Budget as being financed through the issuance of debt be subject to additional, specific approval by Council of the expenditure and the financing before proceeding; e) that internal loans in the amount of $321,071 as indicated in this report be approved; the Director, Corporate Services & Treasurer be authorized to transfer: a) any surplus current operating funds at any year end in excess of $110,000 be transferred to the Rate Stabilization Reserve; b) any funds necessary from the Rate Stabilization Reserve in order to ensure that in any year the Current Budget results in a year end surplus of no less than $110,000; effective January 1 2003 the rate of reimbursement of expenses for travel for City business purposes in personally owned vehicles be increased from 43.7 cents to 48 cents for the first 5,000 kilometres and from 40.4 cents to 42 cents per kilometre thereafter and any allowances be increased by the same percentage as the former; the Director, Corporate Services & Treasurer be authorized to make any changes or undertake any actions necessary, in order to ensure the budget, the increase in taxes and the tax billing process is proper and complete; any new Provincial and Federal Government funding announcements for municipal government in the form of grants or new taxing authority/powers that Council endorse that these new revenue sources be deemed where applicable to be new revenue sources for the lower tier municipality and to be applied to future Current & Capital budgets; the Director, Corporate Services & Treasurer be authorized to close any prior year's capital expenditure accounts, at his discretion, and to first apply any excess funding to any overexpenditure (in accounts utilizing the same source of funds) and to secondly transfer any remaining excess funding back to the original source of the funds; '08 Report CS 05-03 Date: March 19, 2003 - Subject: 2003 Current and Capital Budgets Page 4 11. the provisions of the Municipal Act (s.299 and s.300), that require municipalities to provide public notice regarding the improvements and barriers to improvements in the efficiency and effectiveness of municipally delivered services, be fulfilled by the service level standards provided in the detailed program budget sections of the 2003 City Budgets and by compliance with the Municipal Performance Measurement Program; and, 12. the appropriate staff of the City of Pickering be given authority to give effect thereto. Executive Summary: Not applicable "".... Financial Implications: The 2003 Current (Operating) & Capital Budgets, if adopted as presented, will result in the "direct" City Controlled tax levy increase of 4.9 per cent over last year's average property tax bill. In addition, the City Controlled Tax Levy will have to be increased by $526,567 to offset the decrease in property tax revenues resulting from changes in property tax policies imposed by senior levels of government resulting in an overall Total Tax Levy of 6.8%. On a home assessed at $200,000, the total tax levy proposed increase equates to $52.00 or one dollar per week. Adoption of the 2003 Capital Budget includes the use, or draw down, of reserves and reserve funds of approximately $2,704,390. Capital Budget financing also necessitates the use of $3,824,971 in debt that will result in an increase in the 2003 Current (Operating) Budget for 'debt charges' in the amount of $530,600, which is a 2.0 per cent tax impact. Background: The Recommendations put forth are those necessary to adopt the 2003 Current (Operating) and Capital Budgets of the City of Pickering. As in past years, the Chief Administrative Officer, the Treasurer and the Department Heads have worked diligently to keep current operating expenditures at the absolute minimum level necessary to sustain the current level of service to the ratepayers of Pickering. - As mentioned in last year's report, in regards to the Greater Toronto Area, we feel Pickering is very unique: relatively no real sustainable growth, more or less, in the middle of a growing economy and geographic area. However, Pickering has been in this situation for much of its life, first as a Town then as a City, in that the absence of development of the lands to the north which has made the southern area "landlocked". This situation has arisen as a result of the vast land holdings of the Federal and Provincial governments and by the absence of services. This situation, while worsening, was not really noticeable until the latter part of the 1990s. What used to be normal 5 to 7 per cent assessment growth has first leveled off and then declined to - - - Report CS 05-03 Date: March 19, 2003 09 Subject: 2003 Current and Capital Budgets Page 5 approximately 1 per cent in the last few years and 0.2 percent, net of write offs, in 2002. This is virtually a "no growth" situation. In order to sustain the City financially certain measures have been taken in successive budgets: 1. Operating expenditures, other than contractual increases, have been held or reduced. 2. The administration has been reorganized, made more efficient and more cost effective. 3. One time revenues have been used to offset ongoing operating costs. 4. Capital budgets have been reduced. 5. Contributions to reserves and reserve funds to assist in maintaining the City's infrastructure decreased and then stopped. 6. An increasing reliance on withdrawals from reserves and reserve funds. 7. The increasing use of debt over the last five years to forestall tax increases. 8. A leveling off or decrease in non-tax revenues. The foregoing have put considerable strains on the City's financial resources. This year's budget attempts to continue this delicate "balancing act". Reserves and Reserve Funds The 2003 Budgets contain continuing and unsustainable reliance upon draws from reserves and reserve funds especially for the Parkland Reserve Fund (account #4230). The 2002 projected year end balance for the Parkland Reserve Fund is $1.8 million. However, the 2003 capital budget will use approximately $487,000 to fund various capital projects such as playground equipment and therefore, the estimated 2003 yearend position for this account would be approximately $1.3 million. (In 1997 the Parkland Reserve Fund's balance was $4.1 million.) The External Subdivision 2003 Capital Budget, is funded primarily from two sources: Developer contributions and a City contribut,ion/share. The City's cost for its share of 2003 capital projects is $1.1 million. Our 2003 contribution to this reserve fund is $1.0 million and therefore, the City is drawing more from this fund then it is replacing. The large future dollar commitments and the City's ability to fund its share of these commitments most likely means the City will have to debt finance its contribution which in-turn will add to the financial pressures on the organization. .- - - Report CS 05-03 Date: March 19, 2003 10 Subject: 2003 Current and Capital Budgets Page 6 Based upon current balances and what is known at this time, the discretionary balances are forecasted to be reduced to zero most likely by 2005. Debt and Debt Charqes The current level of debt, and the resultant annual debt charges, is at a relatively high level, especially considering this means of financing was not used before 1998. The level of debt anticipated in the 2003 Capital Budget continues the recent trend of increasing reliance on debt and towards higher levels of debt charges. The resultant increase debt charges of approximately $387,000 annually will necessitate a 1.4 per cent of increase in the 2003 Current (Operating) Budget. At current levels and projections debt charges will represent 13 per cent of our tax levy in 2004. For 2003, the City is planning on issuing $3,450,900 of external debt and $321,071 of internal loans for various projects as listed in Table One. Table One External Debt & Internal FinancinQ of Capital Projects City of Pickering 10 Year Debt Financing 2003 Capital BudQet Capital Project Code Debt -10 Description Years ($) 03-2320-010-01 Road Rehabilitation 120,000 Grind & overlay - Amberlea Blvd. 03-2735-005-01 Other Fixed Assets 370,000 Delaney Roof replacement 03-2320-008-00 Road Construction 850,000 Storm Sewer Installation & Road Reconstruction Rougemount 03-2320-008-01 Road Construction 275,000 Audley Rd. - resurfacing 03-2320-008-02 Road Construction 100,000 Liverpool Rd. - Great Lakes Nautical Theme Implementation 03-2323-001-02 New Construction 60,000 Rouqemount Dr. - Concrete sidewalk 03-2718-001-00 Parks 200,000 Soccer Fields - Lighting & Improvements 03-2718-001-01 Parks 100,000 David Farr Park - Amphitheater & dam removal 03-2718-001-02 Parks 150,000 Trail Developments - Duffins Valley Improvements 03-2718-001-07 Parks 550,000 Proqress Bayfront Park - New Construction Total $2,775,000 Report CS 05-03 -- Subject: 2003 Current and Capital Budgets Date: March 19, 2003 11 Page 7 City of Pickering 5 Year Debt Financing 2003 Ca ital Bud et Debt - 5 Years $ 140,000 160,900 120,000 75,000 180,000 $675,900 City of Pickering Internal Loan 2003 Ca ital Bud et Internal Loan $ 80,000 130,000 73,371 37,700 $321,071 Capital Project Code 03-2320-001-00 Vehicles 03-2320-004-01 Miscellaneous E ui 03-2410-005-05 Other Fixed Assets 03-2731-005-04 Other Fixed Assets 03-2733-005-02 Other Fixed Assets Total Capital Project Code - 03-2320-010-02 Road Rehabilitation 03-2745-005-02 Other Fixed Assets 03-2745-005-04 Other Fixed Assets 03-2745-005-04 Other Fixed Assets Total The Year in Perspective Description & Road Description One must bear in mind that the 2002 Budget analysis included a forecast for a 2003 increase in property taxes of approximately 6.8 per cent and as late as last fall these projections were still in the preliminary estimates. This winter we were faced with a projected increase in the mid-teens. This was subsequently reduced by an intense review of the revenues and expenses and the pending success on some assessment appeals. Finally, it must be noted that the City is actually continuing to expand services with this capital budget mainly in the areas of parks and roads. AiaX/Pickerinq Transit Authority (APT A) The 2003 Current and Capital Budgets for APT A include some projects for which external grant funding has been applied for. As members of Council are aware, the APTA bus fleet is quite old and needs to be replaced. Conventional transit buses costs approximately $515,000 and external grant funding will be used to assist the municipality in paying for the buses. - 12 Report CS 05-03 Date: March 19, 2003 -- Subject: 2003 Current and Capital Budgets Page 8 The Transit Reserve is a key component in the City's financial plan. This reserve will be used to help offset capital related costs such as bus purchases, and will reduce the future level of tax increases. In addition, the Transit Reserve should be viewed as a financial security blanket from the perspective of protecting the City's 2003 financial plan if APT A should either have a revenue shortfall or unanticipated expenditure increases, in any given year. Recommendation 4 a), will authorize the Treasurer to fund Pickering's share of APT A financial shortfalls from a draw from the Transit Reserve. Travel Reimbursement - The rate for reimbursement of expenses for travel on City business in personally owned vehicles was adjusted in 2000 after almost a decade of no change. It was last adjusted as part of the 2001 budget process. After the events of September 11, 2001, vehicle insurance costs have increased considerably and gasoline costs have been eradict with an upwards trend. In addition, vehicle costs have steadily increased. As it has been two years since the last adjustment it is now appropriate to do so. After a review of the formula used in 2000, an adjustment of or 4.3 cents from 43.7 cents to 48.0 cents for the first 5,000 km and from 40.4 cents to 41.0 cents per kilometre so travelled. This will establish the minimum 15 percent differential between the two rates as required under the Income Tax Act. The same percentage increase as far as travel under 5,000 kilometre will be applied to any monthly allowance paid. This increase, if approved, estimated at approximately $18,000 will be funded from the Emergency Operational Needs Account for 2003. Budqet Based on Estimates In previous City budgets, there were very few estimates regarding revenues or expenses as most often, they were based on facts, probable outcomes or estimates based upon history. Unfortunately, two major components of the 2003 budget must be based solely on estimates. The 2003 budget assumes an additional revenue due to the assessment appeal of $870,000. This revenue could easily be adversely impacted by 2003 Provincial and Regional taxation policy changes. In addition, other PIL revenue as reflected in the budget can also be negatively impacted by 2003 Provincial and Regional taxation policy decisions. The 2003 Returned Assessment Roll (used for taxation billing purposes) does not reflect the negotiated settlement regarding the assessment appeal and therefore an estimate is used for the calculation of taxation revenue. T ax Rates - As has been the case for the last few years, the 2003 Property Tax Rates and Levy By- Law will be presented at a later date when more information is available from the Province and the Region has decided upon the tax policies of the day. Report CS 05-03 Date: March 19, 2003 13 Subject: 2003 Current and Capital Budgets Page 9 -- Last year, the City was able to absorb on a short-term basis the loss of revenue due to Provincial and Regional Governments taxation policy changes. Unfortunately, this year, the City has limited financial flexibility and is therefore unable to offset any anticipated revenue losses due to 2003 tax policy decisions. With the City being in a limited assessment growth scenario, our ability to absorb these revenue losses through supplementary property taxes does not exist. Therefore, Recommendation 5 will allow the Treasurer to make any adjustments to the 2003 proposed Total Tax Levy to reflect senior government tax policy decisions Strateqic Financial Plan .,-.. The cumulative effects of several years of deferring expenditures and an increasingly aging infrastructure have resulted in unmanageable levels of forecasted capital requirements. As a result the Chief Administrative Officer and Treasurer will be reviewing all servicing requirements, projects and financing demands for the next five years with particular emphasis on the next three years. The objective is to develop a Strategic Financial Plan for the maintenance of the City's infrastructure, the provision of necessary services and the financing necessary to accommodate these goals. In order for the Strategic Financial Plan to be complete and viable, staff will require the cooperation of APT A and the Library. The planning for the financial health of the city is paramount to all especially over the forthcoming years. Undertaking this exercise is absolutely necessary - there are no alternatives as sufficient funds must be available to operate and maintain core activities and facilities. Different from recent years' annual budgets the 2003 Current and Capital Budgets do not include a forecast or estimate of the budgets and financial picture for the City of Pickering. Instead, the Director, Corporate Services & Treasurer at the Council budget meeting of February 27, 2003, provided a preliminary 2004 budget range between 12.50 to 14.50 percent. (This slide is attached for your information). There are several reasons, as to why a range is provided in contrast to a more definitive budget number, the main one being that staff wish to prepare a complete picture as possible of the next few years for presentation to the new Council, most likely in early 2004. This will take the efforts of the CAO, the Treasurer and other staff time to prepare over the next while. The financial position of the City of Pickering continues in a rather precarious state with increases in debt and loan charges, level or declining revenues resulting in ongoing property tax increases as indicated on the attached schedules. - Departure from the financial plan put forth in prior year's documents and the 2003 Budgets will most likely have severe negative impacts on future years budgets, perhaps as early as 2004 but certainly no later than 2005. If we are able to "stay the course" and find new revenues for 2004 and 2005 hopefully budgetary increases will level off. Staff will continue to explore new revenue streams and maximize current revenues where possible. For the City of Pickering, the maximization of property tax revenue for 14 Report CS 05-03 Date: March 19, 2003 ,-" Subject: 2003 Current and Capital Budgets Page 10 Payment-in-Lieu (PIL) properties where the City retains the education taxes is a key strategic financial objective for this year and future years. Attached for your information is a financial summary of the cost centers making up the Departmental appropriations and also included is the summary of General Government and Departmental revenue estimates. Also attached is the slide presentation of the Director, Corporate Services & Treasurer presented at the Budget Committee Meeting of February 27, 2003. Attachments: 1. 2. 2003 Financial Summary by appropriation Budget Slide Presentation, February 27,2003 GAP:vw Attachments Copy: Chief Administrative Officer Prepared I Approved I Endorsed By: ~~~.- Gillis A. Paterson Director, Corporate Services & Treasurer ~ Recommended for the consideration of Pickering City Council .d - ATTACHMENT #...1.-.. TO REPORT # CSo~~ð3 2003 FINANCIAL SUMMARY 15 ~ CITY OF PICKERING 2003 BUDGET I 2002 INCREASE 2003 % BUDGET (DECREASE) BUDGET Tax Levv Departmental Expenditures 38,070,378 2,579,191 40,649,569 Gen Gov. Expenditures 4,319,419 323,272 4,642,691 Capjtal 1,307.018 931,674 2.238.692 A Total City Controlled Exp 43,696,815 3,834,137 47,530,952 14.1% Dept Revenues ($8,343,235) ($1,299,300) ($9,642,535) Gen Gov Revenues (7,105,638) $50,538 ($7,055,099) Revenue Adjustments (3,570.700) $1,518.289 (2,052.411) B Total Revenues (19,019,573) 269,527 (18,750,045) 1.0% C Excess Exp, over Rev, $24,677,242 $4,103,665 $28,780,907 15.1% Additional One Time FundinQ of Current Withdraw from Rate Stab. Res. (919,000) (919,000) Est. Assessment Appeal Rev. (1) (870,000) (870,000) D Total Adjustments (1,789,000) (1,789,000) -6.6% Additional One Time FundinQ of CaDital --- E Veridan - Return of Capital (410,000) (410,000) -1.5% F Return of Prior Years Unspent Capital (559.380) (559,380) -2.1% G Est. City Tax Levy $24,677,242 $1,345,285 $26,022,527 4.9% APTA Net Current & Cap Exp. $3,907,002 ($177,196) $3,729,806 Capital Maintenance 223,148 223,148 Transfer to Reserve 287,099 (150,327) 136,772 Est. Transit Tax Levy (1,621.000) 100.000 (1 521.000) H Total APTA $2,573,101 ($4,375) $2,568,726 0.0% Est. City Levy $27,250,343 $1,340,910 $28,591,253 4.9% J 2002 Provo & Reg. Tax Rev Loss (3) 526.567 526,567 1.9% L Est. Total Tax Levy $27 250.343 $1.867.477 $29.117820 6.8% Comments 1 This is an estimate and can not be finalized until after the Region and the Province determine the tax ratios and education tax rates for 2003, In addition, the assessment agreement reached and the Provincial Regulation is still waiting for Provincial approval. 2 Assessment growth converted into taxation revenue is currently estimated to be $50,411 This figure represents assessment growth of 0,2%, 3 Provincial & Regional tax policy changes for 2003 are unknown at this tjme, .-.... 3/19/2003 10:06AM 203_sum_febbaLxls 16 "...., CITY OF PICKERING 2003 BUDGET GENERAL GOVERNMENT EXPENDITURE ,.. 1001 City Image 2115 Business Development & City Promotion 2123 Post Employment Benefits Obligation 2126 Purchased Services 2128 Audit Fees 2130 Office Machines - Rental 2131 Office Machines - Repair & Maintenance 2134 Provision for Un collectable Taxes 2135 Property Tax & Vacancy Rebates 2140 Telephone 2193 Insurance 2194 Insurance - Self Insurance 2195 Grants to Organizations & Individuals 2197 Advertising - Community Page 2810 Interest Paid Out on Bank Loans 2811 Interest Paid Over to Own Funds 2812 Debenture Debt Charges 2815 Lease Payment Charges 2819 Bank, Credit Card & For. Exchange Charges 2821 Tsfr. to Reserve for Equip. Replacement 2821 Tsfr.to Reserve for Contingency-Elections 2821 Tsfr. to Reserve for Contingency - WCB NEER 2821 Tsfr. to Reserve for Contingency-Fire/Soc. Con. 2821 Tsfr.to Res.Contingency-Assessment Appeals 2821 Trans. to Reserve for Accrued Vac. Pay 2821 Trans. to Reserve for Reskilling 2821 Tsfr.to Reserve for Cont.- Rate Stabilization 2822 Trans. to Reserve Fund - Comm. Fac. 2823 Trans. to Capital Fund Capital Funded From Current Capital Funded From Dealer Financing Capital Funded From Internal Loans Capital Funded From DEBT 2891 City Share of DC Projects 2900 Contingency 2901 Emergency Operational Needs Without Debt & Int. Loans & Deal Fin. - 3/18/2003 2:47 PM 2002 BUDGET $20,000 18,000 0 200,170 42,650 22,907 19,000 150,000 70,825 296,095 92,795 6,000 183,325 85,000 2,500 410,000 1,156,608 67,364 54,775 0 71,500 0 0 0 0 0 0 0 1,307,018 5,012,000 800,000 180,905 $10,269,437 5,257,437 % CHANGE INCREASE 2003 2003 BUDGET (DECREASE) BUDGET VS.2002 ($20,000) $0 -100.00% 0 18,000 0.00% 89,500 89,500 NA 55,330 255,500 27.64% (42,650) 0 -100.00% 1,093 24,000 4.77% (4,000) 15,000 -21.05% 166,304 316,304 110.87% (4,975) 65,850 -7.02% (274,039) 22,056 -92,55% 31,875 124,670 34.35% 4,000 10,000 66.67% (29,300) 154,025 -15.98% (85,000) 0 -100.00% (2,500) 0 -100.00% 53,788 463,788 13.12% 387,721 1,544,329 0.00% (34,005) 33,360 0.00% 6,975 61,750 12.73% 0 0 0.00% (71,500) 0 -100.00% 0 0 0.00% 0 0 0.00% 0 0 0.00% 0 0 0.00% 0 0 0.00% 0 0 0.00% 0 0 0.00% 931,674 2,238,692 71.28% 53,000 53,000 NA 321,071 321,071 NA (1,561,100) 3,450,900 -31.15% 200,000 1,000,000 25.00% 128,655 309,560 71.12% 135,000 135,000 NA $436,917 $10,706,354 4.25% 1,623,946 6,881,383 - 17 CITY OF PICKERING 2003 BUDGET GENERAL GOVERNMENT REVENUE 1010 POA Revenues 0000 Non-Shared P.LLS. 0000 Linear Properties 1530 Rentals 1543 Metro Agreement 1550 Interest from Investments 1591 Commissions 1592 Donations - 1593 Saie of Equipment 1594 Sale of Land 1599 Other Net (Under) Over Levies 1599 Other Misc. Transactions 1622 Government Grants 1910 Tsfr. from Reserve - Contingency - Increases 1910 Tsfr. from Reserve - Contingency - Elections 1910 Tsfr. from Reserve - Legal 1910 Tsfr. from Reserve - Contingency - Assessment 1911 Tsfr. from Reserve - Cont. Sudies & Consulting 1920 Tsfr. from Res. Fund - Workers' Compo 1920 Tsfr. from Res. Fund - Development Charges 1920 Tsfr. from Res. Fund - Parkland 1940 Tsfr. from Capital 1950 Tsfr. from Rate Stabilization Reserve - 3/18/2003 2:48 PM 2002 INCREASE 2003 BUDGET (DECREASE) BUDGET $254,500 ($5,090) $249,410 3,997,811 (112,041) 3,885,770 1,453,387 17,190 1,470,577 53,300 1,200 54,500 55,000 0 55,000 774,900 (22,477) 752,423 750 0 750 5,000 0 5,000 5,000 0 5,000 17,000 183,000 200,000 0 0 0 10,000 0 10,000 0 0 0 0 0 0 0 143,000 143,000 0 0 0 0 95,000 95,000 0 20,000 20,000 43,490 15,180 58,670 0 50,000 50,000 0 0 0 0 0 0 435,500 (435,500) 0 $7,105,638 ($50,539) $7,055,099 % CHANGE 2003 BUDGET VS. 2002 -2.00% -2.80% 1.18% 2.25% 0.00% -2.90% 0.00% 0.00% 0.00% 1076.47% 0.00% 0.00% 0.00% 0,00% NA 0.00% NA NA 34.90% NA 0.00% 0.00% -100.00% -0.71% 18. -- CITY OF.PICKERING 2003 BUDGET DEPARTMENTAL EXPENDITURE - 2111 Mayor 2113 Council 2121 CAO. Office 2129 Customer Care Centre 2122 Clerk Office 2191 Elections 2198 Records Management 2199 Print Shop/Mail Room 2220 By-Law 2293 Animal Control 2743 LA.CAC. 2192 Corporate Projects and Policy 2241 Emergency Operation Control Centre 2139 Human Resources 2141 Safety & Training 2125 Legal Services 2127 Finance 2133 Supply & Services 2196 Information Technology 2190 Corp. License, Contracts & Services 2710 Operations & Emerg.Services-Admin. 2240 Fire Protection 2320 Roads 2290 Mun. Prop. & Eng. & Admin. 2132 Property Maintenance 2230 Crossing Guards 2325 Street Lights 2430 Solid Waste 2718 Parks 2315 Operations Centre-Municipal Garage 2124 Civic Complex 2572 Senior Citizens Centre 2711 Cult. & Rec. Admin. 2712 Programs 2713 Dunbarton Pool 2715 Don Beer Arena 2719 Community Centres 2731 Recreation Complex - Central Core 2733 Recreation Complex - Pool 2735 Recreation Complex - Arenas 2744 Museum 2610 Plan & Develop - Admin 2611 Planning 2612 Building Services 2613 Development Control 2745 Libraries TOTAL - 2002 BUDGET $ 150,913 364,856 306,448 129,024 449,628 15,000 369,343 438,335 259,300 10,150 448,997 10,767 508,722 105,873 403,673 1,414,138 326,523 515,276 386,656 376,204 8,266,086 3,342,031 903,844 326,374 240,000 481,000 1,669,421 1,898,982 706,281 395,422 189,084 686,095 1,576,816 244,808 589,092 400,381 1,719,161 605,854 596,897 328,630 582,005 966,205 604,289 427,771 3,334,023 $ 38,070,378 INCREASE 2003 (DECREASE) BUDGET $ 8,878 $ 159,791 66,627 431,483 6,597 313,045 437 129,461 29,130 478,758 235,015 235,015 (5,000) 10,000 1,813 371,156 713 439,048 9,000 268,300 (10,150) - 43,830 492,827 56,232 66,999 33,672 542,394 (14,764) 91, 1 09 (234,035) 169;638 348,253 1,762,391 (31,990) 294,533 17,386 532,662 (31,941) 354,715 (69,614) 306,590 251,419 8,517,505 64,020 3,406,051 271,019 1,174,863 (14,354) 312,020 46,000 286,000 1,800 482,800 (150,106) 1,519,315 137,407 2,036,389 (3,525) 702,756 3,257 398,679 7,832 196,916 119,328 805,423 99,586 1,676,402 6,545 251,353 274,350 863,442 33,164 433,545 66,297 1,785,458 14,506 620,360 18,067 614,964 (5,411) 323,219 156,106 738,111 515,571 1,481,776 32,011 636,300 22,311 450,082 151,902 3,485,925 $ 2,579,191 $ 40,649,569 %CHANGE 2003 BUDGET VS. 2002 BUDGET 5,88% 18.26% 2,15% 0.34% 6.48% 0.00% -33,33% 0.49% 0,16% 3.47% -100,00% 9.76% 522,26% 6.62% -13,95% -57,98% 24.63% -9,80% 3.37% -8.26% -18,50% 3,04% 1.92% 29,99% -4.40% 19,17% 0,37% -8.99% 7.24% -0,50% 0,82% 4,14% 17,39% 6,32% 2,67% 46.57% 8.28% 3.86% 2,39% 3,03% -1,65% 26,82% 53,36% 5,30% 5.22% 4,56% 6,77% - 19 CITY OF PICKERING .. . 2003BUDGer. . . "'--- DEPARTMENTAL REVENUE - 2122 Clerk Office 2220 By-Law 2293 Animal Control 2192 Corporate Projects and Policy 2241 Emergency Operation Control Centre 2141 Safety & Training 2125 Legal Services 2127 Finance 2240 Fire Protection 2320 Roads 2290 Mun. Prop. & Eng. & Admin. 2132 Property Maintenance 2718 Parks 2315 Municipal Garage 2124 Civic Complex 2572 Senior Citizens Centre 2712 Programs 2713 Dunbarton Pool 2715 Don Beer Arena 2719 Community Centres 2731 Recreation Complex. Central Core 2733 Recreation Complex. Pool 2735 Recreation Complex - Arenas 2744 Museum 2610 Plan & Develop - Admin 2611 Planning 2612 Building Services 2613 Development Control 2745 Libraries TOTAL 2002 BUDGET INCREASE (DECREASE) . .201):3 . . BUoGET $ 116,875 $ (29,475) $ 87,400 651,000 (64,000) 587;000 . 58,000 13,000 .71,000 . 1,500 1,500. 50,000 50,000 20,000 20;000 85,000 (84,000) 1;000 1,230,000 160,000 1,390,000 101,100 (12,600) . 88,500. 67,000 23,000 90;000 1,000 1¡000 5,000 5,000. 6,600 6;600 636,200 (88,895) 547,305 . 6,500 1,400 7;900 40,500 40;5<)0 1,253,435 95,210 1,348;646 . 111,812 2,736 114,548 604,500 288,600 893.100 . 51,500 13,500 65,000 1,041,200 118,786 1.159;986. 223,700 15,805 .239,505. 610,500 34,500 645.000. 111,100 (1,365) 109,735 . 6,000 1,000 .7,000. 76,500 553,851 . 630,a51. 850,000 213,567 1,063,567 . 93,000 9,000 102.000 . 283,713 (14,320) 269,393 $ 8,343,235 $ 1,299,300 $ 9,642,535. - I %CHANGE 2003 BUDGET VS. 2002 BUDGET -25.22% -9.83% 22.41% 0.00% 0.00% -98.82% 13.01% -12.46% 34.33% 0.00% 0.00% 0.00% -13.97% 21.54% 0.00% 7.60% 2.45% 47.74% 26.21% 11.41% 7.07% 5.65% -1.23% 16.67% 723.99% 25.13% 9.68% -5.05% 15.57% ) ) Discretionary Reserves & Reserve Funds 1999- 2004/5 12 10 ~ 8 = .s 6 IIIIIIIIIj IIIIIIIIIj .,.... ~ 4 2 0 ..... "- "- ~ ..... 1999 2000 2001 2002 2003 2004/5 Year II1II ... .. II1II Projection ) m c: 0 Q 11m m-l men :::ar- c:- »0 :::am -(""C I'\):::a ......m ~ en I'\)m Oz ~~ ::! 0 z N <=> ):; ~ ~ () :I: 3 m Z -I ~ a ~ -0 0 ~ : : : ,~ 'C .11) \ e ) ) City of Pickering 1998 - 2003 Use of Debt Financing Per Year $ 6,000,000 5,000,000 4,000,000 3,000,000 2,000,000 1,000,000 0 1998 M$ 1.7 1999 2000 2001 2002 2003 1.7 2.3 1.5 5.0 3.8 ) N ~ ) $ 18~00~00 16~00~00 14~00~00 12~00~00 .10~00~00 8~00~00 6~00~00 4~00~00 2~00~00 0 ) City of Pickering Cumulative Debt 2000 - 2004 2000 2001 2002 2003 2004 $7,374,188 $8,827,188 $13,179,000 $17,003,971 ) N !"'.J -+- De hi $1 ) ) ,.,,---- ....,.,......, ."'."""""""..., .."c' J.T'.'Y'.'Q"'F.'.'p..r.c' .K" 'E"R"'J'N"G.". :.: '...: ::-: ' :::'....:.::: . . . . :-:-. :-::::::-: !Pr~lht1il1a'ry:ërc>j~ctiO~~.,":-:- .. .2094. ~1QO§:: QlIi...~ritJ_B LJ ~9~tlr[lJ)}iÇt.. Anticipated Expenditure Increases Salaries Benefits Inflation such as utilities Equipment & Capital Mtce. OMERS Debt Charges Sub Total Anticipated Revenue Decreases Tax Policy Changes Reduction in land sales Reduction in Building Permit & User Fees Sub Total Total Preliminary Minimum Proj. Tax Levy Increase (City Share) The above projection excludes any additional costs associated with APT A. The above projection assumes no new staff including fire for 2004 and 2005. % 3.00 0.50 1.00 1.00 2.00 2.00 9.50 1.00 - 2.00 0.50 -1.00 1.00 - 2.00 2.50 - 5.00 12.50 - 14.50 ) N C-ù 24' - - - " . ,., . '" ' :.. Çll"'{. 9F .~lqt<.E~IN(;... .. ,. ",.,... ".., .."", , ",. """",.,.."" '" . .c.~lJ1parati~e ~n~IY~iS()f .~e~i~~~tiaJ ,.aX~E1t~S.. , , ." , Residential Taxes Paid Component of Per Comparable Residence Municipalitv Tax Rate Assessed Value Pickering 2002 Rate with 6.8% Inc. 0.004011 200,000 Ajax - 2002 with 3.3% 0,004929 190,000 Oshawa - 2002 Tax Rate Only 0.006735 170,000 Whitby - 2002 Tax Rate Only 0.004679 180,000 How Much Do YOU Stili Save Livina in Pickerina? Whitby Residents Pay $40 more. Ajax Residents Pay $134 more. Oshawa Residents Pay $343 more. I I Estimated Taxes Paid $802.00 $936.00 $1,145.00 $842.00 The 2002 tax rate is used due to the fact these municipalities have not yet set their 2003 budgets.