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HomeMy WebLinkAboutJune 14, 2010 Cirq a0 Executive Committee Meeting Agenda Monday, June 14, 2010 PICKERING Council Chambers 7:30 pm Chair: Councillor O'Connell (1) MATTERS FOR CONSIDERATION PAGES 1. Chief Administrative Officer's Report, CAO 12-10 1-4 Amendments to the Responsible Pet Ownership By-law RECOMMENDATION That the by-law included as Attachment #1 be adopted to amend the Responsible Pet Ownership By-law. 2. Chief Administrative Officer's Report, CAO 13-10 5-10 Proposed Nuisance By-law Addendum to Report Number CAO 05-10 RECOMMENDATION That the draft Nuisance By-law, included as Attachment 1, providing restrictions regarding littering, public urination, spitting, and fixture vandalism within the City of Pickering, be enacted. 3. Chief Administrative Officer's Report, CAO 14-10 11-19 Requested Taxicab Fare Increase to Offset Harmonized Sales Tax RECOMMENDATION That the request by the Taxicab industry to increase taxicab fares to offset the impact of the Harmonized Sales Tax be denied. 4. Chief Administrative Officer's Report, CAO 15-10 20-45 Reject in the Workplace Policy RECOMMENDATION That Council approve amendments to the Harassment Policy (HUR 070) and to change the name of the Policy to Respect in the Workplace in order to comply with Accessible For information related to accessibility requirements please contact Linda Roberts p r I C K E fs IN G Phone: 905.420.4660 extension 2928 TTY: 905.420.1739 Email: Irobertsncitvofpickerinq.com , City oo Executive Committee Meeting Agenda _ Monday, June 14, 2010 PICKERING Council Chambers T30 pm Chair: Councillor O'Connell the amendments to the Occupational Health & Safety Act as a result of Bill 168 being passed. 5. Director, Operations & Emergency Services, Report OES 13-10 46-57 Tender T-5-2010 - Full Depth Asphalt Removal and Replacement Glenanna Road and Hampton Court RECOMMENDATION 1 That Report OES 13-10 of the Director, Operations & Emergency Services regarding the tender for Full Depth Asphalt Removal and Replacement of Glenanna Road and Hampton Court be received; 2. That Tender T-5-2010 submitted by Furfari Paving Company Limited at a cost of $974,208.90 (GST included) and a net cost of $927,818 be accepted; 3. That the total gross project cost of $1,110,708.90 (GST included) including the tender amount.and other associated costs, and the total net project cost of $1,057,818 be approved; 4. That Council authorize the Director, Corporate Services & Treasurer to finance the project as follows: a) that the sum of $700,000 to be funded from the Federal Gas Tax Grant, as provided for in the 2010 approved Roads Capital Budget for Glenanna Road be increased to $765,315; b) that the sum of $200,000 to be funded from the Public Works Reserve Fund as provided for in the 2010 approved Roads Capital Budget for Glenanna Road be increased to $218,661; c) that the sum of. $35,000 to be funded from the Federal Gas Tax Grant, as provided for in the 2010 approved Roads Capital Budget for Hampton Court be increased to $73,842; Ctrs o¢~ Executive Committee Meeting Agenda Monday, June 14, 2010 PIC RING Council Chambers 7:30 pm Chair: Councillor O'Connell d) the Treasurer is authorized to take any actions necessary in order to effect the foregoing; and 5. That notwithstanding that the construction of bike lanes within existing rights- of-way is-a pre-approved Schedule A+ project in accordance with the Municipal Class Environmental Assessment (October 2000, as amended in 2007) document, and requires only that the public be notified of the project, the Director of Operations & Emergency Services and appropriate staff undertake public consultation with affected property owners and user groups on Glenanna Road regarding the introduction of bike lanes on Glenanna Road report back to Council; and 6. That the appropriate City of Pickering officials be authorized to take necessary action to give effect thereto. 6. Director, Corporate Services & Treasurer, Report CS 20-10 58-90 2009 Pre-Audit Balances of Reserves and Reserve Funds RECOMMENDATION That Report CS 20-10 of the Director, Corporate Services & Treasurer be received for information. 7. Director, Corporate Services & Treasurer, Report CS 21-10 91-104 2010/2011 Property and Liability Insurance Renewal RECOMMENDATION 1. That Report CS 21-10 of the Director, Corporate Services & Treasurer be received; 2. That the City of Pickering renew its property, liability and other coverages through the Frank Cowan Company for the period July 1, 2010 to June 30, 2011 inclusive.on terms and conditions acceptable to the Director, Corporate Services & Treasurer; 3. That the Director, Corporate Services & Treasurer, as part of the Risk Management Program, be authorized to continue the Reimbursable Deductible Program through the Insurance Adjuster and the Frank Cowan C~ o~ Executive Committee Meeting Agenda Monday, June 14, 2010 PICKERING Council Chambers 7:30 pm Chair: Councillor O'Connell Company and further, that the Director be authorized to settle any claims. including any adjusting and legal fees where it is in the City's interest to do so; 4. That the Director, Corporate Services & Treasurer be authorized to purchase additional insurance, make changes to deductibles and existing coverages, and alter terms and conditions as becomes desirable or necessary in order to limit potential liability exposure and to protect the assets of the City and its elected officials and staff; and, 5. That the appropriate officials be authorized to take the necessary actions to give effect thereto. 8. Director, Corporate Services & Treasurer, Report CS 22-10 105-110 Development Charges -Annual Indexing RECOMMENDATION 1. That Report CS 22-10 of the Director, Corporate Services & Treasurer be received; 2. That effective July 1, 2010 as provided for in Section 16 of By-law 6978/09, the Development Charges referred to in Sections 6 and 11 of that By-law be decreased by 2.4 percent being the reduction in the construction price statistics for the Noh-residential Building Construction Price Index as reported by Statistics Canada for the year ended March 31, 2010; and, 3. That the appropriate officials of the City of Pickering be given authority to give effect thereto. 9. Director, Corporate Services & Treasurer, Report 24-10 111-116 2010 Final Tax Due Dates for Commercial, Industrial and Multi-Residential Realty Tax Classes RECOMMENDATION 1. That Report CS 24-10 of the Director, Corporate Services & Treasurer be received; C--ttq off, Executive Committee Meeting Agenda Monday, June 14, 2010 PICKERING Council Chambers 7:30 pm Chair: Councillor O'Connell 2. That the Director, Corporate Services & Treasurer be authorized to issue the final 2010 Tax Bills for Commercial, Industrial and Multi-residential properties with a due date of October 15th, 2010; 3. That the Director, Corporate Services & Treasurer be authorized to make any changes or undertake any actions necessary, including altering the due date, in order to ensure the tax billing process is completed and in order to comply with Provincial Regulations; 4. That the draft By-law attached to this report be enacted; and, 5. That the appropriate City of Pickering officials be authorized to take the necessary actions to give effect hereto. 10. Director, Corporate Services & Treasurer, Report CS 25-10 117-119. Section 357/358 of the Municipal Act- Adiustment to Taxes RECOMMENDATION 1. That Report CS 25-10 of the Director, Corporate Services & Treasurer be received; 2. That the write-offs of taxes as provided under Section 357/358 of the Municipal Act, 2001 be approved; and, 3. That the appropriate officials of the City of Pickering be authorized to take the necessary action to give effect hereto. 11. Director, Corporate Services & Treasurer, Report CS 26-10 120-131 Tender T-3-2010 -Supply and Delivery of HP & Cisco Equipment RECOMMENDATION 1. That Report CS 26-10 regarding The Supply and Delivery of HP & Cisco Equipment be received; i Crq oo Executive Committee Meeting Agenda Monday, June 14, 2010 PICKERING Council Chambers 7:30 pm Chair: Councillor O'Connell 2. That Tender T-3-2010 submitted by GENX Solutions (Section 1, Model 2) at a cost of $25,000.78 (HST included) and a net cost of $22,513.97 be accepted; 3. That Tender T-3-2010 submitted by Conpute (Section 2) at a cost of $20,253.85 (HST included) and a net cost of $18,239.22 be accepted, 4. That Tender T-3-2010 submitted by Konnecud Tech (Section 4) at a cost of $71886.29 (HST included) and a net cost of $7,101.85 be accepted; 5. That Tender T-3-2010 submitted by MAD Information Systems (Section 3, Model 2) at a cost of $48,423.44 (HST included) and a net cost of $43,606.81 be accepted; 6. That Tender T-3-2010 submitted by MAD Information Systems (Section 3, Model 4) at a cost of $3,582.37 (HST included) and a net cost of $3,226.04 be accepted; 7. That Tender T-3-2010 submitted by MAD Information Systems (Section 3, Laptop and Docking Station) at a cost of $9,862.18 (HST included) and a net cost of $8,881.19 be accepted; 8. That the total gross project cost of $115,008.91 (HST included) and the total net project cost of $103,569.08 be approved; 9. That Council authorizes the Director, Corporate Services & Treasurer to finance the project from the approved Information Technology 2010 Capital Budget from property taxes; 10. That the appropriate City of Pickering officials be authorized to take necessary action to give effect thereto. 12. Director, Corporate Services & Treasurer, Report CS 27-10 132-136 SR&R Bay Ridges Ltd. - Request to Defer Payment of Development Charges and Other Related Financial Matters RECOMMENDATION 1. That Report CS 27-10 of the Director, Corporate Services & Treasurer be received; l Executive Committee Meeting Agenda Monday, June 14, 2010 PICKERjl~jG Council Chambers 7:30 pm Chair: Councillor O'Connell 2. That as provided for under By-law 6978/09: a) the request by SR&R Bay Ridges Ltd. to defer the payment of Development Charges in the amount of approximately $1,069,000 to the earlier of six months after the commencement of foundation construction or when above grade work is commenced, plus interest, be approved; b) the requirements of Section 16(2) be waived so that the Development Charges in effect. at the time of payment apply to this project; 3. That the Director, Corporate Services & Treasurer be authorized to pay engineering fees in the amount of $51,793 to be funded from the Invest in Ontario Grant for the City's portion of the reconstruction of Wharf, Douglas and Front Streets; and, 4. That the appropriate officials of the City of Pickering be authorized to give effect thereto. 13. Director, Corporate Services & Treasurer, Report CS 28-10 137-151 Fair Wage Policy RECOMMENDATION That Report CS 28-10 of the Director, Corporate Services & Treasurer regarding Fair Wage Policy be received for information. (II) OTHER BUSINESS (III) ADJOURNMENT Citq Report To Executive Committee ~m PICKERI Report Number: CAO 12-10 Date: June 14, 2010 01 From: Debbie Shields City Clerk Subject: Amendments to the Responsible Pet Ownership By-law File: S-3010-001-10 Recommendation: 1. That the By-law included as Attachment #1 be adopted to amend the Responsible Pet Ownership By-law. Executive Summary: Minor changes to the Responsible Pet Ownership By-law 6811/07 are required in order to provide Animal Services Officers with the ability to issue Orders to dog owners who continually allow their dogs to run at large. Changes are also required to give Animal Services Officers the ability to prohibit certain dogs from using the leash free area. Financial Implications: None. Sustainability Implications: The City of Pickering is committed to meeting the needs of all its citizens. Reviewing and updating regulatory by-laws is one way to continually assess our service delivery and remove barriers where they may exist. Background: The existing Responsible Pet Ownership By-law No. 6811/07, enacted on October 15, 2007, was created to regulate pet ownership. As part of the Clerk's Office's regulatory by-law review, it was determined that minor housekeeping changes were necessary. Section 31.1 is being added to allow an Animal Services Officer to issue an Order to dog owners who continually allow their dogs to run at large. Currently, Animal Services Officers do not have this ability and must rely solely on charges. Sections 40, 43 and 44 are being amended to give Animal Services Officers the ability to choose one or more options when issuing an Order. Section 40 (b) is being added to incorporate the leash. free area and give Animal Services Officers the ability to prohibit certain dogs from using the area. Report CAO 12-10 June 14, 2010 Subject: Amendments to the Responsible Pet Ownership By-law Page 2 02 Staff are recommending that the attached by-law to amend the Responsible Pet Ownership By-law be enacted. Attachment: 1. Proposed By-law, to amend the Responsible Pet Ownership By-law Prepared By: Approved/Endorsed By: a~ Lam, C Lindsey Brenner Debbie Shields Supervisor, Animal Services City Clerk LB:lb Copy: Chief Administrative Officer Recommended for the consideration of Pickering Ci ounc'I Tony Preve el, P. Eng. Chief Administrative Officer CORP0227-07/01 revised Attachment No. 1 03 THE CORPORATION OF THE CITY OF PICKERING BY-LAW NO. /10 Being a by-law to amend the Responsible Pet Ownership By-law WHEREAS on October 15, 2007 the Council of The Corporation of the City of Pickering passed By-law 6811-07 to regulate pet ownership; and WHEREAS Council wishes to amend By-law 6811-07. NOW THEREFORE THE COUNCIL OF THE CORPORATION OF THE CITY OF PICKERING HEREBY ENACTS AS FOLLOWS: 1. By-law 6811-07 is amended by adding the following section: 31.1 Where an Animal Services Officer has investigated and has reason -to believe that a dog owner on more than one occasion has allowed their dog to run at large, the Animal Services Officer may issue an Order to the owner of the dog. 2. Section 40 of By-law 6811/07 is repealed and the following substituted therefore: 40. Where an Order has been issued and no appeal has been filed, the owner (if specified in the Order), (a) shall, at his or her expense, have the dog that is subject to the Order, (i) licensed and photographed within twenty-one (21) days of being served with the Order; (ii) microchipped within twenty-one (21) days of being served with the Order; (iii) sterilized within 4 months of being served with the Order; and/or (iv) enrolled in an obedience training class within 6 months of being served with the Order; Responsible Pet Ownership By-law Amendment Page 2 04 (b) shall not be permitted to take the dog to any designated leash free area; and (c) shall restrain the dog in accordance with any written directives given by an Animal Service Officer. 3. Section 43 of By-law 6811/07 is repealed and the following substituted therefore: 43. When off the premises of the owner, a dog that is the subject of an Order shall be (if specified in the Order), (a) muzzled and on a lead not longer than 2 metres in length and in a manner that restricts it from chasing, injuring or biting other domestic animals or humans. as well as preventing damage to public and/or private property; or (b) under the effective control of a responsible person over sixteen years of age. 4. Section 44 of By-law 6811/07 is repealed and the following substituted therefore: 44. When on the premises of the owner, a dog that is the subject of an Order shall be kept (if specified in the Order), (a) indoors in a manner that respects its environmental needs and prevents the dog from having contact with persons who have not consented to contact; or (b) outdoors in a pen or other enclosure that respects its environmental needs and prevents the dog from leaving the owner's property and from coming into contact with persons and other animals. 5. This by-law shall come into effect on the day of its passing. BY-LAW read a first, second and third time and finally passed this day of May, 2010. David Ryan, Mayor Debbie Shields, City Clerk City Report To Executive Committee PIC < RING Report Number: CAO 13-10 , Date: June 14, 2010 05 From: Debbie Shields City Clerk Subject: Proposed Nuisance By-law Addendum to Report Number CAO 05-10 Recommendation: That the draft Nuisance By-law, included as Attachment 1, providing restrictions regarding littering, public urination, spitting, and fixture vandalism within the City of Pickering, be enacted. Executive Summary: This report is an addendum to Report CAO 05-10, which was presented at the May 10, 2010 Executive Committee meeting. Council directed staff to review the proposed Nuisance By-law and clarify potential enforcement specifically relating to the provisions regulating spitting in a public place, vomit by reason of intoxication in a public place, and deposit liquids other than storm water into a municipal storm sewer. The attached revised by-law represents the changes made in accordance with the comments received by Council, with further information outlined below. Financial Implications: Minimal revenue generated. Sustainability Implications-: The provisions in the by-law are intended to eliminate undesirable impacts on the social environment. Background: The provisions in the proposed Nuisance By-law relating to spitting in a public place are intended to provide police with the ability to deal with issues where clearly the behaviour is offensive. Many times this, and the other types of behaviour prohibited, are encountered while dealing with youth. The by-law prohibitions either address behaviours not covered in the criminal code or provincial legislation, or provide for the issuance of a simple fine rather than laying a charge that may lead to a criminal record. Where officers are dealing with youth issues, simple set fines further the ability to educate where attempts at verbal discussions have failed. The officer who issues the offence notice must always be able to articulate and justify the reasons why the charge Report CAO 13-10 June 14, 2010 Subject: Proposed Nuisance By-law Page 2 O is laid. Spitting offences will often be accompanied by an attitude or demeanour which the officer encounters while addressing other issues. Most municipalities have implemented these types of by-law prohibitions to provide additional means of addressing issues in downtown or waterfront areas, where patrons may leave bars and then urinate on the neighbouring properties, or cause other types of nuisance behaviour. After further consultation with Durham Regional Police Service, the provision prohibiting vomit by reason of intoxication has been removed. Council also had questions regarding the provision regulating the discharge of any liquid other than storm water into a municipal storm sewer. There were concerns expressed regarding situations where residents washed their cars and the water and soap might enter the storm sewer and what the enforcement intentions were. Council was advised that this was not the intention of the provision and enforcement was intended for the more blatant types of issues, as currently there were no.prohibitions in place at all to pursue enforcement action. This provision has been removed from the draft by-law, as to provide the specifics detailing all of the potential substances and circumstances requires a comprehensive by=law, such as the Region of Durham's sixteen page Sewer Use by-law. Council should be aware that by eliminating this provision, the City will be unable to initiate any type of by-law enforcement relating to improper discharge into the municipal storm sewers. The proposed Nuisance By-law has been revised to clarify the concerns expressed at the previous Executive Committee meeting. Once approved, the by-law will provide the ability for the issuance of "tickets" for the offences outlined, allowing a simplified, effective enforcement process for behaviours which are offensive to the public. Attachment: 1. Proposed Nuisance By-law Prepared By: Approved/Endorsed By: Ki rly Thompson Debbie Shields Manager, By-law Enforcement Services City Clerk Recommended for the consideration of Picker' Cit uncil Tony Prevedel Chief Administrative Officer CORP0227-07/01 revised THE CORPORATION OF THE CITY OF PICKERING 07 BY-LAW NO. ****/10 Being a by-law to prohibit and regulate public nuisances within the City of Pickering. WHEREAS section 128 of the Municipal Act, 2001 provides that a local municipality may prohibit and regulate with respect to public nuisances, including matters that, in the opinion of Council, are or could become public nuisances; and WHEREAS, in the opinion of Council, the act of urinating, defecating, or spitting in a public place is a public nuisance; and WHEREAS, in the opinion of Council, the act of knocking over or damaging mailboxes, relay boxes, newspaper boxes, recycling boxes, garbage containers, permitted signs or other public fixtures is a public nuisance; and WHEREAS, in the opinion of Council, the act of throwing, placing or depositing refuse on property without permission from the owner or occupant of such property is a public nuisance; and WHEREAS, in the opinion of Council, the act of draining water from a swimming pool, hot tub, or ornamental pond onto neighbouring property is a public nuisance. NOW THEREFORE THE COUNCIL OF THE CORPORATION OF THE CITY OF PICKERING HEREBY ENACTS AS FOLLOWS: PART I - INTERPRETATION Definitions 1. In this by-law, "City" means The Corporation of the City of Pickering or the geographical area of the City of Pickering, as the context requires; "Council" means the Council of the City; "fixture" means any structure that the City permits to be located within a boulevard including a utility box, newspaper vending box, bench, transit shelter, telephone box, telephone booth, transformer box or vault, telephone pole, hydro pole, streetlight, stoplight pole, recycling waste module, mailbox, street sign, a Canada Post relay mailbox, permitted signs, or a blue box, green bin or other garbage container; BY-LAW NO****/10 Page 2 08 "highway" has the same meaning as in subsection 1(1) of the Highway Traffic Act and includes unopened and unassumed road allowances; "public place" includes a highway and any other place to which the public has access as of right or by invitation, expressed or implied, and any private property that is exposed to public view, but does not include a washroom facility; and "refuse" includes garbage or debris of any kind and, without limiting the generality of the foregoing, includes a vehicle that appears by reason of its appearance, mechanical condition or lack of current licence plates to be inoperative, inoperative mechanical equipment,. automotive and mechanical parts, appliances, furnaces, heater or fuel tanks, disused furniture, table waste, paper, cartons, crockery, glassware, cans, garden refuse, earth or rock fill, old or decayed lumber, material from construction or demolition projects, and old clothing. References 2. In this by-law, references to any Act, regulation or by-law is a ,reference to that Act, regulation or by-law as it is amended or re-enacted from time to time. Word Usage 3. This by-law shall be read with all changes in gender or number as the context may require. 4. A grammatical variation of a word or expression defined has a corresponding meaning. Conflicts 5. If a provision of this by-law conflicts with a provision of any applicable Act, regulation or by-law, the provision that establishes the higher or more restrictive standard to protect the health, safety and welfare of the general public shall prevail. Severability 6. Each section of this by-law is an independent section, and the holding of any section or part of any section of this by-law to be void or ineffective for any reason shall not be deemed to affect the validity of any other section or parts of sections of this by-law. BY-LAW NO****/10 Page 3 09 PART II - REGULATIONS General Prohibitions 7. No person shall urinate, defecate or spit in a public place. Fixtures 8. No person shall knock over, attempt to knock over or otherwise attempt to damage a fixture. 9. No person shall alter or deface a fixture. Swimming Pools 10. (1) No person shall drain or cause or permit the drainage of water from a swimming pool, hot tub or ornamental pond onto property other than the property from which it originated. (2) Subsection (1) shall not apply to a person who drains water from a swimming pool, hot tub, ornamental pond, downspout, eaves trough or sump pump into a municipal storm sewer. Littering & Illegal Dumping 11. No person shall throw, place or deposit or cause or permit to be thrown, placed or deposited any refuse on any property without permission from the owner or occupant of such property. PART 111- ENFORCEMENT Enforcement 12. In this Part, "officer" means a police officer, municipal law enforcement officer or other individual duly appointed for the purpose of enforcing this by-law. 13. This by-law may be enforced by any officer. 14. An officer may, at any reasonable time, enter upon any land for the purpose of determining whether or not the provisions of this by-law have been complied with. 15. No person shall prevent, hinder or interfere or attempt to prevent, hinder or interfere with an officer. BY-LAW NO****/10 Page 4 Offences and Penalties 16. Every person who contravenes any provision of this by-law is guilty of an offence and upon conviction is liable to a fine pursuant to the provisions of the Provincial Offences Act. PART. IV - GENERAL Short Title 17. This by-law,may be cited as the "Nuisance By-law Repeal 18. By-Law No. 5330/98 is hereby repealed. Effective Date 19. This by-law shall come into force and effect on the day it is passed. BY-LAW read a first, second and third time and finally passed this day of June, 2010. David Ryan, Mayor Debbie Shields, City Clerk eiN oo Report To Executive Committee CKERIN Report Number: CA0.14-10 Date: June 14, 2010 From: Debbie Shields City Clerk Subject: Requested Taxicab Fare Increase to Offset Harmonized Sales Tax Recommendation: That the request by the Taxicab Industry to increase taxicab fares to offset the impact of the Harmonized Sales Tax be denied. Executive Summary: Effective July 1, 2010, the government of Ontario will be implementing the Harmonized Sales Tax (HST). At present, the taxicab industry is required to remit the Goods and Services Tax (GST), amounting to 5% of the fares they collect. Under the new harmonized tax system, the industry will be required to remit a total of 13% of the fares they collect. The Taxicab Advisory Committee was unable to provide a recommendation, as no quorum was present for a meeting held on Friday May 21, 2010, to discuss the committee's position on the HST. However, representatives from both of the major brokerages, Durham Rapid Taxi and Blue Line Taxi were present and advised they believe an 8% increase in taxicab fares is appropriate. Durham Rapid Taxi also provided a petition signed by 39 drivers who also support an increase in Taxicab fares to offset the impact of the HST. Staff do not support an increase in taxicab fares, as the previous two fare increases were justified based on fuel costs of $1.30 per litre on two separate occasions. After both increases, fuel prices returned to around $1.00 per litre. Since 2005, taxicab fares have increased by 47%, and staff feel that no further increases are justified at this time. Financial Implications: No impact to City revenue. Sustainability Implications: Not related. i Report CAO.14-10 June 14, 2010 Subject: Requested Taxicab Fare Increase to Offset HST Page 2 12 Background: Council approved taxicab fare increases on November 7, 2005 and most recently on October 14, 2008. The justification for increasing the fares in 2005 was based upon an increase in operating costs such as fuel and insurance, while in 2008 fuel costs were the only consideration. In 2005 the fares were increased from $8.95 for a 5 km trip to $11.75, an increase of approximately 31%. In 2005 one of the most compelling factors for the increase was the price of fuel, which at the time of the increase averaged $1.15 per litre, but had peaked at $1.30 per litre in the summer of 2005, leading to the demand for the fare increase. In 2008 the fares were increased from $11.75 for a 5 km trip to $13.15, a further increase of approximately 12% and a total increase over the 2005 fare rate of nearly 47%. In 2008 the only consideration for the increase was the price of fuel which at that time was around $1.35 per litre. Almost immediately after the fare increase, the price of fuel began to decrease and eventually stabilized at or under $1.00 per litre. This means that the price of fuel has dropped approximately 33% since the last fare increase in October 2008. Calculating the difference between fuel costs at the time of the approved fare increases, and the present fuel costs of approximately $1.00 per litre, the average driver has saved between $2600.00 and $4000.00 in fuel costs in the past 12 months. Fares from various municipalities across the GTA have been reviewed, including Ajax, Whitby, Oshawa. and Clarington. It should be noted that Ajax recently adopted a 10% increase in their taxicab fares to accommodate the HST costs and their fares will exceed Pickering's at. $14.20 per 5 km trip. Whitby's fare for a 5 km.trip is at $13.50, based on a fare increase implemented in July 2008. Copies of two taxicab fare surveys are attached.to this report. An exact increase of 8% to existing taxicab fares would be difficult to implement due to the manner which taxicab meters calculate fares. An 8% increase would set the start rate to $3.40, however, require an increase in the per kilometer rate to $0.20 per 1/11th of a kilometer (an increase of 10% to accommodate the meter set up of specific increments) and increase the 5 kilometer fare to $14.40. Taxicab Industry Comments: The Taxicab Brokerages and the Drivers who signed the attached petition believe it is unfair to refuse to increase fares to cover a tax that must be collected. They believe the industry cannot subsidize consumers, and no other sector is being required to do so. The increase is only providing the ability to collect a tax imposed by the Province, it should not be viewed as an increase to the meter rate. CORP0227-07/01 revised Report CAO 14-10 June 14, 2010 Subject: Requested Taxicab Fare Increase to Offset HST Page 3 13 The Taxicab Brokerages also stated that previous increases, while justified based on fuel costs, encompassed other increased costs such as insurance. The HST will impact drivers by adding the tax to their insurance, dispatch fees and fuel costs. To require the HST portion of the taxicab fare to be absorbed by the drivers will further increase the impact of the HST on their income. Comments were also received cautioning that the increase will cause a further reduction in business. In addition, the number of drivers who actually are in compliance with the tax remittance requirements is a small percentage of the industry. In summary, staff do not support an increase in taxicab fares at this time. While the industry will experience an increase in the amount of taxes they must remit, they have been more than compensated by the fares in place since 2008 that were increased to cover fuel costs that did not remain at the level utilized to justify the increase. Taxicab services are utilized largely by people on fixed incomes. The substantial increases in fares over the past five years must be considered prior to approving further fare increases. In addition, by many in the industry's own admission, very few drivers actually comply with the requirements to submit the portion of the fares collected as taxes. Staff re-iterate.the need for taxicab drivers to be required to submit proof of tax remittance should any fare increase be implemented. Attachments: 1. Petition from Taxicab Drivers 2. Taxicab Fare Survey - Durham Region 3. Taxicab Fare Survey - West GTA Prepared By: Approved/Endorsed By: U . ~O ti grly Thom son, CMM I, CPSO Debbie Shields, Manager, Municipal Law Enforcement Services City Clerk Recommended for the consideration of Pickering ' Counc' Tony Prevedel, P.Eng. Chief Administrative Officer CORP0227-07/01 revised 1 4 DURHAM RAPID TAXI 16-979 Brock Rd. Pickering, ON L1W 3A4 P: 905 831-2345 E: ravinderbhardwa0live.ca Attention: City of Pickering By-Law Dept. Mayor of Pickering All Councilors of Pickering To Whom It May Concern: We, the taxi drivers of the City of Pickering request a meter increase effective July 1, 2010. The new HST along with the dues, insurance and plate rents will result in further undue hardship. We hereby request a similar meter rate to that granted to the cities of Ajax and Whitby in 2010. Cab Number Driver Name Cell Number Z-572- 7 0 f s - K4-=~' Q z))<&-) i 6 -227 2 1S DURHAM 'RAPID TAXI 16-979 Brock Rd. Pickering, ON L1W 3A4 P: 905 831-2345 E: ravinderbhardwaj(o)live.ca Attention: City of Pickering By-Law Dept. Mayor of Pickering All Councilors of Pickering To Whom It May Concern: We, the taxi drivers of the City of Pickering request a meter increase effective July 1, 2010. The new HST along with the dues, insurance and plate rents will result in further undue hardship. We hereby request a similar meter rate to that granted to the cities of Ajax and Whitby in 2010 I Cab Number Driver Name Cell Number 3j- 0 F G ~7e 9Q7~ i A910 VI NV-2 e-11 Ali 7 6~ 44 7 2 =iG~ t/1 ~q IYADF-f-44 AWAP. 7 '6 l h ~u~ ti%,,jY\- A1) K~ 04t_qA3'6/4- ~i ~ `LS 6'0 - 16 DURHAM RAPID TAXI 16-979 Brock Rd. Pickering, ON L1W 3A4 P: 905 831-2345 E: ravinderbhardwaj@live.ca Attention: City of Pickering By-Law Dept. Mayor of Pickering All Councilors of Pickering To Whom It May Concern: We, the taxi drivers of the City of Pickering request a meter increase effective July 1, 2010. The new HST along with the dues, insurance and plate rents will result in further undue hardship. We hereby request a similar meter rate to that granted to the cities of Ajax and Whitby in 2010 Cab Number Driver Name Cell Number 3- t~ R C r~e~ c1.j ~f i l1 U a :1S3 30~ kftl 7Y 7,? ~ 3 1 ~ c urL) Q Z4 O L 7, -36 _p_ -zz 7~- - ' '35 c~ H 9oS- 703-7D N/ C-714 03~1 SANSOev SAC~C"V' a - ag -29'f/ 303 17 DURHAM RAPID TAXI 16-979 Brock Rd. Pickering, ON L1W 3A4 P: 905 831-2345 E: ravinderbhardwaj live.ca Attention: City of Pickering By-Law Dept. Mayor of Pickering All Councilors of Pickering To Whom It May Concern: We, the taxi drivers of the City of Pickering request a meter increase effective July 1, 2010. The new HST along with the dues, insurance and plate rents will result in further undue hardship. 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S f f 0 £ y £ X o m 0 i i City o Report To Executive Committee I KERI Report Number: CAO-15-10 20 Date: June 14, 2010 From: Jennifer Parent Division Head, Human Resources Subject: Respect in the Workplace Policy File: A-1010 Recommendation: That Council approve amendments to the Harassment Policy (HUR 070) and to change the name of the Policy to Respect in the Workplace in order to comply with the amendments to the Occupational Health & Safety Act as a result of Bill 168 being passed. Executive Summary: On June 15, 2010, Bill 168, Occupational Health and Safety Amendment Act (Violence and Harassment in the Workplace) 2009 takes effect and requires employers to establish a policy which will put measures in place to eliminate violence and all forms of harassment, including psychological harassment in the workplace. In response to this legislative change, the City's current Harassment Policy has been revised to capture the requirements of Bill 168. This includes broadening our current definition of Workplace Harassment as well as adding two new definitions (Psychological Harassment and Workplace Violence). Workplace Harassment now includes engaging in a course of vexatious comment or conduct against a worker in a workplace that is known or ought reasonably to be known to be unwelcome. Psychological Harassment is identified as engaging in, behaviour that is intended to intimidate, offend, degrade or humiliate a particular person or group of people. Finally, Workplace Violence is defined as: a) the exercise of physical force by a person against a worker, in a workplace, that causes or could cause physical injury to the worker b) an attempt to exercise physical force against a worker, in a workplace, that could cause physical injury to the worker and c) a statement or behaviour that it is reasonable for a worker to interpret as a threat to exercise physical force against the worker, in a workplace, that could cause physical injury to the worker. This policy details the processes involved in the reporting and investigation of claims of harassment/violence. It will apply to all City employees, contractors, visitors, clients, patrons,, volunteers, elected and appointed officials. ReportCAO-15-10 June 14, 2010 Subject: Respect in the Workplace Page 2 21 Financial Implications: Approximately $1,500.00 to $2,250.00 for the cost of training. Sustainability Implications: To preserve the mental and physical health of all our employees by preventing a hostile work environment. A harassment free workplace will contribute to a healthy work environment, thereby reducing health related costs such as absenteeism, turnover, Employee Family Assistance Program costs, workplace accidents and improved productivity. Background:. Prior to Bill 168, the organization's only legislated requirement was to ensure a harassment free workplace based on the protective grounds of the Ontario Human Rights Code. These grounds include a worker's sex, sexual orientation, race, ancestry, place of origin, colour, ethnic origin, citizenship, creed, age, record of offences, marital status, family status, being or having been in receipt of public assistance or mental or physical handicap. In December 2009, Bill 168 was passed as an amendment to the current Occupational Health & Safety Act and required employers do the following: • develop violence and harassment policies and programs (must be implemented by June 15, 2010); • train all employees on the policy and enable workers to report incidents of harassment, violence or threats of violence; • assess and control the risk of workplace violence; • have measures in place that allows the City to determine how to investigate and address the incidents; • take reasonable precautions to prevent domestic violence from occurring in the workplace; and • inform a worker about any risk of violence from a person with a history of violent behaviour if it is likely they could work directly together. The new Respect in the Workplace Policy outlines everyone's rights and responsibilities to work in an environment that is free from violence and harassment and satisfies a fundamental requirement of Bill 168. In accordance with the Municipal Act, this policy must be approved by Council. Attachments: 1. Bill 168 2. Respect in the Workplace Policy Report CAO-15-10 June 14, 2010 Subject: Respect in the Workplace Page 3 22 Prepared By: J;nifer'115ar-ent ivision Head, Human Resources JP:sv Recommended for the consideration of Pickering Cit Council 01 Tony Preve el, .Eng. Chief Administrative Officer ATTACHMENT -TO REPORT 1~'0 23- 1ST SESSION, 39TH LEGISLATURE, ONTARIO 1`e SESSION, 39e LEGISLATURE, ONTARIO 58 ELIZABETH 11, 2009 58 ELIZABETH II, 2009 Bill 168 Projet de loi 168 (Chapter 23 (Chapitre 23 Statutes of Ontario, 2009) Lois de 1 'Ontario de 2009) An Act to amend the Loi modifiant la Occupational Health and Safety Act Loi sur la sante et la securite au travail with respect to violence and en ce qui concerne la violence harassment in the workplace et le harcelement an travail and other matters et d'autres questions The Hon. P. Fonseca L'honorable P. Fonseca Minister of Labour Ministre du Travail Ist Reading April 20, 2009 1`e lecture 20 avril 2009 2nd Reading October 20, 2009 2e lecture 20 octobre 2009 3rd Reading December 9, 2009 3e lecture 9 d6cembre 2009 Royal Assent December 15, 2009 Sanction royale 15 d6cembre 2009 Printed by the Legislative Assembly Imprimd par I'Assemblde Idgislative of Ontario de I'Ontario 24 EXPLANATORY NOTE NOTE EXPLICATIVE This Explanatory Note was written as a reader's aid to Bill 168 La note explicative, redigee a titre de service aux lecteurs du and does not form part of the law. Bill 168 has been enacted as projet de loi 168, ne fait pas partie de la loi. Le projet de loi 168 Chapter 23 of the Statutes of Ontario, 2009. a ete edicte et constitue maintenant le chapitre 23 des Lois de ]'Ontario de 2009. The Bill adds Part II1.0.1 (Violence and Harassment) to the Le projet de loi ajoute la partie 111.0. 1 (Violence et harc6ement) Occupational Health and Safety Act. Subsection 1 (1) of the a la Loi sur la sante et la securite au travail. Le paragraphe 1 (1) Act is amended to include definitions of workplace violence and de la Loi est modifid pour inclure les definitions de oviolence au workplace harassment. travail) et de oharc6lement au travail). Section 32.0.1 of the Act requires an employer to prepare poli- L'article 32.0.1 de la Loi exige que 1'employeur formule des cies with respect to workplace violence and workplace harass- politiques concemant respectivement la violence au travail et le ment, and to review the policies at least annually. harc6ement au travail et examine celles-ci au mois une fois Fan. Section 32.0.2 of the Act requires an employer to develop a L'article 32.0.2 de la Loi exige que ]'employeur dlabore un program to implement the workplace violence policy. The pro- programme de mise en oeuvre de la politique concemant la gram must include measures to control risks of workplace vio- violence au travail. Ce programme doit comprendre les mesures lence identified in the risk assessment that is required under A prendre pour contr6ler les risques de violence au travail indi- rection 32.0.3, to summon immediate assistance when work- quds dans ]'evaluation du risque exigde a ]'article 32.0.3 et pour place violence occurs, and for workers to report incidents of obtenir une aide immediate lorsqu'il se produit de la violence au workplace violence. The program must also set out how the travail, ainsi que celles quo les travailleurs doivent prendre pour employer will deal with incidents. and complaints of workplace signaler les incidents de violence au travail. Il doit dgalement violence. indiquer la mani6re dont ]'employeur compte faire face aux incidents et aux plaintes de violence au travail. Section 32.0.3 of the Act requires an employer to assess the L'article 32.0.3 de la Loi exige que ]'employeur dvalue les ris- risks of workplace violence and to report the results of the as- ques de violence au travail et informe le comitd ou un ddldgud a sessment to the joint health and safety committee or to a health la santd et A la sdcuritd des rdsultats de I'dvaluation. En and safety representative. If there is no committee or represen- ]'absence de comitd ou de ddldgud, it faut en informer les tra- tative, the results must be reported to the workers. The risks vailleurs eux-m8mes. Les risques doivent etre rddvaluds aussi must be reassessed as often as is necessary to protect workers souvent que cela est ndcessaire pour protdger les travailleurs from workplace violence. contre la violence au travail. Under section 32.0.4 of the Act, if an employer is aware or Sclon ]'article 32.0.4 de la Loi, si un employeur a connaissance, ought to be aware that domestic violence that is likely to expose ou devrait raisonnablement avoir connaissance, du fait qu'il peut a worker to physical injury may occur in the workplace, the se produire, dans le lieu de travail, de la violence familiale sus- employer must take every reasonable precaution to protect the ceptible d'exposer un travailleur a un pr6judice corporel, it doit worker. prendre touter les prdcautions raisonnables pour le protdger. Section 32.0.5 of the Act clarifies that the employer duties in L'article 32.0.5 de la Loi prdcise que les devoirs de 1'employeur section 25, the supervisor duties in section 27 and the worker prdvus a I'article 25, ceux du superviseur prdvus 6 ]'article 27 et duties in section 28 apply, as appropriate, with respect to work- ceux du travailleur prdvus a ]'article 28 s'appliquent, s'il y a place violence. Section 32.0.5 also requires an employer to lieu, a 1'dgard de la violence au travail. Il exige dgalement que provide a worker with information and instruction on the con- les employeurs fournissent aux travailleurs des renseignements tents of the workplace violence policy and program. et des directives sur le contenu de la politique et du programme concemant la violence au travail. Section 32.0.6 of the Act requires an employer to develop a L'article 32.0.6 de la Loi exige que 1'employeur dlabore un program to implement the workplace harassment policy. The programme de mise en oeuvre de la politique concemant le program must include measures for workers to report incidents harc6lement au travail. Ce programme doit comprendre les me- of workplace harassment and set out how the employer will deal sures que les travailleurs doivent prendre pour signaler les inci- with incidents and complaints of workplace harassment. Sec- dents de harcdement an travail et 6noncer la mani6re dont tion 32.0.7 requires an employer to provide a worker with in- ]'employeur compte faire face aux incidents et aux plaintes de formation and instruction on the contents of the workplace har- harc0ement au travail. L'article 32.0.7 cxige que 1'employeur assment policy and program. fournisse aux travailleurs des renseignements et des directives sur le contenu de la politique et du programme concemant le harc6lement au travail. The Bill amends section 43 of the Act, which deals with a Le projet de loi modifie ]'article 43 de la Loi, lequel porte sur le worker's right to refuse work in various circumstances where droit d'un travailleur de refuser de travailler daps des circons- health or safety is in danger, to include the right to refuse work tances susceptibles de mettre sa samd ou sa sdcuritd en danger, if workplace violence is likely to endanger the worker. pour inclure le droit de refuser de travailler si de la violence au travail est susceptible de le mcttre en danger. The Bill adds sections 55.1 and 55.2 to the Act, authorizing Le projet de loi ajoute A la Loi les articles 55.1 et 55.2, lesquels inspectors to make orders requiring policies under section 32.0.1 autorisent les inspecteurs 6 ordonner que les politiques prdvues a and assessments and reassessments under section 32.0.3 to be in ]'article 32.0.1 et que les dvaluations et reevaluations prdvues A writing or to be posted in the workplace. ]'article 32.0.3 soient dcrites ou affichdes dans le lieu de travail. The Bill provides for authority to make regulations, including Le projet de loi prdvoit des pouvoirs reglementaires, notam- the following: ment i 25 1. Requiring an employer to designate a workplace co- 1. Exiger qu'un employeur designe un coordonnateur du ordinator with respect to workplace violence and work- lieu de travail a 1'egard de la violence an travail et du place harassment. harcelement au travail. 2. In the case of workers with a limited right to refuse work 2. Dans le cas des travailleurs qui ont, en vertu Particle 43 under section 43 of the Act, specifying situations in de la Loi, un droit limite de refuser de travailler, prdciser which a danger to health or safety is inherent in the les cas ou un danger pour la sante on la securite est inhe- workers' work or a normal condition of employment. rent au. travail d'un travailleur on constitue une condi- tion normale de son emploi. 3. Varying or supplementing subsections 43 (4) to (13) of 3. Modifier on compl6ter les paragraphes 43 (4) A (13) de the Act with respect to workers with a limited right to la Loi en fonction des travailleurs qui ont, en vertu de refuse under section 43 and workers to whom section 43 Particle 43, un droit limite de refuser de travailler et des applies by reason of a regulation made for the purposes travailleurs auxquels Particle 43 s'applique en raison of subsection 3 (3) of the Act. d'un reglement pris pour Papplication du paragraphe 3 (3) de la Loi. 4. Governing the application of the duties and rights set out 4. Regir Papplication, d Pindustrie du taxi, des devoirs et in Part 111. 0. 1 to the taxi industry. des droits prdvus A la partie 111.0. 1. i ill I ii 26 Bill 168 2009 Projet de loi 168 2009 An Act to amend the Loi modifiant la Occupational Health and Safety Act Loi Sur la sant6 et la s6curit6 an travail with respect to violence and en ce qui concerne la violence harassment in the workplace et le harcelement an travail and other matters et d'autres questions Note: This Act amends the Occupational Health and Remarque : La presente loi modifie la Loi sur la sante et Safety Act. For the legislative history of the Act, see the la securite au travail, dont Phistorique Iegislatif figure a Table of Consolidated Public Statutes - Detailed Legisla- la page pertinente de PHistorique legislatif detailld des tive History on www.e-Laws.gov.on.ca. lois d'intdret public codifides sur le site www.lois-en- ligne.gouv.on.ca. Her Majesty, by and with the advice and consent of the Sa Majesty, sur l'avis et avec le consentement de Legislative Assembly of the Province of Ontario, enacts I'Assemblde legislative de la province de l'Ontario, as follows: 6dicte : 1. Subsection 1 (1) of the Occupational Health and 1. Le paragraphe 1 (1) de la Loi sur la sante et la Safety Act is amended by adding the following defini- securite au travail est modifi6 par adjonction des d6fi- tions: nitions suivantes : "workplace harassment" means engaging in a course of «harcelement au travail» Fait pour une personne vexatious comment or conduct against a worker in a d'adopter une ligne de conduite caractdrisde par des workplace that is known or ought reasonably to be remarques ou des gestes vexatoires contre un travail- known to be unwelcome; ("harcelement au travail") leur dans un lieu de travail lorsqu'elle sait ou devrait "workplace violence'.' means, raisonnablement savoir que ces remarques ou ces ges- tes sont importuns. (uworkplace harassment) (a) the exercise of physical force by a person against a «violence au travail» Selon le cas worker, in a workplace, that causes or could cause physical injury to the worker, a) emploi par une personne contre un travailleur, dans (b) an attempt to exercise physical force against a un lieu de travail, d'une force physique qui lui worker, in a workplace, that could cause physical cause ou pourrait lui causer un prdjudice corporel; injury to the worker, b) tentative d'employer contre un travailleur, dans un (c) a statement or behaviour that it is reasonable for a lieu de travail, une force physique qui pourrait lui worker to interpret as a threat to exercise physical causer un prdjudice corporel; force against the worker, in a workplace, that could c) propos ou comportement qu'un travailleur peut cause physical injury to the worker. ("violence au raisonnablement interpreter comme une menace travail") d'employer contre lui, dans un lieu de travail, une force physique qui pourrait lui causer un prdjudice corporel. (oworkplace violence) 2. Section 25 of the Act is amended by adding the 2. L'article 25 de la Loi est modifi6 par adjonction following subsection: du paragraphe suivant Same Idem (3.1) Any explanatory material referred to under clause (3.1) Tout document explicatif visa a Palinda (2) i) (2) (i) may be published as part of the poster required peut faire partie de Faffiche publide en application de under section 2 of the Employment Standards Act, 2000. I'article 2 de ]a Loi de 2000 sur les normes d'emploi: 3. The Act is amended by adding the following 3. La Loi est modifi6e par adjonction de la partie Part: suivante : PART 111.0.1 PARTIE I11.0.1 VIOLENCE AND HARASSMENT VIOLENCE ET HARCELEMENT Policies, violence and harassment Politiques : violence et harcelement 32.0.1 (1) An employer shall, 32.0.1 (1) L'employeur : 2 OCCUPATIONAL HEALTH AND SAFETY AMENDMENT ACT (VIOLENCE AND HARASSMENT IN THE WORKPLACE), 2009 2 / (a) prepare a policy with respect to workplace vio- a) formule une politique concernant la violence au lence; travail; (b) prepare a policy with respect to workplace harass- b) formule une politique concernant le harcdlement au ment; and travail; (c) review the policies as often as is necessary, but at c) examine les politiques aussi souvent que ndces- least annually. saire, mais au moins une fois par annde. Written form, posting Formulation par krit, affichage (2) The policies shall be in written form and shall be (2) Les politiques sont formuldes par dcrit et sont affi- posted at a conspicuous place in the workplace. chdes dans un endroit bien en vue du lieu de travail. Exception Exception (3) Subsection (2) does not apply if the number of em- (3) Le paragraphe (2) ne s'applique pas si le nombre ployees regularly employed at the workplace is five or de personnel employdes rdgulidrement dans le lieu de fewer, unless an inspector orders otherwise. travail est dgal ou infdrieur a cinq, sauf ordre contraire d'un inspecteur. Program, violence Programme : violence 32.0.2 (1) An employer shall develop and maintain a 32.0.2 (1) L'employeur dlabore et maintient un pro- program to implement the policy with respect to work- gramme de mise en oeuvre de la politique concernant la place violence required under clause 32.0.1 (1) (a). violence au travail exigde A 1'alinda 32.0.1 (1) a). Contents Contenu (2) Without limiting the generality of subsection (1), (2) Sans prdjudice de la portde gdndrale du paragraphe the program shall, (1), le programme : (a) include measures and procedures to control the a) inclut les mesures A prendre et les mdthodes A sui- risks identified in the assessment required under vre pour controler les risques indiquds dans 1'dva- subsection 32.0.3 (1) as likely to expose a worker luation exigde aux termes du paragraphe 32.0.3 (1) to physical injury; comme dtant susceptibles d'exposer un travailleur A un prdjudice corporel; (b) include measures and procedures for summoning b) inclut les mesures A prendre et les mdthodes A sui- immediate assistance when workplace violence oc- vre pour obtenir une aide immddiate lorsqu'il se curs or is likely to occur; produit ou qu'il est susceptible de se produire de la violence au travail; (c) include measures and procedures for workers to c) inclut les mesures que les travailleurs doivent report incidents of workplace violence to the em- prendre et les mdthodes qu'ils doivent suivre pour ployer or supervisor; signaler les incidents de violence au travail A 1'employeur ou au superviseur; (d) set out how the employer will investigate and deal d) dnonce la maniere dont 1'employeur enquetera sur with incidents or complaints of workplace . vio- les incidents ou les plaintes de violence au travail lence; and et dont it compte y faire face; (e) include any prescribed elements. e) inclut les dldments prescrits. Assessment of risks of violence tovaluation des risques de violence 32.0.3 (1) An employer shall assess the risks of work- 32.0.3 (1) L'employeur dvalue les risques de violence place violence that may arise from the nature of the au travail qui peuvent ddcouler de la nature du lieu de workplace, the type of work or the conditions of work. travail, du genre de travail ou des conditions de travail. Considerations Facteurs A prendre en consid6ration (2) The assessment shall take into account, (2) L'dvaluation tient compte des facteurs suivants (a) circumstances that would be common to similar a) les circonstances qu'auraient en commun des lieux workplaces; de travail semblables; (b) circumstances specific to the workplace; and b) les circonstances propres au lieu de travail; (c) any other prescribed elements. c) les autres dldments prescrits., Results Rksultats (3) An employer shall, (3) L'employeur LOI DE 2009 MODIFIANT LA LOI SUR LA SANTE ET LA $ECURITE AU TRAVAIL (VIOLENCE ET HARCELEMENT AU TRAVAIL) 3 28 (a) advise the committee or a health and safety repre- a) informe le comitd ou un ddldgud A la santd et a la sentative, if any, of the results of the assessment, sdcuritd, s'il y en a un, des rdsultats de 1'dvaluation and provide a copy if the assessment is in writing; et lui en remet une copie, dans le cas d'une dvalua- and tion dcrite; (b) if there is no committee or health and safety repre- b) informe les travailleurs des resultats de 1'6valua- sentative, advise the workers of the results of the tion et, dans le cas d'une dvaluation dcrite, leur en assessment and, if the assessment is in writing, fournit une copie sur demande ou leur indique provide copies on request or advise the workers comment en obtenir des copies, s'il n'y a ni comite how to obtain copies. ni ddldgud A la santd et a la sdcuritd. Reassessment R66valuation (4) An employer shall reassess the risks of workplace (4) L'employeur rddvalue les risques de violence au violence as often as is necessary to ensure that the related travail aussi souvent que cela est ndcessaire pour que la policy under clause 32.0.1 (1) (a) and the related program politique affdrente visde A l'alinda 32.0.1 (1) a) et le gro- under subsection 32.0.2 (1) continue to protect workers gramme afferent vise au paragraphe 32.0.2 (1) continuent from workplace violence. de protdger les travailleurs contre la violence au travail. Same Idem (5) Subsection (3) also applies with respect to the re- (5) Le paragraphe (3) s'applique dgalement A 1'dgard sults of the reassessment. des resultats de la rddvaluation. Domestic violence Violence familiale 32.0.4 If an employer becomes aware, or ought rea- 32.0.4 L'employeur qui prend connaissance, ou devrait sonably to be aware, that domestic violence that would raisonnablement avoir connaissance, du fait qu'il peut se likely expose a worker to physical injury may occur in the produire, dans le lieu de travail, de la violence familiale workplace, the employer shall take every precaution rea- susceptible d'exposer un travailleur A un prdjudice corpo- sonable in the circumstances for the protection of the rel prend toutes les prdcautions raisonnables dans les cir- worker. constances pour le protdger. Duties re violence Devoirs concernant In violence . 32.0.5 (1) For greater certainty, the employer duties 32.0.5 (1) Il est entendu que les devoirs de Fem- set out in section 25, the supervisor duties set out in sec- ployeur dnoncds A Particle 25, les devoirs du superviseur tion 27, and the worker duties set out in section 28 apply, dnoncds a Particle 27 et les devoirs du travailleur dnonces as appropriate, with respect to workplace violence. A Particle 28 s'appliquent, selon le cas, A I'dgard de la violence au travail. Information Renseignements (2) An employer shall provide a worker with, (2) L'employeur fournit ce qui suit au travailleur (a) information and instruction that is appropriate for a) des renseignements et des directives adaptds au the worker on the contents of the policy and pro- travailleur sur le contenu de la politique et du pro- gram with respect to workplace violence; and gramme concernant la violence au travail; (b) any other prescribed information or instruction. b) les autres renseignements ou directives prescrits. Provision of information Fourniture de renseignements (3) An employer's duty to provide information to a (3) Le devoir de Femployeur de fournir des rensei- worker under clause 25 (2) (a) and a supervisor's duty to gnements au travailleur conformdment A Falinda 25 (2) a) advise a worker under clause 27 (2) (a) include the duty et le devoir du superviseur d'informer un travailleur to provide information, including personal information, conformdment a Falinda 27 (2) a) s'entendent notamment related to a risk of workplace violence from a person with du devoir de fournir des renseignements, y compris des a history of violent behaviour if, renseignements personnels, relatifs au risque de violence au travail de la part d'une personne qui a des antdcddents de comportement violent, si les conditions suivantes sont rdunies : (a) the worker can be expected to encounter that per- a) selon toute attente, le travailleur rencontrera cette son in the course of his or her work; and personne dans le cadre de son travail; (b) the risk of workplace violence is likely to expose b) le risque de violence au travail est susceptible the worker to physical injury. d'exposer le travailleur a un prdjudice corporel. Limit on disclosure Restriction de la divulgation (4) No employer or supervisor shall disclose more per- (4) Ni l'employeur ni le superviseur ne doit divulguer, i 29 4 OCCUPATIONAL HEALTH AND SAFETY AMENDMENT ACT (VIOLENCE AND HARASSMENT IN THE WORKPLACE), 2009 sonal information in the circumstances described in sub- dans les circonstances visdes au paragraphe (3), plus de section (3) than is reasonably necessary to protect the renseignements personnels que raisonnablement ndces- worker from physical injury. saire pour protdger le travailleur d'un prejudice corporel. Program, harassment Programme : harcelement 32.0.6 (1) An employer shall develop and maintain a 32.0.6 (1) L'employeur dlabore et maintient un pro- program to implement the policy with respect to work- gramme de mise en oeuvre de la politique concernant le place harassment required under clause 32.0.1 (1) (b). harcelement au travail exigde A l'alinda 32.0.1 (1) b). Contents Contenu (2) Without limiting the generality of subsection (1), (2) Sans prejudice de la portee gdndrale du paragraphe the program shall, (1), le programme : (a) include measures and procedures for workers to a) inclut les mesures que les travailleurs doivent report incidents of workplace harassment to the prendre et les methodes qu'ils doivent suivre pour employer or supervisor; signaler les incidents de harcelement au travail A Pemployeur ou au superviseur; (b) set out how the employer will investigate and deal b) dnonce la maniere dont Pemployeur enquetera sur with incidents and complaints of workplace har- les incidents et les plaintes de harcelement au tra- assment; and vail et dont it compte y faire face; (c) include any prescribed elements. c) inclut les elements prescrits. Information and instruction, harassment Renseignements et directives : harcelement 32.0.7 An employer shall provide a worker with, 32.0.7 L'employeur fournit ce qui suit au travailleur (a) information and instruction that is appropriate for a) des renseignements et des directives adaptds au the worker on the contents of the policy and pro- travailleur sur le contenu de la politique et du pro- gram with respect to workplace harassment; and gramme concernant le harcelement au travail; (b) any other prescribed information. b) les autres renseignements prescrits. 4. (1) Clause 43 (1) (a) of the Act is amended by 4. (1) L'alinea 43 (1) a) de la Loi est modifie par striking out "clause (3) (a), (b) or (c)" and substituting substitution de ol'alinea (3) a), b), b.1) on c)» A "clause (3) (a), (b), (b.1) or (c)". «1'alin6a (3) a), b) on c)». (2) Subsection 43 (3) of the Act is amended by strik- (2) Le paragraphe 43 (3) de la Loi est modifie par ing out "or" at the end of clause (b) and by adding the adjonction de 11alin6a suivant following clause: (b.l). workplace violence is likely to endanger himself or b.l) que de la violence au travail est susceptible de le herself; or mettre en danger; (3) Subsection 43 (5) of the Act is repealed and the (3) Le paragraphe 43 (5) de la Loi est abroge et following substituted: remplacd par ce qui suit : Worker to remain in safe place and available for investigation Obligations du travailleur de demeurer dans un lieu sfir et de rester disponibie aux fins de l'enquUe (5) Until the investigation is completed, the worker (5) Tant que 1'enquete n'est pas terminde, le travail- shall remain, leur (a) in a safe place that is as near as reasonably possible a) d'une part, demeure dans un lieu sur aussi pres que to his or her work station; and raisonnablement possible de son poste de travail; (b) available to the employer or supervisor for the pur- b) d'autre part, reste A la disposition de Pemployeur poses of the investigation. ou du superviseur aux fins de Penquete. (4) Subsection 43 (6) of the Act is amended by strik- (4) Le paragraphe 43 (6) de la Loi est modifie par ing out "or" at the end of clause (b) and by adding the adjonction de Palinda suivant following clause: (b.l) workplace violence continues to be likely to en- b.1) que de la violence au travail est toujours suscepti- danger himself or herself, or ble de le mettre endanger; (5) Subsection 43 (8) of the Act is repealed and the (5) Le paragraphe 43 (8) de la Loi est abroge et following substituted: remplace par ce qui suit Decision of inspector Decision de Finspecteur (8) The inspector shall, following the investigation (8) A la suite de 1'enquete visde au paragraphe (7), 30 LOI DE 2009 MODIFIANT LA LOI SUR LA SANTE ET LA S$CURITE AU TRAVAIL (VIOLENCE ET HARCELEMENT AU TRAVAIL) 5 referred to in subsection (7), decide whether a circum- Pinspecteur decide si une circonstance visde a Palinda (6) stance described in clause (6) (a), (b), (b.1) or (c) is likely a), b), b.l) ou c) est susceptible de mettre le travailleur ou to endanger the worker or another person. une autre personne en danger. (6) Subsection 43 (10) of the Act is repealed and the (6) Le paragraphe 43 (10) de la Loi est abroge et following substituted: remplace par ce qui suit Worker to remain in safe place and available for investigation Obligation du travailleur de demeurer dons on lieu sar et de rester 81a disposition de I'enqu&eur (10) Pending the investigation and decision of the in- (10) Tant que 1'enquete n'a pas eu lieu et tant que spector, the worker shall remain, during the worker's Pinspecteur n'a pas rendu sa decision, le travailleur de- normal working hours, in a safe place that is .as near as meure, pendant ses heures normales de travail, dans un reasonably possible to his or her work station and avail- lieu sur aussi prds que raisonnablement possible de son able to the inspector for the purposes of the investigation. poste de travail et reste a la disposition de 1'inspecteur aux fins de 1'enquete. Exception Exception (10.1) Subsection (10) does not apply if the employer, (10.1) Le paragraphe (10) ne s'applique pas si 1'em- subject to the provisions of a collective agreement, if any, ployeur, sous reserve des dispositions de la convention collective, le cas dchdant : (a) assigns the worker reasonable alternative work a) donne au travailleur un autre travail raisonnable during the worker's normal working hours; or pendant ses heures normales de travail; (b) subject to section 50, where an assignment of rea- b) sous reserve de Particle 50, donne au travailleur sonable alternative work is not practicable, gives d'autres directives s'il est impossible de lui dormer other directions to the worker. un autre travail raisonnable. 5. Subsection 52 (1) of the Act is amended by strik- 5. Le paragraphe 52 (1) de la Loi est modifie par ing out "or fire" in the portion before paragraph l substitution de u, d'un incendie on d'un incident de and substituting "fire or incident of workplace vio- violence an travaib> a «ou d'un incendie» dans le pas- lence". sage qui precede la disposition 1. 6. The Act is amended by adding the following sec- 6. La Loi est modifiee par adjonction des articles tions: suivants Order for written policies Ordre : politiques Ecrites 55.1 In the case of a workplace at which the number of 55.1 Dans le cas d'un lieu de travail oil le nombre de employees regularly employed is five or fewer, an inspec- personnes rdguUrement employees est dgal ou infdrieur a for may in writing order that the policies with respect to cinq, un inspecteur peut ordonner par dcrit que les politi- workplace violence and workplace harassment required ques concernant la violence au travail et le harcelement under section 32.0.1 be in written form and posted at a au travail exigdes aux termes de Particle 32.0.1 soient conspicuous place in the workplace. formuldes par dcrit et affichdes dans un endroit bien en vue du lieu de travail. Order for written assessment, etc. Ordre : Evaluation Ecrite 55.2 An inspector may in writing order that the follow- 55.2 Un inspecteur peut ordonner par dcrit que les dva- ing be in written form: luations suivantes soient dcrites 1. The assessment of the risks of workplace violence 1. L'dvaluation des risques de violence au travail required under subsection 32.0.3 (1). exigde au paragraphe 32.0.3 (1). 2. A reassessment required under subsection 32.0.3 2. La rddvaluation exigde au paragraphe 32.0.3 (4). (4)• 7. Subsection 70 (2) of the Act is amended by add- 7. Le paragraphe 70 (2) de la Loi est modifie par ing the following paragraphs: adjonction des dispositions suivantes : 15. prescribing elements that any policy required under 15. prescrire les elements que doivent comprendre les this Act must contain; politiques exigdes par la presente loi; 33. prescribing restrictions, prohibitions or conditions 33. prescrire des restrictions, des interdictions ou des with respect to workers or workplaces relating to conditions a 1'egard des travailleurs ou des lieux de the risks of workplace violence; travail relativement aux risques de violence au tra- vail; 6 OCCUPATIONAL HEAL'T'H AND SAFETY AMENDMENT ACT (VIOLENCE AND HARASSMENT IN THE WORKPLACE), 2009 31 50. requiring an employer to designate a person in a 50. exiger qu'un employeur designe une personne dans workplace to act as a workplace co-ordinator with un lieu de travail pour agir A titre de coordonnateur respect to workplace violence and workplace har- du lieu de travail A 1'egard de la violence au travail assment, and prescribing the functions and duties et du harcelement au travail et prescrire les fonc- of the co-ordinator; tions et les obligations du coordonnateur; 51. in the case of a worker described in subsection 43 51. dans le cas d'un travailleur decrit au paragraphe 43 (2), specifying situations in which a circumstance (2), preciser les cas oil une circonstance visee a described in clause 43 (3) (a), (b), (b.l) or (c) shall Palinea 43 (3) a), b), b.l) ou c) doit etre conside- be considered, for the purposes of clause 43 (1) (a), ree, pour l'application de Palinea 43 (1) a), comme to be inherent in the worker's work or a normal etant inherente au travail d'un travailleur ou condition of employment; comme une condition normale de son emploi; 52. varying or supplementing subsections 43 (4) to 52. modifier ou completer les paragraphes 43 (4) a (13) with respect to the following workers, in cir- (13) en fonction des travailleurs suivants, dans les cumstances when section 43 applies to them: circonstances oit Particle 43 s'applique A ces der- mers : i. workers to whom section 43 applies by reason i. les travailleurs auxquels Particle 43 s'appli- of a regulation made for the purposes of sub- que en raison d'un reglement pris pour 1'ap- section 3 (3), and plication du paragraphe 3 (3), ii. workers described in subsection 43 (2). ii. les travailleurs vises au paragraphe 43 (2). 8. The Act is amended by adding the following sec- 8. La Loi est modifiee par adjonction de Particle tion: suivant Regulations, taxi industry Rpglements : industrie du taxi 71. (1) The Lieutenant Governor in Council may 71. (1) Le lieutenant-gouverneur en conseil peut, par make, regulations governing the application of the duties reglement, regir ]'application, A Pindustrie du taxi, des and rights set out in Part 111.0. 1 to the taxi industry. devoirs et des droits enonces a ]a partie II1.0.L Same Idem (2) Without limiting the generality of subsection (1), (2) Sans prejudice de la portee generale du paragraphe the Lieutenant Governor in Council may make regula- (1), le lieutenant-gouverneur en conseil peut, par regle- tions, ment : (a) specifying that all or any of the duties set out in a) preciser que la totalite ou une partie des devoirs Part 111.0.1 apply for the purposes of the regula- enonces a la partie 111.0.1 s'applique dans le cadre tions, with such modifications as may be necessary des reglements, avec les adaptations necessaires in the circumstances; dans les circonstances; (b) specifying who shall be considered an employer b) preciser les personnel qui sont consid€rees comme for the purposes of the regulations and requiring etant des employeurs pour ]'application des regle- that person to carry out the specified duties; ments et exiger que ces personnes s'acquittent des devoirs precises; (c) specifying who shall be considered a worker for c) preciser les.personnes qui sont consid6rdes comme the purposes of the regulations; etant des travailleurs pour ]'application des regle- ments; (d) specifying what shall be considered a workplace d) preciser ce qui est considers comme etant un lieu for the purposes of the regulations. de travail pour ]'application des reglements. Commencement Entr6e en vigueur 9. This Act comes into force six months after the 9. La presente loi entre en vigueur six mois apres le day it receives Royal Assent. jour oil elle regoit la sanction royale. Short title Titre abr6gk 10. The short title of this Act is the Occupational 10. Le titre abrege de la presente loi est Loi de 2009 Health and Safety Amendment Act (Violence and Har- modifiant la Loi sur la santd et la sdcuritE au travail assment in the Workplace), 2009. (violence etharcelement au travail). C~ City Policy PICKERING A-rrACHMENT# TO REPORT Policy Title: Respect in the Workplace Policy Number: HUR 070 Reference: Date Originated: Date Revised: Ontario Human Rights Code, R.S.O. 1990, March, 1993 May 7, 2010 Chapter H. 19, 2009, c. 33, Sched. 2, s. 35. Occupational Health and Safety Act, R. S. O. 1990, Chapter 0. 1, 2009, c. 33, Sched. 20, s.3. Municipal Freedom of Information and Protection of Privacy Act, R. S. O. 1990, Chapter M. 56, 2007, c. 13, s. 45. Approval: Council Point of Contact: Division Head, Human Resources Policy Objective The Corporation of the City of Pickering (the "City") is committed to providing and maintaining a work environment that is free from violence and harassment and where the dignity and self-esteem of every employee is respected. Under the provisions of the Ontario Human Rights Code, every employee has the right to freedom from harassment in the workplace by the employer, by an agent of the employer, or by another employee because of sex, sexual orientation, race, ancestry, place of origin, colour, ethnic origin, citizenship, creed, age, record of offences, marital status, family status, being or having been in receipt of public assistance or mental or physical handicap. Furthermore, in accordance with the Occupational Health and Safety Act, this policy prohibits all forms of harassment, psychological harassment and violence that is related or unrelated to any of the prohibited grounds mentioned above. In keeping with its legal and social responsibilities as an employer and to prevent and manage workplace harassment and violence, the City will treat any complaint of workplace harassment as a serious matter which, if proven, constitutes a serious offence that will not be tolerated or condoned. 33 The objective of this policy is to: a) demonstrate the City's commitment to the provision of a working environment that is free of violence and all forms of harassment; b) provide all City employees with an opportunity to bring forward and remedy allegations of workplace violence and harassment in a fair and impartial manner; c) set out the types of behaviour that may be considered to be offensive; d) establish a mechanism for receiving complaints of workplace violence and harassment and to provide a procedure by which the City will deal with these complaints; and e) ensure that all complaints are dealt with expeditiously and objectively and that the rights of all parties are respected. Index 01 Definitions 02 Responsibilities 03 Procedures 04 Confidentiality 05 Applications 06 Limitations Appendix 1 Harassment Complaint Form Appendix 2 Workplace Violence Reporting Form Appendix 3 Response to Harassment Complaint 01 Definitions 01.01 Formal Complaint is a written statement signed and dated by an employee containing-full particulars of an allegation of a violation of this Policy. Such particulars include a factual account of the incident(s), Policy Title: Respect in the Workplace Page 2 of 14 Policy Number: HUR 070 34 relevant times, dates, circumstances, the person(s) involved, and the names of any witnesses. 01.02 Complainant is any person who makes a formal complaint. 01.03 Discrimination is any distinction, exclusion or preference based on a protected ground in the Ontario Human Rights Code which nullifies or impairs equal opportunity in employment. 01.04 Retaliation is action taken against an individual in response to having invoked the Respect in the Workplace Policy on behalf of oneself or another individual or for having participated or cooperated in any investigation under this Policy. 01.05 Respondent is the person(s) in which allegations of harassment and/or violence are taken against. 01.06 Supervisor is the immediate non-union supervisor. 01.07 Workplace is the working or work-related environment including, but not limited to, the offices, buildings, worksites or any other location where City business is being conducted and employees have gathered as a result of employment responsibilities or social gatherings sanctioned by the City. 01.08 Workplace Harassment is engaging in a course of vexatious comment or conduct against a worker in a workplace that is known or ought reasonably to be known to be unwelcome which creates an intimidating or hostile work environment, interferes with an employee's work performance, or threatens economic livelihood. Harassment which occurs outside of the workplace but which has repercussions in the work environment, adversely affecting employee relationships, may also be defined as workplace harassment. Workplace harassment can involve the following: a) Harassment is engaging in a course of vexatious comments or conduct that is known, or ought reasonably to be known, to be unwelcome or offensive, and includes, for purposes of this policy, one or a series of unwanted, unsolicited actions, behaviours, remarks or communications in any form, directed toward an individual or a group, and which are related to any of the prohibited grounds of workplace or employment harassment under the Code. Policy Title: Respect in the Workplace Page 3 of 14 Policy Number: HUR 070 35 Harassment can include, but is not limited to the following examples: • racial or ethnic slurs; • repeatedly asking when they are going to get married or have children; • inappropriate comments about specific genders or age groups; and/or • unwelcome remarks, jokes, taunts, suggestions about a person's religion, disability, etc. b) Psychological Harassment is engaging in behaviour that is intended to intimidate, offend, degrade or humiliate a particular person or group of people. Examples of psychological harassment can include, but are not limited to: • verbally abusive behaviour such as yelling, insults and name calling; • persistent, excessive and unjustified criticism and constant scrutiny; • spreading malicious rumours; • excluding or ignoring someone; • sabotaging someone else's work; • written or verbal abuse or threats; • making false allegations about someone in memos or other work related documents; and/or • actions which create a poisoned work environment which occurs when an activity or behaviour is not necessarily directed at anyone in particular but creates a hostile or offensive workplace for those who are exposed to it. c) Sexual Harassment is any unwelcome conduct, comment, gesture or physical contact of a sexual nature directed toward someone of the same or opposite gender that is known or ought reasonably to be known to cause offense, embarrassment or humiliation. Sexual harassment can include, but is not limited to the following examples: • unwelcome remarks, jokes, taunts, and/or suggestions about a person's body; Policy Title: Respect in the Workplace Page 4 of 14 Policy Number: HUR 070 36 • displays of pornographic, sexist, or other offensive or derogatory material; • leering (suggestive staring) or other offensive gestures; • unnecessary physical contact; • persistent, unwanted attention after a consensual relationship ends; and/or • unwelcome sexual remarks, invitations or requests. 01.09 Workplace Violence is: a) the exercise of physical force by a person against a worker, in a workplace, that causes or could cause physical injury to the worker; b) an attempt to exercise physical force against a worker, in a workplace, that could cause physical injury to the worker; c) a statement or behaviour that it is reasonable for a worker to interpret as a threat to exercise physical force against the worker, in a workplace, that could cause physical injury to the worker. Workplace violence can include but is not limited to the following examples: • physically abusive or threatening behaviour such as pushing, hitting, finger pointing or standing close to someone in an aggressive manner; and/or • using or threatening to use a weapon. '02 Responsibilities 02.01 Council to: a) approve the policy and any amendments to it from time to time; and b) actively support and adhere to the Respect in the Workplace Policy. 02.02 Chief Administrative Officer to: a) actively support and adhere to the Respect in the Workplace Policy; b) ensure that all City employees are provided with a work environment free from any form of harassment or violence; and Policy Title: Respect in the Workplace Page 5 of 14 Policy Number: HUR 070 37 c) create an environment that encourages prospective complainants to report incidents of harassment and violence should they occur. 02.03 Directors and Division. Heads to: a) actively support and adhere to the Respect in the Workplace Policy; b) create and maintain a harassment and violence free workplace for all employees within his/her department/division; c) prevent and discourage workplace harassment and violence through action and example by ensuring that their own conduct and that of their employees is not hurtful, intimidating or embarrassing; d) ensure that workplace behaviour contrary to this Policy is not permitted, condoned, or ignored; e) ensure that all employees within his/her department/division are conversant with the City's Respect in the Workplace Policy and with their rights and responsibilities under this Policy; f) treat all complaints of workplace harassment and violence seriously and respond in a timely manner to complains in accordance with the procedures outlined in this Policy; g) cooperate in any investigation arising from complaints made under this Policy; and h) undertake appropriate corrective or disciplinary'action including making recommendations to terminate employment as required. 02.04 Supervisors to: a) take reasonable precautions to protect the health and safety of workers which includes preventing workplace violence by creating and maintaining a harassment and violence free workplace for all employees within his/her work unit; b) prevent and discourage workplace harassment and violence through action and example by ensuring that their own conduct and that of their employees is not hurtful, intimidating or embarrassing; c) offer training and information to workers to ensure that workplace behaviour contrary to this Policy is not permitted, condoned or ignored; d) treat all complaints of workplace harassment and violence seriously and respond in a timely manner to complaints in accordance with the procedures outlined in this Policy; Policy Title: Respect in the Workplace Page 6 of 14 Policy Number: HUR 070 38 e) communicate and reinforce the City's Policy and Procedures on workplace harassment and violence to all employees within his/her work unit; f) investigate and take appropriate action in a timely fashion when he/she has knowledge of workplace harassment or violence occurring within his/her work unit; and g) cooperate in any investigation arising from complaints made under this Policy. 02.05 Human Resources Division to: a) provide training and education to all employees on the interpretation and application of this Policy; b) serve as a resource to management and staff on workplace harassment, violence and related issues; c) provide consultation and advice to City management regarding appropriate corrective or disciplinary action to be undertaken to resolve a complaint; d) receive complaints and undertake a prompt and confidential investigation into all complaints brought forward; e) maintain a centralized record of all workplace harassment and violence complaints and related documentation; f) undertake follow-up interviews with the complainant in accordance with the procedures outlined in this Policy; and g) ' initiate and conduct regular reviews of the Respect in the Workplace Policy and provide a written report and recommendations to the Chief Administrative Officer; h) take every reasonable precaution given the circumstances to protect the worker if made aware or ought reasonably to be aware that domestic violence would likely expose the worker to physical injury; and i) assess the risk of workplace violence that may arise and to report the results of the assessment to the Joint Health & Safety Committee or its representative. j) provide information to worker(s), including personal information, related to a risk to workplace violence from a person with a history of violent behaviour if: i. the worker can be expected to encounter that person in the course of his or her work; and Policy Title: Respect in the Workplace Page 7 of 14 Policy Number: HUR 070 39 ii. the risk of workplace violence is likely to expose the worker to physical injury. 02.06 Employees to: a) ensure that their actions and behaviour do not cause embarrassment or humiliation to co-workers; b) have the right to refuse to work or do particular work where he or she has reason to believe that workplace violence is likely to endanger himself or herself; c) comply with this Policy and take all steps to maintain a harassment and violence free workplace; d) report any incident or observations of inappropriate action or behaviour to their Supervisor, Division Head, Director or to the Human Resources Division; e) notify his/her supervisor and Human Resources if he/she has a legal court order (eg. restraining order) against another individual if the employee believes the aggressor may put him/her or other employees at risk of workplace violence; and f) cooperate fully in any investigation arising from complaints brought forward under this Policy. 03 Procedures 03.01 Any employee who considers that he or she has been subjected to workplace harassment is encouraged to bring the matter to the attention of the individuals(s) responsible, advising the person that the behaviour is unwelcome, contrary to the Respect in the Workplace Policy and request that it be stopped. 03.02 Employees who believe that they are being harassed or who have tried unsuccessfully to deal directly with the individual(s) responsible for the behaviour or who feel that such an approach is inappropriate, should report the incident(s) using the Harassment Complaint Form (Appendix 1) to their Supervisor, Division Head or Director who will take immediate steps to resolve the problem. Any Supervisor, Division Head/Director having received a complaint, should notify the Division Head, Human Resources immediately upon receipt of the complaint. Policy Title: Respect in the Workplace Page 8 of 14 Policy Number: HUR 070 40 03.03 When attempts to resolve the matter through the above methods are inappropriate or fail, the employee may submit his/her formal complaint (Appendix 1) to the Human Resources Division within a reasonable time from when the incident occurred. 03.04 When a complaint has been forwarded directly to Human Resources, the Division Head, Human Resources or designate shall conduct an investigation into the complaint. Such investigation shall include interviews with the complainant(s), the respondent, witnesses to the incident(s) and any other person who may provide relevant information. Allegations of workplace violence will be investigated by Human Resources and if required a Ministry of Labour Inspector. 03.05 The respondent will be given a copy or a synopsis of the complaint as soon as possible, and will be given an opportunity to respond verbally or in writing using the Response to Harassment Complaint Form (Appendix 3). 03.06 Once the investigation has been completed, a written report summarizing investigation findings will be prepared for the appropriate Director with recommendations for corrective action as appropriate in the circumstances. 03.07 Where the results of the investigation support a specific complaint of harassment, appropriate corrective action will be taken. Where the results of the investigation do not support allegations of harassment, no further action will be taken and the complainant will be advised as such. 03.08 The test for determining if workplace harassment has occurred may be met by assessing if: a) the complainant specifically says the conduct is unwelcome; and/or b) the complainant conveys through conduct or body language that the behaviour is unwelcome; and/or c) a reasonable person would have recognized that the behaviour would be unwelcome under the circumstances. 03.09 No reprisals. will be taken against any party for having invoked his/her rights under this Policy. However, where as a result of an investigation it is determined that a complaint was made maliciously or in bad faith, formal disciplinary action may be taken against the complainant. Documentation Policy Title: Respect in the Workplace Page 9 of 14 Policy Number: HUR 070 41 regarding disciplinary action will be retained in the employee's personnel file. 03.10 The Human Resources Division will undertake follow-up interviews with the complainant as required. All follow-up interviews will be documented and retained in the Human Resources Division. 03.11 For employees covered by a collective agreement, a complaint may be filed through their union as a grievance, if not satisfied with the investigation. 03.12 When a complaint is made against the Chief Administrative Officer, a Director or a Division Head, or when the Chief Administrative Officer considers it appropriate, the resolution of a complaint under this Policy may be referred to an outside consultant who will conduct a prompt and confidential inquiry into the complaint. 03.13 Acts or threats of violence involving a weapon or incidents where the violence is extreme must be reported to the police and management immediately. All instances of workplace violence must be reported using the Workplace Violence Reporting Form (Appendix 2) and will be investigated accordingly. 04 Confidentiality 04.01 The City recognizes that allegations of workplace harassment and violence involves sensitive disclosures and respects icomplainant's interest in keeping the matter confidential. 04.02 All complaints of workplace harassment (including the identities of the complainant, the person against whom the complaint is made, and any witnesses) will therefore be held in confidence and will be disclosed only to the extent necessary to investigate and resolve the complaint. It is the City's expectation that the complainant, the person against whom the complaint is made, and any witnesses to the incident(s) will also maintain confidentiality. 04.03 All records of complaints, including contents of meetings, interviews, results of investigations, and all other documentation, will be retained by the Human Resources Division. Policy Title: Respect in the Workplace Page 10 of 14 Policy Number: HUR 070 42 04.04 All information pertaining to the results of the risk of workplace violence that may arise from an assessment will be provided to the Joint Health & Safety Committee or its representative and will be disclosed only to the extent necessary to generate statistics. 04.05 All records pertaining to a complaint under this Policy are subject to the provisions of the Municipal Freedom of Information and Protection of Privacy Act, the Ontario Human Rights Code or the rules governing Court proceedings. 05 Application This Policy is applicable to all City employees, contractors, visitors, clients, patrons, volunteers, elected and appointed officials. It applies to all matters identified occurring in the course of any person's employment or contract of services. 06 Limitations The City is committed to providing all its employees with a supportive and satisfying work environment. Every employee has the right to make a complaint or to enforce his or her rights under this Policy, without retaliation or the threat of retaliation and in the expectation that complaints of workplace harassment and violence will be successfully resolved by the City without recourse to other avenues. Notwithstanding the existence of this policy, under the provisions of the Ontario Human Rights Code all City employees may at any time pursue their rights independent of this Policy. Appendix 1 Harassment Complaint Form Appendix 2 Workplace Violence Reporting Form Appendix 3 Response to Harassment Complaint Policy Title: Respect in the Workplace Page 11 of 14 Policy Number: HUR 070 43 Appendix 1 HarassmentCompWnt Form JMJL IN! %-7 Appendix 1 All complaints of workplace harassment wilt be he d in confidence and will be disclosed only to the extent necessaryto investigate and resolve the complaint. It is the City's expectation that the complainant, the person againstwhomthe complaint is made, and anywitnesses to the incident(s) will also maintain confidentiality. Complainant Information (Anonymous complaints will not be investigated) Last Name FirstName[77, Date° Position Department D vi-r, i on _ Facility Immediate Non-Union Supervisor Subject of Complaint Information Nar-eof indivJualyou are complaining about Position When did the i'ncident(s)occur? Place the i nci dent occurred Date(s)i. Time(s)_ p am pm Nat, re of the Allegation(s) 1. Des c ribe the sequence of events andfactors leading upto the occurrence. i. 2. Describe your reaction: 1 List any witness eswhoobservedth econduct, orinrividualswhom ayhaveinformation about the cornTaint 4. Outl inewhat you have done in response toth is probl emto date, if anything, i n eluding s peakingto the p a rs on yo u are compla ining a bout or rais ing yo urco ncems with s omeone else. L Page 1 of 2 Policy Title: Respect in the Workplace Page 12 of 14 Policy Number: HUR 070 44 Appendix 2 Workplace Violence Reporting Form : M&Z- L PTCXETITqG Apper`dix. I This form is to be used in instances where a person has exercisedor attemptedto exercise physical force against an employee that could cause physical injury. YOU May also use this form when a person makes a statem.entorexhibits a behaviourth at is reasonable enough fora person to interpret as a threat to exercise physical fo rce th at co u I d cause physical injury- Claimant's Information LastName= First Name Date Department= Divisions lncidentDetails Name ofAggressor(if known) Yourfamiliar6twiththe aggressor E- When didthe incidentoccur? Location of incident Date 1-- Time[__ am E pm Type of Incident Mail 10D Email p Voicemail El Telephone Extension call received atr-.-'' Call display number(if applicable) F-- 1. Describe the sequence of events and factors leadinguptothethreattviolence.. 2. Whatwasthenature ofthethreatrviolence'?(Whatwassaid anddonespecifically) 3. List anywitneases whoobservedtheconduct, orindividualswhomayhaveinformation about the complaint 4. Provide a physical description if the aggressor's identity is unknown. (height, weight, clothing hair, ethnicity, etc.) MRfJ310Fd1fiX12 ReMoRd 050 Page 1 oft . Policy Title: Respect in the Workplace Page 13 of 14 Policy Number: HUR 070 45 Appendix 3 f Response to HarassmentCompfaint A,ppemEx 2 Pil Ci All complaints of workplace harassment wilI be held in confidence and will be disclosed only to the exte nt n ecessa ry to investigate a n d res olve th a co m piAnt. It is the C ity's expectati o n th at th e complainant, the person againstwhomthe complaint is made, and any witnesses to the incident(s) will also maintainconfidentiality. Respondent's information LastName FirstNarne~ Dated Position Department Division Name(s)ofCornplainant(s) Last Name F First ame Address the Complaint Include as much information to the complaint as possible, including dates and times. Please respondto each allegation contained!in the complaint. (Attach extra pages if required) Response i List any individuals who may have information a bout th a complaint, or wh o may have observedth e conduct in question. Respondent's signature Date ~CRd31C1.OSCI2 Rr+rbed02~i Page 1 of 1 Policy Title: Respect in the Workplace Page 14 of 14 Policy Number: HUR 070 i 46 Cary Report to Executive Committee I KERING Report Number: OES 13-10 Date: June 14, 2010 From: Everett Buntsma Director, Operations & Emergency Services Subject: Tender T-5-2010 - Full Depth Asphalt Removal and. Replacement Glenanna Road and Hampton Court - File: A-1440 Recommendations: 1. That Report OES 13-10 of the Director, Operations & Emergency Services regarding the tender for Full Depth Asphalt Removal and Replacement of Glenanna Road and Hampton Court be received; 2. That Tender T-5-2010 submitted by Furfari Paving Company Limited at a cost of $974,208.90 (GST included) and a net cost of $927,818 be accepted; 3. That the total gross project cost of $1,110,708.90 (GST included) including the tender amount and other associated costs, and the total net project cost of $1,057,818 be approved; 4. That Council authorize the Director, Corporate Services & Treasurer to finance the project as follows: a) that the sum of $700,000 to be funded from the Federal Gas Tax Grant, as provided for in the 2010 approved Roads Capital Budget for Glenanna Road be increased to $765,315; b) that the sum of $200,000 to be funded from the Public Works Reserve Fund as provided for in the 2010 approved Roads Capital Budget for Glenanna Road be increased to $218,661; c) that the sum of $35,000 to be funded from the Federal Gas Tax Grant, as provided for in the 2010 approved Roads Capital Budget for Hampton Court be increased to $73,842; Report OES 13-10 June 14, 2010 Subject: Tender T-5-2010 47 Full Depth Asphalt Removal and Replacement Glenanna Road And Hampton Court Page 2 d) the Treasurer is authorized to take any actions necessary in order to effect the foregoing; and 5. That notwithstanding that the construction of bike lanes within existing rights-of- way is a pre-approved Schedule A+ project in accordance with the Municipal Class Environmental Assessment (October 2000, as amended in 2007) document, and requires only that the public be notified of the project, the Director of Operations & Emergency Services and appropriate staff undertake public consultation with affected property owners and user groups on Glenanna Road regarding the introduction of bike lanes on Glenanna Road and report back to Council; and 6. That the appropriate City of Pickering officials be authorized to take necessary action to give effect thereto. Executive Summary: As part of the 2010 Roads Capital Budget, full depth asphalt removal and replacement of Glenanna Road and Hampton Court was approved as a construction project. Tender T-5-2010 was issued on Thursday, May 6, 2010 and closed on Wednesday, May 19, 2010 with four (4) bidders responding. The low bid submitted by Furfari Paving Company Limited is recommended for approval. The total gross project cost is estimated to be $1,110,708.90 and an estimated total net project cost $1,057,818 (net of GST rebate). The introduction of bike lanes on Glenanna Road is a Schedule A+ project in accordance with the Municipal Class EA process. Schedule A+ projects require public notification, however, staff is recommending that some public consultation take place with affected property owners and user groups. The City's Purchasing Policy requires staff to report to Council on results of the tender and financing in order to proceed with this project in a timely manner. Financial Implications: 1.Tender Amount T-5-2010 $927,818.00 GST 46.390.90 Sub-Total 974,208.90 GST Rebate (46,390.90) Total $927,818.00 Wort OES 13-10 June 14, 2010 Subject: Tender T-S- 2010 Full Depth Asphalt Removal and Replacement Glenanna Road And Hampton Court Page 3 2. Approved Source Of Funds Roads Capital Budget Location . Project Code Source of Funds Budget Required Glenanna Road 5320.1014.6250 Federal Gas Tax Grant 700,000 700,000 Glenanna Road 5320.1014.6250 Public Works Res. Fund 200,000 200,000 Hampton Court 5320.1008.6250 Federal Gas Tax Grant 35,000 35,000 Funds Available 935,000 935,000 Additional . Funds Required 5320.1014.6250 Federal Gas Tax Grant 65,315 5320.1014.6250 Public Works Res. Fund 18,661 5320.1008.6250 ' Federal Gas Tax Grant 38,842 Total Additional Funds 122,818 Required Grand Total Funds $1,057,818 Required 3. Estimated Project Costing Summa T-5-2010 - Tender for Full Depth Asphalt Removal and Replacement Glenanna Road and Hampton Court $927,818 GST 46,391 Total Gross Tender Cost 974,209 Associated Costs Materials Testing 15,000 Miscellaneous Costs 15,000 Construction Contingency 100,000 Sub Total - Associated Costs $130,000 GST - Associated Costs 6,500 Total Gross Associated Costs $136,500 Total Gross Project Cost $1,110,709 GST Rebate (52,891) Total Net Project Costs $1,057,818 Report OES 13-10 June 14, 2010 49 Subject: Tender T-5- 2010 Full Depth Asphalt Removal and Replacement Glenanna Road And Hampton Court Page 4 Net Project Costs (over) under Approved Funds ($122,818) Breakdown of costs b project Costs Glenanna Road Hampton Court Total T-5-2010 $866,977 $60,841 $927,818 Associated Costs 27,000 3,000 30,000 Contingency 90,000 10,000 100,000 Total 1983,977 $73,841 $1,057,818 The 2010 Capital Budget as approved by Council includes $900,000 for Glenanna Road and $35,000 for Hampton Court. As a result of extensive field investigations undertaken by staff, higher quantities of asphalt and concrete sidewalk/curb repairs were measured than were originally estimated for budget purposes. In the case of Hampton Court, the entire base asphalt requires replacement. This replacement was not included in the approved budget for 2010. This ultimately led to higher project costs. Costs including this tender are now $983,977 for Glenanna Road and $73,841 for Hampton Court resulting in an additional $122,818 in funding. With the new Harmonized Sales Tax (HST) coming into effect starting July 1, 2010, the full depth asphalt removal and replacement of Glenanna Road and Hampton Court will be affected by the HST. Under the HST, municipalities will be charged 13% on most goods and services and subject to a rebate of 11.24%, resulting in a net cost of 1.76% to the City. The above table has presented the taxes based on a 5% GST and the 8% PST embedded in the cost of the tender. The impact of the HST will be shown in the progress billing to the City when the invoices are paid. For simplicity, the associated costs: materials testing and miscellaneous are shown at a rate of 5% to be consistent with the presentation on the above table. These associated costs will also be affected by the implementation of HST, albeit the impact being minor seeing the estimated costs is small. The Director, Corporate Services & Treasurer has reviewed the budgetary implications and the financing of the expenditures contained in this report and concurs. The Treasurer proposes that the increase in costs in the amount of $122,818 be funded by the Federal Gas Tax Grant ($65,315) and Public Works Reserve Funds ($18,661) based on the same funding formula for this project as was provided for in the 2010 Capital Budget for Glenanna Road. The increase in costs ($38,842) for Hampton Court will be funded 100% from Federal Gas Tax Grant as was provided for in the 2010 Capital Budget. Report OES 13-10 June 14, 2010 50 Subject: Tender T-5-2010 Full Depth Asphalt Removal and Replacement Glenanna Road And Hampton Court Page 5 Sustainability Implications: This project will allow for improving the roadway geometrics and vehicular flow in this area at a fraction of the cost of full reconstruction in the future. The new road works will reduce maintenance costs for the next several years. The introduction of new bike routes would provide for alternative modes of transportation. Background: As part of the Roads Capital 2010 Budget, full depth asphalt removal and replacement Glenanna Road and Hampton Court was identified as a construction project. In the Trails & Bikeway Master Plan (1995) Glenanna Road from Pickering Parkway to Dixie Road was identified as a future bike route. With the road resurfacing now taking place, it is an ideal time for the City to consult with the public about the introduction of bike lanes where presently none exist. In order to introduce bike lanes in an existing right-of-way, the Municipal Class Environmental Assessment (October 2000, as amended in 2007) must be followed. The project is identified as a Schedule A+ project which is pre-approved and not subject to a Part II Order (bump-up) but requires some form of public advertisement or notification prior to implementation. There are several ways that the public can be advised of the project, such as this. Report to Council, a 'notice on the City's project list on the website, written notice to adjacent residents, etc. However, staff are recommending exceeding the minimum requirements of the Class EA, and conducting community consultation with affected homeowners fronting Glenanna Road between Dixie Road and Glendale Drive, and the Glendale Tennis Club. The reason for the additional consultation is that in order to effectively install bike lanes (on both sides of the road), a no parking restriction should be in effect. The no parking by-law would affect properties between Dixie Road and Glendale Drive where on-street parking is currently allowed. Consultation with affected property owners and user groups will inform them, and invite comment on both the bike lanes and no-parking by- law. Upon completion of the consultation, a Report to Council will be prepared for the July 12, 2010 Council meeting to amend the Traffic By-law to incorporate no-parking zones. Tender T-5-2010 was issued on Thursday, May 6, 2010 and closed on Wednesday, May 19, 2010 with four (4) bidders responding. The low bid by Furfari Paving Company Limited is recommended by staff. The total gross project cost is estimated to be $1,110,708.90 for an estimated net cost to the City of $1,057,818 (net of GST rebate). A reference check for Furfari Paving Company Limited has been completed and is deemed acceptable by the Supervisor, Engineering & Capital Works. The Health & Safety Policy, Confined Space Awareness Training and list of employees trained, current WSIB Council Amendment to Draft #7 (CAD-7), Certificate of Clearance issued by Workplace Safety & Insurance Board as submitted by Furfari Paving Company Limited have been reviewed by the Coordinator, Health & Safety and deemed Report OES 13-10 June 14, 2010 Subject: Tender T-5-2010 51 Full Depth Asphalt Removal and Replacement Glenanna Road And Hampton Court Page 6 acceptable. The Certificate of Insurance has been reviewed by the Manager, Taxation and is deemed acceptable. In conjunction with staffs review of the contractor's previous work experience check of references submitted and the bonding available on this project, the tender is deemed acceptable. Upon careful examination of all tenders and relevant documents received, the Operations & Emergency Services Department, Engineering Services Division recommends the acceptance of the low bid submitted by Furfari Paving Company Limited for Tender T-5 -2010 in the amount of $974,208.90 (GST included) and that the total net project cost of $1,057,818 be approved. This report has been prepared in conjunction with the Manager, Supply & Services who concurs with the foregoing. Attachments: 1. Location Maps 2. Supply & Services Memo Dated May 20, 2010 Prepared By: Approved/Endorsed B Darrell Selsky Eve Bunt ma Supervisor Director Engineering & C pital Works Operations & Emergency Services V ~ ~ SI Vera A. gemacherl Gillis Paterson C.P.P., CPPO, CPPB, C.P.M., CMM III Director Manager Corporate Services & Treasurer Supply & Services Report OES 13-10 June 14, 2010, Subject: Tender T-S- 2010 Full Depth Asphalt Removal and Replacement Glenanna Road And Hampton Court Page 7 Caryn Kong Richard W. Holborn, P. Eng., Senior Financial Analyst Division Head Capital and Debt Management Engineering Services DS:ds Copy: Chief Administrative Officer Recommended for the consideration of Pickering Counc' Tony del, P. ng. Chief Administrative Officer Cas 00 AT I ACS IMENT#__/. _ TO REPORT# OF-5 /3-/0 of z 53 ENGINEERING SERVICES DIVISION Attachment for Tender T-5-2010 GLENANNA ROAD AND HAMPTON COURT FULL DEPTH ASPHALT RESURFACING W > RFSp O Z D p e/VT \ Q U1 W J W K O ONTEAGL COURT N W . > d j J aFOA/,p \\\J/// U CIRCLE ¢ ~Z W d 4 3 0 C' j D Z CRFSC O > 7 AVER COURT U > SQUARE Q d J D FNT O 00 Q CRESCENT BOULEVARD N QC azSQUARE m IDGEw00 CANBOROUGH Q ROSEFIELD FNgNN 0 O 0 E. MALDEN W G~ ROAD GABLEHURST q > KI EY J Q W > O W O 0 06 p CRESCEN (r J W z U q w LL Z~ UI = U Q W ROAD 06 U 1:') L 0 YOQ A OO CRES. O Z U ~0~( O~JA O W BRANDS ON O O d F.p p z J D m F m 00F ¢ D m 0R/V 0V 0 COURT W p x z_ 7 W i F J 0 00 p z W O = BONITA p O p p, ROAD SE 2 VENUE = GLENp,NN .J O H PHAE E3 > > O UBJEC Zi J H UoQQI W W ROWNTRE O W h W W w I- J ARE W Q .W W O O J Z 0 In I Ir O Z _w z ¢ >>W a g u~ Ir M In W > G5 U 3 N J 3 7 U _j QC~ O CRES. p p M O RATHMOR J t< PHASE 1H y 1 CULROSS Pa~O T Z ; D q w or r W FNUF CRES. L Z VECODURT ~\~0t A Q (z) J m 3 D Z H '5' 2 D a W. z z> N MEADOW 5 V) W o z PHASEtbo Q .m > ¢ RIDGE J z GOLDEN Q W 5 W j U > ; < g RIDGE A X w• W D GLEN 3 9 EDEN Efk%'4G D 4' Q CRIES COUR PICK QO 4 RUSHT V10 A CLOUDBERRY LOCATION MAP PROPOSED CONSTRUCTION INCLUDES: GLENANNA ROAD - The proposed works to include complete asphalt removal and new asphalt surfacing installed with concrete curb & gutter and sidewalk repairs/replacement where required, from Pickering Parkway to Dixie Road. Phase 1 a: Kingston Road to The Esplanade South Phase 1 b: The Esplanade South to Pickering Parkway Phase 2: Liverpool Road to Kingston Road Phase 3: Dixie Road to Liverpool Road 4 A,TTACdi► ENY4- YOREPORT# 0E /3)D "o of 2- ENGINEERING SERVICES DIVISION Attachment for Tender T-5-2010 GLENANNA ROAD AND HAMPTON COURT FULL DEPTH ASPHALT RESURFACING 2 W f OUR LADY (n D OF THE BAY TE O J z SCHOOL J M Z SUBJECT = SANOK 0 AREA Q Q VICKI F T BEACH BEACH CCO HAMPTON SHOOL W COURT OKLAHOMA U Z~ Q ABINGDON W F > Q O COURT W - J U TONEBRIDGE m 2 ROAD LOCATION MAP PROPOSED CONSTRUCTION INCLUDES: HAMPTON COURT - The proposed works to include complete asphalt removal and new asphalt surfacing installed with concrete curb & gutter and sidewalk repairs/replacement where required. CItq v ATTACHMENT# 2% TOREPORT# OCS I~~IO of55 PICKERING MEMO To: Richard Holborn May 20, 2010 Division Head, Municipal Property & Engineering From: Vera A. Felgemacher Manager, Supply & Services Copy: Supervisor, Engineering & Capital Works Subject: Tender No. T-5-2010 Full Depth Asphalt Removal and Replacement Glenanna Road and Hampton Court Closing: Wednesday, May 19, 2010 File: F-5400-01 Tenders have been received for the above project. Four (4) bidders were invited to participate. An advertisement was placed in the Daily Commercial News and posted on the City's website. A copy of the Record of Tenders Opened and Checked used at the public tender opening is attached. Tenders shall be irrevocable for 60 days after the official closing date and time. Purchasing Procedure No. PUR 010-001, Item 10.03 (r) provides checking tendered unit prices and extensions; unit prices shall govern and extensions will be corrected accordingly, which has been done, Copies of the tenders are attached for your review along with the summary of costs. SUMMARY PST Included/GST Included i Bidder Total Tendered Amount After Calculation Check s FurFari Paving Co. LTD $974,208.90 $974,208.90 Coco Paving Inc. $1,126,650.00 $1,126,650.00 Serve Construction LTD $1,567,954.50 $1,567,954.50 D. Crupi & Sons Limited $1,029,820.00 $1,029,820.00 Page 1 1 56 ATTACHMENT# ~w TO REPORT#-lL 13-/0 3 Tenders received from the following bidders e-t'ted. Bidder Reference Miller Paving Automatic rejection - Bid deposit not sufficient. Limited Reference: Purchasing By-law No. 5900-01, Procedure No. PUR 010-001, 10.04, Item 7-9(d), I B Item 16,17 & 18; TS Item 1, 2, 3. Four Seasons Site Automatic rejection - Bid deposit not sufficient. Development Reference: Purchasing By-law No. 5900-01, Procedure No. PUR 010-001,10.04, Item 7-9(d), I B Item 16, 17 & 18; TS Item 1, 2, 3. Include the following items in your Report to Council: (a) without past work experience, if reference information is acceptable; (b) the appropriate account number(s) to which the equipment is to be charged; (c) the budget amount(s) assigned thereto; (d) Treasurer's confirmation of funding; (e) related departmental approvals; (f) any reason(s) why the low bid of Furfari Paving Co. LTD is not acceptable; and (g) related comments specific to the project. Please do not disclose any. information to enquiries except you can direct them to the City's website for the unofficial bid results as read out at the Public tender opening. Bidders will be advised of the outcome in due course. If you require further information, please feel free to contact me or a member of Supply & Services. e VAF/ar Attachments Tender No. T-5-2010 Page 2 Tender for Full Depth Asphalt Removal and Replacement Glenanna Road and Hampton Court File: F-5400-01 57 O U Q N n. O Q cu c e t~ . W a~ U m ih i o Z m z Q V N ce- ~ W Q O r ~ o V GZW. Q' ~ ~ ~ ^l M ~ ~ „ c , 2 U) S k OQ. p O.di 0 J Z ,O y v W.W m m Q' C I ~ 2 0 _ F C 0 Q 4 ~ r Y W w d d 'O O _ ( > > LL 0 O Q N F- G` ✓1 q Z R, a O MM. Q M U w a) cu C Z O J w Z Y_ p J v W N p d N C LL m r m e>C Q U d C N _ 'r E E > a i i o a (n U. 0 U. V U _ J Carr Report To Executive Committee 1 ICKERIlyG Report Number: CS 20-10 Date: June 14, 2010 From: Gillis A. Paterson Director, Corporate Services & Treasurer Subject: 2009 Pre-Audit Balances of Reserves and Reserve Funds Recommendation:.,. That Report CS 20-10 of the Director, Corporate Services & Treasurer be received for information. Executive Summary: Based on the preliminary 2009 results, we can now report on the pre-audit actual activities within the Reserves and Reserve Funds for 2009. A summary is presented in Appendix A. The purpose and 2009 financial transactions for each reserve and reserve fund are set out in Appendices B and C respectively. Financial Implications: Not applicable Sustainability Implications: Funds available under the reserves and reserve funds provide partial financial support towards the sustainability of Pickering in both capital and operating expenditures. Background: As in previous reports filed over the years, this report provides specific information on each of the City's Reserves and Reserve Funds, including year-end balances. The 2009 pre-audit Reserves and Reserve Funds balance of $63,290,000 is one of the highest balances ever reported in Pickering. However, this balance is not fully available for use due to the outstanding budget commitments of funds not yet spent, the obligations connected with the collection of funds or other specific purposes approved by Council or under provincial legislation. With regard to unspent budget commitments for capital projects, we are continuing the practice of not transferring funding for commitments until the-expenditures are incurred. This procedure allows the reserve funds to earn interest income as long as funds are Report CS 20-10 Date: June 14; 2010 59 Subject: 2009 Pre-Audit Balances of Reserves and Reserve Funds Page 2 still in the reserve fund's custody and is in compliance with Public Sector Accounting Board (PSAB) for obligatory reserve funds. The combined unspent budget commitments for all reserve funds are $5,838,760. The Development Charges, Parkland, Third Party/Developer Contributions, Federal Gas Tax and Building Permit Reserve Funds represent funds received for specific purposes subject to legislative requirements and based on developer agreements or agreements with any third parties. Funds available in these reserve funds are obligatory in nature and should be treated as committed. The balance in these obligatory reserve funds is $34,872,751 (See Appendix A). The combined total of the budget commitments, other restricted balances and obligatory reserve funds of approximately $41 million reduced the "discretionary" balance to approximately $22 million as at December 31, 2009. Of the aforementioned balance of $22 million, almost $17 million is in the Rate Stabilization Reserve which is anticipated to be used over the next term of Council as the City progresses towards a sustainable level of budgets. The balance of $5 million is primarily reserved for capital works and capital replacements related to vehicles, equipment, telephone, and community facilities. The City established a new reserve and reserve fund this year: Economic Stabilization Reserve and Operations Centre Reserve Fund. Initial funding for the Economic Reserve came from a Veridian 2009 special dividend. This reserve will provide funds to assist the City's budget process during the next few years. The Operations Centre Reserve Fund was established to capture net proceeds from sale of land from City owned land especially in Duffin Heights. The purposes of the reserves and reserve funds are discussed further in Appendices B and C. Internal borrowings from the reserve funds commenced in 2001 to assist in funding capital projects. The outstanding principal balance as at December 31, 2009 is. approximately $2.3 million. These loans are undertaken from the Development Charges and Parkland Reserve Funds. The breakdown of the principal balance for both the reserve funds is $2.24 million and $55,619 respectively. This provided the reserve funds with an attractive rate of interest compared to current market investment rates while at the same time providing a cheaper cost of borrowing to the capital fund. 'Interest earned on internal loans represents amounts earned on the 2001 to 2007 internal borrowings. There was no internal loan in 2008. In 2009 there was an internal loan undertaken in the amount of $500,000, on which interest payments will commence in 2010. RegoS CS 20-10 Date: June 14, 2010 Subject: 2009 Pre-Audit Balances of Reserves and Reserve Funds Page 3 Attachments: 1. Appendix A Summary of Reserves and Reserve Funds 2. Appendix B Description of Reserves 3. Appendix C Description of Reserve Funds Prepared By: Approved / Endorsed By: Caryn Kong Gillis A. Paterson Senior Financial Analyst-Capital & Director, Corporate Services & Treasurer Debt Management GAP: ckk Copy: Chief Administrative Officer Recommended for the consideration of Pickering Cit Council Tony Pre a el, P. ng. Chief Administrative Officer ATTACHMENT#.,L.To REPORT#IL-2 o- I o 61 APPENDIX A CITY OF PICKERING SUMMARY OF RESERVES AND RESERVE FUNDS PRE-AUDIT ACTUALS DECEMBER 31, 2009 Pre Audit Audited Audited Audited Appendix B Summary Reserves 2009 2008 2007 2006 4610 Working Funds $400,000 $400,000 $400,000 $400,000 4611/4623 Replacement Capital 854,338 618,419 683,214 685,715 4612 Contingencies-OPG, Election, Other2 1,471,140 1,401,340 1,328,080 6,356,615 4613 Self-Insurance 2 962,707 951,391 951,391 951,391 4619 Rate Stabilization 16,565,777 17,374,935 15,491,176 6,910,981 4620 Develop. Ch a rges-City's Share 2 1,946,216 1,168,494 745,244 809,654 4621 Region Transit 2 - - 120,999 120,999 4622 Continuing Studies 2 390,315 750,534 713,821 474,484 4624 Vehicle Replacement 237,547 172,547 122,547 72,547 4625 Easement Settlement 131,279 131,279 - - 4626 Library Eastern Branch2 105,000 80,000 55,•000 30,000 4627 Move Ontario 267,033 8,243 308,243 833,243 4628 Capital Maint Mgmt System 90,000 75,000 4629 Economic Stabilization New 1,235,000 Total Reserves $24,656,352 $23,132,182 $20,919,715 $17,645,629 Pre Audit Audited Audited Audited Appendix C Summary of Reserve Funds 2009 2008 2007 2006 4225 Community Facilities $215,350 $192,845 $180,880 $194,175 4228 Capital Works 361,338 348,583 335,486 321,618 4229 Development Charges 112 27,714,332 26,413,355 23,528,009 22,341,331 4230 Parkland 182 1,914,793 1,984,486 1,557,607 1,993,928 4232 Public Works 1,224,292 1,167,782 1,122,707 1,072,893 4234 Workers Safety Insurance Brd2 1,658,462 1,339,907 1,103,109 834,922 4235 Third Party/Dev. Contributions' 2,210,924 2,043,667 2,129,221 1,868,148 4236 Ontario Transit Renewal' - - - 19,166 4237 Doubles Squash Courts 2 1,315 92,530 119,057 78,989 4238 Prov. Dedicated Gas Tax' - - 523,014 771,076 4239 Federal Gas Tax Revenue' 3,032,702 3,084,862 2,144,076 1,455,769 4240 Building Permit Stabilization Fees 182 - - 4241 Animal Shelter2 162,553 152,896 146,195 4242 Pickering Mens' Slow Pitch 2 137,587 128,470 - - 4243 Operations Centre New - - _ Total Reserve Funds $38,633,648 $36,949,383 $32,889,361 $30,952,015 Total Reserves & Reserve Funds $63,290,000 $60,081,565 $53,809,076 $48,597,644 Notes (Includes 4229 & ' Obligatory Reserve Funds $34,872,751 4236) (Excludes 4229 2 Restricted Reserves & Reserve Funds 5,872,588 & 4230) Total Obligatory' & Restricted 2 -2008 = 40,745,339 Less Budget Committed Projects (5,838,759) Total Uncommitted Obligatory & Restricted R & RF $34,906,580 Total Reserves & Reserve Funds $63,290,000 Less Obligatory, Restricted Reserve & Reserve Funds (40,745,339) Net-Discretionary Reserves & Reserve Funds $22,544,661 ATTACHMENT#.,~_TO REPORT# d .d6 62 APPENDIX B RESERVE FOR WORKING FUNDS 4610 Actual Balance December 3.1, 2008 $ 400,000 Transfers into the Reserve - Transfers out of the Reserve - Pre-Audit Actual Balance December 31, 2009 $ 400,000 1. Purpose of this Reserve: The reserve for working funds is used to provide operating cash to assist in avoiding short term interest expenses incurred on operations, typically during the first few months of the year prior to tax billing and at other times when cash inflows and outflows do not match as occurs in any corporation. The interest income on this account forms part of the annual Current Budget General Government Revenue. 2. Recommended Maintenance Levels of this Reserve: It is recommended as a "rule-of-thumb" that this reserve be 2% to 3% of total City revenues. Based on average annual revenue of $45 million, at 2%, the amount to maintain for this reserve should be $900,000. 63 APPENDIX B RESERVE FOR REPLACEMENT OF CAPITAL EQUIPMENT - G/L 4611/4623 Actual Balance December 31, 2008 $ 618,419 Transfers into the Reserve Revenue Fund Contribution 173,462 Sale of Land 177,000 Return to Source 15,957 Transers out of the Reserve Transfers to Capital Fund (130,500) Pre-Audit Actual Balance December 31, 2009 $ 854,338 1. Purpose of this Reserve: The purpose of this reserve is to reduce the need to levy for the full cost of major equipment in the year of acquisition. This reserve acts as a stabilization factor and helps to avoid both tax rate fluctuations and the issuance of long-term debt or other means of financing. The interest income on this account forms part of the annual Current Budget General Government Revenue. 2. Recommended Maintenance Levels of this Reserve: This reserve should be kept at a level that is equivalent to the replacement cost of the assets for which they were established. Over the last couple of years, the reserve balance has been kept at a minimum level. Contributions to this reserve are provided for annually in the Current Budget. In 2003, additional sub-categories were set up for accounting purposes to better match the collection of funds to the application of these funds to particular facilities as shown on the following page. 64 APPENDIX B The balances pertaining to these sub-categories are as follows: Corp Use Prgrms Pool Arena Core. Pool Arena Total Dec 31/08 2,483 153,252 42,540 98,091 74,110 151,178 96,765 618,419 Transfers in 235,000 18,500 4,962 30,000 27,000 15,000 20,000 350,462 Returned to source 15,567 390 15,957 Transfers out - - - (118,000) - (12,500) - (130,500) Dec 31/09 253,050 171,752 47,502 10,091 101,110 153,678 117,155 854,338 i 65 APPENDIX B RESERVE FOR CONTINGENCIES- G/L 4612 (OPG, Other Assessment Appeals, Election, Miscellaneous) Actual Balance December 31, 2008 $ 1,401,340 Transfers into the Reserve Transfers from Revenue Fund 70,000 Transfers out of the Reserve: 200 Pre-Audit Actual Balance'December 31, 2009 $ 1,471,140 • 1. Purpose of this Reserve: Like the Capital Equipment Replacement Reserve, this reserve acts in a tax stabilization capacity. It was established in anticipation of unknown, unusual or extraordinary expenditures, which occur from time to time. The interest income on this account forms part of the annual Current Budget General Government Revenue. 2. Recommended Maintenance Levels of this Reserve: In 2003, the large balances in this reserve were reviewed and grouped into sub- categories in the general ledger, for accounting purposes only, to better distinguish those amounts that are committed and those amounts available for general corporate use. The sub-categories are as follows: OPG Assessment Appeal, Elections, Other Assessment Appeals and Miscellaneous. As at the year ended December 31, 2008, there are no longer any funds in the Contin9encY-Ontario Power Generation (OPG) Assessment Reserve as the assessment appeals related to the taxation years 2003-2006 have been reached and this amount was transferred to the Rate Stabilization Reserve in 2007. The amounts pertaining to the other sub-categories are as follows: Election - $210,000, Other Assessment Appeals - $682,594, True Sport City Share- $3,060 and Miscellaneous - $575,486. 66 APPENDIX B RESERVE FOR SELF INSURANCE - G/L 4613 Actual Balance December 31, 2008 $ 951,391 Transfers into the Reserve 11,316 Transfers out of the Reserve: Transfer to Capital - Pre-Audit Actual Balance December31, 2009 $ 962,707 1. Purpose of this Reserve: This reserve was established as a necessary form of asset protection. Specifically, it is to cover insurance claims resulting from the increase in deductible levels, costs of uninsured claims and other claim related costs. The higher deductible reduced insurance premiums. Significant savings can be realized through reduced premium costs and staff analyzes the costs/benefits of such actions on an annual basis. The interest income on this account forms part of the annual Current Budget General Government Revenue. 2. Recommended Maintenance Levels of this Reserve: This reserve should be maintained at a level to ensure that the funding is adequate to meet future liabilities. This situation is analyzed by staff on a regular basis. 67 APPENDIX B RESERVE FOR RATE STABILIZATION - G/L 4619 Actual Balance December 31, 2008 $ 17,374,935 Transfers into the Reserve 2009 Excess Surplus Contribution 381,180 - Dividend from Veridian 1,722,000 2,103,180 19,478,115 Transfers out of the Reserve 2009 Current Budget Provision (2,912,338) Pre-Audit Actual Balance December 31, 2009 $ 16,565,777 1. Purpose of this Reserve: The purpose of this reserve is to act as a tax rate stabilization factor for annual current budget funding. The interest income on this account forms part of the annual Current Budget General Government Revenue. 2. Recommended Maintenance Levels of this Reserve: The fund balance should be maintained at a level of 3 to 5 per cent of tax revenues to provide tax rate stabilization for annual current budgeting purposes. The 2009 Current Budget provided for a transfer in the amount of $2,912,338 from this. reserve to fund current expenditures. With the settlement of OPG assessment appeal in 2007, dividends from Veridian ~ and surplus in 2009; there is sufficient built-up of funds to draw from this reserve for future budgeting years. In 2010, there is a budgeted draw of $2.9 million and further draws anticipated in 2011 and after. 68 APPENDIX B RESERVE FOR DEVELOPMENT CHARGES - CITY SHARE G/L 4620 Actual Balance December 31, 2008 $ 1,168,494 Transfers into the Reserve 2009 Excess Surplus Contribution 1,369,420 Returned to source 122,667 2,660,581 Transfers out of the Reserve Transfer to Capital Fund -External Subdivision Works (714,365) Pre-Audit Actual Balance December 31, 2009 $ 1,946,216 1. Purpose of this Reserve: This reserve has been established to set aside funds for projected growth in the City. From the 1999 and the 2004 Development Charges Studies it was approved that a reserve be established for the City's share (i.e. the non_ development charge portion) of the costs of services included in the Development Charges Study and that contributions be included in the annual Current Budget for consideration by Council. For the City to meet its obligations for the various capital projects, an annual contribution of $2.4 million is required. The interest incomes on this account forms part of the annual Current Budget General Government Revenue. 2. Recommended Maintenance Levels of this Reserve: Funds continue to be budgeted in the Current Budget to build-up this reserve to fund future capital growth of the City. The draws in the current year were to finance External Subdivision Works. This reserve should be maintained at a level to ensure that the funding is adequate to meet future capital growth in the City. 69 APPENDIX B I RESERVE FOR CONTINUING STUDIES & CONSULTING - G/L 4622 i Actual Balance December 31, 2008 $ _ 75_ 0,5 Transfers into the Reserve Continuing Consulting Work or Studies 131,130 Transfers out of the Reserve (491,349 Pre-Audit Actual Balance December 31, 2009 f $ 390,315 1 1. Purpose of this Reserve: This reserve was established to capture any unspent annual Current Budget provisions related to consulting, continuing studies, professional and legal fees. Under Generally Accepted Accounting Principles, the approval to expend funds for these efforts ceases at year-end, however work may continue beyond that date. The establishment of this fund enables the transfer of unspent funds into future year and accommodates this frequent timing difference between the approval and the expenditure. The interest income on this account forms part of the annual Current Budget General Government Revenue. 2. Recommended Maintenance Levels of this Reserve: There would be no recommended maintenance levels. Funds transferred to this reserve will be used to fund the balance of the expenditures still to be incurred for incomplete studies or consulting contracts. Expenditures incurred in 2009 in the amount of $491,349 pertained to consulting work that was transferred into the reserve in the prior year. An additional amount of $131,130 has been transferred-in for future work. I 70 APPENDIX B F - RESERVE FOR VEHICLE REPLACEMENT - G/L 4624 - Actual Balance December 31, 2008 I $ 172,547 Transfers into the Reserve 50,000 =Returned to source 15,000 Transfers out of the Reserve to Capital Fund 6 Pre-Audit Actual Balance December 31, 2009 $ 237,547 1. Purpose of this Reserve: This reserve was newly established in 2004 to begin building up funds to finance the cost of replacing the City's aging fleet. The interest income on this account forms part of the annual Current Budget General Government Revenue. 2. Recommended Maintenance Levels of this Reserve: There would be no recommended maintenance levels. Funds transferred to this reserve will be committed to fund the purchase of new vehicles. I 71 APPENDIX B ( RESERVE - EASEMENT SETTLEMENT - G/L 4625 r Actual Balance December 31, 2008 $ 131,279 Transfers into the Reserve: Projects returned to source - Transfers out of the Reserve - Pre-Audit Actual Balance December 31, 2009 i $ 131,279 1. Purpose of this Reserve: This reserve was established in 2005 due to funds received from easement settlement in February 2005. The amount collected was $2.5 million. These funds will be used to finance both the capital and operating expenditures of the City. The interest income on these funds forms part of the annual Current Budget General Government Revenue. 2. Recommended Maintenance Levels of this Reserve: There would be no recommended maintenance levels. Whenever funds are received due to easement settlement, this reserve will be credited accordingly. Budgeted draws to fund City's expenditures will be dependent on the revenues collected. Due to the budgeted draws in both 2005 and 2006, the funds originally received in 2005 have been completely depleted as at the year ended December 31, 2006. The funds available as at the year ended December 31, 2009 are the results of under-ages from 2005 and 2006 completed projects. i 72 APPENDIX B RESERVE - PROVISION FOR EASTERN BRANCH LIBRARY - G/L 4626 Actual Balance December 31, 2008 $ 80,000 Transfers into the Reserve 25,000 Transfers out of the Reserve - Pre-Audit Actual Balance December 31, 2009 $ 105,000 1. Purpose of this Reserve: This reserve was established in 2005 to begin building up funds for a new library at the eastern part of Pickering. This provision may be used to fund the new facility, capital cost, resource materials and any other related costs. The interest income on this account forms part of the annual Current Budget General Government Revenue. 2. Recommended Maintenance Levels of this Reserve: There would be no recommended maintenance levels. In 2002, the Board of the Library requested $10,000 under the Capital Budget for the "Provision for Eastern Branch". A similar request was made in both 2005 and 2006. It is the intention of the Board of the Library to annually request for this provision to continue building up funds for the proposed new facility. To reflect this intention, effective 2006 Budget year, the provision has been done by a "Transfer to Reserve for the Provision for Eastern Branch". In 2007, the annual provision has been increased to $25,000. The same amount was provided for in both 2008 and 2009. 73 APPENDIX B RESERVE - MOVE ONTARIO - G/L 4627 Actual Balance December 31, 2008 $ 8,243 Returned to source-completed projects 495,085 Transfers out of the Reserve Capital Expenditures -Roads (236,295) Pre-Audit Actual Balance December 31, 2009 $ 267,033 1. Purpose of this Reserve: This reserve was established in 2006 to capture the one-time funding received on March 20, 2006 from the Ontario government, the Ministry of Transportation. The Ontario government is providing a one-time investment to help municipalities primarily outside the GTA, with specific emphasis on rural and northern municipalities and to invest in municipal roads and bridges. Municipalities will determine their own roads and bridges priorities. The interest income on this account forms part of the annual Current Budget General Government Revenue. 2. Recommended Maintenance Levels of this Reserve: There would be no recommended maintenance levels. 74 APPENDIX B RESERVE - CAPITAL MAINTENANCE MGMT SYSTEM - G/L 4628 Actual Balance December 31, 2008 $ 75,000 Contribution from Revenue Fund 75,000 Transfers out of the Reserve Capital Expenditures (60,000) Pre-Audit Actual Balance December 31, 2009 $ 90,000 1. Purpose of this Reserve: This reserve was newly established in 2008 to start building-up funds for capital maintenance and management systems. Amount build-up will provide funds to assist in meeting mandatory Public Sector Accounting (PSAB) requirements and future capital asset management initiatives. The interest income on this account forms part of the annual Current Budget General Government Revenue. 2. Recommended Maintenance Levels of this Reserve: There would be no recommended maintenance levels. In 2008 there was a budgeted transfer of $75,000 from the Current Budget. In 2009, there was a provision of $75,000 for a new telephone system. 75 APPENDIX B RESERVE - ECONOMIC STABILIZATION - G/L 4629 (New) Actual Balance December 31, 2008 $ - 640,000 I Dividend from Veridian 1, I f 4 " Transfers to Revenue Fund (405,000 I Pre-Audit Actual Balance December 31, 2009 $ 1,235,000 1. Purpose of this Reserve: This reserve was newly established in 2009 to place a special dividend approved by Veridian. Report to Council CS15-09 provides background information on the establishment of this reserve. The special dividend will be used to assist the City's budget process during the next few years. For the 2009 budget, $405,000 has been drawn from this reserve to reach the proposed tax increase of 3.53%. The current fiscal strategy is, to draw $405,000 for the next four years (2009- 2012) to partially offset loss of income related to the recession. The interest income on this account forms part of the annual Current Budget General Government Revenue. 2. Recommended Maintenance Levels of this Reserve: There would be no recommended maintenance levels. 6 ATTACHMENT #-3-TO REPORT#-LLa 0 / J APPENDIX C RESERVE FUND FOR COMMUNITY FACILITIES - G/L 4225 Actual Balance December 31, 2008 $ 192,845 Transfers into the Reserve Fund Returned to source 15,447 Interest Earned on External Investments 7,058 22,505 Transfers out of the Reserve Fund Transfer to Capital Fund - - Pre-Audit Actual Balance December 31, 2009 $ 215,350 1. Purpose of this Reserve Fund: I This is a "discretionary" reserve fund established by Council to attempt to avoid both tax rate fluctuations and the need for issuing long term debt for major expenditures required for community facilities. The interest income on this reserve fund forms part of the reserve fund as per the Municipal Act, 2001 section 417(3). 2. Recommended Maintenance Levels of this Reserve Fund: The balances in this fund have fluctuated from the high in 1998 of $773,483 to the low in 2001 of $69,102. Other than interest income earned, there has been no transfer to this reserve fund in the last six years. Expenditures are transferred out of reserve funds only when incurred. The value of the unspent budget commitments as at December 31, 2009 is $164,148. Taking these commitments into consideration, the uncommitted balance of funds available is $51,202. Additional amounts must be provided to this fund. 77, APPENDIX C RESERVE FUND FOR CAPITAL WORKS - G/L 4228 Actual Balance December 31, 2008 $ 348,583 Transfers into the Reserve Fund Interest Earned on External Investments 12,755 Transfers out of the Reserve Fund - Pre-Audit Actual Balance December 31, 2009 $ 361,338 1. Purpose of this Reserve Fund: i This Fund is a "discretionary" one and was established pursuant to section 417(1) (2) of the Municipal Act, 2001 for specified purposes by Council related to the acquisition of assets. The interest income on this reserve fund forms part of the reserve fund as per the Municipal Act, 2001 section 417(3). 2. Recommended Maintenance Levels of this Reserve Fund: Between the years of 1998 to 2000, the balances have been maintained at $600,000 to $800,000. There has been no major contribution to this reserve fund in the past eight years. There is no unspent budget commitment for this reserve fund. Major add itional.contributions will be required in future years. I 78 APPENDIX C RESERVE FUND FOR DEVELOPMENT CHARGES - GIL 4229 Actual Balance December 31, 2008 $ 26,413,355 Transfers into the Reserve Fund: Net Developer Contributions $ 1,104,861 Returned to source 13,385 Interest Earned on External Investments 880,416 Interest Earned on Internal Loans 100,929 2,099,591 Transfers out of the Reserve Fund: Transfer to Current Fund-Studies (82,327) Transfer to Capital Fund: Parks (12,841) Ext. Subdiv- Roads & Related (703,446) (716,287) Pre-Audit Actual Balance December 31, 2009 $ 27,714,332 1. Purpose of this Reserve Fund: This is an "obligatory" reserve fund and as such is governed by Municipal Act 2001, Development Charges Act, 1997, Ontario Regulation 82198, City By-law or agreement and requires revenue received for the special purposes to be segregated from the general revenues of the municipality. Obligatory reserve funds must be created whenever a statute requires revenue received for a special purpose to be segregated from the general revenues of the municipality and the revenue is to be used solely for the purpose prescribed by statute, i.e. in this case the monies charged to developers must be held and used to fund capital services and related background studies required for new growth. The interest incomes on these funds form part of the reserve fund as per the Municipal Act, 2001 section 417(3). 2. Recommended Maintenance Levels of this Reserve Fund: In accordance with development charge legislation, all development charge , revenues must be held within separate Reserve Funds and can only be used for the financing of growth-related projects. As such, no reserve fund limits are appropriate for the Development Charge Reserve Funds because they are tied to growth-related capital requirements. This reserve fund has an unspent budget commitment of $3,442,897. The pre- audit actual balance of $27,714,332 would be reduced by this amount to reflect an uncommitted balance of funds available for future expenditures of $24,271,435. 79 APPENDIX C RESERVE FUND FOR PARKLAND - G/L 4230 Actual Balance December 31, 2008 $ 1,984,486 Transfers into the Reserve Fund: Developers Contributions $ 39,473 Interest Earned on External Investments 66,434 Interest Earned on Internal Loans 6,132 112,039 Transfers out of the Reserve Fund: Transfer to Capital Fund-Parks: Duffin Trails (54,456) Waterfront Trail-Park Crescent (9,750) Playground Equipment & Construction (63,487) Parks Signage (24,039) Parks- Trees (30,000) (181,732) Pre-Audit Actual Balance December 31, 2009 $ 1,914,793 1. Purpose of this Reserve Fund: This is an "obligatory" reserve fund and it was established pursuant to section 417(1)(2) of the Municipal Act, 2001 as required by subsections 42(1), (5), (6), (7), (8) and (9) of the Planning Act. This fund is governed by legislation, regulation or agreement and requires revenues received for the special purposes to be segregated from the general revenues of the municipality. Obligatory reserve funds must be created whenever a statute requires revenues for a special purpose to be segregated from the general revenues of the municipality and the revenue is to be used solely for the purpose prescribed by statute. The interest incomes on these funds form part of the reserve fund as per the Municipal Act, 2001 section 417(3). 2. Recommended Maintenance Levels of this Reserve Fund: Due to the obligatory nature of this fund, there are no limits on this fund. The unspent budget commitments for the year ended 2009 are $71,254. The pre- audit balance of $1,914,793 after taking into account the unspent budget commitments will provide an uncommitted balance available of $1,843,539 as at December 31, 2009. 80 APPENDIX C RESERVE FUND FOR PUBLIC WORKS - G/L 4232 i Actual Balance December 31, 2008 $ 1,167,782 Transfers into the Reserve Fund Third Party Contributions $ 11,289 Returned to source - Interest Earned on External Investments 45,221 56,510 Transfers out of the Reserve Fund Pre-Audit Actual Balance December 31, 2009 $ 1,224,292 1. Purpose of this Reserve Fund: This fund was established by Council pursuant to section 417(1) (2) of the Municipal Act, 2001. The purpose of the reserve fund is to acquire fixed assets, to fund capital works related to public property, without the need to fund on a long-term nature through the issue of debentures. The main purpose at this time is to fund the City's share of the cost of subdivision works committed to under various subdivision agreements. The interest incomes on these funds form part of the reserve fund as per the Municipal Act, 2001 section 417(3). 2. Recommended Maintenance Levels of this Reserve Fund: The "average" annual balance of this fund over the last four years has been approximately $1 million. This reserve fund should be kept at least at this level in the future. Staff will periodically review the need for this level with the requirements contained in the capital budget and four year program and report any different findings to Council. There is no unspent budget commitment for this reserve fund. The uncommitted balance of funds available as at December 31, 2009 is $1,224,292. 81 APPENDIX C RESERVE FUND FOR WORKERS SAFETY INSURANCE BOARD - GIL 4234 Actual Balance December 31, 2008 $ 1,339,907 Transfers into the Reserve Fund Contribution from Current Fund $ 505,000 Interest Earned on External Investments 55,768 560,768 Transfers out of the Reserve Fund Claims and Other Related Costs $ (77,016) Funding Insurance Costs (143,197) Contribution to Health & Safety Training (22,000) (242,213) Pre-Audit Actual Balance December 31, 2009 $ 1,658,462 1. Purpose of this Reserve Fund: This reserve fund has been established to provide for the annual costs of insurance coverage, contributions towards the health and safety program, and the payment of claims and other related costs now that the City is a Schedule 2 employer. This reserve fund was created in 2001 further to the recommendation passed in Council Resolution#127/01 and in compliance with Workplace Safety & Insurance Act. The interest incomes on these funds form part of the reserve fund as per the Municipal Act, 2001 section 417(3). 2. Recommended Maintenance Levels of this Reserve Fund: Starting from 2004 and continuing to 2009, the contributions were more than double the claims experience for the year, resulting to a built-up in the balance of the reserve fund. As Schedule 2 operates on the self-insured principle, any anticipated savings between contributions and claims experience will be transferred to this Reserve Fund to build-up the fund balance in the event of any catastrophic claim-related costs, which may occur. The average'annual built-up of approximately $236,923 from 2003 to 2009 has resulted to the 2009 year-end balance of $1,658,462. 82 APPENDIX C THIRD PARTY/DEVELOPERS CONTRIBUTIONS RESERVE FUND - G/L 4235 Actual Balance December 31, 2008 $ 2,043,667 Transfers into the Reserve Fund Contributions from Developers/Third Parties $ 261,893 Interest Earned on External Investments 77,430 339,323 Transfers out of the Reserve Fund - Current Expenditures-Consulting fees - Capital Expenditures: Parks, Trees Sunbird Trail (1,635) Ext Subdivision Works-Sideline 4 (135,099) Development Control-St Martin/Bayly (32,000) Development Control-Chieftan Development (3,332) (172,066) Pre-Audit Actual Balance December 31, 2009 $ 2,210,924 1. Purpose of this Reserve Fund: This reserve fund was established by Council pursuant to Section 417(1) of the Municipal Act, 2001. The purpose of this reserve fund is to capture contributions from developers or third parties per development agreements and any cost sharing arrangements for future capital projects. Due to the externally restricted contributions, this reserve fund is treated as obligatory. The collections are committed for specific purposes and not available for general use. Unless specified, the City is under no obligation to pay interest to any developers or third parties. The interest incomes on these funds form part of the reserve fund as per the Municipal Act, 2001 section 417(3). 2. Recommended Maintenance Levels of this Reserve Fund No reserve fund limits are appropriate for this fund as collection and commitment of funds are dependent upon development agreements or cost sharing arrangements. i 83 APPENDIX C SQUASH COURTS RESERVE FUND - G/L 4237 Actual Balance December 31, 2008 $ 92,530 Transfers into the Reserve Fund Surcharge on Memberships 10,459 Contribution from Pickering Squash Club 32,046 Interest on External Investments 3,924 46,429 Transfers out of the Reserve Fund - Recreation Centre Expansion & Squash Courts (137,644) Pre-Audit Actual Balance December 31, 2009 $ 1,315 1. Purpose of this Reserve Fund: This reserve fund was established to capture funds from Pickering Squash Club memberships' surcharges, corporate sponsorships, third party contribution and any such funds as the Council may approve. This reserve fund shall be used for the purpose of paying expenses related to the provision of double squash courts. This reserve fund was newly created in 2003 further to the recommendation passed in Council Resolution #79/03, Item 5 per Report to Council CS 40-03. The interest incomes on these funds form part of the reserve fund as per, the Municipal Act, 2001 section 417(3). 2. Recommended Maintenance Levels of this Reserve Fund: No reserve fund limits are appropriate for this fund. The majority of the funds received as at the year ended 2009 have been used to fund the construction of the doubles squash courts at the Pickering Recreation Complex. The construction of the double squash courts were completed in September 2009. i 84 APPENDIX C FEDERAL DEDICATED GAS TAX RESERVE FUND - G/L 4239 Actual Balance December 31, 2008 $ 3,084,862 Transfers into the Reserve Fund Returned to source - Federal Contribution (through AMO) 2,840,502 Interest on External Investments 152,494 2,992,996 Transfers out of the Reserve Fund - Capital Expenditures in the following cost centres/projects: Civic Complex-Humidification Sys. & Computer Rm (167,401) Dunbarton Indoor Pool (1,033,328) Don Beer Arena-Rehabilitation (18,359) Recreation Complex-Air Handling Unit & Backup Boiler (94,753) Recreation Complex Expansion (1,031,087) Parks-Western Gateway (328,605) Roads-Toy Avenue (152,318) Storm Water Mgmt-Claremont Wellington St (95,539) Streetlights-LED Traffic Signals (34,918) Library-Roof Replacment Central Library (88,848) (3,045,156) Pre-Audit Actual Balance December 31, 2009 $ 3,032,702 1. Purpose of this Reserve Fund: This reserve fund was established in 2005 to capture the transfer of gas tax revenues from the Government of Canada through the Association of Municipalities of Ontario under the New Deal for Cities and Communities (Canada-Ontario-AMO-Toronto Agreement). The Council had approved under Report to Council CS 92-05, the establishment of this reserve fund under By-law 6609/05 and Resolution 219/05. This program is not application based and does not require matching funding. Municipalities are allowed to invest in environmental sustainable infrastructure in programs such as public transit, storm water system, local roads and bridges. It comes with the expectation that the investments will see Ontarians enjoying cleaner air, cleaner water and reduced greenhouse gas emissions. The original 2005 Canada-Ontario-AMO-Toronto Agreement was amended on September 3, 2008 in order to extend the municipalities Gas Tax Fund allocations to 2014. 85 Report to Council CS 06-10 provides detailed background information on the Amending Agreement and By-Law 7030/10 authorized the execution of an Amending Municipal Funding Agreement for the Transfer of Federal Gas Tax Revenues. The interest incomes on these funds form part of the reserve fund as per the Municipal Act, 2001 section 417(1). 2. Recommended Maintenance Levels of this Reserve Fund: No reserve fund limits are appropriate for this fund. The following table represents the schedule of payments under the 2005 Municipal Funding Agreement: Year Jul November 2005 $ 849,577.58 2006 $424,788.79 424,788.79 2007 566,321.81 566,321.82 2008 707,854.83 707,854.84 2009 1,415,709.67 1,415,709.67 Total $7,078,927.80 The following table represents the schedule of payments over the life of the Amending Agreement: Year July November 2010 $1,347,215.33 $1,347,215.33 2011 $1,347,215.33 $1,347,215.33 2012 $1,347,215.33 $1,347,215.33 2013 $1,347,215.33 $1,347,215.33 Total $10,777,722.64 J 86 APPENDIX C I ANNUAL REPORT - BUILDING PERMIT FEES for the year ended December 31, 2009 Building Permit Revenue $ 668,764 Costs Direct Costs (1,146,126) Indirect Costs (221,252) (1,367,378) Excess/(Deficit) Revenue over Costs $ (698,614) BUILDING PERMIT STABILIZATION RESERVE FUND -GL 4240 Opening Balance, Jan. 1, 2009 $ - 2009 Contribution Closing Balance, Dec. 31, 2009 $ - 1. Purpose of this Reserve Fund: This reserve fund was officially established in 2006 based on By-Law 6651/06 and Report to Executive Committee PD 41-05. The need for the establishment of this reserve fund arises as a result of the significant changes to the building regulatory system in Ontario with the introduction of the Building Code Statute Law Amendment Act, 2002 (known as Bill 124) and associated amendments to the Ontario Building Code. The purpose of this fund is to secure funding to provide for service delivery stabilization during an economic downturn. The source of funds will be the annual portion of building code permit fees after related direct and indirect costs are netted. The interest incomes on these funds form part of the reserve fund as per the Municipal Act, 2001 section 417(3). 87 2. Recommended Maintenance Levels of this Reserve Fund: Given the rationale for creating a fee stabilization reserve fund, the targeted reserve fund balance should reflect the reduction in permits witnessed during the last recession when compared to the long-run development average - acknowledging the City's responsibility to manage a portion of the costs associated with an economic downturn. Based on the modeled activity based direct costs conducted by CN Watson; the appropriate balance to maintain is proposed at $1.16 million, expected to be achievable within a target of seven accumulated years. As at the year ended 2009, this reserve fund remains at a zero balance. This is due to expenses exceeding building permit fee revenues; therefore, there was no transfer to the Building Permit Stabilization Reserve Fund. The Building Code Act, section 7(4) requires an annual reporting of this reserve fund, on which Report to Executive Committee CS 16-10 provided detailed information on the 2009 reporting year. i 88 APPENDIX C ANIMAL SHELTER RESERVE FUND - G/L 4241 Actual Balance December 31, 2008 $ 152,896 Transfers into the Reserve Fund Donations 4,512 Interest on External Investments 5,145 9,657 Transfers out of the Reserve Fund - Pre-Audit Actual Balance, December 31, 2009 $ 162,553 1. Purpose of this Reserve Fund: This reserve fund was established in 2007 based on By-law 6749/07, Report to Council CS 16-07, Recommendation 9. This reserve fund was established to record the City's share of the proceeds resulting from the dissolution and disposition of the assets of Pickering, Ajax, Whitby Animal Services (PAW). With the establishment of this reserve fund, financial resources received and provided can be used to construct a permanent animal shelter. The interest incomes on these funds form part of the reserve fund as per the Municipal Act, 2001 section 417(3). 2. Recommended Maintenance Levels of this Reserve Fund: No reserve fund limits are appropriate for this fund. The main contribution to this reserve fund was the proceeds of $144,433 from PAW in 2007. The balance of funds is from donations and interest income earned. 89, APPENDIX C PICKERING MEN'S SLOW PITCH RESERVE FUND - G/L 4242 Actual Balance December 31, 2008. $ 128,470 Transfers into the Reserve Fund . Contribution from Men's Slow Pitch League - Interest Income 9,117 9,117 Transfers out of the Reserve Fund - Pre-Audit Actual Balance December 31, 2009 $ 137,587 1. Purpose of this Reserve Fund: This reserve fund was established at the end of 2007 based on By-Law 6822/07, Report to Council CS 58-07. This reserve fund was established to receive donations from the Pickering Men's Slow Pitch League, for safekeeping of donated funds and further application of funds towards a major softball facility. Report to Council OES 43-07 provides detailed information on the memorandum of understanding between the City and the Pickering Men's Slow Pitch League. The interest incomes on these funds form part of the reserve fund as per the Municipal Act, 2001 section 417(3). 2. Recommended Maintenance Levels of this Reserve Fund: No reserve fund limits are appropriate for this fund. In 2008, the City received the financial contribution of $125,000 from the Pickering Men's Slow Pitch League. 1 90 APPENDIX C OPERATIONS CENTRE RESERVE FUND-G/L 4243 (New) Actual Balance December 31, 2008 $ - Transfers into the Reserve Fund Interest on External Investments - Transfers out of the Reserve Fund - Pre-Audit Actual Balance December 31, 2009 $ - 1. Purpose of this Reserve Fund: This reserve fund was established to deposit net proceeds from the sale of land in the area known as Duffin Heights and other funds as may be approved by Council. The net proceeds will be used to finance costs associated with the establishment of the new Operations Centre. These include costs for disposal and acquisition of land, legal fees, surveys, soil testing, engineering design, construction costs, debt charges and, if available any equipment and furniture required for the facility. This reserve fund was established in 2009 under Report to Council CS 15- 09 Recommendation 9 a) and as approved by By-Law No. 6954/09. The interest incomes on these funds form part of the reserve fund as per the Municipal Act, 2001 section 417(3). 2. Recommended Maintenance Levels of this Reserve Fund: No reserve fund limits are appropriate for this fund. For the year-ended 2009, there was no transactions, this reserve fund balance remains at zero. City Report To Executive Committee PICKERING Report Number: CS-21-10 Date: June 14, 2010 9 1 From: Gillis A. Paterson Director, Corporate Services & Treasurer Subject: 2010/2011 Property and Liability Insurance Renewal Recommendation: 1. That Report CS 21-10 of the Director, Corporate Services & Treasurer be received; 2. That the City of Pickering renew its property, liability and other coverages through the Frank Cowan Company for the period July 1, 2010 to June 30, 2011 inclusive on terms and conditions acceptable to the Director, Corporate Services & Treasurer; 3. That the Director, Corporate Services & Treasurer, as part of the Risk Management Program, be authorized to continue the Reimbursable Deductible Program through the Insurance Adjuster and the Frank Cowan Company and further, that the Director be authorized to settle any claims including any adjusting and legal fees where it is in the City's interest to do so; 4. That the Director, Corporate Services & Treasurer be authorized to purchase additional insurance, make changes to deductibles and existing coverages, and alter terms and conditions as becomes desirable or necessary in order to limit potential liability exposure and to protect the assets of the City and it's elected officials and staff; and, 5. That the appropriate officials be authorized to take the necessary actions to give effect thereto. Executive Summary: The City's insurance program continues to operate successfully and the above recommendations provide for a renewal of the policies basically on the same or improved terms and conditions in the past years which also provides coverage for the Library, its Board and its employees. Report CS 21-10 June 14, 2010 Subject: 2010/2011 Property and Liability Insurance Renewal Page 2 92 Financial Implications: The premium renewal cost has been provided for in the various cost centers through the approval of the 2010 budget by Council and the renewal premium cost is within the 2010 budgeted amount. Sustainability Implications: Insurance renewal provides the City with financial security and is therefore better able to maintain financial sustainability. Background: Each year on July 1, the City's general liability and property insurance policies come up for renewal. As approved by Council at the time of the 1998 renewal, the Treasurer undertook an extensive review of all aspects of the City's insurance program. The City of Pickering embarked in a Risk Management Program, the initial phase of which involved negotiating renewing premiums with the City's broker. The result of the negotiations was a decrease of approximately $75,000 or 20 percent, in the premiums from that of the prior year. The savings were transferred to the Self Insurance Reserve. In our opinion, this program has served the city well, and today there is almost $1 million in this reserve. Recommendation 4 provides the Treasurer with the authority to continue to review and adjust insurance coverages where appropriate during the year to reflect business requirements and current market and business environment conditions. Insurance Market and Trends The current liability and property insurance market remains steady for most standard lines of insurance business with municipal insurance experiencing an above average increase. The Court awarded damages are getting larger especially for bodily injury claims. These awards are primarily driven by the costs of providing future care for injured persons. As the severity of awards increases, so does the exposure to municipalities as they are often viewed as having "deep pockets". Municipal property liability premiums continue to increase as a result of the legal provision of the joint and several liability application leveraged with large court awards and with the municipality as being seen as having "deep pockets". The joint and several provisions of the Negligence Act, indicate, "Where damages have been caused or contributed to by the fault or neglect of two or more persons and, where two or more persons are found at fault or negligent, they are jointly and severally liable to the person suffering the loss\or damage Also known as the 1% rule, the joint and several provisions may oblige a defendant, which is only 1 % at fault, to pay the plaintiff's entire judgment particularly in cases where the other defendants are financial unable. In other words the defendant who is 99% at fault does not have the financial strength or assets to pay the claim. Therefore, the municipality, who is viewed as having "deep pockets", pays the remainder of the claim. Report CS 21-10 June 14, 2010 Subject: 2010/2011 Property and Liability Insurance Renewal Page 3 93 The City also experienced a continued increase in claim costs. Individual claims are becoming more complex resulting in more time to manage the claim, more detailed investigation and more experts and legal costs involved in defending the claim. Even if the City is not liable there are always costs in defending the claim. Basic risk management states that you should diversify your risk. Many insurance companies have customers throughout the Province or Canada to diversity the risk associated with a local catastrophic event. With the City of Pickering being a direct customer of the Frank Cowan Company (who has customers throughout the Province and beyond) the geographical risk diversification is achieved and maintained. Service to our Residents Regrettably, insurance claims or incidents do occur. A key strategic advantage of the City's insurance and risk management program is that every claim is processed with a customer service attitude. After a claim or incident is received, City staff quickly contact (within 24 hours) the claimant, to advise them that the City has received the claim and to ensure them that the claim is being investigated by the City's Insurance Adjuster. The City's Insurance Adjuster has many years of local municipal insurance experience which the City uses as an asset to investigate and settle claims. The City's Insurance Adjuster is familiar with the City and its municipal infrastructure and this experience has assisted in reducing claims cost due to his knowledge and or his familiarity with the City, its policies and procedures. The Insurance Adjuster's service standard is to make contact with the claimant within two business days. Sometimes, the claimants may not completely agree with the outcome and City staff may review the claim and/or to intervene to work towards a solution. The strategic advantage of the "local service delivery model" is that claims are handled quickly professionally and with a customer service perspective. In addition, the current "local" service delivery model allows City staff "hands on" participation in the claims process to better serve claimants who, in the majority of situations are City residents. Attachments: 1. Program Summary of Insurance Coverage Prepared By: Approved / Endorsed By: Stan Karwowski Gillis A. Paterson Manager, Finance & Taxation Director, Corporate Services & Treasurer SK:vw I Report CS 21-10 June 14, 2010 Subject: 2010/2011 Property and Liability Insurance Renewal Page 4 94 Recommended for the consideration of Pickering ' y Coun 'I Tony Prevedel, P.Eng. Chief Administrative Officer ATTACHMENT #-j-T0 REPORT #4a.a I r F 95 Cowan Frank Cowan Company 2010 MUNICIPAL INSURANCE PROGRAM CORPORATION OF THE CITY OF PICKERING Prepared by: Mr. Viano Ciaglia, C.I.P., C.R.M. Regional Manager Frank Cowan Company Limited 4 Cowan Street East Princeton, ON NOJ 1 VO This is a summary. Nothing herein alters the terms, conditions and viano.ciaglia@frankcowan.com exclusions contained in the printed insurance contract(s). 1-800-265-4000 REF: 60275/sh April 20, 2010 T/519-458-4331 F/519-458-4366 96 About Frank Cowan Company Leader in Public Entity Insurance Frank Cowan Company has grown to become one of Canada's leading providers of Insurance and Risk Management solutions for public entities. For over 80 years Frank Cowan Company has been a pioneer in the development and implementation of innovative insurance programs for the Municipal, Health Care, Education and Social Services sectors. Frank Cowan Company is affiliated with Cowan Insurance Group, The Guarantee Company of North America and Millennium CreditRisk Management through common ownership under Princeton Holdings Limited. Cowan Insurance Group provides insurance and risk management products and services to businesses, organizations, and individuals. Cowan Insurance Group is one of the largest privately owned business and personal insurance brokerage operations in Canada, and provides retirement and group benefits assistance to employers, as well as financial advice on life insurance, disability management, critical illness and long term care. The Guarantee Company of North America specializes in commercial and contract surety, fidelity, directors' and officers' liability and personal lines insurance including it's high value Guarantee Gold coverage. Millennium CreditRisk Management specializes in trade credit and political risk insurance. Outstanding Service We are more than just an insurance provider. We are a trusted partner in providing insurance and risk management services. We work with our clients and their affiliated associations to develop individualized risk management and claims management programs, advise on procedural or regulatory change as well as an array of other. services. Our mandate is clear ...help our clients reduce risk. Clients also benefit from our affiliations with lawyers, adjusters and others that specialize in the public sector. The combination of our service -network and internal expertise. allow us to continually develop innovative, cost-effective solutions and services tailored to the risks of individual clients. Financial Stability Frank Cowan Company, as an Underwriting Agent, represents a select group of financially strong Canadian based insurers that have made a long-term commitment to public sector risk. Our business model creates a very stable market for your insurance requirements, and gives our customers the comfort of knowing that they will always be protected by long-term, high-quality continuous service. Frank Cowan Company -2- 97 Cowan Service Solutions More Than Just Insurance Cowan offers a full range of services to assist in the management and reduction of risk, which is equally vital to our clients. Risk Management, Claims Management and our other value-added services were initiated by Cowan and have evolved throughout our history. Most often we can provide the services listed below at no additional cost to the client. Liability Hazard Assessment tip- Our Municipal clients are involved in a wide range of diverse activities to serve the public. These lead to various potential public liability situations. We work with our clients to provide specific hazard identification and analysis of these exposures. Building Valuations ACP We conduct periodic detailed inspections of property and buildings with formal reports, replacement cost valuations for insurance purposes, photographic inventory with recommendations to correct potential hazards. Seminars & Staff Training 40. We deliver a wide range of presentations to our Municipal clients on an ongoing basis that provide continuous education for our clients. Risk Audits a* We help our clients audit systems and processes to reduce potential losses within their operations and specifically focus on documentation, reporting and consistency with accepted standards and practices. Contractual Review A-0- Our experience contributes insight on the suitability and effectiveness of liability transfers and appropriate insurance and indemnity clauses within' your various contracts. Publications, Bulletins & Because constant two-way communication is important, Information Packages our website is available on a 24 hour basis for access to information on our Services, Publications and programs. Anyone in your organization can visit us at www.frankeowan.com to keep informed of common issues and solutions. Claims Management rt~- We handle your claim fairly and efficiently. Claims that are made against you are handled with the consistent strategy of defending or discouraging those claims that are without merit, or reaching a reasonable settlement on claims that do merit payment. Detailed claims progress reports are produced and can be organized by type of loss or department to suit your needs. Frank Cowan Company -3- 98 MARKETPLACE CONDITIONS The Canadian Property & Casualty Insurance marketplace continues to witness consolidation yet remains one of the most saturated insurance markets in the world, with over. 200 players. However, amongst the majority of the insurers operating in Canada, specialization continues to be the trend. Only a limited number of insurers are willing to risk their capital on high liability exposure classes such as Municipal, Healthcare, Education and Social Services sectors. While the last few years have brought some stability for the general Property & Casualty market, specialty classes continue to present unique Underwriting and Claims Management challenges. The Public Entity sector continues to experience significant losses. Some of these losses have been driven. by landmark cases, but overall, frequency. and severityof claims have increased dramatically. As well, the overall cost of claims, which takes into account escalating court awards, claims administration expenses and the ever-increasing replacement costs of assets, has continued to rise. Insurers and Reinsurers are extremely cautious about public entity liability exposures due in part to the complexity of services provided by public sector organizations. A number of insurers have either imposed coverage restrictions or withdrawn from the public entity market entirely. Frank Cowan Company, a specialist in public entity insurance, continues to receive the support and capacity of our insurers. We continue to provide long-term stability for the insurance and risk management needs of our public entity clientele. Our policies and services continue to evolve in response to the exposures faced by our clients. We are confident that our product, service and pricing will reflect our continued commitment to this sector. Frank Cowan Company -4- 99 COMPREHENSIVE INSURANCE PROGRAM 2010-2011 Frank Cowan Company -5- 100 PROGRAM SUMMARY SUMMARY OF COVERAGES LIMITS/AMOUNTS . PART 'A - CASUALTY Municipal Liability Limit of Protection per occurrence $ 25,000,000. (No Annual Aggregate Limit) Third Party Claims Deductible including expenses $ 50,000. Sewer Backup per Claimant Deductible including expenses $ 50,000.. Wrongful Dismissal (legal expense) Limit per claim $ 250,000. Annual Aggregate Limit $ 250,000. Deductible $ 5,000. Voluntary Compensation Included Municipal Marina Liability Included Malpractice Liability Included Errors and Omissions (Claims Made Form) Limit of Protection per claim $ 25,000,000. (No Annual Aggregate Limit) Deductible including expenses $ 50,000. Non-Owned Automobile Limit of Protection per occurrence $ 25,000,000. (No Annual Aggregate Limit) Legal Liability for Non-Owned Vehicles (S.E.F. No. 94) Third Party Liability Deductible $ 10,000. All Perils Physical Damage Limit $ 500,000. Deductible $ 500. Environmental Liability (Claims Made Form) Liability of Protection per claim $ 1,000,000. Annual Aggregate Limit $ 2,000,000. Self-Insured Retention $ 50,000. Frank Cowan Company -6- 101 PROGRAM SUMMARY SUMMARY OF COVERAGES LIMITS/AMOUNTS Comprehensive Crime Commercial Blanket Bond $ 2,000,000. Money Orders and Counterfeit Paper Currency Included Depositors' Forgery Included Audit Expense $ 100,000. Money and Securities - Blanket any Location $ 100,000.. Excess on Securities $ 100,000. Computer Fraud or Funds Transfer Fraud $ 200,000. Councillors' Accident One City Mayor/Regional Councillor, Three Regional Councillors (Durham)/ City Councillor and Three City Councillors and Nine Library Board Members Accidental Death & Dismemberment $ 10000. (No Annual Aggregate Limit and No Deductible) Weekly Income - Total Disability $ 500. Weekly Income - Partial. Disability $ 250. Twenty-Four Hour a Day Coverage applies. Municipal Conflict of Interest Percentage of Legal Fees and Expenses. 100% Maximum Limit of Reimbursement per claim $ 100,000. (No Annual Aggregate Limit) Legal Expense Percentage of Legal Fees and Expenses 100% Maximum Limit of Reimbursement per claim $ 100,000. Annual Aggregate Limit. $ 250,000. Frank Cowan Company -7- 102 PROGRAM SUMMARY SUMMARY OF COVERAGES LIMITS/AMOUNTS PART B - PROPERTY Property Insurance (including Data Processing Insurance) Total Sum Insured * $ 174,421,800. Valuable Papers $ 500,000. Accounts Receivable $ 500,000. Extra Expense (other than Data Processing) $ 1,000,000. Business Interruption Rent or Rental Value Form $ 500,000. Gross Revenue Form $ 2,584,500. Checkroom Liability $ 5,000. Data Processing System and Equipment $ 1,440,800. Media $ 47,000. Extra Expense $ 50,000., i Fine Arts Form $ 2,000. Exhibition Form As Per Lists Provided Deductible $ 10,000. Exceptions: Fine Arts Form and Exhibition Form $ 2,500. - Checkroom Liability $ 2,500. - Fire Training Trailer $ 2,500. Peril of Flood 25,000. - Peril of Earthquake 3% or Minimum $ 100,000.. *Note: Please refer to the insurance contract for an itemized list of assets containing specific limits of insurance or that are excluded from the policy. Frank Cowan Company -8- 103: PROGRAM SUMMARY SUMMARY OF COVERAGES LIMITS/AMOUNTS Equipment Breakdown Limit per Accident - Comprehensive: - Steam Engine At Greenwood Museum, 2365 6`h Concession, Greenwood, ON $ 10,000. All Other Locations $ 50,000,000. Extra Expense $ 500,000. Spoilage - Goods under Refrigeration $ 5000. Business Interruption - Loss of Profits (Gross Revenue) - All Buildings & Facilities, Greenwood Museum, Pickering, Ontario $ 94,500.. Don Beer Arena, 940 Dillingham Road, Pickering, Ontario $ 600,000. . - Dunbarton.Indoor Pool, 655 Sheppard Ave. E., Pickering, Ontario $ 100,000. = Pickering Recreation Complex, 1867 Valley Farm Road, Pickering, Ontario $ 1,790,000. Expediting Expenses Included By-Law Cover Included Errors and Omissions $ 100,000. Hazardous Substance (including PCB Contamination) $ 500,000. Ammonia Contamination $ 500,000. Water Damage $ 500,000. Professional Fees $ 500,000. Data Restoration $ 25,000. Denial of Access 2 Weeks Deductible $ 10,000.. Frank Cowan Company -9- j ' 104 PROGRAM SUMMARY SUMMARY OF COVERAGES LIMITS/AMOUNTS PART 'C - AUTOMOIR LE Automobile Fleet Liability Limit $ 25,000,000. Deductibles Section 3 (Third Party) $ 10,000. Section 6 (Direct Compensation) $ 10,000. No Physical Damage applies to: - 1951 Antique Pumper (Parades) All Perils $ 10,000. Garage Automobile Third Party Liability Limit $ 3,000,000. Customer Vehicles Collision Limit $ 200,000. Deductible $ 500. Specified Perils Limit $ 300,000. Deductible $ 500. Frank Cowan Company -10- Cis, Report To Executive Meeting ~T1~T P1CKERIN Report Number: CS. 22-10 Date: June 14, 2010) 05 From: Gillis A. Paterson Director, Corporate Services & Treasurer Subject: Development Charges - Annual Indexing Recommendation: 1. That Report CS 22-10 of the Director, Corporate Services & Treasurer be received; 2. That effective July 1, 2010 as provided for in Section 16 of By-law 6978/09, the Development Charges referred to in Sections 6 and 11 of that By-law be decreased by 2.4 percent being the reduction in the construction price statistics for the Non-residential Building Construction Price Index as reported by Statistics Canada for the year ended March 31, 2010; and, 3. That the appropriate officials of the City of Pickering be given authority to give effect thereto. Executive Summary: The Development Charges Act 1997 and Ontario Regulation 82198 and By-law 6978/09 provided for an annual'adjustment to keep development charges revenues current with construction costs, normally an increase based on the Non-residential Building Construction Price Index (NRB CPI). However, the annual NRB CPI for the current indexing year was decreased by 2.4% resulting to a reduction in development charges rates if adopted. To be consistent with the annual application of indexing, the current decreased in NRB CPI should be reflected in the City's development charges rates as well. Adoption of the recommendations of this report will .put into eff ect the lower rates for the period July 1, 2010 to June 30, 2011. Financial Implications: Normally, increasing the development charges based.on an increase in construction price index (CPI) will assist in keeping the revenues generated in line with current costs. The current decrease in CPI was mainly a result of competitive pricing and continued weakness in the non-residential building construction market. The residential development charges for single and semi detached units will decrease by approximately $233, other residential charges will decrease similarly and the commercial/industrial charge will decrease by approximately $0.09 per square foot or $1.00 per square metre. Report CS 22-10 Date: June 14, 2010 Subject: Development Charges- Annual Indexing Page 2 106 Sustainability Implications: This decrease is necessary to reflect the competitive pricing and continued weakness in the building construction market and to ensure that Pickering remains attractive to the development industry. Background: As provided for in the Ontario Reg. 82198 and in the City's By-law 6978/09, each year the development charges charged by the City for all types of development may be indexed without amending the By-law. In the past, indexing has always been an increase in the development charges to assist in keeping our revenues in line with the costs that development charges go towards. Due to competitive pricing and the continued weakness in the building construction market, adoption of the recommendations will ensure that Pickering remain attractive to the development industry. Also, should the construction price index increase significantly in our next indexing year, we are able to justify the full increase seeing that we have been consistent with the adoption of indexing and reduction based on Non-residential Building Construction Price Index posted by Statistics Canada. Adoption of the recommendations contained in this report will allow that decrease to take effect July 1, 2010. Statistics Canada indicates the decrease in the construction price statistics for the most recently available annual period ending March 31, 2010 of 2.4 percent for Non- residential Building Construction Price Index (an indicator of our costs of construction) for the Toronto area. The change is reflected in the table attached. The 2009 Development Charges (DC) Background Study as approved under Report to Council CS26-09, By-Law 6978/09 Section 11 (1) (b) provided for a phase-in of the non- residential rates for the Roads & Related service category. This rate is to be changed from $2.86 to $2.97 starting from July 1, 2009 based on the Study. With the phase-in, the rate is to be $2.90 effective July 1, 2010 in conjunction with the annual indexing. There was no phase-in of the Stormwater Management service category. Annual indexing is indicated under section 16 (1) of the same By-Law. With the current decrease in NRB CPI, a 2.4% reduction will be calculated on the non-residential rates. The table below provides a comparison between the proposed rates.to be effective July 1, 2010 based on By-Law 6978/09 and the reduction thereafter due to a decrease in NRB CPI: Report CS 22-10 Date: June 14, 2010 Subject: Development Charges- Annual Indexing Page 3 107 Non Residential-Service By-Law 6978/09 Section By-Law 6978109 Section Category 11 (1) (b). To be effective 16 (1). Indexing July 1, 2010 (reduction) to be effective Jul 1, 2010 Per S q. Foot Per S q. Foot Related $2.97 $2.90 Roads & .Stormwater Management 0.90 0.88 Total Per S q. Foot $3.87 $3.78 Per S q. Metre Per S q. Metre Roads & Related $31.97 $31.20 Stormwater Management 9.68 9.45 Total Per S q. Metre $41.65 $40.65 The City's obligations under Recommendation 9 contained in the same report CS 26-09 (2009 DC Background Study) to Council in the form of contribution to the non- development charge share of the costs (Development Charges - City's Share Reserve) should continue to be increased despite the current decrease in CPI for prudent financial planning. The 2010 Budget contained $480,000 of contribution for this purpose and a budgeted draw of $568,947 thus, decreasing the 2009 year-end balance to $1,857,269. Significant contributions in 2011 and after are necessary in order to bring the fund balance to an acceptable level. The Commercial/Industrial Development Charge remains at the Council approved level of approximately 85 percent of the justified cost recovery amount, meaning the City has to contribute to the balance. At this juncture, the Regional Municipality of Durham (Region) has not finalized the annual indexing of the development charges the City collects on their behalf. The City will continue to use rates prescribed as effective from July 1, 2009 until further notice from the Region. The Education Development Charges will remain unchanged for the current year. The main changes are to update the amounts to reflect recommendations contained in this report. Upon receiving the final figures from the Region for the portion of the development charges the City collects on their behalf in mid June, the brochure will be revised and distributed. The brochure will be posted on the City's website and made available at various counters throughout the Civic Complex. Attachments: 1. Current and Proposed Development Charges 2010/2011 Report CS 22-10 Date: June 14, 2010 Subject: Development Charges- Annual Indexing Page 4 108 Prepared By: Approved / Endorsed By: Caryn Kong Gillis A. Paterson Senior Financial Analyst- Director, Corporate Services & Treasurer Capital & Debt Management GAP:ckk Copy: Chief Administrative Officer Chief Building Official Recommended for the consideration of Pickering City Council I V~Olz Tony P vedel, P. ng. Chief Administrative Officer ATTACHMENT#_L_TO REPORT #_('Ss2a-10 CITY OF PICKERING 109 CURRENT RESIDENTIAL DEVELOPMENT CHARGES Effective August 1, 2009 PER DWELLING UNIT Service Single & Apt. Two Other Category Semi Apt. One Bdrm Dwelling Detached Bdrm & Larger Units & Smaller $ Growth Studies $87 $35 $47 $62 Fire Protection 259 103 140 186 Transportation- Roads & Related 4,516 1,793 2,445 3,241 Operations 278 110 150 200 Stormwater Management 1,365 542 739 980 Parks & Recreation- Parkland Dev & Trails 424 168 229 304 Recreation Facilities 2,249 893 1,217 1,614 Library 516 205 279 370 TOTAL $9,694 $3,849 $5,246 $6,957 CURRENT NON-RESIDENTIAL DEVELOPMENT CHARGES Effective August 1, 2009 Service Per Sq. Foot Per Sq. Metre Category Transportation-Roads & Related $2.86 $30.78 Stormwater Management 0.90 9.69 Total $3.76 $40.47 110 PROPOSED RESIDENTIAL DEVELOPMENT CHARGES Effective July 1, 2010 PER DWELLING UNIT Service Single & Apt. Two Other Category Semi Apt. One Bdrm Dwelling Detached Bdrm & Larger Units & Smaller Growth Studies $85 34 46 61 Fire Protection 253 101 137 182 Transportation- Roads & Related 4,407 1,750 2,386 3,163 Operations 271 107 146 195 Stormwater Management 1,332 529 721 956 Parks & Recreation- Parkland Dev & Trails 414 164 224 297 Recreation Facilities 2,195 872 1,188 1,575 Libra 504 200 272 361 TOTAL $9,461 $3,757 $5,120 $6,790 PROPOSED NON-RESIDENTIAL DEVELOPMENT CHARGES Effective July 1, 2010 Service Per Sq. Foot Per Sq. Metre Category Transportation-Roads & $2.90 $31.20 Related Stormwater Management 0.88 9.45 Total $3.78 $40.65 Ci Report To Executive Committee PICKERIN Report Number: CS 24-10 Date: June 14, 2010 1 1 1 From: Gillis A. Paterson Director, Corporate Services & Treasurer Subject: 2010 Final Tax Due Dates for Commercial, Industrial and Multi-Residential Realty Tax Classes Recommendation: 1. That Report CS 24-10 of the Director, Corporate Services & Treasurer be received; 2. That the Director, Corporate Services & Treasurer be authorized to issue the final 2010 Tax Bills for Commercial, Industrial and Multi-residential properties with a due date of October 15th, 2010; 3. That the Director, Corporate Services & Treasurer be authorized to make any changes or undertake any actions necessary, including altering the due date, in order to ensure the tax billing process is completed and in order to comply with Provincial Regulations; 4. That the draft By-law attached to this report be enacted; and, 5. That the appropriate City of Pickering officials be authorized to take the necessary actions to give effect hereto. Executive Summary: Adoption of the above recommendations and passing the attached By-law provides for the final 2010 tax billing for non-residential tax classes (commercial, industrial and multi-residential). During the last few years, the City has billed the final non-residential taxes separately mainly due to the additional steps that are required as a result of the capping legislation. Financial Implications: The attached By-law is for the final billing of 2010 property taxes for commercial, industrial and multi-residential properties. This billing of final property taxes will raise approximately $20.8 million for the City, Durham Region and School Boards. Tax bills for the Residential tax classes were mailed on May 25, 2010 with due dates of June 28th and September 28 tH Report CS 24-10 June 14, 2010 Subject: 2010 Final Tax Due Dates for Commercial, Industrial and Multi- Page 2 Residential Realty Tax Classes Sustainability Implications: Passing the attached By-law will allow the City to obtain the funds required to maintain its financial sustainability objectives as provided for in the 2010 Current Budget: It also provides for the raising of property taxes for the Region of Durham and the school boards. Background: In 1998, the Province introduced Current Value Assessment or CVA on a Province wide basis to replace the old patch quilt system (throughout the Province) where each municipality used a different base year for assessment purposes. The end result of CVA was the fact that some businesses were experiencing property tax increases well above 100%. To reduce the property tax increases, the Province introduced capping legislation in 1998. The City of Pickering will soon be in a position to issue the final 2010 property tax bills in accordance with the capping provisions of Bill 140, Continued Protection for Property Taxpayers Act, passed by the Province on December 4, 2000 and implemented through various Regulations. (Bill 140 replaced the original capping legislation of Bill 79 introduced and approved in 1998). This legislation was put in place to limit assessment reform related increases to 5% per year on commercial, industrial and multi-residential properties. Under this legislation, property owners facing increases due to property assessment reform had their increases "capped" (reduced). Conversely, those properties experiencing decreases were limited to that permitted under the legislation. This meant that taxes have to be "clawed back" from those experiencing decreases to fund the loss of revenue resulting from the capped increases. The funding of the capping protection is "paid for" on a Region wide .basis. The Region of Durham acts like a banker in this process. In other words, the total cost of the capping protection for example, the commercial tax class is paid for by the other commercial properties throughout the Region by having a portion of their related property tax decrease withheld (clawed back). As part of the Region wide process, the City of Pickering uses a Provincial database program called "Online Property Tax Analysis" (OPTA) to verify non-residential assessment data. Every municipality within Durham Region uses the OPTA system. Assessment Review Board decisions and Minutes of Settlement decisions have been incorporated into the capping calculations up to the "freeze" date of May 27, 2010. Bill 83 - Legislative Changes to Capping Legislation In 2004, the Province passed Bill 83 (An Act to Implement Budget Measures), which provided for various optional tax tools that could be used for the non-residential tax class. In a two tier municipal government structure, the upper tier has the option to select all or some of the tax tools. These tax tools consisted of the following options: Report CS 24-10 June 14, 2010 Subject: 2010 Final Tax Due Dates for Commercial, Industrial and Multi- Page 3 Residential Realty Tax Classes 113 1. The assessment related increase cap was increased from 5% to 10%. 2. Minimum annual threshold increase of 5% of total CVA property taxation. 3. A "billing" threshold be established whereby a property who is within the $250 of its CVA based taxation would be required to pay its full CVA property taxes. 4. The minimum CVA for new construction properties was 60% in 2006. For 2010, these properties (new construction) are now fully phased-in. The purpose of these tax tools is to accelerate the movement of non-residential taxpayers to full CVA taxes (where taxes are calculated using Current Value Assessment multiplied by the corresponding tax rate). The Region of Durham adopted all of the tax tools referenced above. Under the Municipal Act, Subsection 343 (1), the tax bills have to be mailed 21 days before the due date. Taxation staff are cognizant of this legislative requirement and design the tax billing process to meet this requirement. However, there have been a few requests from the taxpayers for a longer period of time ( beyond the 21 day period). If the report is approved at the Executive Committee level, the outside printer will be given direction to start printing and mailing the tax bills and therefore, provide a longer notification period that in-turn is meeting some of the customers' requests. In 2010, the City of Pickering issued an interim tax bill to all property owners in all tax classes with two instalment dates of February 26th and April 28th. The proposed final instalment due date of October 15th for all properties in the Non-Residential tax classes, provides these tax classes with some additional time to pay their tax bill. It is anticipated that the tax bills will be mailed by the end of July. Table One below illustrates the final billing due dates for the non-residential tax classes from 2005 to 2010. Table One Non-Residential Final Billing Dates Year Number of Date Instalments 2005. One October 14, 2005 2006 One October 13, 2006 2007 One October 12, 2007 2008 One October 15, 2008 2009 One October 19, 2009 2010 One October 15, 2010 Report CS 24-10 June 14, 2010 Subject: 2010 Final Tax Due Dates for Commercial, Industrial and Multi- Page 4 Residential Realty Tax Classes 114 As Table One indicates, the proposed 2010 final due date closely follows the pattern established since.2005. The one instalment due date will assist the City in managing its cash flow. Attachments: 1. By-law to Establish the 2010 Final Tax Instalments and Due Date for the Commercial, Industrial and Multi-Residential Tax Classes. Prepared By, Approved/Endorsed By: Tracy Par ®rn Gillis A. Paterson Acting, Co ator Taxation Services Director, Corporate Services & Treasurer GAP:tp Copy: Chief Administrative Officer Recommended for the consideration of Picked City Council Tony Prevedel, P.Eng. Chief Administrative Officer ATTACHMENT #~TO REPORT #_L4:~ 1-10 THE CORPORATION OF THE CITY OF PICKERING 115 BY-LAW NO. XXXX/10 Being a By-law of The Corporation of the City of Pickering to Establish the 2010 Final Property Taxes and Due Date for the Commercial, Industrial and Multi-Residential Tax Classes WHEREAS it is necessary for the Council of The Corporation of the City of Pickering, pursuant to the Municipal Act, 2001, S.O. 2001, c.25 as amended, `to pass a By-law to levy a separate tax rate on the assessment in each property class; and, WHEREAS the property classes have been prescribed by the Minister of Finance under the Assessment Act, R.S.O. 1990, ch.A.31, as amended and its Regulations; and, WHEREAS it is necessary for the Council of The Corporation of the City of Pickering, pursuant to the Municipal Act, 2001, S.O., 2001, c.25, to levy on the whole rateable property according to the last revised assessment roll for The Corporation of the City of Pickering; and, WHEREAS the Regional Municipality of Durham has passed By-law No. 12-2010 to establish tax ratios and By-law No. 10-2010 to adopt estimates of all sums required by The Regional Municipality of Durham for the purposes of the Durham Region Transit Commission and By-law No. 11-2010 to set and levy rates of taxation for Regional Solid Waste Management and By-law No. 09-2010 to set and levy rates of taxation for Regional General Purposes and set tax rates on Area Municipalities; and, WHEREAS it is necessary for the Council of The Corporation of the City of Pickering pursuant to the Municipal Act, to levy on the whole rateable property according to the last revised assessment roll for The Corporation of the City of Pickering for the current year; and, WHEREAS an interim levy was made by the Council of The Corporation of the City of Pickering (pursuant to By-law No. 7014/10) before the adoption of the estimates for the current year; and, WHEREAS sub section 342 (2) of the Municipal Act, 2001, S.O. 2001, c.25 as amended, permits the issuance of separate tax bills for separate classes. of real property for year 2010. NOW THEREFORE THE COUNCIL OF THE CORPORATION OF THE CITY OF PICKERING HEREBY ENACTS AS FOLLOWS: 1. For the year 2010, The Corporation of the City of Pickering (the "City") shall levy upon all Property Classes (Residential, Commercial, Industrial and Multi- residential) as set out in By-law No. 7043/10 of Schedule A, the rates of taxation, for the City of Pickering, the Region of Durham and for Education purposes on the current value assessment. By-law No. Page 2 i 16 2. Where applicable, taxes shall be adjusted in accordance with Bill 140, as amended and its Regulations. 3. The levy provided for shall be reduced by the amount of the interim levy for 2010. 4. The 2010 final tax calculations for the industrial, commercial and multi-residential realty tax classes is based on a freeze date of May 27, 2010. 5. The 2010 taxes owed for the commercial, industrial and multi-residential assessed properties shall be due in one instalment on October 15, 2010, or as adjusted by the Treasurer. 6. Except in the case of taxes payable under Section 33 and 34 of the Assessment Act, R.S.O. 1990, c.A31„ as amended, the percentage charge as a penalty for non-payment of taxes and monies payable as taxes shall be added to every tax or assessment; rent or rate of any installment or part thereof remaining unpaid on the first day of default and on the first day of each calendar month thereafter in which such default continues pursuant to subsections 345 (1), (2) and (3) of the Municipal Act 2001, S.O. c.25 as amended. The Treasurer shall collect by distress or otherwise under the provisions of the applicable statutes all such taxes, assessments, rents, rates or installments or parts thereof as shall not have been paid on or before the several dates named as aforesaid, together with the said percentage charges as they are incurred pursuant to sections 349, 350 and 351 of the Municipal Act 2001, S. 0. c.25 as amended. 7. If any section or portion of this By-law is found by a court of competent jurisdiction to be invalid, it is the intent of Council for The Corporation of the City of Pickering that all remaining sections and portions of this By-law continue in force and effect. 8. Taxes shall be payable to the Treasurer, City of Pickering. 9. This By-law comes into force on the date of its final passing. BY-LAW read a first, second and third time and finally passed this 21 St day of June 2010. David Ryan, Mayor Debbie Shields, City Clerk Report To Executive Committee PICKERING Report Number: CS 25-10 Date: June 14, 2010 117 From: Gillis A. Paterson Director, Corporate Services & Treasurer Subject: Section 357/358 of the Municipal Act- Adjustment to Taxes Recommendation: 1. That Report CS 25-10 of the Director, Corporate Services & Treasurer be received; 2. That the write-offs of taxes as provided under Section 357/358 of the Municipal Act, 2001 be approved; and, 3. That the appropriate officials of the City of Pickering be authorized to take the necessary action to give effect hereto. Executive Summary: Not Applicable Financial Implications: If approved, the write-off of taxes as contained in this report represents a gross cost of $20,631.52 with a net cost to the City of approximately $3,956.58 the balance being charged back to the Region of Durham and the School Boards. Pickering's share of the costs will be charged to the 2010 Current Budget allocation under General Government - Provision for Uncollectable Taxes. The 2010 budget provision is $275,185 and $73,790.19 including the above has been spent to date. Sustainability Implications: This report does not contain any sustainability implications. Background: The Municipal Act provides the Treasurer with various tax tools regarding the administration and collection of property taxes. Under the provisions of Section 357 of the Municipal Act, reduction of taxes due to fire, demolition, exemption, assessment change or error is allowed for the current year only. Section 358 of the Municipal Act, allows for the reduction of taxes due to assessment error and this section can be applied to property taxes for the two preceding years. Change in realty tax class can translate into lower property taxes if the property went from industrial to commercial tax class or commercial to residential tax class. Report CS 25-10 Date: June 14, 2010 Subject: Section 357/358 of the Municipal Act - Adjustment to Taxes Page 2 Demolitions, and other physical changes to a property, such as removing or filling in a swimming pool, or damage caused by fire result in a reduction in assessment and taxes. One property reflects "no recommendation" in their property taxes which is shown as having zeros in the corresponding columns. In general, "no recommendation" means that either a reduction in assessment was not warranted or further property tax reduction was not necessary as per the Assessment Act. If the property owner does not agree with MPAC's recommendation, they. have the right to appeal to the Assessment Review Board under subsection 7 of the Municipal Act, 2001. Attachments: 1. Section 357/358 Adjustment to Taxes - Taxable Prepared By: Approved / Endorsed By: RS- Tracy Parso s Gillis A. Paterson Acting, Coordinator Taxation Services Director, Corporate Services & Treasurer GAP:tp Cop : Chief Administrative Officer Recommended for the consideration of Pickering City uncil Tony Prevedel, P.Eng. Chief Administrative Officer ATTACHMENT#--LTO REPORT #!Lo2S--l M V' O O N co I- N Ir cl m ~ v N 1 1 9 J r v o w y r Q Z~ M~r c~ F to m oc m O - N Z O O a0 O ('7 a0 N M O r n V O A tD Co 1~ N N NOD O (00 V m- Q N CO V co co O W Z (D c a 0 0 M -It N N to Oi Vi O ri co N N co O ON an 7 -It D O W ~ O 0 O O 7 0 0 a N 0 M (h q 0 m fM N r M co O O u) O N Ifni r V N c \i U cl) . M IT C O o I- O N W o 0 o o r o L r) m OOM.Mco mm' r- OO O O O N V Z hr- ai of o co h J O O V J 0 0 0 0 0 0 0 O 0 0 0 C. 0 0 0 R' 0 0 0 0 00 0 d' I- ao aD m m m o Q O O O o c) O _ ~y] 0 0 0 0 0 0 O } N N N N N N N H W Q H O o U 0 Z Z W rn W O o a) c U ~ a°v a as a z LLJ CD CD a a o 0 7 0 Q m w C C F N Of 0) c c N U h U U "O 'O co _ M N c,4 4x, ax) O co r VlOA Z O O io a5 u) 0 N N a Q o as as -o o y y o 3 3 U co u) W N (D 4) N o 0 0 o a v) w U) Q Q m m o m m E w o -2- m o b o U U O U O U oa. L ~ a~ a~ o o a~ a~ U U U o U of w mm m4 o O momsooo O oS~C2 to o ovv `0m 0 Q N N a1 a) w -D N W N N N y w w w O O N N O N O (D(9UU(7Of 0 M N N f6 M o) 7 3 0 0. 0 ~ N N ~ m (6 J E E U p O L L C C U .a5. a E r aci aci c as - Y Y O ~ O W co C C L m Q m Y ~mEE.~o z ro o - QQz°Z0. CL m m m m o 0 0 CL o 0 0 0 Q u>comvu3w"r V TLD un r.--N Report to Executive Committee PICKERING Report Number: CS 26-10 120 Date: June 14, 2010 From: Gillis A. Paterson Director, Corporate Services & Treasurer Subject: Tender T-3-2010 Supply and Delivery of HP & Cisco Equipment Recommendations: 1. That Report CS 26-10 regarding The Supply and Delivery of HP & Cisco Equipment be received; 2. That Tender T-3-2010 submitted by GENX Solutions (Section 1, Model 2) at a cost of $25,000.78 (HST included) and a net cost of $22,513.97 be accepted; 3. That Tender T-3-2010 submitted by Conpute (Section 2) at a cost of $20,253.85 (HST included) and a net cost of $18,239.22 be accepted; 4. That Tender T-3-2010 submitted by Konnecud Tech (Section 4) at a cost of $7,886.29 (HST included) and a net cost of $7,101.85 be accepted; 5. That Tender T-3-2010 submitted by MIAD Information Systems (Section 3, Model 2) at a cost of $48,423.44 (HST included) and a net cost of $43,606.81 be accepted; 6. That Tender T-3-2010 submitted by MIAD Information Systems (Section 3, Model 4) at a cost of $3,582.37 (HST included) and a net cost of $3,226.04 be accepted; 7. That Tender T-3-2010 submitted by MIAD Information Systems (Section 3, Laptop and Docking Station) at a cost of $9,862.18 (HST included) and a net cost of $8,881.19 be accepted; 8. That the total gross project cost of $115,008.91 (HST included) and the total net project cost of $103,569.08 be approved; 9. That Council authorizes the Director, Corporate Services & Treasurer to finance the project from the approved Information Technology 2010 Capital Budget from property taxes; 10. That the appropriate City of Pickering officials be authorized to take necessary action to give effect thereto. Report CS 26-10 June 14, 2010 Subject: Tender T-3-2010 12 Supply and Delivery of HP & Cisco Equipment Page 2 Executive Summary: As part of the 2010 Information Technology Capital Budget, the Supply and Delivery of HP and Cisco Equipment was approved as capital projects. Excepting three lower-end laptops, the hardware is to be considered replacements for existing equipment at the end of their life cycles. Tender T-3-2010 was issued on Thursday, April 22, 2010 and closed on Wednesday, May 12, 2010 with seven (7) bidders responding. The total gross project cost is estimated to be $115,008.91 and an estimated total net project cost $103,569.08 (net of HST rebate). The City's purchasing policy requires staff to report to Council on results of the tender and financing in order to proceed with this project in a timely manner. Financial Implications: 1. TENDER AMOUNT T-3-2010 $101,777.80 HST 13,231.11 Sub-Total $115,008.91 HST Rebate (11,439.83) Total $103,569.08 2. APPROVED SOURCE OF FUNDS Information Technology Capital Budget Project Code Description of projects Budget Required 5206.1002.6175 PCs $48,000 $46,832.85 5206.1003.6175 Laptop 2,900 1,725.43 5206.1004.6175 Laptop 2,900 1,725.43 5206.1005.6175 Laptop 2,900 1,555.29 5206.1010.6177 Servers 20,000 22,513.97 5206.1013.6177 VMware 18,000 12,110.26 5206.1020.6177 SAN Server Licenses 6,000 6,128.96 5206.1025.6190 Laptops 7,350 3,875.04 5206.1032.6177 Switches 12,000 7,101.85 Total $120,050 $103,569.08 Source of Funds-Property Taxes 122 Report CS 26-10 June 14, 2010 Subject: Tender T-3-2010 Supply and Delivery of HP & Cisco Equipment Page 3 3. ESTIMATED PROJECT COSTING SUMMARY T-3-2010 $101,777.80 HST (13%) 13,231.11 Total Gross Project Cost 115,008.91 Rebate (11.24%) (11,439.83) Total Net Project Cost $103,569.08 Project Cost under (over) approved funds by $16,480.92 With the new Harmonized Sales Tax (HST) coming into effect starting July 1, 2010, the supply and delivery of HP and Cisco Equipment will be affected by the HST. Under the HST, municipalities will be charged 13% on most goods and services and subject to a rebate of 11.24%, resulting in a net cost of 1.76% to the City. The above table has presented the impact of the HST and the reflected the net cost to the City. Sustainability Implications: This report does not contain any sustainability implications. Background: As part of the normal computer equipment maintenance cycle, Tender T-3-2010 was issued on Thursday, April 22, 2010, and closed on Wednesday, May 12, 2010, with seven (7) bidders responding. The tender was for the supply and delivery of HP and Cisco Equipment. The total gross project cost is estimated to be $115,008.91 for an estimated net cost to the City of $103,569.08 (net of HST rebate). Four suppliers were chosen to provide the replacement equipment, they being GENX Solutions, Conpute, Konnected Tech, and MIAD Information Systems. As a result of lower than expected costs and additional rebates under the HST plan, approximately thirty-four percent more PCs can be purchased than was initially estimated. The original estimate (Section 3, Model 2) was for fifty microtower PCs, but sixty-three are now able to be purchased. The original estimate (Section 3, Model 4) was for three small form factor PCs, but four are now able to be purchased. i Additionally, it is projected that $16,480 will remain unspent once the replacement exercise has been completed. Installation of the equipment will be performed by Information Technology staff. 123 Report CS 26-10 June 14, 2010 Subject: Tender T-3-2010 Supply and Delivery of HP & Cisco Equipment Page 4 Upon careful examination of all tenders and relevant documents received, the Corporate Services Department recommends the acceptance of the low bids submitted by GENX Solutions, Conpute, Konnecud Tech, and MIAD Information Systems for Tender T-3 -2010. The total amount being $115,008.91 (HST included) and that the total net project cost of $103,569.08 be approved. This report has been prepared in conjunction with the Manager, Supply & Services who concurs with the foregoing. Attachments: 1. May 13, 2010, Memorandum re: Tender No.: T-3-2010 2. T-3-2010 - Bid Results Summary Prepared By: Approved / Endorsed By: Jon orms Gillis A. Paterson Ma ager, Information Technology Director, Corporate Services & Treasurer Vera A. Fe emacher C.P.P., CPPO, CPPB, C.P.M., CMM III Manager, Supply & Services Copy: Chief Administrative Officer Recommended for the consideration of Pickering 7i y i 11 Tony e e , P.Eng. Chief Administrative Officer 1 2 4 ATTACHMENT #.L-To REpom-a Call o~ l;~l - I I o ERIi~TG MEMO PICK To: Gil Paterson May 13, 2010 Director, Corporate Services & Treasurer From: Vera. A. Felgemacher Manager, Supply & Services Copy: Manager, Information Technology Subject: Tender No. T-3-2010 Tender for Supply and Delivery of HP & Cisco Equipment Closing: Wednesday, May 12, 2010 File: F-5400-001 Tenders have been received for the above project. Six (6) bidders were invited to participate and an advertisement was posted on the City's website. As the tendering document allows entire sections to be awarded separately, the most cost effective award would be: Section 1: GENX Solutions - (Models 1 & 2) Section 2: Conpute - (Server License and Software) Section 3: MIAD - (Models 1, 2, 3, 4 & Laptop and Docking Station) Section 4: Konnected Tech (Cisco Switches) A copy of the Record of Tenders Opened and Checked used at the public tender opening is attached. Tenders shall be irrevocable for 60 days after the official closing date and time. " Purchasing Procedure No. PUR 010-001, Item 10.03 (r) provides checking tendered unit prices and extensions; unit prices shall govern and extensions will be corrected accordingly, which has been done. Copies of the tenders are attached for your review along with the summary of costs. Include the following items in your Report to Council: 125 (a) without past work experience, if reference information is acceptable; (b) the appropriate account number(s) to which the equipment is to be charged; (c) the budget amount(s) assigned thereto; (d) Treasurer's confirmation of funding; (e) related departmental approvals; (f) any reason(s) why the low bids are not acceptable; and (g) related comments specific to the project. Please do not disclose any information to enquiries except you can direct them to the City's website for the unofficial bid results as read out at the public tender opening. Bidders will be advised of the outcome in due course. If you require further information, please feel free to. contact me or a member of Supply & Services. 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Paterson Director, Corporate Services & Treasurer Subject: SR&R Bay Ridges Ltd. - Request to Defer Payment of Development Charges and Other Related Financial Matters Recommendation: 1. That Report CS 27-10 of the Director, Corporate Services & Treasurer be received; 2. That as provided for under By-law 6978/09: a) the request by SR&R Bay Ridges Ltd. to defer the payment of Development Charges in the amount of approximately $1,069,000 to the earlier of six months after the commencement of foundation construction or when above grade work is commenced, plus interest, be approved; b) the requirements of Section 16(2) be waived so that the Development Charges in effect at the time of payment apply to this project; 3. That the Director, Corporate Services & Treasurer be authorized to pay engineering fees in the amount of $51,793 to be funded from the Invest in Ontario Grant for the City's portion of the reconstruction of Wharf, Douglas and Front Streets; and, 4. That the appropriate officials of the City of Pickering be authorized to give effect thereto. Executive Summary: SR&R Bay Ridges Ltd., in its letter of March 17, 2010 to the Chief Administrative Officer, requested that they be allowed to defer payment of the City portion of their Development Charges (DCs). In addition, the outstanding payment of the City's portion of engineering fees remained to be resolved. On Friday, May 28, 2010, the incoming CAO and the Director, Corporate Services & Treasurer met with Steven Warsh, Development Partner for the Greyrock Group of Companies and Kevin Dwyer, Sernas & Associates, engineering consultant on the SR&R Bay Ridges Project. This was following an internal meeting earlier in the week with all City staff who had previously been involved in this matter. Report CS 27-10 Date: June 14, 2010 Subject: Request by SR&R Bay Ridges Ltd. Page 2 to Defer Payment of Development Charges 133 The Recommendations in this report should bring to a conclusion the ongoing discussions between SR&R and.City Officials regarding: 1. The deferral of development charges for the first apartment tower. 2. The amount of Development Charges payable could be affected by timing of payment under the By-law 6978/09 and Report CS 22-10 whereby, for the first time, they are being reduced. Recommendation 2 clarifies this issue and could provide a benefit to SR&R of approximately $26,000 depending on when the permit is issued. 3. The payment of engineering fees in the amount of $51,793 for the portion of the road and curb work that was undertaken at the request of the City depending on when the permit is issued. Financial Implications: Deferral of the payment of development charges will not result in any loss of interest income, as SR&R will make up the lost interest. By waiving the requirements of By-law 6978/09, Section 16(2), clarity in regards to the Development Charges in effect at the time of payment is provided. Otherwise, under. this Section, uncertainty could result and SR&R could pay approximately $26,000 more as a result of the reduction of Development Charges by 2.4% under Report CS 22-10. Payment of the engineering fees should, in retrospect, have been considered at the time the work was contracted for by SR&R and subsequently agreed upon by the City. The cost of $51,794 will be paid from the Invest in Ontario Grant that was applied in the 2009 Capital Budget to fund the City's share of the construction costs. Sustainability Implications: By approving the Recommendations the City is encouraging and demonstrating its commitment to residential intensification which is aligned with the Provincial Growth Plan. Background: The Council of the City of Pickering adopted the Report CS 26-09 of the Director, Corporate Services & Treasurer on the 2009 Development Charges Study. Included in this Report was By-law No. 6978/09 which included how and when Development Charges are applicable and payable, including the following: "Section 17 Development charges are payable by cash or certified cheque at the rates in effect at the time of payment upon issuance or the building permit(s) or as otherwise may be approved by Council." Report CS 27-10 Date: June 14, 2010 Subject: Request by SR&R Bay Ridges Ltd. Page 3 134 to Defer Payment of Development Charges Many municipal Development Charge By- laws contain such a provision to provide Councils with very limited discretionary powers in this regard. Limited so as to not be taken lightly or abused but a provision nonetheless so that Councils could exercise some discretion when it was in the municipality's interest to do so. Typically, a Council will consider a request to defer the payment of Development Charges when it is in the broader community interest to do so. A deferral might be sought on the basis of serving a particular community goal or objective. The only other recent request for a deferral was from Options for Homes to assist the development company in providing affordable housing. The Council felt that it was in the community's broader interest to provide limited support and agreed to the deferral. In the specific request before us, the Company has requested a deferral to assist them in matching their financial obligations with their funding sources. Construction of a condominium building involves large upfront costs associated with underground parking and building structure, which differs significantly from a low rise residential project. In a condominium tower, funds flow in from purchasers much later in the development process. At the same time, the developer is required to pay DCs to the City, Region and School Board at the time of building permit issuance. SR&R are requesting deferral to the earlier of six months after the commencement of foundation construction or when above grade work commences. The amount requested to be deferred is $1,069,361, being the City's charges only. The Company will have to make separate deferral requests to the Region and the School Board. Total Development Charges payable to the City, Region and School Boards is $3,108,975. From a financial perspective it is. not whether or not such a deferral would cost the City, but rather is it a good business practice to grant this request. SR&R advises that its initial develop interest on this property was for all townhouses. The City, as part of its, and the Province's, intensification goals convinced the developer to provide a mix of townhomes and apartment towers. It is that change in the original development plans that give rise to the developer's request to defer payment of DCs to a time closer to his inflow of funds from the purchasers. We understand that there is also a strong desire on the part of the City to see this development continue towards a successful build out as soon as possible. This typically occurs after above ground construction commences. As a conditional building permit will be issued for the parking garage, the City will retain control on the payment of the deferred DCs through the issuance of the full permit. As for engineering fees in the amount of $51,793, SR&R had not mentioned them at the beginning of discussions on the reconstruction of Wharf, Douglas and Front Streets. However, these costs were incurred in association with the City's portion of the work. At 20% of the total cost of the work they could be considered high, the norm is in the 10- 15% range, however, after extensive review the Region of Durham agreed to pay its share at this rate. The City has paid the $175,000 as approved by Council and additional construction costs incurred by SR&R on the City portion of the work due to Report CS 27-10 Date: June 14, 2010 Subject: Request by SR&R Bay Ridges Ltd. Page 4 to Defer Payment of Development Charges 35 poor soil, conditions and generally poor state of the existing curbs and gutters. Payment of engineering fees associated with these works appears to be appropriate. The Company has assured the CAO and the Treasurer that they anticipate construction commencing within 30 days of Council's approval. They also assured that Parkland dedications will no longer be contested and that there are no other outstanding financial matters. Council's approval of the Recommendations should provide part of the impetus to assist in moving this project forward. Council's approval of the Recommendations is not to be taken as an indication of a new practice or direction of the City regarding these matters. This is a very specific one-time example whereby the City can assist, at no real cost, to moving a development ahead. Any other similar requests will be dealt with on their own merits. It is anticipated that a report will be presented to the new Council in 2011 respecting the introduction of a potential development incentive program. While it is too early to determine if this particular development would meet any yet to be established criteria there does not appear to be any compelling reasons to delay this report until the aforementioned report is presented to Council in early 2011. Attachments: 1. Letter dated March 17, 2010 from SR&R Bay Ridges Ltd. Prepared By: Approved / Endorsed By: Gillis A. Paterson Gillis A. Paterson Director, Corporate Services & Treasurer Director, Corporate Services & Treasurer Copy: Chief Administrative Officer Recommended for the consideration of Pickering Ci Counc' , Tony a ed'al, P. Eng. Chief Administrative Officer 1 36. S R & R Bay Ridges U ORIGINAL 45 7 . To: ATTACHMENT #J.TO REPORT #ZIM- W COPY CORRR City of Pickering March 17, Pickering Civic Centre \ One the Esplanade v +0 Report' J Pickering, Ontario a S Canada L1V 6K7 Attention: Mr. Thomas J. Quinn Chief Administrative Officer Dear Sirs Re: San Francisco by the Bay - Deferral of Development Levies. We are proceeding with development of our San Francisco by the Bay 16 storey residential condominium tower, and have recently filed our building permit application with the City. The project involves substantial underground construction. We are requesting that the City defer the payment of its development charges until six months after the commencement of foundation construction, or until we commence work above grade. This will assist us in proceeding with this important project. City staff has advised that the City's development charges by-law requires payment prior to issuing our foundation permit, unless Council approves otherwise and advises staff accordingly. Please accept this letter as my request, pursuant to section 17 of by-law 6978/09, that Council approve the deferral of the City development charges applicable to our 16 storey tower project. We would request that the charges be payable the earlier of six months after the commencement of foundation construction, or when we commence work above grade, instead of prior to underground construction. Thank you for your consideration of this matter. I would be pleased to provide anything further to assist in Council's approval of this request, as necessary. Yours Truly SR & R Bay Ridges Ltd. Per: Steven Warsh 150 Ferrand Drive, Suite 801, Toronto, ON M3C 3E5 Tnl• d1R_RdQ_Ad7n Fnv• d1E,..d97_ma Report to Executive Committee PICKERING Report Number: CS 28-10 Date: June 14, 2010 137 From: Gillis A. Paterson Director, Corporate Services & Treasurer Subject: Fair Wage Policy Recommendation: That Report CS 28-10 of the Director, Corporate Services & Treasurer regarding Fair Wage Policy be received for information. Executive Summary: At the meeting of Council held on April 19, 2010 direction was given by Council Resolution #65/10 that CORR.29-10 from Terry Dorgan, Business Agent and representative for Central Building Trades requesting the City of Pickering review their Fair Wage Policy By-law in order to update their policy to mirror other municipalities such as Oshawa and Clarington be referred to staff for report prior to Council's summer recess. After a thorough review, consultation with other municipalities and careful consideration, staff have concluded that it is not necessary to implement any additional update to City By-law or policy. This is consistent with the Region of Durham's position on this matter. Financial Implications: There are no financial implications associated with the Recommendation. Sustainability Implications: There are no sustainability implications associated with this report. Background: City's Current Policy and Practices The City's Purchasing Policy begins with a Policy Statement which includes: "That the City provide best value to the taxpayers of the City of Pickering through the provision of open and fair, equitable, accessible and competitive bidding, processes." Report CS 28-10 June 14, 2010 Subject: Fair Wage Policy Page 2 . 1 ~ S2 The City's bidding processes have been open and fair, equitable, accessible and competitive and without concern or conflict from the bidding community for over 30 years. The City's bidding processes continue to attract competition from the marketplace yielding competitive pricing from qualified and skilled contractors and savings to benefit the City and taxpayers. The City is responsible for ensuring that. public funds are spent in a manner which maximizes the value obtained for money spent in an open and competitive environment which ensures all suppliers that wish to do business with the City are treated equally and fairly. General Conditions within the City's tendering documents include the following Fair Wage Clause: "The Provincial Fair Wage regulations shall be applied to this contract and the Contractor shall be prepared to provide such proof as may be necessary to indicate that wages paid to employees are in compliance with the required minimum. " Criteria to select qualified contractors include, but is not limited to, the following: • Rigorous evaluation of contractor's health and safety policy, qualifications, safety record, insurance coverage • Evaluation of experience in work of similar scope and value, and performance reviews • Backing by a recognized surety company The City has a responsibility to hire qualified contractors and ensure compliance with the regulations of the Occupational Health & Safety Act. The City already does its due diligence to ensure only qualified contractors undertake work and comply with all , Federal, Provincial and Municipal statues and regulations. The Ontario Chamber of Commerce (OCC) is a federation of 160 local chambers of commerce and boards of trade in the Province of Ontario, representing an estimated 57,000 businesses of all sizes, in all economic sectors and from every area of the province. The OCC's mandate is to advocate strong policies on issues that affect it's membership through Ontario's business industry. In August, 2007 the OCC provided a response on Fair Wage Policy (FWP) to the Director, Employment and Labour Policy Branch - Ministry of Labour and this communication has been confirmed as the most current. The following statements are contained in the response and bear repeating: "To conclude, the OCC believes the FWP does not effectively provide for a fair return on taxpayer dollars while it falls short of meeting an equitable social objective. Therefore, the OCC recommends the government of Ontario to phase : out the FWP" Report CS 28-10 June 14, 2010 Subject: Fair Wage Policy Page 3 139 The following conclusion appears in the most recent Region of Durham Report #2009- F-38 presented to Regional Council: "Given the core service issue and the debatable benefits associated with incorporating such a policy, Regional staff does not recommend the inclusion of a Fair Wage Policy within the framework of its ICI construction contracts or any other service, sector or industry in which such a fair wage policy could be applied. The Region should continue to ensure consistency and equal treatment for all potential suppliers of goods and services to the Region and thus refrain from granting any type of preferential treatment to a select number of recipients through the implementation of the proposed (Region) Fair Wage Policy." The foregoing conclusion within the Regional report resonates the City's Recommendation as well,, that being the City continue to ensure consistency and equal treatment for all potential contractors to the City and thus refrain from granting any type of preferential treatment to a select number of recipients through the implementation of a proposed City Fair Wage Policy. Attachments: 1. Correspondence from International Brotherhood of Electrical Workers 2. City of Pickering Overview of Proposed Fair Wage Policy 3. Region of Durham Finance and Administration Report No. 2009-F-38 regarding a Fair Wage Policy Preps 'ed By: Approved/Endorsed By: Vera A. Fel emacher Gillis A. Paterson Manager, Supply & Services Director, Corporate Services & Treasurer C.P.P., CPPO, CPPB, C.P.M., CMM III Copy: Chief Administrative Officer Recommended for the consideration of Pickering C' oun it Tony Preve el, P.Eng. Chief Administrative Officer F~ ATTACHMENT #-L-To PEPoRT#-L-~-/0 140 Request for Delegation C0PUZ 2q--ro Debbie Shields One The Esplanade Pickering, Ontario, Canada L1 V 6K7 To whom this may concern, The Central Ontario Building Trades represents 60,000 skilled trades' workers in Central Ontario. Most recently they have been active in promoting the adoption of modern Fair Wage Policies throughout Ontario. This is to coincide with already implemented Fair Wage Policies in municipalities and institutions such as; Oshawa, Thunder Bay, Hamilton, Sudbury, Clarington, Toronto, the University of Ontario Institute of Technology and Durham College. Within the City of Pickering's purchasing Bi-laws a Fair Wage Policy, dated 1995, has been implemented over the past 15 years. The Central Ontario Building Trades view this policy as being out dated and respectfully requests that the City of Pickering update their Fair Wage Policy to mirror other municipalities such as Oshawa and Clarington. Central Ontario Building Trades representative Terry Dorgan, requests to appear as a delegation on April 19th 2010 in respect to modernizing the city's Fair Wage Policy. Best Regards, Terry ~orr~avl Qus~r~eSS Ac~eY. 1(3tW' 1-Ocak 8CILt ORIGINAI ^ FGN. COPY r i . ir: l9 o YA C~ \MC?+ 0 T0 B ~t`~~IU~ 45A 1 41 Getting Serious about AdoRting Fair Wagg ha is a Fair Wmye Requires all contractors to pay or provide the same wages, benefits and hours to all workers. Policy? Municipalities pay their construction workers a "fair wage" for the work performed and to ensure that workers are not exploited or discriminated against. J. Usually applies to construction (ICI) projects over $00,000. Who has already adopted The Federal government, the provincial governments of Fair Wage? Ontario, Manitoba and British Columbia, the municipalities of Toronto, OshawaJondon, Montreal, Calgary, Edmonton and Greater Vancouver, in addition to numerous agencies, boards, commissions and universities/colleges all have adopted fair wage policies. What are the cost Minimal increases in,construction cost (2-4%) implications of Fair Wage Significant cost savings (11-17%) based on higher productivity gains resulting in lower renovation and repair work Policy Adoption to (Source: Ontario Construction Secretariat) projects? What are the financial For small to medium sized Municipalities, it takes 20-40 hours implications of Fair Wage per year to administer a Fair Wage Policy. r 1e s xes? Investigations fees (e.g. $2500 per investigation) would cover administration costs and be an additional revenue source for the Municipality. ! In the City of Toronto, administration revenues from Fair Wage exceeded $27,000 in 2008. What are the other (1) Stable labour relations with minimal-disruption. Benefits of Fair Wage (2) A level playing field in competition for City Work. (3) Protection of the Public Policy Adoption? (4) Enhanced reputation of the Municipality for ethical and fair business dealings. ATTACHMENT #,,2TO REPORT #_C:YZ-/ 6 142 City of Pickering' Overview of the Fair Wage Schedule and Policy Proposal Contractors entering into ICI (Industrial-Commercial-Institutional) construction contracts carried out by, and for, the City would.pay or provide wages, benefits and hours of work to their employees while adhering to a "City Fair Wage Schedule and Policy". Similarly, it would be the responsibility of the contractor to ensure the sub-contractor(s) are also adhering to the terms of the City Fair Wage Schedule and Policy. The proposal outlines a contract threshold minimum of $500,000 and therefore, contracts below a threshold would be exempt from the terms of the proposed policy. A "investigation fee" would be required to investigate complaints. Upon receipt of a Registered Complaint, together with payment of an investigation fee, the City would take such action as it deems necessary to determine whether the Contractor and Sub-contractor involved or named in the Registered Complaint is in compliance with the Fair Wage Policy and the Fair Wage Schedule. Sample investigation fees are $2,000 and $5,000. Fair wage policies exist in relatively few municipalities from the survey undertaken recently. Of the 28 municipalities and 3 public agencies surveyed, only 5 municipalities have their own fair wage policies, 2 of which are Clarington and Oshawa. As identified in the Region of Durham's Report #2009-F-38 on Fair Wage Policy "the City of Toronto's Fair Wage Policy often serves as a benchmark for other jurisdictions and its wage schedule is arrived at through review of stipulated rates of pay for various classes of work produced. The City of Toronto's Fair Wage Office is made up of several staff members solely-dedicated to the review of tenders and vetting of bidders to ensure compliance, links to their schedule, to the complete wage package, inclusive of benefits (excluding union dues, associate fees, etc) and is tied to collective agreements specific to the local area. Review of the schedule by the City of Toronto's is done once every three years and is adjusted annually for inflation. The City of Toronto's Fair Wage Office provides auditing, administrative and schedule research and review service to other municipalities with fair wage policies of their own." Administration of a City Fair Wage Schedule and Policy would have to be designated to be the responsibility to a Manager in Corporate Services or appropriate designate for the review and administration of a Fair Wage Schedule and Policy and likely require additional internal staffing to support the Manager. Clarington implemented a fair wage policy as an interim process and applies on ICI (Industrial-Commercial-Institutional) projects over $1,000,000 and Oshawa's applies on projects over $500,000. Clarington has not seen any proof that there are any cost savings flowing as a result of using the Fair Wage Policy. Clarington relies on the City of Toronto to provide schedules and undertake audits otherwise, would need extra staff. The following is abstracted from a City of Toronto staff report February 1, 2007 - "Establishing fair wage rates and schedules are intended to minimize potential conflict between organized and unorganized labour in the tendering and awarding of civic contracts". This may be a factor in Toronto, however, there has been no conflict whatsoever in over 30 years between organized and unorganized labour in the tendering and award of contracts within the City of Pickering. ATTACHMENT#J__TO REPORT # q Qr--10 Finance & Administration -15- April 15, 2009 Committee 143 MOVED by Councillor Kolodzie, (160) "THAT the foregoing motion (159) of Regional Chair Anderson be tabled. MOTION DEFEATED Councillor Kolodzie indicated that he wished to table the motion until he could obtain an accurate accounting of what each Municipality has put into Durham Region Transit (i.e., cost of buses, lands, etc) The motion (159) of Regional Chair Anderson was then put to a vote and CARRIED. d) PROPOSED ESTABLISHMENT OF A FAIR WAGE POLICY ON ICI CONSTRUCTION CONTRACTS BY THE REGION OF DURHAM (2009-F-38) Report #2009-F-38 from R.J. Clapp, Commissioner of Finance, was received. R.J. Clapp responded to various questions from Councillor Kolodzie with respect to whether or not there would be additional costs; why the fair wage policy comparison chart (of GTA and other municipalities) shown on page 3 of the report did not have more up-to-date comparisons; and the impact had a fair wage policy been in place when the new water pollution control plant was constructed in Courtice. A question regarding union versus non-union workers was also raised and was addressed by R.J. Clapp. MOVED by Councillor Parish, (161) "THAT Report #2009-F-38 of the Commissioner of Finance be received for information." CARRIED e) REGIONAL DEVELOPMENT CHARGE INDEXING (2009-F-39) Report #2009-F-39 from R.J. Clapp, Commissioner of Finance, was received as a handout. R.J. Clapp reviewed the recommendations contained in Report #2009-F-39 with the Committee and also highlighted section 3.3 on page 6 which summarizes the potential foregone revenue (estimated $4.0 million) from waiving the indexing of residential and non-residential development charges and delaying the scheduled phase-in of non-residential development charges for the ICI sectors in order to provide some relief for local development and building industries during this economic recession. Councillor Parish questioned the reason for doing this and also commented there would be minimal impact in terms of stimulating development and creating jobs. Councillor Parish also expressed concern with the loss of the estimated $4 million in development charge revenue in 2010 and beyond. R.J. Clapp noted there will be an opportunity to update the rates when a new development charge by-law is completed. Councillor Parish also questioned R.J. Clapp on whether consideration had been given to alternatives, such as 125 RoD - File Display Pagel of 8 144 The Regional Municipality of Durham Report to The Finance and Administration Committee From: R.J. Clapp, Commissioner of Finance Report No.. 2009-F-38 Date: April 15, 2009 SUBJECT: Proposed establishment of a Fair Wage Policy on ICI construction contracts by the Region of Durham RECOMMENDAMNS: THAT the Finance and Administration Committee receive this report for information. 1.0 INTRODtJCnON • This report considers the implications of incorporating a Fair Wage Policy into the framework of the Region of Durham's lCl construction contracts: The report briefly summarizes the Fair Wage Policy proposal put forth by local union representatives and discusses current experiences with fair wage policies in other municipalities for the purpose of establishing a Regional position on the proposal. 2.0 BACKGROUND • On November 14, 2007, with a UA Local 463 representative in attendance, a representative from ISEW Loca'I 894, Oshawa and District provided a presentation to Council' members regarding a Fair Wage Policy Proposal for the Region intended to cover ICI construction oontracts carved out by, and for, the Regional Municipality of Durham. Council members were also presented with bound copies of the Fair Wage Proposal and a publication from the Ontario Construction Secretariat (OSC) entitled "Impact of Fair Wage Polies on the Construction Industry". A Fair Wage Policy would allow the Region to require that all contractors bidding on contracts for the Region provide wages, benefits and hours to their employees in compliance with the Region's Fair Wage Policy. The policy would also snake contractors responsible for ensuring that sub-contractors also adhere to the policy. 49 I https://zyimage.durham.ca/Exe/ZyNET. exe/OOOOA9DJ.txt?ZyActionD I3=ZyDocument&... 13/05/2010 RoD - File Display Page 2 of 8 145 Report No : #2009-F-38 Page No.: 2 Terry Dorgan, the UA Local 463 representative, suggested that fair wage policies assist in counter-balancing the propensity for suppliers in the construction industry to engage in cut-throat competition driven by the low-bid policies often adhered to by the public sector. It is argued that by setting a wage floor for which contractors and sub-contractors must adhere to, and essentially "taking the wages out of competition" such cut-throat competition through the paying of lower wages can be minimized. They indicate that such competition is also believed to erode occupational safety standards, weaken industry investment in skills training and "promote" evasion of legal obligations, such as the circumvention of El and CPP contributions. Mr. Dorgan also commented that fair wage policies have been in Canada for some time and that the City of Toronto policy often serves as a benchmark for policies in other areas. • A follow-up meeting took place January 2008 between Regional staff and IBEW Local 894 and LIA Local 463 representatives to again discuss the Region's proposed Fair Wage Policy. On April 2009, Regional staff met with members of the Greater Oshawa Chamber of Commerce to discuss fair wage policies and their potential impact on the Region of Durham. 3.0 OVERVIEW OF THE FAIR AGE POLICY _PROPOSAL • Under the proposal, contractors entering into ICI construction contracts carried out by, and for, the Regional Municipality of Durham would pay or provide wages, benefits and hours of work to their employees while adhering to the Region's Fair Wage Schedule and Policy. Similarly, it would be the responsibility of the contractor to ensure that the sub-contractor is also adhering to the terms of the Fair Wage Schedule and Policy. The proposal outlines a contract threshold minimum of $500,000 where contracts below this threshold would be exempt from the terms of the proposed policy. Administration of the policy and wage schedule would be designated to be the responsibility of the Manager, Purchasing Services or appropriate designate. • Through its tender call, the Region would make the Fair Wage Schedule and Policy available to every party bidding in ICI construction contracts. In a manner that is acceptable to the Region, evidence of policy adherence would be provided by the contractor and sub-contractors after substantial performance of the construction contract. Contractors and sub-contractors would be required' to post appropriate fair wages, wage schedules and labour conditions in a conspicuous place at the work site and would be ordered to maintain accurate records of employees detailing employee information, trade classification, hours of work and wages; information that would be made available for inspection upon request by the Region. m https://zyimage.durham.ca/Exe/ZyNET.exe/000OA9DJ.txt?ZyActionD j 3=ZyDocument&... 13/05/2010 RoD - File Display Page 3 of 8 146 Report No.. 92009-F-38 Page No_: 3 • A Registered Complaint could be filed by contractors, sub-contractors or employees with the Region against any contractor or sub-contractor. Under the proposal, the Region would investigate the complaint for abase investigation fee of $2.500 being proposed by the unions and subject to the conditions of substantial performance of the construction contract. Should the registered complaint be found to 'be unsubstantiated, the Region would retain the investigation fee from the complainant and take necessary action to claim any costs in excess of the base investigation fete. Should the investigation deem the contractor or sub-contractor to be in non-complla.nce, notice, would be provided by the Region to immediately comply with the terms of the policy. First time rron-compliance violations within a five-year time frame may result in the contractor requiring accounting reports for the next three Region- related projects of which the contractor performs construction work, declaring adherenoe to the Fair Wage Policy. Multiple non-compliance offences by contractors within a five-year time frame may result in restrictions to bid on Region contracts for a period, of two years. 4.0 FAIR WADE POLICY EXPERIENCE IN QJjLER JURISDICTIONS • Fair wage policies exist in relatively few municipalities across Canada. The majority that do have fair wage policies are concentrated in Southern Ontario, and include Toronto, Hamilton, Oshawa, London, Clarington, Sudbury. Kitchener, Mississauga, Vaughan, and Brampton. To date, no regional municipality has yet adopted a fair wage policy (i.e. Halton Region, York. Region, Municipality of Waterloo) The table below provides a comparison of fair wage schedule compensation by various municipalities across a select number of common trade positions. Fad Vhp Policy Comparbon -GTAand ocher municipal C ofTororAoFak AQira-Feint BOAT dd.'f" C* * t ~ Yal~haa ra orl + C 'T 4 .i 1i a f a i2W? MOI ^F -t fi f7 ~'.<'"~~f+ E x.+ir y , Wap t, veu5on, WIPA VOW IN. Naysa via~on, W&P%vaa"", Emi;1 1arAC*n0cns N1lidayPayend Wa o%You' Wldsy&F&p RdWramied ft" 11 F.W.W,ga NdihY4F4nP 13ot *IIF s Camp Tn &Ndlda 11024ft P ds225 &VaesWAY lkrw S 11"1138 HridtWM&51anW&= W12 537.36 Wit 015 $355 $42.78 5175 $429 331.95 333179 sags 3M52 $4829 $311,41 Eieftims $45.44 $36.71 34549 33134 $2819 $44.911 $4137 .kdi3wne LdXt ers 5N.a $31.19 $36.96 t23.56 ZA2 $3449 33449 He" E%ow opfr bw 34118 53456 54351 $29.56 327.34 $4221 =A4. iiaAF W*& 3096 WAS 3151 $28:52 Wo 0,57 $241 51 https://zyimage.durham.ca/Exe/ZyNET.exe/OOOOA9DJ.txt?ZyActionD I3=ZyDocument&... 13/05/2010 RoD - File Display Page 4 of 8 147 Report No.: #2049-F-38 Page No.: 4 • The City of Toronto's Fair Wage Policy often serves as a benchmark for other jurisdictions and its Wage Schedule is arrived at through review of stipulated rates of pay for various classes of work produced. The City of Toronto's Fair Wage Office, made up of several staff members solely= dedicated to the review of tenders and vetting of bidders to ensure compliance, links their schedule to the complete usage package, inclusive of !benefits (excluding union dues, association fees, etc.), and is tied to collective agreements specific to the local area. Review of the schedule by the City of Toronto's Fair Wage Office is done once every three years and is adjusted annually for inflation. The City of Toronto's I=air Wage Office often provides auditing, administrative and schedule research and review services to other municipalities with fair wage policies of their own. Within Durham Region, Clarington and Oshawa each have their own fair wage policies for ICI construction contracts and with the assistance of the City of Toronto's Fair Wage Office, wage schedules are developed by linking wages to local collective agreements within the appropriate Ontario Labour Relations Board Construction Industry Area (Area 9 for both municipalities). For both municipalities, in the event of a registered complaint, administrative support and auditing services can be performed by the City of Toronto's Fair Wage Office or appropriate designate as determined by the municipality. For complaints that are deemed valid, the investigation fee is returned to the complainant and the cost for the auditing service would be charged' to the municipal budget. However, evidence of non-compliance by a supplier allows the municipality to pursue the base investigation costs along with any other costs the municipality deems appropriate and can deduct the amount from the balance owing by the municipality to the supplier. • Since the inception of its fair wage policy, Clarington has only seen two IiC1 construction projects exceeding the $1 million threshold level. Oshawa's fair wage policy, with a lower contract threshold level of $500,000, has yet to undertake a project above this amount. The lack of activity among the area municipalities makes it difficult to assess the effects of their respective policies. 5.0 THE REGION OF DURHAM'S CURRENT PRACTICE=S • The Region of Durham s By-Laos No. 68-2000, as amended, defines purchasing and tendering policies covering the acquisition of goods and services projects by the Region. The Region of Durham currently undergoes a thorough examination of all tenders and proposals, as well as a process for qualification of suppliers of goods and services. It is the objective of the Region to acquire its goods, services and works without favoritism through the application of the highest standards of business ethics. 52 https://zyimage.durham. ca/Exe/ZyNET.exe/000OA9DJ.txt?ZyActionD I3=ZyDocument&... 13/05/2010 RoD - File Display Page 5 of 8 148 Report No.,. #2009-F-38 Page No.: 5 The pre-qualification criteria to selecting a list of qualified suppliers includes, but is not limited to: Review of health and safety records of suppliers; • Record of supplier working experience and evaluation of prior performance; and ■ Examination of the prior bidding history of the supplier and financial status of the supplier. + For projects above $100,000, prequalification of achieved via Council approval for each respective project. A joint report is required by the Department Head and "designated official" and is submitted to the appropriate Standing Committee and Council for approval prior to prooeeding with prequalification of the supplier. The Region has a responsibility to hire qualified contractors and ensure compliance with the regulations of the Occupational Health and Safety Act as well as any additional policies mandated by the Region. w Awarding of the contract Is usually based on the lowest responsible bid assuming all specifications and qualifications have been met. In its purchasing of goods and services, it is the responsibility of the Region to ensure that public funds are spent in a manner which maximizes the value obtained for money and to ensure that the solicitation, bidding and awarding process is done in an open and competitive environment which ensures that all suppliers that wish to do business with the Region are treated fairly and equally. While there is currently no fair wage policy incorporated Into consa uctlon contracts, Regional staff believes that the Region already does its due diligence In ensuring that only qualified and reputable suppliers partake in the supply of goods and services for the Region by ensuring compliance to all Federal, Provincial and Municipal statutes and regulations` 6.0 REGIONAL STAFF CONCERNS WITH-FAIR WAGE POLICY Upon review of various literatures, research and experience in other jurisdictions and entities, Regional staff suggests that there are several concerns with implementing a Fair Wage Policy in the framework of ICI construction contracts. Some primary concerns include: + The implementation of a Fair Wage Policy results in the Region assuming the role as a third-party arbiter serving to resolve potential disputes that occur between suppliers and their respective employees. + The Region would likely incur significant administrative costs as a result of including and enforcing fair wage policies In its ICI construction contracts. While the proposal outlines abase investigation fee of $2,500 to help recover administrative and audit-related costs associated 53 https://zyimage.durham.ca/Exe/ZyNET.exe/OOOOA9DJ.txt?ZyActionDI3=ZyDocument&... 13/05/2010 RoD - File Display Page 6 of 8 149 Report No.: 02009-F-38 Pa a No.: 6 with a Registered Complaint, these costs may not necessarily reflect the total costs that may be associated with review and research of policies and wage schedules, as.well as costs associated with inspections and audits during the period of the construction contract. As a.result, while the Region can recover base investigation fees from either the party named in the complaint or the complainant, any costs exceeding the base cost investigation fee must be pursued by the Region. Also to be considered are the opportunity oasts of utilizing Regional staff resources towards monitoring policy compliance and conducting complaint-driven investigations based on allegations which could prove to be unsubstantiated. In addition, the required posting of the proposed Fair Wage Schedule and Policy at every site provides Region contact information to the public to answer any inquiries regarding the Fair Wage Schedule and Policy: inquiries which may be unrelated to non-oomplianoe issuer. e To date, there have been no discussions with the City of Toronto's Fair Wage Office regarding possible administrative support related to the Region's proposed Fair Wage Schedule and Policy and it is not known if the Fair Wage Office would have the manpower to provide such support to the Region without having to increase their staffing requirements. if the Fair Wage Office was incapable of providing administrative support to the Region under their current structure, additional internal staffing would likely be required by the Region to support the Manager, Purchasing Services in the review and administration of the Fair Wage Schedule and 'Policy. Taking into account the staffing requirements of the City of Toronto's Fair Wage Office and considering the City of Toronto's population relative to that of Durham Region, it could be assumed that the Region would require at least one full-time employee dedicated solely to the administration and review of the fair wage policy and schedule for the Region of Durham. e The manner in which "fair wages" should be set for the Region remains unclear. Some jurisdictions, with the assistance of the City of Toronto's Fair Wage Office, develop Wage Schedules based on local collective agreements according to the boundaries set by the OLRB Area Schedule. However, Area 9 represents all of Durham Region except for Pickering and Ajax, which fall into Area 8 (which includes, but is not limited to Metropolitan Toronto, and Peet and York regions). While it is likely that cross-regional overlap is a non- issue when examining area municipalities, it is unclear how "fair, wages" would be set for a regional municipality with overlapping OLRB Areas. For example, 'IBIEW Local 894, which represents electrical workers, represents a wide area including all of Durham Region. However, OLRB Areas 8 and 9 both cover large portions of Durham Region and it is unknown whether the collective agreements from Area 8, including those for IBEW Local 353 (covering Toronto, Peel Region, York Region and a portion of Dufferin County), would take precedence over the those of Area 9. or vice versa. 54 https://zyimage.durham.ca/Exe/ZyNET.exe/OOOOA9DJ.txt?ZyActionD I3=ZyDocument&... 13/05/2010 RoD - File Display Page 7 of 8 150 Report No.: #2009-F•38 Page No.: 7 • The Ontario Chamber of Commerce (OCC) claims that the (Province of Ontario has an ample amount of legislative tools to address the social and economic needs of the Ontario workforce, including various labour policies and minimum wage legislation. The OCC also claims that the positive impacts of fair wage policies - benefits that are typically accrued to a limited number of beneficiaries , are undermined by the overall increase in program costs. The OCC continues to champion for the phasing-out of the Provincial Fair Wage Policy as they claim it results in inflated wages for non-unionized employers that otherwise would have been compensated fair, competitive market wages. The Greater Oshawa Chamber of Commerce (GOCC) echoes the sentiments of the OCC as they believe that such policies limit the ability for smaller4omodium suppliers to bid on government contracts and they questioned whether a fair wage policy works to provide the best overall project value to the taxpayer at the most cost-effective price. Similarly, the Canadian Federation of Independent Business (CFIB), a not4or-profit, non-partisan organization which represents the interests of small and medium=sized businesses, has long argued against fair wage policies and claims that the government should not be involved in seWng wages for private sector workers bidding on public ,sector contracts. • There have been cases in other jurisdictions, such as in British Columbia, where fair wage policies were repealed on the grounds that they increased project costs and increased the burden on taxpayers while providing debatable banefits. Studies have found that IBC°s fair wage policies, which mandated for wages that were up to one-third higher than the prevailing competitive market wage rate, added approximately 7 per cent (over $100 million annually) to the cost of public construction projects. It was the belief that the return to an open tendering process would ensure optimal value for taxpayers and the savings incurred as a result of the repeal of the fair wage policy would assist in allocating funds to other riruch-needed projects. • While fair wage (policies exist In vans area municipalities and entities, no regional municipality has yet to impose a fair wage policy. Given the Region's geographic expanse and the potential administrative and opportunity costs associated with implementing such a policy, the question arises as to why the Region should assume the responsibility for establishing wages paid by suppliers bidding on Regional tendered ICi construction contracts given that there is no clear benefit to the Region for doing so. As noted, Regional staff believes that the Region already undergoes a thorough evaluation and vetting of potential bidders that ensures adherence to all statutes, regulations and standards and ensures that the awarding of contracts is done in an open and competitive environment where all potential suppliers are treated equally and fairly. 55 https://zyimage.durham.ca/Exe/ZyNET. exe/000OA9DJ.txt?ZyActionD I3=ZyDocument&... 13/05/2010 RoD - File Display Page 8 of 8 151 Report No.: #12009-F-38 Page No.- 8 7.0 CONCLUSION Given the core service issue and the debatable benefits associated with incorporating such a policy, Regional staff does not recommend the inclusion of a iFair Wage Policy within the framework of its ICI construction contracts or any other service, sector or industry in which such a fair wage policy could be applied. The Region should continue to ensure consistency and equal treatment for all potential suppliers of goods and services to the Region and thus refrain from granting any type of preferential treatment to a select number of recipients through the implementation of the proposed Region Fair Wage Policy. R.J. Clapp, CA Commissioner of Finance 56 https://zyimage.durham..ca/Exe/ZyNET.exe/000OA9DJ.txt?ZyActionD 3=ZyDocument&... 13/05/2010