Budget Committee
The full agenda, as filed
All 4 items in the clerk’s order. Each carries the city’s own words: the staff recommendation, what the body decided, and its status. Nothing below is written by us.
BU2.1deferred
2019 Rate Supported Budgets - 2019 Water and Wastewater Consumption Rates and Service Fees
This report presents the recommended 2019 water and wastewater consumption rates and service fees arising from the concurrent adoption by City Council of the recommended 2019 Toronto Water Operating and Capital Budgets. In accordance with the City Council 10 year capital plan approved in 2015, this report recommends a 3.98 percent water and wastewater consumption rate increase, effective April 1, 2019, which is the equivalent of a 3 percent annualized increase in 2019. In addition, this report recommends inflationary fee increases for certain existing water and wastewater service fees, reflecting cost recovery for these services. This report also seeks Council authority to proceed with the implementation and monitoring of a proposed two-year bulk water fill station pilot project at Toronto Water's Disco Yard location (Bulk Water Pilot) or alternate Toronto Water location, subject to a report back to the Infrastructure and Environment Committee, and the establishment of a related new bulk water service fee for any metered water dispensed to customers at the bulk water fill station, based on the Block 1 water and wastewater consumption rate (Bulk Water Fee), to offset the costs of the Bulk Water Pilot (additional details in Appendix A). The recommended 2019 water and wastewater consumption rates, service fees and the Bulk Water Fee will allow the Toronto Water Program to remain fully self-funded and financially stable, with both operating and capital needs being met without excessive year-over-year fluctuations in pricing over the long term.
The Budget Committee: 1. Deferred the consideration of item BU2.1 to the February 13, 2019 meeting of the Budget Committee along with the following motion: Motion 1b by Councillor Mike Layton: "That City Council direct that, effective January 1, 2019, City Council approve that the industrial waste surcharge program formula for the calculation of surcharge fees be applied to all treatable parameters that exceed the sewers by-law limits, instead of only the one parameter that exceeds the sewer by-law limits by the greatest amount, allowing full cost recovery for the wastewater services provided by the City, such surcharge to be phased in over a six year period to mitigate impacts to existing companies." 2. Requested budget briefing notes as follows: 1. The General Manager, Toronto Water on: a. examining the options for modifying the Block 2 Water Rate to provide economic benefits for large water consumption manufacturer's and present the implications for the increase of the discount rate using a range of 1 percent to 5 percent and consider a phase-in of options over a number of years. b. a list of the businesses charged under the Industrial Water Surcharge Program, and the parameters that they are exceeding to receive the surcharge; and c. a recommendation to move the Industrial Water Surcharge Program toward full cost recovery.
Staff recommendation as filed
The Chief Financial Officer and Treasurer and the Acting General Manager, Toronto Water recommend that: 1. City Council consider this report concurrently with the 2019-2028 Toronto Water Capital Plan and the 2019 Toronto Water Operating Budget. 2. City Council adopt: a. Effective April 1, 2019, the combined water and wastewater consumption rates charged to metered consumers as shown below and in Appendix C attached to this report; Annual Consumption Paid on or before the due date, $/m3 Paid after the due date, $/m3 Block 1 - All consumers of water, including the first 5,000 cubic metres per year consumed by Industrial users ("Block 1 rate") 3.9549 4.1630 Block 2 - Industrial process - use water consumption over 5,000 cubic metres per year, representing a 30 percent reduction from the Block 1 Rate ("Block 2 rate") 2.7684 2.9141 b. Effective April 1, 2019, an increase of 3.98 percent to the water and wastewater consumption rates (paid on or before the due date) charged to flat rate consumers, as set out in Appendix C attached to this report. c. Effective April 1, 2019, the water and wastewater service fees as set out in Appendix D attached to this report. 3. City Council adopt with respect to assistance for low-income seniors and low-income disabled persons: a. Effective April 1, 2019, the water rebate for eligible low-income seniors and low-income disabled persons be set at a rate of $1.1864/cubic metres, representing a 30 percent reduction from the Block 1 rate (paid on or before the due date). 4. City Council authorize the implementation and monitoring of a bulk water fill station pilot (Bulk Water Pilot) on the following conditions: a. Municipal Code Chapter 851 - Water Supply, be amended to authorize the supply, sale and delivery of bulk potable water dispensed from a bulk water station owned and operated by the City for industrial, commercial or institutional purposes only. b. Effective April 1, 2019, Municipal Code Chapter 441 - Fees and Charges, Appendix D, Schedule 2, Water Services, be amended to include a new fee for the metered water to be dispensed at any bulk water station owned and operated by the City, including under the Bulk Water Pilot, based on the Block 1 water and wastewater consumption rate. c. The Bulk Water Pilot be undertaken by Toronto Water for a minimum of 2 years at Toronto Water's Disco Yard located at 150 Disco Road (Etobicoke), or alternate Toronto Water facility at the discretion of the General Manager of Toronto Water, and that it be operated seasonally, from approximately April to October, with 24-hour access. d. The General Manager, Toronto Water be delegated the authority to implement, administer and monitor the Bulk Water Pilot including the authority to develop all related program policies and procedures, to procure all related goods and services necessary to implement and conduct the Bulk Water Pilot and to negotiate, enter into and execute any agreements necessary to give effect to the Bulk Water Pilot on terms and conditions acceptable to the General Manager, Toronto Water, and in a form acceptable to the City Solicitor. e. The General Manager, Toronto Water report back to the Infrastructure and Environment Committee on the outcome of the Bulk Water Pilot once completed. 5. City Council authorize that the necessary amendments be made to Municipal Code Chapter 441 - Fees and Charges, Municipal Code, Chapter 849 - Water and Sewage Services and Utility Bill, Municipal Code Chapter 851 - Water Supply, and Municipal Code Chapter 681 - Sewers, and any other necessary Municipal Code Chapters as may be required, to give effect to these Recommendations. 6. City Council authorize the City Solicitor to introduce any necessary Bills required to give effect to Council's decision and authorize the City Solicitor to make any necessary clarifications, refinements, including stylistic, format and organization, minor modifications, technical amendments or by-law amendments as may be identified by the City Solicitor, the Chief Financial Officer and Treasurer and the General Manager, Toronto Water. 7. City Council authorize and direct the appropriate City officials to take the necessary action to give effect to Council's decision thereto.
BU2.2deferred
This report outlines the Recommended 2019 Solid Waste Management Services Rates and Fees arising from the concurrent adoption of the 2019 Recommended Solid Waste Management Services Operating and Capital Budgets. Recommended rate and fee increases will vary based on customer group. Table 1 highlights the recommended key Solid Waste Management Services Rates and Fees effective retroactive to January 1, 2019. Table 1 - 2019 Recommended Rates and Fees Increases Customer Group Percent Rate Increase Comments Multi-Residential 1.0 percent Same as 2018 Single Family and Residential Units Above Commercial 2.0 percent Same as 2018 Bag Tags, Bin Purchase 5.2 percent Same as Commercial Commercial, Divisions, Agencies and Corporations, Schools, Tipping 5.2 percent Same as 2018 Blended Rate 2.2 percent Equal to Rate of Inflation The 2019 Recommended Operating Budget is $391.620 million, an increase of $8.178 million over 2018 plus a $20.000 million contribution to the Waste Management Reserve Fund, all of which are offset by total revenues of $411.620 million. The aforementioned increase is attributed to an increase in organic collection and processing costs due to volume and contractual inflation adjustments, reduction in the sale of recyclable materials due to declining commodity market prices and to fund the Division's 10-Year Capital Budget and Plan. Some of these increases were partially offset by service changes and efficiencies of $4.978 million net and the net reduction in the contribution to the Solid Waste Management Reserve Fund. The 2019 Recommended Capital Budget is $84.626 million which is comprised of $39.611 million in new 2019 funding and $45.015 million in funding carried forward from 2018 into 2019. A key priority for Solid Waste Management Services in 2019 Capital Budget program is the continued implementation of the Long Term Waste Management Strategy, which includes making advancements in waste reduction and further diversion opportunities, as well as ensuring the long term fiscal sustainability of the Division. The proposed blended 2.2 percent increase in Solid Waste Management Services Rates and Fees, which is in line with inflation, will generate $10.555 million in additional revenues required to primarily maintain the City Council approved service levels for Solid Waste Management Services within the 2019 Recommended Operating Budget and fund implementing the 2019 Recommended Capital Budget program.
The Budget Committee: 1. Deferred the consideration of item BU2.2 to the February 13, 2019 meeting of the Budget Committee.
Staff recommendation as filed
The General Manager, Solid Waste Management Services and the Chief Financial Officer and Treasurer recommend that: 1. City Council adopt the 2019 Solid Waste Management Services Rates and Fees as set out in Appendix A to the report, dated January 30, 2019, from the General Manager, Solid Waste Management Services, and the Chief Financial Officer and Treasurer, retroactive to January 1, 2019. 2. City Council consider this report concurrently with the 2019 Recommended Capital Budget, 2020-2028 Recommended Capital Plan and the 2019 Recommended Operating Budget of the Solid Waste Management Services Division. 3. City Council authorize that the necessary amendments be made to Municipal Code Chapter 441 - Fees and Charges, and any other necessary Municipal Code Chapters as may be required, to give effect to these Recommendations. 4. City Council grant authority to the City Solicitor to introduce any necessary Bills required to implement these Recommendations, subject to any necessary refinements, including stylistic, format and organization, as may be identified by the City Solicitor, the Chief Financial Officer and Treasurer, and General Manager Solid Waste Management Services. 5. City Council direct the following Renewable Natural Gas Initiatives: a. Fully exempt the Solid Waste Management Services renewable natural gas initiative, including any and all environmental attributes that may result from the program, from the City's Carbon Credit Policy; b. Place net revenues that the City derives from the future sale of renewable natural gas and/or any associated environmental attributes generated under the Solid Waste Management Services renewable natural gas initiative in the Solid Waste Management Reserve Fund XR1404 for the exclusive use of Solid Waste Management Services, which will be used to fund projects identified within the Council approved Long Term Waste Management Strategy and other environmentally sustainable initiatives; and c. Allow only Solid Waste Management Services to hold any unsold environmental attributes associated with the Solid Waste Management Services renewable natural gas initiative on behalf of the City, and the authority to sell the attributes. 6. City Council direct that all the rates, fees and charges set out in Appendix A to this report, adopted by Council in Recommendation 1 above, continue in full force and effect until such time as they are amended or repealed by City Council. 7. City Council direct the General Manager, Solid Waste Management Services, and the Executive Director of Financial Planning, to develop a Multi-Year Financial Strategy and rate structure for the Department and report back to Budget Committee. 8. City Council authorize the General Manager, Solid Waste Management Services, or their designate, to develop and implement a Single Family Residential Low-income Relief Program in accordance with the description provided in the report, dated January 30, 2019, from the General Manager, Solid Waste Management Services, and the Chief Financial Officer and Treasurer, including, but not limited to, automatic enrollment for certain qualifying customers.
BU2.3deferred
2019 Rate Supported Budgets - Toronto Parking Authority
The City Manager and Chief Financial Officer and Treasurer have submitted recommendations for the 2019 Recommended Operating Budget and 2019 - 2028 Recommended Capital Budget and Plan for Toronto Parking Authority.
The Budget Committee: 1. Deferred the consideration of item BU2.3 to the February 13, 2019 meeting of the Budget Committee along with the following motion: Motion 2 by Councillor Brad Bradford: "That City Council request the Toronto Parking Authority Board to request the President, Toronto Parking Authority to report to Budget Committee on the following for consideration prior to the 2020 Budget Process: 1. ridership changes at Bike Share stations directly adjacent to the Richmond/Adelaide and Bloor St W bike lanes, from before implementation to implementation. 2. the feasibility and financial impact of extending Bike Share travel times from 30 minutes to 45 minutes for annual members." 2. Requested budget briefing notes as follows: 1. The President, Toronto Parking Authority on: a. an explanation for the "Service and Rent" expenditure rise from $32.8 in 2018 to $57 million for 2019, and for why "Other Expenditures" (previously containing between $21-23 million for 2016-2018) is currently blank; and b. in consultation with the General Manager, Transportation Services, on the metrics of the discounts given as part of the King Street Pilot and whether these incentives continue to be necessary. 2. The General Manager, Transportation Services and the Chief Planner and Executive Director, City Planning on data to assist City Council with reviewing whether Toronto Parking Authority discounts are still necessary.
Staff recommendation as filed
The City Manager and Chief Financial Officer and Treasurer recommend that: 1. City Council approve the 2019 Staff Recommended Operating Budget for Toronto Parking Authority of $100.599 million gross, ($66.538 million) net for the following services: Service: Gross ($000s) Net ($000s) On-Street Parking 12,091.6 (45,500.4) Off-Street Parking 82,362.8 (21,062.8) Bike Share Program 6,145.0 25.0 Total Program Budget 100,599.4 (66,538.2) 2. City Council approve the 2019 service levels for Toronto Parking Authority as outlined in Appendix 3 of this report, and associated staff complement of 328.5 operating positions. 3. City Council approve the 2019 Staff Recommended Capital Budget for Toronto Parking Authority with a total project cost of $102.902 million, and 2019 cash flow of $68.640 million and future year commitments of $100.448 million comprised of the following: a. New Cash Flow Funds for: 1. 22 new / change in scope sub-projects with a 2019 total project cost of $102.902 million that requires cash flow of $6.454 million in 2019 and future year cash flow commitments of $17.400 million for 2020; $18.168 million for 2021; $5.500 million for 2022; $19.180 million for 2023; $14.200 million for 2024; $5.500 million for 2025; $5.500 million for 2026; $5.500 million for 2027; and $5.500 million for 2028. 2. Four previously approved sub-projects with a 2019 cash flow of $21.260 million and future year cash flow commitments of $4.000 million for 2020; and b. 2018 approved cash flow for 46 previously approved sub-projects with carry forward funding from 2018 into 2019 totalling $40.926 million. 4. City Council approve the 2020 - 2028 Staff Recommended Capital Plan for Toronto Parking Authority of $217.800 million in project estimates, comprised of $7.300 million for 2020; $12.500 million for 2021; $36.000 million for 2022; $38.000 million for 2023; $45.800 million for 2024; $46.900 million for 2025; $27.300 million for 2026; $2.000 million for 2027, and $2.000 million for 2028. 5. City Council consider the operating revenues of $0.766 million net in 2019; $1.516 million net in 2020; $1.565 million net in 2021; $1.538 million net in 2022; $2.075 million net in 2023; $2.675 million net in 2024; $3.158 million net in 2025; $2.620 million net in 2026; $1.640 million in 2027; and $0.375 million net resulting from the approval of the 2019 Capital Budget for inclusion in the 2019 and future year operating budgets. 6. City Council direct the President, Toronto Parking Authority to report back to Council in 2019 once they have identified and secured a long-term sponsor for the Bike Share Program.
BU2.4deferred
2019 Capital and Operating Budgets
The Budget Committee will consider and make recommendations to the Executive Committee on the 2019 Capital and Operating Budgets. The following schedule has been established for the consideration of the 2019 Staff Recommended Capital and Operating Budgets: February 4, 2019: Presentations: Agencies Toronto Police Service Toronto Police Services Board Parking Tag Enforcement and Operations Community and Social Services Affordable Housing Office Children's Services Court Services Economic Development and Culture Toronto Paramedic Services Long-Term Care Homes and Services Parks, Forestry and Recreation Shelter, Support and Housing Administration Toronto Community Housing Social Development, Finance and Administration Toronto Employment and Social Services Questions and answers only - no presentations: Agencies Toronto Public Health Toronto Public Library Presentations: Infrastructure and Development Services City Planning Waterfront Revitalization Initiative (Capital only) Engineering and Construction Services Fire Services Municipal Licensing and Standards Policy, Planning, Finance and Administration Toronto Building Transportation Services Solid Waste Management Toronto Water February 6, 2019: Questions and answers only - no presentations: Other Agencies Association of Community Centres Exhibition Place Heritage Toronto Civic Theatres Toronto Toronto Zoo Arena Boards of Management Yonge-Dundas Square CreateTO Toronto Parking Authority Toronto and Region Conservation Authority Toronto Atmospheric Fund Presentations: Accountability Officers Auditor General's Office Office of the Integrity Commissioner Office of the Lobbyist Registrar Office of the Ombudsman Questions and answers only - no presentations: Corporate Services 311 Toronto Facilities, Real Estate, Environment and Energy Fleet Services Information and Technology Financial and Treasury Services Office of the Chief Financial Officer Office of the Controller Financial Services (Capital only) Other City Programs City Manager's Office Legal Services City Clerk's Office City Council Office of the Mayor Presentation: Agency Toronto Transit Commission
The Budget Committee: 1. Deferred the consideration of item BU2.4 to the February 13, 2019 meeting of the Budget Committee along with the following motions: Motion 3 by Councillor Brad Bradford: "That: City Planning City Council request the Chief Planner and Executive Director, City Planning to report to the Budget Committee on the following for consideration prior to the 2020 Budget Process: 1. the amount of Section 37 funds (cash contributions) secured for affordable housing and affordable housing initiatives city-wide over the past 5 years (2014-2018). Economic Development and Culture City Council request the General Manager, Economic Development and Culture to report to the Budget Committee on the following for consideration prior to the 2020 Budget Process: 1. the metrics and tools that can be used to measure the impact on reducing vacant storefronts of the elimination of the vacant commercial and industrial tax rebate program. Parks, Forestry and Recreation City Council request the General Manager, Parks, Forestry and Recreation, in consultation with the General Manager, Toronto Water and the Chief Planner and Executive Director, City Planning to report to the Budget Committee on the following for consideration prior to the 2020 Budget Process: 1. budget allocated for implementation of Toronto's Ravine Strategy." Toronto Transit Commission City Council request the City Manager, in consultation with the Chief Executive Officer, Toronto Transit Commission to report to the Budget Committee on the following for consideration prior to the 2020 Budget Process: 1. request the Toronto Transit Commission and the City of Toronto have made to the Provincial and Federal Governments for operating and capital investment into Toronto's transit system; and 2. the current and projected funds available from other levels of government in the 10-year capital budget, the time-periods for which the funding is available, and any additional funding requests that should be made to the Provincial and Federal Governments." Motion 4 by Councillor Gary Crawford: "That: Auditor General City Council request the Chief Financial Officer and Treasurer to work with City Divisions and Agencies to identify and include in future annual budget process documents the cost, cost reductions and revenue increases resulting from the Auditor General's reports and recommendations. City Council request the Auditor General to include in future Auditor General's Annual Report, beginning in 2020, savings achieved by City Divisions and Agencies resulting from the implementation of the Auditor General's reports and recommendations. Social Development Finance and Administration City Council request the Executive Director, Social Development, Finance and Administration consider the following in the Poverty Reduction Strategy 2.0: 1. an evaluation of additional youth spaces and/or youth hubs; 2. an evaluation of the current Toronto Public Library Open House program; and 3. the amount of the base budget as a result of the strategy by 2035. Transportation Services City Council request the General Manager, Transportation Services include following items be included in the review of winter maintenance requested by Mayor Tory: 1. cost and considerations for the delivery of enhanced snow clearing on a. sidewalks on residential streets in every neighbourhood in Toronto; b. pathways in Parks; and c. enforcement of parking that obstructs Toronto Transit Commission and bike lanes; and 2. cost of increasing the amount of snow removal city-wide." 2. Requested budget briefing notes as follows: Corporate Services 1. The Deputy City Manager, Corporate Services on: a. when it is anticipated that the St. Lawrence Market - South Construction project business case will be completed and whether it is anticipated that the project will be recommended for addition to the 10-year capital budget and plan at that time. City Clerk's Office 2. The City Clerk on: a. the expected costs in the coming years to remain compliant with the Municipal Elections Act. Economic Development and Culture 3. The General Manager, Economic Development and Culture on: a. the specific areas that cuts are anticipated to be made in 2019 as part of the base expenditure review; b. the specific Economic Development and Culture services being examined for efficiencies in 2019; c. how savings were achieved in the area of Cost of Living Adjustment Expenditures in 2018; d. the specific funding that was reversed in 2018 to achieve one-time funding savings; e. what studies, if any, were originally planned to be initiated in 2019 that are being delayed to 2020 or later; f. whether delays to Building Condition Audits in the 2019 budget will risk increased costs or irreparable damage to heritage properties in the Economic Development and Culture portfolio; g. when the Major Special Events Reserve Fund would be exhausted, based on proposed and projected spending levels; and h. what groups are currently renting museum spaces and which among them represent equity-seeking or low-income groups. Facilities Management 4. The General Manager, Facilities Management on: a. what the delays are in implementing TransformTO and how any delays might impact our ongoing CO2 reduction goals; b. whether the deferral of payment towards the Accessibility for Ontarians with Disabilities Act put the City at risk of being out of compliance with the province mandated deadline; c. an explanation for why there are missing Service Level targets, and an estimated date for when we might receive the information currently listed as "under development; and d. a list of all security cost changes, operating and capital. Financial Planning 5. The Executive Director, Financial Planning on: a. the estimated Unmet Capital Need of the City of Toronto over 10 years, net of the Toronto Transit Commission's stated $33b in unmet needs. Policy, Planning, Finance and Administration 6. The Executive Director, Policy, Planning, Finance and Administration on: a. why there is no declaration of Actual Levels to compare with the Approved Service Levels referenced on pages 25 and 26 of the Briefing Notes, and a list of what those levels are. Shelter, Support and Housing Administration 7. The General Manager, Shelter, Support, and Housing Administration on: a. the number of Supportive Housing units scheduled to be built in Toronto in 2019, 2020, and 2021, along with details on their funding source, partnership agreements, and other resource information; b. a list of City funding requests submitted to the National Housing Strategy; c. a list of all funding by year as a result of the National Housing Strategy; d. report on outcomes of the discussion with the provincial government and operators of 24 hour drop in centres about the resources needed for operations and what the cost would be to increase resources; e. the cost for an additional 2.5 FTE from the Tenant Defence Fund for tenant hotline and Outreach work; f. any possible budget impacts on Neighbourhood Information Post's trusteeship or rent bank programs in 2019; g. any opportunities to expand Neighbourhood Information Post's trusteeship or rent bank programs in 2019; h. the current status and estimated cost of funding Regent Park phases 4 and 5, including the Social Development Plan and the new Community Safety Plan; and i. in consultation with the Executive Director, Social Development, Finance and Administration, and the General Manager, Parks, Forestry and Recreation, on the estimated costs to install and continuously stock free menstrual hygiene product dispensers at all City-funded shelters, drop-in centres, Strong Neighbourhood Community Centres and other centres working with homeless, street-involved, and low-income women, girls, and trans individuals, as directed in Member Motion 43.15 headed "Access to Menstrual Hygiene Products in Shelters - by Councillor Kristyn Wong-Tam, seconded by Councillor Neethan Shan". Social Development Finance and Administration 8. The Executive Director, Social Development, Finance and Administration on: a. list of actions/steps from the July 2018 Immediate Steps to Reduce Gun Violence report that are unfunded; b. in consultation with the City Librarian, provide a budget briefing note regarding the implementation of 20 additional supportive youth spaces, which includes: 1. identification of 20 appropriate sites for either Enhanced Youth Spaces (operated by Parks, Forestry and Recreation) or Youth Hubs (operated by Toronto Public Library); and 2. budget impact in 2019 of implementing the sites identified in Part a above. Toronto and Region Conservation Authority 9. The Chief Executive Officer, Toronto and Region Conservation Authority on: a. the cost of addressing the funding imbalance between municipalities over three years. Toronto Building 10. The Chief Building Officer and Executive Director, Toronto Building on: a. a more detailed explanation of the "one-time CPI adjustment" referred to on page 10 of the 2019 Staff Recommended Operating Budget Notes - Toronto Building; b. what has led to the "Service and Rent" expenditures increases from 2017-2019; and c. why there are no achieved Service Levels for 2018 in Appendix 3 to the 2019 Staff Recommended Operating Budget Notes - Toronto Building, and a list of what those Service Levels are.