BUSINESS PLAN OVERVIEW - City of Barrie
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BUSINESS PLAN OVERVIEW The City of Barrie is committed to providing a vast array of services and Staff are continually looking for new ways to support growth, manage programs to build and support a prosperous, growing and sustainable and improve our existing assets, and maintain organization sustainability community. The key front-line services our Corporation delivers impact the as we prepare for development and enhance service delivery. Effective daily lives of people working and living in our community. These include financial management and reducing the infrastructure deficit, protecting the police, fire, transit, recreation and cultural events, parks and operations, environment and increasing sustainability, strengthening customer service roads, snow removal, garbage collection, drinking water and wastewater. and implementing efficiencies for service and program delivery, and creating The cost to provide these services while making the necessary investments economic diversity and resiliency continue to be priorities for 2020. The to prepare for growth is becoming increasingly difficult. Corporation is continuously striving to improve the programs and service we provide, and anticipate our community’s needs to ensure we can best serve With Barrie’s population expected to grow to 210,000 people by 2031, the the people who live, work and visit Barrie today and into the future. City is investing heavily in growth-related projects over the next number of years. These investments are bringing many benefits to our community Investment in our workforce is essential — without our workforce we could through projects like the Harvie Road Crossing, McKay Road expansion and not deliver services, and every staff member has their own role to play on our the Barrie-Simcoe Emergency Services Campus. At the same time, the City team. Every day, staff strive to exceed customer expectations and produce is facing significant pressures when it comes to balancing the costs of these high quality work to improve the way we deliver services. growth-related projects with available resources. With investments in these key areas in 2020, Barrie will be best positioned to Additionally, the Provincial Government has introduced a number of funding continue to meet the needs of our growing community. Please don’t hesitate and program changes that are adding pressure to the City of Barrie’s 2020 to contact any member of the Executive Management Team if you have Budget. These include funding cuts to public health, changes to the municipal questions. We look forward to Council’s deliberations on the 2020 Budget. share of the Provincial Gas Tax funding and changes to the Development Charges Act. The estimated pressure on the City of Barrie’s 2020 budget due to these provincial changes is more than $1.6 million. There is only one taxpayer. Ontario municipalities receive only 9 cents of every tax dollar collected in Ontario, while the Provincial and Federal governments receive 44 cents and 47 cents respectively. These changes from the Province are leaving municipalities to figure out how to make up the funding shortfalls to ensure vital front-line services are delivered while minimizing the impact to local taxpayers. The 2020 Budget outlines the City’s plan to fund our growing community. The plan is flexible but we can’t stray far from it. Much of the City’s cash flow today is committed so that we can unlock revenues tomorrow when the assessment growth occurs. While we’re in this period of investing heavily in growth, we need to invoke discipline to ensure the city’s financial position is maintained. 2020 | EXECUTIVE SUMMARY 1
Organizational Structure City of Barrie Ward Map HIG HW AY NO. 400 11 City of Barrie Ward Map AY HW HIG EMT is comprised of the heads of all City Divisions and Strategic Portfolios: Chief Administrative Officer, General Managers of Infrastructure & Growth Management, and Community & Corporate Services; Executive No. 93 DR. COUNTY ROAD AN ON DR. CRT HOG MPT ON NICKLAUS DR. MPT CRO CRO VE WAY DRI ILA OD SHE VE . WO DRI E AVE E. GLE ST. JANRT Y WN VE DALE N OAK DR. MER LISACOU RJO DRI ON BRO DRI YER HAN MA DR. MPT EST HIG CRT VE PLA FOR SON ON HW CRO Directors of Innovate Barrie, Invest Barrie and Access Barrie; and the ST WAT MPT AY DR. PAL . AY DR. VIN RS DR CAS LAW CRT ME CRO STE CEN CAL R STREET MA SAN E. MA S. T 3 E ST. NO. DRA RGA CRE STR OD CRT ST. UE A TON TO ARE REE 26 RET DR. NIQ WO Y EET NGS RE MO T RYAN NLE T LIVI DUV DR. STA OSP Y RIDG . N LITTLE H AL BROW IE AVE DUCKWORT LAKE CRT. D DRIVE BLV LES MAR . BLVD MIC E RD. 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CAP T WHIT AVENUE ER RD. CRESCEN US DR. CRESCEN O AD E LAN R ELM CLUTE E STREET HURONIA No. 27 ROAD WARN QUANC EAST MARSELL ROAD DRIVE & Court VIEW T CLUTE EVIEW MAPL Services Information ROAD LIN E ROAD Parking COUGH N AVENU VETERAN' SILVER HUITEMA MAPLE CAPLA CRES. DRIVE WELHAM LISTER DRIVE EAD COURT ST DRIVE S WICE RD. DR. ROAD CRT. FARM DR. DRIVE REID BAYVIEW R ROAD BRUCKE AVE BARTOR D OOD Services BOORMAN KETW HOOPER MICHELLE ROA D CRT. REE IC Technology DRIVE TH ROAD WEST ROAD ROAD OW BLVD S RD. GOLDS DRIVE ART ARY LLU CRES. LOCKH DRIVE DR DR. CAN EVIEW KER RSE MAPL DY AD ESSA MA BRUC KST TOWN ME SHALOM GOLDS DR RAWSON RA LLY E DR L CRES C EN T HO CLAIR W EL GER ERS R EMMS DR D EN LINE BALSAM DRIVE SAUND GIRDWOO MANO . WESSEN HERSEY K TRAIL URCH CRES. 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CRES No. 27 IA R STOKE CRESCENT REVEL T LOGA COUR ROAD D. N WA N D INGTO ASKA LOUGHEED D ROAD ATHAB H ORN WHITE ROAD ROAD SALEM ROAD CRES. Clare Riepma Natalie Harris COURT COLUM ESSA BIA H EED LOUG ROAD K Advisory/Reference Committees HURONIA SELKIR CRES. ROAD Council members, citizens & staff ROAD WARD 2 WARD 7 Keenan Aylwin Gary Harvey SALEM EAST Y ROAD MCKA VETERAN 'S ROAD DRIVE WARD 3 WARD 8 ESSA Doug Shipley Jim Harris EMT’s mission is to build a customer-focused organization responsive to WEST Y ROAD MCKA the community where all staff understand and embrace their fundamental WARD 4 WARD 9 COUNTY ROAD No. 27 Barry Ward Sergio Morales role as one team providing services and programs to build and support a WARD 5 WARD 10 prosperous, growing and sustainable community. Robert Thomson Mike McCann BARRIE CITY COUNCIL 2014-2018 MAYOR WARD 3 WARD 6 WARD 9 Jeff Lehman Doug Shipley Michael Prowse Sergio Morales (705) 792-7900 (705) 739-4269 (705) 739-4275 (705) 739-4256 officeofthemayor@barrie.ca dshipley@barrie.ca psilveira@barrie.ca sergio.morales@barrie.ca WARD 1 2020 | EXECUTIVE WARD 4 SUMMARY WARD 7 WARD 10 2 Bonnie Ainsworth Barry Ward John Brassard Mike McCann (705) 739-4271 (705) 739-4268 (705) 739-4217 (705) 739-4290 bainsworth@barrie.ca bward@barrie.ca jbrassard@barrie.ca mike.mccann@barrie.ca
BUSINESS PLAN OVERVIEW Introduction How the Plan Is Built The 2020 Business Plan outlines how the City of Barrie plans to allocate The Business Plan reflects budget directions that were approved by City resources to deliver the programs and services residents and businesses Council in June 2019. These directions guide the Business Plan and rely on every day. It is developed using a service-based approach that relates Budget building processes; ensure financial plans are built efficiently to labour, materials and other costs to the programs and services they support. demonstrate a clear relationship between costs and service levels; and, Budget changes are driven by either: increased costs to maintain existing recognize that the City faces many pressures through the development service levels or increased service levels due to service enhancements or process. the addition of a new service. Costs to deliver ongoing programs and services at their current levels are In order to address the City’s current financial realities, decisions will need increasing. Similar to a household, the rising costs of utilities, materials, to be made that impact services and service levels now and in the future. supplies and labour impact the City’s budget. The City is in a high-growth The City is continuing to lay the foundation for a financially sustainable and period and needs to set the financial foundation to manage costs driven responsible plan that addresses the needs of residents and businesses by our current and anticipated growth while continuing to maintain current within the community. service levels and existing infrastructure, and to ensure long term fiscal sustainability. Elements of Barrie’s Budget Operating budget (tax-rate) is for ongoing programs and services that • Barrie’s Business Plan makes strides to balance these cost pressures are funded primarily through a combination of property taxes, user fees within the limited funding options that every municipality has at its disposal. and reserves and can be delivered by the City of Barrie or by one of the The City looks for achievable efficiencies and process improvements that City’s service partners (i.e. roads operations, parks and forestry, Barrie increase cost-savings in order to minimize increases in property taxes and Police, and Library). user fees, however once these are exhausted there are only two options – increase taxes and user fees, or reduce service levels. Operating budget (user-rate) is for ongoing programs and services • funded primarily through reserve funds and user fees intended to make Included in this document are detailed performance plans for each the programs and services self-sustaining. The City currently has three department, which set out: services provided for each department or user-rate-based operating budgets: water, wastewater and parking. strategic portfolio, major objectives and performance measures, and detailed cost information. This overview focuses on providing Council Capital budget is for projects designed to create, enhance or restore • and the public with an explanation of the major drivers contributing to the the City’s significant network of assets, including infrastructure (roads, bridges, buildings etc.), land, equipment and vehicles. The capital plan is recommended 2020 Budget. funded from a combination of property taxes, development charges, debt issuance, grants, rates and reserves. 2020 | EXECUTIVE SUMMARY 3
2018 – 2022 Barrie City Council Strategic Plan The following list provides an overview of key initiatives that are underway that the City of Barrie has the necessary workforce today to support across the corporation to achieve Council’s Strategic Plan. Key Performance both the growth of existing industries and the attraction/development of Indicators (KPI’s) have been developed to measure the progress of these new and emerging industries. initiatives and will be reported quarterly to Council. Divisional service delivery initiatives are included in the detailed performance plans found in later sections • D owntown Creative Hub - Continue efforts that support and enable the of the budget binder. ongoing emergence of a vibrant City Centre that serves as an employment hub for creative and knowledge-based industries, as well as a cultural hub Growing Our Economy for arts and creativity. • S upport initiatives to diversify the local economy including developing an open for business culture and fostering • P romote the growth of a diverse cultural community through cultural grants, effective partnerships. raising the profile of the arts community, promoting the role of culture in key efforts such as talent attraction and retention, tourism development, building the downtown creative hub and supporting young and emerging • B usiness Retention & Expansion (BRE) – Establish a targeted BRE artists/creatives. outreach program to gain a deeper understanding of issues faced by key employment sectors, barriers to growth, and opportunities to connect with meaningful resources to support the businesses. Fostering a Safe & Healthy City • R efresh and update the City’s Energy Management Plan to • Investment Attraction - Build on the work done over the past several years establish new five year conservations targets and goals. to identify target industries through the Manufacturing Sector Study, as well as the Trade and Investment Mission, to deliver targeted business attraction • Implement Milestone 5 of the Climate Change Adaptation Strategy. efforts. • Continue with the implementation of the Affordable Housing Strategy. • O pen for Business - Continue implementation and measurements aimed at making it easier to do business with the City. This will be achieved through continued business engagement and development facilitation services, building on internal messaging and programming across the Corporation that fosters an Open for Business culture. • T ourism Strategic Alignment – Initiate and oversee the development of a Tourism Master Plan, with a focus on both developing tourism activity in the City, as well as aligning the activities within the plan with key components of the Invest Barrie strategy. • T alent and Workforce - Develop and deliver multiple coordinated initiatives, in collaboration with community partners, that help to ensure 2020 | EXECUTIVE SUMMARY 4
Building Strong Neighbourhoods • M anage the City’s Growth Plan in a manner consistent with an • G row the “open data” initiative, providing citizens with timely and updated appropriate financial framework for growth. information. • Continue with the preparation of a new Official Plan. • C ontinue to improve and implement online services including Applications, Permits, Licenses, Inspections (APLI) and the recreation registration system. • Develop a Council - endorsed Strategic Asset Management Policy to comply with new Provincial regulation. • A ssess the impact of next generation 9-1-1 and the associated changes to the emergency dispatch system. • C ontinue implementation of sustainable waste management strategy including residential multi-unit waste diversion. • E nhance Customer Service access options through collaboration with departments to effectively transition their customer service delivery into • C omplete the pre-design for the Wastewater Advanced Nutrient Service Barrie. Monitor, track and analyze customer interactions to measure Management project. satisfaction levels and develop Corporate Customer Service guidelines. • S upport the development of key projects such as Allandale Train Station • Increase the support and training offered to departments on innovation redevelopment, Fisher Theatre and Events Centre, Waste Water Treatment tools and processes and continue to support the Edison awards aimed at Plant, City Hall Intensification, Barrie Simcoe Emergency Services Campus, recognizing innovation at the City. Ferndale Operations Centre and Environmental Centre upgrades, and ongoing growth planning. Improving the Ability to Get Around • C ontinue to partner with Georgian College on the Universal Offering Innovative & Citizen Driven Services Transit Pass (UPass) program by enhancing the delivery and • P rioritize, in collaboration with the City’s Executive Management efficiency of the program, adapting to changing and increasing Team, annual strategic corporate initiatives and the related ridership and travel patterns. capital plan to advance Council’s strategic priorities. • Continue to explore service partnerships and funding opportunities • S trengthen Financial Management through the Long Range Financial Plan with other government agencies, transit agencies and key community and increased automation of financial data to support accurate and timely stakeholders, such as the local school boards, the County of Simcoe and reporting. both federal and provincial governments. • Implement Customer Relationship Management (CEM) technology to • Advance designs for key arterial roads and servicing projects to alleviate more effectively track and monitor customer interactions. congestion and support growth in and around the Secondary Plan Area. • C ontinue to grow our Geographical Information System (GIS) online presence to provide user-friendly applications that enable users to find answers to common questions, and increase transparency across the organization. 2020 | EXECUTIVE SUMMARY 5
Financial Summary a few years. The 2020 budget includes a proposed growth strategy that The City faces many pressures in developing a fiscally responsible budget. To will draw $2 million from reserves in 2020 to mitigate the impact of growth understand how these various pressures impact the recommended business related operating costs. plan and budget, City staff have used a “building block” approach considering the costs of maintaining City operations, new investment and service • The Provincial Government introduced a number of funding and program recommendations, service partners, and debt management. The following changes through the provincial budget that are adding pressure to the City’s summarizes the recommended Business Plan and Budget. tax base primarily through its service partners. To date, staff have quantified approximately $1.6 million in additional costs for 2020. This number is Council direction outlined a maximum 2020 tax rate increase of 3%, plus expected to increase as service partners are able to fully assess impacts to the 1% levy for the Dedicated Infrastructure Renewal Fund, plus legislated their budgets. impacts (e.g. Provincial Budget). The recommended operating budget requires a 3.52% tax rate increase resulting in an increase of $148 to the property tax • In maintaining the financial health of the City, the 2020 proposed budget bill for a typical home assessed at $351,368. The following are major drivers includes the annual 1% Dedicated Infrastructure Renewal Fund contribution of the tax rate increase: of $2.5 million to support renewal needs of the City’s $3.8 billion of infrastructure assets. • T he net cost to maintain City services increased by $5.2 million resulting in a 2.11% increase to the tax levy. The increase is attributable to increases in The proposed user rate budget for water will require a 3.47% rate increase costs for labour, winter control, and the ongoing repair and maintenance of resulting in an increase of $11.96 to the water bill for a typical home. the City’s aging infrastructure. Some of these cost increases have been offset by recoveries from existing reserves and increases in user fee revenues. The proposed user rate budget for wastewater will require a 3.83% rate increase resulting in an increase of $18.53 to the water bill for a typical home. • As previously planned, new debt financing costs totaling $1.2 million are required in 2020 to fund the City’s Capital plan, including previously completed projects such as Centennial Park Expansion and Memorial Park. Tax Levy Tax Rate Descriptions Increase/(Decrease) Impact These new debt servicing costs will be funded primarily from the tax levy with an impact of 0.47%. Maintain service levels for current City operations $ 5,182,839 2.11% • New investments and service recommendations amount to $2.4 million. Debt Management $ 1,179,911 0.47% Some of these costs are recovered from capital projects, user rate budgets Growth Strategy $ (2,000,000) -0.80% and reserves. The overall net impact to the tax levy is $1.7 million or 0.66%. Realized Assessment Growth -1.60% • Service Partners proposed budgets increased by $4.2 million to a total of Investment & Service Recommendations $ 1,648,692 0.66% $89 million. The County of Simcoe has an increase of $912 thousand, Police Service Partners $ 2,586,163 1.03% Services Board $2.7 million, and the Library Services Board $467 thousand. CITY & SERVICE PARTNER OPERATIONS $ 8,597,605 1.87% $1.6 million of this increase is the result of downloading by the Province. • City is in the process of preparing for rapid growth and therefore has more Dedicated Infrastructure Renewal Fund $ 2,505,003 1.00% exposure to the associated short-term financial burdens. The basic principle Provincial Budget Impact $ 1,621,000 0.65% is that operating costs driven by growth are incurred in advance of the collection of property taxes resulting from growth, and the delay is often TOTAL $ 12,723,608 3.52% 2020 | EXECUTIVE SUMMARY 6
Capital Plan The City acquires, operates, maintains and renews assets to support the The 2020 Capital Plan presents financial challenges unique to municipalities delivery of services to residents, businesses, partner agencies and visitors. preparing for rapid growth, specifically, the need to install and pay for the Roads, rail lines, bridges and sidewalks provide transportation networks infrastructure required to support growth before the revenue associated with to move goods and people, while watermains and treatment infrastructure growth is realized. The City’s reserves are expected to be overcommitted by ensure safe drinking water is available. Recreation centres and playgrounds approximately $34.5 million on a consolidated basis going in to 2020 with the are community gathering places where people learn, play, stay healthy and majority of the over commitment pertaining to growth related infrastructure interact with one another. Fire trucks and snow plows are required to support funded from development charges. The 2020 capital plan relies on maintaining emergency services and keep our city safe and accessible all year long. a robust balance in other reserves to mitigate the City’s financial risk. In total, the assets owned by the City amount to an estimated replacement value in excess of $3.8 billion. The financial challenges of growth have been exacerbated by Bill 108 – More Homes, More Choices Act which introduces provisions such as allowing The City uses a risk-based approach to capital planning that prioritizes and developers to defer payment of development charges for certain types of balances the City’s needs in a sustainable manner. The need to build and development for terms of 5 or 20 years. The Act also removed the ability for acquire new infrastructure to service development is ongoing, while the municipalities to collect cash-in-lieu of parkland and soft service development City must maintain, renew, rehabilitate and replace existing aging assets, charges for infrastructure such as recreation facilities, libraries, and social particularly roads, facilities, sanitary/storm water drainage systems, fleet, housing. The Act introduced a new charge, the Community Benefit Charge and water supply and treatment systems. (CBC), in place of these revenue sources. However, transitional provisions and detailed regulations on the collection of the CBC remain outstanding. To ensure that the City manages its existing and future assets responsibly and Implications of Bill 108 will not be fully understood until the regulations are is able to financially support future development, the application of leading finalized and a full review has been conducted. asset management practices was a foundational element in the preparation of the 2020-2029 Capital Plan. The following is a high level overview of Some of the key projects included in the capital plan are listed below: previously approved and new requests associated with the 2020 to 2024 Capital Plan projects: Capital Plan Key Projects 2020 2021 2022 2023 2024 Grand Total Harvie Road Crossing Previously Wastewater Treatment Facility upgrades and Approved capacity expansion (Committed) $ 50,874,726 $ 2,762,883 – – – $ 53,637,609 Bell Farm Road ROW expansion New Capital McKay Road ROW expansion Requests $ 84,610,250 $ 36,126,849 $13,803,000 $ 8,041,000 $ 2,000,000 $144,581,099 Road Resurfacing New Investment Dunlop Street Corridor improvements and Service Recommendations $ 315,747 – – – – $ 315,747 Mapleview Dr. E Road expansion and new trunk (for Operating watermain Budget requests) Storm pond upgrades Total 2020 Capital Budget $135,800,723 $ 38,889,732 $13,803,000 $8,041,000 $ 2,000,000 $ 198,534,455 2020 | EXECUTIVE SUMMARY 7
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