Councillors here have endorsed a $9.1-million capital budget for 2015.
That amount does not include operating budget figures to be able to determine the impact to the local tax levy.
Budget committee talks began on Jan. 20 at 9am and wrapped up later that afternoon. Three days were originally set aside to finalize the capital budget, slated for adoption on Jan. 26.
Mayor Kelly Linton prefaced the discussion by stating “the budget is one of the most important things we do as a council.” He said council looked forward to making decisions in the best interests of the community.
Residents have indicated that they want to see their government spend on local “needs” rather than “wants,” he stated.
Linton added, “what many people see as wants are what others see as needs. It’s not always simple.”
But he said it is something councillors needs to consider to be good stewards of local tax dollars. He remembered talking to a resident who stated a preference to have first class parks even if they had to drive on third world roads.
“That is one perspective out there that our parks are important.”
At the same time, during last year’s election campaign Linton also heard from people wanting the township to keep on top of repairs to roads and bridges.
“We always deal with different priorities and it is difficult to please everybody,” he said.
But Linton added he believes there were common themes during the election and he said they are areas to which council should pay attention.
“Overall people want to see how their tax dollars are being spent. They want to see roads fixed, parks built, drink clean water, want to make sure the environment is looked after, trees planted, well maintained streets and they want to see well-designed neighbourhoods.”
He said it is clear there are some basic good governance issues the township needs to address.
Linton said residents want to see money spent on projects they can understand, that make sense to them and that meet their priorities.
“I get a sense that people who are paying attention to local government are a little leery when they see a lot of plans in our budget,” he said. “They want to make sure there is action that comes out of that.”
Linton acknowledged that studies and plans are needed, “but we do have to make it clear to ourselves as to what questions are being asked and what is needed out of the plan.”
Also, he said council needs to address how those issues are communicated to residents – including why the plans are needed and how they will make a difference.
“Overall the sense I got is that people understand they have to pay taxes. I don’t think everyone jumps up and down when their taxes come in, but there is a recognition that to have a well functioning community we need to pay taxes.”
But he said people want to know what they are paying taxes for in order to see they are getting good value for their money.
“Part of our job is setting clear priorities on how we spend money and part of that job is the communication of how we do it.”
Linton said staff have spent an enormous amount of effort and time on the capital budget.
“I’m very impressed with the improvements in the budgeting process over the past few years.” Linton said. “What is presented is high level quality with a lot of detail, with a lot of thought having gone into it.”
CAO Andy Goldie considered the 2015 capital budget “fairly robust,” with a significant amount of dollars being spent to improve Centre Wellington. He noted the township has separated its capital and operating budgets for a number of years.
“Had it not been for the election, we would have been having these discussions in December,” he said.
Goldie added “we’ve seen significant savings in our tenders when we have contracted early in the new year.”
Because of that the township garnered significant savings, allowing the municipality to undertake additional projects.
Goldie added that in addition to working on developing a three-year capital forecast, the idea is to eventually develop a three-year operating budget to assist in better planning.
He also reviewed key areas of the strategic plan, including funding, infrastructure, growth strategy, lifestyle services, communications and human capital.
“We’re trying to make the right priorities rather than looking at various areas of the community or wards,” said Goldie.
He explained funding for 2015 and the 10-year forecast includes funding from:
– federal gas tax revenue;
– OLG funds;
– development charges and developer contributions; and
– tax-supported reserves.
Goldie said the largest share of the township’s debt is for the Fergus wastewater treatment plant expansion (2019).
Goldie stressed that the township does not spend any of the funds received from the OLG until the following year.
“We do not pre-spend that money. We wait until it is all in the bank before spending any of that money.”
He noted OCIF funding is not included until the operating budget is discussed to ensure projects being applied for meet the OCIF requirements.
Goldie then outlined some of the items included in this year’s budget.
Work to buildings and cemeteries ($1.5M)
– Civic Centre Veteran’s Hall and HVAC upgrades;
– Daniel St. elevated tower;
– various cemetery improvements;
– Belwood Hall roof replacement;
– Fergus Sportsplex Aquatic Wall;
– Elora Arena chiller replacement;
– Fergus Grand Theatre – accessibility issues; and
– Victoria Park Seniors Centre building and parking lot extension.
Roads, bridges, water and sewer systems ($1.2M)
– Middlebrook Road, 3rd line to Wellington Road 7;
– First Line, #6687 to Sideroad 15;
– Queen St. E., Hillside to River St.;
– Chalmers St., Church St to Colborne St.;
– McQueen Boulevard extension;
– Gregson Court storm water management;
– Hill St. W., Maple St. to Beatty Line;
– Price St., Mill St. to Church St.;
– Water St., High St. to Bridge St.;
– Sideroad 18, Steele St. to Vincent St.;
– Bridge repairs and remediation;
– Mill St. pumping station;
– Hwy. 6 trunk main extension; and
– Sportsplex parking lot partial replacement.
Growth strategy
Goldie noted key projects in the township’s growth strategy include a corporate strategic plan update, fire master plan, water and wastewater rate study, community improvement plan, CIP Grant funding in 2015 operating budget, development manual partnering with Waterloo Region and City of Guelph on servicing standards.
Other areas being reviewed include rural transportation to address community social and economic issues; official plan update/growth servicing strategy; long term water strategy; parks, recreation and cultural master plan update; storm water master plan and a heritage master plan.
Lifestyle services ($1M)
Goldie said several projects fall under lifestyle services, including:
– Victoria Park Senior Centre expansion and parking lot expansion;
– Fergus Grand Theatre accessibility upgrades;
– Westminster Highland Park accessible play equipment;
– Strathlea Park accessible play structure;
– Tourism office – 10 Mill St. renovation and move; and
– Trans Canada Trail development with Wellington County.
Human capital
Goldie said while human capital costs generally come through the operating budget, there were two items under capital:
– Elora Firefighter personal protective equipment, and
– a fire extinguisher training unit.
Development charges
Centre Wellington managing director of corporate services Wes Snarr provided a snapshot of the development charge funds in the township.
He anticipated development charges would provide sufficient funds for 2015 and the next five years based on:
– current and projected development activity;
– annual growth-related debt payments of $1.82 million (including the Elora wastewater treatment plant at $1.12 million) and;
– $1.16 million to fund capital projects in 2015, and $750,000 in 2016 to 2020.
Capital budget roughly $9.1 million
In his presentation to council, financial manager/deputy treasurer Mark Bradey said the tax-supported portion of the capital budget is $6.56 million plus the user-pay portion of $2.56 million.
On Jan. 26 council adopted the 2015 capital budget as outlined in the report from the financial manager/deputy treasure.
Goldie said the portion of the capital budget approved by the budget committee is not substantially different.
He said part of that budget was slightly higher than in 2014 because of additional water and wastewater projects.
“But everything submitted at (the Jan. 20 budget meeting) was approved,” Goldie said.
2015 capital project highlights
– Reconstruction of Water Street from High Street to Bridge Street
– Completion of the expansion at the Victoria Park Seniors Centre
– Renovations at 10 Mill St. for the relocation of the tourism office in late 2015
– Reconstruction of Chalmers Street from Church Street to Colborne Street
– Replacement of the propane-fueled ice resurfacer at the Elora Community Centre with an electrically-powered resurfacer to improve air quality in the facility
– Reconstruction of Price Street from Mill to Church Street
– Implementation of a multi-year pavement management program to replace small sections of pavement
– Proactive remediation on township bridges to extend their useful life
– Replacement of the roof at the Belwood Community Hall
– Installation of water and wastewater infrastructure on Highway 6 between Side Road 18 and Side Road 19
– Upgrading the Fergus Grand Theatre for accessibility including the front lobby and washroom
– Pre-engineering for the reconstruction of Middlebrook Road – Third Line to Wellington Road 7.
