Transcript Financial Plan 2014-2018

Erin Anderson
Director of Financial Services
April 7, 2014
Financial Plan
2014-2018
&
Property Tax
Policy
Community Charter
Requirements
 Section
165(1)
“A municipality must have a financial plan
that is adopted, by bylaw, before the
annual property tax bylaw is adopted.”
2014-2018 Financial Plan
 Updated
available
 Capital
as information becomes
Project List – General
Administration Projects
Audio/Visual Equipment - Council Chambers
Citizen Surveys
City Hall
City Hall Reserve
DCC Review
DCC Review - indepth
Electronic agendas
Electronic records management system
Telephone System
Waterfront Property
Development Projects
Boundary Expansion
Directional Signage
Directional Signage implementation (Consultant)
Downtown Parking Signage
Downtown Wayfinding Signs
First Nations Protocol
Waterfront Area Plan
Zoning Bylaw
Emergency Services
Fire Services & Police
Emergency Services
Back up generator - FJCC
Storage container - FJCC
Fire
Fire Hall Reserve
Firefighters Turn-out Gear
Fire Hall Upgrade
Police
Close Circuit Video Equipment (Mandatory 2015)
RCMP building generator
General & IT
General
Infrastructure Deficit allocation
Information Technology
Active Network Software (Class) start-up
VMHOST3
Mobile Version of Website
Sharepoint Server
Vadim - upgrades to platform support & Vadim Open
Parks
Bleachers for Base Ball fields
Dog park
Dugouts & storage roofs
Dugouts & storage roofs Aggie
Holland creek Ball Field Washrooms
Holland Creek Bridge Replacement
Holland Creek Trail assessment/improvements
Holland Creek Trail improvements
Holland Creek Trail washrooms
Information Boards - Holland Cr 6th & Methuen
LMS Walkway
Lot 108 Phase 2
Soccer nets
Trans Canada Trail feasibility study (grant dependent)
Transfer beach foreshore improvements
Transfer Beach Picnic tables
Tree replacement Program
Playgrounds
Recreation
Playgrounds
Aggie Field playground
Playground - Transfer Beach
Root Street playground
Transfer Beach Playground (Rotary)
Recreation
Expand fitness centre - FJCC
Fitness Equipment - FJCC
Weight Machines
Building Maintenance
Lower parking lot paving -FJCC
2nd Floor Air Handling Unit- FJCC
Machine Shop Building Condition Assessment
Admin office roof Air Handling Unit - FJCC
Main pool sand filter – FJCC
Air Handling Unit - City Hall
Oasis Pool - Boilers – FJCC
Boiler Retrofit - PW
Oasis Swimming Pool filter – FJCC
Change room floor replace - FJCC
Pool vacuum – FJCC
Charging Station - FJCC
Reception Area safety upgrades- FJCC
Direct Digital Control System - FJCC
Remote Lighting software - Aggie & FF
Domestic Hot Water Boiler Shower - FJCC
Rooftop Air Handling Unit-Aquatics - FJCC
Energy upgrades - FJCC
Shower Flooring - Forrest Field
Floor scrubber - FJCC
Sportsman shelter Roof TB
Heater washroom - Transfer Beach
Swimming Pool Boilers - FJCC
Kinsmen Shelter Roof - TB
Washroom upgrades- Aggie
Lighting upgrades - Aggie
Water fountain Forrest Field
Lighting Upgrades - FJCC
Water hydration stations - FJCC
Locker replacement - FJCC
Whirlpool Boiler - FJCC
Public Works Projects
Annual sidewalk repairs
Master Transportation Plan
Communications System Upgrade
Dogwood Drive Bridge Capacity Assessment
Ornamental Streetlights - inspection
Parking at aggie
Equipment - Bobcat
Pavement Management Strategy
Equipment - Sander
Pavement Reconstruction
Equipment replacement
Pavement replacement
Equipment Replacement - 3 pickups
Paving: 4th Ave, Methuen to Belaire
Geotechnical Investigation 2nd Avenue
Public Works Wash Station and Liquid Collection
GIS implementation
Safety Upgrades to 1st Avenue
Golf course culvert replacement
Gourlay Janes park retaining wall replacement
High St sidewalk & gateway - only if High St
development
Second Road Egress to Marina
Sidewalk repairs
Industrial Access Road - South Ladysmith - (split)
Symonds reconstruction
Work order/asset software
Walking Path
Subdivision Bylaw
Storm main Replacement
Storm Water Asset Replacement
Symonds storm sewer replacement
Property Taxation
Policy direction
Requirements of the
Community Charter
 S.165


Objectives and Policies for the planning
period
Portion of revenue from:
 Property
Taxes
 Parcel Taxes
 Fees
 Other
 Borrowing
2013-2017 Policy
 The
Town will review all user fee levels to
ensure they are adequately meeting both
the capital and delivery costs of the
service.
Sources of Revenue
Revenue
Property Taxes
2013
% total
$6,781,999 29.99%
2014
DRAFT
% total
$7,035,340 28.11%
158,250 0.70%
165,163
0.66%
Parcel Taxes
1,349,850 5.97%
1,389,814
5.55%
User fees & Charges
3,059,327 13.53%
3,049,666 12.19%
Grants in Lieu
Other Sources
454,921 2.01%
484,422
1.94%
Borrowing
4,729,000 20.91%
4,060,000 16.22%
Government Grants
1,313,051 5.81%
5,336,777 21.32%
DCC's & Reserves
Own Funds
Library
381,625 1.69%
4,085,439 18.06%
303,456 1.34%
331,625
1.33%
2,850,845 11.39%
328,018
1.31%
Distribution of Property Tax
 The
residential property class provides the
largest proportion of property tax
revenue. This is appropriate as this class
also forms the largest portion of the
assessment base and consumes the
majority of Town services.
2013 Property Tax Objective

In 2013, maintain the Major Industry (Class 4) tax
dollar levy. Over 2014-2017, reduce the share of
property tax paid by Class 4 by at least 2 percent.

In 2013, Council directed the Residential Class
(Class 1) tax increase to be no more than 5% after
new construction figures and that the
Business/Other Class (Class 6) increase be no more
than half of the Residential (Class 1) increase. Over
2014-2017, maintain the Class 6 tax levy increase
to be no more than half of the Class 1 tax levy
increase.
2013 Property Tax Distribution Policy

Supplement, where possible, revenues from user fees and charges to
help to offset the burden on the entire property tax base as a result of the
reduction in the tax share paid by major industry (Class 4).

If a tax shift to other property classes is required as a result of the
reduction in the tax rate to major industry (Class 4), Residential (Class 1)
should be the first to absorb any such shifts.

Continue to maintain and encourage economic development initiatives
designed to attract more light industry, retail and commercial businesses
to invest in the community. New investment from these areas will help
offset the reduction to major industry (Class 4) while providing more
revenue for the Town.

Align the distribution of tax rates among the property classes with the
social and economic goals of the community, particularly to encourage
economic and environmental sustainability opportunities.

Regularly review and compare the Town’s distributions of tax burden
relative to other municipalities in British Columbia.
2009 – 2013
Distribution of Property Tax
80%
70%
2009
2010
2011
2012
2013
60%
50%
40%
30%
20%
10%
0%
Residential
Major Industry
Business
All other
How does Ladysmith
compare?
Difficult to compare…
Ranking of Class 1
 Provincially



115/161 for rate (4.8096)
95/161 for percentage of taxes (69%)
118/161 for per capita ($588)
Residential Class
% of Total Assessment
Ranking of Class 4
 Only
ranking municipalities with Class 4
 104/105* for rate (97.3893)
 44/77 for percentage (13%)
Major Industry Class
% of Total Assessment
Class 4 Properties - $945,952
Owner
2013 Assessment 2014 Assessment
Western Forest Products Inc
4,019,000
3,479,000
Western Forest Products Inc
5,244,000
5,507,000
Doman-Western Lumber Ltd
424,000
423,000
Oak Bay Marina Ltd
11,200
11,200
Western Forest Products Inc
14,900
14,900
9,713,100
9,435,100
Total (Class 4)Assessment
Does Council wish to
continue with the policy of
levying the Class 4 properties
at a total dollar value of
$945,952?
Ranking of Class 6
 129/161
for rate (14.7969)
 64/161 for percentage of taxes (16%)
Business/ Other Class
% of Total Assessment
Does Council wish to
maintain the current policy:
Over 2014-2017, maintain
the Class 6 tax levy increase
to be no more than half of
the Class 1 tax levy increase.
Recreation Non-profit Class
% of Total Assessment
Ranking of Class 8
 33/161
for rate (2.7162)
 51/161 for percentage of taxes (0%)
 Only



4 Properties:
Ladysmith 2101 Home Society
Oak Bay Marina (2 properties)
Ladysmith Maritime Society (non-exempt
portion)
Recommendation:
Increase the tax reliance
on Class 8 to reflect the
assessment changes to
this Class.
Questions?
Provincial Multiples
 Class
1 Residential
 Class 2 Utilities
 Class 4 Major Industry
 Class 5 Light Industry
 Class 6 Business/Other
 Class 7 Managed Forest
 Class 8 Recreation
 Class 9 Farm
1.0 : 1
3.5 : 1
3.4 : 1
3.4 : 1
2.45 : 1
3.0 : 1
1.0 : 1
1.0 : 1