Corporate Services and

Economic Development Committee

Comité des services organisationnels

et du développement économique

 

Minutes 41 / Procès-verbal 41

 

Tuesday, 7 April 2009, 10:00 a.m.

le mardi 7 avril 2009, 10 h 00

 

Champlain Room, 110 Laurier Avenue West

Salle Champlain, 110, avenue Laurier ouest

 

 

Present / Présent :     Mayor / Maire L. O’Brien (Chair / Président)
Councillors / Conseillers S. Desroches (Vice-Chair / Vice-président),
R. Bloess, G. Brooks, R. Chiarelli, D. Deans E. El-Chantiry, R. Jellett, M. McRae, M. Wilkinson

 

Regrets / Excuses :      Councillor / Conseiller P. Hume

 

 

 

CONFIRMATION OF MINUTES

RATIFICATION DU PROCÈS-VERBAUX

 

Minutes 40 and Confidential Minutes 20 - Monday, 23 March 2009 were confirmed.

 

                                                                                                            confirmed

 

 

 


Declarations of Interest

dÉclarations d’intÉrÊt    

 

Mayor O’Brien read into the record the following Declaration of Interest with respect to Item 6 of the agenda: 

 

I, Mayor Larry O’Brien, declare a potential, indirect pecuniary interest on Corporate Services and Economic Development Committee Agenda 41, Item 6, Delegation of Authority – Contracts Awarded for the Period October 1 to December 31, 2008, Sponsorship and Advertising, Legal Outsourcing Costs and Payment Without Reference and 2008 Consolidated Annual Summary, as a company on which I serve on the Board of Directors, Calian Technologies Ltd, was awarded contracts during the period of this report.

 

 

 

CITY MANAGER’S OFFICE

BUREAU DU DIRECTEUR MUNICIPAL

 

COUNCIL AUDIT WORKING GROUP

gROUPE DE TRAVAIL DU CONSEIL SUR LA VÉRIFICATION

 

1.         COUNCIL AUDIT WORKING GROUP - 2005 - 2008 AUDIT RECOMMENDATIONS - QUARTERLY ACTION STATUS REPORt

GROUPe de travail du conseil sur la vérification -  recommandations découlant des vérifications de 2005 À 2008 - rapport d'étape trimestriel

ACS2009-CMR-OCM-0001                              city wide / À l’Échelle de la ville

 

That the Corporate Services and Economic Development Committee recommend Council:

 

1.      Receive for information the ongoing action status tracking report for the 2005, 2006, 2007 and 2008 audit recommendations as of December 31, 2008 as outlined in Documents 1 - 4; and

 

2.      Approve the changes with respect to implementation for the following 2006 audit recommendations as outlined in Document 5, specifically:

 

a.      Fire Services Audit recommendations no. 12, 15 and 19b); and

 

3.      Approve the changes with respect to implementation for the following 2007 audit recommendations as outlined in Document 6, specifically:

 

a.      3-1-1 Audit recommendations no. 7 and 10

b.      Labour Relations Audit recommendations no. 10, 11 and 18

c.       Staffing Relations Audit recommendations no. 6 and 8

d.      Food Safety Audit recommendations no. 2 and 10

e.      Pesticide Use Policy Audit recommendation no. 5

f.        Parks and Recreation Branch Audit recommendations no. 6, 15, 17 and 21

 

CARRIED

 

 

 

Corporate Project Office

Bureau des projects municipaux

 

2.         PROPERTY ACQUISITION - PART OF BLOCK 1, 4M-154, GEOGRAPHIC TOWNSHIP OF GOULBOURN, CITY OF OTTAWA - IBER ROAD HAZELDEAN DEVELOPMENTS INC.

ACQUISITION D’UNE PROPRIÉTÉ – PARTIE DU BLOC 1, 4M-154, CANTON GÉOGRAPHIQUE DE GOULBOURN, VILLE D’OTTAWA – IBER ROAD HAZELDEAN DEVELOPMENTS INC.

ACS2009-CMR-CPO-0023                                           Stittsville-Kanata West/Ouest (6)

 

That the Corporate Services and Economic Development Committee recommend Council approve the acquisition of a 1.336 ha (3.3 ac.) parcel of vacant land required to support the development of the proposed Kanata West Fire Station from Iber Road Hazeldean Development Inc., referred to as part of PIN 04450-1279 and described as Part of Block 1, 4M-154, Geographic Township of Goulbourn, now the City of Ottawa, as shown hatched on Document 1, for the consideration of $1,039,500 subject to final survey and adjustments on closing.

 

CARRIED

 

 

 

3.         SALE OF LAND - KERRY HILL CRESCENT – BLOCKS 62 AND 63

VENTE DE TERRAIN – CROISSANT KERRY HILL – BLOCS 62 ET 63

ACS2009-CMR-CPO-0019                                                      West Carleton-March (5)

 

That the Corporate Services and Economic Development Committee recommend Council:

 

1.      Declare a parcel of vacant land shown hatched on Document 1 attached, containing an area of approximately 3,219 m2, described as Blocks 62 and 63, Registered Plan 4M-768, City of Ottawa, as surplus to the City’s needs; and

 

2.      Approve the sale of the land outlined in Recommendation 1, subject to any easements that may be required, to Bettina Welsch and Johannes Welsch for $12,000.00 plus GST, pursuant to an Agreement of Purchase and Sale that has been received.

 

CARRIED

 

 

 

4.         Sale OF LAND – CLOSED PORTION OF BRUNSWICK STREET ADJACENT TO 146 LEES AVENUE

vente de terrain – partie fermée de la rue BRUNSWICK ADJACENTe au 146, avenue LEES

ACS2009-CMR-CPO-0024                                                                        Capital (17)

 

That the Corporate Services and Economic Development Committee recommend Council:

 

1.   Declare a parcel of vacant land containing an area of 203.6 m2, subject to final survey, described as part of the westerly half of Brunswick Street approved for closure, Registered plan 97162, City of Ottawa, shown hatched on the attached Document 1, as surplus to the City’s needs; and

 

2.   Approve the sale of the land outlined in Recommendation 1, subject to any easements that may be required, to Anselme Allah for $40,000 plus GST pursuant to an Agreement of Purchase and Sale that has been received.

 

CARRIED

 

 

 

5.         LEASE - 1221 CYRVILLE ROAD - ELECTIONS OFFICE

bail – 1221, chemin Cyrville – bureau des élections

ACS2009-CMR-CPO-0016                                                      Beacon Hill-Cyrville  (11)

 

That the Corporate Services and Economic Development Committee recommend Council approve the Lease between the City (Tenant) and Sedco Limited (Landlord) for approximately 23,795 square feet of warehouse and office space for an Elections Office located at 1221 Cyrville Road in the City of Ottawa for a term of six (6) years commencing 1 October 2009 and ending on 30 September 2015, for an estimated annual rent of $358,115 with annual escalation.

 

CARRIED

 

 

 


FINANCIAL SERVICES

SERVICES FINANCIERS

 

6.         DELEGATION OF AUTHORITY – CONTRACTS AWARDED FOR THE PERIOD OCTOBER 1 TO DECEMBER 31, 2008, SPONSORSHIP AND ADVERTISING, LEGAL OUTSOURCING COSTS AND PAYMENT WITHOUT REFERENCE AND 2008 CONSOLIDATED ANNUAL SUMMARY

DÉLÉGATION DE POUVOIR – CONTRATS ACCORDÉS POUR LA PÉRIODE DU 1er OCTOBRE AU 31 DÉCEMBRE 2008, COMMANDITES ET PUBLICITÉS, FRAIS LÉGAUX D’IMPARTITION ET PAIEMENTS SANS RÉFÉRENCE ET DÉCLARATION ANNUELLE INTÉGRÉE DE 2008

ACS2009-CMR-FIN-0010                                city wide / À l’Échelle de la ville

 

Ms. Marian Simulik, City Treasurer, indicated staff would be presenting Committee with changes that would be made to the report process due to concerns expressed by Councillors and the public.  Ms. Simulik then introduced Mr. Jeff Byrne, Manager of Strategic Projects and Mr. Dan Farrell, Program Manager of Purchasing.

 

Mr. Byrne spoke to a PowerPoint presentation, which served to provide Committee with an overview of the report and of changes that would be made to the report process.  A copy of the presentation is held on file.

 

Councillor El-Chantiry referenced the media and public reaction that had occurred when the report was released and he asked why a summary had not been attached to the report to properly explain the figures and put things in perspective.  Mr. Kent Kirkpatrick, City Manager, felt the Councillor raised a good point and agreed that in the future, the staff should attach a short summary or press release to properly explain all controversial reports or all reports that staff felt were potentially newsworthy to ensure that these were accurately reported in the media.  He also believed members of Council should have the benefit of that high level information prior to being put in the position where they had to answer questions from the media. 

 

Committee members expressed support for the idea. 

 

Following these exchanges, Committee voted on the item.

 

That the Corporate Services and Economic Development Committee receive and discuss this report and then forward it to Council for information.

 

                                                                                                            CARRIED

 

 

 


7          2009 BUDGETS AND SPECIAL LEVIES FOR BUSINESS IMPROVEMENT AREAS AND SPARKS STREET MALL AUTHORITY

BUDGETS DE 2009 POUR LES ZONE D’AMÉLIORATION COMMERCIAL ET L’ADMINISTRATION DU MAIL DE LA RUE SPARKS

ACS2009-CMR-FIN-0014                                city wide / À l’Échelle de la ville

 

That the Corporate Services and Economic Development Committee recommend Council:

 

1.      Approve the 2009 budgets and special levies, as presented in Document 1, for the following:

Bank Street BIA;

Barrhaven BIA;

ByWard Market BIA;

Carp BIA;

Glebe BIA;

Manotick BIA;

Orleans BIA;

Preston BIA;

Rideau BIA;

Sparks Street BIA;

Sparks Street Mall Authority;

Somerset Village BIA;

Somerset Chinatown BIA;

Vanier BIA;

Wellington West BIA;

Westboro BIA; and

 

2.      Enact the BIA levy by-laws and the Sparks Street Mall Authority by-law for the BIAs and mall authority listed in Recommendation 1 once the 2009 tax ratios are approved.

 

CARRIED

 

 

 

8.         CONSERVATION AUTHORITIES 2009 LEVIES

PRÉLÉVEMENTS 2009 DES OFFICES DE PROTECTION DE LA  NATURE

ACS2009-CMR-FIN-0013                                city wide / À l’Échelle de la ville

 

That the Corporate Services and Economic Development Committee recommend Council approve the 2009 general and special levies as presented in Document 1 for the following:

 

1.      Rideau Valley Conservation Authority;

2.      South Nation Conservation Authority; and

3.      Mississippi Valley Conservation Authority.

 

                                                                                                            CARRIED

 

 

 

9.         2009 Tax ratios and other tax policies

COEFFICIENTS FISCAUX ET AUTRES POLITIQUES D’IMPOSITION DE 2009

ACS2009-CMR-FIN-0017                                city wide / À l’Échelle de la ville

 

Ms. Marian Simulik, City Treasurer, began by introducing Mr. René Bisson, Manager of the Billing and Tax Policy Unit. 

 

Mr. Ken Hughes, Manager of Revenue, spoke to a PowerPoint presentation, which served to provide Committee with an overview of the report and its recommendations.  A copy of this presentation is held on file.

 

Responding to questions from Councillor Cullen, Mr. Hughes confirmed that, as a result of the commercial levy restriction, the residential tax class shouldered the lion’s share of the tax increase that would have normally come from the commercial sector and that, because other communities had assessment increases higher than those in Ottawa, the City was getting a benefit on the education portion.  With respect to the multi-residential tax ratio, he submitted that the actual neutral ratio for the multi-residential tax class was marginally higher than what was being recommended but that staff was recommending it remain the same as the previous year to conform with a direction given by Council to reduce it to 1.75.  He noted that this cost about $217,000 of burden, which was shifted from the multi-residential tax class to residential.  As to why staff was not recommending a larger decrease, Mr. Hughes indicated staff saw the benefit to Council pursuing neutral ratios because it was felt that by 2011, Council would be able to eliminate the levy restriction and tax completely into the commercial property tax class.  Further, he noted that any further reduction in the multi-residential tax ratio had not been requested by Committee or Council. 

 

Councillor Wilkinson referenced a newspaper article that encouraged residents to contact the Revenue office if they were having trouble paying their taxes.  She noted one resident who had called the office was disappointed to learn that all staff was offering was the pre-paid plan.  She submitted that the newspaper article had implied staff could offer more by way of assistance.  Mr. Hughes maintained that under the current Council-approved by-law, the Revenue office had to charge interest on any unpaid balances.  He explained the purpose of coming forward and asking Council to endorse a more flexible collection process was really to remove any anxiety property owners may have about the risk of losing their property.  He noted that the Municipal Act did not allow a municipality to take the extreme collection measures of selling a property for non-payment of taxes until after three years of property taxes were in arrears.  He reported that for the most part, staff and residents were able to arrive at mutually acceptable repayment arrangements but that full interest did apply.

 

Responding to a question from Councillor Wilkinson with respect to neutral tax ratios for the multi-residential tax class, Mr. Hughes explained that neutral ratio was a tax term meaning ratios that would mean the tax burden in a new year would be equivalent to the tax burden in the previous year in spite of re-assessment.

 

Councillor Wilkinson indicated she had been told that if the City went down to 1.7 instead of 1.75 for multi-residential, landlords would not be able to pass on a rent increase because of rising taxes.  She wondered if this information has been provided to staff.  Mr. Hughes indicated he had seen the submission from the Eastern Ontario Landlord Organization (EOLO) just prior to the meeting.

 

Councillor Wilkinson said she would be introducing a motion to reduce the multi-residential tax ratio from 1.75 to 1.7.  She had a problem with the fact that new multi-residential properties were taxed at a ratio of 1 whereas old multi-residential properties were taxed at a ratio of 1.75.  She wondered if anything was being done to address this issue with the Province.  Mr. Hughes reported having discussions with the Province about the difficulty of coming up with what is a fair measure of tax burden.  He noted these two classes were valued on a different basis; residential properties based on market sales and multi-residential properties based on cash flow.  He remarked that there was disagreement between all of the communities as to what was an indication of fairness.  With respect to the difference between new multi-residential and old multi-residential, he explained that the new multi-residential tax class was created to encourage the construction of new multi-residential properties and that the Provincial legislation did not allow Council to increase the new multi-residential ratio up to match that of the old multi-residential ratio.

 

In response to questions from Councillor Bloess with respect to capping and claw back provisions and the parameter being proposed in recommendation five of the report, Mr. Hughes explained that capping was initially introduced as a temporary measure and was supposed to be phased-in over three year, after which all properties would be paying their full current value assessment (CVA) tax.  He indicated capping had been extended indefinitely and, under the current regime, some properties would take in excess of 20 years before paying their full CVA taxes.  He reported that municipalities had been asking for some of the parameters introduced in order to progress properties through the capping program more quickly because if some property owners were paying less, others were paying more.  Within each tax class, property owners that were entitled to reductions were seeing their reductions clawed back in order to make up for the taxes not being paid by properties that were capped.  He confirmed that the properties being protected the most were some of the largest in the City and that, in recommendation five, staff was proposing Council adopt all of the parameters available under current legislation.

 

Responding to a question from Councillor Legendre, Mr. Hughes indicated it was possible for some properties to go back and forth from being clawed back to being capped.  However, he explained that the new parameter would allow a municipality to take any properties that got within $250 of their CVA, either through progression or through an assessment, and remove them from the capping program.  Therefore, if Council adopted this parameter and a property went from being capped last year to reaching its CVA taxes this year, that property would never again be part of the capping program. 

 

In reply to follow-up questions from Councillor Legendre, Ms. Simulik indicated the multi-residential, commercial and industrial tax classes were all included in the capping program and therefore the new parameter was being recommended for all three classes.  However, she confirmed that Council could choose to exclude one of these classes from the recommended parameter.

 

Councillor El-Chantiry posed questions with respect to the lost revenue, or potential lost revenue, as a result of federal government buildings being sold to private sector ownership.  Mr. Hughes indicated that to date, about $4M of education tax had been lost when properties were sold by the federal government to private interests, that approximately 40 more buildings were identified for sale and once sold, these would result in another $21M of lost education tax.  He explained that initially, the schedule for the sale of these properties was to be over seven years and in the last budget, the federal government indicated they would continue with this plan.  He indicated staff continued to discuss this situation with the Province because the loss to the City was found revenue to the Province and they believed that this was something that could and should be fixed.  The question remained as to how it would be fixed. 

 

Councillor El-Chantiry noted that the last assessment was done in 2008 and that these values would be used for the 2009 to 2012 taxation years.  He remarked that property values had declined since the aforementioned assessments and therefore, he wondered if these would be reviewed.  Mr. Hughes explained that all properties in Ontario were assessed at the same date and, although the market had decreased since then, all taxpayers were taxed using the same valuation date.  He maintained this was a principle of taxation used in every jurisdiction and therefore there were no plans to do another assessment.  By way of example, he submitted that if it was determined that property values had decreased by 20%, then everyone’s property would drop 20% and the tax rate would adjust accordingly. 

 

Responding to questions from Councillor Chiarelli, Mr. Hughes indicated that under existing legislation, nothing could be done in terms of special tax treatment for private schools.  He explained that currently, private schools were seen as businesses and were taxed in the commercial tax class, unless their ownership was structured as a not-for-profit, in which case they were taxed in the residential property tax class.  He informed Committee that this issue had been raised with contacts at the Province but he was not aware of anything in the works to change this situation and the only way it could be addressed was through Provincial legislative changes.

 

Councillor Jellett referenced a motion that had been circulated to reduce the multi-residential tax rate from 1.75 to 1.7 and he inquired about the corresponding impact to the residential rate.  Mr. Hughes estimated the impact would be to increase the urban tax increase from 4.1% to about 4.15% and the rural tax increase from 4.6% to about 4.64%.

 

Mr. John Dickie, Eastern Ontario Landlord Organization, spoke from a written submission, a copy of which is held on file.  He began by providing a brief overview of the organization he represented.  He then explained how property taxes were transferred from landlords to tenants through the rents they paid and why EOLO cared about the taxes paid by their tenants.  He referenced Council’s past decisions with respect to multi-residential tax ratios and in particular, Council’s 2005 direction to staff to develop a 2-year phase-in strategy to achieve a multi-residential tax ratio of 1.8, representing an equivalent property tax burden compared to similar residential properties.  He believed the thrust of that direction was not the 1.8 tax ratio but rather the equivalent tax burden on the two groups of properties.  He suggested that 1.8 had been merely an estimate based on two pairs of properties, one condominium and one rental.  He maintained that if the City looked at those two pairs of properties today, an equal burden would be 1.32 or 1.53, depending on which pair, for an average of 1.42.  Therefore, he submitted that the estimate was brought up to date.  With two assessment cycles having since changed the properties’ values, the directive would be to move to 1.42.  He stated that at a ratio of 1.75, he had no doubt that tenants were paying more than an equivalent tax burden.  He indicated EOLO’s position was that tenants and homeowners should be taxed at the same rate.  Therefore, he asked that Committee recommend a reduction to Council.  Given that the goal had previously been to take easy steps, he proposed 1.62 as a multi-residential tax ratio for Committee’s and Council’s consideration.  However, if the City wished to be more modest, he recommended a move to 1.7, which would eliminate above-guideline increases at a cost to the City of about $3M.

 

Councillor Bloess referenced the previous year’s rate decrease for the multi-residential tax class and he wondered how many property owners had applied for many above-guideline increases.  Mr. Dickie explained the cycle with which such increases happened.  He indicated his office handled many of them but that he did not recall handling very many above-guidelines increases specifically for taxes, though they handled many for capital expenditures. 

 

Councillor Bloess noted that the same debate was held every year and whereas he believed the City was reaching a level of fairness at 1.75, the EOLO was presenting a whole new set of numbers this year.  Mr. Dickie explained the numbers had changed because of re-assessment and the property values shifting. 

 

Councillor Legendre noted that the delegation had made reference to studies having been updated.  He wondered if staff had reviewed these to see if the earlier conclusions were still valid and whether or not the target of fairness should be revised.  Mr. Hughes indicated he had received the document just prior to the meeting and had not had a chance to review it. 

 

Councillor Legendre presumed it would be reasonable to ask staff to review the updated study and bring forward a report, on a policy basis.  He expressed a desire to move to real fairness and he wondered whether a review could be completed for this year’s tax ratios.  Ms. Simulik explained that the tax ratios and by-laws would be rising to Council within two weeks because of the timelines needed to produce final tax bills and mail them to property owners.  Therefore, she confirmed that staff could and would undertake a review.  However, she submitted that there would not be time to complete it for this year’s tax ratios. 

 

Responding to a question from Councillor Desroches, Mr. Dickie explained the ways in which tenants benefit from multi-residential tax reductions and the processes that must be followed to ensure tax reductions are passed onto the tenants, as outlined in his written submission. 

 

Councillor Jellett wondered, if the tax ratio dropped from 1.75 to 1.7, whether the difference would be so negligible that it would not be passed onto the tenants.  Mr. Dickie responded in the negative, noting that it related to averages.  He explained that if Council reduced the ratio, it would reduce the building that had a 10% tax increase down to a 7% tax increase and the landlord would be able to pass through the difference between 2.5 and 7, not 2.5 and 10, which would reach the tenant in the form of a lower than otherwise tax increase.

 

Councillor Jellett maintained that Committee had no information to determine how many buildings would be affected in this way.  Mr. Dickie submitted staff probably had the number but had not analysed them in this way.  He maintained that there was a range of buildings, particularly in a re-assessment year.  Some landlords would be reduced from a big rent increase to a smaller one, others would be reduced from a moderate increase to zero and others would have a cost decrease. 

 

Councillor Jellett submitted that in order to get the average down, Council would have to lower the ratio to about 1.6.  Mr. Dickie responded affirmatively.

 

Mr. David Lyman, representing Minto and Transglobe, introduced Mr. Pierre Azzi of Cushman and Wakefield Property Tax Services, and provided copies of a report titled “A Study of Equal Tax Burden – 2009; Residential vs. Multi-Residential Comparison”.  Mr. Lyman discussed the scope and methodology of the study, which was originally done in 2006 for the 2006, 2007 and 2008 taxation years and recently updated for the 2009 to 2012 taxation years.  He indicated the study concluded that the necessary ratio had fallen and an equal tax burden would only come about if the ratio was between 1.3 and 1.45. 

 

Councillor Legendre took the speaker’s point with respect to a new tax ratio being needed in order to achieve fairness.  However, he wondered who would be hurt if Council lowered the multi-residential tax ratio.  Mr. Lyman indicated that the residential and commercial tax classes would bear the costs of lowering the multi-residential tax ratio.

 

Mr. Rob MacDonald, Housing Help, indicated his organization was a small, non-profit agency that had been around for 20 years and helped people look for and/or maintain housing.  He discussed the current vacancy rate and economic climate, noting that as the economy had worsened, the vacancy rate and decreased and rents increased.  He reported that in the past year, the vacancy rate had gone from 2.3% to 1.4% and rent on a one-bedroom apartment had increased from $798 to $827.  In terms of helping people find housing, he indicated these changes had made his agency’s work that much more difficult.  In terms of helping people maintain housing, he reported that the agency was doing more work at the landlord tenant board around evictions due to rent arrears because tenants were struggling to survive.  He maintained that tenants had less than half the income of homeowners and needed whatever help they could get from the City yet they continued to pay a disproportionate amount of their income on property taxes through their rent.  In terms of fairness, he requested that the City continue to strive toward parity by reducing the property taxes on multi-residential buildings and that any tax reduction should be applied in such a way that the tenant benefits from the savings.  He submitted that any time the City helped tenants save money on rent, it helped take pressure off already overtaxed services such as food banks, rent banks and shelters. 

 

Mr. Geoff Younghusband, Tenants and Landlords for Fair Taxation, indicated he was a landlord representative and his message was a follow-up to what Mr. Dickie and Mr. Lyman had said.  He maintained that it was obvious tenants paid property taxes through their rent and with the current tax ratio for multi-residential at 1.75, tenants were paying almost twice as much as homeowners.  He referenced a 2005 report, which put the average annual income for homeowner families in Ontario at $101,600 compared to the average annual income for tenant families at $48,700.  He noted that members of Council had complained the Provincial property tax system was regressive because it was based on property values rather than ability to pay.  He submitted the fact that the City charged a higher tax rate to its lower income households was by far the most regressive aspect of this system.  He expressed appreciation for the small steps taken in the past and asked that Committee and Council continue in this course so that eventually, the ratio for tenant taxpayers would be the same as for homeowners.  He reminded Committee that any property tax decreases had to be passed on to the tenants in the form of reduced rent. 

 

Ms. Estel Myhall, Tenants and Landlords for Fair Taxation, indicated she used to be a homeowner but was not a tenant.  Speaking to the issue of fairness, she noted that a lot of immigrant families, seniors and students were among the tenant population and that these residents were less capable of earning extra income if needed.  She appreciated that the City was moving towards lowering the ratio for multi-residential properties and she encouraged them to continue on this course.  She maintained that those with less income had less ability to pay.  Taking this into consideration, she asked for fairness across the residential sectors.

 

Councillor Wilkinson introduced a motion to reduce the multi-residential tax ratio to 1.7.  She referenced having been told that at this rate, landlords would not be able to pass the tax increase on to the tenants and she submitted this was the next gradual step in making sure Council did not cause a lot of hardship for lower income residents. 

 

Responding to a question from Councillor Deans, Mr. Hughes stated that last year, the multi-residential tax ratio was set at 1.75 and this year, staff was recommending it remain at 1.75.

 

Councillor Cullen referenced the presentations made with respect to the differential between residential and multi-residential and the fact that tenants had half the income of homeowners.  He noted that year-by-year, this Council had taken steps to acknowledge the unreasonableness of this gap and to reduce it.  He asked his colleagues to continue in this vain because there was no good argument to maintain the unfairness.  He maintained that it was the only way to get to a point of equity and fairness between taxpayers.  He referenced a commitment from the Eastern Ontario Landlord Organization to pass on the savings to their tenants and the threshold that would legally trigger such passage to tenants.  He believed what was being proposed would not reach the aforementioned threshold.  He reminded Committee that 40% of the City’s residents were tenants, including seniors, young families and immigrant families and that most of them were lower income.  In closing, he re-iterated his request for Council to continue to move towards fairness with respect to the residential and multi-residential tax ratios. 

 

In response to a question from Councillor Bloess, Mr. Hughes indicated that approved the motion would result in approximately a $3M shift in tax burden.

 

Councillor Bloess submitted that a one-to-one ratio would actually be very unfair to the residential tax class and he inquired as to the various studies on this issue, one of which was based on a very small sample and had result in a ratio of 1.8.  Mr. Hughes indicated there had been another study done, based on a much larger sample and again, when the results were presented, the various groups argued with respect to the quality of the data and the reasonableness of the assumptions.  He maintained that an appropriate ratio is only at a particular point in time and he indicated staff would review the study produced by Cushman and Wakefield.

 

Councillor Bloess felt Committee was being asked to change the ratio on a hunch.  He acknowledged everyone’s desire to achieve fairness, but he believed this had to be based on substantive information.  Further, he noted that maintaining the current 1.75 ratio already represented a shift in tax burden from multi-residential to residential and therefore, in the absence of a staff analysis of the study introduced by the delegations, he indicated he would be voting again the motion. 

 

Responding to a question from Councillor Desroches, Ms. Simulik confirmed that, when filing their income taxes, landlords could claim property taxes as an expense.

 

Councillor El-Chantiry noted that the motion would result in a tax burden shift from one group of taxpayers to another.  He also did not believe Committee should be doing this in the absence of an analysis by staff.  Therefore, he indicated he would not be supporting the motion.

 

Councillor Cullen reminded Committee that any multi-residential building constructed since 2000 was being taxed at the residential tax rate.  Therefore, he wondered how Council could perpetuate a system that everyone acknowledged was unfair to tenants in older multi-residential units.  He re-iterated that this Council had consistently taken steps to reduce the gap and he asked that Committee support the modest recommendation put forward by Councillor Wilkinson in this regard. 

 

Councillor Wilkinson argued that this change was not being proposed on a whim.  She noted that Council had been dealing with this issue year after year.  Last year, staff recommended a ratio of 1.8 and Council reduced it to 1.75.  She submitted the same thing was happening this year and that it was partly due to the fact that the City, as a whole, was facing such a large rate increase.  She maintained that her motion was intended to get to a level where the landlords would still pay the taxes and write them off as a business expense but the tenants would not have a rent increase.  She felt going down to 1.7 was modest.   She noted this was a city-wide issue and it was an issue with respect to how the City treated people.  She believed Council should be moving in this direction and she asked Committee to support the motion.  

 

Following these exchanges, Committee voted on a motion introduced by Councillor Wilkinson.

 

Moved by Councillor M. Wilkinson

 

That the multi-residential tax ratio be set at 1.7.

 

                                                                                                LOST

 

YEAS (3):        R. Chiarelli, D. Deans, M. Wilkinson

NAYS (5):       R. Bloess, E. El-Chantiry, R. Jellett, S. Desroches, Mayor O’Brien

 

At this juncture, Committee voted on the report recommendations.

 

That the Corporate Services and Economic Development Committee recommend Council approve:

 

1.   The adoption of the following optional property classes in 2009:

·   Shopping centre commercial property class

·   Parking lots and vacant lands commercial property class

·   Office building commercial property class

·   Large industrial property class

·   New multi-residential property class

·   Professional sports facility class

 

2.   The adoption of the following tax ratios for 2009:

 

Tax Class

Ratios  **

Residential

1.000000

Multi-Residential

1.750000

New Multi-Residential

1.000000

Farm

0.200000

Managed Forest

0.250000

Pipeline

1.541308

Commercial Broad Class

2.163992

 - Commercial *

2.056746

 - Office Building *

2.484783

 - Parking Lots and Vacant Land – Commercial *

1.347621

 - Shopping Centre *

1.710810

 - Professional Sports Facility *

N/A

Industrial Broad Class

2.540952

 - Industrial *

2.699959

 - Large Industrial *

2.318571

* including new construction classes for BET purposes

 ** Subject to final minor revisions upon OPTA close-off

 

3.   The adoption of the following tax ratios and by-laws for the mandatory property subclasses and the tax rate percentage reduction for farm land awaiting development:

·   Commercial excess land (i.e. commercial, office and shopping centre tax classes) - 70% of the applicable commercial property class tax ratio

·   Vacant industrial land, industrial and large industrial excess land - 65% of the applicable industrial property class tax ratio

·   Farm lands awaiting development subclass I - 75.0% of the residential property class tax ratio and the corresponding tax rate percentage reduction for the awaiting residential, multi-residential, commercial and industrial property classes; and Farm lands awaiting development subclass II - no tax rate reduction

 

4.   That the tax rates for 2009 be established based on the ratios adopted herein.

 

5.   a)   That the 2009 capping parameters be approved at the higher of 10% of the previous year’s annualized tax or 5% of the 2008 Current Value Assessment (CVA) taxes;

 

b)      That for 2009 capped/clawback properties whose recalculated annualized taxes fall within $250 of their CVA taxation be moved to their CVA tax for the year;

 

c)   That for 2009, properties which have reached CVA during 2008 and/or crossed over from the clawback to the capping category or vice versa in 2009 remain at CVA taxes and be excluded from any further and future capping/clawback adjustments.

 

6.      That the tax level for “new construction” properties be set at a minimum level of 100% of their CVA taxes for 2009 and future taxation years.

 

7.      That the property tax mitigation programs currently in place and detailed in this report be continued for 2009, including the Farm Grant Program and the new Low Income Seniors and Disabled Persons Complete Tax Deferral Program and the due date for the low-income seniors and disabled persons complete tax deferral program be changed to February 28 of the relevant tax year.

 

8.      That Council endorse a risk-based flexible collection process with respect to repayment options for those property owners in arrears.

 

9.   That a budget adjustment of $5.0 million between taxable revenues and payment in lieu of taxes be recorded to reflect the change in classification of Federal properties that were sold and leased back.

 

10. That a budget adjustment of $2.5 million between taxable revenues and tax remissions be recorded to reflect the delay in assessment changes that won’t be processed until after the final tax billing.

 

                                                                                                            CARRIED

 

 

 

10.       READY-TO-GO INFRASTRUCTURE PROJECTS FUNDING  REQUEST: UPDATED PRIORITY LIST

demande de financement DE PROJETS D’INFRASTRUCTURES PRÊTS POUR LA MISE EN CHANTIER – liste prioritaire mise à jour

ACS2009-ICS-DCM-0002                                         CITIY-WIDE / À L’ÉCHELLE DE LA VILLE

 

Mr. Richard Lebel, La Nouvelle Scène, talked about the history and mandate of the theatre La Nouvelle Scène, the support it enjoyed in the Francophone community, and the proposed project to expand and renew its premises.  In closing, he asked that Committee support the inclusion of this project on this of Ready-to-go Infrastructure Projects Funding Request and increase the amount noted on the list from $1M to $1.7M.  A copy of Mr. Lebel’s written submission is held on file.

 

Mr. Peter McBride, Expansion Committee Chair, Rideau Canoe Club spoke on behalf of the Rideau Canoe Club’s inclusion on the infrastructure list.  He indicated the group had been around since 1902.  In 1980, the City, the Province, the NCC and the Rideau Canoe Club members established the current location at Hog’s Back, a City-owned facility.  That project was a very successful one in as much as the foundation that was laid in 1980 established a number of opportunities to develop programs delivered by the Rideau Canoe Club for the City of Ottawa.  Those programs, which deal with water safety, summer camps and water sports, touch children from across the City.  The group is also pre-eminent with the National Capital Dragon Boat Festival, one of the largest dragon boat festivals in the world.  Mr. McBride discussed some of the programs offered at the Canoe Club and the ways in which these benefited residents.  He indicated that the Club was past its lifecycle and well beyond its capacity to deliver the services.  He discussed the facility’s infrastructure needs, from leaking washrooms to mould and health issues.  He felt this request was an opportunity for the City to repair existing problems and broaden the scope of programs currently offered at the Canoe Club, noting that it was currently turning away children from its programs and day camps.  He submitted that for a sensible investment leveraged against the infrastructure fund, this project would be a tremendous benefit to the City.

 

Mr. John Edwards, Domestic Development Director, Canoe Kayak Canada, indicated the Rideau Canoe Club (RCC) was one of the top ten clubs in the country.  He explained that it was a not-for-profit charitable organization and the national sport organization for paddling in Canada.  He felt what was important about the RCC was that it followed a leading model of how to develop sport in Canada; by reaching out to communities.  He noted that the Club had a very good reputation and that this was built on a foundation of clubs around the country reaching out to communities.  He maintained that canoe clubs should be community centres of paddling.  To that end, the organization had developed and supported programs such as canoe kids programs and learn-to-paddle programs.  He indicated dragon boat paddling had been a key part of the expansion of canoeing.  He noted that the Canoe Club had partnered with the City to deal with issues of teenage obesity as well as health and wellness.  The organization had also developed paddlers with a disability program.  He advised that the club ran its coaching programs in accordance with the national coaching certification program, which was how it ensured excellence.  In closing, he noted that the water was free.  Once a club was set-up, there was no maintenance; no grass cutting or line marking. 

 

Ms. Frances Sanford-Smith, Team Coordinator, Busting Out Dragon Boat Club, explained that she represented a breast cancer survivor dragon boat team in its 12th season.  She indicated the Rideau Canoe Club had been providing her club with facilities since the start of the team, as well as a venue for the breast cancer action Mutual Life walk, which was the main fundraiser for Breast Cancer Action Ottawa.  She outlined how a renovated clubhouse would be appreciated by the women on the team in terms of cleanliness and larger locker rooms that would not have a line of sight directly into the locker room from the whole of the club, an expanded exercise area for winter exercise classes, better accessibility for members with mobility issues, and a healthier environment free of mould.  She hoped that a more attractive venue for the Breast Cancer Action walk would attract more people to the event. 

 

Ms. Yvonne Dionne, Board President for Charlotte Birchard Centres of Early Learning, spoke in support of her organization’s project, found on the priority list.  She indicated that The Children’s Centre, at 407 Hilson Avenue in Westboro, was an exceptional facility, providing early childhood education and care for 136 children, aged 18-months to 10 years of age.  She explained that the Centre was attached to Hilson School and had been renting four classrooms from the school for 65 children in its school-aged program.  She advised that the facility had been rebuilt in 1999 but that its completion had been put on hold due to lack of funding.  She stated that the tangible output of the project was new construction of a second story onto the existing facility, which would be specifically designed for the early years.  It would be multi-use, flexible space for flexible program delivery.  She reported that it would also provide increased accessibility with an elevator.  She maintained that this was a validated project that had been awaiting funding for many years and that it could be started and completed within the prescribed timeframe.  However, she suggested that the results of the project went far beyond tangible construction in that it would provide neighbourhood children and their families with a secure space, create 30 new licensed spaces for toddler, preschool and school-aged children and the opportunity for extended services such as part-time programs and family resource services.  It would also create five to seven new permanent jobs for early learning educators and provide an excellent continuum between early childhood care and the school system.  She submitted that because the roof was leaking and the Hilson Avenue Public School was filling up, time was of the essence. 

 

Mr. David Myers, Charlotte Birchard Centre for Early Learning, indicated he endorsed this project because he felt it was a worthy cause.  He re-iterated that the project was shovel-ready and that it would create jobs.  He referenced the issue of emergency management and the fact that the Centre was adjacent to Hilson Avenue Public School and he submitted that in the event of a crisis, this addition to the school infrastructure would provide a welcome addition in terms of emergency space.

 

Responding to a question from Councillor Bloess with respect to the project funding, Ms. Dionne confirmed that through due diligence, careful management and fundraising, the organization had accumulated funds for its share of the costs.

 

Ms. Grace Xin, Executive Director, Somerset Street Chinatown Business Improvement Area, was pleased that the Chinatown Gateway project was on the City’s Ready-to-Go Infrastructure List. However, having reviewed the report, she was concerned with that the way the project was described might jeopardize its chances of getting federal government support.  She noted that the report described the project as being “not a City project”.  She noted that this was a twin-City project, being undertaken in partnership with the City of Beijing.  Further, she advised that the City of Beijing was going to help with the redesign of an authentic gateway, donate all the decorative material, help with the transportation and donate a pair of lions and send technical advisors to help during the installation.  She also asked that the City reveal the job creation numbers.  She noted that even though the budget for the Gateway project was not big, it was a delicate and complicated project and would create jobs.  Therefore, also she was grateful that the project had been included on the list, she asked that its description be amended in the report to read “Twin-City project in partnership with the private sector and the City of Beijing, China”. 

 

Responding to a question from Councillor Desroches as a follow-up to the presentation, Mr. K. Kirkpatrick, City Manager, confirmed that staff would amend the project description prior to the report rising to Council

 

In response to a question from Mayor O’Brien, Ms. Xin confirmed that the BIA had been talking to the Federal and Provincial governments with respect to support for this project. 

 

Mr. Angelo Filoso, spoke in support of a project to reconstruct the Piazza Dante, which he described as the historic heart and soul of Ottawa’s Italian Community.  Mr. Filoso described the park and its history, he talked about partnership programs to help fund the project, he discussed the usage of the Piazza and the work done to date and the listed the associations supporting this project.  In closing, he expressed the hope that the reconstruction of the Piazza Dante would be made possible through the infrastructure funds.  A copy of Mr. Filoso’s written submission is held on file. 

 

Ms. Fauza Mohamed, Rochester Heights Community, spoke in support of the redevelopment plan for Piazza Dante.  She talked about the park’s significant importance to the Italian community in Ottawa and its current state of neglect.  She felt the addition of an open area for social events, shaded structure, splash pad and tables for social gatherings would enhance and beautify the park and inspire the surrounding community to take pride in it.  She expressed a need for a gathering place for area-families, a fund and safe place for kids, sufficient lighting to deter any criminal activity, and an opportunity for community involvement.  She maintained that this could only have a positive impact on the neighbourhood. 

 

Mr. Tim Vizena, President of the National Capital Heavy Construction Association, began by congratulating the Mayor and the City for forming a committee through which the City and the industry would work cooperatively to ensure that shovel-ready projects were identified, tendered and completed by the Federal government’s March 31, 2011 deadline.  He felt it would also be important that the City work closely with the Ministry of the Environment to encourage them to provide timely approvals and to gain the co-operation of various utilities, including hydro, gas, phone and cable companies to make sure they had the resources required to respond to increased workloads.  He urged Committee and Council to do everything in their power to identify priorities and get applications in to the Federal government as soon as possible.  He advised that because of slowdowns in the residential and commercial sectors, the industry had the capacity to undertake these projects now but that if they were delayed too long, the industry would have difficulty getting them completed by the March 31, 2011 deadline.  He suggested that the City think outside the box, including tendering specifically identified high-priority projects with awards being subject to financial approval and/or tendering projects at 60%, 70% or 80% design completion.  Also he asked that the City examine ways to reduce the time from contract closing to the award date.  He felt these initiatives would be a benefit to all involved and help to fully utilize the opportunity presented.

 

Mr. John Higgins, Co-Chair of the Elgin School Council, talked about the Jack Purcell and St-Luke’s Park redevelopment, noting that the park was heavily used by the surrounding community and area schools.  He submitted that this was shovel-ready in that, for the past two years, there had been extensive rounds of community consultations and plans had been finalized.  He believed it was on the budget list last year but had been turned down for funding at that time.  He explained that the project was needed because of multiple users in the parks, who were sometimes in conflict with one another; basketball players, tennis players, dog owners and/or parents with children.  He submitted that the redesign would address the various needs of the park’s community users.  

 

Mr. Scott McKenzie, Past Co-Chair of the Elgin School Council, explained that in the initial meetings on the redesign plan, there had been some acrimony between the park’s various users.  However, through a lot of good work, people had come together and formed a consensus as to how the park should be redeveloped.  Therefore, there currently was strong agreement amongst all the stakeholders.

 

Mr. Roddy Bolivar, West Ottawa Economic Development Association, made reference to the Mayor and the City Manager representing the infrastructure list as a menu going forward from which the Provincial and Federal governments would pick and choose the projects they wanted to fund.  He submitted that a menu had to have lots of selection.  In looking at the projects being brought forward, he acknowledged that they represented the City’s priorities and that a lot of hard work had gone into putting the list together.  However, he submitted what he did not see were projects related to water and sewers.  He indicated he was a strong proponent of water and sewers and of rural economic development.  He noted that the Carp Road corridor was the only Official Plan (OP) designated employment area in the City of Ottawa with over 2000 jobs in a number of business parks along the corridor.  He advised that the area had a long-standing interest and desire for water service extension.  Companies in the area would benefit from a reliable and safe water supply for their day-to-day operations as well as for fire insurance and on-site fire protection.  He indicated he had not come forward with a shovel-ready project.  However, he asked that the City consider expanding the menu of projects being put forward.  He submitted that a water project in an OP identified economic development area may not only deliver short-term economic stimulus, it may also promote long-term economic stimulus in the industrial area.  This would provide a good opportunity to have serviced industrial land at a key transportation intersection, and possibly obtain some funding. 

 

Responding to a question from Councillor Desroches with respect to shovel-readiness, Mr. Bolivar confirmed that although the intent of his presentation was to raise the idea of expanding the menu so the Federal and Provincial governments could see a range of projects, he submitted that the water project to the Reid industrial park, and other areas, could quickly be designed and tendered in a couple of months because as the technical feasibility has been examined and extension of water main within a right of way is a Schedule “A” project.  Extensions of water mains can proceed very quickly.

 

In response to a follow-up question from Councillor El-Chantiry, Mr. Bolivar explained that a Schedule “A” project, if defined as a water main extension within a right of way, was pre-approved under the Environmental Assessment (EA) process.  He noted that the Reid Industrial Park existed, the water main existed and the road in the park existed.  Therefore, if the project was defined that way, it would be pre-approved using the Municipal Engineers Association Class Environmental Assessment Process.

 

In reply to questions from Councillor El-Chantiry as to where or whether Mr. Bolivar’s suggestion could be added to the list, Mr. Kirkpatrick confirmed that members could move additions to the list and he suggested if there were other projects that had not been identified and/or had not made their way onto the list, staff would need to know what they were and whether they met the eligibility criteria.  However, he re-iterated that Mr. Bolivar had not proposed a shovel-ready project.  He reminded Committee that staff had built the list in accordance with the direction given by Council and in consultation with members of Council in that it represented the infrastructure spending the City believed would meet the eligibility criteria, the main one being shovel-readiness. 

 

Mr. Phil Sweetnam, appeared on behalf of the Kanata Chamber of Commerce and the Stittsville Village Association to support the inclusion of Hazeldean Road as part of the infrastructure funding.  He reminded Committee that this project was originally scheduled for 2008 but under the reduced tax increase formula, it was put off in phase one and was now deferred until 2011.  He indicated this took the road as far as Iber Road.  He submitted that this road was a vital part of the transportation plan in the East/West connection for Stittsville and noted that it was also part of the transportation corridor for buses going to Stittsville.  He noted that since amalgamation, Hazeldean Road had not benefit from any work done on it other than some pothole repairs.  Every time a development was approved in the area, there was a cry from residents for the reconstruction of Hazeldean Road.  He remarked that there were a number of development plan underway in the area and that this piece of infrastructure was sorely needed so to the extent that funding was available, he urged Committee and Council to consider supporting this project as an important part of its infrastructure program. 

 

Councillor Wilkinson introduced a motion on behalf of Councillor Qadri to add three projects to the Recreation Infrastructure Project List for Coyote Park Development, a Basketball Court at the Stittsville Arena, and at Splash Pad for Jackson Trails.

 

Councillor Deans introduced a motion on behalf of Councillor Holmes to increase the Social Housing Infrastructure Project List for Ottawa Community Housing from $40,294,507 to $137,578,611.

 

Councillor Deans introduced a motion to increase the amount for the La Nouvelle Scène projects from $1M to $1.7M.

 

Councillor Desroches introduced a motion to add incomplete components of the parks in Findlay Creek to the Recreation Infrastructure Project List.

 

Speaking to her motion, Councillor Wilkinson reported that Councillor Qadri had met with staff and staff had agreed with the additions listed in the motion, which would be added to the recreation envelope.

 

Councillor Bloess wondered what the City could expect in terms of the total funding envelope.  Mr. Kirkpatrick, believed all members of Council were aware of a joint letter issued the previous Friday, which provided some formal details about how the funding would work but stopped short in that it indicated is may work differently in every province.  That being said, he explained that if the funding were allocated on a per capita basis, the City could anticipate something in the order of $300M, not including the Social Housing component.  However, it would more likely be based on a project-by-project approval process.  

 

Councillor Bloess noted that the list being put forward already exceeded the expected envelope and there were a number of motions to add to the list.  He submitted that Committee was seized with a list that had been refined over the last month or two.  Staff had gone through it.  Members of Council had gone through it.  It had gone through a fairly intense process and he wondered what it would to do to the list if, at this last stage of the process, Committee started piling on projects.  He wondered if it would render the list useless to the Federal and Provincial partners.  Mr. Kirkpatrick noted that for the most part, the motions were adding to the Recreation Infrastructure Projects list, which was already in excess of what he expected the City would get in terms of funding.  He submitted the real issue was to the extent to which Council may want to change the priority.  He explained that the list was presented in the order staff would recommend Council adopt as the priorities for these projects.  Therefore, if the motions were to add to the bottom of the list, this would not make the upper tiers’ job any more difficult. 

 

A discussion ensued with respect to the process followed to get to the current point, the impact that any addition to the lists would have on the identified priorities and how to deal with the motions before Committee. 

 

Mr. Aaron Burry, General Manager of ????, confirmed that the motions introduced to add items to the Recreation Infrastructure list would result in those projects being added to the bottom of the list.

 

Mayor O’Brien referenced the discussion and the fact that two of the motions did not fall into the same category, namely the increase for social housing and the adjustment of the amount of La Nouvelle Scène.  As a result, Committee voted on the following motions:

 

Moved by Councillor D. Deans

 

WHEREAS the Housing Needs Report submitted to Council in 2007 outlined the need to repair and renew existing social housing;

 

AND WHEREAS Ottawa Community Housing Corporation recently completed a building condition assessment that identified a 5-year capital expenditure plan for the repair and renewal of properties that exceeds $340M;

 

AND WHEREAS the City Housing Strategy supports the need for affordable housing in good repair;

 

AND WHEREAS Ottawa Community Housing Corporation has identified a 2-year capital summary of projects totaling $137,578,611;

 

THEREFORE BE IT RESOLVED that the Corporate Services and Economic Development Committee recommend Council approve an increase from $40,294,507 to $137,578,611 to the Social Housing Infrastructure Fund Project List for Ottawa Community Housing (March 23 Report:  Ready-To-Go Infrastructure Projects Funding Requests).

 

                                                                                                CARRIED

 

Moved by Councillor D. Deans

 

WHEREAS the Théàtre de la Nouvelle Scène (LNS) is the premier Francophone theatre in Ottawa;

 

AND WHEREAS the LNS is also home to four of Ottawa’s more prolific and established Francophone theatre companies, Vox Théàtre, Théàtre du Trillium, Théàtre de la Vieille 17 and Théàtre de la Catapulte;

 

AND WHEREAS the adult and children’s programming serves the sizeable Francophone community in Ottawa and the region;

 

AND WHEREAS there are no other Francophone theatres of this nature in Ottawa;

 

AND WHEREAS the LNS has proven to be highly effective at engaging community support in its fundraising activities and is a fiscally solvent cultural institution;

 

AND WHEREAS the LNS has been increasingly successful and now requires enlarged premises, including major renovations to the existing building;

 

AND WHEREAS the LNS plan to renew its building falls within the criteria of “ready-to-go” projects as stipulated in the program requirements;

 

AND WHEREAS the original estimates of $5M for the renovations were preliminary in nature, therefore requiring a smaller share of the City of Ottawa’s portion;

 

AND WHEREAS the amount of $1M was originally submitted as the City of Ottawa’s share of the total cost in the Infrastructure Funds Priority Report;

 

AND WHEREAS the LNS thereafter received a final estimate from the contractor, which totalled over $7.1M;

 

AND WHEREAS the City’s share needed for successful implementation of this project has now been established as $1.7M;

 

AND WHEREAS the City of Ottawa’s Cultural Services Branch concurs with the request raise the amount in the Priority list to reflect the revised amount submitted by the applicant;

 

THEREFORE BE IT RESOLVED that the amount of the City of Ottawa’s share be revised from $1M to $1.7M to be allocated to the LNS in the Infrastructure Priority List.

 

                                                                                                CARRIED

 

Councillor McRae noted that there were two motions left on the table and that members of Council who were not members of the Corporate Services and Economic Development Committee had sat through the day-long meeting in order to hear the public delegations, participate in the discussion and have these items added to the Recreation Infrastructure List.  Further, she noted that the additions had staff support.  Therefore, she indicated she would support these additions though she was not prepared to start taking things off the list. 

 

Committee then voted on the following motions:

 

Moved by Councillor M. Wilkinson

 

WHEREAS the community of Stittsville is under-serviced in outdoor activities for youth;

 

AND WHEREAS development charges will only cover minimum development costs related to Coyote Park in Stittsville;

 

AND WHEREAS there is currently an inadequate number of community level basketball courts for the size of the growing Stittsville youth population;

 

AND WHEREAS the new park development budget was insufficient to include all of the proposed components of the Splash Pad for Jackson Trails in Stittsville;

 

THEFORE BE IT RESOLVED that the Corporate Services and Economic Development Committee recommend Council approve the addition of the following projects to the Recreation Infrastructure Project List (March 23 Report:  Ready-To-Go Infrastructure Projects Funding Request):

 

Projects in Priority

Cost ($M)

Operating Budget Pressures 2011 ($)

Approvals Required

Coyote Park Development

0.50

n/a

Community consultation required

Basketball Court at Stittsville Arena

0.06

minimum

Community contribution also committed in addition

Splash Pad for Jackson Trails

0.06

8K

minimum

 

                                                                                                CARRIED

 

Moved by Councillor S. Desroches

 

That the Recreation Infrastructure List include incomplete components of the parks in Findlay Creek, including an outdoor rink and lighting, valued at approximately $90,000.

 

                                                                                                CARRIED

 

Committee then voted on the item as amended. 

 

That the Corporate Services and Economic Development Committee recommend Council:

 

a)      Approve the updated City of Ottawa Priority List of Ready-To-Go Infrastructure Projects, as detailed in Document 1 as amended by the following:

 

i)        An increase from $40,294,507 to $137,578,611 to the Social Housing Infrastructure Fund Project List for Ottawa Community Housing (March 23 Report: Ready-To-Go Infrastructure Projects Funding Requests);

 

ii)      The addition of the following projects to the Recreation Infrastructure Fund Project List (March 23 Report: Ready-To-Go Infrastructure Projects Funding Requests)

 

Projects in Priority

Cost ($M)

Operating Budget Pressures 2011 ($)

Approvals Required

Coyote Park Development

0.50

n/a

Community consultation required

Basketball Court at Stittsville Arena

0.06

minimum

Community contribution also committed in addition.

Splash Pad for Jackson Trails

0.06

8K

minimum

 

 

 

 

 

 

 

 

 

 

 

 

 

iii)  The addition of the incomplete components of the parks in Findlay Creek, including an outdoor rink and lighting, valued at approximately $90,000 to the Recreation Infrastructure Fund Project List; and

 

iv)  That the amount of the City of Ottawa’s share for the La Nouvelle Scène infrastructure project be revised from $1M to $1.7M;

 

b)   Direct staff to proceed with the official funding request for the projects identified on the Ready-To-Go-Infrastructure Projects list; and

 

c)   Direct the City Treasurer to report back with the identification of the sources of funding for the City's share of the projects for Council approval.

 

                                                                                                            CARRIED as amended

 

 

 

11.       PROCESS TO REFRESH THE CITY'S ECONOMIC STRATEGY

processus visant à ranimer la stratégie économique de la Ville

ACS2009-ICS-CSS-0016                                  city-wide / À l’Échelle de la ville

 

Moved by Councillor E. El-Chantiry

 

That the Corporate Services and Economic Development Committee approve the addition of this item for consideration by the Committee at today’s meeting, pursuant to Section 84(3) of the Procedure By-law.

 

                                                                                                CARRIED

 

Mr. Michael Murr, Manager of Sustainabilty Services and Mr. Ian Duff, Manager of Economic Development, spoke to a PowerPoint presentation, which served to provide Committee with an overview of the report.  A copy of the presentation is held on file.

 

Mayor O’Brien thanked staff for the clear and succinct report, noting that it addressed short-term economic opportunities as well as a more comprehensive view of the long-term strategic activities in which the City could be involved. 

 

Councillor Bloess indicated he looked forward to the next stages.  He then asked if the City was going to look at balancing growth jobs in the East end.  Mr. Duff answered affirmatively.

 

Councillor Jellet felt it was time for some bold thinking and bold action.  He said he was tired of analysis and that it was time for the City to actually do something.  He noted that the City had been talking about balancing growth for some time and that, in addition to the East end, this also applied to Riverside South and other emerging communities where job opportunities needed to be increased to benefit the City as a whole.  He wondered how this would dovetail with the Development Charge By-law being implemented.  In regards to taking steps to improve the situation, he suggested options the City could consider, such as:  smaller development charges on employment land in Orléans and Riverside South; tax relief options similar to those implemented in the City of Toronto; the City purchasing industrial or employment lands in the East end; and possibly offering free land to companies wanting to build employee-based businesses.  He felt such steps would be a further and faster way to help the City and it’s economy.

 

In response to Councillor Jellet, Mr. Murr welcomed the input and explained that the balancing point for the City was to ensure it was doing everything it could reasonably do in the short-term to support companies and individuals in the current economic climate while at the same time, putting in place a very quick process.  He stated that in terms of a S.W.O.T. analysis being complete, staff would be back before Committee and Council in the fall and he hoped to have a strategy approved six months later. 

 

Mayor O’Brien referenced the fact that 70% of the people who work in Ottawa are employed at some level of government.  He asked whether staff’s economic development strategy included approaching the Federal government in terms of some of their site planning and project planning.  He submitted that the City could take 100% of the growth and technology employment and aim it to the East end and it would not have as much impact as relocating one government department.  Mr. Murr stated this was a good suggestion and he indicated it would be on the radar. 

 

Councillor El-Chantiry asked when staff would be coming back to Committee with a report on the next steps.  Mr. Murr indicated staff was already in the process of either modifying the existing programs or introducing new initiatives.  He advised that there were a number of initiatives being explored and that the goal was to report back by the end of June with respect to how the City was responding to the short-term pressures and any further initiatives.

 

Councillor El-Chantiry wondered if there had been any discussions amongst City staff in terms of licensing and by-law to explore ways of making it easier to promote home-based businesses.  Mr. Murr assured Committee that there was a close working relationship between his Division and other City departments and that they would work together to ensure the City was doing everything to support the business community. 

 

Councillor Desroches referenced the City’s role in economic development.  He felt the City did not have the kind of profile it should in these activities and that citizens needed to know their City had a role in economic development and was prepared to come up with a strategy to support the local economy.  He asked about the timing for implementing the short-term strategy.  Mr. Murr advised that the short-term strategy was intended to be put in place by the end of June. 

 

In response to Councillor Desroches asking for an update, Mr. Murr indicated the home-based business guide was ready to go but, before launching it, that staff was awaiting the outcome of an appeal to the new Comprehensive Zoning By-law for home-based businesses. 

 

Councillor Wilkison referenced Councillor Jellet’s comments with respect to the East end and offered to assist in this regard. 

 

At this juncture, Committee tabled the report.

 

That the Corporate Services and Economic Development Committee recommend Council receive this report for information.

 

TABLED

 

 

 

MOTIONS OF WHICH NOTICE HAS BEEN GIVEN PREVIOUSLY

MOTIONS DONT AVIS A ÉTÉ DONNÉ ANTÉRIEUREMENT

 

COUNCILLOR G. BROOKS

 

12.       WARD BOUNDARIES – FERNBANK LANDS

LIMITES DE QUARTIER – TERRes de FERNBANK

ACS2009-CMR-CSE-0004

                            Rideau-Goulbourn (21), Stittsville-Kanata West / Ouest (6), Kanata South / Sud (23)

 

Councillor Wilkison introduced an amendment to the motion to direct staff to come forward with a report to incorporate any changes made to the Urban Boundary resulting from the current Official Plan review.  She advised that she had worked with staff on the wording of the amendment. 

 

Councillor Jellet asked whether the motion was calling for a full ward boundary review.  Mr. Tim Marc, Senior Legal Counsel, indicated it was not.  He clarified the intent was just to incorporate any changes Council may make to the urban boundary into the ward boundaries for the 2014 general election. 

 

Councillor Jellet wondered how this would be done, noting that his ward had both rural and urban lands.  Mr. Marc submitted that Ward 19 was acknowledged to be unique in the last ward boundary review and would be treated accordingly in whatever was done in 2011. 

 

Responding to a final question from Councillor Jellet with respect to public consultation, Mr. Marc stated that there had not been consultation on the current report but that there would be consultation prior to a staff report being brought forward in June in response to the current direction. 

 

Councillor Qadri posed a question with respect to Councillor Wilkinson’s amendment.  In response, Mr. Marc explained that the amendment was a direction for work to be done in the future and would not impact on the work to be done this year with respect to the Fernbank lands. 

 

Following these exchanges, Committee approved the amendment introduced by Councillor Wilkinson. 

 

Moved by Councillor M. Wilkinson

 

WHEREAS it is a principle established through Ward Boundary caselaw that communities of interest should be located within common Wards;

 

AND WHEREAS land within the Urban Area is considered to be a separate community of interest from lands within the Rural Area;

 

AND WHEREAS the City is reviewing its official plan and may be redesignating lands within the Rural Area as Urban Area;

 

AND WHEREAS the resulting Official Plan Amendment is subject to review and approval by the Minister of Municipal Affairs and Housing;

 

AND WHEREAS the timeframe for the Minister’s review and approval is 180 days after adoption of the Official Plan Amendment;

 

AND WHEREAS there may be appeals to lands added to the Urban Area thereafter;

 

AND WHEREAS any changes to Ward Boundaries for the 2010 general election must be in place by 31 December 2009 including the conduct of any appeals to the Ontario Municipal Board;

 

AND WHEREAS it is not possible at this time, if changes are to be made to Ward Boundaries for 2010, to incorporate the outcome of the urban boundary changes from the Official Plan Review;

 

THEREFORE staff be directed to come forward with a report within the first year of the next term of Council to provide for the incorporation within the affected Wards of any changes made to the Urban Boundary resulting from the current official plan review.

 

                                                                                                            CARRIED

 

Committee then approved the item as amended.

 

That the Corporate Services and Economic Development Committee recommend Council:

 

1.      Direct staff to bring forward a report to the 16 June 2009 meeting of Corporate Services and Economic Development Committee, to be considered by Council on 24 June 2009, that would enable the Fernbank lands to be redistributed from Ward 21 to Ward 6 and/or Ward 23;

 

2.      Direct staff to ensure that all required notice is given to comply with statutory and City requirements; and

 

3.   Direct staff to come forward with a report within the first year of the next term of Council to provide for the incorporation within the affected Wards of any changes made to the Urban Boundary resulting from the current Official Plan review.

 

                                                                                                            CARRIED as amended

 

 

 


ADDITIONAL ITEM

POINT SUPPLÉMENTAIRE

 

13.       MITEL TECHNOLOGY DONATION OFFER TO THE CITY OF OTTAWA

 

Moved by Councillor M. Wilkinson

 

That the Corporate Services and Economic Development Committee approve the addition of this item for consideration by the Committee at today’s meeting, pursuant to Section 84(3) of the Procedure By-law.

 

                                                                                                CARRIED

 

Moved by Councillor M. Wilkinson

 

That the meeting of the Corporate Services and Economic Development Committee move In Camera pursuant to Subsection 13(1) a) the security of the property of the city; e) litigation or potential litigation, affecting the city, including matters before administrative tribunals and f) the receiving of advice that is subject to solicitor-client privilege, including communications necessary for that purpose, of the procedure by-law to consider “the request for proposal process for voice over internet protocols project and an offer of a donation with respect to information technology”.

 

                                                                                                CARRIED

 

Resuming in open session, Mayor O’Brien indicated there was now a motion in front of Committee to examine an offer of a donation of equipment to the City of Ottawa and for City staff to review that potential donation to see if it was valid.

 

Councillor Jellet thanked Mitel Corporation, a local company, for making a generous offer to the City.  He felt it was incumbent upon the City to investigate this offer thoroughly and he expressed his support of the motion.

 

Councillor McRae expressed her gratitude towards Mr. Terry Matthews, Chairman of Mitel Networks.  She asked staff to confirm whether or not another firm had won the bid referenced in the motion.  Mr. Rick O’Connor, City Clerk and Solicitor, responded affirmatively. 

 

The Councillor then asked Mr. O’Connor to briefly explain the next steps in investigating this offer.  The City Solicitor explained that if the direction was given to staff to go away and look at this, it would be to clarify parameters of the donation to ensure that it was not a case of bid repair or anything that would be contrary to the City’s procurement policies. 

 

Councillor McRae expressed her support for the motion and stated that it was a good thing to investigate the donation because there could be a possibility of accepting the handsets worth $2M and then having to buy switches, software and customer service.

 

Councillor El-Chantiry asked the mover of the motion to include, as a friendly amendment, a direction to include the Fairness Commissioner in the process in order to ensure the City was respecting the integrity of the RFP process. 

 

Councillor Desroches wondered at what point the Fairness Commissioner would be injected into the process.  In response, Mr. O’Connor explained that if Committee passed this motion, staff would speak to the Fairness Commissioner immediately.

 

Committee then voted on the motion.

 

Moved by Councillor M. Wilkinson

 

WHEREAS the City of Ottawa has a current, pending Request for Proposal (“RFP”) that seeks a Voice Over Internet Protocol (“VOIP”) Solution and Related Services for City Facilities; and

 

WHEREAS the RFP proposes, among other things, a standing offer between the City and the selected proponent for a term of six years, with the City reserving the right, at its sole discretion, to extend the agreement for up to two additional 1-year periods; and

 

WHEREAS, although a preferred proponent has been identified under the RFP, no contract negotiations have yet commenced; and

 

WHEREAS the rights reserved to the City in the RFP includes the right to cancel the RFP at any time and, further, states that neither the receipt of proposals, nor the completion of any of the RFP’s stated evaluation and selection stages constitutes an obligation on the part of the City to award a contract; and

 

WHEREAS, on April 1st 2009, Mitel Networks Corporate offered to donate technology to the City that is valued at over $2 million, indicating, in part, that they wish to help the City reduce spending on technology solutions so that more funds can be made available for programs that benefit the community in general;

 

THEREFORE BE IT RESOLVED THAT the Request for Proposal for Voice Over Internet Protocol (“VOIP”) Solution and Related Services be suspended, and that staff be directed to work with the Fairness Commissioner to clarify Mitel Network Corporation’s offer to donate technology, and report back to the Corporate Services and Economic Development Committee and Council as soon as possible.

 

                                                                                                CARRIED

 

NOTICE OF MOTION (FOR CONSIDERATION AT A SUBSEQUENT MEETING)

AVIS DE MOTION (POUR EXAMEN LORS D’UNE RÉUNION SUBSÉQUENTE)

 

Councillor Brooks submitted the following Notice of Motion, for consideration at the next regular meeting :

 

WHEREAS, the Royal Canadian Legion Branch 314 located at 5550 Ann Street in Manotick was destroyed by fire on June 12, 2005 leaving the community without a meeting place for veterans, cadets, friends and family and a centre for celebrating Remembrance Day;

 

AND WHEREAS, the community undertook fundraising activities and managed to raise the required funding to commission the design and construction of a new building;

 

AND WHEREAS, the Legion paid a total of $6830.00 in fees for building permit applications A06-003811 and A08-007313 for the construction of the new building;

 

AND WHEREAS, the Legion, a non-profit organization serving the community as a whole, has requested the City to reimburse the above noted fees;

 

AND WHEREAS, on July 1, 2005, the Building Code Act and Code were amended to require building regulatory activities be revenue neutral and fees to cover only those costs associated with servicing building permits and enforcing the Act and Code and thus revenues can no longer be used to reimburse fees to applicants;

 

AND WHEREAS, if Council wishes to support requests for grants to offset building permit fees, it is necessary to fund these from the City-Wide Capital Reserve Fund;

 

THEREFORE, BE IT RESOLVED that funding in the form of a grant, in the amount of $6830.00, be allocated from the City-Wide Capital Reserve Fund to reimburse the Royal Canadian Legion Branch 314 located at 5550 Ann Street in Manotick to offset the building permit fees paid to the City for the construction of the new Legion facilities.

 

 

 

ADJOURNMENT

LEVÉE DE LA SÉANCE

 

The Committee adjourned the meeting at 3:45 p.m.

 

Original signed by                                                     Original signed by

D. Blais                                                                      Mayor L. O’Brien

 

 

                                                                                                                                               

Committee Coordinator                                             Chair