CEMETERIES BUSINESS PLAN - Chatham-Kent · Since the implementation of the 2005 Cemeteries Business Plan several factors and trends have developed or changed. As well, information

MUNICIPALITY OF CHATHAM–KENT

CEMETERIES BUSINESS PLAN

Revised June 30, 2010

2

TABLE OF CONTENTS

1.0 Executive Summary

1.1 Background 3

1.2 Mission Statement 3

1.3 Products and Service 3

1.4 Customers 4

1.5 Organizational Structure 4

1.6 Level of Service 6

2.0 Goals and Objectives 6

3.0 Risk Management - Environment

3.1 Number of Cemeteries 6

3.2 Land Use/Availability 7

3.3 Market Share 8

3.4 Cremations 8

3.5 Lot Sales 9

3.6 Care and Maintenance Trust Funds 11

3.7 Burials 12

3.8 Cost of Operations 14

3.9 Tax Base Support 16

3.10 Business Model 17

3.11 The Cemeteries Act 18

3.12 Price Comparison to Other Municipal Cemeteries 19

4.0 S.W.O.T. Analysis 20

5.0 Recommendations

5.1 Care and Maintenance Funds 21

5.2 Reduction in Revenues From Lot Sales 21

5.3 Reduction in Revenues From Open/Close 21

5.4 Annual Increase in Fees 22

5.5 Increase in Expense from Grass Contract 22

5.6 Refunds on Interment Rights 22

5.7 Increase in Revenues From Premium Rates 22

5.8 Family Service Counsellor Contract Position 23

5.9 Sherman Cemetery 23

5.10 Shrub Program 23

5.11 Increased Level of Service

5.11.1 Summer Student 24

5.11.2 Grass Cutting 24

5.11.3 Volunteers 24

5.12 Contract for Greenwood Cemetery 25

6.0 Financial Information

6.1 Costs and Revenues For Services and Products 26

6.2 Base Budget Adjustments 27

7.0 Consultation with Funeral Directors 28

8.0 Measurement Plans 29 9.0 Summary 30

3

1.0 EXECUTIVE SUMMARY

1.1 BACKGROUND

The Municipality of Chatham-Kent Cemeteries (Municipal Cemeteries) serve the residents of Chatham-Kent and surrounding areas providing a place for families to bury their loved ones. The primary purpose of Cemeteries is the dignified disposition of human remains in accordance with provincial statutes and municipal by-laws. Cemeteries also serve as historical, memorial, spiritual, aesthetic and passive recreation green space. Since the implementation of the 2005 Cemeteries Business Plan several factors and trends have developed or changed. As well, information for Business Planning is now more readily available. These factors allow for this update of the 2005 Cemeteries Business Plan. This Business Plan addresses: • The mandate of Cemeteries, both operationally and commercially • The financial health of Cemeteries • Public expectations • The future of Cemeteries in context with our Mission Statement and guiding principles. 1.2 MISSION STATEMENT

Chatham-Kent Cemeteries Services are the primary provider of public multi-optional burial site operations and maintenance within the Municipality of Chatham-Kent. Cemeteries, operating on a not-for-profit basis, deliver a limited range of death care industry services responsive to needs identified by the community and that complements services offered by private sector providers. This mission statement reflects our guiding principles: • To operate an efficient and cost effective, basic level of service • To provide quality services to the public • To work collaboratively with the private sector providing death care industry services

(Council has directed administration not to compete directly with private sector service providers for the services we are not obligated by the Cemeteries Act to provide)

• Where death care industry services are available from the private sector, the role of Cemeteries is to establish and monitor operational practice standards

• At all times Cemeteries operate in compliance with the Ontario Cemeteries Act and Chatham-Kent municipal by-laws

4

1.3 PRODUCTS AND SERVICES

Since the municipal amalgamation in 1998, the Municipality of Chatham-Kent has assumed responsibility for 65 cemeteries: 6 active, (i.e., sell lots), 1 active contract (Greenwood) and 58 inactive, (i.e., do not sell lots), within its boundaries. Formerly these cemeteries were operated and overseen by the previous municipalities or private groups. Current products and services include: • Traditional burial lots • Cremation lots • Indoor mausoleum with crypts and niches • Interment Rights Certificates • Full body and cremation interments • Chapel memorial services • Disinterment services • Death registrations • Cemeteries grounds maintenance • Memorial / dedication products • Point of Cemeteries contact for: Funeral Directors, families, monument dealers and

vault dealers Cemeteries provide death care industry services limited to those not conveniently available from the private sector. 1.4 CUSTOMERS Local communities and their residents are the key customers. Families look to Chatham-Kent municipal Cemeteries for pre-need and at-need products and services. Our municipal Cemeteries work closely with the private sector, including: • Funeral homes • Monument dealers • Other death care industry service providers 1.5 ORGANIZATIONAL STRUCTURE Cemeteries are a section of the Community Development and Planning Services department. The following chart provides the current organizational structure including 7.99 (FTE) positions that provide cemetery services within Chatham-Kent, in addition to the Manager, Parks, Cemeteries and Horticulture.

5

ORGANIZATIONAL STRUCTURE

Dedicated resources to these activities include a cemetery supervisor, a coordinator, (proposed title change, currently called the Family Services Counsellor). Three dedicated Equipment Operators provide general maintenance at the seven active cemeteries and openings and closing with the assistance of contracted Public Works staff, at Dresden, Maple Leaf (Chatham) and Riverview (Wallaceburg). Opening and closings at Greenwood (Ridgetown) and Evergreen (Blenheim) are contracted through Public Works staff alone. A private contractor is utilized to perform these responsibilities at both Bothwell and Sherman (Thamesville). Administration of the cemeteries also includes a portion of an administrative assistant, a clerical position and the manager who oversees cemetery operations in addition to Parks and Horticulture. Chapels are located at four of the seven active cemeteries and are maintained by the Equipment Operators. Grass cutting for the seven active cemeteries is contracted out to the private sector. The current staff equates to 7.99 FTE’s. The Family Service Counsellor position was created in 2001 to focus on sales at Maple Leaf Cemetery, primarily relating to the new mausoleum and subsequently pre-need lot sales. Since that time there has been a reduced demand for pre-need sales, the mausoleum niches have been fully sold and there has been an increase in the level of work for other cemetery services. The following additional responsibilities have been added to cemeteries: • Assuming the contract for Greenwood Cemetery • Acquisition of Sherman Cemetery (Section 5.9)

Manager: Parks, Cemeteries & Horticulture (.2 FTE)

Parks, Cemeteries and Horticulture Assistant

(.25 FTE)

Supervisor – Cemetery Operations (1 FTE)

Family Service Counsellor

(Coordinator) (1 FTE)

Equipment Operators (3 FTE)

Clerical Assistant (.75 FTE)

Public Works Equipment Operators as required (1.79 FTE)

Contractors used for operations at Bothwell & Sherman

Contract for operations at Greenwood

6

• Enhanced staffing requirements related to cash handling processes • Volunteer co-ordination

Should the development of Columbaria be approved by Council (Section 5.13), there will be additional responsibilities for the construction, marketing and operation of columbaria services. In addition to the aforementioned staff, Cemetery operations hire a summer student (Section 5.11.1) for 353 hours during the months of July and August. The student maintains flowerbeds and shrub plantings. The additional labour associated with preparing and planting the beds has become onerous for full time staff due to the necessity to complete winter grave restoration. Preparation and plantings are done later in the season. The result is that the aesthetics of the cemetery sites are limited early in the season. Concurrently, the responsibilities of the Manager of Parks, Cemeteries and Horticulture, have shifted so that the manager is not spending as much time on Cemetery Operations. The increased workload has been delegated to the Cemetery Supervisor and other staff. The present agreement with the Cemetery volunteers (Section 5.11.3) allows them to uncover and reset flush markers (or broken slab type memorials), raise, level and re-position limestone/marble grave borders and clean slab type memorials. All of this work is performed according to techniques demonstrated by staff and/or other professionals.

Restoration that requires assistance beyond the above noted agreement is to be reported to administration for the appropriate assistance.

1.6 LEVEL OF SERVICE Historically, the cemeteries that are currently managed by the Municipality of Chatham-Kent operated at varying levels of service and economic value. Striking the balance between public expectations and economic value to ensure a consistent level of service across the Municipality continues to be a primary challenge. Cemeteries Services, with guidance from Municipal Council, has established a service/value position that appears acceptable to the citizens of Chatham-Kent.

2.0 GOALS AND OBJECTIVES This Business Plan identifies the following strategic and operational goals and objectives for Cemeteries: • Ensure sufficient cemetery property to provide for needs of the community • Assure financial efficiency through:

- Efficient day to day operational management - Market sensitive pricing (rate) strategy

• Ensure that the Care and Maintenance Trust Fund is sufficient for the perpetual care needs of the Cemeteries

• Maintain effective fiscal and administrative control processes

7

• Monitor the demand for death care products and services in collaboration with local Funeral Directors

• Continue to target the service level/economic value position expected by the communities

• Review and update contractual service for Greenwood Cemetery • Present the Business Case for the development and implementation of other related

services including Columbaria

3.0 RISK MANAGEMENT - ENVIRONMENTS INTERNAL 3.1 NUMBER OF CEMETERIES Upon the municipal amalgamation of 1998 the Municipality of Chatham-Kent assumed responsibility for all municipal active, inactive and abandoned cemeteries within its municipal borders. At January 01, 2010 the Municipality’s portfolio of cemeteries is: Active (municipal) - 6 Active (contracted) - 1

Inactive/Abandoned - 58 65 Chapels exist at four of the seven active cemeteries and are available for use by the public. During the 2008 budget deliberations a report was presented to Council in preparation for the acquisition of Sherman Cemetery. A one-time budget request of $24,576 was approved for mapping of the cemetery, re-seeding and repairs of the grounds/fence and inputting the cemetery records into the municipal data system. Final documentation was forwarded to the Ministry of Government Services, Cemetery Branch in 2009 at which time the Registrar General authorized the release of the Care and Maintenance funds to the Municipality. 3.2 LAND USE / AVAILABILITY Future land availability for the seven active cemeteries is critical to enable the Municipality to offer a variety of interment options. Immediate pressure for land expansion of the various cemeteries has decreased. The primary reason is due to the reduction in lot sales since 2006. Contributing factors include the 50% increase in the price of lots in 2005, lack of disposition options, (e.g., Columbaria), the reduction in percentage of municipal burials, (e.g., 65% pre-2005 compared to 55% in 2009) and increased use of historic lots.

8

The following chart illustrates current land availability at the seven active cemeteries as well as the number of years currently provided for:

TABLE 1 – LAND USE / AVAILABILITY PER CEMETERY

BOTHWELL DRESDEN EVERGEREEN MAPLE LEAF RIVERVIEW GREENWOOD* SHERMAN

Undeveloped Acres 1.25 2.81 27.77 2.25 1.97 2.54 0.13

Developed Graves Available 118 109 601 365 332 505 52

Population served 8,000 10,000 10,000 47,000 15,000 10,000 7,000

% served 55% 55% 55% 55% 55% 55% 55%

Graves/Acre - full 400 400 400 400 400 400 400

Graves/Acre - cremation 800 800 800 800 800 800 800

Graves available 783 1,604 15,375 1,562 1,380 1,856 121 Death Rate/1000 (2006 - 2009) 1.09% 1.09% 1.09% 1.09% 1.09% 1.09% 1.09%

Avg Cremation % (2) 33.00% 33.00% 33.00% 33.00% 33.00% 33.00% 33.00%

Sales/Registrations % 22.00% 22.00% 22.00% 22.00% 22.00% 22.00% 22.00%

YEARS AVAILABLE 41 67 641 14 38 77 7

* Greenwood Cemetery is a private cemetery operated under contract by Chatham-Kent Lifecycle funding for land requirements into account current land use and requirements. Presently, the municipal By-Law #168-199, which regulates the operation of cemeteries in the Municipality, allows the following: “A single Adult Grave may contain:

1. A casket containing human remains and the cremated remains of two persons; or

2. The cremated remains of four persons; or 3. Two (2) still-born remains in addition to a casket containing adult human

remains; or 4. A 60.96 x 30.48 (24” x 12”) infant container may be buried at the head end of

a single grave in which a casket containing human remains has been buried, provided space is available.

There is an increased trend in the preference of cremation. Across Ontario, 47% of all deaths are followed by cremation. In Chatham-Kent, 34% of interments in municipal cemeteries are cremations, an increase of 14% over the last ten years. 3.3 MARKET SHARE Historically, the Municipality of Chatham-Kent has been the primary provider of burial sites within the municipality. Over the nine-year period: 2001 – 2009, the percentage of burials in municipal cemeteries has declined in spite of a predictably growing death registration rate:

9

TABLE 2 – PERCENTAGE OF BURIALS

YEAR C-K DEATHS BURIALS % OF MARKET

2001 1,129 676 60%

2002 1,128 704 62%

2003 1,129 747 66%

2004 1,189 673 57%

2005 1,189 728 61%

2006 1,175 696 59%

2007 1,185 711 60%

2008 1,121 664 59%

2009 1,171 653 56%

2010* 1,183 647 55%

2011* 1,195 641 54%

2012* 1,206 634 53%

2013* 1,219 628 52%

2014* 1,231 622 51% * projected

Projections through 2014 continue this trend of declining burials in spite of slightly increasing death registrations. These projections have not taken into account demand for columbaria. This gradual decline in market share is demonstrated later in this section, in the declining burials trend. 3.4 CREMATIONS There is an increasing trend in the preference of cremation. Across Ontario, 47% of all deaths are cremated. In Chatham-Kent, 34% of interments in municipal cemeteries are cremations:

TABLE 3 – CREMATION PROVINCIAL AVERAGE

YEAR CHATHAM - KENT PROVINCIAL AVG.

1999 15% 41%

2000 20%

2001 21%

2002 25%

2003 29%

2004 30%

2005 N/A

2006 35%

2007 32%

2008 38%

2009 34% 47%

The following chart illustrates how Chatham-Kent lags the provincial trend towards preference for cremations:

10

TABLE 4 – CREMATION PERCENTAGES

Municipality 2009 Total Burials 2009 Cremation Burials Percentage

Brantford 307 158 51%

Cambridge 550 220 40%

Kitchener 742 329 44%

Niagara Falls 554 269 49%

Oakville 273 143 52%

Owen Sound 190 87 46%

St. Thomas 59 31 53%

Waterloo 423 216 51%

AVERAGE 387 182 47%

Chatham – Kent 653 220 34% Presently, the only option for cremation interments is in ground burials. 3.5 LOT SALES Over the past six years lot sales have declined from 345, in 2004, to 217 lots sold in 2008. Lot sales in 2009 have reversed the declining trend to 252 lots. The following chart illustrates the decline in sales, resulting in revenues declining by $220,341 from the 2005 Business Plan projections.

GRAPH 1

Several items have contributed to this decline including: (1) The rush to pre-purchase lots prior to the major price increase in 2005 The sale of lots drastically increased between 2004 and 2005, (i.e., 335 in 2004 to 621 in 2005) – a difference of 286. Administrations suspect this escalation was likely the result of pre-purchases occurring prior to the implementation of the July 1, 2005 fee increase and has had a lingering effect on future sales.

0

200

400

600

800

1000

1200

2004 2005 2006 2007 2008 2009 2010*

MUNICIPAL CEMETERY LOT SALES

BUSINESS PLAN (2005) LOT SALES ACTUAL LOT SALES

11

(2) Annual fee increases from 2005 to present In order to meet the objective of full cost recovery it was necessary to increase fees over and above the annual CPI rates. From 2005 to 2010 cemetery fees have increased a total of 63.9%:

TABLE 5 – FEE INCREASES

YEAR FEE INCREASE 2005 51% 2006 0% 2007 6.2% 2008 4.5% 2009 1.2% 2010* 1.0%

(3) Use of family/heritage lots There is an increasing trend in the use of “family” or “heritage” lots, which are either left to someone through a “Will” or if no “Will” is available through Provincial Intestate Law. People are more knowledgeable now of cemetery regulations and the legislation governing use of burial sites. The age of municipal cemeteries contributes to this trend as the volume of heritage lots is greater than most other municipal cemetery operations. Historically the purchase of 8 to 12 graves was common and many of these are still being used by today’s descendants for both traditional and cremation interments. In our consultation with the Funeral Directors, this trend was confirmed. Administration contacted the Registrar of Cemeteries regarding implementation of restrictions on previously purchased lots. Confirmation that the rules and regulations in place at the time of the original sale are the rules that apply to those 'rights' today. In the case where rules and regulations are unknown, cemetery owners are obligated to honour current regulations. (4) Geographic area

There are many non-municipal cemetery operations within Chatham-Kent where cemetery services are priced much lower than similar services offered by the Municipality. Since implementing the 2005 Business Plan increases in the price of cemetery services has resulted in a greater price difference between municipal and non-municipal cemetery operations.

12

(5) Lack of Services The lack of columbarium services and the corresponding increase in cremation rates is creating a demand/service void. The plans to implement columbarium services will be presented in Section 5.13 of this document. The current Cemeteries base budget lot sales revenue is based on projected lot sales from the original 2005 Cemeteries Business Plan (620 lots in 2010). This revised Business Plan projects lot sales to grow at the same pace as the growth in projected Death Registrations: 2010 – 2014:

TABLE 6 – LOT SALES

YEAR LOT SALES

2009* 252*

2010 240

2011 242

2012 245

2013 247

2014 250

3.6 CARE AND MAINTENANCE TRUST FUND The purpose of Care and Maintenance funds are to allow for proper maintenance of the cemetery once revenue sources have diminished. In spite of declining lot sales the Care and Maintenance trust fund continues to grow, however, at a slower pace as illustrated in the following graph. There has been a plateau on the interest earned due to declining rates of return:

GRAPH 2

$0

$500,000

$1,000,000

$1,500,000

$2,000,000

$2,500,000

$3,000,000

$3,500,000

$4,000,000

$4,500,000

2004 2005 2006 2007 2008 2009 2010*

TRUST FUND & INTEREST

TRUST FUND INTEREST EARNED

13

Although interest earned has been sustained through the benefit of long-term investments, it cannot continue at these levels with suppressed interest rates:

• 2004 5.7% • 2005 4.9% • 2006 4.6% • 2007 4.5% • 2008 4.4% • 2009 4.6% • 2010 4.0% (estimated)

The 2010 budget projects a reduction of $12,808 from 2009 to reflect these declining interest rates. In spite of growth in the overall fund, administration anticipates that by 2011 the interest earned annually will begin to decline more substantially if interest rates remain at current levels (yields for maturing investments are currently at 2.3%).

TABLE 7 - TRUST FUNDS

FUND PROJ'D

YEAR BALANCE YIELD

2009* $3,938,552* 4.62%*

2010 $4,061,926 4.00%

2011 $4,188,404 3.50%

2012 $4,318,381 3.30%

2013 $4,452,284 3.10%

2014 $4,590,231 3.20%

*does not include trust fund contributions from columbaria During our consultation with local funeral directors, it was suggested that administration considered shifting the proportional overall costs for lot sales and interments, that is, decreasing lot fees and increasing burial fees creating cost neutral fees with less exposure to the 40% care and maintenance amount. The proposed fee schedule is weighted towards insuring the sustainability of the Care and Maintenance Fund. The Cemeteries Act requires that defaulted cemeteries and related liabilities transfers to municipal authorities. Therefore, trust funds must be managed to provide for this potential liability. Any significant increase in lot or burial fees risk a reduction in overall revenues as potential customers will seek lower cost options. The annual cost to maintain cemeteries increases over time. The purpose of Care and Maintenance funds are to allow for proper maintenance of the cemetery once revenue sources have diminished. As the Care and Maintenance funds are presently under-funded, a decrease in lot pricing would have a further negative impact on the fund.

14

3.7 BURIALS AND COLUMBARIA During the period of time (2004 – 2010) burials were tracking close to original projections but have started to lag over the past 3 years

GRAPH 3

The current Cemeteries base budget for Opening and Closing revenues is based on

projected death rates and 65% market share in the original 2005 Cemeteries Business

Plan (770 burials in 2010). Burials are projected to decline at the rate of 1% per year:

2010 – 2014:

TABLE 8 - ANNUAL BURIALS

YEAR BURIALS

2009* 653*

2010 647

2011 641

2012 634

2013 628

2014 622

Burial revenues would decline at the rate shown above, plus, yearly CPI.

This Business Plan recommends a reduction from the base budget in Opening and

Closing revenues of $12,265.

Some reasons for this decline are as follows: (1) Non-municipal cemetery operations As mentioned earlier, the 63.9% increase in fees over the last six years has caused a major price differential between municipal and non-municipal cemetery operations.

0

200

400

600

800

1,000

1,200

2004 2005 2006 2007 2008 2009 2010*

MUNICIPAL CEMETERY BURIALS

BUSINESS PLAN (2005) BURIALS ACTUAL BURIALS

15

Funeral establishments within the Municipality are experiencing the same economic pressures as others in the bereavement industry and it would follow that they would make customers aware of the various alternatives to municipal cemeteries. (2) Shift towards cremation Cremation interments are less expensive and present no immediate necessity for disposition. Families who choose cremation have the advantage of time: - time to choose what form of cemetery disposition they prefer, if any at all - time to determine whether interment in their present community or a former one is

preferred - time to determine if they will inter right away or wait until a spouse / partner has

been cremated and then make that decision to determine what alternatives there are and make the choice that best addresses their personal needs.

The burials projected, above, do not include columbaria. The addition of columbaria to the municipality’s current cremation options will bring about an increase in the total number of cremation burials, specifically as it relates to the number of niche interments. This will ultimately decrease the percentage span between the municipality and the comparator average, yet will not affect the current rate of full burials During Business Plan discussions, it was suggested that Cemetery staff “Explore other products and services demanded by customers not conveniently available from the private sector.” One of these products was columbaria. In May 2008, staff explored the financial aspects of columbaria and determined there was sufficient financial justification to proceed with further research. In December 2009 Council approved the request to proceed with a request for proposals (RFP) on Columbaria for the Municipality’s active cemeteries. Council requested Greenwood Cemetery be included due to the operating partnership. In 2010 an RFP was sent to eight companies. Administration also consulted with area Funeral Directors who identified a public interest in columbaria at the following cemeteries: Evergreen (Blenheim), Dresden (Dresden), Greenwood (Ridgetown), Maple Leaf (Chatham) and Riverview (Wallaceburg). The Funeral Director servicing Bothwell/Thamesville recommended that columbaria was not required in either community at this time. Administration will continue to monitor this initiative for these two communities. If the recommendation for columbaria in the report is approved the terms for repayment of the capital investment for the Greenwood Cemetery would be incorporated into the revised agreement between Greenwood Cemetery Corporation and the Municipality of Chatham-Kent.

16

3.8 COST OF OPERATIONS Chatham-Kent Cemeteries operate on a highly efficient operating cost basis. Comparing Chatham-Kent operating costs (2009) to other Ontario municipal cemetery operating costs for both cost per acre and cost per burial shows Chatham-Kent cost lower:

TABLE 9 - MUNICIPAL COMPARATOR OPERATIONAL COSTS

Municipality

No. of Active

Cemeteries Total Acres

No. of Burials (2009)

Annual Op Costs

Cost per Acre

Cost per Burial

Brantford 3 93 307 $567,895 $6,106 $1,850

Kitchener 3 195 742 $1,473,558 $7,557 $1,986

Niagara Falls 2 96 554 $1,578,593 $16,444 $2,849

Oakville 1 48 273 $891,200 $18,567 $3,264

Owen Sound 2 40 190 $309,196 $7,730 $1,627

St. Thomas 2 37 59 $161,974 $4,378 $2,745

Waterloo 2 80 423 $1,441,265 $18,016 $3,407

AVERAGE 2.14 84.14 364 $917,669 $10,906 $2,521

Chatham-Kent 7 299 652 $1,130,655 $3,781 $1,734

The measurement of operating cost/acre is 1/3 of the comparators average, while the cost per burial 2/3 that of the same comparators. Additionally, Chatham-Kent staff maintains 3.6 times the total acreage of the above comparators and 3 times the number of active sites. The effective use of contractors for grass cutting and some burials has contributed to effective cost control. Chatham-Kent’s annual operating costs represent 2009 actual costs with allocations for corporate, departmental, divisional and sectional services. Information provided from other cemeteries regarding annual operating costs has not specified if any allocation for corporate services are included. A similar comparison of staffing efficiencies identifies the same results:

TABLE 10 - MUNICIPAL COMPARATORS COST PER STAFF

Municipality No. of

Cemeteries Total Acres

No. of Active

Active Acres

2009 Burials

No. of Staff*

Acres/ Staff

Burials/ Staff

Brantford 5 93 3 90 307 5 18.60 61.40

Kitchener 6 195 3 120 742 9 21.67 82.44

Niagara Falls 20 96 2 93 554 11 8.73 50.36

Oakville 8 48 1 25 273 5 9.60 54.60

Owen Sound 2 40 2 40 190 4.25 9.41 44.71

St. Thomas 2 37 2 37 59 2 18.50 29.50

Waterloo 2 80 2 80 423 10 8.00 42.30

AVERAGE 6.43 84.14 2.14 69.29 364 6.61 12.74 55.09

Chatham-Kent 65 299 7 207 653 7.99 37.42 81.73

17

* Does not include seasonal and summer students. Operating styles and conditions vary widely among these comparators. Some observations are worth noting:

- The Acres/Staff measurement indicates that Chatham-Kent staff maintains considerably greater acreage per staff member than comparator municipalities. Chatham-Kent’s effective use of private sector grass cutting and some burials contractors account for much of this significant variance.

- The number of annual burials/ staff (openings and closings) illustrates a more valid comparison of staff efficiencies in the Chatham-Kent Cemeteries and is comparable to the Kitchener operation.

- Active cemeteries are located within the urban centres where Chatham-Kent

cemeteries are municipal wide. Prior to 2003 extra charges for weekends, holidays and for funerals arriving after 3:30 p.m. Monday through Friday off-set corresponding overtime costs. In December 2003, Council passed the following motion:

“The cost of providing the overtime service be absorbed in the Cemeteries operating budget until the Business Plan is completed.

The following chart shows the overtime costs for the past seven years:

TABLE 11 - OVERTIME COSTS

Year Cost 2003 $25,321 2004 $31,472 2005 $36,749 2006 $40,406 2007 $37,989 2008 $42,063 2009 $35,651

The majority of overtime expenses are a direct result of burials during non-traditional

hours.

3.9 TAX BASE SUPPORT As a result of the aforementioned information cemeteries have not been able to reach the full cost recovery objective set out in the 2005 Business Plan. Since the implementation of the 2005 Cemeteries Business Plan tax base support for Cemeteries is shown in the following chart:

18

TABLE 12 - ANNUAL VARIANCES

YEAR (SURPLUS) / DEFICIT CORP COST ALLOCATIONS

2004 ($17,357) $0

2005* ($19,209) $0

2006* $76,001 $161,397

2007* $126,541 $188,685

2008* $234,976 $195,422

2009* $241,450 $204,500

2010** $257,122 $206,545

* includes Corporate cost allocations + price increases

Cemetery financial results for the past three years summarized by cost and revenue type are summarized in the following chart:

TABLE 13 - FINANCIAL RESULTS

2007 2008 2009

OP COSTS: Wages $350,069 $356,800 $356,318 Benefits $68,200 $69,084 $69,895 Utilities $18,475 $20,683 $19,074

Insurance $3,956 $4,153 $4,336 Fleet $164,283 $159,149 $157,350

Grass Cutting $181,434 $177,250 $211,245 Contracts $6,745 $27,396 $29,801

Service Allocations $188,685 $195,422 $204,500 Telephones - cell $3,837 $3,297 $2,468

Materials $19,540 $20,853 $32,219 Life cycle $0 $0 $38,253

Heritage Pres. $0 $0 $0

Other $22,361 $5,299 $5,196

$1,027,585 $1,039,386 $1,130,655

REVENUES: Lot Sales ($202,332) ($140,560) ($192,647)

Open & Closing ($499,747) ($465,811) ($488,115) Death Registrations ($22,567) ($22,431) ($22,959)

Interest Earned ($168,858) ($173,101) ($182,428) Off Hours Revenues $0 $0 $0

Other ($7,540) ($2,507) ($3,055)

($901,044) ($804,410) ($889,205)

(Surplus) / Deficit $126,541 $234,976 $241,450

3.10 BUSINESS MODEL A study of cemetery operations in various southern Ontario municipalities demonstrates a variety of: • operating structures • cost self-sustainability • provision of other death care industry products and services

19

TABLE 14 - MUNICIPAL SUBSIDIES

MUNICIPALLY SUBSIDIZED OTHER MUNICIPALITY STRUCTURE PRODUCTS

Brantford Municipal YES NO

Cambridge Municipal YES NO

Kitchener Municipal YES YES

Niagara Falls Municipal YES NO

Oakville Municipal YES NO

Owen Sound Municipal YES NO

St. Thomas Commissioned NO YES

Waterloo Municipal NO YES

Chatham-Kent Municipal NO NO

Chatham-Kent has chosen not to employ a competing business model. As summarized in the guiding principles, the Municipality has adopted a model in which it does not compete directly with the private sector to offer death care services. The City of Waterloo Cemetery Operations competes with the private sector by offering a full range of services from traditional cemetery services to cremation, memorial sales, urn sales, and other ancillary products. It operates as a separate business under the umbrella of the municipal structure and is financially self-sustaining. A unique characteristic for cemetery services in Chatham-Kent is the absence of private sector for profit cemetery operations. Given the geographic location, demographics and low population growth projections for Chatham-Kent it is unlikely that private sector cemetery operations will find this market attractive in the future. This Business Plan assumes a continuation of Chatham-Kent municipal cemeteries as the primary provider of burials in Chatham-Kent. Within Chatham-Kent other burial sites are provided by church, religious or family operated cemeteries. A 1997 Privatization Committee Report to Council discouraged the privatization of Maple Leaf Cemetery while increasing revenues, through rates, and decreasing operating costs. EXTERNAL 3.11 THE CEMETERIES ACT Our municipal Cemeteries are governed under the provisions of the Cemetery Act (Revised 1990) of Ontario. All licensed cemeteries in Ontario are required to report annually to the Ministry of Consumer and Business Services – Cemeteries Regulation Section, detailing: • annual census of activities for the previous year • proposed fee changes for the upcoming year for Ministry approval • application for license renewal for the upcoming year

20

• Ministry approval of Cemetery By-laws, Contracts, Terms of Condition, Rules/Regulations and any revisions to such documents used for Cemetery Operations

Chatham-Kent Cemeteries is required to operate in compliance with the Cemeteries Act. It is important to be aware that the Cemeteries Act requires that any abandoned cemetery operation must be assumed by the municipal authority and care and maintenance also becomes the responsibility of that municipal authority. There are 50 non-municipally operated (church, family, community) cemeteries in Chatham-Kent. Experience with the three cemeteries abandoned since 1998 is that none had adequate Care and Maintenance Funds. The existing Chatham-Kent Care and Maintenance Fund does not provide for any liability associated with the 50 non-municipally operated cemeteries. Any future abandonment’s will have Trust Fund implications. Under the Cemeteries Act, (R.S.O. 1990, c. C.4) cemetery owners are obligated to repurchase interment rights if written notice is received from the interment rights holder and the rights have not been used (no activity has occurred). There is no time limit to such requests. This requirement represents an ongoing unknown financial liability for the Municipality. Refunds must be at the original purchase price minus the non-refundable Care and Maintenance portion. In 2008, the expense for Interment Rights refunds was $18,525 with $1,023 refunded in 2009. Municipal by-laws must also be complied with. Cemeteries operate in compliance with Chatham-Kent municipal by-laws. 3.12 PRICE COMPARISON TO OTHER MUNICIPAL CEMETERIES Following is a comparison of 2009 cemetery fees including those of Chatham-Kent.

TABLE 15 - PRICE COMPARISONS

Municipality Single Grave

Upright ** 2 Grave

Adult Lot Adult

Interment Cremation Interment

Oakville $3,340 $6,680 $863 $443

Cambridge $1,075 $2,150 $821 $253

Kitchener $1,600 $2,663 $852 $300

Niagara Falls $970 $1,940 $845 $250

St. Catharines $1,358 $3,551 $900 $344

St. Thomas $550 $1,100 $500 $250

Brantford $1,075 $2,150 $821 $253

Owen Sound $1,165 $2,060 $770 $285

Waterloo $1,675 $3,200 $860 $300

Community Average $1,423 $2,833 $804 $298

Chatham-Kent $1,345 $2,690 $975 $311

Presently, the municipality’s rate for a single adult lot compares favourably with the group average. Some comparator communities charge a premium for single grave lots

21

that permit an upright monument, Chatham-Kent does not. Interment fees in Chatham-Kent are slightly higher than the group average.

4.0 STRENGTHS, WEAKNESSES, OPPORTUNITIES, THREATS (SWOT) ANALYSIS

Strengths Weaknesses • Operates with minimal staff • Control mechanisms in place for tracking

performance • Customer service oriented • Experienced and knowledgeable staff • Increasing volunteer assistance • Collection of unusual art & sculpture • Diverse cultures of cemeteries • Source of genealogical records • Encourage non-traditional uses such as

wedding photo shoots

• Provincial mandate restricts marketing

initiatives • Increases to fee schedules have

negative impact • Budget limitations affects staffing,

maintenance and ability to evolve with trends

• Multiple agendas cause confusion • Failing foundations • Lack of public washrooms • Large geographic area, resulting in

increased operating costs • Outstanding re-negotiation of

Greenwood Cemetery contract • Lack of options for interments for those

who choose cremation

Opportunities Threats • Columbaria will provide alternative

choices • Naturalized areas promote healthy

environments • Enhanced beautification can promote

areas as walking paths/trails • Increased use results in reduced

vandalism • Heritage tourism – promote local culture

and history • Land opportunities allow for future growth • Construction of columbaria at one or

more active cemeteries

• Municipal population growth is low,

resulting in limited opportunity to grow market share

• Abandonment issues arising from the New Cemetery Act -smaller private operations will find it difficult to meet the standards of the new act and will cease to operate.

• Declining interest rates negatively impact our investment income from our Care and Maintenance fund

• Healthier aging population • Vandalism • Neglect due to insufficient funding • Increased trend in cremations and no

requirement for interment has negative impact on sales

• Private cemetery operators offer lower rates

22

5.0 RECOMMENDATIONS 5.1 CARE AND MAINTENANCE FUND

Recommendations:

Adopt the recommended price model designed:

a. to sustain the Municipalities Care and Maintenance fund

b. to mitigate the risk of abandonment resulting from the new Cemetery Act and

c. to substantially contribute and to the operating costs of the active cemeteries

5.2 REDUCTION IN REVENUES FROM LOT SALES

Recommendations:

Accept the following projections for the 2010-2014 Cemeteries Business Plan:

a. Lot sale revenues would grow at the same rate as registered deaths, plus,

yearly CPI

b. Adopt the following lot sale projections for the 2010-2014 Cemeteries Business

Plan Reference - Table 6 – Lot Sales – Page 11

YEAR LOT SALES*

2009 252

2010 240

2011 242

2012 245

2013 247

2014 250

*lot sales projected above do not include columbaria.

5.3 REDUCTION IN REVENUES FROM OPENINGS / CLOSINGS

Recommendations:

Accept the following projections for the 2010-2014 Cemeteries Business Plan:

a. Opening and Closing volume revenues would decline at the rate of 1.00% per

year

b. Opening and Closing rate revenues would increase at the yearly CPI

c. Adopt the following burial projections for the 2010 – 2014 Cemeteries Business

Plan

Reference – Table 8 - Burials – Page 14

YEAR BURIALS*

2009 653

2010 647

2011 641

2012 634

2013 628

2014 622

* burial projections above do not include columbaria

23

5.4 ANNUAL INCREASE IN FEES

Recommendation: Fee increases continue to change, annually, at the budgeted CPI rate. Staff considered a concept whereby cemetery fees be reduced to generate higher sales volumes and accordingly more revenue. Any fee decrease would require an equal sales volume increase in order to maintain current revenues. To realize an increase in revenues the volume in sales activities would need to increase even further. The price increase in 2005 changed the purchasing behaviour of consumers. A reduction in fees at this point would not influence that behaviour. In order to attract a cost sensitive market, fees would need to decrease substantially. Decreasing fees without corresponding increases in volume would also further compromise an under-funded Care and Maintenance Fund. Staff also considered the negative impact any reduction in pricing would have on customers who had made cemetery purchases within the past few years and saw this as a potential public relations concern.

5.5 INCREASE IN EXPENSE FROM GRASS CONTRACT

Recommendation: Provide a 2010 base budget for the increased amount in the 2009 re-tendered “Surrounding” grass cutting contract. Presently there are two 5-year contracts for seasonal grass cutting:

1. Chatham 2. Surrounding (i.e., all other parts of Chatham-Kent)

In 2009, the “Surrounding” contract was re-tendered and approved; this resulted in an additional annual cost of $9,512 for cemetery operations. Each year for the 5-year term of the contract, the price will be increased by the Bank of Canada CPI. 5.6 REFUNDS ON INTERMENT RIGHTS

Recommendation: Provide a 2010 base budget for projected legislated repurchases of interment rights of $5,000.

24

5.7 INCREASE IN REVENUES FROM IMPLEMENTATION OF PREMIUM RATES Recommendation: Implement premium Opening and Closing fees for interments outside traditional operating hours. Through the implementation of additional charges for weekdays, necessitating work

after 5:00 p.m., Saturdays and holiday funerals. it is projected that there will be a

positive revenue outcome of $21,776. The fees would be as follows:

TABLE 16 - PREMIUM RATES

*Would require Ministry approval prior to implementation.

At the October 27, 2009 meeting with the Funeral Directors, it was the consensus of those present that premium rates be implemented, but limited to Monday through Friday after 5:00 p.m. and on all Saturdays and holidays to offset a portion of overtime expenses.

5.8 FAMILY SERVICE COUNSELLOR CONTRACT POSITION

Recommendation:

Change the role of the contract Family Services Counsellor to a full time, more generic position, of Cemetery Coordinator. This change will result in a budget reduction of $17,261 through the elimination of commission presently paid on sales and through a savings on benefit coverage. This change would also utilize staff time more effectively. The large geographic area that is involved is a major consideration in the requirement for a Cemetery Coordinator. In addition to pre-need and at-need sales, the Coordinator would assist the Cemetery Supervisor with their duties.

As outlined in the Cemeteries Act, (R.S.O. 1990, c. C.4) downloading sales to Funeral

Home Directors is prohibited.

5.9 SHERMAN CEMETERY

Recommendation: Establish a 2010 base budget for Sherman Cemetery (Thamesville). T

Interment Type Premium Rates* After 5:00 pm Saturday Holiday Adult Interment $75/ half hour $240 $320 Cremation Interment $75/half hour $120 $160 Child/Infant Interment $75/half hour $120 $160

25

he following chart outlines the required operational budget for Sherman Cemetery.

TABLE 17 - SHERMAN CEMETERY - THAMESVILLE

Sherman Cemetery Base Budget Proposal Revenues: ($6,801)

Annual Expenses: Grass cutting Contracts (open/close) Other

$ 5,544 $ 8,009 $ 1,162 $14,715

Total Base Dollars Required:

$7,905

5.10 SHRUB PROGRAM

Recommendation: Create a 2010 base budget for a shrub trimming/removal program.

Presently, the Cemeteries By-law dictates that it is the responsibility of the lot owner to maintain all shrubs installed on their lot. Occasionally staff will remove and/or trim overgrown shrubs as a courtesy. A shrub program would enhance the landscape of the cemeteries as well as relieve maintenance and grass cutting challenges. It is anticipated that revenues of $1,000 will be generated through this program.

TABLE 18 - FEE SCHEDULE FOR SHRUB PROGRAM

SERVICE SIZE FEE*

Trim Shrubs Under 1.5 metres $7.50

Over 1.5 metres $12.50

Shrub Removal Under 1.5 metres $12.50



*Would require Ministry approval prior to implementation.

5.11 INCREASE IN LEVELS OF SERVICE

Recommendations:

5.11.1 Summer Student

Increase the 2010 base budget for student hours from 353 (8 weeks per year) to 560 (14 weeks per year) allowing the student to assist with the May and June preparation and planting plus part time pay equity. The change in service level would result in enhanced cemetery horticultural displays as well as keep the cemetery student hours consistent with other

26

municipal student hours. The cost of this increase in student summer hours is $3,893.

5.11.2 Grass Cutting

Increase the 2010 base budget for grass cutting in six of the seven active cemeteries from an “A” level (18 cuts per season) to “A+” (22 cuts per season).

With a cutting season of 27 weeks (May 1 to November 1), an “A” level service equates to one cut every 1.5 weeks. “A+” would provide four additional cuts per year equating to one cut every 1.23 week allowing for a weekly cut during the months of May, June, September and October with a reduced cut during the hotter months of July and August. The proposed budget for this increased level of service is $19,546. Over the past five years, public complaints have resulted in staff increasing the number of cuts to satisfy the expectations of our customers.

5.11.3 Volunteers

Establish a base budget for the volunteer preservation of Cemetery heritage memorials. In November of 2009, Council passed a Notice of Motion recommending that a budget of $10,000 be approved for the preservation of heritage memorials in municipal cemeteries. Administration spoke with volunteers to discuss an appropriate budget that would assist them with future projects. A $10,000 budget would not only assist them with current projects, but will assist in expanding their efforts. During Budget 2010, this amount was approved.

5.12 GREENWOOD CEMETERY Recommendation: Renegotiate the Greenwood Cemetery Corporation contract to ensure all direct expenses of the Municipality of Chatham-Kent are recovered from revenues.

5.13 COLUMBARIA Recommendation: Construct columbaria at five of the active seven cemeteries at an estimated one-time cost of $147,941 including cost of foundations and landscaping:

27

Cemetery # of Niches # of Units Amount

Blenheim 80 1 $32,907

Chatham 80 1 $32,907

Dresden 48 1 $24,610

Ridgetown 48 1 $24,610

Wallaceburg 80 1 $32,907

$147,941

Greenwood Cemetery has requested the opportunity to participate in this investment in order to take advantage of the municipal’s volume pricing. Business case analysis’ for these individual columbaria installations are attached to this Business Plan and summarized in the following chart: Cemetery # of Niches Annual

Demand Capital Pay-back (yrs)

Return on Investment

Blenheim 80 10 2.13 37.95%

Chatham 80 25 0.80 78.34%

Dresden 48 6 2.64 27.97%

Ridgetown 48 6 2.64 27.97%

Wallaceburg 80 15 1.37 51.42%

All columbaria make a positive contribution to the tax base funded Cemeteries deficit, throughout the duration of this business plan, starting in the first year of operations:

• 2010 $ 0

• 2011 $ 78,578

• 2012 $ 82,428

• 2013 $ 99,973

• 2014 $ 60,541

28

5.14 WALLACEBURG WATER IMPROVEMENT ASSESSMENT Recommendation: Provide one-time funding for Riverview Cemetery’s share of the local water improvement distribution assessment. During 2010 Riverview Cemetery in Wallaceburg was assessed its one-time share of the Wallace Street water improvement project of $17,716. Administration requests 2010 one-time funding to provide for this item.

6.0 FINANCIAL INFORMATION 6.1 COSTS AND REVENUES FOR SERVICES AND PRODUCTS Using 2007 – 2009 as the projection base for Cemeteries costs and revenues and applying the recommendations from Section 5.0 of this report the following five-year projections are arrived at:

TABLE 19 - CEMETERY FINANCIAL PROJECTIONS

2010 2011 2012 2013 2014

OP: COSTS:

Wages $365,244 $372,568 $380,951 $389,523 $399,261

Benefits $74,348 $75,835 $77,541 $79,286 $81,268

Utilities $20,198 $20,804 $21,637 $22,502 $23,627

Insurance $4,361 $4,492 $4,672 $4,858 $5,101

Fleet $158,924 $161,308 $164,131 $167,413 $170,761

Grass Cutting $216,123 $219,365 $223,752 $228,786 $234,506

Contracts $23,000 $23,345 $23,812 $24,348 $24,956

Service Allocations $206,545 $209,643 $213,311 $217,578 $221,929

Telephones - cell $3,297 $3,395 $3,531 $3,673 $3,856

Materials $23,681 $24,036 $24,457 $24,946 $25,445

Life cycle $35,858 $36,396 $37,033 $37,773 $38,529

Heritage Pres. $10,000 $10,150 $10,328 $10,508 $10,692

Columbaria Amort $0 $26,720 $26,720 $26,720 $18,493

Columbaria Interest $0 $5,918 $4,849 $3,780 $2,711

Other $26,172 $8,575 $8,728 $8,905 $9,098

TOTAL $1,167,750 $1,202,549 $1,225,451 $1,250,599 $1,270,235

REVENUES:

Lot Sales - net -$181,605 -$181,883 -$187,067 -$192,891 -$201,039

Opening & Closing -$515,067 -$518,265 -$522,777 -$528,635 -$534,569

Death Reg. Fees -$23,421 -$24,010 -$24,674 -$25,420 -$26,187

Interest Earned -$166,940 -$150,732 -$146,530 -$141,917 -$151,034

Columbaria Rev's $0 -$115,630 -$118,521 -$135,110 -$84,353

Other -$1,000 -$1,015 -$1,033 -$1,053 -$1,074

TOTAL -$888,034 -$991,536 -$1,000,602 -$1,025,027 -$998,256

(Surplus)/Deficit $279,716 $211,013 $224,849 $225,572 $271,979

29

6.2 BUDGET ADJUSTMENTS

Incorporating the financial considerations identified in Sections 5.1 – 5.14 would affect Cemeteries budget as follows:

TABLE 20 – RECOMMENDED 2010 BUDGET ADJUSTMENTS

RECOMMENDED CEMETERY BASE BUDGET ADJUSTMENT

2010 Base budget $16,416

5.2 Lot Sales Volume $220,341

5.3 Burials Volume $12,265

Interest earned Rate $12,808

Death registrations Volume -$7,775

Fleet Volume $14,899

Materials Volume -$25,263

Other $2,489

$229,764

Adjusted Business Plan Base Budget $246,180

5.5 "Surrounding" grass contract $9,512

5.6 Refunds on interment rights $5,000

5.7 "Off-hours" opening & closing fees -$21,775

5.8 Convert Family Service Counsellor -$17,261

5.9 Sherman Cemetery $7,905

5.10 Shrub program -$1,000

5.11 Level of service

Summer Student $3,893

A+ grass cutting $19,546

Volunteers (Heritage Preserv.) $10,000

$15,820

Recommended 2010 Adjusted Base Budget $262,000

One-time supplemental request

- Wallaceburg water improvement assessment $17,716

Columbaria financial impact not felt until 2011, see Section 5.13.

30

7.0 CONSULTATION WITH FUNERAL DIRECTORS On October 27, 2009, staff met with community Funeral Directors to discuss topics from the report that would affect their respective areas and comments noted are as follows. Hours of Operation

The hours of operation are set forth under the CUPE Contract involving both Cemetery and Public Works staff. Therefore any changes must be negotiated at contract renewal. There are a number of variables that also affect each internment and require preparation time in advance of the interment. These factors include:

• record searches • site investigation • scheduling of staff • co-ordination with others • ground and weather conditions

Premium Rates

It was the consensus of those present at the meeting that premium rates be implemented, but limited to Monday through Friday after 5:00 p.m. and on all Saturdays and holidays to offset overtime expenses.

Green Burials

Concern for the environment now influences decisions made concerning disposition. Green burials are defined by the use of non toxic materials and fluids during the funeral/burial process. Individuals are buried with earth friendly products in a naturalized area of the cemetery to reduce their carbon footprint.

Cemetery staff will work with local Funeral Directors to monitor the public demand for Green Burial.

At Need Financing

Discussions with Funeral Directors revealed that some feel this is part of their customer service, while others felt that they should not have to carry bad debt on behalf of municipal burials.

Administration suggested that customers had other alternatives for this type of credit (Visa, MasterCard, etc.) and allowing financial support could potentially cause an increase to municipal ‘bad debt’ accounts.

Upon careful consideration, administration feels that due to the lack of recourse after interment occurs, it is not in the Municipality’s best interest to extend credit in these situations.

31

Minutes of the October 27, 2009 meeting with Funeral Directors are found in Attachment “A”.

8.0 MEASUREMENT PLANS The key measurable in meeting the Goals and Objectives of this Business Plan are:

• Land acquisition 3 years prior to need • Rate escalation ladder • Operating cost control • Sale of burial lots and mausoleum crypts and niches • Customer Satisfaction

Various mechanisms are in place within the Municipalities’ control systems to track these key measurable and provide regular appraisal towards the success of this Business Plan:

TABLE 21 – KEY MEASURABLES

KEY MEASURABLE TRACKING PROCESS

Land Acquisition Reports to Council

Pricing CK TRAAX

Operating Cost Control Budget Variance Reports

Sales of Lots CK TRAAX

Customer Satisfaction CK TRAAX

These control mechanisms will be utilized in tracking the Cemeteries performance to this Business Plan over the next five years.

9.0 SUMMARY This Cemeteries Business Plan supports the Chatham-Kent Corporate Plan in the following sections: A. Accountable and Responsive Government

Desired Outcomes: • Increased public satisfaction in our customer service • Use of best practices as standard procedures

B. Communication

Desired Outcomes: • Fully engaged employee base in the decisions of the organization

32

C. Sustainable Growth Desired Outcomes: • Strong and productive relationships with a wide variety of public, private and not-

for-profit agencies D. Capturing Opportunities

Desired Outcomes: • Community participation in social, recreational, heritage, cultural and learning

activities • Clear understanding throughout the community of standards and targets for

heritage protection E. Health and Safety

Desired Outcomes: • Trails and green spaces throughout Chatham-Kent • Increase in forest cover and natural areas

Cemetery Operations is a vital part of the Chatham-Kent community. This document should provide a financial security over the next five years. As with most Business Plans, a five-year review would be implemented.

33

MODEL 80-niche NO. OF NICHES 80 ANN. TAKE-UP 10

CAPITAL '10 $32,907 INT PER NICHE 1.50 INFL RATE 2.50%

INTEREST RATE 4.00% CARE & MTC % 15.00% NICHE PRICE $1,500

OPEN & CLOSE $160 PLAQUE (NET) $350 OFF-SET REVS 10.00%

YEAR OPENING INTEREST CAPTIAL CAPTAL CLOSING PAYBACK CASH

BALANCE CHARGED COST AMORT. BALANCE FLOW

0 $0 $0 $32,907 $0 $32,907 -$32,907

1 $32,907 $1,316 $0 $4,113 $28,794 -$16,286

2 $28,794 $1,152 $0 $4,113 $24,680 $949

3 $24,680 $987 $0 $4,113 $20,567 2.13 $18,808

4 $20,567 $823 $0 $4,113 $16,454 $37,303

5 $16,454 $658 $0 $4,113 $12,340 $56,445

6 $12,340 $494 $0 $4,113 $8,227 $76,246

7 $8,227 $329 $0 $4,113 $4,113 $96,720

8 $4,113 $165 $0 $4,113 $0 $117,878

9 $0 $0 $0 $0 $0

10 $0 $0 $0 $0 $0

RETURN ON INVESTMENT >>>> 37.95%

COLUMBARIUM ANALYSIS

EVERGREEN CEMETERY







0 $0 $0 $32,907 $0 $32,907 -$32,907

1 $32,907 $1,316 $0 $10,284 $22,624 0.80 $10,621

2 $22,624 $905 $0 $10,284 $12,340 $55,683

3 $12,340 $494 $0 $10,284 $2,057 $102,304

4 $2,057 $82 $0 $2,057 $0 $111,881

5 $0 $0 $0 $0 $0

6 $0 $0 $0 $0 $0

7 $0 $0 $0 $0 $0

8 $0 $0 $0 $0 $0

9 $0 $0 $0 $0 $0

10 $0 $0 $0 $0 $0



MAPLE LEAF CEMETERY

34







0 $0 $0 $24,610 $0 $24,610 -$24,610

1 $24,610 $984 $0 $3,076 $21,534 -$14,832

2 $21,534 $861 $0 $3,076 $18,458 -$4,661

3 $18,458 $738 $0 $3,076 $15,381 2.64 $5,908

4 $15,381 $615 $0 $3,076 $12,305 $16,883

5 $12,305 $492 $0 $3,076 $9,229 $28,271

6 $9,229 $369 $0 $3,076 $6,153 $40,079

7 $6,153 $246 $0 $3,076 $3,076 $52,315

8 $3,076 $123 $0 $3,076 $0 $64,985

9 $0 $0 $0 $0 $0

10 $0 $0 $0 $0 $0



DRESDEN CEMETERY







0 $0 $0 $24,610 $0 $24,610 -$24,610

1 $24,610 $984 $0 $3,076 $21,534 -$14,832

2 $21,534 $861 $0 $3,076 $18,458 -$4,661

3 $18,458 $738 $0 $3,076 $15,381 2.64 $5,908

4 $15,381 $615 $0 $3,076 $12,305 $16,883

5 $12,305 $492 $0 $3,076 $9,229 $28,271

6 $9,229 $369 $0 $3,076 $6,153 $40,079

7 $6,153 $246 $0 $3,076 $3,076 $52,315

8 $3,076 $123 $0 $3,076 $0 $64,985

9 $0 $0 $0 $0 $0

10 $0 $0 $0 $0 $0



GREENWOOD CEMETERY

35







0 $0 $0 $32,907 $0 $32,907 -$32,907

1 $32,907 $1,316 $0 $6,170 $26,737 -$7,317

2 $26,737 $1,069 $0 $6,170 $20,567 1.37 $19,194

3 $20,567 $823 $0 $6,170 $14,397 $46,640

4 $14,397 $576 $0 $6,170 $8,227 $75,040

5 $8,227 $329 $0 $6,170 $2,057 $104,411

6 $2,057 $82 $0 $2,057 $0 $114,477

7 $0 $0 $0 $0 $0

8 $0 $0 $0 $0 $0

9 $0 $0 $0 $0 $0

10 $0 $0 $0 $0 $0



RIVERVIEW CEMETERY

Documents

CEMETERIES BUSINESS PLAN - Chatham-Kent · Since the implementation of the 2005 Cemeteries Business Plan several factors and trends have developed or changed. As well, information