TOWN OF PINCHER CREEK May 05, 2011 PUBLIC BUDGET MEETING 7:00
P.M. COUNCIL CHAMBERS
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WELCOME Mayor Ernie Olsen -Introduction of Council Councillor
Don Anderberg Councillor Roy Smyth Councillor Lorne Jackson
Councillor Murray Lauder Councillor Sahra Nodge Councillor Wayne
Oliver
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Introductions Mayor Olsen -Introduction of staff and
consultants Laurie Wilgosh, CAO Osei Bosompem, Director of
Corporate Services Wendy Catonio, Director of Finance and Human
Resources Diane Burt Stuckey, Director of Community Services Bob
Krahn - Manager of Operations Howie Christensen Krystal
Engineering
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BUDGET PROCESS The Council of the Town of Pincher Creek
approved the 2011 operating and capital budget at its April 26,
2011 regular meeting. Keeping property taxes at lowest level
possible was Councils priority, while providing efficient and
effective services. Appropriate service levels and strategic
initiatives were identified and funded to ensure long-term
financial stability. Council gave final approval to a
no-tax-increase budget for 2011 fiscal year but that does not mean
there will not be an increase for some taxpayers on their property
tax bill.
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BUDGET PROCESS Taxpayers may find some increase in their tax
bills as a result of the following: a) municipal assessments
resulting in some increases in property values; b) increase in
requisitions from Alberta School Fund Foundation; c) Increase in
Holy Spirit Roman Catholic School requisitions; and d) In Crestview
Lodge requisitions.
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BUDGET PROCESS The 2011 operating and capital budget is
estimated to be $12 million and that includes: Estimated $10
million for operating and Estimated $2 million for capital
expenditure. The goal of Council and administration was to ensure
residents would see no increases in their municipal taxes while
maintaining the current services or service levels for residents of
Pincher Creek.
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BUDGET HIGHLIGHTS There was no municipal tax increases for
residential and non- residential properties. The Budget reflects a
3.7% tax increase in tax revenue over all for
residential-non-residential properties. 2.3% Tax Increase due to
School Requisitions 0.20% Tax Increase due to Crestview Lodge 1.2%
Tax Increase due to New Growth
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TOTAL OPERATING REVENUE Where the Money Comes From. General
Municipal 5,318,679.00 General Administration 191,726.00 Protective
Services 389,881.00 Transportation Services 369,711.00
Environmental Use 2,036,249.00 FCSS 154,398.00 Cemeteries 53,553.00
Planning & Development 166,924.00 Recreation 914,689.00 Parks
& Sportsfields 88,702.00 Comm Recreation & Golf Course
44,000.00 Library 107,679.00 Community & Culture 30,550.00
Lebel Mansion 10,001.00 TOTAL REVENUE 9,876,742.00
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2011 Revenue Where the money comes from.
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2011 Operating Expenses Where the money goes. General Municipal
1,247,737.00 General Administration 954,732.00 Protective Services
1,020,786.00 Transportation Services 1,312,431.00 Environmental Use
2,581,164.00 FCSS 178,201.00 Cemeteries 94,264.00 Planning &
Development 581,713.00 Recreation 1,817,681.00 Parks &
Sportsfields 585,366.00 Comm Recreation & Golf Course
114,509.00 Library 235,723.00 Culture & Community 185,619.00
Lebel Mansion 35,818.00 TOTAL EXPENSES 10,945,744.00
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OPERATING EXPENSE Where the money goes
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AMORTIZATION Operating Expenses $10,945,744.00 Total Operating
Revenue$9,876,742.00 Difference (Amortization) $1,069,002
Amortization is a non-cash item.
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TOTAL CAPITAL - REVENUE General Municipal 100,000.00
Legislative 20,000.00 General Administration 358,740.00
Transportation Services 400,000.00 Environmental Use &
Protection 390,000.00 Recreation and Culture 876,500.00 TOTAL
REVENUE 2,145,240.00
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TOTAL CAPITAL- REVENUE
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TOTAL CAPITAL - EXPENDITURE General Municipal 100,000.00
Legislative 20,000.00 General Administration 358,740.00 Total
Transportation 400,000.00 Environment Use & Protection
390,000.00 Recreation & Culture 876,500.00 TOTAL EXPENDITURE
2,145,240.00
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2011 TOTAL CAPITAL - EXPENDITURE
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2011 General Municipal Revenue
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2011 General Municipal Expenses
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PROPERTY ASSESSMENTS Property Assessments is the process of
assigning a dollar value to a property for taxation purposes. In
Alberta property is taxed based on the ad valorem ( according to
value) principles. This means that the amount of tax paid is based
on the value of the property. Property taxes are primary source of
revenue for municipalities. Property taxes are used to finance
local programs and services in the Town of Pincher Creek.
EXEMPT ASSESSMENTS Total assessments for exempt properties for
2011 was $102,685,520.00 (some examples of exempt properties are
schools, churches, hospitals, municipal owned and non-profit
organizations)
Comparison of 2010 & 2011 Education Property Tax
Requisitions
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COLLECTION FOR OTHER AUTHORITIES SCHOOL REQUISITIONS Separate
School (Holy Spirit) $ 244,645.83 Public School (ASFF) $ 843,921.66
2010 Requisition $ 986,934.91 2011 Requisition $ 1,088,567.49
Change in Requisition from (2010-2011) $ 101,632.58 Percentage
Increase in School Requisition10.30%
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COLLECTION FOR OTHER AUTHORITIES CRESTVIEW LODGE
YEARREQUISITIONS 2007 36,568.00 2008 54,080.00 2009 66,043.00 2010
64,200.00 2011 76,580.00
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COLLECTION FOR OTHER AUTHORITIES CRESTVIEW LODGE
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MILL RATE A mill rate is the tax per dollar of assessed value
of property. Tax Rate: The relationship between property assessment
and taxation can be seen in the following formula: Property
Assessment x Mill Rate = Tax Payable Mill Rate Calculation: Revenue
Requirement x 1000 Assessment Base
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MILL RATE MILL RATES Year 2007 Year 2008 Year 2009 Year 2010
Year 2011 Residential12.87898.77647.95648.26638.5713
Non-Residential15.379911.607810.29799.987310.1833
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MILL RATE COMPARISON
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11.Legislative Services All activities for the Mayor and
Council including fees and per diems, travel, memberships, and
supplies.. Revenue:Nil.Expenditures: $176,875
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12. ADMINISTRATIVE SERVICES Overall Management and
administration services required primarily to administer the
municipality as a whole. Some of the activities include office
operations, professional services, accounting activities, business
licenses, and sales of tax information and souvenirs.
Revenue$448,416 Expenditures$777,857
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21. Police Services Provides for policing protection through
RCMP Revenues$273,881 Expenditures $518,673
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23/24P.C. Emergency Services/Disaster Services Includes fire
protection and ambulance services. These services are provided by
Pincher Creek Emergency Services The P.C Emergency Services
maintain a state of preparedness for peacetime disaster situations.
Ambulance Services are now being administered by the province.
Provisions in the Budget EMS Capital Request - $157,500.00
Emergency Management - $20,564.00 Search & Rescue - $7,500.00
EMS Operating Request - $99,215.00
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26 Bylaw/Municipal Enforcement Includes the enforcement of Town
Bylaws, Animal Control and other specified Provincial Acts.
Revenues$ 11,000. Expenditures$198,751. The Town of Pincher Creek
has one (1) full time and one (1) part time Community Peace
Officer.Animal Control Services are contracted out.
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Land Use Planning, Zoning & Development Provision of Town
land use planning, zoning and development. Revenues$140,000
Expenditures $272,382 Development Applications & Permits are
Processed In-House Planning Services are contracted out to the
Oldman River Regional Services Commission (ORRSC). Building
Inspection Services are contracted out to Superior Safety Codes
Inc.
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Subdivision, Land & Development Development of land and
infrastructure for use by the Town of Pincher Creek or for resale.
Includes all purchases and development of land, and construction of
infrastructure. Revenue $ 18,681 Expenditures $231,552
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General Land & Building Rental Provides for general
community rental and lease of land and buildings and costs
association with these rentals.. Revenue $6,743. Expenditures
$11,400 The Old RCMP Building is under consideration to be leased
as a Food Bank location to be managed by the NAPI Friendship Centre
with the understanding that the facility is listed for sale.
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ECONOMIC DEVELOPMENT The primary objective of the department is
to design, develop, implement and monitor an economic development
strategy for the Town. That includes: encouraging the retention and
expansion of existing business, attracting new industry and
employment growth, and developing a marketing strategy aimed at
promoting the Town as a premiere investment location. Revenue
$1,500 Expenditure$66,379
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2010 Building Permit Project Values Residential Project
Values$2,130.319.50 Commercial Project Values$1,545,500.00
Institutional Project Values $3,000.00 Multi Family Project
Values$9,500,000.00 Total Project Values$13,178,819.50
Slide 41
Development Department Income Income for 2010: Licencing &
Permits$ 61,870.00 Mun.Portion Building Permits$ 26,892.24
Development Permit Fees$ 7,185.00 Total Income $ 95,947.24
Slide 42
2011 Business Licences (Incl. ABSW Reg. License fees to April
20, 2011) ABSW fees $1,820.00 Municipal portion $1,820.00 Total
2011 Business Licenses: 336 Total Business License Revenue
$53,375.00
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Economic Development Pincher Creek was featured in the June
2010 edition of Alberta Venture Magazine, being one of the top 10
communities in Alberta to live and work. Pincher was #4 in the
Affordable Communities category for Alberta. Pincher Creek was #3
in Communities for Lifestyle. The Town of Pincher Creek anxiously
awaits the opening of the Whispering Winds Senior Housing Complex
in May 2011. The Town of Pincher Creek joined forces with 9 Alberta
Southwest partners to participate in the 2011 Calgary Home &
Garden Show.
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Calgary Home & Garden Show
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Mary Ellen & Bryan Baeumler
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Funding for locally driven preventative social initiatives to
enhance the well-being of individuals, families and communities.
2011 total budget of $238,769; cost-shared between the Province and
Municipalities. Town Grant -$95,211 from Province Family and
Community Support Services (FCSS)
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Town provides administrative services for Pincher Creek &
District FCSS Board. Coordinator 3 days/week located in Town
Office. Net cost to Town - $23,803 (20% matching share)
Slide 48
FCSS Funded Programs 2011 Allied Arts Council -After School
Program6,736 Canyon School -Pre-school Program15,027 CMHA Community
Links Program2,000 Group Group Youth -Drop-in Centre70,000 Youth
Employment Services GGY3,000 Holy Spirit Family School Liaison
16,000 Livingstone Range Family School Liaison20,000
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FCSS Funded Programs 2011 CMHA Coping & Caring
Program15,000 Kootenai Brown Education Program6,710 PC Family
Resource Centre Programs9,650 Ranchland Victim Services
Program2,500 SASCI Building Community Capacity8,000
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PARKS & RECREATION Includes Recreation Administration,
Pool, Arena, Programs, Parks & Sport Fields Revenue:$ 1,003,391
Expenditures:$2,403,047 Continued Recreation Funding Agreement with
MD - 33.33% of net costs = $349,994 Net Cost to the
Town:$1,399,656
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Swimming Pool Pool Revenue:$ 434,713 Pool Expense:$ 1,079,729
Net Operating$ 645,016 Amortization: $ 166,030 Net Cost: $ 478,986
Wages & utilities - 65% of budget Utilities increase - 15.5% in
2011 Includes Transfer to Reserves: $65,000
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Swimming Pool 12 th year of operations! Hours of operation:
72-85/week Membership Card system implemented in 2011: 410
punch/pass cards sold Projects: Energy Efficiency Fixtures: $65,883
SCADA System - $ 40,000 New Acid System - $30,000
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- Open Swim & Family Swim & Rentals Pre-school &
Water Babies Classes 1195 Red Cross & School Swim Lessons
Special Events & Pool Parties! WHATS HAPPENING AT THE
POOL?
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OPPORTUNITIES FOR ALL! Aquafit & Seniors Swim 9 Classes per
Week! Aqua Rehab Special Needs Swims BARRIER FREE ACCESS &
FACILITIES!
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PROGRAMS Masters & Dolphin Swim Clubs Lane Swim Kayaking
& Scuba Junior Lifeguard Club Advanced Lifesaving Courses &
First Aid Babysitting Course Water Safety Instructor Courses
Boating Safety Exam
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M.C.C ARENA Arena Revenue:$245,091 Arena Expenses:$485,195 Net
Cost:$240,536 Good winter usage projected again! Sponsored
public/family skates 2,000/season Noon hour programs increased
shinny & tots Casual renters & birthday parties
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MCC ARENA Arena is 45+ years old: planning needed to upgrade or
replace. PROJECTS: Energy Efficient Fixtures - $65,883 (MSI Grant)
Arena Roof Replacement - $100,000 (MSI Grant) Transfer to Reserves
- $60,000
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PROGRAMS Includes childrens/teen programs; adult clinics and
workshops; fitness programs Initiatives to promote active living
& fitness. Summer Fun program not offered. Revenue: $24,611
Expense: $38,790 Net Cost: $14,179
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PARKS & SPORTS FIELDS Includes maintenance of parks,
playgrounds, campground, boulevards, walking trails, soccer
pitches, baseball fields, tennis courts, skate/bike park. MD pays
towards costs of sports field costs. Revenue: $ 88,702 Expenses:$
585,366 Net Cost:$496,664
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PARKS & SPORT FIELDS PROJECTS: Bike & skateboard park
completion - $109,500 Walkway construction NE Area - $200,000
Castleview Heights Park re-development - $175,000 NE Area
Playground completion - $20,000
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COMMUNITY REC CENTRE & GOLF COURSE Includes maintenance of
CRC & Golf Clubhouse/Course Net Cost: $70,509 Highlights:
Removal of Hazardous Materials on CRC - $20,000 Golf Course
Debenture - $15,696 (Last Payment) Servicing to Maintenance
Building - $13,000 Transfer to Reserves: - $15,000 (CRC) &
$10,000 (Course)
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CULTURE & COMMUNITY Includes support of community
beautification, heritage, community organizational initiatives. Net
Cost: $155,069 Highlights: Communities in Bloom - $5,665 Walking
Brochure printing - $3,000 Volunteer Appreciation Event - $4,340
(shared in MD) Survey of heritage buildings - $27,000 ($20,000
grant) Hanging basket project/floral initiatives - $3,500 Community
Hall assistance - $ 10,000
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PINCHER PARKS PROGRAM Best Blooming Town in Canada ! Tidiness,
Heritage Conservation, Floral, Environmental, Turf &
Landscaping, Trees & Urban Forestry.
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COMMUNITIES IN BLOOM 2000 Provincials 3 blooms 77% 2001
Provincials 3 blooms 84% 2002 Nationals 4 blooms 80% 2003 -
Nationals 4 blooms 80.9% 2004 Friends Category 2006 Provincials 5
Blooms 82.35% 2006 Provincials 5 blooms 83.6% 2007 Provincials 5
blooms 82.65% 2008 Nationals 5 blooms 82.65% 2009 - National Winner
5 blooms 84.25% 2010 National Circle of Excellence 87.3% 2011
National Circle of Champions TBA
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CULTURE & COMMUNITY JOINT FUNDING PROGRAM $92,800 Town
funding: $175,525 total grants in 2011 Oldman Rose Society PC &
District Chamber PC & District Ag Society PC & District
Historical Society Westcastle Ski Club Syncline Trails Association
Fishburn Marr United Church Cemetery SPCA 2010 council transferred
$100,000 to the animal shelter reserve
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CULTURE & COMMUNITY Heritage Acres Twin Butte Community
Hall Allied Arts Council Childrens World Daycare PC High School
Rodeo Pincher Creek Handi-bus Coalfields Community Centre Beaver
Mines Community Association Pincher Creek Citizens on Patrol
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MUNICIPAL HERITAGE SURVEY Survey of Buildings & Sites
Training of Volunteers One year project to survey over 300
sites
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LIBRARY SERVICES Includes Municipal Library & Chinook Arch
Regional Library costs, transfer to reserves & maintenance.
Grant to Library Board - $71,000 Chinook Arch contribution -
$23,275 Net Cost: $128,044 Library Board is planning for the
future!
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LEBEL MANSION Includes maintenance of & insurance on Lebel
Mansion Net Cost: $25,817 PROJECTS: Roof Repair - $10,000 Retaining
Wall Repair- $50,000
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OPERATIONS DEPARTMENT Public Works activities as well as
maintaining all Town owned facilities
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Provincial and Federal Funded Capital Works Programs for 2011
Street Improvement Program ( SIP) $250,000.00 Wastewater Collection
upgrade $ 150,000.00 Water Distribution upgrade $ 200,000.00
Asphalt upgrades $200,000 AB transportation grants and
reserves
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Street Improvement Program 75 % / 25% Existing
Infrastructure
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Capital Works Funding 100% Municipal Sustainability Initiative
Water distribution upgrades ~ $200,000 SCADA Upgrades to the water
treatment plant $40,000
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Capital Works Funding NDCC Grant and Reserves Wastewater
collections upgrade Waterton Ave (HWY 6) $ 150,000.00 Grant $
63,000 Reserves $ 87,000
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Capital Works Funding: Carry forward from 2010 Drainage for N.E
Industrial area / Hunter St. Project was started late in 2010 and
is rescheduled for completion in spring of 2011 ~ not effecting the
2011 budget.
Slide 76
Solid Waste Management 2011 $100,000 for the implementation of
Solid Waste Collection for upgrades to industrial & commercial
system.
Slide 77
Water / Wastewater Utilities $0.00 cent increase for 2011 /
remaining at $0.99/ M3 in Water Rates Wastewater rates $32.12
bi-monthly./ No change from 2010
Slide 78
Water Operating Program 2011Water Reduction Program for
residents to reduce potable water use through a low flush toilet
replacement program $ 15,000
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CEMETERY Upgrade to Fairview Cemetery Computer software system
Tree planting Total of $8,000
Slide 80
DEBENTURES A debenture is a long-term debt instrument used by
the Town to obtain funds. Debentures are funded through Alberta
Capital Financing. Current rate as of May 1, 2011 is 4.274% for 25
years.
Slide 81
Debentures (contd) Five debentures: Water Treatment
Plant-$243,634 annual payment $269,520 (due May 2011) Golf Course -
$14,253 annual payment $15,696 (due October 2011)
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Debentures (contd) Service 38 acres of light industrial
$485,950 Semi-annual repayment $50,726 due June 2016 Local
Improvement $93,403 Semi -annual payment $9,750 Local improvements
are recovered through a local improvement tax Due June 2016
Slide 83
Debentures (contd) R.C.M.P. Detachment $2,869,007 semi-annual
payments of $107,768 due 2032 The portion of the semi-annual
payments related to the administration portion of the building will
be paid back through a lease agreement with the RCMP.
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Debentures (contd) total debt is $3.7 million allowable debt
limit is $11.0 million. debt servicing is $621,682 debt servicing
limit of $1.9 million. The Town of Pincher Creek is well within its
debt and servicing limit.
Slide 85
Reserves 2010 December 31, 2009 $8,142,168 Transfer to Reserves
$1,385,987 Transfer from Reserves for Projects $ 578,031 December
31, 2010 $8,950,124 2011 Budgeted transfers to reserves $ 765,494
Budgeted transfers from reserves for projects $ 769,146,Estimated
year end balance $8,946,472
Slide 86
Reserves Capital Reserves are reserves set aside for future
capital projects as indicated on the Towns Long Term Forecast.
Projects are funded from grants, debentures, reserves or tax
dollars.
Slide 87
Reserve Funding The Towns audited financial statements as
performed by YPM at December 31 st, 2010, confirm that all reserves
for the Town of Pincher Creek are fully funded.
Slide 88
Investments The Town of Pincher Creeks long term investments
are invested with CIBC Wood Gundy and BMO Nesbitt Burns, and
Brinson Canada. The portfolios consist of fixed income securities;
Fixed income securities are debt instruments issued by a
government, corporation or other entity to finance and expand their
operations. They are a secure, low risk way to generate investment
income. Cost as of December 31, 2010$6,727,882 Market Value as of
December 31, 2010$7,009,954
