TAMRMS#: B09
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Fees, Rates and Charges for 2021
Presented by: Diane McMordie, Director, Finance & Assessment
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RECOMMENDATION(S)
recommendation
That the Community Growth & Infrastructure Standing Committee recommend to Council as follows:
1. That the proposed fees, rates and charges shown in the attachments entitled “Fees, Rates and Charges Established by Bylaw”, “Council Policy C-IS-02 Fees” and “Council Policy C-FS-16 Fees and Charges” to the October 13, 2020 agenda report titled “Fees, Rates and Charges for 2021”, be received for information.
2. That a deadline of 12:00 noon on October 23, 2020 be set for Council members to submit requests to the Director of Finance and Assessment for amendments to the proposed fees, rates and charges, and that all such requests be expressed in the form of proposed Motions brought to Council for consideration on November 2, 2020.
3. That a bylaw to amend the Master Rates Bylaw and the bylaws referenced in Schedule 12 to Council Policy C-FS-16, reflecting any motions passed on November 2, 2020, be presented to Council for consideration of three readings on November 16, 2020.
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PURPOSE OF REPORT
Administration is seeking adjustments to the City’s fees rates and charges as referenced in Council Policies and established by bylaws, as part of the 2021-2023 Municipal Budget Process.
ALIGNMENT TO PRIORITIES IN COUNCIL’S STRATEGIC PLAN
N/A
ALIGNMENT TO LEVELS OF SERVICE DELIVERY
N/A
ALIGNMENT TO COUNCIL (OR COMMITTEE) DIRECTION OR MANDATORY STATUTORY PROVISION
Council Policy C-FS-16, Municipal Fees and Charges, sets the basic principle that the CAO will set fees that are not contained in any bylaw:
“The CAO shall review and set fees for the programs, services, goods and requirements noted within this policy. The CAO shall also advise Council annually of these fees during the budget process.”
Council Policy C-FS-16 also stipulates, in Schedule 12, that if a fee or charge is set in a bylaw, only the Council can adjust it:
“Council shall set fees contained within bylaw. The CAO shall make recommendation(s) as to the appropriate fee, as necessary.”
BACKGROUND AND DISCUSSION
User fees are a critical element of a municipality’s revenue mix and represent a significant portion of the City’s revenue stream. Annually, departments review fees considering factors such as market comparables, benchmarks, cost recovery, and defined methodology to determine the fee adjustment. This review process supports the City’s ‘user pay’ philosophy, such that wherever possible, the user of a particular program or service pays the cost of delivering or providing that program or service.
There are three types of fees which are listed below:
1. Fees, Rates and Charges Set By Bylaw
(requires Council approval)
The first type is a user fee set in one of the bylaws specifically mentioned in Schedule 12 of Policy C-FS-16 or in the Master Rates Bylaw 1/82 and requires Council to pass one or more amending bylaws in order to make changes. These fees are mandatory and there is no ability for Administration to avoid imposing them in the situations and with respect to the persons to whom they apply. This includes things such as development permits, building permits, tobacco retail licensing and electrical fees. The individual schedules can be found in the attachment to this report entitled “Fees, Rates and Charges set by Bylaw” with recommended changes to rates marked in red.
2. Council Policy C- IS-02 Fees
(Change requires Council approval)
The second type of fee is within Council Policy C-IS-02 Wastewater Service Line Disruptions and Maintenance relating to wastewater service disruption callout charges. There are no changes to these fees being recommended by Administration for 2021, and the schedule can be found in the attachment to this report entitled “Council Policy C-IS-02 Fees”.
3. Council Policy C-FS-16 Fees
(approved by CAO as per Policy)
The third type of fee or charge relates to “optional” fees within Council Policy C-FS-16 Municipal Fees and Charges. These types of fees and charges are set by the CAO. This includes fees for things such as recreational memberships, facility rentals and transit fares. A new fee related to nuisance control has been introduced into this category for 2021. Due to the uncertainty with COVID-19, the recreation fees will be reviewed and approved in 2021 as administration gets more information on openings and comparables. The individual schedules can be found in the attachment to this report entitled “Council Policy C-FS-16 Fees”. Since the CAO sets these fees and charges, this schedule is attached to this reports for Council’s information only.
The overall impact of amendments to these three types of fees and charges would be to generate an incremental $23,300 in Municipal Operating Revenue for 2021.
STAKEHOLDER COMMUNICATIONS OR ENGAGEMENT
N/A
IMPLICATIONS OF RECOMMENDATION(S)
Financial:
Amendment of the fees as detailed in the attachments will generate an incremental $23,300 in Municipal Operating Revenue which will be incorporated into the 2021 Proposed Budget. This will provide funding for the delivery of
Legal / Risk:
None at this time
Program or Service:
None at this time
Organizational:
None at this time
ALTERNATIVES AND IMPLICATIONS CONSIDERED
N/A
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Report Date: October 13, 2020
Author: Stan Chan, Divisional Controller
Department: Finance & Assessment Services
Deputy Chief Administrative Officer: Kerry Hilts
Chief Administrative Officer: Kevin Scoble