[PPT] - January 2020 City of Trail 2015 - 2019 Financial Plan 1 General PowerPoint Presentation

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City of Trail 2015 - 2019 Financial Plan 1

January 2020

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General Overview

– Legislation, process

Summary

– Tab 1 of Budget Manual, assessment update, high level overview, impacts

Expenditures

– Tab 3 of Budget Manual, review and approval of individual departmental budgets

City of Trail 2015 - 2019 Financial Plan 2

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City of Trail 2015 - 2019 Financial Plan 3

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City of Trail 2015 - 2019 Financial Plan 4

THE MUNICIPAL BUDGET/FINANCIAL PLAN

Section 165 of the Community Charter indicates that a municipality

MUST annually adopt a Financial Plan by Bylaw.

The planning period for the Financial Plan is 5 years, that period

being the year which the plan is specified to come into force and the following four years.

The Financial Plan must set out the objectives and policies of the

municipality for the planning period.

The Financial Plan must set out the following for each planning

period:

Proposed expenditures by the municipality
The proposed funding sources
The proposed transfers to or between funds

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City of Trail 2015 - 2019 Financial Plan 5

THE MUNICIPAL BUDGET/FINANCIAL PLAN

The total of the proposed expenditures and transfers for a year must

NOT exceed the total of the proposed funding sources. – THE BUDGET MUST BE BALANCED.

The proposed expenditures must set out separate amounts for each of

the following as applicable:

The amount to pay interest and principal on municipal debt.
The amount required for capital purposes.
The amount required for other municipal purposes.
Any deficiency with respect to revenue less expenditures must form

part of municipal expenses in the following year :: The Budget continues to include a $340,000 transfer from reserves based on the current budget and projected revenue shortfall ::

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City of Trail 2015 - 2019 Financial Plan 6

THE MUNICIPAL BUDGET Budgets are calculated considering historical spending patterns as well as information that is available that will impact the budget in the current year. The budget is a “status quo” with adjustments included to deal with longer term capital (Bridge Reserve Transfer) and future potential increases in staffing costs. Council should review the budget and make adjustments as deemed necessary.

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City of Trail 2015 - 2019 Financial Plan 7

2020 BUDGET REVIEW The review and approval process of the 2020 Budget includes the following components. The budget must be formally approved by May 15th: Overview / Presentation Expenditure review/approval Revenue review/approval Budget changes / amendments Property tax options / implications Capital Budget review and approval Public consultation (as determined by Council) Finalize all budgets and tax rates Adopt Financial Plan and Property Tax Rate Bylaws

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City of Trail 2015 - 2019 Financial Plan 8

2020 BUDGET – REVIEW OBJECTIVE Primary Budget Objective: Determine the “equilibrium” property tax requirement. TOTAL Municipal Expenditures subtracted from TOTAL Other Municipal Revenues equals EQUILIBRIUM Property Tax Requirement Total Revenues must equal total Expenditures so the budget is balanced.

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City of Trail 2015 - 2019 Financial Plan 9

BUDGET MANUAL The Budget Manual is organized as follows and has six main sections:

Tab 1 – High level summary and explanation of the 2020 Budget.
Tab 2 – Revenues
Tab 3 – Expenditures
Tab 4 – Supporting information and analysis
Tab 5 – Five year Financial Plans (General, Water, Sewer) – This forms the

basis for the Financial Plan Bylaw that must be adopted by Council.

Tab 6 – Detailed listing of General Ledger accounts for the General

Revenue Fund.

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City of Trail 2015 - 2019 Financial Plan 10

Council should consider the longer-range impact of decisions and

how they will impact the financial position of the City, including future property tax revenue requirements.

Decisions made or not made can impact future years (i.e. capital

funding, transfers to reserves) and have a compounding impact.

This is especially important when considering the Five Year Plan.

The Five Year plan suggests ongoing increase in property taxes to fund anticipated ongoing inflationary increases in operating expenses.

2020 BUDGET – REVIEW OBJECTIVE

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City of Trail 2015 - 2019 Financial Plan 11

2020 BUDGET – PROPERTY TAX RATES

The last stage of the process once expenditures and revenues are finalized,

involves the apportionment of property taxes amongst the various rate classes.

In 2016 the flat tax for residential properties was increased from $130 to

$260 to offset the impacts that resulted from disproportionate changes in assessments on a year over year basis. The flat tax has remained unchanged.

Initial example property tax calculations can be found in Tab 4 of the

Budget Manual.

The calculation assumes no changes to the flat tax or variances to the

business ratio from last year. 61.33% of the budgeted increase in the municipal property tax levy is apportioned to Class 4 – Major Industry.

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City of Trail 2015 - 2019 Financial Plan 12

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City of Trail 2015 - 2019 Financial Plan 13

2020 ASSESSMENT ROLL BM 110 The changes are almost entirely market driven. There is very little new development being added to the assessment roll. “New” residential assessments are estimated at $4.5 million, which generates revenue in the amount of $18,800 or .

1. ROLL REVIEW - COMPLETED ROLL ROLL AT DECEMBER 31, 2019

Class 2019 Total Assess 2020 Assessments Change Assessments $ % CL1 - Residential 734,704,200 42,193,600 776,897,800 42,193,600 5.74% CL2 - Utilities 16,622,335 129,680 16,752,015 129,680 0.78% CL4 - Major Industry 213,070,300 4,467,900 217,538,200 4,467,900 2.10% CL5 - Light Industry 2,642,000 14,000 2,656,000 14,000 0.53% CL6 - Business 125,284,700 1,644,400 126,929,100 1,644,400 1.31% CL7 - Managed Forest 511,000 66,000 577,000 66,000 12.92% CL8 - Rec/Non-profit 1,477,000 173,100 1,650,100 173,100 11.72% 1,094,311,535 48,688,680 1,143,000,215 48,688,680 4.45% Average single family residence: 2020 assessed value 230,062 2019 assessed value 217,689 $ Change 12,373 % Change 5.68% Change

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ASSESSMENT TREND – 2007 TO 2020 BM Page 113

200,000,000 400,000,000 600,000,000 800,000,000 1,000,000,000 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Class 8 Class 7 Class 6 Class 5 Class 4 Class 2 Class 1

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City of Trail 2015 - 2019 Financial Plan 15

PRELIMINARY TAX CALCULATION 2020

2020 TAXES

$260

Residential Flat Tax MUNICIPAL RATE CALCULATION Class 2020 RATIO DEBT DEBT GENERAL GENERAL FLAT TOTAL TOTAL % Assessed RATE TAX RATE TAX TAX TAX RATE Total Value

Cl 1 - Residential

776,897,800 1.00 0.2239 173,947.42 3.9186 3,044,351.72 873,600 4,091,899.14 4.1425 26.59%

CL2 - Utilities

16,752,015 9.66 2.1620 36,217.86 37.8380 633,862.74 670,080.60 40.0000 4.35%

CL4 - Heavy Industry

217,538,200 10.48 2.3445 510,018.31 41.0591 8,931,922.71 9,441,941.02 43.4036 61.33%

CL5 - Light Industry

2,656,000 0.72 0.1604 426.02 2.8214 7,493.64 7,919.66 2.9818 0.05%

CL6 - Business

126,929,100 2.22 0.4998 63,439.16 8.7110 1,105,679.39 1,169,118.55 9.2108 7.59%

CL7 - Managed Forest

577,000 2.07 0.4619 266.52 8.0997 4,673.53 4,940.05 8.5616 0.03%

CL8 - Rec/Non-profit

1,650,100 1.36 0.3050 503.28 5.3371 8,806.75 9,310.03 5.6421 0.06% 1,143,000,215 784,818.57 13,736,790.48 873,600.00 15,395,209.05 100.00%

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City of Trail 2015 - 2019 Financial Plan 16

PRELIMINARY TAX CALCULATION 2020 vs 2019

Class Total Taxes % Total Total Taxes % Total Total Taxes % Change

Cl 1 - Residential

3,839,234 26.28% 4,091,899 26.58% 252,666 6.58%

CL2 - Utilities

664,893 4.55% 670,081 4.35% 5,187 0.78%

CL4 - Heavy Industry

8,959,691 61.33% 9,441,941 61.33% 482,250 5.38%

CL5 - Light Industry

7,470 0.05% 7,920 0.05% 450 6.02%

CL6 - Business

1,124,155 7.70% 1,169,119 7.59% 44,964 4.00%

CL7 - Managed Forest

4,660 0.03% 4,940 0.03% 280 6.01%

CL8 - Rec/Non-profit

8,780 0.06% 9,310 0.06% 530 6.04% TOTAL 14,608,883 100.00% 15,395,209 100.00% 786,326 5.38% 2020 2019 Change 2019 v 2020

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City of Trail 2015 - 2019 Financial Plan 17

BM Page 5

2020 2019

VAR OVER 2019 BUDGET

Budget Budget Actual

$ %

Expenditure: General government 2,859,400 2,687,300 2,622,734

172,100 6.40%

Protective services 2,463,050 2,414,350 2,376,541

48,700 2.02%

Transportation services 3,733,800 3,661,900 3,368,885

71,900 1.96%

Environmental health services 384,900 384,900 380,869

0.00%

Public Health and Welfare 300,950 296,250 302,865

4,700 1.59%

Environmental development 181,750 177,400 180,909

4,350 2.45%

Recreation 3,836,700 3,734,150 3,801,576

102,550 2.75%

Library and cultural services 1,150,450 1,122,950 1,064,236

27,500 2.45%

Debt charges 1,165,200 1,158,700 1,172,998

6,500 0.56%

Transfers own reserves and funds 1,349,550 999,550 999,550

350,000 35.02%

General capital fund 2,682,550 2,632,550 2,632,550

50,000 1.90%

Municipal Airport 603,850 578,950 569,251

24,900 4.30%

Unconditional transfers 45,350 45,100 42,533

250 0.55%

Transmission of taxes levied for other governments 8,132,900 8,075,350 8,021,908

57,550 0.71%

TOTAL EXPENDITURES 28,890,400 27,969,400 27,537,405

921,000 3.29%

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City of Trail 2015 - 2019 Financial Plan 18 2020 2019

VAR OVER 2019 BUDGET

Budget Budget Actual

$ %

Revenue: Taxation: General municipal taxation 14,610,300 13,830,450 13,829,194

779,850 5.64%

Debt taxes 784,900 778,400 778,437

6,500 0.84%

Special assessments - Sec 407 176,350 169,250 169,239

7,100 4.19%

Water Parcel Tax 502,500 503,000 502,500

(500)

0.10%

16,074,050 15,281,100 15,279,370

792,950 5.19%

Grants in lieu of taxes 74,850 74,100 62,924

750 1.01%

Services provided to other governments 12,000 12,000 11,434

0.00%

Sales of services 1,803,450 1,802,200 1,732,085

1,250 0.07%

Other revenue from own sources 1,112,750 1,069,650 1,117,799

43,100 4.03%

Unconditional transfers 557,400 540,200 592,237

17,200 3.18%

Conditional transfers 301,550 301,550 289,514

0.00%

Conditional transfer - Regional District 481,450 473,250 473,900

8,200 1.73%

Transfers from own reserves/funds: Funding for operations 340,000 340,000

0.00%

Collections for other governments 8,132,900 8,075,350 8,022,318

57,550 0.71%

TOTAL REVENUE 28,890,400 27,969,400 27,581,581

921,000 3.29%

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City of Trail 2015 - 2019 Financial Plan 19

A 1% increase the municipal property tax levy generates additional revenue

f $146,100.

2020 2019 $ % Budget Budget Diff

f total

increase TAX LEVY: General Municipal 14,610,300 13,830,450

779,850

99.17% Debt 784,900 778,400

6,500

0.83% Total Levy (difference) 15,395,200 14,608,850

786,350

5.38%

Net Property Tax Levy Increase 15,395,200 14,608,850 786,350

Net Tax increase - % >>>>>>>>> 5.38%

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City of Trail 2015 - 2019 Financial Plan 20

Refer to the Budget Manual for further information and detail.

MUNICIPAL CHARGE SUMMARY 2020 Budget 2019 % CHANGE $ Change MUNICIPAL PROPERTY TAXES $1,213.03 $1,138.70 6.53% $74.33

Average Assessment 230,062 217,689

5.68%

12,373.00

WATER (gross) USER FEE 384.00 376.50 1.99% $7.50 PARCEL TAX 150.00 150.00 0.00% $0.00 SEWER (gross) USER FEE 269.00 264.00 1.89% $5.00 GARBAGE USER FEE 132.00 132.00 0.00% $0.00 TOTAL MUNICIPAL CHARGES 2,148.03 2,061.20 4.21% $86.83 Table provides an approximation of taxes and charges levied by the City. "Average" residential property in the City of Trail. 2020 vs 2019

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City of Trail 2015 - 2019 Financial Plan 21

Tab 3 Budget Manual – Page 23

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City of Trail 2015 - 2019 Financial Plan 22 GENERAL EXPENSES $ Change % of Total Service Budget % Total Budget % Total Change

General Government 2,859,400 $

14.19%

2,687,300 $

13.93% 172,100 $ 19.79%

Protective Services 2,463,050 $

12.22%

2,414,350 $

12.52% 48,700 5.60%

Transportation Services 3,733,800 $

18.52%

3,661,900 $

18.99% 71,900 8.27%

Environmental Health Service 384,900 $

1.91%

384,900 $

2.00%

0.00%

Cemetery 300,950 $

1.49%

296,250 $

1.54% 4,700 0.54%

Parks and Recreation 3,836,700 $

19.03%

3,734,150 $

19.36% 102,550 11.79%

Library and Cultural Services 1,150,450 $

5.71%

1,122,950 $

5.82% 27,500 3.16%

Env. Development Services

181,750 $

0.90%

177,400 $

0.92% 4,350 0.50%

Other Fiscal Services 153,500 $

0.76%

147,000 $

0.76% 6,500 0.75%

Municipal Airport 603,850 $

3.00%

578,950 $

3.00% 24,900 2.86%

Debt Charges 1,165,200 $

5.78%

1,158,700 $

6.01% 6,500 0.75%

General Capital Fund 2,682,550 $

13.31%

2,632,550 $

13.65% 50,000 5.75%

Statutory Reserves 640,000 $

3.18%

290,000 $

1.50% 350,000 40.24%

Total 20,156,100 $ 100.00% 19,286,400 $ 100.00%

869,700 $ 100.00% % Increase over 2019 4.51% % Change Total expenses per capita 2,520 $ 2,411 $ 109 $ 4.52% Total taxes per capita 1,924 $ 1,826 $ 98 $ 5.36% Difference 596 $ 585 $ 11 $ 1.90% 2019 2020

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City of Trail 2015 - 2019 Financial Plan 23

General Government 14.17% Protective Services 12.21% Municipal Airport 2.99% Transportation Services 18.50% Environmental Health Services 1.91% Cemetery 1.49% Rec & Culture 24.69%

Env. Dev

0.90% Other Fiscal Services 0.76% Debt Charges 5.77% General Capital Fund 13.29% Statutory Reserves 3.32%

Expenditure Distribution 2020 BUDGET

General Government 13.95% Protective Services 12.30% Municipal Airport 2.75% Transportatio n Services 19.01% Environmental Health Services 2.00% Cemetery 1.54% Rec & Culture 25.21%

Env. Dev

0.92% Other Fiscal Services 0.76% Debt Charges 6.01% General Capital Fund 13.90% Statutory Reserves 1.66%

2019

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City of Trail 2015 - 2019 Financial Plan 24 500,000 1,000,000 1,500,000 2,000,000 2,500,000 3,000,000 3,500,000 4,000,000 4,500,000 5,000,000 Expenditure amount Year Expenditure Trend Analysis

(not adjusted for inflation) General Government Protective Services Transportation Services Environmental Health Services Public Health and Welfare Services Recreation and Cultural Services Environmental Development Services Other Fiscal Services Capital Airport

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Page 23– Budget Manual

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2020 Budget – General Government

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2020 Budget – General Government

BUDGET SUMMARY

1 ENHANCEMENTS/INCREASES

Description Improvement/rationale Expense category $ Amount Salaries Wage and benefit increases for salaried and union personnel - at 2%. 29,150 $ Includes reclassification of one management position. Legal To provide sufficient moneys to deal with ongoing costs incurred for legal fees. 15,000 $ Council Indemnity adjustment at 2% cost of living. 3,150 $ Technical Services To provide moneys to complete an organizational review and to build an 100,000 $ allowance into the budget for potential changes in staffing costs Information Systems Maintenance contract increase to deal with the City's transition to 12,950 $ Microsoft licensing. Information Systems Data line cost increase associated with the movement of the data centre 7,000 $ to Community Futures. Miscellaneous minor adjustments (balance to net increase) 14,850 $

% of total Gen Gov budget 0.52%

Total Enhancements ( These are extra funds required and have been included within the Budget Proposal.) 182,100 $

2 REDUCTIONS

Description Impact - Immediate/Long Term Expense category $ Amount Event Grants To eliminate budget for transitionary funding to the (10,000) $ Chamber of Commerce Total Reductions ( These are funds which can be considered for reduction from the proposed 2020 Budget. ) (10,000) $ Net Change in Budget 172,100 $

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CITY COUNCIL CAO/CFO Communication and Events Coordinator Deputy Corporate Administrator CORPORATE ADMINISTRATOR INFORMATION SYSTEMS DEPUTY DIRECTOR OF FINANCE Secretary IT/GIS Payroll Clerk Kim Brooks (U) Brian McGarry (U) Alisa Kennedy (U) Accounts Payable Deanna Ingram (U) Taxes/Utilities/Recept Hailey Maclean The structure shown emphasizes positions that are covered under General Government Operations only. Casual position (.35) ( Diane Semeniuk Summary relects salaries plus estimated benefits costs. 2020 2019 Change Council indemnity $159,600 $156,450 2.01% Salaries under the function total $1,304,350 $1,275,750 2.24% Total general government budget 2,859,400 2,687,300 6.40% Wages as % of total 51.20% 53.30%

3.94%

FTE count - General Government 11.55 11.55

(E) - Exempt Position (U) - Union CUPE Local 2087

CITY OF TRAIL

Organizational Structure - General Government Operations - 2020

6 Councillors David Perehudoff (E) Michelle McIsaac (E) Duane Birnie (E) Rino Merlo (E) 1 Mayor Andrea Jolly (E) Sandy Lucchini (E)

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City of Trail 2015 - 2019 Financial Plan 29

2020 Budget – General Government

Detail: Legislative Services: Budget $531,500 -1.13% (- $6,050 over last year)

Summary function/ 2020

% change

BUDGET Expenditure category BUDGET

vs 2019 Budget

2020 Legislative Council indemnity 159,600 2.01% 156,450 Mayor's office (conf. sec) 117,500 2.35% 114,800 Council expenses 39,250

10.80%

44,000 Grants 165,700

4.33%

173,200 Council - general (events) 49,450 0.71% 49,100 Total Legislative Services 531,500

1.13%

537,550 Change from 2019 (6,050)

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City of Trail 2015 - 2019 Financial Plan 30

Expense Explanation of Change $ Change Council +2% indemnity increase. $3,150 Council Convention cost savings re: attendance limits $(5,000) Salaries 2% salary adjustment $2,500 Grants Eliminate Chamber of Commerce financial support ($10,000) Other Other Changes $3,300 Total Change Legislative Services – 2020 vs. 2019 ($6,050)

2020 Budget – Legislative Services

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City of Trail 2015 - 2019 Financial Plan 31

2020 Budget – Legislative Services

Expense Explanation $ Grants Kootenay Columbia Trails Society (Reference page 28) ‐ Funding request to develop trails in the City with an

pportunity to leverage any moneys contributed directly by

the City of Trail. ‐ The Budget manual includes a presentation received from KCTS. ‐ If Council sees merit in supporting the request of the

rganization, the grant account should be adjusted

accordingly and the amount would be added to the Budget. $10,000

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2020 Budget – General Government

Detail: Administration: Budget $529,350 +30.13% ($122,550 over last year)

Summary function/ 2020

% change

BUDGET Expenditure category BUDGET

vs 2019 Budget

2020 Administration Clerk's office 240,050 2.28% 234,700 Other admin. expenses 289,300 68.10% 172,100 Total Administration 529,350 30.13% 406,800 Change from 2019 122,550

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2020 Budget - Administration

Expense Explanation of Change $ Change Salaries 2% salary adjustment $5,350 Legal Fees Expense trend adjustment based on anticipated

ngoing legal issues.

$15,000 Technical Services Funding provided for significant organizational review. Funding beyond 2020 may be used for potential future adjustments to personnel costs depending on the

utcome from the Organizational Review.

$100,000 Other adjustments Adjustments in other expense accounts $2,200 Total Increase Administrative Expenses – 2020 vs. 2019 $122,550

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2020 Budget – General Government

Detail: Financial Management: Budget $1,255,050 +3.57% (+$43,250 over last year)

Summary function/ 2020

% change

BUDGET Expenditure category BUDGET

vs 2019 Budget

2019 Financial Management Financial salaries 727,000 2.55% 708,900 External audit 40,000 2.56% 39,000 Data processing 488,050 5.21% 463,900 Total Financial Management 1,255,050 3.57% 1,211,800 Change from 2019 43,250

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City of Trail 2015 - 2019 Financial Plan 35

Expense Explanation of Change $ Change Salaries 2% salary adjustment – Finance $18,100 Data Processing 2% salary adjustment – Data Processing $3,000 Data Processing Maintenance contract – MS Licensing $12,950 Data Processing Data line cost increase – Data centre relocation $7,000 Audit Audit of Financial Statements $1,000 Other Other changes $1,200 Total Increase Financial Management – 2020 vs. 2019 $43,250

2020 Budget – Financial Management

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City of Trail 2015 - 2019 Financial Plan 36

2020 Budget – General Government

Detail: General Government Operations: Budget $543,500 +2.33% (+12,350 over last year)

Summary function/ 2020

% change

BUDGET Expenditure category BUDGET

vs 2019 Budget

2019 General Government Operations Insurance 117,250

0.21%

117,500 Office expenses 68,400 1.33% 67,500 Utilities - City Hall 115,600 1.67% 113,700 Advertising and promotion 225,000 3.78% 216,800 Memberships in organizations 14,000 10.67% 12,650 Miscellaneous/other 3,250 8.33% 3,000 Total General Gov't Services 543,500 2.33% 531,150 Change from 2019 12,350

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City of Trail 2015 - 2019 Financial Plan 37

Expense Explanation of Change from 2018 $ Change Office expenses City Hall Office $900 Utilities City Hall Utilities $1,900 Advertising & Promotion Salaries – 2% $2,150 Advertising & Promotion Advertising, Promotion and Marketing $5,800 Other Other changes $1,600 Total Increase Gen Gov’t Ops. – 2020 vs. 2019 $12,350

2020 Budget – General Government Operations

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Page 32 – Budget Manual

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2020 Budget - Protective Services

. The level of service remains unchanged. The City pays directly for 14 regular members and 4 municipal employees who work out of the Trail Detachment. An additional $5,000 has been included in the Auxiliary – Crime Prevention budget section to provide funding for enhanced bike patrols or other proactive crime prevention programs.

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City of Trail 2015 - 2019 Financial Plan 40

2020 Budget - Protective Services

Summary function/ 2020

% change

2019 Expenditure category BUDGET

vs 2019 Budget

BUDGET Expenditures: Police Services RCMP Contract 1,732,050 2.02% 1,697,700 Auxiliary - Crime Prevention 56,500 9.71% 51,500 Support services 362,500 2.01% 355,350 Building maintenance 115,700 0.92% 114,650 Correctional services 148,350 0.17% 148,100 Total Police Services 2,415,100 2.02% 2,367,300

Change over 2019 47,800

Other Protective Services Building/License 46,850 1.96% 45,950 Emergency services 1,100 0.00% 1,100 Total Other Protective Services 47,950 1.91% 47,050

Change over 2019

900 TOTAL PROTECTIVE SERVICES 2,463,050 2.02% 2,414,350 Total Change 48,700

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City of Trail 2015 - 2019 Financial Plan 41

2020 Budget - Protective Services Year Cost / Member (70%) Total Budget Adjusted 93% * 2020/21 $128,660 $1,801,240 $1,675,200 2019/20 $126,525 $1,771,350 $1,647,350 Change $2,135 $29,890 $27,850

City pays for 14 regular members
The RCMP Contract Budget also includes a provision for
vertime and DNA services and IT services.

* Adjustment factor allows for vacancies when there is less than a full compliment of members.

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City of Trail 2015 - 2019 Financial Plan 42

2020 Budget - Protective Services

20,000 40,000 60,000 80,000 100,000 120,000 140,000 160,000 180,000 200,000 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021

RCMP cost/member

cost/member

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BM Page 42

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2020 Budget – Environmental Health

Costs are recovered directly from the residential garbage levy –

resulting in no property tax subsidy associated with the service.

2020 residential garbage rate approved and unchanged - $132.

Summary function/ 2020

% change

BUDGET Expenditure category BUDGET

vs 2020 Budget

2019 Expenditures: Refuse Collection Services Residential contract 204,300 0.00% 204,300 Tipping Fees 149,600 0.00% 149,600 Discount on early payment 31,000 0.00% 31,000 Total Refuse Collection 384,900 0.00% 384,900 Regional Landfill Regional disposal site maint. n/a Total Regional Landfill n/a TOTAL Environmental Health 384,900 0.00% 384,900 Change

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BM Page 51

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City of Trail 2015 - 2019 Financial Plan 46

2020 Budget – Environmental Development

The City contracts directly with the LCCDT/LCIC for Economic Development Services –

contract expires December 2020.

Community planning budget provides moneys for ongoing studies, surveys and plan

development (OCP), Downtown Plan update.

OCP is the major planning project carried forward from 2019.

Summary function/ 2020

% change

BUDGET Expenditure category BUDGET

vs 2019 Budget

2019 Expenditures: Planning and zoning Advertising 3,750 7.14% 3,500 Total Planning and zoning 3,750 7.14% 3,500 Community development Community plans 95,000 2.70% 92,500 Total Community Development 95,000 2.70% 92,500 Economic develoment Economic development 83,000 1.97% 81,400 Total Economic development 83,000 81,400 TOTAL 181,750 2.45% 177,400 Change 4,350

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Budget Manual Page 82

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2020 Budget – Library and Culture

Summary function/ 2020

% change

BUDGET Expenditure category BUDGET

vs 2019 Budget

2019 Expenditures: General Hall of memories 500 0.00% 500 Historical society 15,000 50.00% 10,000 Community events 1,500 0.00% 1,500 Float 11,000 4.76% 10,500 Downtown amenities 21,400 1.90% 21,000 Community in Bloom 102,000 2.00% 100,000 Special community events 7,500 0.00% 7,500 Riverfront Centre - Building Ops 182,200 0.41% 181,450 RC - Museum, Archives, VIC 226,500 2.26% 221,500 Total 567,600 2.46% 553,950 RV Park RV Park operating & maint. 52,050 7.10% 48,600 Total RV Park 52,050 7.10% 48,600 Library Net Tax Subsidy 530,800 2.00% 520,400 TOTAL 1,150,450 2.45% 1,122,950 Change 27,500

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TRAIL RIVERFRONT CENTRE 2020 2019 2019

VAR OVER 2019 BUDGET

Budget Budget

Actual

$ % Revenue - Museum, Archives and VIC Sales of Services 1,500 1,500 1,290 0.00% Programs 1,250 1,250 1,496 0.00% Merchandise 6,000 6,000 7,778 0.00% Grants and Donations 17,500 19,900 19,536 (2,400)

12.06%

Total Revenue 26,250 28,650 30,100 (2,400)

8.38%

Cultural Services Administration Salaries 176,600 173,100 170,707 3,500 2.02% Training and Development 5,100 5,000 4,790 100 2.00% Administration 28,400 27,350 23,061 1,050 3.84% Exhibits and Programming 15,900 16,000 12,554 (100)

0.63%

Miscellaneous 500 50 312 450 900.00% Total Cultural Services 226,500 221,500 211,424 5,000 2.26% Building Operations Utilities 38,550 37,600 35,373 950 2.53% Supplies and Materials 18,500 20,700 9,478 (2,200)

10.63%

Wages and salaries 41,950 41,450 20,275 500 1.21% Contract Services 80,600 79,200 71,612 1,400 1.77% Miscellaneous 2,600 2,500 576 100 4.00% Total Building Operations 182,200 181,450 137,314 750 0.41% Library City of Trail - Requisition 530,800 520,400 520,400 10,400 2.00% TOTAL Operating Expenses 939,500 923,350 869,138 16,150 4.67% Capital Debt Financing Charges (net debt) 348,500 348,500 348,500 0.00% Net Operating Deficit 1,261,750 1,243,200 1,187,538 18,550 1.49% Difference 18,550 % Difference 1.49%

Statement of Revenue and Expenditure - RIVERFRONT CENTRE

SLIDE 50

City of Trail 2015 - 2019 Financial Plan 50

2020 Budget – Library and Culture

The Budget reflects a 2% increase in library funding based on the

budget submitted.

The Riverfront Centre net operating deficit increases by $18,550 or

1.49% to $1,261,750.

The CiB Budget is increased by 2% (no budget submitted).

SLIDE 51

City of Trail 2015 - 2019 Financial Plan 51

2020 Budget – Library and Culture

The Trail Historical Society budget increased by $5,000 to provide

funding for contractor support. There is a Memorandum of Understanding between the City and THS and the City has agreed to support and recognize the THS further to the structural changes that were implemented in 2018.

The City now manages the RV Park Operations. A resident caretaker

contract is in place for 2020.

Other expenses in this functional area are not significantly changed.

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City of Trail 2015 - 2019 Financial Plan 52

BM Page 89

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City of Trail 2015 - 2019 Financial Plan 53

2020 Budget – Debt Services

Summary function/ 2020

% change

BUDGET Expenditure category BUDGET

vs 2019 Budget

2019 Expenditures: Long term debt interest 477,450 0.00% 477,450 Long term debt principal 534,250 0.00% 534,250 Lease - fitness equipment 32,000 4.58% 30,600 Other fiscal services 121,500 4.38% 116,400 Total 1,165,200 0.56% 1,158,700 TOTAL 1,165,200 0.56% 1,158,700 Change 6,500

SLIDE 54

City of Trail 2015 - 2019 Financial Plan 54

2020 Budget – Debt Services

DEBT REPAYMENT SCHEDULE 2020 - GENERAL FUND Bylaw Purpose MFA Maturity Payment Opening Principal New Actuarial Closing Interest Issue No. Date Date Balance Issues Addition Balance 2467 RCMP Building 77 2027 1-Jun-20 1,238,168 56,572 73,092 23,625 1-Dec-20 1,108,504 23,625 2716 Aquatic Centre 126 2033 26-Mar-20 1,929,297 47,782 26-Sep-20 83,357 22,116 1,823,824 47,782 2775

Pedes. Bridge

137 2042 19-Apr-20 4,523,952 126,214 13,722 63,908 19-Oct-20 4,384,016 63,908 2781 Riverfront Centre 141 2042 7-Apr-20 5,937,893 172,466 10,503 88,032 7-Oct-20 5,754,924 88,032 2809 Riverfront Centre 141 2027 7-Apr-20 901,676 95,578 5,821 15,340 7-Oct-20 800,277 15,340 TOTAL DEBT - GENERAL FUND 14,530,986 534,187 125,254 13,871,545 477,374 Net change in total debt (659,441)

SLIDE 55

City of Trail 2015 - 2019 Financial Plan 55

2020 Budget – Debt Services

CONSOLIDATED DEBT BY FUND 31-Dec-13 31-Dec-14 31-Dec-15 31-Dec-16 31-Dec-17 31-Dec-18 31-Dec-19 General 4,378,499 4,198,385 4,010,100 8,729,266 15,780,980 15,167,180 14,530,986 Water 1,890,661 1,792,984 1,691,115 1,584,877 1,474,077 1,358,520 1,237,997 Sewer 1,483,345 1,384,625 1,281,956 1,175,180 1,059,580 942,521 821,365 CONSOLIDATED 7,752,505 7,375,994 6,983,171 11,489,323 18,314,637 17,468,221 16,590,348 Municipal population 8,000 8,000 8,000 8,000 8,000 8,000 8,000 PER CAPITA 969 922 873 1436 2289 2184 2074 BORROWING POWER Under the Community Charter , borrowing power is calculated based on revenue, reflecting more accurately the service debt. Unused borrowing power for the City of Trail based on assessed value and current debt outstand Total City Liability Servicing Costs - current 1,250,000 Estimated Liability Servicing Capacity 3,286,000 Estimated borrowing power based on liability servicing capacity 45,920,459 Consolidated debt 16,590,348 Unused borrowing capacity 29,330,111 CAPITAL DEBT ANALYSIS BUDGET - 2020

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City of Trail 2015 - 2019 Financial Plan 56

BM Page 93

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City of Trail 2015 - 2019 Financial Plan 57

2020 Budget – Transfers Own Reserves and Funds

Summary function/ 2020

% change

BUDGET Est Reserve Expenditure category BUDGET

vs 2019 Budget

2019 Balance 2019 Expenditures: Transfers to reserves Equipment replacement reserve 290,000 0.00% 290,000 (196,774) Climate Action / Local Improv. na 93,520 Water capital (parcel tax) 503,000 0.00% 503,000

Sewer - tax transfer

176,550 0.00% 176,550

Water - tax transfer (Waneta)

30,000 0.00% 30,000

Old Trail Bridge Reserve (demo)

350,000 na

Total

1,349,550 35.02% 999,550 (103,254) TOTAL 1,349,550 35.02% 999,550 (103,254) Change from last year 350,000

SLIDE 58

City of Trail 2015 - 2019 Financial Plan 58

Items to note: Equipment Replacement Reserve - Currently the reserve transfer still falls short of matching the depreciated expense of the fleet and now there is a deficit in the fund. Annual depreciation is estimated at $390,00 and the transfer is $290,000 – representing a $100,000 shortfall.

2020 Budget – Transfers Own Reserves and Funds

Climate Action Reserve – Transfer to the fund was removed from the budget in 2015. Fund was originally established to represent the cost of carbon credits with funding to be used for carbon reduction projects. Bridge - The City received an estimate to demolish the Old Bridge in 2016 of $3 million if the piers are not removed. It is important to commence contributions into a reserve for future demolition.

SLIDE 59

City of Trail 2015 - 2019 Financial Plan 59

Transfer to Capital Fund – Funding is increased by $50,000. The incremental funding increase addresses inflation and provides

ngoing funding certainty for capital projects that greatly exceed

annual moneys available.

2020 Budget – Transfers Own Reserves and Funds

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City of Trail 2015 - 2019 Financial Plan 60

BM Page 100

SLIDE 61

City of Trail 2015 - 2019 Financial Plan 61

2020 Budget – Airport

Summary function/ 2020

% change

BUDGET Expenditure category BUDGET

vs 2019 Budget

2019 Expenditures: Airport operations Salaries and wages 71,300 1.86% 70,000 Wages and stipends 218,000 6.65% 204,400 Consulting/Admin 31,000 0.00% 31,000 Utilities 19,800 1.54% 19,500 Equipment Maintenance 31,650 2.10% 31,000 Ground Operations 33,150 2.00% 32,500 Building Operations 17,850 2.00% 17,500 Insurance 5,000

33.33%

7,500 Aviation Fuel 77,500 13.14% 68,500 CBT Debt Repayment 50,000 0.00% 50,000 Other Expenses 48,600 3.29% 47,050 TOTAL expenses 603,850 4.30% 578,950 Revenues: Passenger fees 235,000 2.17% 230,000 Parking lot revenue 28,000

20.00%

35,000 Fuel 78,000 0.00% 78,000 Leases 42,000 0.00% 42,000 Advertising and other 18,250

8.75%

20,000 TOTAL revenues 401,250

0.93%

405,000 NET Revenue over Expense (202,600) 16.47% (173,950) Change - Expenses 24,900 Net budget increase 28,650

SLIDE 62

City of Trail 2015 - 2019 Financial Plan 62

2020 Budget – Airport

A new operating plan was incorporated into the 2018 Budget that was

driven by the opening of the airport terminal.

The budget advanced in 2020 is consistent with the approved operating

structure and represents the same service level except as follows:

Funding for increased staffing levels to address snow removal
demands. Increase will allow for 2 operators working 4 hours each as
pposed to 1 operator working 6 hours.
Budget increased for contract janitorial to offset winter work load

demands when deemed necessary.

SLIDE 63

City of Trail 2015 - 2019 Financial Plan 63

Outstanding Items

Presentation from Department Heads: Transportation Services,

Cemetery, Parks and Recreation

Other Revenues
Five Year Financial Plan
2020 – 2024 Capital Plan
Finalization of Budget and Property Tax Rates – Apportionment.
Financial Plan Bylaw and Property Tax Rates Bylaw to be adopted