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01/23/2024 - BudgetNiagara r J?allIDA #` MINUTES City Council Budget Meeting 3:00 PM - Tuesday, January 23, 2024 Council Chambers/Zoom App. The City Council Meeting (Budget) of the City of Niagara Falls was called to order on Tuesday, January 23rd, 2024, at 3:12 PM, in Council Chambers, with the following members present: COUNCIL Mayor Jim Diodati, Councillor Tony Baldinelli, Councillor Lori Lococo, PRESENT: Councillor Ruth -Ann Nieuwesteeg, Councillor Mona Patel, Councillor Victor Pietrangelo, Councillor Mike Strange, Councillor Wayne Thomson (all attending in person in Chambers) Councillor Wayne Campbell (attended via Zoom) STAFF Jason Burgess, Bill Matson, Erik Nickel, Tiffany Clark, Nidhi Punyarthi, PRESENT: Shelley Darlington, Kira Dolch, Kathy Moldenhauer, Dale Morton, James Dowling, Chief Jo Zambito (arriving at 4:20 PM) (all present in Chambers) Dave Etherington, Marianne Tikky, Serge Felicetti, Trent Dark (present via Zoom) 1. 2. 3. CALL TO ORDER The meeting was called to order at 3:12 PM. IN CAMERA SESSION OF COUNCIL 2.1. In -Camera Resolution Council moved to In -Camera meeting at 3:20 PM. Moved by Councillor Victor Pietrangelo Seconded by Councillor Ruth -Ann Nieuwesteeg THAT Council enter into an In -Camera session. Carried Unanimously ADOPTION OF MINUTES Council resumed at 4:01 PM from the In -Camera meeting. 3.1. Council Minutes of January 16, 2024 Moved by Councillor Victor Pietrangelo Seconded by Councillor Wayne Thomson THAT Council approve the minutes of the January 16, 2024 meeting as presented. Page 1 of 6 Carried Unanimously 4. DISCLOSURES OF PECUNIARY INTEREST a) Councillor Lori Lococo declared a conflict of interest to #5.1 (Mayor's Proposed Draft 2024 Tax Levy Supported Budget - Variance Analysis) and to #5.3 (Mayor's Proposed Draft 2024 Tax Levy Supported Budget) as it relates to the Niagara Falls Art Gallery. Councillor Lococo is a board member of the Niagara Falls Art Gallery and sits on the board as a resident. Councillor Lococo will participate in the discussion in relation to the rest of the reports. 5. REPORTS 5.1 F-2024-03 Mayor's Proposed Draft 2024 Tax Levy Supported Budget -Variance Analysis Moved by Councillor Victor Pietrangelo Seconded by Councillor Ruth -Ann Nieuwesteeg 1. THAT Council RECEIVE report F-2024-03 Mayor's Proposed Draft 2024 Tax Levy Supported Budget — Variance Analysis for information. 2. THAT Council APPROVE the 2023 budget reclassifications identified in Attachment 13. Ayes: Mayor Jim Diodati, Councillor Wayne Campbell, Councillor Victor Pietrangelo, Councillor Mike Strange, Councillor Wayne Thomson, Councillor Lori Lococo, Councillor Tony Baldinelli, Councillor Ruth -Ann Nieuwesteeg, and Councillor Mona Patel CARRIED UNANIMOUSLY 9-0 on a recorded vote 5.2. F-2024-04 2024 Budget Engagement Survey Results Moved by Councillor Victor Pietrangelo Seconded by Councillor Mona Patel 1. THAT Staff Report F-2024-04, 2024 Budget Engagement Survey Results BE RECEIVED as information. Carried Unanimously Moved by Councillor Victor Pietrangelo Seconded by Councillor Ruth -Ann Nieuwesteeg THAT Council direct Staff to send a letter to the Minister of Municipal Affairs and Housing, bringing attention to the City of Niagara Falls' application to the Housing Accelerator Fund; reinforcing our City's need for partnership from other levels of government; and furthermore, seeking confirmation that the City qualifies for funding and encouraging approval. Carried Unanimously Page 2 of 6 5.3. 2024 Operating Budget - PRESENTATION Tiffany Clark, Director of Finance, presented the 2024 Operating Budget to Council. Councillor Tony Baldinelli left the meeting at 5:48 PM and returned at 5:52 PM. Mayor Jim Diodati left the meeting at 5:48 PM and Councillor Pietrangelo resumed as Chair of meeting. Mayor Jim Diodati returned to the meeting at 5:54 PM. Councillor discussion included the following items to be incorporated into a future Councillor workshop: • OLG funding • Sole -Sourcing • MAT charges • Library locations Moved by Councillor Victor Pietrangelo Seconded by Councillor Mona Patel THAT Council receive the presentation by Tiffany Clark, Director of Finance, on the 2024 Operating Budget. Carried Unanimously 5.4 F-2024-07 Mayor's Proposed Draft 2024 Tax Levy Supported Budget Moved by Councillor Victor Pietrangelo Seconded by Councillor Ruth -Ann Nieuwesteeg That Council APPROVE the following: • For 2024 only, adding back the 2024 OLG subsidy reduction of $565,000 to the Mayor's proposed budget reducing the impact by 0.65%. • Adding back the 2024 debt placeholder deferral of $260,000 adding 0.30% to the levy impact. • Adding back part of the 2023 fleet deferral totaling $305,000 adding 0.35% to the levy impact. THEREBY, keeping the operating increase at 3.5%. Ayes: Mayor Jim Diodati, Councillor Wayne Campbell, Councillor Victor Pietrangelo, Councillor Mike Strange, Councillor Wayne Thomson, Councillor Lori Lococo, Councillor Tony Baldinelli, Councillor Ruth -Ann Nieuwesteeg, and Councillor Mona Patel CARRIED UNANIMOUSLY 9-0 on a recorded vote Moved by Councillor Victor Pietrangelo Page 3 of 6 Seconded by Councillor Mona Patel THAT a 1.5% temporary 20 -year hospital levy not be phased in equally over three (3) years. Carried Unanimously Moved by Councillor Victor Pietrangelo Seconded by Councillor Mike Strange THAT Council direct Staff to add 0.45% back into the budget for Fleet replacement. Carried (Councillor Lococo was opposed to the vote). Moved by Councillor Victor Pietrangelo Seconded by Councillor Ruth -Ann Nieuwesteeg THAT staff be DIRECTED to find sustainable savings or revenue increases of $1.0 million that can be enacted in the 2025 budget to better achieve budget sustainability. CARRIED UNANIMOUSLY Moved by Councillor Ruth -Ann Nieuwesteeg Seconded by Councillor Victor Pietrangelo That Council shorten the 30 day review period, allowed under the Strong Mayors Act, by 15 days, such that the review period ends on January 23, 2024. Carried Unanimously Moved by Councillor Victor Pietrangelo Seconded by Councillor Tony Baldinelli That Council RECEIVE the Mayor's Proposed Draft 2024 Tax Levy Supported Budget with revenues and expenses each totaling $150,477,067 as per attachment 1. 2. That Council APPROVE the use of reserve funding as outlined in attachment 2. 3. That Council APPROVE the 2024 staff recommended funding levels and classifications for Boards and Commissions, Fee for Service, Grants and Honorariums as presented on Attachment 7, totaling $8,055,345 of which $7,072,446 will be funded by the tax levy, representing an increase in tax levy funding of $192,119 (0.2% tax levy impact) from prior year. For clarity, these recommendations are already included in the Mayor's Proposed Budget recommendations. Council called for a 10 minute recess at 7:55 PM. Council resumed at 8:07 PM. Ayes: Mayor Jim Diodati, Councillor Wayne Campbell, Councillor Victor Pietrangelo, Councillor Mike Strange, Councillor Wayne Thomson, Page 4 of 6 Councillor Tony Baldinelli, Councillor Ruth -Ann Nieuwesteeg, and Councillor Mona Patel Nays: Councillor Lori Lococo CARRIED (Councillor Lococo opposed to the vote). 8-1 on a recorded vote Moved by Councillor Victor Pietrangelo Seconded by Councillor Wayne Thomson That a 2024 tax levy increase related to operating revenues and expenditures of $3,402,914 (3.95°/x) BE APPROVED That the 2024 net tax levy of $89,505,600 BE APPROVED. That the Mayor consider shortening his 10 -day veto period by 10 days, by providing written documentation to members of Council and the Municipal Clerk to shorten the veto period, such that the Veto period ends on January 23, 2024, thereby allowing the Mayor's Proposed Draft 2024 Tax Levy Supported Budget to be deemed adopted on January 23, 2024. Ayes: Mayor Jim Diodati, Councillor Wayne Campbell, Councillor Victor Pietrangelo, Councillor Mike Strange, Councillor Wayne Thomson, Councillor Tony Baldinelli, Councillor Ruth -Ann Nieuwesteeg, and Councillor Mona Patel Nays: Councillor Lori Lococo Carried (Councillor Lococo was opposed to the vote). 8-1 on a recorded vote 6. BY-LAWS 2024- A by-law to adopt, ratify and confirm the actions of the City Council at its 015. meeting held on the 23rd of January, 2024. Moved by Councillor Victor Pietrangelo Seconded by Councillor Ruth -Ann Nieuwesteeg THAT the by-law be read a first, second and third time and passed. Carried Unanimously 7. ADJOURNMENT a) Adjournment Moved by Councillor Tony Baldinelli Seconded by Councillor Wayne Thomson THAT Council adjourn the meeting at 8:20 PM. Carried Unanimously Page 5 of 6 � r - Mayor City Clerk Page 6 of 6