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04/24/2018Npjyaig acrict, COUNCIL PRESENT: COUNCIL ABSENT: COUNCIL LATE: MINUTES City Council Meeting Tuesday, April 24, 2018 Council Chambers 5:00 PM Mayor Jim Diodati, Councillor Wayne Campbell, Councillor Kim Craitor, Councillor Carolynn loannoni, Councillor Vince Kerrio, Councillor Joyce Morocco, Councillor Victor Pietrangelo, Councillor Mike Strange, and Councillor Wayne Thomson 1 IN CAMERA SESSION OF COUNCIL 4:00 P.M. a) In Camera Resolution, April 24, 2018 ORDERED on the motion of Councillor Wayne Campbell, Seconded by Councillor Joyce Morocco that Council enter into an In Camera session. Carried Unanimously Councillor Strange absent 2 CALL TO ORDER a) 0 Canada sung by Mia Bergamo 3 ADOPTION OF MINUTES a) Council Minutes of April 10, 2018 ORDERED on the motion of Councillor Joyce Morocco, Seconded by Councillor Victor Pietrangelo that the minutes of April 10, 2018 be approved as recorded. Carried Unanimously 4 DISCLOSURES OF PECUNIARY INTEREST Disclosures of pecuniary interest and a brief explanation thereof will be made for the current Council Meeting at this time. Page Page 1 of 17 a) Councillor Pietrangelo declared a conflict to wire transfer # 00144-0004, made to the Niagara Catholic District School Board, his employer and to Bylaw 2018-43. b) Councillor Kerrio indicated a conflict with report CAO-2018-01. c) Councillor Thomson indicated a conflict with report CAO-2018-01. d) Councillor Morocco indicated a conflict with report CAO-2018-01. e) Councillor Craitor indicated a pecuniary interest to cheque number 413836, made payable to himself. f) Mayor Diodati indicated a pecuniary interest to cheque number 414179, made payable to himself. 5 MAYOR'S REPORTS, ANNOUNCEMENTS a) Mayor Diodati extended condolences to Anna Morocco, a city employee, on the passing of her grandmother, Elvira Marielli. Mayor Diodati announced: Flags at City Hall were lowered and remain at half-staff in honour of the 10 people who lost their live and 15 others who were hospitalized after the tragic Toronto van attack; Paul Harris Award Symposium; Meeting with the President of China Council for the promotion of International trade, Mr. Zengwei Jiang and Volunteer Firefighter recognition banquet took place. The next meeting of Council is May 8, 2018. 6 REPORTS a) CAO-2018-01 - Transient Accommodation Tax (a.k.a. Hotel Tax) The report recommends the following: 1. That the City of Niagara Falls implement a Transient Accommodation Tax of $2.00 per room per night of occupancy commencing January 1, 2019. 2. That the Transient Tax apply to all accommodation in the City of Niagara Falls and that the program be implemented as outlined in this report. City Council April 24, 2018 14 - 17 Page 2 of 17 3. The City of Niagara Falls supports the creation of a Niagara Falls Hotel Association (NFHA) to act as the eligible tourism entity under the regulation to distribute the funds as outlined in this report. 4. That the Transient Accommodation rate be approved for a five (5) year term, however, after January 1, 2022 (3 years), the partners agree to conduct a review of the Transient Accommodation Tax and related impact on tourism and may retain a consultant to conduct an impact study to assist in determining its effectiveness. Doug Birrell, CEO Niagara Hospitality Hotels, representing the various BIA's made a presentation and asked for the support of Council. ORDERED on the motion of Councillor Carolynn loannoni, Seconded by Councillor Mike Strange that the report be approved as recommended. Motion Carried with Councillor Campbell opposed and Councillors Kerrio, Morocco and Thomson declaring a conflict. CAO-2018-01 Transient Accommodation Tax 7 REPORTS a) F-2018-12 - Cancellation, Reduction or Refund of Taxes Under Section 357 and 358 of The Municipal Act, 2001 The report recommends that Council approve the cancellation, reduction or refund of taxes on the various accounts per the attached summary and granted to the property owners listed. ORDERED on the motion of Councillor Victor Pietrangelo, Seconded by Councillor Mike Strange that the report be approved as recommended. Carried Unanimously b) F-2018-13 - Monthly Tax Receivables Report - March The report recommends that Council receive the Monthly Tax Receivables report for information purposes. ORDERED on the motion of Councillor Victor Pietrangelo, Seconded by City Council April 24, 2018 Page 3 of 17 Councillor Vince Kerrio that the report be approved as recommended. Carried Unanimously c) F-2018-14 - Municipal Accounts The report recommends that Council approve the municipal accounts totaling $50,701,824.89 for the period March 12, 2018 to April 4, 2018. ORDERED on the motion of Councillor Victor Pietrangelo, Seconded by Councillor Wayne Campbell that the report be approved as recommended. Carried Unanimously d) F-2018-17 - Development Charges Exemption for Lundy% Lane CIP Properties The report recommends that Council initiate a Development Charges (DC) rebate program for qualified applicant's properties within the Lundy's Lane Improvement Area s (LLBIA) Community Improvement Plan (CIP) area with the funding for rebates to be derived from the OLG contribution funding in 2018-2019. ORDERED on the motion of Councillor Victor Pietrangelo, Seconded by Councillor Wayne Thomson that the report be approved as recommended. Carried Unanimously e) MW-2018-07 - Neighbourhood Playground Replacement Project Update The report recommends: 1. That park locations identified for improvements under the 2018 Neighbourhood Playground Replacement Project be accepted: A J. McKinley Park, Carolyn Park, Grey Robinson Park, John N. Allan Park, Lind Sommerville Park, Mount Forest Park, Russell Park, Shirley Park and Wilson Park. City Council April 24, 2018 Page 4 of 17 fl g) 2. That Council award the supply and installation of playground equipment at A.J. McKinley Park, Carolyn Park, Grey Robinson Park, John N. Allan Park Lind Sommerville Park, Mount Forest Park, Russell Park and Wilson Park to the preferred proponent PlayPower LT Canada Inc for $371,990.24 + HST. 3. That the Mayor and Clerk be authorized to execute the necessary documents. ORDERED on the motion of Councillor Victor Pietrangelo, Seconded by Councillor Vince Kerrio that the report be approved as recommended. Carried Unanimously PBD-2018-24 - DOW 2017-002, Request for Extension of Commercial Building & Facade Grant Approval for 4634 Queen Street Applicant: David Sabina The report recommends that Council approve an extension of one year for the Commercial Building and Facade Improvement Grant Agreement for Application DOW-2017-002, 4634 Queen Street. ORDERED on the motion of Councillor Vince Kerrio, Seconded by Councillor Wayne Thomson that the report be approved as recommended. Carried Unanimously R&C-2018-06 - MacBain Community Centre Pool Repair The report recommends the following: 1. That Council approve $100,000 contribution, 50% of the total repair cost to implement the required repairs to the suspended pool ceiling at the MacBain community Centre. 2. That Council approve amending the 2018 Capital Budget for this project using the capital holding reserve as a funding source. ORDERED on the motion of Councillor Mike Strange, Seconded by Councillor Vince Kerrio that the report be approved as recommended. Carried Unanimously City Council April 24, 2018 Page 5 of 17 h) R&C-2018-08 - Naming and Renaming of Parks - Bruno Agostinelli Jr. Application The report recommends that Council approve the Recreation Committee's recommendation to install a plaque in memory of Bruno Agostinelli Jr. at the refurbished tennis court at Riverview Park. ORDERED on the motion of Councillor Mike Strange, Seconded by Councillor Victor Pietrangelo that the report be approved as recommended. Carried Unanimously i) TS-2018-12 - Nichols Lane - Speed Limit Review The report recommends that the speed limit on Nichols Lane be reduced from 80 km/h to 60 km/h. ORDERED on the motion of Councillor Wayne Thomson, Seconded by Councillor Joyce Morocco that the report be approved as recommended. Carried Unanimously 8 COMMUNICATIONS AND COMMENTS OF THE CITY CLERK a) Saint Paul High School Spirit Day — Request to permit up to 3 food trucks on the school property and waive any licensing fees for the 1 day event, May 23, 2018. Recommendation: For the Consideration of Council ORDERED on the motion of Councillor Kim Craitor, Seconded by Councillor Joyce Morocco that the communication be approved. Carried Unanimously b) Ontario Small Urban Convention 2018 - AGM this May at the Sheraton on the Falls. RECOMMENDATION: For the Information of Council City Council April 24, 2018 Page 6 of 17 ORDERED on the motion of Councillor Mike Strange, Seconded by Councillor Wayne Campbell that the communication be received. Carried Unanimously c) Niagara Regional Labour Council - requesting that April 28, 2018 be proclaimed as a " National Day of Mourning" in the City of Niagara Falls and further that Council and staff be invited to attend the ceremony at 10:30 a m. at the Workers Monument at City Hall. RECOMMENDATION: For the Approval of Council ORDERED on the motion of Councillor Kim Craitor, Seconded by Councillor Wayne Campbell that the communication be approved. Carried Unanimously d) Falun Dafa Association of Canada - that the month of May be recognized as "Falun Dafa Month" in the City of Niagara Falls. RECOMMENDATION: For the Approval of Council ORDERED on the motion of Councillor Victor Pietrangelo, Seconded by Councillor Mike Strange that the communication be approved. Carried Unanimously e) Moving Transit Forward — Interim Branding Strategy and Communications Approach Recommendation: For the Approval of Council ORDERED on the motion of Councillor Joyce Morocco, Seconded by Councillor Wayne Campbell that the communication be approved. Carried Unanimously City of Welland Resolution — Requesting the Ontario Government to implement reforms that would encourage the remediation of abandoned contaminated properties. RECOMMENDATION: For the Approval of Council City Council April 24, 2018 Page 7 of 17 g) ORDERED on the motion of Councillor Vince Kerrio that the communication be approved. Carried Unanimously National Congress Italian Canadians, Niagara Peninsula District — Celebrating 8th Annual Italian Heritage Month along with Giovanni Caboto Day would like to request a flag raising on Friday June 1, 2018 at 12pm Recommendation: For the Approval of Council ORDERED on the motion of Councillor Wayne Thomson, Seconded by Councillor Joyce Morocco that the communication be approved. Carried Unanimously h) Taps Brewing Company - requesting relief of the noise By-law for various events taking place in 2018 at 4680 Queen Street. RECOMMENDATION: For the Consideration of Council ORDERED on the motion of Councillor Mike Strange, Seconded by Councillor Victor Pietrangelo that the communication be approved. Carried Unanimously Rotary Niagara Falls Sunrise Ribfest — requesting that the City of Niagara Falls declare their 14th Annual Niagara Rotary Ribfest a Community Event, to be held June 15, 16 17, 2018 at Niagara Square. Recommendation: For the Consideration of Council. ORDERED on the motion of Councillor Victor Pietrangelo, Seconded by Councillor Joyce Morocco that the communication be approved. Carried Unanimously 9 NEW BUSINESS a) Coyotes - Hallage Trail City Council April 24, 2018 Page 8 of 17 ORDERED on the motion of Councillor Wayne Campbell, Seconded by Councillor Victor Pietrangelo Refer to staff and report back on the issue of coyotes along the trail. Carried Unanimously b) Vacation Rental Units ORDERED on the motion of Councillor Wayne Thomson, Seconded by Councillor Victor Pietrangelo that staff continue to enforce the Short term vacation rental units in residential areas, with no grace period; the standard enforcement procedures are to be applied. Carried Unanimously c) Hwy 405 ORDERED on the motion of Councillor Victor Pietrangelo, Seconded by Councillor Kim Craitor that the City put forward an official resolution requesting that the province and the Region support a fully functioning 405, to include access to and from the QEW northbound and southbound, rather than forcing traffic through the City. Carried Unanimously 10 PLANNING MATTERS a) Public Meeting AM-2018-003, Zoning By-law Amendment Application Part 1, 59R-13324 Owner: Fern Pasquale Background Report: PBD-2018-20 The report recommends: That Council approve the Zoning By-law amendment application to rezone the land to a site specific Residential Single Family 1 E Density (R1 E) zone to allow the construction of two single detached dwellings, subject to the regulation outlined in this report. The Director of Planning & Development provided Council with an overview. City Council April 24, 2018 Page 9 of 17 Fernando Pasquale, applicant, in favor of staff report and recommendation, he expressed a concern with a parking issue. The Public Meeting is Closed. ORDERED on the motion of Councillor Victor Pietrangelo, Seconded by Councillor Wayne Thomson that the recommendation in the report be approve; with no requirement to build a turnaround in the driveway which would remain optional. Carried Unanimously b) Councillor loannoni exited Chambers and did not return. Public Meeting AM-2018-001, Zoning By-law Amendment Application 5888 Thorold Stone Road and part of 5900 Thorold Stone Road Applicant Lantana Holdings Inc. Background Report: PBD-2018-21 The report recommends that Council approve the Zoning By-law amendment application to rezone the lands to a site specific Light Industrial (LI) zone, to allow the expansion of the existing Chevrolet car dealership, subject to the regulations outlined in this report. The Director of Planning and Development provided an overview. Robert Martin, agent for Lantana Holdings Inc, expressed no objections, is in agreement with the staff report and recommendations. The Public Meeting was Closed. ORDERED on the motion of Councillor Vince Kerrio, Seconded by Councillor Kim Craitor that the report be approved as recommended. Carried Unanimously c) Public Meeting City Council April 24, 2018 Page 10 of 17 26CD-11-2018-001 Plan of Vacant Land Condominium 7712 Badger Road Applicant 1962866 Ontario Inc. ( Lucy Borghesi) Recommendation Report: PBD-2018-22 The report recommends the following: That the 7712 Badger Road Plan of Vacant Land Condominium be draft approved subject to the conditions in Appendix A; That the Mayor or designate be authorized to sign the draft plan as "approved" 20 days after notice of Council's decision has been given as required by the Planning Act, provided no appeals of the decision have been lodged That draft approval be given for three years, after which approval will lapse unless an extension is requested by the developer and granted by Council; and That the Mayor and City Clerk be authorized to execute the Condominium Agreement and any required documents to allow for the future registration of the subdivision when all matters are addressed to the satisfaction of the City Solicitor. Marion Girodat, 7781 Badger Road, expressed concern with the additional traffic/noise on Badger Road. The Public Meeting was Closed. ORDERED on the motion of Councillor Wayne Thomson, Seconded by Councillor Wayne Campbell that the report be approved as recommended. Carried Unanimously 11 RATIFICATION OF IN CAMERA MATTERS BY-LAWS The City Clerk will advise of any additional by-laws or amendments to the by- law listed for Council consideration. City Council April 24, 2018 Page 11 of 17 ORDERED on the motion of Councillor Pietrangelo, seconded by Councillor Morocco that the by-laws be given a first reading. Carried Unanimously 2018-41 A by-law to provide for the adoption of Amendment No.115 to the City of Niagara Falls Official Plan. 2018-42 A by-law to amend By-law No. 79-200, to delete references to the term family and owner (AM-2018-002). 2018-43 A by-law to amend By-law No. 79-200, to introduce new definitions and regulatory provisions to address accessory dwelling units (AM-2012-014). 2018-44 A by-law to amend By-law No. 89-2000, being a by-law to regulate parking and traffic on City Roads. (Stop Signs at Intersections) 2018-45 A by-law to authorize the payment of $50,701,824.89 or General Purposes. 2018-46 A by-law to amend By-law 2002-081, being a by-law to appoint City employees, agents and third parties for the enforcement of provincial or municipal by-laws. 2018-47 A by-law to adopt, ratify and confirm the actions of City Council at its meeting held on the 24th day of April, 2018. ORDERED on the motion of Councillor Pietrangelo, seconded by Councillor Strange that the by-laws be given a second and third reading. Carried Unanimously 12 ADJOURNMENT a) Adjournment of Council meeting. ORDERED on the motion of Councillor Joyce Morocco, Seconded by Councillor Wayne Campbell that the meeting be adjourned at 7:45 p. m. Carried Unanimously City Council April 24, 2018 Page 12 of 17 City Council April 24, 2018 JAODATI, MAY R BILL MATSON, ACTING CITY CLERK Page 13 of 17 Niagarafalls REPORT TO: Mayor James M. Diodati and Members of Municipal Council SUBMITTED BY: Chief Administrative Officer SUBJECT: CAO-2018-01 Transient Accommodation Tax (a.k.a. Hotel Tax) RECOMMENDATION CAO-2018-01 April 24, 2018 1. That the City of Niagara Falls implement a Transient Accommodation Tax of $2.00 per room per night of occupancy commencing January 1, 2019. 2. That the Transient Tax apply to all accommodation in the City of Niagara Falls and that the program be implemented as outlined in this report. 3. The City of Niagara Falls supports the creation of a Niagara Falls Hotel Association (NFHA) to act as the eligible tourism entity under the regulation to distribute the funds as outlined in this report. 4. That the Transient Accommodation rate be approved for a five (5) year term, however, after January 1, 2022 (3 years), the partners agree to conduct a review of the Transient Accommodation Tax and related impact on tourism and may retain a consultant to conduct an impact study to assist in determining its effectiveness. BACKGROUND At the Council meeting held on November 28, 2017 Council received a report on the Transient Accommodation Tax. Council recommended that the implementation of the tax be deferred and no action taken until consultation has taken place with all stakeholders. On January 16, 2018 a public meeting of all stakeholders was held. Subsequent to the public meeting staff conducted further discussions with representatives from the various B.I.A's. On March 28, 2018 a further meeting was held with B.I.A representatives whereby proposal from the accommodation sector was presented. This proposal received the support from all B.I.A's and is reflective of the program details outlined in this report. Page 14 of 17 CAO-2018-01 April 24, 2018 In April, 2017 the Province of Ontario passed Bill 127: Stronger, Healthier Ontario Act (Budget Measures) 2017, which allow lower or single tier municipalities in Ontario to charge a transient accommodation tax, also called a "Hotel Tax', upper tier municipalities, such as the Region, are not eligible to collect funds under this regulation. The regulations (Ontario Regulations 435/17) received approval on November 23, 2017 and came into force on December 1, 2017. In a letter from the Ontario Minister of Tourism, Culture and Sport, the Honourable Eleanor McMahon, she encourages the City to consider how a new tax on transient accommodation may bring greater transparency and consistency to the existing practices in our City through the sharing of funds with a tourism organization, application of a uniform rate, and clearer labelling of the charge on hotel bills. This is an opportunity for the City of Niagara Falls to strengthen its partnership with its tourism partners to ensure that the tourism sector continues to be competitive in Niagara Falls and in Ontario. The legislation states that municipalities that adopt a hotel tax and have an existing Destination Marketing Fee (DMF) program in place are required to share the hotel tax revenue with the appropriate not -for -profit tourism organization in an amount that matches the total revenue generated by the existing (DMF) program. Where such a program does not exist for a municipality, at least 50 per cent of the hotel tax revenue is to be shared with the respective Regional Tourism Organization or a not -for -profit tourism organization. With respect to Niagara Falls at least 50% of the revenue generated must be shared with the eligible tourism entity. The City of Niagara Falls would be required to administer the collection of the proposed fee. ANALYSIS/RATIONALE The Transient Accommodation (Hotel Tax) will replace the current "DMF" programs across the province. The stakeholders will collect the tax at the source from consumers. In Niagara Falls there are currently 132 hotel/motels in the city with approximately 12,000 hotel rooms. The tax would only be charged on the hotel room and could not be applied to other components of tourism operations. The tax can also be applied to short term rentals (Airbnb, VRBO etc.) and other forms of accommodation. The only exclusion is university or college residence accommodations. Although there are no specifics outlined in the regulation, related to how the monies can be spent, it is staff's opinion that monies collected from the "Hotel Tax" should be used to support the tourism sector. Examples of this would be financial assistance for major events, such as televised New Year's Eve, and live concerts, fireworks, and destination marketing. Page 15 of 17 3 CAO-2018-01 April 24, 2018 Once implemented, the Hotel Tax replaces the "DMF". This means that tourism businesses could no longer charge a "DMF". This does not prevent a hotel from charging a "resort fee" or "facility charge", but these would not be considered a tax. As a result of the consultations with all stakeholders, as directed by Council, the following is an overview of the proposed transient tax program to be implemented on January 1, 2019: • A Niagara Falls Hotel Association (a not -for -profit organization) will be created to provide a collective voice to address the needs of the accommodation sector. All accommodations are eligible for membership in the Association. • The Niagara Falls Hotel Association (NFHA), will operate independently from Council and will be responsible to manage and disperse for tourism promotion and destination marketing, the funds that are collected. • The City will collect the funds and retain a portion of the tax (5 %) to administer the transient tax program. • The City will no longer directly fund from property tax or OLG sources any tourism initiatives such as the Winter Festival of Lights or Niagara Falls Tourism. This will become the responsibility of the NFHA. This includes annual fee for service requests and one-time funding requests from OLG funds. • Other promotions such as New Year's Eve and shows such as Kelly and Ryan and destination marketing will be funded directly through the NFHA transient tax funds. • The collection of the funds would commence on January 1, 2019 and monies allocated by the NFHA would be dispersed starting in July, 2019. Niagara Falls Hotel Association The NFHA is proposed to be a newly created, not -for -profit organization that will act as the eligible tourism entity under the Transient Tax legislation for the purposes of distributing funds for such initiatives as: destination marketing, special events funding, fireworks and funding existing organizations such as Niagara Falls Tourism and Winter Festival of Lights. To be eligible to be a member of the NFTA you must be from the accommodation sector since the transient tax is only collected on overnight room stays. Page 16 of 17 The NFHA of Directors would be as follows: • Fallsview B.I.A • Lundy's Lane B.I.A • Victoria Centre B.I.A • Clifton Hill B.I.A. • At Large TOTAL: 4 4,404 rooms 2,018 rooms 1,917 rooms 773 rooms 3,055 rooms 12,167 rooms FINANCIAL/STAFFING/LEGAL IMPLICATIONS 5 seats 2 seats 2 seats 1 seat 3 seats 13 seats CAO-2018-01 April 24, 2018 The implementation of a Hotel Tax will not have any impact on the 2018 operating budget. In 2019, a positive impact will occur due to the elimination of funding commitments currently contained in the operating budget. This includes payments to the WFOL and NFT. It should be noted that once the tax is implemented (January 1, 2019), the tourism sector can no longer charge a DMF tax This does not prevent hotels from charging fees in their rates such as resort fees and facilities fees. The proposal recommends the collection of $2 00 per room per occupied night. It has been estimated that this will generate approximately $5 million in revenue on an annual basis. The fee will be in place for a period of 5 years, subject to a review of the program after the third year. Currently the City provides funds to Niagara Falls Tourism in the amount of $360,000 and the Winter Festival of Lights to the amount of $ 342,000 from the Operating Budget and special funding of $300,000 and $400,000 from the funds received from the OLG contribution agreement. These funds would no longer be funded from these sources but instead will be funded from the Transient Accommodation Tax. In order for the City to administer the collection of these fees, additional staffing resources will be required and included in the 2019 operating budget. Revenue to offset these costs would come from the 5% of the funds retained. At the end of each year the funding allotments would be reported to Council similar to the reports Council receives on Sleep Cheap and OLG. Respectfully submitted Ken Todd, Chief Administrative Officer Page 17 of 17