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2005/11/21 CORPORATE SERVICES COMMITTEE AGENDA NINTH MEETTNG Monday, November 21, 2005 Council Chambers - 6:00 p.m. Staff Contact: 1. Minutes of the November 7, 2005 Meeting 2. 2006 Funding Requests: Ken Burden Deputations Niagara Transit Niagara Chair-A-Van Niagara FallS~blic Library Winter Festival of Lights Niagara Falls Tourism 3. Reports: F-2005-52 - Major Receivables Quarterly Report Todd Harrison F-2005-53 - Niagara District Airport Commission Ken Burden 4. Correspondence: Niagara Falls International Marathon [nc. Request for Support from City for 2005 Event 5. New Business 6 . Adjournment -2- 3. Presentation from MPAC Penny Christie and Valerie Jones were in attendance from the Municipal Property Assessment Corporation. Assessment notices were mailed on November 7~". Council was advised that the average increase in residential property values for Niagara Falls was approximately 15%. An Open House will be held November 9t" at City Hall to answer questions about new assessments. 4. Correspondence MOVED by Alderman Ioannoni, seconded by Alderman Morocco, that the Niagara Falls Public Library request for increase in funding for the 2005 budget be received and filed. Motion Carried Unanimously (Note: At the Council meeting following the Corporate Services Meeting, this motion was amended to read: "That the Niagara Falls Public Library request for increase in funding for the 2005 budget be approved in the amount of $70,000." and was carried unanimously.) 5. ADJOURNMENT MOVED by Alderman Volpatti, seconded by Alderman Pietrangelo, that the meeting be adjourned at 7:15 p.m. Motion Carried Unanimously Niagara Transit 4320 Bridge St., Nia§ara Falls, Ontario, L2E 2R7 Office 905-3§6-1179 Garage 90§-3§8-9749 Fax 905-3§6-5§76 TO: The Chairman and Members of the Commission FROM: T.D. Librock, General Mana.qer RE: Financial Estimates 2005 - Bud.qet 2006 October 17, 2005 In October 2004, the Provincial Government announced their desire to increase Public Transportation Ridership and support the development of strong communities by creating the "Dedicated Gasoline Tax Funds for Public Transportation", thus providing sustainable funding to support investment in the renewal and expansion of Public Transportation Systems. The Government will transfer funds to the municipality at the rate of one cent per litre of fuel (2004/2005 - $136,682) one and a half cents (2005/2006 - $615,069), two cents (2006/2007 - $888,433) and continue at this rate. Funds must be deposited in a separate bank account and used for expenditures targeting ridership growth and justified to the Provincial Government by developing 'Ridership Growth' and 'Asset Management' Plans. In 2005, as a result of many requests, Niagara Transit has made significient improvements to weekend service. Costs for the additional service were paid exclusively by Gasoline Tax Subsidies. In 2006, despite rising fuel costs, Niagara Transit is not requesting an increase to our net deficit from 2005 or a fare adjustment. Outlined below are variances from the approved budget to estimates for 2005 and the proposed budget for 2006, under the following categories: I. FINANCIAL ESTIMATES (2005/2006) The estimated operating revenues and expenditures for 2005, and the proposed budget for 2006. II. OPERA TING AND CAPITAL FUND EXPENDITURES (2005/2006) The estimated cost for tires, office and garage equipment, and capital purchases for 2005 and the proposed budget for 2006. III. FINANCIAL SUMMARY (2005/2006) The overall estimated net operating and capital costs for 2005 and the proposed budget for 2006 including estimated Provincial and Gasoline Tax Subsidies. 2 L FINANCIAL ESTIMATES- 2005 Following are the main variances from the approved operating budget to projections for 2005: 1. REVENUE - STATEMENT ONF 1) Regular Transit passenger revenues are projected to be over budget by approximately $59,700 mainly as a result of improved weekend service. 2) Falls Shuttle revenue under budget by $17,000 (4%). The "kids ride free" promotion proved to be very popular with hotels, motels and campgrounds. We continue to receive compliments on our Falls Shuttle service. 3) Garage revenues will be over budget. We experienced an increase in inter-city, and out-of-town bus business. 4) Bus Terminal revenue same as 2004 levels. 5) Advertising revenue increased. This is a result of additional revenue from bus shelter advertising. 2. TRANSPORTATION COSTS - STATEMENT TWO 1) Operator's wages and benefits increased as a~ result of improved weekend service. (paid by the Gasoline Tax Subsidy). 2) Diesel fuel costs increased as a result of rising fuel prices and improved weekend service. 3) Advertising costs increased as a result of improved weekend service. (paid by the Gasoline Tax Subsidy). 3. EQUIPMENT & VEHICLE MAINTENANCE COSTS - STATEMENT THREE 1) Vehicle' operating costs increased as a result of the improved weekend service. (paid by the Gasoline Tax Subsidy). 2) Replaced (1) additional motor than budgeted. 4. PREMISES AND PLANT COSTS - STATEMENT FOUR 1) Garage wages and benefits increased as a result of improved weekend service. (paid by the Gasoline Tax Subsidy). 2) Utility costs are under budget by approXimately $4,000. 3) Maintenance costs increased as a result of major repairs to bus hoists and bus washer. 5. GENERAL AND ADMINISTRATIVE COSTS - STATEMENT FIVE 1) Wage and benefit costs increased as a result of a job re- classification. (paid by the Gasoline Tax Subsidy). 2) Decrease in office supply costs. 3) Commission sent one staff member to the Ontario Community Transportation Association annual meeting. 4 II. OPERA TING AND CAPITAL FUND EXPENDITURES- 2005 1) Cost for tires is estimated to be over budget by approximately $6,000. This was a result of improved weekend service. (paid by the Gasoline Tax Subsidy). 2) Purchased two Iow-floor coaches (continuation of a five year bus replacement plan). 3) Cost for refurbishing one transit coach was lower than projected by approximately $700 III. FINANCIAL SUMMARY. 2005 If my estimates are correct, the net deficit to the City of Niagara Falls in 2005, for combined operating and capital expenditures will be approximately $2,748,800 some $9,700 under the approved budget. For your information, Niagara Transit's cost per capita for 2004 (latest available statistics), was $24.02 compared to the provincial average of $46.61. Niagara Transit's alternate sources of revenue contribute to lowering our deficit, easing the financial bUrden to the taxpayers. Note: These estimates are prepared approximately 3 ~hs prior to year end and could change significantly if we have a dramatic loss of revenue or incur unforeseen operating expenditures such as additional unbudgeted motors, transmission replacements or soaring diesel fuel prices. 5 PROPOSED BUDGET - 2006 I. Financial Estimates- 2006 The following is the proposed budget for 2006, accompanied by explanations for specific items. It is submitted recognizing the current economic climate in Niagara Falls. This budget proposes no fare adjustment or bud,qet increase. 1. REVENUE - STATEMENT ONE 1) We are not recommending a fare increase at this time. For your information, Niagara Transits' most recent fares are as follows: (effective January 1st, 2003) Cate_clory Fare Adult $2.25 Student 2.00 VIP(Senior/Reduced) 2.00 Child (5- 12) 1.00 Under 5 Free 30-Day Passes Adult 65.00 VIP (Senior/Reduced) 50.00 Student 50.00 Niagara Transit provides reduced fares to the following social agencies: · Project Share · Region Community Services Department · Family and Children Services · St. Vincent de Paul Society · Ministry of Community and Social Services · Niagara Support Services Nova House · N-Tec · St. Ann's Adult Learning · YMCA- Employment Program 2) 2% increase in Falls Shuttle revenues (assuming the tourism market will increase in 2006.) 3) 3% increase in garage revenues (assuming bus tours will increase in 2006.) 4) Slight increase in bus terminal revenue. 5) Slight increase in advertising revenues. 2. TRANSPORTATION COSTS - STATEMENT TWO 1) Weekend route improvements from 2005 (paid by the Gasoline Tax Subsidy). 2) Wage and benefit adjustment (same as the City of Niagara Falls). 3) 8% increase in group insurance benefits. 4) Slight increase in government imposed expenses. 5) 12% increase in bus liability insurance rates. 6) '18% increase in diesel fuel cost. 3. EQUIPMENT AND VEHICLE MAINTENANCE COSTS - STATEMENT THREE 1 ) Decrease in costs for parts as a result of new vehicles. 2) Replacement of one motor and one transmission. 4. PREMISES AND PLANT COSTS - STATEMENT FOUR 1) Wage and benefits cost increase (same as the City of Niagara Falls). 2) 8% increase in group insurance benefits. 3) Slight increase in government imposed expenditures. 4) 6% increase in utility rates. 5. GENERAL AND ADMINISTRATIVE COSTS - STATEMENT FIVE 1) Wages and benefit cost increase (same as the City of Niagara Falls) 2) 8% increase in group insurance benefits. 3) Slight increase in government imposed expenditures. 4) No cost for conferences and conventions. II. OPERA TING AND CAPITAL FUND EXPENDITURES- 2006 1) Increase of $6,000 for tires. 2) A token amount of money for garage and office equipment that may be required. 3) Two Iow-floor transit coaches, previously approved by council (eligible for Provincial Capital Subsidy). 8 IlL FINANCIAL SUMMARY- 2006 If my estimates are correct, the net deficit to the City of Niagara Falls for operating and capital combined (including Provincial and Gasoline Tax Subsidy) for budget year 2006 will be $2,743,100 some $15,400 under the approved 2005 budget. We have examined every facet of our operations, with the aim of identifying ways to reduce the overall financial burden public transportation places on the taxpayers of the City. Niagara Transit has traditionally relied on other sources of revenue such as the garage and Falls Shuttle operation to offset our deficit. As we have stated in the past, the Commission and staff have pursued service and maintenance contracts with local and inter-city operators with significant success. It will be our intention in the year 2006, to continue these pursuits, as our investigations into these markets are encouraging. In conclusion, I recommend the Commission approve these financial forecasts. /Terry Librock (~eneral Manager TDL/kf 9 October 17, 2005 NIAGARA TRANSIT FINANCIAL SUMMARY 2005 - 2006 Budget Estimated Budget 2005 2005 2006 EXPENDITURES Operating Deficit $ 2,049,600 $ 2,548,300 $ 2,622,700 Other Expenditures 12,000 14,000 24,000 Sub Total 2,061,600 2,562,300 2,646,700 Capital Expenditures 1,039,900 1,041,300 1,003,300 Sub Total $ 3,101,500 $ 3,603,600 $ 3,650,000 Capital Subsidy $ 343,000 $ 343,600 $ 331,100 Gasoline Tax Subsidy - 511,200 575,800 Total Provincial Subsidy 343,000 854,800 906,900 Net Cost to the City $ 2,758,500 $ 2,748,800 $ 2,743,100 October 17, 2005 NIAGARA TRANSIT OPERATING AND CAPITAL FUND EXPENDITURES 2005 - 2006 Budget Estimated Budget 2005 2005 2006 OTHER EXPENDITURES Tires $ 8,000 $ 14,000 $ 20,000 Office Equipment 2,000 2,000 Garage Equipment 2,000 2,000 TOTAL $ 12,000 $ 14,000 $ 24,000 CAPTIAL EXPENDITURES Bus Purchases $ 973,900 $ 976,000 $ 1,003,300 Bus Refurbishing 66,000 65,300 - TOTAL $1,039,900 $ 1,041,300 $ 1,003,300 o m c~ 0 ~ ~! ~o NIAGARA CHAIR-A-VAN 5734 Glenholme Avenue Phone 905-357-0122 Niagara Falls, Ontario Fax 905-357-7199 L2G 4Y3 TO: The Chairman and Members of the Manaqement Board FROM: T.D. Librock, General Manaqer RE: Financial Estimates 2005 - Proposed Budget 200~ September 19, 2005 Summarized on the following pages are the variances from the approved 2005 Budget and Proposed Budget for 2006: FINANCIAL ESTIMATES - 2005 REVENUE Passenger ridership in 2005 will be up approximately 3.5%. This is attributed to additional requests for medical purposes and increased afternoon service. Overall, revenues are projected to be up approximately $1,500. EXPENDITURES It is estimated that expenditures will be approximately $22,000 over the 2005 budget estimates. This was due to service adjustments and rising fuel prices. CAPITAL PURCHASE - 2005 The cost for the new Chair-A-Van vehicle was financed completely by the Provincial Government .(Capital Subsidy - $27,800, Gasoline Tax Subsidy - $55,7o0). SUMMARY - 2005 Overall, the estimated net cost to the City for physically disabled tranSportation service in 2005, was $289,600, some $41,100 under the approved budget. This was a result of the Gasoline Tax Subsidy Program. The balance of the new vehicle was subsidized from this fund. PROPOSED BUDGET- 2006 REVENUE This budget includes no fare adjustment, the same proposed for conventional transit, and an estimated ridership increase due to additional service hours. EXPENDITURES The followinq are included in the 2006 Budget: 1. Wage increase (same as Niagara Transit/City of Niagara Falls) 2. Proposed service improvements 3. Increased dispatcher hours (2.5 hours per week). 4. An increase in van maintenance costs. 5. Increase in fuel costs. 6. Other costs are based on last year's actual expenditures. CAPITAL - BUDGET 2006 This budget includes the acquisition of a new vehicle to replace van #12 at an estimated cost of $93,000. The full amount will be covered by the Capital and Gasoline Tax Subsidy Programs. SUMMARY- BUDGET 2006 The estimated net cost to the City of Niagara Falls for Operating and Capital combined for 2006 will be $325,700 some $5000 under the budget request for 2005. Note: For your information, Niagara Chair-A-Van's net operating cost per capita in 2004 (latest available statistics) was $3.29, compared to the Provincial average of $8.44. Estimates are prepared' approximately four months prior to year-end and could change significantly if we have a dramatic loss of revenue or incur unforeseen operating expenditures such as a motor or transmission replacement. T D Librock L,,' /'A T.D. General Manger TDL/jrb September 8, 2005 NIAGARA CHAIR-A-VAN MANAGEMENT BOARD - Financial Forcast - 2005~2006 Budget Estimated Budget 2005 2005 2006 REVENUE Passenger Revenue $ 32,500 $ 34,000 $ 35,000 TOTAL REVENUE $ 32,500 $ 34,000 $ 35,000 OPERATING EXPENDITURES Operators 141500 $ 149,500 $ 168,000 Dispatchers (office) 32300 35,500 39,000 Workers Compensation 8000 8,500 9,000 Employment Insurance 5000 5,500 6,000 Canada Pension Plan 7700 7,900 8,700 Employees Benefits 17000 19,000 22,000 Total Wages & Benefits $ 211,500 $ 225,900 $ 252,700 Administrative Costs 3000 3,000 3,000 Rent 4500 4,500 4,500 Telephone 2500 2,500 2,500 Office Expense 3500 3,600 3,800 Insurance 14700 14,700 15,500 Van Maintenance 45000 45,500 47,500 Gas & Oil 24000 31,000 40,000 Uniform 1200 900 1,200 Management Expenses 400 400 400 · Audit Fees 1100 1,100 1,100 Advertising 200 500 500 Total - Other Expenses $ 100,100 $107,700 $ 120,000 TOTAL EXPENDITURES $ 311,600 $ 333,600 $ 372,700 EXCESS OF EXPENDITURES OVER REVENUE $ 279,100 $ 299,600 $ 337,700 September 8, 2005 NIAGARA CHAIR-A-VAN Financial Summary- 2005/2006 Budget Estimated Budget 2005 2005 2006 Expenditures Operating $ 279,100 $ 299,600 $ 337,700 Capital 80,000 83,500 93,000 Sub-total $ 359,100 $ 383,100 $ 430,700 Subsidies Donations 2,000 - - MTO Subsidy 26,400 27,800 31,000 Gas Tax Subsidy - Vehicle - 55,700 62,000 Gas Tax Subsidy - Operating - 10,000 12,000 Sub-total $ 28,400 $ 93,500 $ 105,000 Net Cost $ 330,700 $ 289,600 $ 325,700 niagara falls public library November 8, 2005 forty oight Members of the Corporate Services Committee forty eight City of Niagara Falls victoria avenue Ladies and Gentlemen: niagara falls ontario L2E 4C5 I enclose the 2006 Proposed Operating Budget of the Niagara Falls Public Tel.: 905/356-8080 Library Board. Fax: 905/356-7004 Operating Budget Revenne: The Board respectfully requests funding from the City of Niagara Falls of $3,461,200 for the operation of the public library in 2006. The 12.1% increase in the proposed municipal funding is due primarily to the first full year of operating the new Community Centre Branch Library in the MacBain Community Centre (+9.0%) plus a 3.1% increase for the other three libraries. As in the past, City funding for debenture charges for library capital projects are shown separately and the City has included the necessary funds for the library in another City account similar to City departments. After our Ontario Base Grant was reduced 40% to $130,258 in 1996/1997, it has unfortunately remained frozen at that level. There has been no announcement yet from the Government of Ontario of any changes to our funding in 2006 and no changes have been budgeted. Any further funding reductions will once again jeopardize our hours of operation, staffing levels and our book and non-print expenditures. User fees may increase again. On Sept. 6, 2005 the Niagara Falls Public Library Board wrote to MPP Kim Craitor requesting that he "encourage the Ministry of Culture to review the annual base operating grant to public libraries to consider how it can be indexed to keep pace with inflation and population growth". On Sept. 19, 2005 Minister of Culture Madeleine Meilleur hosted a meeting of various library representatives across Ontario stating that the provincial government "is committed to a strong, sustainable library sector with the capacity to provide Ontario's residents with equitable access to excellent library resources now and into the future". The Niagara Falls Public Library Board will continue to lobby for additional provincial financial support for public libraries. Operating Budget Expenditures: The increase in expenditures is due primarily to the first full year of operating the new Community Centre Branch Library in the MacBain niagara falls Community Centre. Other notable increases include utilities, group' public insurance, OMERS, rent and a 3.25% increase in wages. library Expenditures on books, magazines and audio visual materials will be frozen forty at the 2005 budget of $301,600. eight forty The public's reaction to the opening of the new Community Centre Branch eight victoria Library on Sept. I0, 2005 has been exceptionally strong with more than ave n u e 10,000 books and other items borrowed there by the end of that month and niagara 430 new members registered with library cards at that branch. During this falls time almost one book was borrowed every minute the Community Centre ontario L2E 4C5 Branch Library was open. It has been particularly gratifying to hear from Tel.: 905/356-8080 residents in the southwest area of the city who comment that having a Fax: 905/356-7004 neighbourhood library located more conveniently close to home will increase their use of the library. The Niagara Falls Public Library was recently accepted as one of fifteen partners across Canada in the "Images Canada" website www.imagescanada.ca which provides central search access to thousands of images held on the websites of participating Canadian cultural institutions. Images Canada was impressed with our Library's Historic Niagara Digital Collections www.nfpl.library.on.caYnfplindex which includes art works, postcards, photographs, d/'awings, and other items of a visual nature. The Collection represents all facets of Niagara Falls, from the natural environment and the tourist industry (including daredevils and stunters) to Niagara Falls as a cultural, political, and social community. The images range from the late 18th century to the present. Our Library welcomes the opportunity to promote Niagara Falls on this national database of images. Report on Reserve Funds: The following is our Report on Reserve Funds as of Dec. 31, 2004: Automation Reserve $200,463; Girl/Special Projects Reserve $260,871; Property Maintenance Reserve $51,960. The Library Board asks for your support in 2006 to continue our efforts to provide a contemporary public library service to our community. Respectfully submitte~ C Niagara Falls Public Library Board NIAGARA FALLS PUBLIC LIBRARY BOARD OPERATING BUDGET 2005 2006 APPROVED PROPOSED Budget Budget REVENUE: City grant:operating $3,088,607 $3,461,200 +12.1% ( +9.0% MacBain CC +3.1% other ) City grant:debentures 99,766 112,900 Provincial grants 165,100 130,300 Federal grants 1,800 3,900 Other grants 3,000 0 Library Receipts 101,100 91,200 Donations 19,000 12,000 Transfer from Reserves 0 24,500 Surplus from previous year 83,474 0 3,561,847 3,836,000 EXPENDITURES Labour 1,945,900 2,158,000 Benefits 401,400 468,300 Staff Development 4,000 3,700 Books & Other Resources 333,000 301,600 Information Software 45,700 45,700 Information Hardware 25,000 10,000 Facilities: Materials 142,700 128,500 Hydro, Gas, Water, Voice Data 147,000 232,600 Rent 67,000 74,500 Contracted Services 56,200 67,000 Insurance 43,000 46,200 Other Materials 133,000 129,000 Transfer to Reserves 68,181 8,000 Transfer to Capital 50,000 50,000 Debt Charges 99,766 112,900 3,561,847 3,836,000 Nov.8*/05 craw ord smith swallow NIAGARA FALLS PUBLIC LIBRARY BOARD Financial Statements December 31, 2004 Table of Contents Page Auditors' Report 1 Statement of Financial Position 2 Statement of Financial Activities 3 Statement of Changes in Financial Position 4 Notes to Financial Statements 5-9 Schedule of Operating Fund Activities 10 Schedule of Capital Fund Activities 11 Schedule of Reserve Funds 12 Crawford, Smith and Swallow crawl'ord Chartered Accountants LLP 4741 Oueen Street Niaga;a Fails. Ontario sw lOw Telep~ne (905) 356-4200 Telecopier (905) 356-3410 ~f~es in: Niagara Fails, Ontario St. Catharines, Ontario Fort Erie, Ontario Niagara-on-the-Lake. Ontario AUDITORS' REPORT To the Board Members, Members of Council, Inhabitants and Ratepayers of The Corporation of the City of Niagara Falls, Ontario We have audited the statement of financial position of the Niagara Falls Public Library Board as at December 31, 2004 and the statements of financial activities and changes in financial position for the year then ended. These financial statements are the responsibility of the Board's management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with Canadian generally accepted auditing standards. Those standards require that we plan and perform an audit to obtain reasonable assurance whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. In our opinion, these financial statements present fairly, in all material respects, the financial position of the Board as at December 31, 2004 and the results of its operations and its cash flows for the year then ended in accordance with Canadian generally accepted accounting principles. Niagara Falls, Ontario April 15, 2005 CRAWFORD, SMITH AND SWALLOW CHARTERED ACCOUNTANTS LLP NIAGARA FALLS PUBLIC LIBRARY BOARD STATEMENT OF FINANCIAL POSITION December 31, 2004 2003 vlnanc~m ,~ssets Cash note 2 - r~!~ ~ ~!~ 541,767 ~vestments, at cost ~ 35,~ Due from City of Niag~a F~ls, Ont~io Liabilities Due to City of Niag~a F~ls, Ont~io 6,910 Post-employment benefits - note 3 ~:~: ~'~: 192,219 ~ng-te~ liabilities - note 4 ~ 612,687 811,816 Net Financial Liabilities (235,049) Physical Asse~ ~ventodes 19,620 Prep~d expenses 40,424 60,044 Net Liabilities (175,~5) Board Position Operating ~nd 122,068 Capit~ ~nd 43,960 Rese~e ~nds 463,873 629,901 ~ounts to be recovered See accompanying notes 2 em~oml smi~ ~ sw'Mlo~ NIAGARA FALLS PUBLIC LIBRARY BOARD STATEMENT OF FINANCIAL ACTIVITIES for the year ended December 31, 2004 2003 $ Revenues City of Niagara Falls, Ontario 2,594,862 Grants and allowances Province of Ontario 157,058 Federal 3,284 Other 7,700 Bank interest 16,618 Contributions from obligatory reserve funds 108,000 Donations 4,000 Library receipts 104,205 2,995,727 Expenditures Capital expenditures 427,261 Express and postage 2,294 Group insurance 153,804 Heat, light and water 86,942 Insurance 38,141 Interest 20,007 Library materials 425,449 Library promotion 17,723 Miscellaneous 11 323 Rent 62 251 Repairs, maintenance and rentals 61 334 Salaries 1,825 654 Stationery and supplies 45 376 Telephone 11 867 Travelling and convention 1 889 3,191,315 Net Expenditures (195,588) Add: New debt issued 245,000 Add: Post-employment benefits 18,374 Less: Long-term debt repayment Increase in amounts to be recovered 231,061 Change in Fund Balances 35,473 See accompanying notes 3 NIAGARA FALLS PUBLIC LIBRARY BOARD STATEMENT OF CHANGES IN FINANCIAL POSITION for the year ended December 31, 2004 2003 $ Operations Net expenditures Uses Increase in investments (35,000) Increase in inventories Decrease in due to City of Niagara Fails, Ontario (139,459) Sources Decrease in investments Decrease in inventories 841 Decrease in prepaid expenses 8,030 Increase in post-employment benefits 18,374 27,245 Net decrease in cash from operations (307,802) Financing Long-term debt issued 245,000 Long-term debt repayments Net increase in cash from financing 212,687 Decrease in Cash Position (95,115) Cash Position~ Beginning of Year 636,882 Cash Position, End of Year 541,767 See accompanying notes 4 crawt'ord smith ~ swallow NIAGARA FALLS PUBLIC LIBRARY BOARD NOTES TO FINANCIAL STATEMENTS for the year ended December 31, 2004 1. Significant Accounting Policies The financial statements of the Niagara Falls Public Library Board are the representations of management prepared in accordance with Canadian generally accepted accounting principles for local governments as recommended by the Public Sector Accounting Standards Board CPSAB") of the Canadian Institute of Chartered Accountants. Significant accounting policies adopted by the Board are as follows: Accrual accounting The accrual method of reporting revenue and expenditure has been used. Fund accounting All interfund assets and liabilities and sources of financing and expenditures have been eliminated. Interest Interest eamed on investments is credited directly to the related fund. Capital expenditures Capital expenditures are charged to current expenditures in the year incurred unless financed by long-term debt. Use of estimates The preparation of the financial statements in conformity with Canadian generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the dates of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates. 2. Cash  2003 $ Unrestricted 1,619 Restricted 540,148 ~ 541,767 5 craw/oM sm/th ~8~ swa//ow NIAGARA FALLS PUBLIC LIBRARY BOARD NOTES TO FINANCIAL STATEMENTS for the year ended December 31, 2004 3. Post-Employment Benefits Effective January 1, 2000, the Board adopted the Canadian Institute of Chartered Accountants new accounting standards for post-employment benefits. The Board recognizes these costs in the period in which the employees rendered the services. ~ .... ~' 2003 Accrued vacation pay 15,849 Post-employment benefits 176,370 192,219 Accrued Vacation Pay As at December 31, 2004, employees of the Board have accumulated vacation pay credits in the amount of $ 22,113 (2003 - $15,849). Any unused credits may be carried forward to future years. Post-Employment Benefits The Board pays certain medical and life insurance benefits on behalf of its retired employees. The accrued benefit obligation for post-employment benefits was determined by actuarial valuation using a discount rate of 6%. As a result of an actuarial valuation conducted in 2004 for the year ending December 31, 2004, it was determined that an actuarial gain of $ 91,821 existed. This gain is being, amortized over an expected average remaining service life of 12 years of the related employee group. The actual obligation as at December 31, 2004 is $94,212 (2003 - $176,370). 6 cramCord smith ~ NIAGARA FALLS PUBLIC LIBRARY BOARD NOTES TO FINANCIAL STATEMENTS for the year ended December 31, 2004 3. Post-Employment Benefits - continued Defined Benefit Plan Information 2003 $ Employee benefit plan assets Employee benefit plan liabilities 176,370 Employee benefit plan deficit 176,370 Unamortized actuarial gain Accrued benefit obligation, end of year 176,370 Accrued benefit obligation, beginning of year 158,516 Expense for the year 19,054 Amortization of actuarial gain Benefits paid during the year (1,200) Accrued benefit obligation, end of year 176,370 The main actuarial assumptions employed for the valuation are as follows: Salary Levels - Future general salary and wage levels were assumed to increase at 3.0% per annum. Hospital Costs - Hospital costs were assumed to increase at 4.0% per annum. 7 craw/orr smt'~ 6~ swa//tav NIAGARA FALLS PUBLIC LIBRARY BOARD NOTES TO FINANCIAL STATEMENTS for the year ended December 31, 2004 4. Long-Term Liabilities (a) The balance of net long-term liabilities reported on the "Statement of Financial Position" is as follows: 2003 Long-term liabilities incurred by the Board ;~?:~, 612,687 (b) Of the net long-term liabilities reported in (a) of this note, $ 362,906 in principal payments are payable from 2005 to 2009 and $ 325,796 from 2010 to 2014. (c) Total charges for the year for net long-term liabilities which are reported on the "Statement of Financial Activities" are as follows: 2003 Principal 32,313 Interest ~ ~,,~ 20,007 ~;~ '~' ~'~'' :~. 52,320 5. Contractual Obligation Under an operating lease agreement which expires in 2010, the Stamford Centre Branch is committed to make the following minimum future payments over the next five years: $ 2005 - 33,814 2006 - 41,769 2007 - 41,769 2008 - 41,796 2009 - 41,769 8 cr~wirord m-at'th (3~ sw-M/ow NIAGARA FALLS PUBLIC LIBRARY BOARD NOTES TO FINANCIAL STATEMENTS for the year ended December 31, 2004 6. Financial Instruments Cash Flow Risk The Board is reflecting cash balances which are maintained by the City of Niagara Falls and bear interest based on market rates. Accordingly, the Board is exposed to the effects of interest rate fluctuations. Fair Value The fair value of cash, investments and due to the City of Niagara Falls Corresponds to their carrying values due to their short-term maturity. Long-term debt is stated at face value. It is not practicable within the constraints of timeliness or cost to determine the fair value of this financial liability with sufficient reliability. 7. Pension Agreements The Board makes contributions to the Ontario Municipal Employees Retirement System (OMERS), which is a multi-employer plan, on behalf of its staff. The plan is a defined benefit plan which specifies the amount of the retirement benefit to be received by the employees based on the length of service and rates of pay. The amount contributed to OMERS for 2004 was $ 94,680 ($ 30,430 - 2003) for current services. 8. Economic Dependence The organization receives a significant portion of its revenues for operations from the following sources: City of Niagara Falls, Ontario Province of Ontario 9 NIAGARA FALLS PUBLIC LIBRARY BOARD SCHEDULE OF OPERATING FUND ACTIVITIES for the year ended December 31, 2004 Budget 2003 $ $ Revenues City of Niagara Falls, Ontario 2,761,937 2,594,862 Grants and allowances Province of Ontario 169,100 157,058 Federal 1,500 3,284 Other 12,200 7,700 Library receipts 109,000 104,205 3,053,737 2,867,109 Expenditures Express and postage 10,900 2,294 Group insurance 166,500 153,804 Heat, light and water 119,000 86,942 Insurance 42,000 38,141 Interest 29,710 20,007 Library materials 361,642 425,449 Library promotion 16,200 17,723 Miscellaneous 11,500 11,323 Rent 60,400 62,251 Repairs, maintenance and rentals 80,500 61,334 Salaries 1,966,400 1,825,654 Stationery and supplies 39,400 45,376 Telephone 14,000 11,867 Travelling and convention 3,700 1,889 2,921,852 2,764,054 Net Revenues 131,885 103,055 Financing and Transfers Long-term debt repayment (53,985) (32,313) Net change in post-employment benefits 18,374 Transfer from reserve funds 102,000 111,275 Transfer to capital fund Net transfers (131,885) (16,166) Change in Operating Fund 86,889 Operating Fund, Beginning of Year 122,068 35,179 Operating Fund, End of Year 122,068 122,068 See accompanying notes 10 craw/on/sm/th ~ swa//ow NIAGARA FALLS PUBLIC LIBRARY BOARD SCHEDULE OF CAPITAL FUND ACTIVITIES for the year ended December 31, 2004 Budget 2003 $ $ Revenues Contribution from obligatory reserve funds 108,000 Expenditures Capital expenditures 309,900 427,261 Net Expenditures (309,900) (319,261) Financing and Transfers Long-term debt issued 130,000 245,000 Transfers from operating fund 179,900 113,502 Net financing and transfers 309,900 358,502 Change in Capital Fund 39,241 Capital Fund~ Beginning of Year 43,960 4,719 Capital Fund, End of Year 43,960 43,960 See accompanying notes 11 cr~o~ sm/th ~ swa//ow NIAGARA FALLS PUBLIC LIBRARY BOARD SCHEDULE OF RESERVE FUNDS for the year ended December 31, 2004 Budget 2003 $ $ Revenues Bank interest 16,618 Donations 4,000 20,618 Expenditures Miscellaneous - Net Revenues 20,618 Transfers Transfers to operating fund Change in Reserve Funds (102,000) (90,657) Reserve Funds~ Beginning of Year 463,873 554,530 Reserve Funds, End of Year 361,873 463,873 Analyzed as Follows: Reserves funds set aside for specific purposes: Automation fund 174,383 Special project fund 239,272 Property maintenance fund 50,218 Total Reserve Funds 463,873 See accompanying notes 12 cramrord smith tT& swallow Corporate Services Department F-2005-52 The City of ~i~ Finance Division Kenneth E. Burden Niagara Falls 4310p.o. BoxQUeen1023Street Director Canada~ ~~~' Niagara Falls, ON L2E 6X5 -~ web site: www.city.niagarafalls.on.ca Tel: (905) 356-7521 Fax: (905) 356-2016 E-mail: kburden@city.niagarafalls.on.ca November 21, 2005 Alderman Wayne Campbell, Chair and Members of the Corporate Services Committee City of Niagara Falls, Ontario Members: Re: F-2005-52 - Major Receivables Quarterly Report RECOMMENDATION: For the information of the Corporate Services Committee. BACKGROUND: The following is the quarterly report of Tax and Sundry Receivables to September BOth, 2005. 1. Tax Receivables Current Taxes 2005 2004 Percentage Collected 78% 75% Levy to Date $141,522,777. $136,372,275. Penalties Charged $ 697,851. 665,779. Collections $110,360,667. $102,914,316. Balance $ 31,859,961. $ 34,123,738. Tax Arrears 2005 2004 Percentage Collected 62% 45% Opening Balance $16,815,838. $15,073,155. Penalties Charged $ 1,259.676. 1,571,868. Collection $10,460,897. $ 6,760,185. Balance $ 7,614,617. $ 9,884,838. Total Unpaid Taxes $ 39,474,578. $ 44,008,576. Working Together to Serve Our Community Clerk's · Finance · Human Resources · Information Systems · Legal · Planning & Development November 21, 2005 - 2 - F-2005-52 Collection of current taxes has improved slightly in comparison with last year's performance. The collection of tax arrears accounts has improved significantly. Staff continues to work diligently to collect all tax accounts. 2. Other Receivables Sundry Receivables 2005 2004 Accounts Receivables $ 2,461,102. $ 726,835. Finance staff follows a collection procedure to ensure that accounts are collected in a timely manner. All overdue accounts are charged penalty/interest of 1-1/4% per month. A receivable balance of $1.7 million outstanding as at September 30~, 2005, which has been subsequently paid, is the main reason for the significant increase from 2004. Prepared by: Approved by: Todd Harrison T. Ravenda Manager of Finance Executive Director of Corporate Service Recommended by: Respectfully submitted: Burden ~ John MacDonald K.E. Director of Finance Division ~t'~ Chief Administrative Officer la/H:\WPFILES\ConunitteeW-2005-52 - Major Receivables.wpd Corporate Services Department F-2005-53 The City of J l kf Finance Division Kenneth E. Burden Niogoro Foils lJ~'~ 4340p.o. BoxQUeen1023Street Director Conod.,~l~m~~ Niagara Falls, ON L2E 6×5 .,~~~ r web site: www.city.niagarafalls.on.ca Tel.: (905) 356-7521 Fax: (905) 356-2016 E-maih kburden@city.niagarafalls.on.ca November 21, 2005 Alderman Wayne Campbell, Chair and Members of the Corporate Services Committee City of Niagara Falls, Ontario Members: Re: F-2005-53 - Niagara District Airport Commission RECOMMENDATION: That the Corporate Services Committee affirms the 2005 approved grant amount of $85,600 for the Niagara District Airport Commission. BACKGROUND: City Council approved the 2005 municipal grant for the Niagara District Airport Commission in the amount of $85,600. City Council approved the $7,600 increase with the stipulation that the grant be contingent upon Council representation and that the other municipalities contributed the same increase. Upon review of the fourth quarter installment, Staff noticed that the amount payable would, in effect, exceed the budgeted grant to the Airport Commission. Staff determined that the per capita rate of $1.13 was being applied to the Government of Canada Census indices for Niagara Falls population and not the Ontario Municipal Directory indices. The difference, or excess, amounts to $3,460. Staff reviewed the matter with both St. Catharines and Niagara-on-the-Lake who also agreed that the wrong indices had been utilized by the Airport Commission. This same error also took place in a previous year (2001). Staff recommends that the City pay an amount equal to providing the approved grant for 2005. R~ Respectfullyc~l~/y~submitted: K. E. Burden /~'_/"Joh~ ~a~'Don~l~ Director of Finance { ~J! Chief Administrative Officer Approved by: T. ~ a~ve'nda Executive Director of Corporate Services Working Together to Serve Our Community Clerks · Finance · Human Resources · Information Systems · Legal · Planning & Development City Hall 4310 Queen Street Niagara Falls, On L2E 6X5 Attention: Dean Iorfida, City Clerk November 1, 2005 Re: Niagara Falls International Marathon Inc. Support from City for 2006 Event Dear Dean, This letter is our request to approach the City Council in a bid for financial support from the City, our 2006 Business Plan is to increase participation and economic impact to the area which will require a full time assistant and increased office facilities. As you are aware the event was held on October 23~. with total registrations being 3,728 in all events and an estimated total visitors to the City of 9250. I have attached an overview of the Marathon and all the activities related to it. If you should require any additional information or clarification on any point please do not hesitate to contact me. I would be pleased to provide this information upon your advisement. /Jim Ra / K ace Director Niagara Fallsv/ew Casino Resort International Marathon 5515 Stanley Ave., Niagara Falls Ontario, Canada, L2G 3X4 Tel: (905)356-9460 Fax: (905)356-5567 info@niagarafallsmarat hon. com www.niagarafallsmarathon.c om Featured events at this year's Niagara Fallsview Casino Resort International Marathon Media Conference: Thursday, October 20t~ - 11:00am N-'tagara Fallsview Casino Resort - Maple Room B Health and Fitness Expo: Friday, October 21't - 5:00pm - 9:00pm Saturday, October 22~d- 10:00am-6:00pm **New Location**' Niagara Fallsview Casino Resort · 15,000 runners and their families from almost 30 different countries are expected to attend this 60+ booth expo. · Fashion shows from official race apparel sponsor Brooks. · Cultural Showcase with music and dancing presentations from different cultural groups in the Niagara Region. · Guest speakers VIP Reception: Friday, October 21= - 7:00pm- 10:00pm Commissioners Quarters, Queen Victoria Park Place · Meet Elite athletes from all over the world, guest speakers and local dignitaries at this invite-only reception, sponsored by N'mgara Parks Commission, Pilliteri Estates Winely and Niagara Brewing Company. Pasta Party: Saturday, October 224 - 5:00pm Two Locations: Queen Victoria Park Restaurant and Brock PIa?a Hotel · Traditional pre-race "carbo loading" dinner with guest speakers and entertainment. Expected attendance: $00 International Breald'ast Run: Saturday, October 224- 8:30am Oakes Park · This free mn is designed for runners and their families and is led by John Stamon of Ronning Room and our own "Captain Canada." The course takes them from Oakes Park, (outside the Sheraton on the Falls Hotel) down to the Marathon finish line and back again. Everyone is then invited to Planet Hollywood for a free breakfast. Niagara Schools Marathon Challenge: Race Day · Hundreds of elementary school children have logged 40 kilometres of~mning in the first 6 weeks of school. At 10:00am on race day, they will mn the final 2.195 kilometres to the finish line and complete their first MarMon. Upon crossing the finish line, they will receive an official Finisher's Medal and T shirt. Sponsored by Niagara Parks Conamission. 5k Race: An out and back course that starts and finishes at the Marathon Finish Line. Starts at 9:30am, winner finishes at 9:45am Barf Marathon: Starts on Niagara Parkway at halfway point of the Full Marathon course. Starts at lO:OOam, winner finishes at 11:02am. Marathon: Starts at Albright Knox Art Gallery in Buffalo, New York. Starts at 10:00am, winner finishes at 12:15pm. IAI2VB, the world's largest association of convention and visitor bureaus (L;Vgs} rage ~ ox ,, I Search Ii~:,'E-~:,~.,.~ ExPact Direct Spending Calculator ~,bO ~t [.,L~,,;~ I ~, .~L~ ~r ~:D~T ~C~ ~'E JC'E l,f,l~ 7 i~ ~"~ _ ~ ,"=_ k:-~ Destination '¢ve~ Sites Direct Spending Calculator ~or ~ACV~ h4eet~ngs'P rofess~ons~ DeveioDment Ca~cu~ator Results - Executive Sum maw ~:, ~ =~ A ~ .... E~t Na~e Niagara Falls Interna~onal Marathon MiNT - Meetings Database Calculation Da~ 6/6~005 1,4eet~ ~ianne: Resources ~p C~e ~42~ Destinations Showcase MSA B~alo-Nia~ara Falls, NY l,/~ed~ Dente~ DM~ ~0~5 to ~0~3~005 PuNi::~t~ons & =r'3d~,cts ~'~-~''-~ ~epo~in~ Duration 3 Days Resource m~e'~':~,~. ~M~ 10,~0 [ACVB D~scuss~on~.~.~ ~ P~nt C~muting DeI~M~ 20.0 [ndustT L.r~Ks Exhibits 88 Edit Calculator Input B ND[ Projected Local Spending I Total Delegate Spending- $6,072,000 I Total E~ibitor Spending - ~911,000 ~ Total Organ~er Spending- ~518,000 http ://www.iacvb. org/iacvb/expact/cal culator/ExPact_Cal c. asp 61612005 IACVB, the world's largest association of convention and visitor bureaus (U VEts) t'age z.ot 4 Total Delegate Spending - $6,072,000 Delegate Spending · Lodging & Incidentals - $3,10§,000 · Food & Beverage - $1,611,000 [] Entertainment/Recreation- $147,000 I Retail- 8633,000 [--] Transportation- $571,000 I Other- $890 Lodging & Incidentals $3,109,000 51.2% Food & Beverage $1,611,000 26.5% Hotel Food & Beverage $520,000 Other Food & Beverage $1,092,000 Entertainment/Recreation $147,000 2.4% Tours & Sightseeing $104,000 Recreation $33,000 Sporting Events $10,000 Retail $633,000 10.4°/o Transportation $571,000 9.4% Local Transportation $213,000 Auto Rental $148,000 Gas, Tolls, Parking $209,000 Other $890 0.0% Delep_ ate Total $6,072,000 100.0% http://www.iacvb.org/iacvb/expact/calculator/ExPact_Calc.asp 6/6/2005 IAC. VB, the world's largest association of convention and v~s~tor t~ureaus ~t; v~s) rage Total Exhibitor Spending - $911,000 E~hibi~or Spending I StaITl_iving- $388,000 I Vendor Se~ces- $148,000 [] Food & Bevera~le- 6143,000 I Equipment Rental- $102,000 l-'-I Advertising in Event ¢~- $29,000 I Local Transportation - $13,000 I Services Hired- $21,000 I ~.dditionsI Meeting Rooms- $13,000 Il Other- $54,000 Staff Living $388,000 42.6% Vendor Services $148,000 16.3% Food & Beverage $143,000 15.7% Equipment Rental $102,000 11.2°/0 Advertising in Event City $29,000 3.2% Local Transportation $13,000 1.4% Services Hired $21,000 2.3% Additional Meeting Rooms $13,000 1.4% Other $54,000 5.9% Exhibitor Total $911,000 100.0% http://www.iacvb.org/iacvb/expact/calculator/ExPact_Calc.asp 6/6/2005 IACVB, the world's largest association of convention and ws~tor bureaus tU VBs) rage ,~ ~), -* Total Organizer Spending - $518,000 Organizer Spending I Food & Beverage - $139,000 [] Exhibition Space Fees - $121,000 ~.~ Services Hired- 811 3,000 [] Equipment Rental City- $54,000 [~ Staff Living Expenses- $34,000 [] Advertising in Event City- $9,100 [] Technology Services- $12,000 [] Additional Space- $6,400 [] Local Transportation- $3,800 [] Other- $26,000 Food & Beverage $139,000 26.9% Exhibition Space Fees $121,000 23.3% Services Hired $113,000 21.8% Equipment Rental $54,000 10.4% Staff Living Expenses $34,000 6.6% Advertising in Event City $9,100 1.8% Technology Services $12,000 2.3% Additional Space $6,400 1.2% Local Transportation $3,800 0.7% Other $26,000 5.0% Organizer Total $518,000 100.0% Presenlec by: {DIACV'g http://www.iacvb.org/iacvb/expact/calculator/ExPact_Calc.asp 6/6/2005