2020 Budget

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2020 Budget Community Consultation Public Meeting

When:    Monday, November 4, 2019 – 6:00 pm Regular Council Meeting
Where:   Council Chambers, Municipal Hall

Explore the 2020 Budget

2020 Budget Consultation

Consultation has now closed. Results will be presented to Council on Monday, November 25, 2019.

Introduction

Mission updates its five-year financial plan each year to ensure its finances are managed responsibly and to reflect the priorities identified by Council and the community.

Council is currently considering the 2020 – 2024 Financial Plan. It includes specific funding requirements for 2020, and projections for 2021-2024.

At a high level the financial plan is made up of:

General Operating Budget

The budget that funds day-to-day operations. Any increases to this budget are proposed to allow the municipality to continue to provide the same services, at the same levels, for the coming year.

Capital Budget

The budget for major capital projects. The capital budget also provides a component to fund transfers to reserves for future projects.

Utilities

The operating and capital budgets for water, sewer, drainage, and waste management. These components are funded through user-fees and levies, and are included on your municipal tax notice.

New Initiatives

These are new initiatives proposed by staff based on Council’s strategic plan, Master Plans, and through ongoing work to identify opportunities to improve operations and service to the community.

2019 Accomplishments - Highlights

During the year a number of major accomplishments have helped Move Mission Forward. These accomplishments and projects are highlighted below.

General Highlights

  • Established a six-year Traffic Safety Strategy, including an annual budget of $250,000 per year for capital projects
  • Received the BC Municipal Safety Association Award for ‘Improved Safety Record’, resulting in a reduction of WorkSafe premiums with an estimated savings of $55,000 per year
  • Established a Development Liaison Committee aimed at improving efficiency of Development Application and Building Permit review processes
  • The tax department streamlined their processes on the front-end, and achieved a 5-fold reduction in time for accounting staff to process payments in 2019, when faced with doubled deferment applications.
  • Completed the Downtown Revitalization project
  • Completed the Silverdale Master Infrastructure Study
  • Relocation of Engineering and Development Services departments to Downtown Mission, where the Welton Common Offices staff are able to provide improved and accessible service to the public
  • Significant progress developing the Mission Waterfront Revitalization Predevelopment Strategy
  • Opened 3 new campgrounds in Stave West
  • Forestry funded $1 million in revenues to support the construction of the new Seniors Centre and Affordable Seniors Housing
  • Developing Forestry and Outdoor Education in partnership with Riverside College and Stave Falls Elementary

Engineering & Public Works

  • By the end of 2019, the District will have purchased 11 new pieces of Fleet Equipment; including firetrucks, flusher truck, snow clearing equipment, and a roadside mower
  • Installed new roofing at Public Works’ work bays, and Fire Hall #1
  • By the end of 2019, the District will have added two more dual EV charging stations at Welton and 2nd Avenue, and one new dual EV charging station at the RCMP building with funding from carbon tax rebates provided by the Provincial government.
  • By the end of November, the District will have completed the Mission Landfill Stage 1 Phase C Closure at an approximate cost of $900,000 including construction management.
  • Engineering completed the purchase and delivery of approximately 11,000 blue bins to all homes in Mission receiving curbside recycling to replace blue bags as required by Recycle BC.
  • Completed the replacement of weigh scale at the Mission Landfill.
  • Completed Cycle 1 catch basin inspections and maintenance
  • Sanitary and storm manhole inspections and maintenance, inspected 1765 sanitary manholes and 1918 storm manholes
  • Storm outfall inspections and maintenance are completed every two years; inspected 250 storm main outfalls
  • Bi-annual fire hydrant inspections and maintenance, inspected 1073 Fire Hydrants in 2019
  • Valve inspections and maintenance; 2,100 valves inspected
  • Dead end water main flushing program, which included the flushing of 236 locations and improvement of water quality
  • Unidirectional Flushing of Zone 2; 32,179lm of water main flushed, improving water quality
  • In August, Public Works had the installation of a solar-powered mini Road Weather Station at Dewdney Trunk Road and Cardinal Street completed. This unit joins four other established Road Weather Information Stations (RWIS) the District has around Mission. During the months it operates, the camera images and data from all five RWIS stations around town are monitored 24 hours a day by Public Works staff as part of our routine winter maintenance activities.
  • 76,225 lineal meters of road marking lines were refreshed (yellow and white)
  • A UPS (Uninterruptable Power Supply) was added to the traffic signal equipment at Cedar Valley Connector and the Tim Horton’s Mall intersection. This is the third UPS in the District. UPS provides emergency power to connected equipment by supplying power from a separate source, allowing traffic signals to continue to function during power outages for up to four hours.
  • Upgrades to the London Avenue railway crossing including the replacement of a small section of the track at the crossing as well as repaving the crossing.
  • Completed the replacements of 10 cross culverts on Hayward Street north of Keystone avenue to the Ruskin Dam prior to the repaving of Hayward Street.
  • Completed the replacement and restoration of 606 meters of storm mains, 155 meters of sanitary mains, and 1,526 meters of water mains.
  • Flushed 96,606lm for sanitary system and 42,509lm of storm system through the annual Annual Sanitary and Storm Flushing program.
  • Inspected 18,000lm of sanitary main and 17,500lm of the storm system through the annual Sanitary and Storm CCTV Inspection program.
  • $28,635.60 for the annual Catch Basin cleaning and inspections, Cleaning and inspecting 974 annual catch basins.
  • $5,250 received for Private Fire Hydrant contract inspections and maintenance, servicing 42 private fire hydrants

 

The 2020 Budget

The budget currently being considered by Council is focused on maintaining services and supporting the needs of the community, while also moving mission forward with a number of new initiatives based on Council’s Strategic Plan, public input gathered through our annual Citizen Satisfaction Survey, and opportunities identified by staff.

General Operating Budget

Council is considering an increase of 3.38% or $1,125,565 to the general operating budget for 2020.

This is the increase required to maintain the same services, at the same levels of service, as provided in 2019, and represents a potential dollar impact of $68.44 to the taxes on the averaged assessed home in Mission.

There are a few major items that create the most significant impact on the general operating budget. They include:

RCMP Contract

A core increase of $408,560 to fund the anticipated increase in the RCMP contract for the 52 members and integrated teams. This budget was reduced by $100,000 in 2019 as many members who joined during the year were at the low end of the pay scale.  As this is no longer the case the budget has been revised. The budget for policing costs totals approximately $13.1 million, or 17% of the consolidated budget.

This core increase of $408,560 for 2020 represents a potential tax impact of 1.23% or $24.91 to the taxes on the average assessed home in Mission.

Contractual Obligations

The municipality has contractual obligations for 586 employees in the Canadian Union of Public Employees, the International Association of Fire Fighters, and independent contractors.

The increase required to fund these combined contractual obligations is $513,167. This represents a potential tax impact of 1.53%, or $30.99 to the taxes on the average assessed home in Mission.

Vehicle Operations & Replacement

There are six new fire apparatus and a road sweeper to be purchased or that are coming on-line in 2020. With new vehicles coming in at a higher cost due to the exchange rate and tariffs, as well as increased fuel, insurance and operating costs, there is a need to increase funding to this area or the fund for replacing vehicles will be exhausted by the time their useful operating lives has ended.

This increase is $108,217, representing a potential tax increase of 0.32% or $6.48 to the taxes for the average assessed home in Mission.

Consolidated Operating Funds

Council aims to find that balance between affordable taxes and user fees for its residents and the ability to provide services for a safe and healthy community. The 2020 operating budget of approximately $78.4 million, will see a number of increases to service levels while limiting the property tax and utility increases to a minimum.

Protective Services is the largest component of the operating budget at 23%.

  • Police Services at $13.1 million, or 17% of the consolidated budget,
  • Fire/Rescue Services at $4.7 million, or 6% of the consolidated budget.

Capital Projects

Over the next five years, the District’s Capital Plan has over $101 million worth of capital projects slated as it continues to invest in infrastructure such as transportation, facilities, water and sanitary sewer systems.

$34 million is scheduled for capital projects in 2020.  Condition assessments on infrastructure, as part of the asset management program, helps the District prioritize replacement capital projects within the long-term financial plan.

Capital projects for 2020 to 2024 include:

  • Leisure Centre roof replacements : $1.83 million
  • Other Leisure Centre repairs and equipment upgrades : $1.08 million
  • Information services equipment and software : $1.35 million
  • Park upgrades : $0.7 million
  • Paving and sidewalks : $12 million
  • Water Utility projects total : $34.3 million
  • Sewer Utility projects total : $31.6 million
  • Drainage Utility projects total : $2.9 million
  • Waste Management Utility projects total : $0.7 million
  • Equipment purchases : $4.9 million

New capital projects totalling $690,000 are being considered for 2020 and 2021 These address safety issues, legislative changes, failing equipment, and a transportation master plan.  Council is also considering approving utility capital projects of $515,000 from the Water Reserve Fund and $95,000 from the Sewer Reserve Fund.

Utilities

Utilities represent more than 27% of Mission’s ongoing operating expenses, or approximately $21 million in operating expenditures.

Operating and saving for future utilities and drainage infrastructure is funded through user fees and levies.

This means residents who do not receive water, sewer, or curbside waste collection do not fund these services or the reserves for future infrastructure.

Each year staff propose adjustments to the user fees to support the ongoing maintenance of infrastructure, services like curbside collection and the operation of the landfill, and to save for future infrastructure, and repair and replacement costs.

Drainage

Council is considering a proposed increase of 16.86% to drainage fees for 2020. The drainage utility program was established in 2016 and has faced challenges in maintaining operations while also saving for future replacements and upgrades. The drainage levy increase would allow for an increase of $250,000 to the transfer to the reserve for this utility over the next four years.

This increase represents an increase of $19.62 for the average homeowner, for a total annual cost of $135.97 per year, or $11.33 per month.

Water, Sewer & Solid Waste

Smaller increases are proposed for these utilities for 2020. These rate increases are proposed to maintain the long-term health of local and regional water and sewer utilities and to save for the future projects required as we grow.

The garbage and recycling fee changes are being considered to increase transfers to the reserves to save for future costs at the Mission Landfill, and to respond to increased costs for responding to litter, provide curbside collection, and operate the landfill. We have also experienced lower market prices for materials sold outside of the Recycle BC system, however the Recycle BC program for curbside collection has been stable and has helped reduce negative impacts on this budget.

The proposed increases to Water, Sewer, Garbage and Recycling/Compost include:

Utility Increase % Increase $* Total User Fees
Water 1% $4.80 $508.80
Sewer 5.4% $23.40 $458.40
Garbage 2% $3.30 $168.54
Recycling / Compost 2% $2.60 $132.68

*On an average assessed home of $747,930

The proposed increase for flat rate utility fees is $34.10.
The monthly costs to residences with these utility services equals $105.70.
Water metered rate will be increasing from $1.27 to $1.28 m3 and sewer metered rate will be increasing from $1.10 to $1.16 m3

New Initiatives

Safety & Security

This remains a top priority for Council, and again in the 2019 Citizen Satisfaction survey was expressed by citizens as a priority as well. Spending related to safety and security represents a major component of increased costs for 2020.

Fire/Rescue

The municipality must add four career firefighters to support 24 hour / 365 coverage. WorksafeBC requires that a minimum of four firefighters be on scene before entry into a hazardous environment can be initiated. This is not possible given current career Firefighter staffing and could create delays in performing rescue activities at either a structure fire or other hazardous event where an immediate rescue is required.

Council is considering adding these positions in 2020 with a net budget impact of $220,800, representing a potential tax impact of 0.66% or $13.37 to the taxes for the average assessed home in Mission.

Head Lifeguard

Council are considering a request to create a Head Lifeguard position at the Mission Leisure Centre. This position would increase public safety at the pool, address gaps in supervision, support staff training and improve swimming lesson delivery and management. Pool attendance continues to increase, as has swimming lesson registration, which is up 33% in the past 5 years.

This initiative has a net budget impact of $78,129, representing a potential tax impact of 0.23% or $4.66 to the taxes for the average assessed home in Mission.

Liveable Complete Community

Transportation

New spending on transportation safety and transit has already been approved by Council. This includes establishing the Traffic Safety Strategy with $250,00 in annual funding for the next six years to improve safety on and around Mission roadways.

With the new BC Transit facility coming online in 2020 Council has been able to invest in frequently-requested transit improvements for the community by expanding service in 2020. Changes include adding an additional 2,500 service hours to allow for evening, weekend and holiday service on the following routes:

  • 40 East Mission Night – This route will be discontinued and replaced by routes 33 Cedar Valley and 34 East Side on evenings, weekends and holidays.
  • 35 Hatzic – Service will be added on Sundays and stat holidays
  • 39 Shopper Shuttle – Service will be added on Sundays and stat holidays.

This spending was approved in the fall of 2019 and represents a total cost of $115,362, with a potential tax impact of 0.35% or $7.09 to the taxes for the average assessed home in Mission.

Bold Economic Development

This is also a strategic focus area in Council’s strategic plan, and directs staff to aggressively target new business and investment opportunities to provide employment for residents, encourage growth, and diversify the tax base.

The Economic Development Department is currently leading three new major projects focused on this strategic focus, including advancing the Mission Waterfront Revitalization predevelopment plan, working on industrial land expansion, and implementing the new Tourism strategy and operations.

Council is considering the request from the department to add additional administrative support in support of these initiatives and their ongoing operations.

This initiative represents a net budget impact of $102,805, with a potential tax impact of 0.31% or $6.28 to the taxes for the average assessed home in Mission.

Summary

The proposed net increase to the 2020 general operating budget of $1,660,237 represents a 4.99% increase in the District’s total budget. This means, if approved, the average value home will see an estimated increase of $101.06 for the municipal portion only on the property tax notice.

The average home in Mission paid $3,394 in property taxes in 2019, with $2,025 of that amount for municipal services with the remainder collected on behalf of other taxing authorities.

With the proposed 4.99% increase in the budget, the estimated 2020 property taxes for municipal services will be $2,126, representing a $101.06 increase for the average assessed home in Mission.

Combined with the proposed increases to the Drainage Levy and user fees for Utilities of $53.72, the total potential impact for the average assessed home in Mission is $154.78.

Mission ranks 5th lowest out of 22 neighbouring communities in terms of property taxes on an average assessed home.

 

2020 Budget Community Consultation Public Meeting

When:    Monday, November 4, 2019 – 6:00 pm Regular Council Meeting
Where:   Council Chambers, Municipal Hall

This meeting is an opportunity for the public to provide input and feedback on the District’s proposed 2020 budget.

2020 Budget Consultation

The formal consultation has now closed.

Meeting Schedule & Agendas

Below is a listing and a link to the agendas of the upcoming Freestanding Committee of the Whole (Corporate Admin & Finance – Budget) meetings where 2019 budget discussions will take place.  All budget meetings are webcast for everyone’s convenience.

September 18, 2019  – General Operating & Capital Agenda
October 9, 2019 – Utility Operating & Capital and General Fund Overview Agenda
October 23, 2019 – Optional meeting to discuss status of budget Agenda
October 29, 2019 – Follow up Meeting Agenda
November 4, 2019 – Community Budget Consultation meeting (Regular Council) Agenda
 November 25, 2019 – Final 2020 Budget Discussions  Agenda

Year-Round Budget Feedback

Council appreciates hearing from and/or receiving your input throughout the budget process and all year-round.

For any financial questions, please contact us at budget@mission.ca and we will get back to you.

If you have a comment or a suggestion, we’d love to hear from you. Simply fill out the comment box below.