AGENDA
FINANCE AND AUDIT COMMITTEE MEETING

Wednesday, March 15, 2023 at 9:00 A.m. - 12:00 P.m.

SHAW AUDITORIUM, VANCOUVER ISLAND CONFERENCE CENTRE

80 COMMERCIAL STREET, NANAIMO, BC

SCHEDULED RECESS 10:30 A.M.

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1.

CALL THE MEETING TO ORDER:

[Note:  This meeting will be live streamed and video recorded for the public.]

2.

INTRODUCTION OF LATE ITEMS:

3.

ADOPTION OF AGENDA:

4.

ADOPTION OF MINUTES:

a.

Minutes

Minutes of the Finance and Audit Committee Meeting held in the Shaw Auditorium, Vancouver Island Conference Centre, 80 Commercial Street, Nanaimo, BC, on Wednesday, 2023-FEB-15 at 9:00 a.m.

5.

PRESENTATIONS:

6.

DELEGATIONS:

7.

REPORTS:

a.

CleanBC Better Homes Rebates Funding 2023

To be introduced by Dale Lindsay, General Manager, Development Services/Deputy CAO.

Purpose: To obtain Council approval to increase the number of City of Nanaimo top-up rebates as part of the CleanBC Better Homes Rebate Program in 2023 to reflect higher than anticipated community participation.

Recommendation: That the Finance and Audit Committee recommend that Council increase the budget for the CleanBC Better Homes Rebate Program project from $66,900 to $126,900 in 2023 funded from the Climate Action Reserve Fund.

b.

Brechin Dock Replacement - Project Cost Update

To be introduced by Richard Harding, General Manager, Parks, Recreation and Culture.

Purpose: To inform Council of the full cost of the Brechin Dock Replacement Project.

c.

Community Resiliency Investment Program (FireSmart Community Funding and Supports Program)

To be introduced by Tim Doyle, Fire Chief. 

Purpose: To provide Council with information on the UBCM Community Resiliency Investment Program (FireSmart Community Funding and Supports Program) and obtain a Council resolution supporting an application for FireSmart activities in the City of Nanaimo for 2023.

Recommendation: That the Finance and Audit Committee recommend:

1. Council endorse the City of Nanaimo’s application under the UBCM Community Resiliency Investment Program (FireSmart Community Funding and Supports Program), and;
2. Amend the 2023-2027 Financial Plan if the application is successful.

d.

Front-Line Engine Purchase for Station 2 - Fire Rescue Master Plan

To be introduced by Tim Doyle, Fire Chief.

Purpose: To advise Council that the budget for the purchase of a new front line Fire Engine to facilitate the addition of twenty new Firefighters at Station 2 in 2025 as part of the Fire Master Plan implementation has been increased by $341,318 from $1,224,300 to $1,565,618 (additional $141,050 in 2023 and $200,268 in 2024) for the 2023 – 2027 Final Financial Plan funded from the Strategic Infrastructure Reserve Fund.  

e.

Fire Station 2 Sprung Structure Project

To be introduced by Bill Sims, General Manager, Engineering and Public Works.

Purpose: To seek Committee approval to add a project to 2023 to complete design and permitting for the Fire Station 2 Sprung Structure to allow for construction in 2024.

Recommendation: That the Finance and Audit Committee recommend that Council add a project for $100,000 funded from the Special Initiatives Reserve to the 2023 – 2027 Final Financial Plan to complete design and permitting for the Fire Station 2 Sprung Structure project.

f.

Albert and Fourth Street & Utility Upgrade Project

To be introduced by Bill Sims, General Manager, Engineering and Public Works. 

Purpose: To seek Council direction to amend the budget for the Albert and Fourth Street & Utility Upgrade project from $3,763,701 to $4,314,494 in the 2023-2027 Financial Plan.

Recommendation: That the Finance and Audit Committee recommend that Council increase the budget for the Albert and Fourth Street & Utility Upgrade project in 2023 from $3,763,701 to $4,367,120 funded by $298,013 from the Water Asset Management Reserve Fund, $289,986 from the BC Active Transportation Grant and $15,420 from Water DCC contingency fund.  

g.

Departure Bay Road Water and Sewer Project

To be introduced by Bill Sims, General Manager, Engineering and Public Works.

Purpose: To seek Council direction to amend the budget for the Departure Bay Road Water and Sewer project in the 2023 – 2027 Financial Plan.

Recommendation: That the Finance and Audit Committee recommend that Council increase the budget for the Departure Bay Road Water and Sewer project in 2023 from $1,476,798 to $2,035,400 funded by $70,711 from the Water Asset Management Reserve Fund, $463,496 from the Sewer DCC Reserve Fund and $24,395 from the Sewer Asset Management Reserve Fund.

h.

2023 Property Tax Due Dates

To be introduced by Laura Mercer, Director, Finance. 

Purpose: To provide Council with options for the City of Nanaimo's 2023 property tax penalty rates and effective dates.

Recommendation: That the Finance and Audit Committee recommend that Council:

• Keep the property tax due date at 2023-JUL-04
• Set the first property tax penalty rate at 2%, due on 2023-JUL-04
• Set the second property tax penalty rate at 8%, due on 2023-AUG-31

i.

Growing Communities Fund

To be introduced by Laura Mercer, Director, Finance.

Purpose: To provide the Finance and Audit Committee with information pertaining to the Growing Communities Fund. 

j.

FCM Green Municipal Fund Community Buildings Retrofit Program

To be introduced by Laura Mercer, Director, Finance.

Purpose: To provide Council with information on the FCM Green Municipal Fund Community Buildings Retrofit program and obtain a Council resolution supporting an application for a Corporate Emission Reduction Pathway – Facilities Feasibility Study.

Recommendation: That the Finance and Audit Committee recommend:

1. Council direct staff to submit an application to the FCM Green Municipal Fund Community Buildings Retrofit program for a Corporate Emission Reduction Pathway – Facilities Feasibility Study;
2. That City of Nanaimo contribute $50,000 to undertake the Corporate Emission Reduction Pathway – Facilities Feasibility Study for which funding is requested from the Green Municipal Fund; and
3. That the City of Nanaimo acknowledges that should this application be approved, no further projects within the municipality will be eligible under the above noted funding initiative through the Green Municipal Fund’s Community Buildings Retrofit initiative.

k.

UBCM Disaster Risk Reduction Climate Adaption Fund

To be introduced by Laura Mercer, Director, Finance. 

Purpose: To provide Council with information on the UBCM Disaster Risk Reduction-Climate Adaptation Fund and obtain a Council resolution to support the application submitted for a Hazard Risk and Vulnerability Assessment and Risk Mapping project under this program stream.

Recommendation: That the Finance and Audit Committee recommend Council approves the submission of the joint application with Snuneymuxw First Nation to the UBCM Disaster Risk Reduction-Climate Adaptation Fund Category 1 stream for a Hazard Risk and Vulnerability Assessment and Risk Mapping project, and that Council commits to City staff providing overall grant management.

l.

2022 Budget Carryforwards

To be introduced by Laura Mercer, Director, Finance. 

Purpose: To provide the Finance and Audit Committee with a summary of the 2022 budgets carried forward to 2023.

m.

2022 Surplus Allocation

To be introduced by Laura Mercer, Director, Finance.

Purpose: To provide the Finance and Audit Committee with information pertaining to the allocation of the 2022 operating surplus.

Recommendation: That the Finance and Audit Committee recommend that Council approve the allocation of the 2022 operating surplus as follows:

1. General Fund
   a. RCMP Contract Reserve              $3,000,000
   b. Snow and Ice Control Reserve       $130,000
   c. Special Initiatives Reserve           $2,300,000
   d. Property Acquisition Reserve       $2,100,000
   e. General Capital Reserve              $1,014,855 
                                                              $8,544,855                                     
2. Sewer Fund
   a. Sewer Reserve                                 $224,302
3. Water Fund
   a. Water Reserve                                 $198,344

8.

OTHER BUSINESS:

9.

QUESTION PERIOD:

10.

ADJOURNMENT: