Professional Documents
Culture Documents
Council Report
File No.: 1880-20
To:
From:
Date:
Subject:
RECOMMENDATION:
That Bylaw 2104, being a bylaw for the purpose of adopting the 2016-2020 Financial
Plan, be read a First, Second and Third time.
CAO Comments:
Approved for Council consideration. AC
Background:
The financial planning process commenced last summer and a draft financial plan for 20162020 was produced by September 30. Council held several subsequent budget meetings to
determine an appropriate plan to present to the public for review and comment. Council decided
on a draft plan for presentation at its meeting held January 26, 2016. This is the earliest Council
has ever completed the financial plan process.
A synopsis of the plan was published in the Times Review on February 3, 2016 and this, plus a
full version of the plan, has been available on the Citys website since January 29. At the date of
writing this report two submissions have been received from the public.
Options / discussion:
The current financial plan builds on this and previous Councils objectives of building reserves
and surpluses, safeguarding our infrastructure, maintaining services and reducing our reliance
on long term debt while at the same time achieving this with moderate tax increases. This plan
continues to fulfill those objectives and improves the Citys financial resiliency.
Consolidated operating expenses are forecast to remain relatively flat over the next 5 years
even though we are adding an additional RCMP officer to enhance protective services to the
community. The consolidated operating surplus is estimated to be about $1.5 million at the end
of 2016, rising to almost $3.5 million by the end of 2020. This provides additional funds for
capital projects without the need for long term borrowing. Although our capital reserves are
predicted to dip in the middle years of the plan they are forecast to recover fully by 2020 and to
move back higher to $3.5 million by the end of that year.
City of Revelstoke
Council Report
Although the City is taking on more long term borrowing during the term of the plan, a
substantial portion of this debt relates to Local Area Services (LAS) such as the Big Eddy Water
Works and Thomas Brook water and sewer where benefitting residents only will be responsible
for repaying the debt. In addition, the $1.9 million in borrowing for Big Eddy Water Works
leverages considerable senior government grants to provide a $5.7 million project to those
residents. Even with this additional borrowing the Citys long term debt is forecast to remain
relatively flat over the first four years of the plan at a little over $16.5 million until 2020 when the
arena roof project calls for $7 million in borrowing. However, this is a few years away yet and
Council still has to determine the best solution for this issue. The plan contains the estimated
cost of full roof replacement at this time which is the worst case scenario.
It is estimated that the City will spend more than $6 million over five years on repairing and
rehabilitating roads. None of this is to be funded through borrowing.
Property taxes are forecast to increase by about 1.72% overall in 2016. Residential property
owners will see a 2% increases while all other classes will see a 1% increase except Class 2
(Utility). For an average single family house assessed at $250,000 (in 2015) this will mean an
increase of about $24 a year. For a business of the same value the increase will be about $46 a
year. Water and sewer charges will also increase by $10 each or about 2.6% and 4.1%
respectively. Commercial rates will increase at similar percentages, but not until the middle of
2016. The sewer frontage tax will also increase by $0.10 per foot resulting in a minimum annual
increase per property (residential and business) of $5 and a maximum of $20. These increases
not only help to maintain our levels of service they also provide necessary funding for our
reserves and surpluses to fund future capital projects and reduce reliance on long term debt.
Option: Council could make further amendments to the plan.
Section 165 of the Community Charter.
Financial / Risk Implications:
As per attached financial plan.
Strategic Plan Reference:
As per attached financial plan.
Others Consulted:
Management Staff.
City of Revelstoke
Council Report
Attachments:
Bylaw 2104.
2016-2020 Financial Plan (January 26, 2016).
Submission from Ms. Eileen Fletcher1.
Submission from the Chamber of Commerce.
Respectfully submitted,
Graham Inglis
Director of Finance
The Financial Plan includes $50,000 for developing a Heritage Strategy in 2018
CITY OF REVELSTOKE
BYLAW NO 2104
____________________________________________________________________________________
A Bylaw for the Purpose of Adopting the Five Year Financial Plan 2016-2020
WHEREAS in accordance with the provisions of Section 165 of the Community Charter,
Council is required by bylaw to adopt the five year financial plan of the municipality on or
before the fifteenth day of May each year.
NOW THEREFORE, the Council of the City of Revelstoke in open meeting assembled enacts
as follows:
1.
Schedules "A", "B", "C" and "D" attached hereto and forming a part of this Bylaw, are
hereby adopted and present the five year financial plan of the City of Revelstoke for
period 2016 2020 inclusive.
2.
This Bylaw may be cited for all purposes as the Five Year Financial Plan 2016 2020
Bylaw No. 2104.
3.
This bylaw shall come into full force and effect upon its adoption by Council.
DAY OF
DAY OF
DAY OF
DAY OF
, 2016.
, 2016.
, 2016.
, 2016.
_________________________________
Director of Corporate Administration
_______________________________
Mayor
_________________________________
Schedule A
Consolidated Financial Plan
2016
Budget
2017
Budget
-13,637,945
-5,447,495
-936,800
-600,000
-1,623,000
-1,240,160
-190,222
-23,675,622
-14,514,845
-5,670,437
-904,100
-600,000
-1,623,000
-810,171
-206,408
-24,328,961
-15,384,860
-6,052,898
-904,100
-600,000
-1,023,000
-631,492
-219,872
-24,816,221
-15,717,260
-6,327,638
-904,400
-600,000
-1,023,000
-433,571
-259,932
-25,265,802
-16,084,208
-6,460,911
-904,400
-600,000
-1,023,000
-522,618
-259,932
-25,855,069
7,486,400
42,500
57,800
71,750
272,175
134,500
3,287,145
54,900
950,800
2,384,020
43,200
133,500
422,750
647,150
824,200
97,500
468,500
1,725,000
891,854
19,995,644
1,729,160
21,724,804
7,613,291
44,250
59,750
71,450
275,150
131,750
3,378,295
54,150
973,100
2,375,620
43,800
140,500
436,750
662,850
827,500
100,000
486,750
1,725,000
932,378
20,332,334
1,186,171
21,518,505
7,745,275
45,250
61,200
77,650
277,050
134,500
3,413,100
55,150
985,100
1,757,620
44,400
143,500
442,250
667,350
830,000
100,000
487,000
1,725,000
967,511
19,958,906
1,090,492
21,049,397
7,881,052
44,500
61,825
71,500
277,875
135,500
3,418,600
54,950
991,100
1,793,620
44,900
141,500
443,250
664,350
831,500
100,000
487,000
1,725,000
991,878
20,159,899
793,571
20,953,471
8,026,048
48,000
63,025
71,600
277,135
137,000
3,443,267
55,500
993,767
1,789,020
46,500
142,000
443,500
669,750
845,500
100,000
492,000
1,725,000
991,878
20,360,489
886,618
21,247,107
2,302,060
1,395,545
92,000
714,200
150,050
2,164,350
4,147,110
369,000
397,500
138,200
2,056,000
3,378,385
1,725,000
1,036,200
767,350
891,854
21,724,804
2,097,271
1,455,636
92,000
663,450
152,800
2,195,400
4,192,860
369,000
401,250
139,500
2,061,000
3,337,260
1,725,000
903,250
800,450
932,378
21,518,505
2,060,342
1,395,275
92,000
743,700
155,300
2,242,050
4,238,860
369,000
404,250
138,800
1,464,000
3,378,860
1,725,000
897,500
776,950
967,511
21,049,397
2,114,771
1,399,402
92,000
644,200
160,375
2,230,550
4,284,360
369,000
408,250
128,600
1,472,250
3,253,135
1,725,000
900,000
779,700
991,878
20,953,471
2,182,768
1,421,573
92,000
656,200
162,935
2,288,633
4,333,360
369,000
411,825
130,350
1,475,750
3,329,635
1,725,000
896,750
779,450
991,878
21,247,107
Operating (Surplus)/Deficit
-1,950,817
-2,810,456
-3,766,824
-4,312,331
-4,607,962
Capital expenditures
Contributions from reserves
Contributions from DCC's
Contributions from Grants
Debt proceeds
7,373,500
-2,760,200
-1,160,000
-1,549,967
-1,603,333
5,955,900
-2,752,600
0
-1,489,967
-633,333
8,266,100
-3,252,800
-400,000
-1,504,967
-1,433,333
7,847,100
-2,998,800
0
-2,626,300
-887,000
12,558,300
-1,885,000
0
-1,695,300
-7,833,000
300,000
1,080,000
1,675,000
1,335,000
1,145,000
620,824
-1,725,000
2,561,000
193,993
674,667
-1,725,000
2,865,000
-84,211
695,936
-1,725,000
3,305,000
-184,112
744,069
-1,725,000
3,330,000
628,261
744,069
-1,725,000
2,890,000
1,553,893
Revenues
Taxation (inc. PILTS, GILTS & 1% utility tax)
Sale of services
Other & own sources
Provincial unconditional transfers
Provincial conditional transfers
Non- TCA funding
Other contributions & donations
Total Revenues
2018
Budget
2019
Budget
2020
Budget
Schedule B
Consolidated Financial Plan
Capital
2017
2019
2020
Expenditures:
General Government
Fire
PEP
Planning
Animal Control
RCMP & Court House
Land
Public Works
Cemetery
CED
Recreation
Total
62,500
0 570,000 225,000
201,000 179,300 168,800 181,000
0
0
0
0
75,000
0
0
0
0
0
7,500
0
45,900
63,400
38,400
6,000
150,000 150,000 150,000 150,000
2,088,600 1,465,700 2,564,700 1,770,300
6,700
3,900
0
0
28,300
28,300
28,300
28,300
125,500 321,300
59,900 100,000
2,783,500 2,211,900 3,587,600 2,460,600
Sources of funding:
Revenue
Building reserve
Fire reserve
Equipment reserve
Land reserve
Cemetery reserve
RCMP reserve
Recreation reserve
Grants
Gas tax
DCC's
Debt
Total
2016
2017
2018
2019
2020
0
168,000
0
0
0
6,000
150,000
1,517,000
0
28,300
7,016,000
8,885,300
399,860 171,071
49,500
64,000
0
0
100,000
40,000
0
0
76,800
54,600
0
0
384,000 363,500
15,000
15,000
60,000
60,000
339,500 241,000
1,424,660 1,009,171
78,992
15,000
0
110,000
0
58,500
0
377,000
12,500
60,000
235,500
947,492
116,071
0
0
0
0
17,000
0
386,500
0
60,000
66,000
645,571
155,618
0
0
0
0
37,000
0
386,000
0
60,000
101,500
740,118
1,145,000
20,000
168,000
362,000
150,000
0
6,000
6,000
0
28,300
0
7,000,000
8,885,300
489,000 376,000
129,500
57,500
49,500
64,000
287,360 172,071
0
0
15,000
15,000
34,800
8,100
339,500 236,000
0
0
80,000
80,500
0
0
0
0
1,424,660 1,009,171
459,000
20,500
15,000
85,992
0
12,500
38,000
235,500
0
81,000
0
0
947,492
360,000
17,000
0
121,071
0
0
0
66,000
0
81,500
0
0
645,571
364,000
17,000
0
160,618
0
0
20,000
96,500
0
82,000
0
0
740,118
Expenditures:
Water
Sewer
Total
953,000
2,720,000
3,673,000
212,250
92,250
304,500
61,000
116,000
177,000
51,000
92,000
143,000
53,250
94,750
148,000
52,000
94,500
146,500
Sources of funding:
Water reserve
Grant
Gas tax
DCC's
Debt
Total
953,000
0
0
0
0
953,000
177,250
10,000
0
25,000
0
212,250
36,000
0
0
25,000
0
61,000
25,500
0
0
25,500
0
51,000
27,750
0
0
25,500
0
53,250
26,000
0
0
26,000
0
52,000
Sources of funding:
Sewer reserve
Grant
DCC
Debt
Total
220,000
1,667,000
0
833,000
2,720,000
67,250
0
25,000
0
92,250
91,000
0
25,000
0
116,000
66,500
0
25,500
0
92,000
69,250
0
25,500
0
94,750
68,500
0
26,000
0
94,500
793,571
886,618
2,760,200
1,549,967
1,603,333
1,160,000
300,000
7,373,500
301,071
81,500
0
51,000
360,000
793,571
388,618
82,000
0
52,000
364,000
886,618
2,752,600
1,489,967
633,333
0
1,080,000
5,955,900
3,252,800
1,504,967
1,433,333
400,000
1,675,000
8,266,100
2,998,800 1,885,000
2,626,300 1,695,300
887,000 7,833,000
0
0
1,335,000 1,145,000
7,847,100 12,558,300
CITY OF REVELSTOKE
Distribution of Property Taxes
Schedule C
Class
Residential
Utility
Supportive Housing
Major Industry
Light Industry
Business
Seasonal
Farm
Assessed value
1
2
3
4
5
6
8
9
965,018,180
8,748,900
2
9,023,500
5,445,600
247,786,030
2,456,100
220
1,238,478,532
2016
Tax Revenue % of Total
4,646,268
448,597
0
336,544
191,653
4,586,696
39,939
4
10,249,698
45.33%
4.38%
0.00%
3.28%
1.87%
44.75%
0.39%
0.00%
100.00%
Schedule D
1.
The objectives and polices of the municipality regarding revenues and taxation are as per City
Policy F-9 attached.
2.
The objectives and polices of the municipality regarding permissive tax exemptions are as per
City Policy F-13 attached.
CITY OF RE"\'ELSTOKE
..
POLICY MANUAL
F-13
Page 1 of3
Policy Title:
Grants in Aid
Purpose:
The Council of the City ofRevelstoke recognizes the value to the community oflocal
clubs, groups, non-profit organizations and charities maintaining a local office, especially
in their efforts to promote or meet the goals and objectives of the City in accordance with
the Official Community Plan (OCP).
The City may make grants available, subject to budgetary constraints, to assist these
organizations in accordance with the terms and conditions of this policy.
Funding shall not be available for out of town events, unless it can be demonstrated that the City
of Revelstoke will directly benefit from supporting such event
The city's intent is to provide assistance to those orgWlizations involved in special events lhal are
beyond the scope of their normal operating revenues. It is not the city's intent to subsidize normal
operating expenses through the grant-in-aid programme.
Policy:
GRANT-IN-AID CRITERIA:
I. A grant-in-aid may take the form of a properly tax exemption under the provisions of the
Conununity Charter, free or subsidjzed use of city facilities in kind benefits or cash.
2. The total amount of grants-in-aid shall not exceed the total amount budgeted for the year.
3. The maximum amount eligible far a grant-in-aid shall not exceed $2,000 in any given year.
4. The applicant must be able to demonstrate how the grant-in-aid will assist the applicant in
meeting the goals and objectives of the city.
5. The applicant must be able to demonstrate that the charitable event, JocaJ club, group or
nonprofit organization would suffer undue hardship or would be unable ta complete the project
or hold the event without City assistance.
CITY OF REVELSTOICE
POLICY MANUAL
F-13
Pa_ge 2 of3
6. Where funding is available to applicants from other govemmcnts or other agencies, the City
expects that applicants wiJJ have exhausted all otper sources before approaching the City for
assistance.
7. Where the application for a grant-in-aid involves the free or subsidized use of city facilities,
the grant shall only receive preliminary approval until after the event has taken place. The
applicant is required to then provide the city with a full accounting of said event to prove that
assistance is still required. Once such proof has been provided to the city the grant shall receive
final approval. If the accounting indicates that the event bas made a surplus without city
assistance then the preliminary approval shall be withdrawn.
8. Organizations that do not have a local office and are more regional in nature, shall not be
entitled to assistance under this policy unless it can be demonstrated that providing assistance to
such organization will ha"e a direct benefit to the city.
9. An individual may apply for nssistance under this policy if that individual is representing the
city at a regional, provincial, national or international sporting event. In such case, the assistance
shall be limited to a contribution towards travel expenses.
I 0. Preference will be given to organizations that have not received fi.inding from the City in the
past hvo years.
11. The cost/benefit factor to the City must be taken into consideration when reviewing
applications.
12. A grant-in-aid will not be awarded to any individual or organization intending to tum over
part or all of the grant to another organization.
METHOD OF APPLICATION:
1. Applications for grants-in-a.id shall be made in writing addressed to the Director of Finance
by February 28 of the calendar year in which tlle grant is required (July 31 of the preceding year
for property tax exemptions).
2. Late applications for grants-in-aid will be accepted until May 30, if funds are available.
3. The application shall be submitted on a standard fonn supplied by the city (see attached).
4. The application form must be completed in ful1 or it may be rejected.
5. The application must be accompanied by a copy of the applicant's most current financial
statements together wi1h a budget for the year to which the grant relates. Where the applicant
does not produce financial statements as a matter of course a budget indicating the need for the
grant will still be required.
6. All applications will be reviewed by the Grant-in-aid Committee after each applicable
deadline and a recommendation forwarded to Council for ratification.
7. The Grant-in-aid Committee and Council reserve the right to refuse, pay in full or prorate any
or all requests as they deem fit and their decision shall be final.
CITY OF REVELSTOKE
POLICY MANUAL
F-13
Page 3 of3
8. The Grant-in-aid Committee and/or Council may request additional information from au
applicant in order to be able to determine either eligibility for a grant or the amount, if any, to be
I
awarded.
9. All applications submitted after the applicable deadline (July 31 for property tax exemptions
in the following year or May 30 for grants-in-aid) shall not qualify for review until the fo!Iowing
year.
10. It is recognized that impromptu charitable events may mise during the course of a year and
after the official deadline. Requests for assistance will be received by the Grant-in-aid committee
and any grant approval will be subject to the availability of remaining budget funds.
!
1 l. Grants-in-aid involving a cash payment will be disbursed on or after July 2 in the year in
which they have been approved.
12. Funding not claimed within I year of the disbursal date referred to in clause 9 above shall be
forfeited and the funds shall be returned to the grant-in-aid programme.
Certified Correct:
~ f)_ -,
~~n_e_r_ _ _ _ _ _ _ _ __
Director of Corporate Administration
CITY OF REVELSTOKE
POLICY MANUAL
F-9
Page 1of2
Finance Department
Policy Title:
Revenue and Property Tax
REFERENCE:
Statement of principles
City Council is cognizant of the pressure on property taxes from maintaining service levels and
meeting the demands for additional or enhanced services. In order to mitigate the impact on
property taxes, the city will pursue non-property tax revenue sources whenever possible
especially where new services, programmes and projects are involved. The city will also ensure
that fees and charges are increased on a regular basis in line with inflation while at the same time
making sure that services remain affordable and competitive. Jn this way the proportion of
revenue generated by property taxation will be kept to a minimum.
The distribution of property taxes amongst the various classes will depend upon the rate of
growth in assessment value between said classes. City Council recognizes that residential tax
payers are the predominant users of city services and, therefore, should bear a larger portion of
the tax burden. However, the city recognizes that there is a significant challenge in setting a
taxation policy that equates the payment of taxes exactly with the consumption of services.
While this ultimate goal may not be possible, Council recognizes the need to have a fair
distribution of the tax burden to both enable the business sector to succeed while maintaining the
City as an affordable place to live.
Permissive tax exemptions may be granted by City Council in accordance with Sections 224 to
226 of the Community Charter. Policy 03 provides guidance on the circumstances under which a
pennissive tax exemption may be granted. The cost of permissive tax exemptions is borne by the
remaining tax payers. A permissive tax exemption will only be granted if it is evident that there
is a benefit to the community.
Objectives
The main sources of funding are:
1.
2.
3.
4.
5.
CITY OF REVELSTOKE
POLICY MANUAL
F-9
Page 2 of2
Historically, revenues from property value taxes have been in the 20% to 30% range of total city
funding depending on the levels of funding coming from other sources which themselves can
fluctuate. It is Council's objective to maintain this contribution from property tax revenues
within the historical range and to keep it to the lower end of the scale by pursuing alternative
sources of funding whenever possible.
Revenue from parcel taxes (or frontage tax) typically is less than 1% of total revenues. Where it
is equitable to do so, local service areas will be established to pay for extensions of infrastructure
into those areas so that existing tax and rate payers are not burdened with the additional cost.
Revenue from fees and charges represents income from user pay services. This will include
admission fees for various city recreational facilities and building permits, for example. The City
will regularly review its fees and charges for its services to ensure that they are adequate to cover
the costs of providing those services. In some circumstances, for example in the case of
recreational facilities, it is not possible to recover the full cost of operations through admission
and programme fees. However, the city will regularly review its fee schedule to ensure that it is
current in terms of inflation and competitiveness with other communities.
Revenue from other sources contains a broad range of funding sources which include grants from
higher governments, interest earnings and generally any other sources that do not fall within the
preceding categories. The percentage contribution from this source of revenue will fluctuate over
time and is dependent on the level of funding that is made available by higher governments. The
City will actively pursue funding from higher governments for all relevant projects in order to
mitigate the impact on taxpayers and some projects may not proceed if sufficient third part
funding is not secured.
The proceeds from borrowing will also fluctuate on a year by year basis. It is project specific and
therefore it is not possible to establish an ideal level of funding :from this source. However, the
city aims to not exceed 75% ofits total borrowing capacity.
The proportion of the property tax burden borne by the residential sector has been less than 50%.
It is City Council's intention that this proportionate share increase to at least 50%. This may
occur as the result of a natural growth in assessment value or by shifting the burden from the
non-residential sector through applying different tax increases to the various classes, or through a
combination of both methods, over time.
CERTIFIED CORRECT:
F
Finaanciial
P
Plan
n
Cityy of
Revvelstokee
January26,20
016
Table of Contents
TableofContents....................................................................................................................................................i
ListofFigures..........................................................................................................................................................ii
ListofTables...........................................................................................................................................................ii
TheFinancialPlanataGlance...............................................................................................................................iii
FinancialPlanHighlights........................................................................................................................................iv
EstimatedCashFlow...............................................................................................................................................v
VisionStatement....................................................................................................................................................v
MissionStatement.................................................................................................................................................vi
OfficialCommunityPlanExtract...........................................................................................................................vii
2016CouncilObjectives........................................................................................................................................ix
Introduction...........................................................................................................................................................1
MeetingCouncilObjectives...................................................................................................................................1
ConsolidatedResults.............................................................................................................................................1
MajorAssumptions................................................................................................................................................1
ConsolidatedRevenues.........................................................................................................................................2
ConsolidatedOperatingExpenses.........................................................................................................................2
ConsolidatedCapitalExpenditures........................................................................................................................3
OpportunitiesforCostReduction.........................................................................................................................5
LongTermDebt.....................................................................................................................................................6
CapitalReserves....................................................................................................................................................7
PropertyTaxes.......................................................................................................................................................8
UtilityRates.........................................................................................................................................................10
EconomicOutlook...............................................................................................................................................10
RiskstothePlan..................................................................................................................................................10
Conclusion...........................................................................................................................................................11
List of Figures
Figure1Consolidatedrevenue...............................................................................................................................2
Figure2Consolidatedoperatingexpenses............................................................................................................3
Figure3Longtermdebt.........................................................................................................................................6
Figure4Reserves....................................................................................................................................................7
Figure5TotalReserveFundingandexpenditure...................................................................................................7
Figure6Shareofpropertytaxbyclass..................................................................................................................8
Figure7Class4taxes..............................................................................................................................................9
Figure8Taxincreaseslast3years.......................................................................................................................9
Figure9Newconstruction...................................................................................................................................10
List of Tables
Table1ConsolidatedResults..................................................................................................................................1
Table2Netconsolidatedsurplus...........................................................................................................................1
Table3Accumulatedsurpluses..............................................................................................................................1
Table4Revenuegrowth.........................................................................................................................................2
Table5Maincostdrivers.......................................................................................................................................3
Table6Capitalexpenditures..................................................................................................................................4
Table7Capitalfunding...........................................................................................................................................4
Table8ListofCapitalProjects................................................................................................................................4
Table9Snowremovalcosts....................................................................................................................................6
Table10Debttoassetratio....................................................................................................................................7
Table11Reservetargets.........................................................................................................................................8
Table12Propertytaxincreases.............................................................................................................................8
Table13Propertytaxincreasesbyclass................................................................................................................8
Table14Taxesonexamplehouses........................................................................................................................9
Table15Taxesonexamplebusinesses..................................................................................................................9
Table16Utilityrateincreases..............................................................................................................................10
Table17Residentialutilityrates..........................................................................................................................10
Table18ConsolidatedFinancialPlan...................................................................................................................12
Table19ConsolidatedCapitalPlan......................................................................................................................13
Table20Generaloperatingfinancialplan............................................................................................................14
Table21Wateroperatingplan.............................................................................................................................15
Table22Seweroperatingplan.............................................................................................................................16
Table23Generaloperatingcontractedservices..................................................................................................17
Table24Generaloperatingmiscellaneousexpenses..........................................................................................18
ii
Millions
ConsolidatedRevenues
25
20
30
15
25
10
20
5
15
10
2016
2017
2018
2019
2020
2019
2020
2019
2020
5
0
2017
2018
2019
2020
LongTermDebt
Millions
2016
Millions
ConsolidatedCapitalExpenses
14
25
20
15
12
10
10
6
4
0
2016
2017
2018
0
2016
2017
2018
2019
2020
CapitalReserves
Millions
Millions
ConsolidatedOperatingSurplus
4.00
4.0
3.5
3.50
3.0
3.00
2.5
2.50
2.0
2.00
1.5
1.50
1.0
1.00
0.5
0.50
0.0
2016
0.00
2016
2017
2018
2019
2020
2017
2018
AveragePropertyTaxIncrease
UtilityRateIncreases
6.00%
25.00%
5.00%
4.00%
20.00%
3.00%
15.00%
2.00%
Water
Sewer
10.00%
Garbage
1.00%
5.00%
0.00%
2016
2017
2018
2019
2020
0.00%
2016
iii
2017
2018
2019
2020
1. Noproposedchangestoservicelevelsotherthantheadditionofonepoliceofficer.
2. 2%propertytaxincreaseproposedforresidentialand1%forallotherclasses(exceptClass2)in2016.
3. Capitalprojectsoverthenext5yearsamounttoabout$42million.
4. Longtermdebtincreasestoabout$23millionattheendof2020.
5. Waterprojectsincludethereplacementofwaterfiltersatthefiltrationplant($615,000)in2019andthe
constructionofawatersupplytoThomasBrookresidents($670,000)in2016.Thislatterprojectistobe
fundedbylongtermborrowingandpaidforunderaLocalAreaService(LAS)bytheThomasBrook
users.
6. TheBigEddyWaterworksprojecthasbeenincludedat$5.7million(20162018).Twothirdsofthe
fundingwillcomefromgrantswhilethebalancewillbepaidforbytheBigEddywaterusers.
7. ThomasBrooksewerconnectionisincludedat$340,000in2016.Again,thiswillbefundedbythelocal
usersthroughanLAS.
8. Areplacementarenaroofisincludedintheplanat$7million(2020)tobefundedbylongterm
borrowing.ThereareseveraloptionsavailabletoCouncilregardingthearenaroofprovidingless
expensivealternativesbutwithvaryingdegreesoflifespan.Thefinancialplancontainsthemost
expensiveandlongestlifeexpectancyoptionatthemoment.
iv
2016
2017
6,436,033 6,361,125
9,499,698
4,888,248
6,291,295
2,223,000
1,603,333
2018
2019
2020
6,070,001 5,790,828 6,800,597
7,486,400
42,500
57,800
71,750
272,175
134,500
3,287,145
54,900
950,800
2,384,020
43,200
133,500
422,750
647,150
824,200
97,500
468,500
891,854
1,729,160
19,999,804
Increaseoverpreviousyear
0.32%
7,613,291 7,745,275
44,250
45,250
59,750
61,200
71,450
77,650
275,150
277,050
131,750
134,500
3,378,295 3,413,100
54,150
55,150
973,100
985,100
2,375,620 1,757,620
43,800
44,400
140,500
143,500
436,750
442,250
662,850
667,350
827,500
830,000
100,000
100,000
486,750
487,000
932,378
967,511
1,186,171 1,090,492
19,793,505 19,324,397
1.03%
2.37%
7,881,052
44,500
61,825
71,500
277,875
135,500
3,418,600
54,950
991,100
1,793,620
44,900
141,500
443,250
664,350
831,500
100,000
487,000
991,878
793,571
19,228,471
8,026,048
48,000
63,025
71,600
277,135
137,000
3,443,267
55,500
993,767
1,789,020
46,500
142,000
443,500
669,750
845,500
100,000
492,000
991,878
886,618
19,522,107
0.50%
1.53%
Capitalexpenditures
Debtprincipalrepayment
D
E
7,373,500 5,955,900
620,824
674,667
Fundsavailableattheendoftheyear
Thisestimatedcashflowstatementhasbeenincorporatedintothefinancialplandocumenttoprovideadditionalclarity.It
doesnotmeettheregulatoryrequirementsofPSABortheprovinceforfinancialplanpresentation.PleaserefertoTable18
fortheactualconsolidatedfinancialplan.
Vision Statement
Revelstokewillbealeaderinachievingasustainablecommunitybybalancingenvironmental,socialand
economicvalueswithinalocal,regionalandglobalcontext.Buildingonitsrichheritageandnaturalbeauty,this
historicmountaincommunitywillpursuequalityandexcellence.
Revelstokewillbeseenasvibrant,healthy,clean,hospitable,resilientandforwardthinking.Itwillbe
committedtoexercisingitsrightswithrespecttodecisionsaffectingtheNorthColumbiaMountainRegion.
Communityprioritiesinclude:opportunitiesforyouth;economicgrowthandstability;environmental
citizenship;personalsafetyandsecurity;aresponsibleandcaringsocialsupportsystem;afirstclasseducation
system;localaccesstolifelonglearning;spiritualandculturalvalues;anddiverseformsofrecreation.All
residentsandvisitorsshallhaveaccesstotheopportunitiesaffordedbythiscommunity.
Mission Statement
Ourmissionistoprovideoptimumqualityservicesandsecuritytoourcommunityandourvisitors,inafiscally
responsiblemanner.
Wewillendeavortoprovidecooperative,wellinformedandinnovativeleadershipinordertosustainour
uniquelysuperiorqualityoflife.
WearecommittedtofosteringastrongsenseofcommunityinRevelstoke,andwewillberesponsiveand
adaptivetochangingsocial,politicalandeconomicalconditions.
vi
Background
TherapidgrowthofthecommunitywiththeRMRdevelopment createschallengesfor
balancingCityrevenues,costsandinvestments.
Cityoperatingrevenuesaresourcedfrompropertytaxes,andfeesforvariousservices,thegrantin
lieuoftaxesfromBCHydrofortheRevelstokedam,costsharingarrangements forparticularservices
withtheColumbaShuswapRegionalDistrict(e.g.fireprotection)andprovincialtransfers.Othercost
sharingarrangements withtheColumbiaShuswapRegionalDistrictincludeormayincludethe
airport,cemetery,orparksandrecreation.
Projectedoperatingcostscurrentlyexceedtheserevenues,promptingtheneedforcareful
consideration ofservicelevelstoavoidunacceptable taxincreases.
Substantialcapitalinvestmentsarenecessaryforroads,buildings,equipment,water,andsewer
enhancements tomeettheneedsofthegrowingcommunity.Theseinvestmentsarefundedthrough
generalrevenues,reserves,borrowing,development costcharges,grants,and,fortourism
infrastructure, resortmunicipality hoteltaxrevenues.Whiledevelopment costchargesaredesigned
tofundinfrastructurefornewdevelopment overthelongterm,intheshorttermtheCitymayhave
tofinancecommunityinfrastructureimprovements, oftenwithoutcertaintyaboutwhen
developments, anddevelopment costchargeswillberealized.
TheCitypreparesafiveyearfinancialplanwhichisupdatedannually.Therecentglobaleconomic
recessionhassloweddevelopmentplansinthecommunity.Thishasfurtherexacerbatedthe
challengeofmanagingmunicipalfinancestoanticipatetheneedsoffuturegrowthwhenthetiming
ofsuchgrowthisuncertain.
CommunityGoals
Appropriately balancerevenuelimitationswithexpendituresandinvestmentstomeet
communityneedsoverthelongterm.
Maintaineffectivemanagement,efficienciesandaccountability oftheCitysfiscalbudgetsand
operations.
Policies
Includelifecycleanalysisofmajormunicipalcapitalpurchasesrecognizingthatmaintenance
andoperationsareasignificantcomponentofmunicipalexpenditures.
Identifyandplanfortheefficientallocationoftraditionalandnontraditionalfunding
sources.
vii
Continuetopursueseniorgovernmentfundingopportunities(i.e.additionalHotelTax,
GasTax,andinfrastructure orothergrantfunding).
ManageandacquireCityownedlandsconsistentwithaLandAcquisitionStrategy.
Developpartnershipsandshareresourcesandfundingwithprivate,publicandnon
profitorganizations, cooperatively pursuingresourcesandfunding.
DevelopacostrecoveryanalysisandfeestructureforallCityfeeforservicefunctions.
Considerdevelopment taxincentivesandfeesthatpromotecommunityamenities
suchasaffordablehousing,aginginplace,parksandrecreation,greenspaceand
publicsafety.
WorkwiththeProvincialassessmentauthorityandothermunicipalpartnersto
balancepropertytaxationandachieveamoreequitabletaxationsystem.
DevelopariskevaluationinconjunctionwiththeCity'sinsuranceprovider.
Assessandevaluateunfundedmandatesfromseniorlevelsofgovernment.
Exploretaxincrementfinancingordeferredtaxationfundingthatenhancesheritage
properties,andeconomicdevelopment.
EnsureCityfinancialpoliciesandpracticesareconsistentwiththeOfficialCommunity
Plan.
Appreciatetheimportanceofvolunteerisminfulfillingcommunityprioritiesand
supplementing Cityresources.
viii
1. Quality of life
TheCityofRevelstokewillemphasizequalityoflifeissuesincludingsocial,activeliving,culturalexperiencesand
recreationopportunities.
Moveforwardwithplannedrecreation/activelivingandculturalprojects.
i.e.:culturestrategy,trailsplan,Kovachupgrade,pumptrack,WilliamsonLakeTrails
Moveforwardwithyouthandseniorsqualityoflifeissues,followingstrategiespreviouslydeveloped
throughplansandsubjecttobudgetpriorities.
Improveandmaintainsocial,economic,foodandinstitutional(police,fire,ambulance)securityforall
residents.
TheCityofRevelstokewillensurethatCityservicesencourageandsupportcommunityvisiontowards
developmentforthefuture.
OCP&ZoningReviewwilllookforopportunitiestoincreaseresidentialdensities,whereverpossible,
factorstoconsiderincludeinfrastructure,livability,affordabilityandmobility.
LandInventorytobecriticallyassessedastocurrentlandholdingsandanyacquisitionopportunities
toachievecommunitygoalsandvision.
Externalrelationshipswillbefosteredonmutualgoalsandrespectandwillcreateanenvironment
ofacohesiveproblemsolvingopportunityenhancingpartnerships.
Bylawenforcementisbuiltonasystemthatisfairandconsistent,easilyunderstoodandreasonably
enforced.
3. Safeguard Infrastructure
TheCityofRevelstokewillprotectthecontinuanceofhealthyinfrastructureforcurrentandfuturegenerations.
Implementingstrategyfortheforumroof,golfcourse,MutasRoadandTownleyRoadintersections
andBigEddyWaterSystem,subjecttobudgetpriorities.
CompletinglongrangeplanningdocumentsforZoningBylawandOfficialCommunityPlaninhouse.
CompleteaDevelopmentCostChargesreviewandbylaw.
PursueadditionalHeritageprotectionopportunities.
ix
FinishfirststageofupgradestoCityHall
ImplementationofAssetManagementPlan
Overa4yearperiod,bringthetaxratioforcommercialtoresidentialcloserto2:1
Streamlineadministrativeprocessestobetterassistbusinessesanddevelopersinadvancingtheir
projects.
investigateanddeveloprevitalizationtaxexemptions
PromoteandfacilitatetourismdriversbyimprovingrelationshipswithusergroupsandRevelstoke
MountainResort
EncouragetheprotectionandpromotionofRevelstoke'sheritageasitrelatestoeconomic
development
EnhancementProjects
LooktoplacingattractivechangeablesignageontheTCHattheeastandwestapproachestothe
City,whichwouldpromotelocalRevelstokeevents
LooktomakingfreeWiFiavailableinthedowntowncore
Continuewithdowntowncommercialenhancementinitiatives
PromotefurtherhoteldevelopmentinRevelstoke
ContinuediscussionswithfederalandprovincialpartnerswithrespecttoimprovingtheRevelstoke
interchangeswithTCH
ContinuediscussionswiththeSchoolBoardregardingdevelopmentplansofthelocalschool
properties
InvestigatethepossibilityofhavingtheRockyMountaineeruseRevelstokeasanovernightstop
Introduction
ThesurplusshowninTable1aboveisthe
consolidatedoperatingsurplusbefore
accountingforcapitaloutofrevenue,debt
principalrepayments,transfersfromequityin
capitalassets(tocoveramortization)and
transferstoreserves.Afteraccountingforthese
itemsthenetsurplus/deficitbecomes:
Thefinancialplanstartswithaconsolidated
summary(Table18page12)withfollowing
subsidiaryscheduleswhichprovidefurther,
progressivedetailsupportingtheconsolidated
plan.
Theconsolidatedfinancialplanshowsthe
operatingexpensesforalldepartments,
includingwaterandsewer.Italsoshowsallthe
operatingexpensesbytype.Thisprovidesthe
readerwithnotonlyanindicationofthe
proposedexpendituresperdepartmentbutalso
howthoseexpendituresareallocatedbetween
thevariouscosttypes.
$millions
Net
surplus/
deficit
Accumulated
surplus
$millions
General
Water
Sewer
Total
Councilhassetanumberofobjectivesfor2016,
someofwhichwillhaveadirectimpactonthe
financialplan.Themostnotableoftheseare:
2020
25.86
Expenses
21.25
3.77
4.31
2017
0.97
0.45
0.01
1.43
2018
0.76
0.46
0.02
1.24
2019
1.56
0.20
0.12
1.87
2020
3.05
0.26
0.12
3.42
Servicelevelswillremainconsistent
withlastyearotherthantheadditionof
onepoliceofficer.
CPIwillcontinuegenerallyinthe2%
range2.
CPIisnotthebestindicatoroffuturecostincreases
formunicipalitiesbecauseitisnotrepresentativeof
thetypesofgoodsandservicesnormallypurchased
bylocalgovernments.Sincemunicipalitiescostsare
morelikelytoinvolveconstruction,road
maintenanceetc.thesecostsaremorealignedwith
thepriceofoilandtheconstructioncostindex
(ENR).TheCityofSt.Albert,AB,hasforecastthatits
MunicipalPriceIndex(MPI)for2013willbe3.5%
andinthelast3yearsithasbeenbetween3.1%and
3.7%.
4.61
Table1ConsolidatedResults
2016
0.95
0.39
0.17
1.51
2.81
3.42
Theconsolidatedresultsarebasedonthe
followingassumptions:
Forthe20162020periodtheprojected
consolidatedresultsareasfollows:
1.95
1.87
Major Assumptions
Consolidated Results
Surplus
1.24
Table3Accumulatedsurpluses
TheinclusionoftheBigEddywater
systemupgradeat$5.7millionin2016
2018withtwothirdsfundingfrom
seniorgovernments.
OCPandzoningbylawupdates.
OngoingimplementationofAsset
Managementprogram.
Additionofonepoliceofficer.
1.43
2020
1.55
Theaccumulatedconsolidatedsurpluscanbe
attributedtoeachofthethreeoperatingareas
asfollows:
1.51
Table2Netconsolidatedsurplus
Readersshouldnotethatsomecolumnsmay
notaddduetorounding.
2016
0.19
Propertytaxeswillincreaseatan
averageof1.72%in2016.3
Propertytaxgrowthfromnew
constructionwillaverage3%ayear
commencing20174.
Feesandchargesrateswillincrease
approximatelyinlinewithCPI.
Utilityrateswillincreasegenerallyata
higherratethanCPItomeet
operationalandcapitalrequirements.
2016ConsolidatedRevenue
Taxation(inc.PILTS,GILTS&1%
utilitytax)
5%
2%
Ownsources
4%
Unconditionaltransfers
Conditionaltransfers
23%
58%
NonTCAfunding
Other
Consolidated Revenues
Thetotalconsolidatedrevenuein2016is
expectedtoincreasebyabout2.0%over2015
(includingnonTCAfunding).IfnonTCA
funding5isexcludedfromthecalculationthe
increasebecomes6.7%Whenhoteltax,internal
equipmentearningsandCBTfunding6are
removedtheincreasebecomes5.2%.
Figure1Consolidatedrevenue
Revenuegrowthisattributabletothemain
categoriesasfollows:
$
2015
2016
Taxation&
grants
12,921,704 13,637,945
Services
5,305,953 5,447,495
Ownsources7
895,800
936,800
Unconditional
transfers
600,000
600,000
Conditional
transfers
1,121,500 1,623,000
NonTCA
2,192,400 1,240,160
Other
184,782
190,222
Total
23,222,139 23,675,622
(www.stalberttaxpayers.org/index.org/index_htm_fil
es/03_AR_MPI.pdf)
3
InaccordancewithBill55theClass2(Utilityrate)is
setat2.77timestheClass6(Business)rate.
Therefore,thepropertytaxincreaseforClass2may
notequaltheaverage.
4
Growthisestimatedat14.57%in2016duemostly
tothetransferbyBCAAofasubstantialassessment
valuefromClass1toClass6.
5
In2015,MFAchangeditsprocessforfinancing
leases.LeasepaymentsarenowtreatedasTCAs.
6
CBTfundingof$351,500peryearisnowincluded
asbothCEDrevenueandexpendituretobe
consistentwiththepresentationofsimilarfunding
sources.
%Inc.
5.5%
2.7%
4.6%
0.0%
44.7%
43.4%
2.9%
2.0%
6.7%
Table4Revenuegrowth
Consolidated Operating Expenses
Totalconsolidatedoperatingexpensesin2016
areexpectedtodecreasebyabout0.5%over
2015(includingnonTCAexpenditures).Ifnon
TCAexpendituresareexcludedfromthe
calculationthentheincreasebecomes4.2%.
Licences/permitfees,fines,rentalrevenue,return
oninvestments,penaltiesandinterest,saleoffixed
assets.
Services
1%
7%
2016ConsolidatedExpenses
Employme nt
$
2015
2016
Employment
7,291,400 7,486,400
Contracted
services
3,108,050 3,287,145
Miscellaneous 1,860,820 2,384,020
Other
4,182,925 4,221,225
operating8
Amortization
1,725,000 1,725,000
Interest
1,029,098
891,854
NonTCA
2,636,965 1,729,160
Total
21,834,258 21,724,804
8%
%Inc.
2.7%
4%
Contractedservices
8%
35%
5.8%
28.1%
Miscellaneous
Otheroperating
Amortization
19%
0.9%
0.0%
13.3%
34.4%
0.5%
Inte rest
11%
15%
NonTCA's
4.2%
Figure2Consolidatedoperatingexpenses
Table5Maincostdrivers
Generaloperatingexpensesonlyareforecastto
increaseby0.51%in2016and1.87%by2020.
ExcludingnonTCAsthesenumbersbecome
increasesof4.83%and6.25%respectively.In
realterms,overallspendingisforecastto
remainconstant.
Thesubstantialincreaseinmiscellaneous
expensesistheresultofadditionalhoteltax
projectsofabout$150,000andCBTfunded
projectsofabout$350,000.
By2020consolidatedexpensesareforecastto
decreaseby2.69%.IfnonTCAsareexcluded
theincreasebecomes6.06%overthe5year
periodand7.18%whenfurtherexcludinghotel
taxexpenditures,internalequipmentcharges
andCBTfunding.Amoredetailedanalysisof
thevariouscostdriverscanbefoundonpages
1218.
Includesinternalequipmentchargesoffsetby
equivalentinternalequipmentearnings.
Project10
2020
8,885
953
2,720
12,558
Cityhallrenos
Firetruck#2
Arenaroof
Fireflow
projects
(variousareas)
Hydrant
replacement
programme
ThomasBrook
watersupply
ThomasBrook
sewer
Seweroutflow
relocation
Downieforce
main
replacement
BigEddywater
Table6Capitalexpenditures
andfundingfortheseexpendituresis
anticipatedtocomefromthefollowingsources:
$000s
2016 2017 2018 2019
Reserves 2,760 2,753 3,253 2,999
Grants
1,550 1,490 1,505 2,626
Debt
1,603
633 1,433
887
DCCs
1,160
0
400
0
Revenue
300 1,080 1,675 1,335
Total
7,374 5,956 8,266 7,847
2020
1,885
1,695
7,833
0
1,145
12,558
Table7Capitalfunding
Someofthecapitalprojectsbeingconsidered
overthenextfiveyearsinclude9:
Year
770,000
500,000
7,000,000
20162020
2016
2020
639,000
20162019
300,000
20162020
670,000
2016
340,000
2016
4,500,000
20162019
1,000,000
20162018
5,700,000
20162018
IT
infrastructure
670,000
20162020
Table8ListofCapitalProjects
Roadreconstructionisestimatedtobeabout
$6.4millionoverthenextfiveyears.In2017,
alloftheroadreconstructionfundingis
budgetedtocomefromrevenuehencethe
propertytaxincreasesforthatyearand2018
(seeTable12Page7).Amortizationofroads
andbridgesamountstoabout$500,000ayear.
Sothecityisproposingtoinvestinits
transportationinfrastructureatahigherrate
thanthatatwhichitisbeingconsumed.
Theequipmentreplacementprogramme
introducedmanyyearsagocontinuesto
eliminateagingandcostlytomaintain
equipment.PublicWorksreportsthatin2007
theaverageageofitsfleetwas13.64yearsand
thatin2015itwas7.4years(20147.65years).
Thelistisillustrativeonlyanddoesnotcontainall
thecapitalprojectsinthe20162020financialplan.
Someprojectsmayberepeatedfromlastyears
financialplanastheywerenotstartedandhave
beenrebudgeted.
10
thisnumberis159,017hours12(158,952hours
2015)andincludes3,652hoursofovertime
(3,652hours2015).Theanticipatedcost,
includingbenefits,amountsto$7,529,104
($7,348,8292015),whichincludes$120,00013
forMayorandCounciland$64,60014forthe
volunteerfirefighters.Theactualbudgetedcost
intheconsolidatedfinancialplanfor2016is
$7,486,400.
Overthepast20years,federalgovernment
expendituresinconstantdollarspercapitahave
beendeclining,whiletheirrevenueshavebeen
increasing.Provincial/territorialgovernment
expenditureshavebeenincreasingatalmost
thesamerateastheirrevenues.However,both
federalandprovincialgovernmentrevenuesfell
in2009.Municipalgovernmentexpenditures
havebeenincreasingatafasterratethantheir
revenuesoverthepast20years11.
Subcontract Costs
Theseincludecertainmandatoryexpenditures
suchastheRCMPcontract,VictimServicesand
Transitwhichmakeupthebulkofthisexpense.
Othersubcontractcostsmaynotbemandatory
butareessential,suchassnowremoval.Of
theseexpensesperhapsabout$1millionmight
beconsiderednoncontractualordiscretionary.
(SeeTable23page17).
Itisimportanttoappreciatethatthecityis
subjecttoavarietyofdifferentcostpressures:
Inflation(inc.energycosts)
Demandsforneworimprovedservices.
Developmentgrowth.
Downloadingfromseniorgovernments.
Nevertheless,thereisalwaysopportunityfor
costreductionbutthisinevitablyrequiressome
difficultdecisionsonthepartofCouncil.
Managementstaffwillcontinuetoreviewthe
wayinwhichweprovideservicesandbring
opportunitiesforcostreductionstoCouncilfor
reviewastheyarise.
Miscellaneous Costs
Asubstantialportionoftheseexpenditures
(about$1.6million)areoffsetbyequivalent
revenues.Thebalanceofabout$550,000orso
relatestodiscretionaryitems.(SeeTable24
page18).
Employment Costs
FullfundingfortheSocialStrategyCoordinator
isincludedineachyearoftheplan.
Asemploymentcostsrepresentabout35%of
allcityoperatingexpenses,itisclearthatany
substantialreductionincostswillinvolve
reductionsinthelabourforce.
Azerobasedbudgetapproachisusedin
determiningemploymentcostsinthefinancial
planningprocess.Eachyearanestimateismade
ofthehoursrequiredtocarryoutthecitys
variousfunctionsandworkprojects.For2016,
12
Thisnumberdoesnotincludehourscommittedto
capitalprojects.
13
MayorandCouncilincreasedtheirremuneration
to$120,000in2016.
14
Thisincludesthemonthlystipend,weekend
standbycompensationanddisabilityinsurance.
11
FederationofCanadianMunicipalitiesTheState
ofCanadasCitiesandCommunities2012
Overthepast14yearsorsothecityhas
borrowedtohelpfundseveralmajorprojects.
TheseincludetheRCMPbuilding,thewater
filtrationplantandtheaquaticcentre.Almost
50%oftheprincipalandinterestapplicableto
theRCMPbuildingisreimbursedtothecityby
thefederalgovernmentbywayofrent,while
thecityscontributionthroughdebttothe
filtrationplantandaquaticcentreleveraged
significantgrantfunding.Wehavealso
borrowedtoaddnewinfrastructuresuchasthe
ArrowHeightswaterreservoirandtoreplace
aginginfrastructuresuchastheTCHreservoir.
However,aportionofthecitysaccumulated
longtermdebtrelatestoroadreconstruction
and,althoughtheseareassetsanddohavean
expectedlifeinexcessofthedebtcontracted,
thereisavalidargumentthatperhapslong
termdebtshouldnotbeusedforthistypeof
project.Thisfinancialplancontinuesthe
strategyestablishedinthepreviousplantonot
borrowfurtherforroadreconstructionandrely
completelyoncurrentrevenuetofundsuch
works.Theplandoesanticipateborrowinglong
termforcertainwaterandsewerprojectsas
wellasanewarenaroof.
Seweroperatingcostsareforecasttodecrease
by8.40%in2016mostlyastheresultoflower
nonTCAexpenditures.
Water Costs
Wateroperatingcostsareforecasttodecrease
by5.89%in2016mostlyastheresultofa
reductioninnonTCAexpenditures.
Grosscosts
Equip.
rental
internal15
Netcost
Perkm16:
Roads
Sidewalks
Ave.actual
last3years
1,157,725
2015
Budget
1,280,060
2016
Budget
1,317,750
371,015
786,710
4,721
1,882
475,000
805,600
4,834
1,927
481,000
836,750
5,021
2,002
Table9Snowremovalcosts
LongTermDebt
Millions
16
14
12
10
8
6
4
2
0
15
Cityequipmentchargedtothefunctionandalso
showingasrevenue.
16
Costsbetweenroadsandsidewalkshavebeen
apportionedona10:1basis.
17
Anyperiodbetween5and30years.
2017
2018
2019
2020
9,531,037
8,983,404
8,413,679
7,820,952
14,255,886
Water
3,630,276
3,935,928
4,205,615
3,804,492
3,385,582
Sewer
3,686,248
3,535,186
4,178,082
4,874,828
5,509,964
Figure3Longtermdebt
2016
General
endof2020itisanticipatedthatthisfundwill
containabout$324,315providedthatitdoes
notneedtobeusedintheinterimtohelp
equalizeunexpectedlyheavysnowremoval
costs.Inaddition,theCityholdsapproximately
$1.5millioninDevelopmentCostCharges.
Thecitysprojecteddebt(longterm)toasset
ratioisasfollowsanditcanbeseenthat
Councilsobjectiveofreducingtheratio
reversesin2020:
2016
23.24%
2017
21.44%
2018
20.17%
2019
18.46%
2020
23.10%
In2016,thereisasignificantdisparitybetween
theamountoffundinggoingintothereserves
andtheamountbeingwithdrawntomeet
expenditures:
Table10Debttoassetratio
Capital Reserves
Thecitycontinuestotryandestablishincreased
capitalreserves.Ifrelianceondebtgoing
forwardistobecurtailedthenmoreneedsto
bedonetoensurethatcashisavailabletomeet
ourcapitalexpenditureswhenneeded.
Millions
TotalReserveFundingandExpenditure
4.0
3.5
3.0
2.5
Thecurrentfinancialplanforecastscapital
reservefundstobeatthefollowinglevelsatthe
endofeachyear:
2.0
1.5
1.0
Millions
0.5
4.00
0.0
2016
3.50
3.00
2017
2018
Funding
2019
2020
Expenditure
2.50
2.00
1.50
Figure5TotalReserveFundingandexpenditure
1.00
0.50
Thisfundinggapcontinuesthrough2017and
2018andneedstobeeliminatedornarrowed
considerablyifthecityistomaintainandbuild
itsreservefundseffectively.
0.00
2016
2017
2018
2019
2020
Figure4Reserves
In2013,CounciladoptedaReservesand
SurplusesPolicywhichsetstargetsforminimum
andoptimallevelsforvariousreservesand
surpluses.Thefollowingtableshowshowthe
cityisperformingthusfar:
Attheendof2015capitalreservefundsare
estimatedtobeabout$4.5million.
Thebalancesshownintheforegoingchartdo
notincludetheElectricUtilityReserveFund,or
otheroperatingreserves.TheElectricUtility
ReserveFundcontains$1.4millionofwhich
$1.2millionisinvestedinRevelstoke
CommunityEnergyCorporation(RCEC).The
SnowRemovalReserveFundisbeingfundedat
$50,000peryearfromgeneraloperating.Bythe
Statutory
Capital
General
Other
%of
minimum
balance
90.99%
68.05%
160.20%
110.95%
%of
optimum
balance
52.00%
18.42%
84.96%
53.98%
2016
0%
45%
45%
Table11Reservetargets
Property Taxes
2% 3%
Propertytaxesareforecasttoincreaseon
averageacrossallclassescombinedasfollows:
2016 2017
1.72% 5.00%
2018
5.00%
2019
0.00%
Figure6Shareofpropertytaxbyclass
2020
0.00%
Propertytaxgrowth(revenuefromnew
construction)isexpectedtocontributean
increaseof$1,284,425(or14.57%)21innewtax
revenuein2016andthencontinuetogrowat
about3%ayearfortheremainderofthe
financialplan.Anamountof$750,000has
beenexcludedfromthe2016taxationrevenue
budgetasahedgeagainstfuturefluctuations
causedbyongoingandpotentialassessment
appeals.Thisamountwillbetransferredtothe
TaxEqualizationreserve.Atthetimeofwriting
thisreportthecityhas$49,60022initsTax
Equalizationreserve.
Table12Propertytaxincreases
In2016,theincreasesanddecreasesforthe
individualpropertytaxclassesareasfollows18:
Class
1Residential
2Utility
4MajorIndustry
5LightIndustry
6Business
8Seasonal
Average
0% 4%
Increase/Decrease
2.00%
4.60%19
1.00%
1.00%
1.00%
1.00%
1.72%
Table13Propertytaxincreasesbyclass
CityPolicyF9RevenueandPropertyTaxsetsa
targetofClass1Residentialpropertytaxes
being50%20oftheoveralltaxburden.In2016,
thepropertytaxpieisdividedasshowninthe
followingchart:
Whatdoesthismeanforindividualproperty
owners?Well,forhomeownersthefollowing
21
ThisisbasedonBCAAsnumberof$32,304,788
(net)innewconstruction(NMC)for2016.Thisis
largelyduetoasubstantialtransferofassessed
valuefromClass1toClass6(mostlySuttonPlace)
andhasresultedinanincreaseinthebusiness
percentageshareofoveralltaxationanda
correspondingreductionintheresidential
percentageshare.
22
Itisunknownatthetimeofwritingthisreport
whetherthe2015financialresultswillpermit
maintainingabalanceinthisaccountatendof2015.
18
ThesenumbersarebasedonBCAAscompleted
rollattheendof2015.Theauthenticatedrollwill
notbeavailableuntilApril2016.
19
TheClass2rateisrestrictedtoamaximumof2.77
timestheClass6rate.Therefore,thispercentage
changemayalterdependingupontheactual
variationinassessmentvaluesandtaxrates.
20
In2015theresidentialsharewas54%.
Since2009,Class4(MajorIndustry)taxation25
willhavebeenreducedfromjustover$400,000
to$333,212in2016.
Assessment
2015
$100,000 $250,000 $500,000
2016
$103,400 $258,499 $516,998
Taxes
2015
$488
$1,220
$2,440
2016
$498
$1,245
$2,489
Increase
$10
$24
$49
Class4Taxes
350,000
300,000
250,000
200,000
150,000
Table14Taxesonexamplehouses
100,000
ForbusinessownersfallingwithinClass6,the
resultsareasfollows:
50,000
0
2010
Business
Assessment
2015
2016
Taxes
2015
2016
Increase
$100,000
$100,812
$1,848
$1,866
$18
$250,000
$252,029
$4,619
$4,665
$46
2011
2012
2013
2014
2015
Figure7Class4taxes
$500,000
$504,058
Overall,propertytaxincreaseshaveaveraged
approximately2.44%ayearoverthelast3
years.Business(Class6)hasaverageda1.67%
annualincreasewhileresidential(Class1)has
averaged2.50%ascanbeseeninthechartthat
follows:
$9,238
$9,330
$92
Table15Taxesonexamplebusinesses
Thepropertytaxincreasesshowninthe
foregoingtablesarebasedonaverageincreases
ordecreasesinassessmentvalues.
Taxincreases last3years
TheratioofClass6(Business)taxratetoClass1
(Residential)taxratein2015was3.79.Theratio
for2016is3.84basedoncurrentnumbersand
assumptions.Reducingtheratioinlinewith
Councilsobjectivewillrequirefurthershifting
ofthetaxburdenfrombusinesstoresidential
taxpayers.
Average
Class8
Class6
Class5
Class4
Class2
Class1
0.00%
5.00%
10.00%
15.00%
20.00%
25.00%
2013
Class1
3.50%
Class2
1.68%
Class4
23.28%
Class5
3.50%
Class6
3.50%
Class8
3.50%
Average
3.96%
2014
2.00%
7.96%
4.25%
2.00%
1.00%
2.00%
1.99%
2015
2.00%
0.14%
2.00%
2.00%
0.50%
2.00%
1.37%
Average
2.50%
3.26%
9.84%
2.50%
1.67%
2.50%
2.44%
23
Relatestomunicipaltaxesonlyanddoesnot
includeschooltaxes,CSRD,MFA,BCAA,orutilities.
24
Thesenumbersareprovisionalonlyandsubjectto
changeonceauthenticatedassessmentnumbersfor
2016areknown.
Figure8Taxincreaseslast3years
25
DownieTimberistheonlytaxpayerinthisclass.
2016
Utility Rates
AnnualinflationinCanadaaveraged1.4%in
November2015.Continuedweaknessinoil
priceshashadamarkedimpactonthe
Canadianeconomyandthelikelihoodisthat
thiswillcontinueforsometime.Thiswill
inevitablycontinuetoimpacttheAlbertan
economyandaffectRevelstokesdomestic
tourism.
Asmentionedpreviouslyinthisreport,utility
ratesareforecasttoincreaseoverthetermof
thefinancialplan.Utilityrates(bothresidential
andcommercial)areproposedtoincreaseas
follows:
2016
2017
2018
Water
2.6%
Sewer
4.1%
Garbage 2.0%
2.5%
5.9%
2.0%
11.1% 11.1%
11.1% 0.0%
2.0% 2.0%
Rate
Inc.
Table16Utilityrateincreases
2019
2020
5.0%
0.0%
2.0%
Theredoesnotappeartobeanyinclinationby
theBankofCanadatoincreaseinterestrates
anytimesoonsothisshouldcontinuetobuoy
consumerconfidenceanddomesticspending.
Basedontheforegoingpercentageincreases
residentialutilityrateswillbe:
Water
Sewer
Garbage
2016
$395
$255
$112
2017
$405
$270
$115
2018
$450
$300
$117
2019
$500
$300
$119
Economicuncertaintyhasimpactedthecityin
recentyearsbywayoftheerraticnatureof
buildingdevelopment.Overthelast8years
newconstructionhasbeenasshowninthe
followingchart:
2020
$525
$300
$122
Millions
Table17Residentialutilityrates
Aswell,itisproposedthatsewerfrontagetax
increasefrom$1.50to$1.60(perfootfrontage)
in2016.Thepurposeofthesewerfrontagetax
istoraisefundsforcapitalpurposes.Thistaxis
imposedequallyonbothresidentialandnon
residentialpropertythatfrontsasewerlinetoa
maximumof200feet(minimum50feet).
100
50
2016
2015
2014
2013
2012
2011
2010
2009
2008
Economic Outlook
Figure9Newconstruction
AtthetimeofwritingthisreporttheCanadian
economyisshowingsignsofatechnical
recessionwhiletheUSAsrecoveryis
continuing.ThereremainsignsinEuropeaswell
asotherpartsoftheglobaleconomywhere
recoveryislesscertain.TheIMFhasrecently
downgradeditsforecastforglobalgrowthfor
2016and2017.
Asaresult,itisdifficulttopredictwithany
degreeofaccuracywhattheleveloffuture
activitymightbeand,therefore,thedemand
forfutureservicesalongwiththepotentialfor
futuretaxgrowth.
WhilethelowCanadiandollarispositivefor
Revelstokestourismandforeigninvestment
prospects,itdoesnegativelyimpacttheCitys
budgetwhensourcingproductsfromtheUS.
10
Newconstruction
Thefinalresultsfor2015willnotbe
knownuntilthespringof2016.Itistoo
soontospeculateondraftresultsfor
2015.
Appealsagainstassessmentvalues
continuetobemadeandtheseare
oftensuccessfulresultinginlost
revenuestothecity.Thecityhaslost
about$150,000intaxationrevenuesso
farin2015astheresultofsuccessful
appealswhichwillimpacttheresultsfor
theyear.
Theassumptionthatrevenuegrowth
fromnewconstructionwillbe3%ayear
isprobablyoveroptimisticbasedonthe
resultsinrecentyears.
Noneoftherecommendationsfromthe
FireDepartmentReviewhavebeen
incorporatedinthefinancialplanthus
far.Someofthemcomewithacostand
ifCouncilwishestopursueanyorallof
therecommendationsappropriate
provisionforthesecostswillhavetobe
madeintheplan.
TheongoingweaknessintheCanadian
dollarplacesupwardpressureoncosts
beyondnormalinflationforgoodsand
servicesoriginatingfromtheUSA.
incomeanddetrimentallyaffectanticipated
surpluses.TheestablishmentofaTax
Equalizationreservehasgonesomewayin
mitigatingtheeffectsinpreviousyears.
Thepressuretodealwithaneverincreasing
burdenofcapitalprojectsasourinfrastructure
agesitplacesstressonourresources.Thisis
particularlyevidentinthewaterfunctionwhere
significantrateincreasesareanticipatedinlater
yearsinordertomeetthecostsofcapital
projects.Roadreconstructionandrehabilitation
isalsoanareathatrequiressignificant,ongoing
funding.
Inordertoensurethattaxandrateincreases
aremaintainedatreasonablelevelsitwillbe
necessarytocontinuetocriticallyreviewboth
capitalprojectsandservicelevels.
Conclusion
Thedraftplanisbasedona2%propertytax
increaseforresidentialpropertyownersin2016
and1%increaseforallotherclasses(except
Class2).Thisisanaverageof1.72%acrossall
classes.Councilsobjectivetoachieveatax
ratiobetweenbusinessandresidentialrates
closerto2:1maywellrequirefurthershiftingof
thetaxburdenfrombusinesstoresidential.
TheCitycontinuestoexperiencesignificant
assessmentappealsspanningmultipleyears
whichcreatesuncertaintyinprojectingproperty
taxrevenues.Successfulappealscanhave
significantimpactsontheCitysprojected
11
ConsolidatedFinancialPlan
Budget
Revenues
Taxation(inc.PILTS,GILTS&1%utilitytax)
Saleofservices
Other&ownsources
Provincialunconditionaltransfers
Provincialconditionaltransfers
NonTCAfunding
Othercontributions&donations
TotalRevenues
Actual
Ave.Actual
3years
2015
2016
2017
2018
2019
2020
Budget
Budget
Budget
Budget
Budget
Budget
OperatingExpensesbytype
Employmentcosts
Travelandmeetingexpenses
Telephone
Advertising
Licencesandinsurance
Memberships&conferences
Contractedservices
Officesupplies
Utilities
Miscellaneous
Freight,courier&postage
Legal&professional
Maintenanceofbuildings&equipment
Materials&supplies
Equipmentrental(internal&external)
Grantsinaid
Vehiclemaintenance&fuel
Amortization
Interest
Subtotal
NonTCAexpenditures
Totaloperatingexpensesbytype
7,173,925 6,668,949
42,500
32,803
64,450
62,836
74,150
51,334
243,890
250,507
109,100
71,273
3,217,350 3,117,548
49,000
50,915
874,250
962,772
1,851,070 1,979,808
29,800
34,640
124,100
187,623
381,650
359,847
607,710
523,096
730,350
766,206
90,000
79,769
445,500
433,494
1,725,000 1,725,000
1,031,697 1,004,359
18,865,492 18,362,780
2,208,614 1,681,012
21,074,106 20,043,792
OperatingExpensesbyDepartment
GeneralGovernment
FireProtection
ProvincialEmergencyProgram
PlanningandDevelopment
AnimalandPestControl
PoliceandCourtHouseservices
PublicWorks
Transit
EnvironmentalHealth(GarbagecollectionandRecycling)
PublicHealthandWelfare(Cemetery)
CommunityEconomicDevelopment
RecreationandCulture
Amortizationofcapitalassets
Wateroperating
Seweroperating
Debtinterestpayments
TotaloperatingexpensesbyDepartment
2,075,350 1,872,506
1,443,525 1,559,045
92,000
72,882
597,100
408,465
127,050
117,225
1,948,850 1,987,792
4,521,674 4,218,987
339,000
345,416
417,650
453,915
154,950
133,886
1,679,650 1,714,257
3,212,560 2,971,360
1,725,000 1,725,000
940,350
711,876
767,700
746,821
1,031,698 1,004,359
21,074,107 20,043,792
Operating(Surplus)/Deficit
1,702,778
2,844,789
Capitalexpenditures
Contributionsfromreserves
ContributionsfromDCC's
ContributionsfromGrants
Debtproceeds
2,698,221
1,907,500
350,000
195,000
0
1,674,533
626,004
0
870,774
0
245,721
177,755
Capitaloutofrevenue
239,264
Debtprincipal
Transferfromequityincapitalassets
Transferstoreserve
(Surplus)/Deficit
620,824
1,725,000
2,611,000
620,824
1,725,000
3,524,639
49,767
246,570
567,469
620,824
620,824
674,667
695,936
1,807,044 1,725,000 1,725,000 1,725,000 1,725,000
2,627,925 2,140,000 2,561,000 2,865,000 3,305,000
744,069
1,725,000
3,330,000
744,069
1,725,000
2,890,000
628,261
1,553,893
307,477
21,549
Table18ConsolidatedFinancialPlan
12
7,847,100 12,558,300
2,998,800 1,885,000
0
0
2,626,300 1,695,300
887,000 7,833,000
1,145,000
1,080,000
4,607,962
1,335,000
300,000
4,312,331
1,675,000
330,507
193,993
84,211
184,112
Expenditures:
GeneralGovernment
Fire
PEP
Planning
AnimalControl
RCMP&CourtHouse
Land
PublicWorks
Cemetery
CED
Recreation
Total
Sourcesoffunding:
Revenue
Buildingreserve
Firereserve
Equipmentreserve
Landreserve
Cemeteryreserve
RCMPreserve
Recreationreserve
Grants
Gastax
DCC's
Debt
Expenditures:
Water
Sewer
TANGIBLECAPITALASSETS
EXPENDITURES
2016
2017
2018
2019
62,500
201,000
0
75,000
0
45,900
150,000
2,088,600
6,700
28,300
125,500
2,783,500
0
179,300
0
0
0
63,400
150,000
1,465,700
3,900
28300
321,300
2,211,900
570,000
168,800
0
0
7500
38,400
150,000
2,564,700
0
28300
59,900
3,587,600
225,000
181,000
0
0
0
6,000
150,000
1,770,300
0
28300
100,000
2,460,600
2020
0
168,000
0
0
0
6,000
150,000
1,517,000
0
28300
7,016,000
8,885,300
300,000
1,080,000
1,675,000 1,335,000 1,145,000
60,000
0
532,500
225,000
20,000
106,000
179,300
168,800
181,000
168,000
626,100
405,700
544,700
445,300
362,000
150,000
150,000
150,000
150,000
150,000
6,700
3,900
0
0
0
45,900
63,400
38,400
6,000
6,000
105,500
301,300
49,900
90,000
6,000
195,000
0
0
0
0
28,300
28,300
28,300
28,300
28,300
1,160,000
0
400,000
0
0
0
0
0
0 7,000,000
2,783,500
2,211,900
3,587,600 2,460,600 8,885,300
NONTANGIBLECAPITALASSETS
EXPENDITURES
2016
2017
2018
2019
2020
399,860
171,071
49,500
64,000
0
0
100,000
40,000
0
0
76,800
54,600
0
0
384,000
363,500
15,000
15,000
60,000
60,000
339,500
241,000
1,424,660 1,009,171
78,992
15,000
0
110,000
0
58,500
0
377,000
12,500
60,000
235,500
947,492
116,071
0
0
0
0
17,000
0
386,500
0
60,000
66,000
645,571
155,618
0
0
0
0
37,000
0
386,000
0
60,000
101,500
740,118
489,000
376,000 459,000 360,000 364,000
129,500
57,500
20,500
17,000
17,000
49,500
64,000
15,000
0
0
287,360
172,071
85,992 121,071 160,618
0
0
0
0
0
15,000
15,000
12,500
0
0
34,800
8,100
38,000
0
20,000
339,500
236,000 235,500
66,000
96,500
0
0
0
0
0
80,000
80,500
81,000
81,500
82,000
0
0
0
0
0
0
0
0
0
0
1,424,660 1,009,171 947,492 645,571 740,118
3,735,000
855,000
4,590,000
2,714,000
1,030,000
3,744,000
3,118,500
1,560,000
4,678,500
1,711,500
3,675,000
5,386,500
953,000
2,720,000
3,673,000
212,250
92,250
304,500
61,000
116,000
177,000
51,000
92,000
143,000
53,250
94,750
148,000
52,000
94,500
146,500
1,125,000
1,266,667
60,000
0
1,283,333
3,735,000
619,000
1,461,667
0
0
633,333
2,714,000
1,008,500
1,476,667
0
0
633,333
3,118,500
1,286,500
425,000
0
0
0
1,711,500
953,000
0
0
0
0
953,000
177,250
10,000
0
25,000
0
212,250
36,000
0
0
25,000
0
61,000
25,500
0
0
25,500
0
51,000
27,750
0
0
25,500
0
53,250
26,000
0
0
26,000
0
52,000
535,000
0
0
320,000
855,000
1,030,000
0
0
0
1,030,000
760,000
0
0
800,000
1,560,000
615,000
2,173,000
0
887,000
3,675,000
220,000
1,667,000
0
833,000
2,720,000
67,250
0
25,000
0
92,250
91,000
0
25,000
0
116,000
66,500
0
25,500
0
92,000
69,250
0
25,500
0
94,750
68,500
0
26,000
0
94,500
7,373,500
5,955,900
8,266,100
7,847,100 12,558,300
793,571
886,618
2,760,200
1,549,967
1,603,333
1,160,000
300,000
7,373,500
2,752,600
1,489,967
633,333
0
1,080,000
5,955,900
3,252,800
1,504,967
1,433,333
400,000
1,675,000
8,266,100
2,998,800 1,885,000
2,626,300 1,695,300
887,000 7,833,000
0
0
1,335,000 1,145,000
7,847,100 12,558,300
1,100,160
679,671 499,492
90,000
80,500
81,000
0
0
0
50,000
50,000
51,000
489,000
376,000 459,000
1,729,160 1,186,171 1,090,492
301,071
81,500
0
51,000
360,000
793,571
388,618
82,000
0
52,000
364,000
886,618
TotalLongTermDebt
16,847,561
16,454,518
TotalCapitalReserves
3,291,828
2,845,386
2,534,576
2,724,695
3,513,150
DCCFund
1,083,820
1,379,958
1,265,315
1,514,379
1,771,300
Sourcesoffunding:
Waterreserve
Grant
Gastax
DCC's
Debt
Sourcesoffunding:
Sewerreserve
Grant
DCC
Debt
TotalCapitalExpenditure
TotalSourcesofFunding:
Reserves
Grantsandother
Debt
DCC's
Revenue
Table19ConsolidatedCapitalPlan
13
GeneralOperatingFinancialPlan
Revenues
Taxation(inc.PILTS,GILTS&1%utilitytax)
Saleofservices
Other&ownsources
Provincialunconditionaltransfers
Provincialconditionaltransfers
NonTCAfunding
Othercontributions&donations
TotalRevenues
Budget
Ave.Actual3
years
Actual
2015
2016
2017
2018
2019
2020
Budget
Budget
Budget
Budget
Budget
Budget
14,220,987
2,528,424
904,100
600,000
1,623,000
633,171
60,000
20,569,682
15,073,717
2,543,828
904,100
600,000
1,023,000
488,492
60,000
20,693,137
15,388,831
2,557,875
904,400
600,000
1,023,000
285,571
60,000
20,819,677
15,738,493
2,576,818
904,400
600,000
1,023,000
376,118
60,000
21,278,829
12,548,869
2,400,283
1,006,800
600,000
1,151,500
1,667,600
60,000
19,435,051
12,389,826
2,682,018
802,023
547,969
1,912,535
1,339,389
0
19,673,760
12,049,048
2,451,762
879,349
549,182
1,465,985
1,455,217
48,981
18,899,523
12,662,418
2,473,244
895,800
600,000
1,121,500
1,691,900
60,000
19,504,862
13,361,374
2,502,310
936,800
600,000
1,623,000
935,660
60,000
20,019,143
OperatingExpensesbytype
Employmentcosts
Travelandmeetingexpenses
Telephone
Advertising
Licencesandinsurance
Memberships&conferences
Contractedservices
Officesupplies
Utilities
Miscellaneous
Freight,courier&postage
Legal&professional
Maintenanceofbuildings&equipment
Materials&supplies
Equipmentrental(internal&external)
Grantsinaid
Vehiclemaintenance&fuel
Amortization
Interest
Subtotal
NonTCAexpenditures
Totaloperatingexpensesbytype
6,624,425
28,500
59,450
71,850
209,390
109,100
3,026,550
49,000
735,200
1,616,270
25,200
124,100
381,650
397,910
661,650
90,000
445,500
1,200,000
567,001
16,422,746
1,953,614
18,376,360
6,177,391
24,832
57,757
51,334
219,043
71,273
2,966,259
50,915
795,438
1,747,644
19,105
187,623
359,847
376,226
703,547
79,769
419,411
1,200,000
542,853
16,050,268
1,548,321
17,598,589
6,288,352
27,182
57,856
52,991
201,480
83,339
2,806,237
44,901
713,796
1,745,339
19,248
116,830
328,449
378,645
606,795
80,342
399,329
1,307,853
552,089
15,811,053
1,727,304
17,538,357
6,747,650
32,950
55,650
73,750
236,325
126,600
2,920,250
53,150
794,700
1,625,520
28,300
167,000
412,250
420,150
727,150
95,000
431,500
1,200,000
564,401
16,712,296
2,136,465
18,848,761
6,942,400
36,000
52,200
69,450
240,925
134,500
3,099,345
54,900
807,700
2,148,720
29,300
133,500
422,750
420,650
737,400
97,500
452,500
1,200,000
440,064
17,519,804
1,424,660
18,944,464
OperatingExpensesbyDepartment
GeneralGovernment
FireProtection
ProvincialEmergencyProgram
PlanningandDevelopment
AnimalandPestControl
PoliceandCourtHouseservices
PublicWorks
Transit
EnvironmentalHealth(GarbagecollectionandRecycling)
PublicHealthandWelfare(Cemetery)
CommunityEconomicDevelopment
RecreationandCulture
Amortizationofcapitalassets
Debtinterestpayments
TotaloperatingexpensesbyDepartment
2,075,350
1,443,525
92,000
597,100
127,050
1,948,850
4,521,674
339,000
417,650
154,950
1,679,650
3,212,560
1,200,000
567,001
18,376,360
1,872,506
1,559,045
72,882
408,465
117,225
1,987,792
4,218,987
345,416
453,915
133,886
1,714,257
2,971,360
1,200,000
542,853
17,598,589
1,763,255
1,468,545
66,086
514,643
112,661
1,867,173
4,186,291
329,656
431,735
143,998
1,772,296
3,022,076
1,307,853
552,089
17,538,357
2,037,300
1,503,250
92,000
584,200
147,550
2,086,150
4,809,325
369,000
395,500
151,150
1,580,500
3,328,435
1,200,000
564,401
18,848,761
2,302,060
1,395,545
92,000
714,200
150,050
2,164,350
4,147,110
369,000
397,500
138,200
2,056,000
3,378,385
1,200,000
440,064
18,944,464
Operating(Surplus)/Deficit
1,058,691
2,075,170
1,361,165
656,101
1,074,679
Capitalexpenditures
Contributionsfromreserves
ContributionsfromDCC's
ContributionsfromGrants
Debtproceeds
1,211,721
790,000
50,000
126,000
0
1,374,448
325,919
0
870,774
0
1,674,663
241,108
0
358,917
835,374
2,450,247
1,153,740
90,000
876,000
0
2,783,500
1,100,200
1,160,000
223,300
0
245,721
177,755
239,264
330,507
300,000
357,493
1,200,000
1,561,000
357,493
1,200,000
2,464,639
312,462
1,307,853
1,876,259
357,493
1,200,000
1,290,000
357,493
1,200,000
1,311,000
94,477
275,283
241,034
121,900
306,186
Capitaloutofrevenue
Debtprincipal
Transferfromequityincapitalassets
Transferstoreserve
(Surplus)/Deficit
Table20Generaloperatingfinancialplan
14
1,080,000
1,675,000
1,335,000
1,145,000
357,493
357,493
357,493
357,493
1,200,000 1,200,000 1,200,000 1,200,000
1,515,000 1,750,000 1,330,000
990,000
17,197
214,357
797,727 1,489,743
WaterOperating
Aveactual
last3
years
2014
Budget
Actual
2015
Budget
2016
Budget
2017
Budget
2018
Budget
2019
Budget
2020
Budget
Revenues
Saleofservices
DCCfunding
NonTCAfunding
Othercontributions&donations
TotalRevenues
OperatingExpensesbytype
Employmentcosts
Travelandmeetingexpenses
Telephone
Advertising
Licencesandinsurance
Memberships&conferences
Contractedservices
Officesupplies
Utilities
Miscellaneous
Freight,courier&postage
Legal&professional
Maintenanceofbuildings&equipment
Materials&supplies
Equipmentrental(internal&external)
Grantsinaid
Vehiclemaintenance&fuel
NonTCAexpenditures
Amortization
Interest
Totaloperatingexpenses
Operating(surplus)/deficit
209,603
332,874 269,595
301,673
Capitalexpenditures
Contributionsfromreserves
ContributionsfromDCC's
ContributionsfromGrants
Debtproceeds
659,000
590,000
0
69,000
0
223,424 660,190
223,424 266,491
0
0 193699
200,000
945,000
235,000
0
60,000
650,000
Capitaloutofrevenue
152,085
400,000
550,000
152,085
400,000
700,000
412
67,518
152,085
400,000
320,000
152,085 147,283
400,000 295,536
330,000 466,667
(Surplus)/Deficit
137,518
250,789
48,819
Table21Wateroperatingplan
Debtprincipal
Transferfromequityincapitalassets
Transferstoreserve
15
384,567
11,456
260,135
56,194
2014
Budget
Actual
Ave.
actuallast 2015
3years Budget
2016
Budget
2017
Budget
2018
Budget
2019
Budget
2020
Budget
Revenues
Taxationandgrants
Saleofservices
NonTCAfunding
Othercontributions&donations
TotalRevenues
OperatingExpensesbytype
Employmentcosts
Travelandmeetingexpenses
Telephone
Advertising
Licencesandinsurance
Memberships&conferences
Contractedservices
Officesupplies
Utilities
Miscellaneous
Freight,courier&postage
Legal&professional
Maintenanceofbuildings&equipment
Materials&supplies
Equipmentrental(internal&external)
Grantsinaid
Vehiclemaintenance&fuel
NonTCAexpenditures
Amortization
Interest
Totaloperatingexpensesbytype
Operating(surplus)/deficit
434,485
Capitalexpenditures
Contributionsfromreserves
ContributionsfromDCC's
ContributionsfromGrants
Debtproceeds
827,500
527,500
300,000
0
0
Capitaloutofrevenue
29,506 710,000
25,554 710,000
3,952
0
0
0
0
0
0
111,246
125,000
550,000
121,992
125,000
750,000
44,675
161,323
(Surplus)/Deficit
281,761
279,501
24,908 143,861
16
720,780 764,527
781,813
111,246
125,000
730,000
Table22Seweroperatingplan
585,669
Debtprincipal
Transferfromequityincapitalassets
Transferstoreserve
491,570
121,992 148,857
125,000 125,000
705,000 650,000
148,857
125,000
750,000
18,789
90,670
7,956
Table23Generaloperatingcontractedservices
17
2014
Ave.Actual
2015
Budget Actual Last3years Budget
60,400 60,400
60,400
61,500
100
0
0
100
10
881
454
10
91,000 62,096
66,021
97,000
3,500 15,238
6,080
3,500
15,000
0
0
18,000
0
0
2,099
0
10,000 11,130
8,233
10,000
20,000
940
2,613
20,000
(17,950)
0
0
0
1,800
0
0
0
25,000 24,403
18,387
28,000
18,000 16,138
12,569
20,000
0
(5,377)
(2,311)
0
0
0
2,168
0
2,000
0
0
0
10,000
0
2,719
10,000
2,000
0
278
0
4,000
4,000
4,000
4,000
1,000
0
667
1,000
0
0
265
0
80,000 73,635
78,235
85,000
5,000
0
1,197
5,000
45,000 45,000
45,000
50,000
45,000 31,434
39,865
45,000
25,000
0
16,667
0
2,000
0
0
2,000
53,000 47,871
50,015
53,000
9,000
1,987
5,952
9,000
30,000 14,064
25,914
30,000
550,000 554,096
587,019 550,000
300,000 475,917
421,238 300,000
0
0
12,725
0
0
0
548
0
0
3,740
1,322
0
50,000 134,885
117,692
50,000
110,000
500
10,000
0
0
0
2,000
7,000
5,500
2,000
0
10,000
0
29,410
1,616,270
76,760
86
0
1,252
0
0
0
0
6,635
5,934
10,191
0
9,467
35,430
29,410
1,747,644
2016
Budget
61,500
100
10
123,000
3,500
19,500
0
10,000
20,000
0
0
28,000
23,200
0
0
0
10,000
0
4,000
1,000
0
85,000
0
50,000
45,000
0
2,000
53,000
5,000
30,000
600,000
400,000
0
0
0
50,000
351,500
110,000
Table24Generaloperatingmiscellaneousexpenses
2018
2019
Budget Budget
61,500
61,500
100
100
10
10
118,000 127,000
3,500
3,500
19,500
21,500
0
0
10,000
10,000
20,000
20,000
(23,000)
0
2,000
0
28,000
28,000
21,500
21,500
0
0
0
0
0
0
8,000
8,000
0
0
4,000
4,000
1,000
1,000
0
0
85,000
85,000
0
0
52,000
54,000
45,000
45,000
0
0
2,000
2,000
53,000
55,000
5,000
5,000
30,000
30,000
0
0
400,000 400,000
0
0
0
0
0
0
50,000
50,000
351,500 351,500
110,000 110,000
2020
Budget
61,500
100
10
120,000
3,500
23,500
0
10,000
20,000
0
0
28,000
21,500
0
0
0
8,000
0
4,000
1,000
0
85,000
0
54,000
45,000
0
2,000
55,000
5,000
30,000
0
400,000
0
0
0
50,000
351,500
110,000
53,880 110,000
29
11
500
500
500
500
500
500
3,815
10,000 10,000 10,000
10,000
10,000
10,000
1,907
0
0
0
0
0
0
600
0
0
0
0
0
0
2,698
0
0
0
0
0
0
9
2,000
2,000
2,000
2,000
2,000
2,000
6,234
7,000
7,000
7,000
7,000
7,000
7,000
1,978
1,500
1,500
1,500
1,500
1,500
1,500
4,792
3,000
3,000
3,000
3,000
3,000
3,000
6,588
0
0
0
0
0
0
9,488
10,000 10,000 10,000
10,000
10,000
10,000
35,870
0
0
0
0
0
0
29,410
29,410 29,410 30,210
30,210
30,210
30,610
1,745,339 1,625,520 2,148,720 2,139,820 1,521,820 1,557,820 1,553,220
18
2017
Budget
61,500
100
10
115,000
3,500
19,500
0
10,000
20,000
0
0
28,000
21,500
0
0
0
8,000
0
4,000
1,000
0
85,000
0
52,000
45,000
0
2,000
53,000
5,000
30,000
600,000
400,000
0
0
0
50,000
351,500
110,000
efletcher@rctvonline.net
Page 1
!
_____________________________________________________________________________
Registered Associate, Architectural Institute of British Columbia
For thirty years Revelstoke invested in protecting and promoting its heritage leading to
significant social and economic benefit for the community. Since 2010 there has been a
steady erosion of capacity to manage our heritage assets within City Hall and the larger
community. This erosion of capacity can be seen in:
Page 2
!
_____________________________________________________________________________
Registered Associate, Architectural Institute of British Columbia
In 2008, Revelstokes Official Community Plan was amended to establish the Revelstoke
Station Heritage Conservation Area. The City entered into a social contract with 142
properties, 90% of Revelstokes recognized heritage resources, to knowledgeably and
effectively manage the heritage values endorsed by residents of the area. Since 2008
the City of Revelstoke has collected additional revenue from properties within the
Heritage Conservation Area through Heritage Alteration Permits and increased
assessments. As of 2010, disregard for the areas heritage values has fostered
considerable concern that the area has become a revenue generator for the City without
commensurate return of services.
The number of heritage assets in Revelstoke and the tools to manage those assets is
not large. However, the Financial Plan should include revenue sources, both internal and
external, and expense items that acknowledge Councils commitment to protect and
promote Revelstokes heritage.
Thank you.
Page 3
!
_____________________________________________________________________________
Registered Associate, Architectural Institute of British Columbia
Recommendations
1. Start the operating budget process August 1st of each year;
2. Create a 10 year plan for Infrastructure and Asset Management;
3. Provide clear, consistent financial data and statements;
4. Independent Core Review to reduce spending and increase efficiency;
5. Improve the fairness of the business tax burdens.
Recommendation
Allocate appropriate funding for an independent review in 2016 with a clear goal
of reduced spending and increased efficiencies in, but not limited to:
Internal policies, processes and contracts i.e. maintenance and staffing of
individual facilities;
Services that directly affect the public i.e. Hours of operation and services
offered at facilities;
Monthly review of Overtime by department;
Confidential review of staffing and salary levels in relation to the current
private and public sector levels.
Revelstoke Chamber of Commerce 301 W Victoria Road Revelstoke, BC V0E 2S0
250.837.5345 | executive@revelstokechamber.com | www.revelstokechamber.com
Recommendation
Council adopt a new model for calculating fair and equitable tax contributions of
residential vs business in all classes and that the 2016-2020 Financial Plan be
adjusted to achieve a 2:1 Class 6 business to residential ratio by 2020.
References
Known to have been in operation as early as March 1867, the Chamber was re-established in
1951 to:
develop a true cross section of opinions of the British Columbia business community, and
effectively present these opinions to government;
build a diverse, competitive and sustainable economy that provides opportunity for all
who invest, work and live in British Columbia; and
create and nurture an effective membership organization that provides value and purpose
to its members.
The Chamber's policy statements are submitted or presented to the Provincial and
Federal Governments and are individually called to the attention of the Cabinet ministers
responsible in order to make it possible for pending government legislation and
regulations to reflect the opinion of our chamber members.
BC Chamber of Commerce Policy and Positions
Manualhttp://www.bcchamber.org/sites/default/files/2015-2016%20%20Policy%20and%20Positions%20Manual.pdf
Respectfully submitted,
Alan Mason, Director of Community Economic Development.