2019-09-18 Finance Committee Minutes - Open SessionFinance Committee Meeting
Open Session
September 18, 2019
MINUTES — OPEN SESSION FINANCE COMMITTEE MEETING
SEPTEMBER 18, 2019 AT 5:30 PM
8t" FLOOR COMMON COUNCIL CHAMBER (LUDLOW ROOM), CITY HALL
Present: Mayor D. Darling
Councillor D. Merrithew
Councillor S. Casey
Councillor D. Reardon
Absent: Councillor G. Norton
Councillor G. Sullivan
Also
Present: City Manager J. Collin
Commissioner of Finance and Treasurer K. Fudge
Comptroller Finance C. Graham
City Solicitor J. Nugent
Commissioner Saint John Water B. McGovern
Commissioner Transportation & Environment Services M. Hugenholtz
Deputy Commissioner Building & Inspection Services A. Poffenroth
Director Corporate Performance S. Rackley -Roach
Assistant Comptroller Finance and Administrative Services C. Lavigne
Deputy Commissioner Administrative Services I. Fogan
Senior Financial Manager J. Forgie
Senior Financial Manager C. Lavigne
Senior Financial Manager D. Arbour
Fire Chief K. Clifford
Administrative Assistant K. Tibbits
1. Meetiniz Called To Order
Councillor Merrithew called the Finance Committee open session meeting to order.
1.1 Approval of Minutes — July 18, 2019
Moved by Mayor Darling, seconded by Councillor Reardon:
RESOLVED that the minutes of July 18, 2019 be deferred to the next meeting.
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1.2 2019-2023 Gas Tax Fund Capital Investment Plan
Mr. Fudge stated that this five year agreement includes approximately $29M of capital
investment. There are provisions in the agreement that allow the City to update or modify the
capital investment plan subject to approval by the province.
Moved by Mayor Darling, seconded by Councillor Reardon:
Finance Committee Meeting
Open Session
September 18, 2019
RESOLVED that the Finance Committee approve the 2019-2023 Capital Investment Plan for the
Gas Tax Fund Administrative Agreement and submit to Common Council for approval; and
further that the report be received for information.
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1.3 Year -End Forecast
Mr. Fudge noted that year-end results should be interpreted cautiously, adding that the
assumption used is that forecasted results will trend in the same direction and are based on the
best available information to date.
Ms. Forgie reviewed the year to date forecast for the General Operating Fund. A $2.3M surplus
is being projected at year-end which means that the City will require less financial assistance
from the province.
Mr. Lavigne reviewed the Saint John Water year-end forecast. Overall, a net year-end surplus
of approximately $168K is being projected.
Moved by Councillor Reardon, seconded by Councillor Casey:
RESOLVED that the Year -End Forecast as at July 2019, be received for information.
MOTION CARRIED.
1.4 2020 General Operating Budget
Mr. Fudge stated that the 2020 General Operating Budget is a status quo budget and will be
amended accordingly as the City continues its deliberations with respect to restructuring and
sustainability initiatives. The budget incorporates Sustaining Saint John Three -Part Plan
initiatives that the City feels are achievable.
Mr. Lavigne reviewed the first draft of the 2020 General Fund Operating Budget.
The budget includes several assumptions, including:
• Assumes 1.5% tax base growth;
• Assumes the unconditional grant remains the same;
• Based on the above assumptions, the budget assumes that 20% less in provincial
funding will be required than what is prescribed in the Funding Agreement. The budget
assumes $8M in provincial funding, down from a $10.4M funding commitment.
Moved by Mayor Darling, seconded by Councillor Reardon:
RESOLVED that the draft 2020 General Operating Budget, be received for information.
MOTION CARRIED.
Adjournment
Moved by Councillor Reardon, seconded by Mayor Darling:
RESOLVED that the open session meeting of the Finance Committee be adjourned.
MOTION CARRIED.
The Finance Committee open session meeting held on September 18, 2019 was adjourned at
6:20 p.m.
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