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2020-09-15 Finance Committee Minutes - Open SessionFinance Committee Meeting Open Session September 15, 2020 MINUTES — OPEN SESSION FINANCE COMMITTEE MEETING SEPTEMBER 15, 2020 AT 5:00 PM MEETING CONDUCTED BY ELECTRONIC PARTICIPATION Present: Mayor D. Darling Councillor D. Merrithew Councillor S. Casey Councillor D. Reardon Councillor G. Sullivan Absent: Councillor G. Norton Also Present: City Manager J. Collin Commissioner of Finance and Treasurer K. Fudge City Solicitor J. Nugent Solicitor M. Tompkins Commissioner Growth & Community Development J. Hamilton Commissioner Transportation & Environment M. Hugenholtz Commissioner Saint John Water B. McGovern Deputy Commissioner Transportation & Environment J. Hussey Senior Financial Manager C. Lavigne Senior Financial Manager D. Arbour Senior Financial Manager T. Fawcett Director of Strategic Affairs Ian Fogan Fire Chief K. Clifford Communications Officer N. Moar Administrative Officer R. Evans Administrative Assistant K. Tibbits 1. Meeting Called To Order Councillor Merrithew called the Finance Committee open session meeting to order. 1.1 Approval of Minutes 1.1.1 Minutes of July 23, 2020 Moved by Councillor Reardon, seconded by Councillor Sullivan: RESOLVED that the minutes of July 23, 2020 be approved. MOTION CARRIED. 1.1.2 Minutes of August 13, 2020 Moved by Councillor Reardon, seconded by Councillor Casey: RESOLVED that the minutes of August 13, 2020 be approved. MOTION CARRIED. Finance Committee Meeting Open Session September 15, 2020 1.2 Safe Clean Drinking Water Financial Update Mr. McGovern noted that an important milestone has been reached with regard to the Safe Clean Drinking Water project, the largest infrastructure project in the history of New Brunswick, with the issuance of the Final Completion certificate. All deficiencies have been addressed and documents turned over to the City, which have been reviewed for accuracies and corrections. The budget for the project was just over $183M. The total capital cost is expected to be just under $182M, a surplus of approximately $1M. Moved by Councillor Sullivan, seconded by Councillor Reardon: RESOLVED that the report entitled "Safe Clean Drinking Water — Final Completion" be brought forward to the next meeting of Common Council; and further that the report be received for information. MOTION CARRIED. 1.3 General Fund COVID-19 Financial Impact Update Ms. Arbour reviewed the submitted presentation "General Fund COVID-19 Financial Impact Update" and commented on the impact of COVID-19 on the City's finances, including a forecast foryear-end. Revenues are expected to be down $4.1M compared to budget, however revenue loss has been mitigated with cost savings, largely due to restructuring efforts and diminished spending. 2020 is the final year of provincial financial assistance; any savings realized this year from operations will reduce this funding. Premier Higgs has committed verbally to fund the operating deficits of transit organizations in New Brunswick, which will reduce the City's liability. Moved by Councillor Reardon, seconded by Councillor Casey: RESOLVED that the General Fund COVID-19 Financial Impact Update, be received for information. MOTION CARRIED. 1.4 Procure to Pay Project Ms. Arbour reviewed the submitted presentation "Procure to Pay Project — An Overview." The Ernst & Young operational review identified a number of opportunities in procurement. The successful implementation of a Procure to Pay software system will streamline processes and identify opportunities. This system will also enable digitization of accounting and financial records, identified as a best practice by the City's auditor. In addition to implementing best finance, accounting and procurement practices, the project will maximize value for taxpayers, reduce costs and streamline the expense management process. Moved by Mayor Darling, seconded by Councillor Casey: RESOLVED that the presentation entitled, "Procure to Pay Project — An Overview', be received for information. MOTION CARRIED. Adjournment Moved by Councillor Reardon, seconded by Councillor Sullivan: RESOLVED that the Finance Committee meeting be adjourned. MOTION CARRIED. The Finance Committee open session meeting held on September 15, 2020 was adjourned at 5:45 p.m. 2