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GDS-013 - Community Services Reserve Fund Policylr SAINT JOHN Title: Community Services Reserve Policy Subject: Community Services Reserve Policy Category: Growth and Community Services Policy No.: M&C Report No.: 2023-57 Effective Date: March 6, 2023 Next Review Date: March 6, 2025 Area(s) this policy applies to: Cross Corporate Office Responsible for review of this Policy: Growth and Community Services Related Instruments: Policy Sponsors: FAS-003 Operating and Capital Reserves Policy Commissioner of Growth and Community Services FAS 023 - Grant Policy Document Pages: This document consists of 7 pages. Revision History: Common Clerk's Annotation for Official Record Date of Passage of Current Framework:_March 6, 2023_ 1 certify that this Policy was adopted by Common Council as indicated above. A Z< March 7, 2023 Common Clerk Date Date Created: Common Council Approval Date: Contact: 2023- 03- 01 Growth and Community Services City of Saint John Community Services Reserve SAINT JOHN Contents 1. POLICY STATEMENT..................................................................................................................... 3 2. EVALUATION CRITERIA AND PERMITTED USE OF THE FUND.......................................................3 3. BUSINESS CASE............................................................................................................................5 4. RESPONSIBILITIES........................................................................................................................6 5. FUNDING THE RESERVE...............................................................................................................7 2 City of Saint John Community Services Reserve SAINT JOHN 1. POLICY STATEMENT 1.1. This policy outlines the standards and guidelines that govern the management, accounting, and evaluation criteria of the Community Services Reserve ("the Fund") as established by Common Council. 1.2. The purpose and exclusive use of this reserve is for supporting innovation, piloting & testing new one-time initiatives intended to improve quality of life and enhance inclusion or community development in Saint John. ("Projects") 1.3. The City of Saint John ("the City') established the Fund with $800,000 from the 2023 Operating Budget 2. EVALUATION CRITERIA AND PERMITTED USE OF THE FUND 2.1. All Projects and activities this reserve will fund must take place in the Saint John City Limits ("Saint John"). 2.2. All Projects must give strong evidence that the completion of the Project will lead to increased quality of life in Saint John or will advance the city's interests in promoting inclusion and community development as confirmed by Growth Committee ("Community Services Agenda"). 2.3. The Community Services Reserve is subject to compliance with FAS-003 Operating and Capital Reserves Policy. 2.4. Projects must demonstrate strong alignment with key City of Saint John strategic plans such as Council Priorities 2021-2026, PlanSJ, City of Saint John 10-Year Strategic Plan, Secondary Plan for the Central Peninsula, PlaySJ, the Succeed and Stay Immigration Strategy, the Affordable Housing Action Plan, etc. 3 City of Saint John Community Services Reserve SAINT JOHN 2.5. The Fund may be used to advance Council's Community Services Agenda by: 2.5.1. Funding the investigation and implementation of new municipal models or existing services that enhance capacity specifically related to housing development, homelessness, community enhancement, inclusion, community centres, or other services whose delivery advances the City's Community Services Agenda as identified by the Growth Committee. 2.5.2. Developing or resourcing existing, or new municipal strategies that specifically advance Council's Community Services Agenda. 2.5.3. Supporting non -recurring third -party Projects provided it does not contravene the City's Grant Policy FAS — 023 2.6. The Fund may not be combined with any other municipal reserves to support Projects. 2.7. No more than $250,000 should be designated from the Fund for any specific Project, unless recommended by Growth Committee on the merits of a substantiated business case "Business Case". 2.8. Third -party organizations may not apply for this Fund, though Common Council may elect to use funds from this reserve to support the Community Services Agenda via a formal agreement with a controlled entity of the City, or an incorporated non-profit organization. 2.9. Projects that are funded through this reserve may only be resourced from the Fund for up to one year unless authorized by a subsequent resolution of Common Council. This subsequent resolution may only be provided after receiving the specific recommendation of the Growth Committee who must conduct an evaluation of a Project's specific initial outcomes. 2.10. The Fund may not be used to top up existing municipal grant programs (i.e. Community Grants, Land for Public Purposes Grant, Affordable Housing Grant, Heritage Grant, Community Arts Grant, Ethnocultural Grant), or incentives for existing municipal incentive programs. 2.11. The reserve may not be used to offset or waive fees collected by the City. 0 City of Saint John Community Services Reserve SAINT JOHN 2.12. Procurement for projects must align with the procurement policy of the City. 2.13. While not the primary intent of this fund, with a substantiated business case this Fund may be used provide a grant for third party capital projects that align with the City's Community Services agenda. 3. BUSINESS CASE A Business Case must: 3.1.1. Clearly outline the opportunity for the City and address how the Project will enable the City's Community Services Agenda; 3.1.2. Demonstrate good return on investment for the City and include a reasonable Economic Impact Analysis or demonstrate clear Social Return on Investment; 3.1.3. Include a detailed budget; 3.1.4. List confirmed and unconfirmed funding contributions to the Project; 3.1.5. Outline risks and liabilities associated with the Project; 3.1.6. Outline all in -kind and expenditures expected of the City, for both the up -front costs of the Project as well as future maintenance; 5 City of Saint John Community Services Reserve SAINT JOHN 4. RESPONSIBILITIES 4.1. Common Council: 4.1.1. Has oversight of this policy. 4.1.2. Has sole authority to approve expenditures from the Fund. 4.2. Growth Committee: 4.2.1. Is responsible for evaluating and recommending any and all Projects. 4.3. The Chief Administrative Officer: 4.3.1. Shall ensure compliance with the principles and requirements contained in this policy. 4.4. The Commissioner of Growth and Community Services: 4.4.1. Is responsible for assembling a cross -corporate staff team to carefully review all Projects (and accompanying business cases) and provide advice and updates to Growth Committee and Council on Projects. 4.5. The Commissioner of Finance: 4.5.1. Will perform the transfers to and from this reserve as authorized by Council; 11 City of Saint John Community Services Reserve SAINT JOHN 5. FUNDING THE RESERVE 5.1. The Fund is established from $800,000 in funds allocated as part of the 2023 Operating Budget. 5.2. The Growth Committee will review the activity of the fund within 24 months of the establishment of this policy and make a recommendation to Common Council as to whether the Community Services Reserve should be topped up as part of the City's annual budget process or permitted to deplete. 7