Item - 2016.EX15.18
Tracking Status
- City Council adopted this item on June 7, 8 and 9, 2016 with amendments.
- This item was considered by the Executive Committee on May 24, 2016 and adopted without amendment. It will be considered by City Council on June 7, 8 and 9, 2016.
- See also BU21.1
EX15.18 - Operating Variance Report for the Three-Month Period Ended March 31, 2016
- Decision Type:
- ACTION
- Status:
- Amended
- Wards:
- All
City Council Decision
City Council on June 7, 8 and 9, 2016, adopted the following:
1. City Council approve the budget adjustments detailed in Appendix F to the report (May 9, 2016) from the Deputy City Manager and Chief Financial Officer to amend the 2016 Approved Operating Budget between programs that have no impact to the 2016 Approved Net Operating Budget.
2. City Council direct the Deputy City Manager, Cluster B to report to the Budget Committee on the resources required to meet the Council approved service levels given current levels of development activity in the City.
3. City Council request the City Manager to report to the Budget Committee prior to the 2017 City Budget launch on workforce development plans and strategies to address the City's position vacancy rates in a sustainable manner.
Background Information (Committee)
https://www.toronto.ca/legdocs/mmis/2016/ex/bgrd/backgroundfile-92933.pdf
Communications (Committee)
https://www.toronto.ca/legdocs/mmis/2016/ex/comm/communicationfile-61028.pdf
Motions (City Council)
That City Council request the City Manager to report to the Budget Committee prior to the 2017 City Budget launch on workforce development plans and strategies to address the City's position vacancy rates in a sustainable manner.
Vote (Amend Item (Additional)) Jun-07-2016 8:09 PM
| Result: Carried | Majority Required - EX15.18 - Carroll - motion 1 |
|---|---|
| Total members that voted Yes: 32 | Members that voted Yes are Paul Ainslie, Christin Carmichael Greb, Shelley Carroll, Raymond Cho, Josh Colle, Gary Crawford, Joe Cressy, Vincent Crisanti, Janet Davis, Glenn De Baeremaeker, Frank Di Giorgio, Sarah Doucette, John Filion, Mary Fragedakis, Mark Grimes, Michelle Holland, Mike Layton, Chin Lee, Josh Matlow, Pam McConnell, Mary-Margaret McMahon, Joe Mihevc, Denzil Minnan-Wong, Frances Nunziata (Chair), Cesar Palacio, James Pasternak, Gord Perks, Jaye Robinson, David Shiner, Michael Thompson, John Tory, Kristyn Wong-Tam |
| Total members that voted No: 5 | Members that voted No are Jon Burnside, John Campbell, Stephen Holyday, Jim Karygiannis, Norman Kelly |
| Total members that were Absent: 7 | Members that were absent are Maria Augimeri, Ana Bailão, Justin J. Di Ciano, Paula Fletcher, Giorgio Mammoliti, Ron Moeser, Anthony Perruzza |
That City Council authorize the Chief Planner and Executive Director, City Planning to increase her staff complement on a temporary basis proportional to increases in development demand and that the increased costs be funded from revenues collected during the year, and the reserve fund, as required.
Vote (Amend Item (Additional)) Jun-07-2016 8:11 PM
| Result: Lost | Majority Required - EX15.18 - Perks - motion 2 |
|---|---|
| Total members that voted Yes: 13 | Members that voted Yes are Paul Ainslie, Shelley Carroll, Josh Colle, Janet Davis, Sarah Doucette, Mary Fragedakis, Mike Layton, Chin Lee, Josh Matlow, Pam McConnell, Gord Perks, Michael Thompson, Kristyn Wong-Tam |
| Total members that voted No: 24 | Members that voted No are Jon Burnside, John Campbell, Christin Carmichael Greb, Raymond Cho, Gary Crawford, Joe Cressy, Vincent Crisanti, Glenn De Baeremaeker, Frank Di Giorgio, John Filion, Mark Grimes, Michelle Holland, Stephen Holyday, Jim Karygiannis, Norman Kelly, Mary-Margaret McMahon, Joe Mihevc, Denzil Minnan-Wong, Frances Nunziata (Chair), Cesar Palacio, James Pasternak, Jaye Robinson, David Shiner, John Tory |
| Total members that were Absent: 7 | Members that were absent are Maria Augimeri, Ana Bailão, Justin J. Di Ciano, Paula Fletcher, Giorgio Mammoliti, Ron Moeser, Anthony Perruzza |
That City Council direct the Deputy City Manager, Cluster B to report to the Budget Committee on the resources required to meet the Council approved service levels given current levels of development activity in the City.
Vote (Amend Item) Jun-07-2016 8:11 PM
| Result: Carried | Majority Required - EX15.18 - Crawford - motion 3 |
|---|---|
| Total members that voted Yes: 37 | Members that voted Yes are Paul Ainslie, Jon Burnside, John Campbell, Christin Carmichael Greb, Shelley Carroll, Raymond Cho, Josh Colle, Gary Crawford, Joe Cressy, Vincent Crisanti, Janet Davis, Glenn De Baeremaeker, Frank Di Giorgio, Sarah Doucette, John Filion, Mary Fragedakis, Mark Grimes, Michelle Holland, Stephen Holyday, Jim Karygiannis, Norman Kelly, Mike Layton, Chin Lee, Josh Matlow, Pam McConnell, Mary-Margaret McMahon, Joe Mihevc, Denzil Minnan-Wong, Frances Nunziata (Chair), Cesar Palacio, James Pasternak, Gord Perks, Jaye Robinson, David Shiner, Michael Thompson, John Tory, Kristyn Wong-Tam |
| Total members that voted No: 0 | Members that voted No are |
| Total members that were Absent: 7 | Members that were absent are Maria Augimeri, Ana Bailão, Justin J. Di Ciano, Paula Fletcher, Giorgio Mammoliti, Ron Moeser, Anthony Perruzza |
That in accordance with the provisions of Chapter 27, Council Procedures, City Council end the debate on Item EX15.18 and take the vote immediately.
Councillor Campbell, rising on a Point of Order, stated that Councillor Carroll's questions of Councillor Perks were not a clarification of his motion and did not require a reply.
Councillor Carroll, rising on a Point of Privilege, stated that she was asking a point of clarification and asked whether the Speaker's off handed remark was simply an editorial or a ruling. Councillor Carroll further stated that if it was a ruling she would challenge the Chair.
Councillor Carroll, rising on a Point of Privilege, stated that she would seek written clarification from the Speaker on how she was in contravention of the procedure by-law.
18a - Operating Variance Report for the Three-Month Period Ended March 31, 2016
Background Information (Committee)
https://www.toronto.ca/legdocs/mmis/2016/ex/bgrd/backgroundfile-93061.pdf
EX15.18 - Operating Variance Report for the Three-Month Period Ended March 31, 2016
- Decision Type:
- ACTION
- Status:
- Adopted
- Wards:
- All
Committee Recommendations
The Executive Committee recommends that:
1. City Council approve the budget adjustments detailed in Appendix F to the report (May 9, 2016) from the Deputy City Manager and Chief Financial Officer to amend the 2016 Approved Operating Budget between Programs that have no impact to the 2016 Approved Net Operating Budget.
Origin
Summary
The purpose of this report is to provide Council with the City of Toronto Operating Variance for the three-month period ended March 31, 2016 as well as year-end projections. This report also requests Council's approval for amendments to the 2016 Approved Operating Budget between Programs that have no impact to the 2016 Approved Net Operating Budget to ensure accurate reporting and financial accountability.
As noted in Table 1 below, for the three-month period ended March 31, 2016, Tax Supported Operations reported a favourable net variance of $50.231 million or 6.6 percent and the year-end projected net variance is anticipated to be $21.963 million or 0.6 percent.
Table 1
Tax Supported Variance Summary ($ Millions)
(See Table 1 titled Tax Supported Variance Summary
in the Summary Section of the report dated April 29, 2016
from the Deputy City Manager and Chief Financial Officer)
The favourable year-to-date net variance was driven by:
- Transportation Services' under-spending due to decreased salt usage and lower contract costs in the winter maintenance program from mild winter conditions.
- Shelter, Support and Housing Administration's below planned gross expenditures in social housing subsidies for mortgage payments as well as operating and rent subsidies and delays in opening some purchase service shelter providers.
- Higher than budgeted revenue from the Municipal Land Transfer Tax, City Planning development fees, Parking Tag Enforcement Operations and Toronto Parking Authority Corporate Revenues also contributed to the year-to-date results.
- The positive net variance was partially offset by under-achieved revenue for the Toronto Transit Commission – Conventional Service arising from lower ridership and weaker than planned Toronto Hydro Dividend Payments.
Forecasts indicate that the year-end position will result in a net positive variance of $21.963 million or 0.6 percent which represents a decrease from the three month results. The surplus is forecast to be significantly lower than past years and reflects 0.2 percent of total budgeted gross expenditures. The expected net year-end position is largely due to the following:
- Higher than budgeted revenues from the Municipal Land Transfer Tax ($17.487 million)
- Increased revenue from a higher volume of development applications and review fees for City Planning ($2.555 million).
- Stronger than anticipated Toronto Parking Authority Corporate Revenues ($2.250 million).
Table 2 below summarizes the three month and year-end projected results for Rate Supported Programs.
Table 2
Rate Supported Variance Summary ($ Millions)
(See Table 2 titled Rate Supported Variance Summary
in the Summary Section of the report dated April 29, 2016
from the Deputy City Manager and Chief Financial Officer)
The year-to-date positive net variance of $21.035 million was driven by the following:
- Net variance for Toronto Water of $10.975 million, comprised of $6.680 million in lower expenditures due to under-spending in salaries and benefits as a result of vacancies, lower than anticipated demand for chemicals, electricity, professional and technical services as well as under-spending in the transfer costs of biosolids. In addition revenues were higher by $4.294 million owing to stronger than anticipated volume of water sold.
- Net variance of $7.394 million for Solid Waste Management Services largely from contracted services. In addition, revenues were stronger than planned, driven by higher than expected volume of residential user fees, higher than planned tonnages of waste at transfer stations and higher tonnages of recyclable fiber product for resale at higher prices. These gains were partially offset by delayed billing for processing of residual waste from recycling and yellow bag fees.
- Over-achieved net revenues for the Toronto Parking Authority of $2.667 million resulting from higher demand for on-street parking and off-street garages in the downtown fringe areas.
Rate Supported Programs collectively project a positive year-end net variance of $25.135 million, mostly from Toronto Water due to continued lower gross expenditures for salaries and benefits, lower than planned hydro rates and usages, and savings in chemicals combined with higher revenues from stronger than anticipated sale of water and increase in new water and service connections.
Table 3 below summarizes the vacancy rate for the three months ended March 31, 2016 and projections to year-end.
Table 3
Summary of Approved Complement
(Includes Capital and Operating Positions)
(See Table 3 titled Summary of Approved Complement
in the Summary Section of the report dated April 29, 2016
from the Deputy City Manager and Chief Financial Officer)
- As of March 31, 2016, the City recorded a vacancy rate of 3.2 percent after gapping for an approved complement of 54,499.2 positions.
- The forecasted year-end vacancy rate after gapping is projected to be 0.3 percent for an approved complement of 54,547.2 positions.
A more detailed analysis is provided in the Approved Complement Section of this report.
Background Information
https://www.toronto.ca/legdocs/mmis/2016/ex/bgrd/backgroundfile-92933.pdf
Communications
https://www.toronto.ca/legdocs/mmis/2016/ex/comm/communicationfile-61028.pdf
Motions
18a - Operating Variance Report for the Three-Month Period Ended March 31, 2016
Origin
Summary
The purpose of this report is to provide Council with the City of Toronto Operating Variance for the three-month period ended March 31, 2016 as well as year-end projections. This report also requests Council's approval for amendments to the 2016 Approved Operating Budget between Programs that have no impact to the 2016 Approved Net Operating Budget to ensure accurate reporting and financial accountability.
As noted in Table 1 below, for the three-month period ended March 31, 2016, Tax Supported Operations reported a favourable net variance of $50.231 million or 6.6 percent and the year-end projected net variance is anticipated to be $21.963 million or 0.6 percent.
Table 1
Tax Supported Variance Summary ($ Millions)
(See Table 1 titled Tax Supported Variance Summary
in the Summary Section of the report dated April 29, 2016
from the Deputy City Manager and Chief Financial Officer)
The favourable year-to-date net variance was driven by:
- Transportation Services' under-spending due to decreased salt usage and lower contract costs in the winter maintenance program from mild winter conditions.
- Shelter, Support and Housing Administration's below planned gross expenditures in social housing subsidies for mortgage payments as well as operating and rent subsidies and delays in opening some purchase service shelter providers.
- Higher than budgeted revenue from the Municipal Land Transfer Tax, City Planning development fees, Parking Tag Enforcement Operations and Toronto Parking Authority Corporate Revenues also contributed to the year-to-date results.
- The positive net variance was partially offset by under-achieved revenue for the Toronto Transit Commission – Conventional Service arising from lower ridership and weaker than planned Toronto Hydro Dividend Payments.
Forecasts indicate that the year-end position will result in a net positive variance of $21.963 million or 0.6 percent which represents a decrease from the three month results. The surplus is forecast to be significantly lower than past years and reflects 0.2 percent of total budgeted gross expenditures. The expected net year-end position is largely due to the following:
- Higher than budgeted revenues from the Municipal Land Transfer Tax ($17.487 million)
- Increased revenue from a higher volume of development applications and review fees for City Planning ($2.555 million).
- Stronger than anticipated Toronto Parking Authority Corporate Revenues ($2.250 million).
Table 2 below summarizes the three month and year-end projected results for Rate Supported Programs.
Table 2
Rate Supported Variance Summary ($ Millions)
(See Table 2 titled Rate Supported Variance Summary
in the Summary Section of the report dated April 29, 2016
from the Deputy City Manager and Chief Financial Officer)
The year-to-date positive net variance of $21.035 million was driven by the following:
- Net variance for Toronto Water of $10.975 million, comprised of $6.680 million in lower expenditures due to under-spending in salaries and benefits as a result of vacancies, lower than anticipated demand for chemicals, electricity, professional and technical services as well as under-spending in the transfer costs of biosolids. In addition revenues were higher by $4.294 million owing to stronger than anticipated volume of water sold.
- Net variance of $7.394 million for Solid Waste Management Services largely from contracted services. In addition, revenues were stronger than planned, driven by higher than expected volume of residential user fees, higher than planned tonnages of waste at transfer stations and higher tonnages of recyclable fiber product for resale at higher prices. These gains were partially offset by delayed billing for processing of residual waste from recycling and yellow bag fees.
- Over-achieved net revenues for the Toronto Parking Authority of $2.667 million resulting from higher demand for on-street parking and off-street garages in the downtown fringe areas.
Rate Supported Programs collectively project a positive year-end net variance of $25.135 million, mostly from Toronto Water due to continued lower gross expenditures for salaries and benefits, lower than planned hydro rates and usages, and savings in chemicals combined with higher revenues from stronger than anticipated sale of water and increase in new water and service connections.
Table 3 below summarizes the vacancy rate for the three months ended March 31, 2016 and projections to year-end.
Table 3
Summary of Approved Complement
(Includes Capital and Operating Positions)
(See Table 3 titled Summary of Approved Complement
in the Summary Section of the report dated April 29, 2016
from the Deputy City Manager and Chief Financial Officer)
- As of March 31, 2016, the City recorded a vacancy rate of 3.2 percent after gapping for an approved complement of 54,499.2 positions.
- The forecasted year-end vacancy rate after gapping is projected to be 0.3 percent for an approved complement of 54,547.2 positions.
A more detailed analysis is provided in the Approved Complement Section of this report.
Background Information
https://www.toronto.ca/legdocs/mmis/2016/ex/bgrd/backgroundfile-93061.pdf