1. Our Municipality’s Finances
Planning for progress
Larry Dumoulin
October 9, 2018
Bears Den, Deep River, ON

2. Our Needs and Wants

3. “Some” of Our Needs & Wants
Marketing the Town
Population Growth
Water Quality
Road resurfacing and curbing
Vehicle and Equipment Replacement
Building Maintenance
Downtown Revitalization

4. “Some” of Our Needs & Wants
High Speed Internet
Mix of Housing Options
Waterfront and Keys Property Development
New residential housing
Business Development
Business Sector and Retail Growth
YOUR THOUGHTS?

5. Deep River’s Financial Position
The Challenge
Deep River’s Financial Position

6. Income – YOUR Taxes

7. YOUR Taxes 2008-2018 From $2,123,477 to $3,593,609 Increase: Average:
$1,470,132
69.2%
Average:
6.3% each year
$735 per household

8. Reserves (YOUR Savings) 2008-2017

9. Reserves (YOUR Savings) 2008-2017
From $4,510,477 to $2,931,787
Decrease:
$1,574,690
53.6%
Average:
5.4% each year
$787 per household

10. 2017 Quick Comparison Deep River Laurentian Hills Difference Budget
$11,520,438
$3,755,272
$7,765,166
Savings
$2,931,787
$5,300,814
-$2,369,027
Source: Financial Information Returns – Ministry of Municipal Affairs and Housing

11. What Does all this Mean? Town’s Income has been Rising
Town’s Savings have been Declining
RESULT;
Less Money for:
Water & Sewer
Streets
General Infrastructure
“Growth” Initiatives

12. Taxes spent on Capital 2008-2017
> $708,000
< $176,550
Reduced by $500,000 within 10 years
In the last decade “starved” our capital budget by more than 5 million dollars
Operating Budget largely unaffected and growing
Infrastructure has suffered

13. My Proposal Reduce the Annual Operating budget $500,000
CAP Tax “Growth” to “New” Assessment
WHY?
Take responsibility and control of Limited Taxes
Restore Capital Financing without Raising taxes
Provide funds for some “Growth” initiatives
Position OUR Town for “Growth”

14. My Proposal WHERE CAN WE REDUCE SPENDING?
Administration / Council Operations ($200k)
Fire Service Delivery model ($175k)
Police Service ($125k)

15. Administration
Administrative staffing costs have increased 48.6% in the past 4 years, 2.5 times more than emergency services (18.3%).
Restructure management and staff resources
More robust use of technology
Enhance Communication between and Municipality and residents

16. Fire Service Discuss the CNL Contract - expires in 2021
Continue and Build on the “Composite” model
Reduce full-time firefighters from 8 to 6
Implement an “on call” schedule for our part-time Firefighters
Guarantee Minimum Response of 5 Firefighters
Enhance Public and Firefighter safety

17. Police Service
Build on the community’s decision to continue with Deep River Police Service
I believe Laurentian Hills residents are ready to work in partnership with Deep River
Contract Service
Joint Service
Shared Service Cost Efficiency
Service / Response Improvement
Cooperative approach with neighbours

18. Alternatives to ‘Right Sizing’
Other Ways to Raise $500,000 :
Build 125 new homes valued at $400,000
OR,
Increase taxes 7.5%
Residential = $285,000 (Avg. $ per House)
AECL = $180,000
Businesses = $35,000

19. What Can We Get for $500,000? $500,000 Each Year Buys Us:
Pay-off 3% within 10 years
Pave 2.0 km of roadway
Completely pay for our annual garbage, recycling, spring and fall pickup

20. ‘Right Sizing’ Objectives
Long-term Sustainability
Position Town for Genuine “Growth”
Maintain and Improve Customer Services
Improve Communications with Residents
Streamline Decision-Making Process
Provide Meaningful Public Engagement

21. Guiding Principles
Any changes in service subject to “Open” public discussion with opportunity for meaningful dialogue with residents
Streamline Processes and Personnel
Re-train Employees Where Possible

22. THANK YOU FOR LISTENING
AND NOT FALLING ASLEEP
Now, in the spirit of “Harmony”, let’s talk