2014 Budget OverviewMay 6, 2014

Elizabeth Savill, Chief Administrative Officer

Jennifer Moore, Director of Finance/ Treasurer

1

2

Presentation Outline Department Highlights Budget Background Download Impact Long Term Financial Plan, Reserves &

Debt 2014 Budget Summary

3

Community & Social Services

Current OW caseload = 887County Owned Housing Units = 344

County Supported Housing Units = 533

4

Transportation

Km of Road = 503Bridges = 112

Road Condition = 57% (2012)

5

Waste Services

The estimated cost of providing waste management

services in 2014, on a per household basis is $191, of which $125 is from levy and $66 is from bag tag revenue

(equivalent of $0.52/day)

6

Golden Plough Lodge

Number of Beds = 151Resident Focused Model of Care

7

Paramedics

Annual Call Volume = 20,061

# Bases = 6 (all operating 24/7)

8

Corporate

County Forest, Tourism, Economic Development, IT, HR/Payroll, Finance, POA,

Records Mgmt/Archives, Clerk, Health & Safety & Emergency

Planning

9

The History

Current Funding

Gap

1993

1994

1995

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

2017

2018

2019

2020

2021

2022

-40.00%

-20.00%

0.00%

20.00%

40.00%

60.00%

80.00%

100.00%

CPI with Download CPI with Download (projected) Actual Levy

Levy (projected) CPI CPI (projected)

10

Funding Gaps Funding Gaps to be Closed

Roads & Bridges Construction Program 40 year resurfacing cycle vs desired 20 year cycle Base budget increased $500k again in 2014

Waste Management Landfill site life Remediation and liabilities Implementation of master plan

Social Housing Waiting lists - $0 for new units Implementation of Housing & Homelessness plan

11

Increasing Cost of Downloads Annual cost to County taxpayer increased

$2.5M between 2007 and 2013 Escalating costs wipe out upload savings County share will increase again in 2014

Ramping up to sustainable budgets Increasing program costs

2014 first year real benefit from OW upload, offset by other program demands

Continue to minimize levy increases and still deliver services by finding efficiencies

12

Increasing Cost of Downloads

1999 2002 2007 2009 2011 2012 2013 (est)

2014 (est)

$-

$5,000,000

$10,000,000

$15,000,000

$20,000,000

$25,000,000

$7,577,000

$13,776,000

$20,468,000 $21,697,000

$20,564,000 $21,897,000

$22,073,000 $22,528,000

Levy Impact

13

Download Impact on the Levy

Roads22%

Waste10%

GPL8%

Corporate4%

Ec Dev/Tourism4%

Social Services3%

Forest1%

Down-load Costs48%

• Transportation (Hwy 28, 2, 45 & 30 including all bridges and safety devices)

• Paramedics• Ontario Works• Social Housing• Children’s Services • ODSP• MPAC• Health Unit• Provincial Offences• Court Security

14

Our Long Term Financial Plan Be Realistic

To close the funding gap and stay within 2.5%, cost savings must be realized

Anticipate & Look Forward County’s strategic issues stay focused on:

Economic Renewal & Prosperity Sustainable Infrastructure & Services Supportive Communities Employer of Choice

Sustainable & Stable To maintain consistent 2.5% levy increases, we

must be flexible and responsive

15

Reserve & Debt Trend

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

2017

2018

2019

2020

2021

2022

2023

-

10,000,000

20,000,000

30,000,000

40,000,000

50,000,000

60,000,000

-

500,000.00

1,000,000.00

1,500,000.00

2,000,000.00

2,500,000.00

3,000,000.00

Interest Principal

Continue to set aside reserves

for infrastructure &

unplanned events

Debt levels remain stable

and well below ARL

16

2014 Budget Levy increase of 2.5% after growth

Growth estimated at 1.02% per MPAC

Total levy $46.6M

Maintains existing programs and services

Supports priorities in 2011 – 2014 strategic plan

Funds current capital needs

17

2014 Major Projects MRF Container Line upgrade Ontario Agri-food Venture Centre Accessible Forest Trail Roads & Bridge program County Official Plan Equipment Replacement Systems - Yardi upgrade, GIS Server Patient simulation & CPR mannequins Facilities (Housing, Corporate & Roads) R&M

projects

18

2014 Roads Program

19

2014 Budget (Cash)Cash Budget Summary

Operating expenses $81.5MCapital $17.2MDebt Principal Repayment $1.3MChange in Reserves ($1.5M)

$98.5MRevenues (non-levy) $48.7MDebt Financing $3.2MLevy $46.6M

20

2014 Budget – Levy

Total Levy$46.6 million

Roads32%

Social Services23%

Paramedics12%

Waste10%

GPL 8%

MPAC/Health Unit/Corp

7%

Economic Development & Tourism

4%

Other3%

21

Summary 2014 budget has a 2.5% increase to the levy

Budget maintains programs & services

Budget addresses immediate financial challenges

Long term plan projects consistent 2.5% levy increases

Continued focus on future planning

22

Questions

Full budget details are available on the County website: www.northumberlandcounty.ca