Councillors upset with lack of staff action

BY KIRK STARRATT

kstarratt@kentvilleadvertiser.ca

NovaNewsNow.com

Some members of Kings County council are upset that municipal staff have yet to take action with funding provided in the 2007-2008 budget to replace county vehicles.

The issue came to light at the Tuesday, March 4 session. Corporate Services director Bill McKennan, who presented a report from the audit committee to council on the disposition of the county’s operating surplus, said his department’s monthly accountability reports indicate a projected operating surplus of $304,200, less than one per cent of the budget, for the 2007-2008 fiscal year.

Council approved several recommendations from the audit committee, including that the anticipated costs for rehabilitating culverts and roads, to be undertaken in the spring, $30,000, be transferred to the Storm Management Reserve; $61,000 earmarked for vehicles will be transferred to the Vehicle Replacement Reserve; $150,000 will be transferred to the Debt Stabilization Reserve; staff has been authorized to transfer any budgeted debt savings due to project delays to the Debt Stabilization Reserve; and staff has been authorized to transfer any variances from the budget related to sewer operations to the Sewer Reserve.

Why has it taken nearly a year?

McKennan said if council accepted the recommendations in the report, the adjusted surplus would be $48,200. He said potential withdrawals and allocations from these reserves would be considered during the 2008-2009 budget deliberation process.

Councillor Chris Parker said funding for three vehicles was approved last May and asked why the vehicles haven’t been purchased. McKennan said staff was undertaking a review to weigh the options of green vehicles versus mileage and the information would be brought to the executive committee.

Parker said he has a problem with staff doing another study and questioned why it has taken nearly a year. He asked Chief Administrative Officer Brian Smith, who commenced the study, why it has taken so long. Parker said, if staff wants money for something and it’s budgeted, spend it.

Smith said the project essentially involves the replacement of staff cars and has not been considered a top priority because arrangements are in place for the affected staff members to do their jobs.

“I think you guys dropped the ball on this one,” Parker said. “It’s not hard to do a quick report. The mileage and maintenance numbers are out there.”

Councillor Janet Newton said she concurs and that councillors were misled. Deputy Warden Diana Brothers said one of the selling points of the recommendation to budget funds to replace staff vehicles was the cost savings involved. The affected staff members are being paid mileage to use their own vehicles.

“Unfortunately, the money has just been sitting there,” Brothers said.

Councillor Wayne Atwater said it’s important to buy a hybrid car, even if it costs a few thousand dollars more. Brothers said council should simply decide to go green.

Smith pointed out that $61,000 probably wouldn’t buy three hybrid vehicles, but staff is considering adding one hybrid to the mix. Brothers said it would be nice to see staff’s report on the pros and cons involved with the vehicle purchase.

Anticipated deficit

McKennan said the county’s share of the anticipated deficit of Kings Transit is $36,000. The deficit is the result of higher fuel costs, repairs and one-time costs. The deficit is pro-rated and all municipal partners must pay their share.

He said there was significant winter weather events and snow removal costs represent a $90,000 overexpenditure. There are several storm washout, culvert and road remediation issues for the county to address. If these issues weren’t dealt with through the surplus, they would have to be addressed through next year’s budget.

By placing $150,000 in the Debt Stabilization Reserve, the county wouldn’t be borrowing that $150,000. This will help out in future budget years and would represent a $50,000 savings for taxpayers that wouldn’t have to be used to service debt.

Newton said she doesn’t think the county is on top of problems with municipal roads. She said everyone loves to complain about the province in this regard and asked if the matter could be discussed. Warden Fred Whalen suggested putting the matter on the March committee of the whole agenda.