1.

PROPOSED 5 YEAR FINANCIAL PLAN (2002-2006)
(Report:  Apr. 4/02, File No.:  0985-01) (REDMS No. 679383)

The General Manager, Finance & Corporate Services, Jim Bruce, accompanied by the Director of Finance, Danley Yip, reviewed the material circulated to the Committee.  A copy of this material is on file in the City Clerks Office.  Discussion then ensued among Committee members and staff on:

the rationale for proposing Scenarios 7(a), 7(b), 7(c) and 7(d) at this time, as well as the differences between these options and Scenario 7

the purpose of Scenario 5(a) and the difference between this option and Scenario 5

the option proposed which would defer the payment of contributions to the reserve funds and the impact which this would have on future budgets

the rationale for not including (i) funds for the replacement of specific fire halls; and (ii) anticipated revenue generated from the sale or development of City-owned property

whether there were any areas within the proposed budget which could be reduced further.

Discussion then ensued among Committee members and staff on the scenarios preferred by individual Councillors. 

It was moved and seconded

That Scenario 5(a) (as identified in the material dated April 8^th, 2002, and entitled 5YFP Options 2002 to 2006 Summary, be accepted, on the understanding that Scenario 2(a) would not be accepted if the budget was reduced by $500,000.

DEFEATED

OPPOSED:  Mayor Brodie
Cllr. Barnes
Greenhill
E. Halsey-Brandt
S. Halsey-Brandt
Steves

It was moved and seconded

That Scenario 7(a) (as identified in the material dated April 8^th, 2002, and entitled 5YFP Options 2002 to 2006 Summary, be accepted.

The question on the motion was not called, as discussion ensued among Committee members on:

(i)

whether any of the gaming revenue not used for the operating budget could be allocated to the City's reserve funds;

(ii)

whether, with reference to expenditure reductions of $500,000, staff were expected to arbitrarily reduce the budget by that amount;

(iii)

the impact of the proposed Notice of Motion (submitted by Cllr. McNulty to the April 8^th, 2002 Regular Council Meeting), would have on the proposed recommendation; and

(iv)

how the elimination of part of the RCMP cost increase would be handled.

The question on the motion was then called, and it was CARRIED, with Mayor Brodie, and Cllrs. Howard, Kumagai and McNulty opposed.

It was moved and seconded

That any surplus gaming revenue funds received in 2002 which are not otherwise allocated by Council, be directed to the Fire Equipment Reserve Fund, the PW Vehicles Reserve Fund, and the Revolving Fund, as Council decides in due course.

CARRIED

ADJOURNMENT

It was moved and seconded

That the meeting adjourn (5:40 p.m.).

CARRIED

Certified a true and correct copy of the Minutes of the meeting of the General Purposes Committee of the Council of the City of Richmond held on Monday, April 8^th, 2002.

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Mayor Malcolm D. Brodie
Chair

Fran J. Ashton
Executive Assistant