Events Tax arrears declined by nearly $12K year-over-year in November, data shows

Jason G. Antonio - Moose Jaw Express

payment plans. The tax liens represented 65 per cent of total arrears.

Tax arrears were relatively stable from 2021 to 2022, said finance director Brian Acker. City administration expected this as the community exited the pandemic and arrears levelled out.

Property taxes receivable

Property tax receivable consists of tax arrears and taxes owing. Tax arrears are overdue taxes, while current taxes are due but have not fallen into arrears. Taxes fall into arrears in the next year following the levy of taxes.

The total outstanding receivable property taxes as of Dec. 31, 2022 was $3,654,411. This included $2,312,569 in current taxes and $1,341,842 in arrears.

In comparison, total property taxes receivable that were outstanding by the end of Q4 2021 were $3,445,147, followed by $4,769,061 in 2020, $2,993,362 in 2019 and $3,029,255 in 2018.

When asked why property taxes receivable were higher in 2020 than in the following years, Acker replied that the pandemic struck that year and council instructed city administration not to collect those outstanding amounts. Borrowing/debt

As of Dec. 31, 2022, there were seven projects that the City of Moose Jaw was still repaying — or guaranteeing — after borrowing money to finance them.

The principal outstanding amount on each project is:

· Multiplex/Events Centre long-term loan: $12,095,000 Sanitary sewer long-term loan: $639,000

· Waterworks capital long-term loan: $23,213,000

· High-service pumphouse: $7,673,000

· Buffalo Pound Water Treatment Corporation loan term loan (Bank of Montreal): $10,091,900

· Buffalo Pound Water Treatment Corporation loan term loan (TD Bank): $15,027,313.60

· Moose Jaw Municipal Airport Guarantee: $1 million These seven projects total $69,649,213.60; the debt limit is $95 million.

Meanwhile, the City of Moose Jaw is committed to a Buffalo Pound Water Treatment Corporation loan term loan of $14,300,000 in 2024. That amount will appear on the books that year.

Centre’s Q4 deficit was nearly $120K less than budgeted, report shows

The Moose Jaw Events Centre — formerly Mosaic Place — saw a deficit of almost $600,000 in the fourth quarter of 2022, nearly $120,000 less than budgeted for that period.

From Jan. 1 to Nov. 30, 2022, the sports and entertainment venue had actual revenues of $1,991,771 and actual expenses of $2,417,197.

While this led to an operating loss of $425,426, after including the $8,500 expense for Ticket Rocket gift cards, $163,727 expense in management fees and $4,400 in revenue for client building rentals, the venue finished with a net loss of $593,253. This represented a cost recovery rate of 77.17 per cent.

In comparison, building manager OVG360 — formerly Spectra Venue Management Services — had budgeted income at $1,937,549 and expenses at $2,484,795, leading to an expected overall net loss — after adding the management fee of $163,770 — of $711,016.

Therefore, the difference between the budgeted and actual income, expenses and net loss was $54,222, $67,598 and $117,764.

City administration presented the fourth-quarter financial report during the Feb. 27 regular city council meeting. Included in the document was financial information about the Events Centre/Multiplex.

Council later unanimously voted to receive and file the report.

The report noted that a full financial statement to Dec. 31, 2022, was unavailable because the Events Centre was working on its year-end audited statements.

When asked where the Events Centre’s final revenues and expenses could finish, general manager Ryan MacIvor replied that the venue could come under budget.

He noted that the budget — with the subsidy included — could have a surplus of $916,000.

Another council question focused on how much money was still outstanding with the Ticket Rocket gift card situation. Finance director Brian Acker replied that the Events Centre had issued $185,000 worth of gift cards to affected patrons, with people using $52,000 to attend other events and roughly $131,000 yet to be redeemed. Food and beverage sales

From Jan. 1 to Nov. 30, 2022, OVG360 generated $1,135,570 in total concession and catering sales, while the total cost of goods was $371,268. This led to total gross sale profits of $764,302.

After removing total payroll, total variable expenses, management incentives and management fee, the net profit was $214,028.

These numbers were based on 190 events that attracted 109,691 people during the 11 months in 2022.

This report presents some “favourable results” for the Multiplex with its budgeted subsidy versus what it may actually need, Acker said. Further, to have a net profit on the food and beverage side of more than $200,000 is significant.

Council re-votes on school-related bylaws, while mayor apologizes for blunder

City council has re-voted on three bylaws related to the joint-use school project after confusion arose following the last meeting about how members voted and whether the bylaws actually passed.

Mayor Clive Tolley kicked off the Feb. 27 regular council meeting by apologizing for how he managed the voting on bylaws 5680, 5681 and 5682 during the Feb. 13 meeting.

The mayor failed to vote 16 out of 18 times — appearing to abstain — and said “carried” upon seeing enough members in support. Each bylaw passed with a 4-2 vote, but a review of the meeting video suggested some votes should have been 3-3; ties would have defeated the bylaws immediately.

Jason G. Antonio - Moose Jaw Express

Council gave three readings to each bylaw on Feb. 13, but because they were not unanimous, the bylaws returned to the Feb. 27 meeting for one final reading and official approval.

“I made some errors and did not conduct a proper vote. I apologize for that. I was in a hurry, I suppose, and didn’t do a due diligence to take the time,” Tolley said. “So I suppose it’s a reminder to me to make sure that I’m very deliberate and methodical in this role.”

Tolley added that the city clerk researched how to address this issue and would offer clarification to resolve it.

(During a media scrum afterward, Tolley said the presentation by Michel Labonte flustered him because of how emotional Labonte was and because he fell up the stairs while leaving the speaker’s podium. Those actions led to the mayor rushing the vote and being less attentive.)

City clerk Tracy Wittke explained that The Cities Act does not specify what type of meeting rules of order to follow. However, she noted that section 55.1 of the Act refers to municipalities establishing a procedure bylaw to address bylaws.

The City of Moose Jaw’s procedure bylaw refers to Bourinot’s Rules of Order of Parliamentary Procedure to guide meetings.

“Bourinot’s Rules of Order of Parliamentary Procedure reference the following: privilege is regarded as a member’s right to correct inaccuracies or explain circumstances affected themselves adversely or reflect improperly on the organization as a whole,” Wittke said.

Further, section 50 says the objective should be to have a well-understood procedure that meets council’s needs in a particular circumstance, she continued.

Therefore, city administration recommended that council clarify the Feb. 13 regular meeting minutes by re-reading all three bylaws to show clearly whether members were in favour or against them.

Council must follow certain rules when re-voting, such as no re-debates unless the bylaw’s contents changed, Wittke said.

“Council members cannot change their vote. You are required to vote the same in favour or opposed as in the initial vote of Feb. 13 meeting. The intent is to clarify your previous vote,” she stated.

Wittke added that members absent during the previous meeting — in this case, Coun. Heather Eby — could not vote during the first and second re-readings but could vote during the final approval decision.

Coun. Dawn Luhning inquired about members not changing their votes. She understood she couldn’t change her decision but couldn’t remember how she voted during the first and second readings.

“I don’t want to throw anything off or do anything that is inappropriate, but I think I voted in favour to get them into Committee of the Whole and then voted against (the bylaws) on third reading,” she said.

“I cannot tell you (what to do),” replied Wittke. “This is what the rules state: it’s what you felt you believed you voted.”

The meeting video clearly shows Luhning not raising her hand during the first or second readings on any of the three bylaws — thus abstaining — but voting against them during the third reading on each. Moreover, according to an email sent to the Express, the city clerk’s office recorded the councillor as abstaining.

During the re-voting process, council 5-1 during the first and second readings of all three bylaws — Coun. Kim Robinson was opposed — and 4-2 during the third readings, with Robinson and Luhning opposed.

Later, council gave final reading to all three bylaws, voting 5-2 each time. Robinson and Luhning were opposed.