3.             Establishment of the committee of revision for Capital Projects undertaken as local improvements

 

CRÉATION DU COMITÉ DE RÉVISION DES PROJETS D’IMMOBILISATIONS ENTREPRIS À TITRE D’AMÉLIORATIONS LOCALES

 

 

 

Committee RecommendationS

 

That Council:

 

1.      Approve establishing a Local Improvement Committee of Revision as a stand-alone committee of three (3) with the Terms of Reference contained in Document 2 and in accordance to Ontario Regulation 586/06 under Municipal Act 2001 for capital projects undertaken by the City of Ottawa as Local Improvements.

 

2.      Appoint Committee Members as follows for the term of Council ending in 2010:

 

o       Transportation Committee - Marianne Wilkinson

o       Planning and Environment Committee - Shad Qadri

o       Agriculture and Rural Affairs Committee - Eli El-Chantiry

 

 

RecommandationS du comité

 

Que le Conseil :

 

1.      Approuve la formation, en tant que comité autonome, d’un comité de révision des projets d’amélioration locale comprenant trois membres et dont les attributions sont décrites dans le Document 2, conformément au Règlement de l’Ontario 586/06 de la Loi de 2001 sur les municipalités qui porte sur les projets d’immobilisations entrepris par la Ville d’Ottawa à titre d’améliorations locales.

2.      Nomme des membres des comités suivants pour le mandat du Conseil qui se termine en 2010 :

 

o       Comité des transports – Marianne Wilkinson

o       Comité de l’urbanisme et de l’environnement – Shad Qadri

o       Comité de l’agriculture et des affaires rurales – Eli El-Chantiry

 

 


Documentation

 

1.   Deputy City Manager, Public Works and Services’ report dated 18 August 2008 (ACS2008-PWS-INF-0004).

 

2.   Extract of Draft Minutes, 2 September 2008.

 

 

 


Report to/Rapport au:

 

Corporate Services Economic Development Committee

Comité des services organisationnels et du développement économique

 

 

18 August 2008 / le 18 août 2008

 

Submitted by/Soumis par:  R.G. Hewitt,

Deputy City Manager/ Directeur municipal adjoint,

Public Works and Services/Services et Travaux Publics

 

Contact Person/Personne ressource :

W.R. Newell, P.Eng., Director/ Directeur

Infrastructure Services/ Services d'infrastructure

(613) 580-2424 x16002, Wayne.Newell@ottawa.ca

 

City Wide

Ref N°: ACS2008-PWS-INF-0004

 

SUBJECT:       Establishment of the committee of revision for Capital Projects undertaken as local improvements

 

OBJET:            CRÉATION DU COMITÉ DE RÉVISION DES PROJETS D’IMMOBILISATIONS ENTREPRIS À TITRE D’AMÉLIORATIONS LOCALES

 

 

REPORT RECOMMENDATIONS

 

That the Corporate Services and Economic Development Committee recommend Council:

 

1.         Approve establishing a Local Improvement Committee of Revision as a stand-alone committee of three (3)  with the Terms of Reference contained in Document 2 and in accordance to Ontario Regulation 586/06 under Municipal Act 2001 for capital projects undertaken by the City of Ottawa as Local Improvements.

 

2.         Appoint Committee Members as follows for the term of Council ending in 2010:

 

o       Transportation Committee - Marianne Wilkinson

o       Planning and Environment Committee - Shad Qadri

o       Agriculture and Rural Affairs Committee - Eli El-Chantiry

 

 

RECOMMANDATIONS DU RAPPORT

 

Que le Comité des services organisationnels et du développement économique recommande que le Conseil :

 

1.         Approuve la formation, en tant que comité autonome, d’un comité de révision des projets d’amélioration locale comprenant trois membres et dont les attributions sont décrites dans le Document 2, conformément au Règlement de l’Ontario 586/06 de la Loi de 2001 sur les municipalités qui porte sur les projets d’immobilisations entrepris par la Ville d’Ottawa à titre d’améliorations locales.

2.         Nomme des membres des comités suivants pour le mandat du Conseil qui se termine en 2010 :

 

o       Comité des transports – Marianne Wilkinson

o       Comité de l’urbanisme et de l’environnement – Shad Qadri

o       Comité de l’agriculture et des affaires rurales – Eli El-Chantiry

 

 

BACKGROUND

 

At its meeting of 10 May 2006, Council endorsed a Local Improvement Policy (ACS2006-PWS-INF-00001).  The policy addresses the procedural requirement for the undertaking of works as a Local Improvement including the Committee of Revision to finalize the special assessments and levy the charges to recover costs for the improvements. A fact sheet explaining Local Improvement process is included in Attachment 1.

 

Municipalities in Ontario are enabled by Provincial legislation to undertake works as a Local Improvement and assess the cost to the properties that derive benefit from the works.  Under the legislation, a municipality initially pays the cost of an improvement work and then recovers the required funding from the benefiting properties via the tax assessment roll mechanism.  The charge to property owners is based on final actual costs. Provincial legislation requires that passage of a by-law to impose the final charges to owners cannot proceed without the owners being provided notice of the intent to create the special charge, its value and a venue through the Committee of Revision to request consideration of review of the amount of their share of the cost.

 

This report requests that a Committee of Revision be established as required by the Provincial legislation.

 

 


DISCUSSION

 

Legislative Authority

 

Local Improvements are regulated by different legislations depending on the time of implementation. Projects initiated before 31 March 2003 are governed by the provisions of the Local Improvement Act, R.S.O. 1990; projects initiated between March 31, 2003 and December 31, 2006 are governed by Ontario Regulation 119/03 and projects initiated after 31 December 2006 are governed by Ontario Regulation 586/06 under the Municipal Act, 2001.  Regardless of the enabling legislation, all state the need for the Committee of Revision.  The Statutory Powers Procedure Act, R.S.O. 1990 also applies and defines the procedural requirements of the Committee of Revision.

 

Proposed Committee of Revision

 

Ontario regulation 586/06 sets out that the Committee of Revision consists of three (3) or five (5) members appointed by Council and that members of the committee be a person qualified to be elected as a member of Council.  The Department, in consultation with the Clerk’s and Legal branches, recommends the establishment of a Local Improvement Committee of Revision comprised of three (3) members with one (1) representative from the Planning and Environment Committee, the Transportation Committee and the Agriculture and Rural Affairs Committee.

 

In March 2008, the Department requested the chair of each applicable committee designate a representative. The following members have been identified:

 

o       Transportation Committee - Marianne Wilkinson

o       Planning and Environment Committee - Shad Qadri

o       Agriculture and Rural Affairs-Eli El-Chantiry

 

The Department is recommending the committee members select a chair to be fixed for the duration of the term of Council.

 

Meetings of the Local Improvement Committee of Revision will typically be held annually as demand dictates but should be convened no longer than a year after any particular local improvement project has been completed and the works commissioned for service.  Dealing with the current backlog of outstanding projects may require several meetings in the first several years.

 

Generic terms of reference for the Committee of Revision are included as Document 2.

 

Process in Advance of the Local Improvement Committee of Revision

 

Local Improvement charges are established based on the approved City policy and in accordance Municipal Act regulations.  The charge is based on the property’s frontage abutting the work with provisions for adjustment to the physical dimensions of the property so that the amount charged is on a just and equitable basis as compared with the other properties, considering the situation, value and area of the property.   

 

The majority of concerns associated with Local Improvements are related to cost allocations.  Common issues involve a desire to not pay or to pay later, to a view of a special circumstance with respect to the lot and the quantum of the charge, to disagreement with the rate to be charged or disagreement with the adjustment frontage and magnitude of the charge resulting.

 

It is important to note that before a project reaches the Committee of Revision it has progressed through consultation and approval stages that provide an opportunity for property owners and the City to address these issues.    Before a local improvement petition is submitted to the City, these opportunities are inherent as part of the local improvement petition process (defined as part of the City’s policy) during which timeframe, the City provides owners with detailed costs, explanations of the regulations and cost-sharing through information sessions.  In addition, once a petition has been submitted to the City and is deemed as meeting the sufficiency criteria defined in the regulations, a report is brought to the applicable Standing Committee and Council for approval to proceed with the project at which time costs, cost-sharing and issues are identified and explained as part of the Committee report process.  At that time, Committee and Council are provided with the project details and the rate to be charged.  This process establishes the City’s share of the cost of the work and the non-City (private property owners’ share).

 

It is the department’s intent to target that a minimum of thirty days notice be provided (to the extent possible) to benefiting property owners prior to the Committee of Revision meeting date.  Staff will prepare a Local Improvement Report (engineer’s report) that will form the basis for preparation of the special assessment roll and documentation to the Committee of Revision.  The Local Improvement Report will include a description of the works, cost apportionment, City and non-City share of the estimated project costs, the reductions and adjustments as presented at the petition stage and a summary of changes as a result of final project costs.

 

The Local Improvement Report (engineer’s report), final statement of cost and local improvement roll will be made available to the public prior to the Committee meeting. through the Clerk’ s office.   Any person who owns a lot to be specially charged may object to a special charge by filing an objection, setting out the objection and the reasons in support of it, with the Clerk no later than seven days before the day set for the Committee of Revision meeting.  

 

Function of the Local Improvement Committee of Revision

 

The Committee of Revision’s primary role is to review objections that have been filed, if any, and ensure decisions are appropriate.  The Committee of Revision does not fulfill a project or budget approval role, as this is addressed through standing committee and Council approval.  The Committee’s purpose is to hear concerns related to the Local Improvement special charges relative to regulations, policy, practice and the approach used by staff. 

 

Prior to the date for the Committee of Revision, members will be provided with the information package delivered to residents as part of the petition process, Committee reports and minutes for Council approval of the work, the Local Improvement Report and certified statement of cost, the Local Improvement Roll, all filed objections and City’s response to the objections.

 

The Committee of Revision has the power to identify corrections of errors in the preparation of the Local Improvement roll, with appropriate notice add properties to be charged if it appears that any property that has not been identified to be charged should be or reduce any special charge for the current year and the remaining years after the certification of the local improvement roll if it is found to be incorrect by reason of any gross or manifest error.

 

Outstanding Local Improvements

 

A number of capital projects have been or are in the process of being completed as Local Improvements since 2002.  The costs of the projects need to be assessed to the benefiting properties. With the establishment of the Committee of Revision, the City will be able to finalize the assessment process.

 

 

CONSULTATION

 

Establishment of the Committee of Revision for local improvements is an administrative requirement of Municipal Act provisions and does not require public consultation.    Staff in City Clerk’s Branch, Legal Services and Financial Services has reviewed this report and its recommendations.  Chairpersons for Transportation, Planning and Environment, and Agriculture and Rural Affairs committees were consulted and have canvassed their membership with respect to the Local Improvement Committee members.

 

Once established, the process of levying outstanding Local Improvement charges can proceed and property owners subject to a charge will be notified of their pertinent Committee of Revision meeting date in advance of the notification period required by legislation.  This will allow any issues to be addressed prior to the committee hearing that are related to ownership or property changes that have occurred since the project’s approval.

 

 

FINANCIAL IMPLICATIONS

 

The establishment of the Committee of Revision itself will have no financial impact to the City of Ottawa.  However, the Committee of Revision will allow the City to recover funds that it has already advanced for Local Improvement projects.

 

 

SUPPORTING DOCUMENTATION

 

Document 1 – Local Improvement Fact Sheet

Document 2 – Terms of Reference for the Local Improvement Committee of Revision

 

 

DISPOSITION

 

1)  Public Works and Services Department:

§         Infrastructure Management Division, Infrastructure Services Branch

o       Submit a request for a Local Improvement Committee of Revision meeting in the month of January or August, as needed in any given year.

o       Manage the public notification of the confirmed Local Improvement Committee of Revision meeting hearing date and act as the primary contact for the public during the notification period

o       Prepare the final statement of costs and initial local improvement roll

o       Certify final statement of costs with Treasurer

o       Provide a Local Improvement Report, a statement of costs and a  local improvement roll to the Clerk and Financial Services

o       Provide documentation in respect of filed objections

o       Attend Local Improvement Committee of Revision meetings

o       Adjust local improvement roll to reflect committee decisions

o       Prepare report to CSEDC to impose final charge

 

2)  City Manager’s Office:

§         Council and Committee Services Division, City Clerk’s Branch

o       Manage receipt of Engineer’s document submission, filed objections and distribution of documents to committee members

o       Manage and document proceedings during committee hearings

o       Notify in writing all affected property owners of the Local Improvement Committee of Revision decisions

o       Generate committee meeting minutes

 

§      Legal Services Branch

o       Provide operating procedures for the Committee of Revision

o       Provide input during committee hearings, as needed

 

§         Revenue Division, Financial Services Branch

o       Identify revisions to assessment rolls in preparation for Local Improvement Committee of Revision

 

§         Treasury Division, Financial Services Branch

o       Confirm Local Improvement charge amounts in preparation for assessment roll revisions

 


Document 1 - Local Improvement Fact Sheet

 


 

 

 

 

 

 

 



Document 2 - Terms of Reference for the Local Improvement Committee of Revision

 

 

Terms of Reference for the Local Improvement Committee of Revision

 

Purpose

 

The Local Improvement Committee of Revision (LICR) is a group of three (3) to five (5) members that does not fulfill a project or budget approval role, and as such it is not a standing committee of Council.  The LICR ensures that property owners who have had an impending Local Improvement charge identified to be specially assessed against their property have the opportunity to present concerns relating to the information contained in the Local Improvement assessment roll as for their property in advance of the roll and associated charge being formally set through the adoption of the special assessment tax roll by City Council via bylaw.  The LICR has the ability to make administrative corrections to the special assessment roll for a Local Improvement before the tax roll is adopted.  Support for the LICR is provided by City staff from Public Works and Services, Legal Services, Financial Services and the Clerks Office, as required.

 

Objectives

 

The objectives of the Local Improvement Committee of Revision are to:

 

§         Provide a public venue for hearing concerns related to the implementation on the tax roll of local improvements in accordance with Regulation 586/06

 

§         Provide final decisions on whether or not to adopt revisions to a proposed Local Improvement special assessment tax roll

 

Role of LICR Members

 

During the course of a sitting of the committee, the LICR will review the correctness of a Local Improvement special assessment tax roll prepared by staff.  The review will be based on either filed objections from the owners of property affected by a Local Improvement or corrections proposed by staff, as they relate to details of the special tax roll.  The review will be completed with a view to ensuring consistent city-wide decisions in considering requests for changes to the roll.

 

The LICR will make decisions with respect to changes to a Local Improvement special assessment tax roll in advance of formally adopting the special tax roll; all such decisions are final, with no opportunity for appeal.   

 

In reference to this mandate, the LICR membership has the power to identify and authorize changes, or corrections of errors, to the documented Local Improvement special assessment tax roll, only with respect of:

 

1)      cost of the work as stated in the certificate of final costs

2)      names of the owners of  lots

3)      frontage or other measurements of lots

4)      amount of the reduction or increase proposed by staff for any lot

5)      lots exempt from being specially charged

6)      lifetime of the work

7)      charge per metre of frontage to be imposed proposed by staff

8)      if all or part of the cost is to be charged on lots that do not abut on the work,

i)        the non-abutting lots that are to be specially charged, and

ii)       the amount of the special charge to be imposed on them.

9)      with notice, add lots to be charged if it appears that any lot that has not been identified to be charged, but should be

10)  reduce any special charge for the current year and the remaining years after the certification of the local improvement roll if it is found to be incorrect by reason of any gross or manifest error

 

In performing their duties, LICR members will:

 

§         review information from staff and members of the public, as necessary, in advance of and during a LICR meeting

 

§         attend and participate in LICR meetings

 

§         consider city-wide impacts when making decisions on changes to a Local Improvement special assessment tax roll

 

Committee Membership

 

§         City Council will appoint members to the LICR

 

§         To ensure a balanced membership in terms of geographic location and governance so that members have a general knowledge of the issues associated with the most common types of infrastructure subject to a Local Improvement, the committee membership will consist of three (3) members representing the following Standing Committees of Council:

 

o       Transportation Committee – one (1) member

o       Planning and Environment Committee – three (1) member

o       Agricultural and Rural Affairs Committee – one (1) member

 

§         The LICR members will appoint the committee chair from amongst their membership

 

§         The committee chair will be fixed for the duration of the term of Council

 

Procedures

 

§         The LICR is established and regulated by Ontario Regulation 586/06 under the Municipal Act, 2001 and will be in compliance with Statutory Powers Procedure Act, R.S.O. 1990

 

§         The LICR will meet as demand dictates, but not longer than a year after the construction of the infrastructure subject to a Local Improvement. 

 

§         City staff will notify the committee chair when a LICR meeting will be needed for a Local Improvement and a meeting date will be set in consultation with the chair.

 

§         The LICR will be provided with the following information from staff in advance of the meeting:

 

1)      the information package delivered to residents as part of petitioned work

2)      Standing Committee reports and minutes for Council approval of the work

3)      the Engineer’s Report and certified statement of cost

4)      the Local Improvement Roll

5)      all filed objections

6)      the City’s response to all objections

 

§         Meeting minutes will be documented by the Clerk’s office

 

§         The LICR Chair will address LICR interests at Council meetings, if and when required.

 

§         A quorum will consist of three (3) committee members, as per the governing Local Improvement legislation, Ontario Regulation 586/06

 

§         The general public and those individuals having an objection related to a Local Improvement may attend LICR meetings.

 

 

§         The LICR will receive support from City staff in Public Works and Services, Legal Services, Financial Services and the Clerks Office, who may present information to the LICR on matters related to the Local Improvement process in general, a particular Local Improvement project, or specific properties.

 

§         Inquiries regarding the matters related to a LICR meeting should be directed to the Infrastructure Management Division in the Public Works and Services Department.

 


            Establishment of the committee of revision for Capital Projects undertaken as local improvements

CRÉATION DU COMITÉ DE RÉVISION DES PROJETS D’IMMOBILISATIONS ENTREPRIS À TITRE D’AMÉLIORATIONS LOCALES

ACS2008-PWS-INF-0004                                 city-wide / À l’Échelle de la ville

 

Appearing before Committee on this item were Mr. Tim Marc, Senior Legal Counsel, and Mr. Wayne Newell, Director of Infrastructure Services.  Mr. Marc provided a brief overview of the report and its recommendations.  Staff then responded to questions from Committee members.  The following summarizes the main points raised.

 

Mr. Marc clarified that local improvements were project undertaken as a result of a petition signed by 2/3 of the affected property owners owning at least 50% of the assessed value of the benefiting properties.  He noted that property owners could also apply to the Ontario Municipal Board for approval of a local improvement petition, which would be frontage-based as opposed to assessment-based.

 

Mr. Newell noted that when a project reach the Committee of Revision point, it had already gone through an extensive process, including the petition, public meetings, and project approval by Standing Committee and Council.  He indicated the Committee of Revision provided a last opportunity for the benefitting property owners to dispute the calculations made with respect to their property in terms of the cost recovery, or whether they should be included in the local improvement if, for example, theirs was the last house at the end of the local improvement area.

 

Mr. Marc confirmed that wards Councillors would be involved from the beginning of the process for any project undertaken as a local improvement.  He noted that ward Councillors and their respective communities could work with staff to resolve any issues or concerns and that there may not be any challenges, in which case, the meetings would be short.  Notwithstanding this, he indicated the City was required, by statute, to have a Committee of Revision and to give notice with respect to meeting dates and decisions. 

 

Mr. Marc confirmed that this would not create another venue for issues with respect to municipal drains, which were the jurisdiction of the Court of Revision through the Agriculture and Rural Affairs Committee.

 

After receiving these clarifications, Committee voted on the report.

 

That the Corporate Services and Economic Development Committee recommend Council:

 

1.   Approve establishing a Local Improvement Committee of Revision as a stand-alone committee of three (3) with the Terms of Reference contained in Document 2 and in accordance to Ontario Regulation 586/06 under Municipal Act 2001 for capital projects undertaken by the City of Ottawa as Local Improvements; and

 

2.   Appoint Committee Members as follows for the term of Council ending in 2010:

 

o       Transportation Committee - Marianne Wilkinson

o       Planning and Environment Committee - Shad Qadri

o       Agriculture and Rural Affairs Committee - Eli El-Chantiry

 

                                                                                                CARRIED