Local governments start their 2021 budgets; who is the CVs highest-paid official?

Local governments start their 2021 budgets; who is the CVs highest-paid official?

Comox Valley local governments are planning their 2021 budgets  |  Scott Graham photo

Local governments start their 2021 budgets; who is the CVs highest-paid official?

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It’s not coincidental that Comox Valley residents receive their property value assessment notices in January just as local governments start their annual budgeting processes. Property taxes are the principal source of revenue for most BC municipalities.

By provincial law, local governments must complete their 2021 budget as part of a five-year financial plan every year by March 31. Homeowners start to receive their property tax notices about a month later.

And even though local government budget meetings are open to the public, few taxpayers attend them in order to learn how local elected officials spend our tax dollars.

Do you know, for example, how much your municipal councillors are paid? How many municipal employees make more than $75,000 per year? Do you know what we pay the RCMP for protection services or how much each government has accumulated in surplus revenue?

Have you filled out Decafnation’s Local Government Performance Review? It’s a short survey measuring Comox Valley voters’ level of satisfaction with their local governments.

With the help of a few volunteers, Decafnation has compiled data from our local government’s financial reports and broke it down on a per capita cost and compared those numbers with two of our municipal neighbours: Campbell River and Nanaimo.

We used each government’s 2019 Statement of Financial Information (SOFI) and their corresponding 2019 Annual Report as the basis for our information. The 2020 reports are not yet available.

Readers can look through all of our collected data by clicking the links elsewhere on this page, or by clicking the links to each government’s financial reports.

 

ELECTED OFFICIALS SALARIES

All Comox Valley municipal elected officials are considered part-time positions. That includes the three mayor positions and regional district directors.

Courtenay Mayor Bob Wells was the Comox Valley’s highest-paid elected official in 2019, earning $128,465 in salary and expenses from the city and the Comox Valley Regional District. The next highest mayor or councillor earned less than half of that amount.

Courtenay Mayor Bob Wells

On top of his $71,905 mayor’s salary, Wells took home another $47,810 from the regional district in director wages, committee compensation and expenses. He served as chair of the regional district board in 2019.

Courtenay Councillor David Frisch earned the second-highest amount of $60,782 from his salary of $28,021 as a CVRD director in addition to his $25,234 city council remuneration.

However, all three electoral area directors earned slightly more than Frisch because electoral area directors receive a higher base salary as their area’s only elected representatives.

Area C Director Edwin Grieve and Area B Director Arzeena Hamir both took home $64,849 in salary and expenses, while Area A Director Daniel Arbour earned $63,3472.

Comox Mayor Russ Arnott was the third highest-paid council member in 2019 at $50,158 — $38,384 from Comox and another $11,774 from his regional district duties.

On the expenses side, the top three were Cumberland Mayor Leslie Baird who claimed slightly more in expenses ($11,000) than Comox Councillor Stephanie McGowan ($10,966) and Comox Mayor Arnott ($10,234).

But all three of those expense totals were higher than any single councillor in the City of Nanaimo (highest $10,251) and all Campbell River councillors except for Charlie Cornfield who claimed $11,782 in expenses.

 

ADMINISTRATION COSTS

In a separate spreadsheet, the Decafnation volunteers broke out some of the key administrative costs of running a local government.

One of the highlights on this spreadsheet is that all jurisdictions have increased revenues year over year, in part due to the growth of the Comox Valley.

But it also shows that tax rate growth has exceeded the Consumer Price Index for British Columbia. This is also true for Nanaimo and Campbell River. Could this be because expenses have increased faster than new growth on Vancouver Island can support?

Tax rate growth is one area where public involvement in the budgeting process can directly affect the outcome.

The chart also shows that municipal expenses — the bulk of which are labour costs — have also increased year over year and exceeded the CPI in the municipalities. But not at the Comox Valley Regional District where expenses were kept a half-point lower than the five-year CPI average.

In Comox, the five-year average shows the town’s expenses outstripping revenue by more than two percent.

 

MAKING SENSE OF SURPLUSES

One of the tricky areas of municipal budgeting involves accumulating surpluses. Provincial legislation requires regional districts and municipalities to account for surpluses differently.

Courtenay, Comox and Cumberland may accumulate “unspent surpluses” that in theory can be used for any purpose in the future. There are also reserves for an intended service, such as water and sewer reserves. These can only be used for their stated purpose, and cannot be transferred for something like road improvements.

And, there is also another type of reserves that are created by council policy and not a legislative requirement. Courtenay’s Infrastructure Renewal Reserve is one example. These types of reserves could be moved from one purpose to another, but it would require a council resolution and is not a common practice.

By contrast, the regional district may only have reserves set aside for a specific service that it provides and these are usually attached to a plan for anticipated expenditures.

As you can see in our spreadsheets, the three municipalities of Courtenay, Comox and Cumberland have a combined accumulated surplus of more than $348 million and the regional district has an additional $178 million in reserve. That compares to $305 million in Campbell River and $831 million in Nanaimo.

 

POLICING COSTS

The data shows that Courtenay clearly bears the burden of protective services in the Comox Valley. It may mean that the city has been subsidizing protective services in the other areas.

Part of this anomaly occurs because Courtenay’s population qualifies it as a city, whereas Comox has been classed as a town. Those designations may change this year. If so, Comox’s share of policing will increase and Courtenay’s share will decrease.

But it is interesting to note that policing costs increased in Courtenay last year, while they decreased in Comox and Cumberland.

The RCMP manages the Comox Valley as a single detachment. The same officers respond to calls in all jurisdictions.

Courtenay paid $9,412,733 in 2019 of the Comox Valley’s total RCMP cost of $17,869,053, or 53 percent. That was an increase of 5.5 percent over 2018 and nearly triple what the Town of Comox pays.

Comox paid $3,251,181 in 2019 or 18 percent of the total policing costs. Cumberland paid four percent and the regional district paid 25 percent.

We noted that while Courtenay pays more per capita for policing than Nanaimo, policing costs represented close to the same percentage of revenue and expenses for both cities.

 

MUNICIPAL EMPLOYEES

All local governments’ financial statements include a break out of employees paid more than $75,000 per year and those paid less.

In all three municipalities and the Comox Valley Regional District, the percentage of salaries under $75,000 is greater than those paid more. But that’s not the case in Campbell River and Nanaimo. Nanaimo’s over-$75,000 salaries are 15 percent greater than those paid less. In Campbell River, the two numbers are almost even.

 

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The Week: Take our local government survey!

The Week: Take our local government survey!

How are they doing down at the Courtenay, Comox, Cumberland, CVRD and District 71 town halls?  |  Archive photo

The Week: Take our local government survey!

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Are you satisfied with the performance of your elected officials? In less than two years — 20 months and three weeks to be exact — Comox Valley voters will again elect representatives to local municipal councils, the regional district and the District 71 school board.

We have just passed the middle of our sitting elected officials’ current terms.

And if the 2018 election is any reliable indicator, some candidates will start their campaigns for the Oct. 15, 2022 election around this time next year.

So how have our elected officials performed over the last two-plus years? What have they done well and what have they not done so well? What are the issues each council and board should address in the last half of their terms?

We’re curious about how Decafnation readers would answer those questions.

This week, Decafnation is launching its first-ever Local Government Performance Review. It’s a short survey that asks readers to rank their satisfaction with the elected officials who represent them and to specify the issues they should tackle before the 2022 election.

Readers will also have the ability to make brief comments about their rating of each councillor, director or trustee. The comments are a key part of the survey because they will help explain your responses.

It is an anonymous survey. Share it widely.

 

On the Decafnation Facebook page a few weeks ago, we asked for help from anyone experienced in building online surveys. We got lucky when Kelly Kostuik volunteered.

Kelly is a professional engineer with an MBA degree. She moved to the Comox Valley from Calgary with his family five years ago and now works as an independent consultant. That leaves him time for mountain biking, skiing, paddling, volunteering, learning new stuff and “checking things off my bucket list.”

Although he hadn’t used the Survey Monkey platform before, Kelly quickly became a whiz. He built the survey and the analytics behind it in just a few days.

 

The deep disagreements over the future of the Comox Valley Economic Development Society (EDS) will be aired starting today, Jan. 19. But not publicly.

The mayors of Courtenay and Comox, regional electoral area directors and their chief administrative officers are scheduled to begin the process of formally reviewing the regional economic development function. The review was requested by the Town of Comox.

The regional district board had already decided after last fall’s two-day special session to plot a new course for the EDS over the next year. But the Town of Comox couldn’t wait, so they triggered this formalized session allowed for under the Local Government Act.

Why did they do that? We might never know because none of the review meetings will be held in open session.

That means the public will be barred from hearing why Comox initiated the review, what their grievances are and what our public officials discuss behind these closed doors.

However, the small review group cannot make any final decisions. Whatever courses of action emerge from the review will ultimately have to be approved by individual councils. And that will be public.

Among the multiple possible outcomes from the review, the Town of Comox could serve notice of its intention to withdraw from the function as Cumberland did about five years ago. If that happens the EDS will likely collapse, leaving Courtenay and the three rural electoral areas to figure out what might rise from the ashes.

 

The Comox Youth Climate Council held their first-ever annual general meeting Saturday via Zoom. About 30 people participated, including some observers from over the maximum membership age of 25.

The CYCC is a group of dedicated Comox Valley high school, college and university students, “persistent in striving for climate action.”

The group formed last October “as a result of our feeling of responsibility and dedication to do our part fighting the climate crisis to safeguard the future of our planet and its inhabitants. Our vision is to create a space for youth aged from 13 to 25 years old from a diversity of backgrounds to come together to work for social and climate justice in the Comox Valley.”

Kalea Richardson was elected the group’s new chair after a spirited campaign speech. Although her opponent, Will Hatch, scored points for his willingness to collaborate and his praise for Richardson — “She would make a great chair…” — he fell a few votes short. Hatch will serve as treasurer of the group.

 

 

 

 

HOW HAVE OUR ELECTED OFFICIALS PERFORMED?

TAKE THE SURVEY

 

 

 

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Comox Valley local government elections ramping up for Oct. 15 vote

Comox Valley voters will elect new councilors, mayors, regional district representatives, school board members and Island Trust reps on Oct. 15. Find out who’s running for what … and why. Decafnation returns to shine more light on local government issues and candidates

Stotan Falls petition called “trojan horse,” 3L serves notice of logging Jan. 21

Stotan Falls petition called “trojan horse,” 3L serves notice of logging Jan. 21

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Stotan Falls petition called “trojan horse,” 3L serves notice of logging Jan. 21

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It’s a brand new year but the controversy over 3L Developments battle to build a 780-house subdivision in the Puntledge Triangle carries on.

An unknown person or group of people calling themselves the Save Stotan Falls Committee have started a petition to persuade Courtenay City Council to annex the 3L Development property.

At the same time, 3L Developments has sent letters to property owners adjacent to its 500 acres between the Puntledge and Browns rivers notifying them that the company will start logging on Jan. 21.

“Please be advised that the owner of the lands adjacent to your back yards (3L Developments) is currently attempting to sell its lands to the Comox Valley Regional District (CVRD). The purpose of this proposed transaction is to enable the CVRD to establish parkland, trails and public access to the lands and Puntledge River. However, should the CVRD fail to come to an agreement with 3L, we will be commencing with clearing and timber harvesting,” the letter states.

3L President David Dutcyvich signed the letter. He says it will take about one week to complete the land clearing.

The regional district began the process of establishing a regional park service in December that is necessary to fund and maintain large regional parks such as the Puntledge Triangle property or the Bevan Trails recreation area. But it’s unlikely that service will be functional in the next two weeks and able to meet Dutcyvich’s logging deadline.

However, not everyone considers some immediate land clearing of the property a justification for not following due process.

Area A Director Daniel Arbour told Decafnation today that “the property has already been extensively logged, and the owner is within his rights in that regard. Most landowners see themselves as stewards of their lands, but some don’t.”

Grant Gordon, a nearby resident, told Decafnation that the 3L property has already been logged several times. Gordon believes the bigger issue at stake is 3L’s assault on the Regional Growth Strategy and the community’s will to keep rural areas “rural.”

Gordon calls the Save Stotan Falls Committee petition a trojan horse.

“Because it isn’t about Saving Stotan Falls. It’s about moving real estate along the river and changing the Regional Growth Strategy, making room for more single-family housing to the detriment of more fiscally responsible infilling of existing municipal areas,” Gordon told Decafnation today.

“There is no way that more people living closer to those falls is going to be good for Stotan Falls through annexation,” he said. “If people want to Save Stotan Falls then they should lobby their provincial government to get back control of the riverways granted to the E&N Railway in 1879.”

Gordon is urging people not to sign the petition, which is also up on the Change.org website.

He said the petition may be well-intentioned, “but it basically demonstrates a complete misunderstanding of the RGS and if it was successful it would condemn any natural component of Stotan Falls due to destruction. It would also set back the infilling initiatives of other developers that are occurring now due to the restrictions created by the RGS.”

Decafnation reached out to Dave Mellin, a retired Courtenay business person, who has made presentations to the regional district board and Courtenay council about saving Stotan Falls. We asked if he was behind the petition.

He declined to comment for this story.

The petition reads, “Please read and sign this petition and join us in convincing Courtenay City Council to annex the 3L Development Lands into the City of Courtenay, dramatically reducing the size of the development and saving the 300 acres around Stotan Falls for generations to come! This land will be donated to the community and is worth $14 million- $16 million dollars!

“This key addition to the Puntledge River Greenway offers recreation access for swimming, hiking, mountain biking, walking, fishing, salmon enhancement, white water kayaking, palaeontology, and bird watching just to name a few.

“This would make Stotan Falls the fourth largest park in the Comox Valley. This aligns with a major goal of the 20-year Regional Growth Strategy for the Comox Valley…”to protect, steward and enhance the health of the natural environment and ecological connections”. – that we ALL share.”

A lively discussion on various social media pages speculates that the anonymous petition organizers may be working on behalf of 3L, as their latest attempt to push the Riverwood subdivision through local governments.

If the petition is presented to the City of Courtenay, the venue of the debate will shift from the regional district to City Council but the arguments may remain the same: amend the Regional Growth Strategy or not.

Area A Director Arbour says Courtenay councillors will have to consider the broader implications.

“Annexing the lands into the City of Courtenay may risk more urban sprawl and a threat to agricultural and forestry lands. All the jurisdictions would still have to come together to consider the implications on the Regional Growth Strategy,” he said. “Courtenay would also have to consider how this fits in relation to their new OCP, which appears to favour densification.”

In a comment on Facebook, another nearby resident, Lisa Benard Christensen said, “That petition has little to do with saving the falls. From the comments of the people signing. I would think they do not know what they are asking for. They do not understand what it means for Courtenay to annex the lands. That annexation would come at a huge cost.

“We would be telling developers we don’t hold to our hard-won long term plans, that we don’t mind urban sprawl long before areas that are easier to provide transit and services to are infilled.

“It would take away from the rural feel of the area, allowing a concentrated block of 1000+ families and their guests and pets to take it over.

“Anyone that thinks that tiny falls recreation area could withstand that influx let alone still have room for the nostalgic outsiders to enjoy it is kidding themselves.

“This petition is basically a Trojan horse. A flashy statement meant to appeal to people’s nostalgia and their frustration at being denied access. It encourages a snap decision, hoping they don’t read too much into what annexation would actually do to the area.

“The best way to save the falls is to hold strong to our RGS and not allow this urban sprawl to occur. The price is too high. Don’t believe the illusion, research fully before you sign anything. Much is at stake here.”

Area C Director Edwin Grieve said the regional district is looking into resurrecting the regional parks service that was never rescinded but has been on mothballs for 25 years. 

“Everything moves at the laborious “speed of government” so it all takes time but, once the parks service bylaw is active, it is possible for the CVRD to go to the Municipal Financial Authority and borrow money at a very low-interest rate over an extended period against that,” he told Decafnation.

“Dave (Mellin) and the boys are correct in realizing that any development south of the Puntledge River would be in Courtenay’s settlement expansion area and it clearly says in the RGS that “services would be extended through annexation into the Municipality,” he said. “Once the land is out of the Electoral Area, the 4-hectare minimum lot size and many more restrictive regulations could cease to apply.”

This article has been updated to include Director Grieve’s comments and to correct that he referred to Dave Mellin.

 

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Comox Valley receives $9.251 million to offset COVID-19 pandemic economic impact

Comox Valley receives $9.251 million to offset COVID-19 pandemic economic impact

The new Comox Valley Regional District offices in Courtenay  |  file photo

Comox Valley receives $9.251 million to offset COVID-19 pandemic economic impact

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The Comox Valley has received more than $9 million as its share of British Columbia’s Safe Restart Grant Program.

The province distributed $425 million under the federal Safe Restart Agreement to B.C.’s local governments. This federal/provincial funding is designated to support the reopening and operational costs of facilities along with funding local emergency responses. The province allocated funds to each of British Columbia’s municipalities and regional districts.

The City of Courtenay has received $4.149 million. The Town of Comox received $3.067 million. The Village of Cumberland received $1.312 million. And the Comox Valley Regional District received $723,000. In total, the Comox Valley received $9.251 million.

The CVRD board allocated its $723,000 to a variety of uses at its board meeting this week.

Emergency operations preparedness and community support – $200,000

Promoting local food security and supporting vulnerable populations through the Comox Valley Community Foundation – $100,000

Information technology resilience to support safe work, public engagement and effective service delivery – $100,000

Rural fire department support for increased preparedness and personal preparedness equipment – $40,000

Unallocated BC Safe Restart grant program funds, totalling $283,000, will be retained for future considerations as the COVID-19 pandemic continues to impact the region. Unallocated funds would be primarily dedicated to the following projects: recreation services, rural community hall support and food aggregation and promoting local food security

“We are thrilled to see grant funding being delivered to the community level,” CVRD Board Chair Jesse Ketler said in a news release.. “Each local government received funding to invest back into community recovery and resiliency as we navigate these challenging times. At the CVRD we are focusing our efforts on supporting vulnerable populations, promoting food security and improving resiliency to deliver the services residents use daily.”

 

 

 

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City CAO David Allen focuses on sustainable asset management

Courtenay Chief Administration Officer David Allen was part of a small group in 2008 that developed this system for managing public assets that provides for service and financial sustainability. It is now used by almost every municipality in British Columbia.

CV governments apply for infrastructure funds to ease pandemic economic recovery

CV governments apply for infrastructure funds to ease pandemic economic recovery

Courtenay and District Museum building  |  George Le Masurier photo

CV governments apply for infrastructure funds to ease pandemic economic recovery

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All four of the Comox Valley’s local governments have applied for provincial funds designated to help BC communities recover from the economic impacts of the COVID pandemic.

The provincial government set aside $90 million to provide one-time, 100 percent funding for projects — up to $1 million each — that meet one of four objectives:

— Community economic resilience
— Destination development
— Unique heritage infrastructure
— Rural economic recovery

Projects will be chosen from the applications based on their contribution toward creating immediate new employment or re-employing laid-off workers. The projects have to begin before Dec. 31, 2021, and complete by March 31, 2023.

Decafnation asked each local government what they applied to do.

TOWN OF COMOX

Comox has applied to complete phase two of its marina enhancement plan. It hopes to receive funds for a new marine services building.

CITY OF COURTENAY

Courtenay city staff have worked with and supported the Courtenay Museum to renovate and build a new section onto the existing facility.

The city also negotiated with the provincial granting agency to get the Sixth Street bridge included. But the complexity and environmental aspects of the project could not meet the 2021 deadline for starting the construction.

VILLAGE OF CUMBERLAND

Cumberland applied to rebuild the village’s No. 2 dam, hydro generation and Unnamed Creek remediation project.

It has also applied for infrastructure development of water services on the Bevan Lands and infrastructure upgrades and improvement for Cumberland Lake Park. If the Bevan Lands project did not qualify for timing reasons, the village planned to also apply for renovations of the field house and washroom facilities at its Village Park.

In another application, Cumberland applied to the separate but related Childcare BC New Spaces Fund for up to $3 million to create new childcare spaces within the village.

COMOX VALLEY REGIONAL DISTRICT

The regional district submitted six applications, four to the federal infrastructure program and two to the province.

The federal applications include the Denman Island water treatment project, phase one of the Baynes Sound sewer extension project, a retrofit of the CV Sports Centre mezzanine area and a Shingle Spit boat launch project.

The provincial applications included expansion of the Seal Bay parking lot and the Merville Hall food hub project.

 

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City CAO David Allen focuses on sustainable asset management

Courtenay Chief Administration Officer David Allen was part of a small group in 2008 that developed this system for managing public assets that provides for service and financial sustainability. It is now used by almost every municipality in British Columbia.