Financial Plan for 2021-2025 Bylaw

CITY OF LANGFORD
BYLAW NO. 1975
A BYLAW TO ADOPT A FINANCIAL PLAN FOR 2021 - 2025
WHEREAS under the Community Charter the municipality must have a financial plan adopted by bylaw before
the annual property tax bylawis adopted;
AND WHEREAS through a public process the financial plan has been presented and the public has had an
opportunity to comment;
AND WHEREAS Council deems this to be a process ofpublic consultation asrequired by the Community Charter,
AND WHEREAS Ministerial Order No. I\/I0192 under the Emergency Program Act permits the Council ofthe City of
Langford to adopt a bylaw on thesame day thatitreceives third reading.
NOW THEREFORE the Council ofthe City of Langford, in open meeting assembled, enacts asfollows:
1. Schedule "A" attached hereto and forming part ofthis bylaw comprises theCity ofLangford Consolidated
Five Year Financial Plan for 2021 - 2025.
2. Schedule "B" attached hereto and forming part of this bylaw comprises the City of Langford Revenue
and Property Tax PolicyDisclosure.
3.
This bylaw may be cited for all purposes as ''City of Langford 2021-2025 Financial Plan Bylaw No. 1975,
2021".
READ the FIRST, SECOND and THIRD time and ADOPTED the 10^^ day ofMay, 2021.
MAYOR
(Certif
CORPORATE OFFIC

{REVENUES:
External Revenues
Development Fees
Development Cost Charges
Developer Contributions
Other Capital Contributions
Development Fees Total
Municipal PropertyTaxes
Grants In Lieu
Utility Taxes
_
i Pa reel Taxes
Fees and Charges
Inte rest
Grants From Other Governments
Other Sources
t$'
Bylaw No. 1975
Consolidated Financial Plan 2021-2025
2021
13,750,762
$
1,694,831
15,445,593
35,291,050
131,500
476,466
1,869,694
3,332,100
275,000
7,246,850
8,409,581
2022
4,125,000
$
4,125,000
38,550,000
134,130
485,995
1,869,694
3,108,742
280,500
2,132,411
8,728,000
2023
2,050,000 .$
2,050,000
41,950,000
136,813
495,715
"1,929,514
2,985,917
286,110
1,537,668
9,444,790
2024
2,555,000
$
2,555,000
45,400,000
139,548
505,630
1,929,514
2,913,635
291,832
1,585,236
9,460,316
64,780,711
Bylaw No. 1975
Page 2 of 4
Schedule "A"
2Q25
1,675,000
1,675,000
49,100,000
142,340
515,742
1,929,514
2,841,908
297,669
1,298,533
9,381,824
67,182,530
72,477,834
59,414,472
60,816,527
EXPENDITURES:
External Expenditures
57,255,996
Operating Expenditures
52,355,704
52,494,045
53,999,790
55,678,150
Interest Payments on Debt
672,494
677,794
793,907
771,807
687,107
fa nita 1 Exoenditures
i
40,211,275
8,777,339
7,596,023
5,459,000
5,109,000
Total External Exoenditures
93,239,473
61,949,178
62,389,720
61,908,957
63,052,103
1 \J LO 1
L-ALCIIiai
CHANGE IN NET FINANCIAL POSITION
j
(20,761,639)
(2,534,706)
(1,573,193)
2,871,755
4,130,427
OTHER REVENUES:
Borrowing Proceeds
1
10,900,000
2,000,000
2,000,000
2,000,000
2,000,OOpj
OTHER EXPENDITURES:
1,223,207 1
Prinrin^I Pp\/nnpnt<; nn Dpht
1,496,300
1,491,900
1,443,107
1,451,907
TOTAL REVENUES LESS EXPENDITURES
-$
11,357,939
-$
2,026,606
-$
1,016,300
$
3,419,848
$
4,907,220
!
INTERNAL TRANSFERS:
.
j
,
-
!
—1
iTransferfrom Reserve Funds
1
- j
15,695 1
^ '!
!"j
Affordable Housing
;
r
1
14,500
14,790
15,086
15,388
i
1
Capital Works & Equipment
4,538,736
$
1,805,736
$
1,985,736
$
985,736
$
985,736 J
'Equipment Replacement
1,578,000
400,000
1,810,000
145,000 :
500,000
-j
Parks & Open Space
1,400,000_^
-
^
-
"
,
i
' Pa rk 1mprovement
j
1
i
'l—
!
Sidewalk Capital
1
,...
1
- —.
[
-
, :
-
Police Building Capital
- H
9,000 :
11,023
9,000
134.000 i
i
General Capital Fund
1
120,000 !
!
-
-
J
Ampnitv
\
3,392,209
2,834,610 1
1,531,985
1,054,294
500,000 i
I {Transferfrom Reserve Fund Total
i
\
11,043,445
5,064,136
5,353,830
2,209,418
2,135,431 i
;Less:Transferto Reserve and Capital Funds
I
Reserves:
„
-
i
Police Building Capital
_
30,000
40,000
50,000
60,000
60,000J
Capital Works &Equipment
1,165,000
1,305,000
1,405,000
1,405,000 i
1,405,000 ^
Equipment Replacement
900,000
1,000,000 i
900,000
1,000,000
900,000
Parking Reserve
„
i
!
Police Special
J
i
-
-
-
-
-
j
'
General Amenity
-
81,794
221,794
364,294
1,137,577
1
Infrastructure Sustainability
!
i—
r^pnpral Tanital Fund
i
685,736
685,736
685,736
685,736
685,736
L-i
i-
2,780,736
3,112,530
3,262,530
3,515,030
4,188,313
!
(
Transfers from(to) Surplus
1
1,670,230
325,000 ;
325,000
300,000
300,000
Tranqfpr*: fromfto^ Reserve Accounts
1,425,000
(250,000)
(1,400,000)
(2,414,236)
(3,154,338)
TOTAL INTERNAL TRANSFERS
$
11,357,939
$
2,026,606
$
1,016,300
-$
3,419,848
-$
4,907,220

1
i
i
1
i
1
^
•
"l
L
1
1
!
!
i
1
j
i
i
Bylaw No. 1975
Revenue and Property Tax Policy Disclosure
REVENUE DISCLOSURE
Revenue Proportions
--1—
i
Bylaw No. 1975
Page 3 of 4
Schedule "B'
2021
2022
2023
2024
2025
. —1
($'000s)
%
($'000s)
%
($'000s)
%
($'000s)
%
($'000s)
%
1
Property Taxes
35,291
42% '' 38,550
63%''
41,950
67%
45,400
66%
49,100
71%!
Parcel Charges
1,870
2%''
1,870
3%'"
1,930
3%*"
1,930
3%''
1,930
3%'
Fees
3,332
4%''
3,109
5%''
2,986
5%^^
2,914
4%''
2,842
4%
Other Sources
31,985
38% '' 15,887
26%''
13,951
22%
14,537 '' 23%
13,311
19%
Proceeds From
r
r
r
f
Borrowing
10,900
13%
2,000
3%
2,000
3%
2,000
3%
2,000
3%
83,378
100%
61,415
100%
62,817
100%
66,780
99%
69,183
100%
Other Sources includes grants fronn other governments and agencies, development contributions tocapital, interest and penalties and
miscellaneous sales of services.
Objectives and Policies
Property tax revenue isthe City's primary revenue source, and one whicti is heavily reliant onthe
residential class. Diversification of the tax base and generation of non-tax revenue are ongoing
objectives. Except in extraordinary circumstances, tax increases are kept to cost of living orless.
Parcel Charges are comprised of local area service debt servicing costs for roads.
Fees &Charges are a tool used for cost recovery. Various fees are reviewed every 1-5 years to
ensure that they are adequate to recover costs ofproviding specific services.
Other Sources will vary greatly from year to year as it includes such items as;
•
Development cost charges used to fund DCC capital projects,
•
Contributions from others for capital,
•
Interest earned on funds invested in accordance with the City's investment policy,
•
Grants, which are sought from other governments and government agencies, often to be
leveraged with City funds,
•
Casino revenue sharing income.
Proceeds from Borrowing - Debt is used where it mal<es sense such as for urgent projects or to
leverage grants where internal funding is not available. Caution is necessary when considering
debt as itcommitsfuture cash flows to debt payments, restricting the ability to use those funds to
provide other services. The source of the debt payments needs to be considered as does the
justification for advancing the project

Bylaw No. 1975
Page 4 of 4
Schedule "B" Continued
Revenue and Property Tax Disclosure
PROPERTY TAX DISCLOSURE
Property Tax Revenue Distribution
The table below presents tax revenue and tax rates based on the 2021 Revised Assessment Roll:
Property Tax Distribution
-
Property Class
Taxation Revenue
Net Taxable Assessed Value
Tax Rate
Multiple
($'000s)
%
($'000s)
%
($/1000) (Rate/Res. Rate)
1 Residential
24;087
68l%
10,101,343
85.50%
2.3846
ToO
2. utility
154
0.4%
9,207
0.08%
16.6920
7.00
3. Supportive Housing
-
0.0%
_
-
0.00%
2.3846
1.00
4. Heavy Industry
-
0.0%
_ _
-
0.00%
7.6545
3.21
5. Light Industry
6. Business/Other
7. Managed Forest
8. Rec./Non-Prefit
^9. Farm
326
0.9%
1
44,054
0.37%
7.3922
3.101
10,592
^29.9%
1,615,192
13.67%
6.5576
2.75
0
0.0%
182
0.00%
2.3846
1.00
132
0.4%
45,937
0.39%
2.8734
1.21
0
0.0%
116
0.00%
2.3846
s
1.00:
35,291
'
11,816,031
Objectives and Policies
Council sets tax rates to maintain tax stability between property classes. Property class multiples are
reviewed periodically to ensure that the burden of tax among property classes is not distorted by differing
market value changes between classes. In 2017 Council embarked on a 10-year program to reduce the
burden of business properties by reducing the multiple by 0.05 each year so that by 2026 the business
multiple will be 2.5.
Permissive Tax Exemptions
Policy with respect to permissive tax exemptions under section 224 of the Community Charter is that
exemption will be considered where the organization has demonstrated proof of community access to
citizens ofLangford at a nominal charge and community benefit in the previous year.
Council supports the establishment of assisted living seniors' housing in Langford and has granted 10-
year exemptions to three such developments.
Council has established a revitalization tax exemption program under section 226 ofthe
Community ChartervjU\ch grants a five-year or10-year exemption for eligible buildings. An
exemption certificate was issued for one property in 2011 for which the exemption expires in 2021