County council notebook: Insurance premium rises by 1.9 per cent

Adam Bramburger

Beaver Staff

Lennox and Addington County will see a 1.9-per-cent insurance premium increase this year.

Councillors renewed their coverage for a period stretching from July 1, 2018 to July 1, 2019 at their regular meeting last Wednesday night, committing to pay $415,069 plus applicable taxes to the Frank Cowan Company Ltd. through local broker McDougall Insurance.

In a report to council, financial and physical services director Stephen Fox indicated the increase is primarily due to increases in property value and it follows a 4.9-per-cent decrease last year.

Fox indicated to councillors staff seeks insurance proposals periodically to ensure it is receiving a competitive premium. In 2012, the Cowan quote was approximately $90,000 lower than a bid from Jardine Lloyd Thompson Canada Inc., the other principal municipal insurance carrier.

Next year, the County will send out a request for proposals to provide insurance coverage and it will review potential options to enhance coverage. Fox reports Greater Napanee, Stone Mills, Loyalist, and Addington Highlands have expressed interest in a joint process to determine coverage.

Also Fox reported staff was recommending the County continue to hold cyber liability coverage after first arranging for it last year. The coverage, which costs about $5,500 annually will cover the County in the event of loss or theft of personal or confidential data from its computer systems or those stored on a third-party controlled shared network. The liability coverage is valued at $2 million.

In other Lennox and Addington council news…

– Following roads and bridges manager Chris Wagar’s  recommendation, council will direct staff to apply for granting from the Federation of Canadian Municipalities (FCM) Municipal Asset Management Program to develop a roads and bridges needs study,  commit the County to undertaking that study, and provide $27,500 or all remaining amounts applicable to the study.

The fund provides money to help municipalities with asset management to help them make informed investment decisions for infrastructure assets, Wagar noted. It covers up to 80 per cent of project costs to a total of $50,000. Staff believes the project meets the FCM’s criteria and believe the cost to complete the study would be $77,500. If successful, the FCM program would cover 64.5 per cent.

Wagar reported to council that the County normally completes a roads and bridges needs study every two to three years, with the last one done in 2016. The three lower-tier municipalities are planning to conduct similar studies and make similar applications to FCM for funding. They could issue a joint request for proposals for the completion of the study. The County’s technical advisory committee has discussed the value of each municipality having its study completed simultaneously by one consultant, ensuring the consistency among 10-year capital plans.

– In concert with the three local municipalities, the County plans to review the application a program that provides tax rebates and reductions for owners of vacant commercial and industrial properties. Provincial legislation requires a mandatory property tax rebate of 30 per cent for eligible commercial spaces and 35 per cent for eligible industrial spaces. Fox stated there are also similar discounts for vacant and excess land in commercial and industrial tax classes.

Fox reported that the cost of the vacant rebates results in increased property taxes to recoup the expenditure of providing the program and said the residential class, which makes up 80 per cent of ratepayers, pays. The vacancy unit rebate program had a total tax impact of $117,221 on the four municipalities and the school boards. The County, specifically, lost $29,582. Vacant land tax reductions had a total impact of $614,100 — $163,805 of which would have gone to the County. The bulk of the rebates and reductions were from Greater Napanee properties.

Last year, the provincial government resolved to give municipalities more flexibility under the program. Upon consultation, they can now phase out, lower, or eliminate the rebates or change eligibility criteria for properties to qualify. Changes must be approved by the Province.

Fox said of applications under the program in 2018, 75 per cent were repeat vacancies over the past two years. He suggested the programs might be counterproductive to economic development.

“In some instances, vacancy rebates may provide an incentive for property owners to hold onto vacant properties for future uses or speculation; thereby providing no productive use to communities and creating areas with chronic vacancies. Ongoing vacancies inhibit economic growth, job creation, investment and tourism.”

– Chief administrative officer Brenda Orchard reported she had met with her Mohawks of the Bay of Quinte counterpart David Souliere to address council’s direction to provide information about the possibility of recognizing First Nations peoples and their traditional lands before its meetings. She called the meeting “very productive” and said Souliere would be offering feedback on a draft statement.

– Chief of emergency services Mark Schjerning told councillors the newly funded 12-hour day paramedics day shift in Stone Mills Township would start July 1 with ambulances operating out of temporary space offered by the township.

“I’m excited about seeing the impact that 12-hour shift will have on response times,” he said.

A permanent $1.4-million base in Centreville is to open in November with Wemp & Smith Construction having received a tender to proceed with the project earlier in June. Their bid was the lowest of four received.

– Warden Bill Lowry brought forward a matter from Loyalist Township council regarding parking on County Rd. 6 near the Odessa fairgrounds. He said a resident asked township councillors last Monday if “no parking” signs could be installed and enforced to improve safety in the area and wondered what could be done at the County level to expedite bylaw considerations given that July and August are busy times at the site.

Wagar said the County could change its bylaws to include the section of road in question. He also added that temporary barrels could be placed along the road to prevent parking on the shoulder. Another option would be to see if the OPP could enforce temporary “no-parking” signs under the Highway Traffic Act.

– Councillor John Wise told his peers he’d heard a presentation at the Kingston, Frontenac, Lennox and Addington Public Health meeting suggesting the area is becoming a hot spot for Lyme disease. In 2016-2017, he said the number of cases tripled in the area.

“It’s not an epidemic by any means, but it’s trending in that direction,” he said.

Wise also said he learned various research indicated that backlogged ticks can also carry other organisms that can cause other diseases and conditions. One, he said, is very fast acting. He said the risk of Lyme transmission is considered low if a tick isn’t embedded for 24 or 36 hours, but another tick-borne disease with even more severe symptoms (known as the Powassan virus) can be transmitted in 15 minutes.

“This is an extremely serious risk situation we’re facing, particularly in rural areas with long grasses and tree cover,” he said, adding Public Health is talking to researchers and planning further public education.

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