“Ahead of schedule and under budget”

A couple of weeks ago, Bill Gibson, Chair of the Pelham Community Centre Oversight Committee, presented an upbeat update to Council.

Looking East into Accipiter Arena (from second floor)

You will recall that Council addressed suggestions from the public for proper project supervision by establishing Community Centre Oversight Committee. The committee includes two community members, one Council rep, and the Chief Administrative Officer. This committee works to ensure that the Town receives value-for-money in every aspect of the project, the project gets delivered on time and on budget, and to provide the community with consistent and timely updates.

Mr. Gibson provided updates on the two tender packages, project milestones, and finances.

The first tender package included pre-grading site work, building excavating, site servicing, foundation, structural steel, elevator and stairwell shafts, sprinkler system, roof deck, and hollow core slabs. Tender package two covered the concrete floors, reinforced steel (for masonry and slabs), interior/exterior masonry, spray insulation, roofing, insulated metal siding, zinc paneling, metal doors and frames, finish hardware, glazing, drywall/acoustics, dash boards, and seating. These two tender packages account for 77% of the total project.

Atrium Lobby (facing South)

Working as the construction manager, Ball Construction did not just tender the entire project. Rather Ball works with the committee, the architect, and the various contractors to manage the project’s timing and construction.

The presentation indicated that this value engineering process, led by Ball Construction, and the work of the committee, “has resulted in a project that, as of this date, has in excess of 75 percent of all sub contracts awarded (including work completed) which results in the project being ahead of schedule and under budget, including the 9,000 square feet of additional space.”

The presentation made clear that it was Ball Construction that suggested adding 9,000 square feet to the community centre in June 2016 to increase accessibility in hallways, common areas, and areas with heavy foot-traffic. They based this recommendation on their experience building more than 30 recreational / community centres in Ontario. Because it was so early in the process, the architect changed the plans well before issuing final drawings. Further, Ball signed on to the $32.5 million construction price cap in September 2016 – which includes these changes. Finally, since Ball tendered the project with these improvements, there will be no additional costs to improve the Centre.

Activity Centre (double gymnasium) looking South

The work is on target to enclose the building by the end of December, and for the project to be “substantially complete” by June 2018.

This construction update, the recent fundraising announcement – “Thanks a Million, Pelham” – and the recent signing of 5-year, binding agreements with major user groups demonstrates great progress!

Council and I look forward to the Pelham Community Centre becoming the place for residents of all ages to gather and enjoy a wide-variety of recreational, social, health and community activities for many, many years.

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Accipiter Arena - July 2017

Duliban Insurance Arena & Walker Industries Viewing Galleria - July 2017

Activity Centre (double gymnasiums) - July 2017

Dr. Gary & Mall Accursi Multipurpose Area - July 2017

To see recent videos and pictures the Pelham Community Centre construction process, please visit www.pelhammayordave.blogspot.ca. You may contact Mayor Dave at mayordave@pelham.ca.

_____________________________
14 July 2017 Correction: The initial post cited Mr. Bill Gibson as Bob. I apologize to Bill for the error, but greatly thank him for his service as Chair! D

Groundbreaking Another Milestone in Pelham's Progress

(L-R): Ralph Beamer, former-Mayor; Councillor Richard Rybiak;

Councillor Gary Accursi; Councillor Catherine King; 

Mayor Dave Augustyn; Councillor John Durley; Councillor Peter Papp; 

Darren Ottaway, CAO; John Nicol, Chair, Architectural Design Advisory 

Committee; Bill Gibson, Chair, Oversight Committee. (30 Nov. 2016)

Along with representatives of the Architectural Design Advisory Committee (ADAC), the Oversight Committee, former Mayor Beamer, Town Councillors and the CAO, I had the honour of ceremoniously breaking ground for the Pelham Community Centre last week. While members of ADAC, the Oversight Committee, Pelham sport and recreational associations, local service clubs, Town Staff, and the general public cheered on, we broke ground and threw some soil from “center ice” of Arena A.

As you know, since 1990 the community has consistently voiced a desire for new recreational facilities. In late-2012, when Council reviewed the seven consultant studies and staff reports, we confirmed that “no significant or meaningful financial work was completed.”

That’s why in 2013 the Town hired LeisurePlan to survey you and your neighbours about your needs, to test the business case for various amenities, and to develop an operating pro forma to satisfy those needs. In 2014 and 15, LeisurePlan presented a number of reports demonstrating sustaining-demand for a Community Centre and recommending that the Town construct a facility in the East Fonthill development area.

So, in August 2014, Council established an Architectural Design Advisory Committee with 15 volunteers representing various recreational user groups, youth, seniors, artists, service clubs and the community-at-large; by October, Council hired Petroff Architects to professionally design the facility.

During 2015, ADAC worked tirelessly with the architect, LeisurePlan, and Staff to develop concept drawings and presented a design. In the Fall of 2015, the Town hired Ball Construction as a construction manager to refine the design with all involved.

In mid-March 2016, Council received the final designs from the architect, detailed construction estimates from the construction manager, and financing options from Staff for the new Centre. The Town immediately started five weeks of community engagement on the proposal.

Encouraged by the community support and because of our years of due diligence and community involvement, Council approved the new Community Centre in late-April 2016.

During the summer and fall, Council approved a maximum-price construction contract, and established an Oversight Committee to ensure the facility gets built on-time (by last-spring 2018) and on-budget ($36.2 million).

I deeply appreciate all those involved – over many years – in developing the new Pelham Community Centre; the iterative yet important process has been a genuine community and grassroots endeavor!

The groundbreaking last week shows that by working together we can achieve great things and can continue to transform and improve our community.

I will keep you updated about Pelham’s Community Centre – the facility that will serve for decades as our community’s gathering place and recreational space for people of all ages and abilities.

Pelham Community Centre Progressing

Pelham Community Centre Approved Site Plan

During our special strategic planning session on September 16, Council verified our number one priority as completing the Pelham Community Centre on time and on budget. So, let me give you an update of progress to date.

Oversight Committee:
In August, Council appointed Gordon Morasco, Bill Gibson, Councillor Gary
Accursi and CAO Darren Ottaway to the Centre’s Oversight Committee. During their first meeting (on September 7), the Committee elected Bill Gibson Chair, confirmed their Terms of Reference, and received a project overview and status update from Ball Construction. The Committee will meet monthly and provide regular financial and construction updates.

Financial Progress:
As promised, the Town hired a temporary analyst to oversee all financial aspects of the Centre. Council insisted on this to ensure transparent tracking of Community Centre expenses and project revenues – including development charges, sale of surplus lands, and the debenture. This arrangement will also ensure regular Staff carry on seamlessly with the Town’s normal operations.

Also, Infrastructure Ontario approved the Community Centre loan and construction financing.

Site Works Progressing:
Council unanimously approved the Site Plan for the Community Centre last Monday.

As depicted in the Spring, the Town will locate the Centre at the corner of two new streets – Wellspring Way (with a traffic signal on Regional Road 20 at Pelham Petroleum) and Shaw Avenue (linked with Rice Road near the entrance of Duffin Appleworks). The Centre will stand adjacent to a public square and future transit stop and within walking distance to new stores and restaurants, the new medical centre and various types of residential housing.

Site Servicing by Beam Construction (19 Sept. 2016)

Last week, Ball Construction presented the blueprints and other Community Centre drawings as they applied for the Building Permit. While Staff review the application, Beam Construction continues with “earthworks” and will be starting “site servicing” – installing water, waste water, storm water, and electrical services – over coming weeks. While these significant works have already begun, we will host the ceremonial groundbreaking later in October.

Ball Construction and Staff will provide scheduling and financial updates at Council’s next and subsequent meetings.

Surplus Lands:
Council’s strategic priorities also includes “Begin selling surplus land at maximum dollar value and best use.” Over the summer, Staff prepared and Council reviewed a conceptual plan for the surplus lands that the Town owns in East Fonthill. Efforts continue on this priority.


I am pleased that we’ve made significant progress thus far on the new Pelham Community Centre, for the benefit of our entire community.

Oversight, Staffing, and Sale of Lands

Last Tuesday, Council held a special meeting to learn more about development charges, discuss project oversight and staffing of the new Community Centre, and move ahead on land sales / development.

Development Charges:
A Provincial expert in Development Charges affirmed that over the next 30 years, the Town is eligible to collect at least $12.1 million from the recreation services portion of the Town's Development Charges. Development Charges will also fully-fund all interest costs.

Because this revenue will only be for the indoor recreation services portion of the collectable Development Charges, funds will still be available to help pay for other growth related infrastructure throughout the Town – including roads, water, wastewater, fire services, library services, and transit.

Project Oversight:
Council approved establishing a Community Centre Oversight Committee that will ensure the project will be constructed on time and on budget. The small, volunteer Committee will supervise the project’s schedule, budget, quality of construction, final design, health and safety, and other risk mitigation measures. They will provide monthly reports to Council (and to the public at www.pelham.ca/community-centre). Council will consider the Committee’s terms of reference and members on June 6.

Council also approved the CAO’s recommendation to hire a financial specialist on contract (18 to 24 months) to oversee all financial elements of the Community Centre and the East Fonthill development. This dedicated position will not only provide constant financial management, but will also allow current staff to maintain the rest of the Town’s operations.

Staffing for the Centre:
The HR Director presented the first iteration of the proposed staffing needs to operate the Pelham Community Centre. The operating pro forma presented to Council in March – which shows it will cost approximately $110,000 (net) per year to operate the Centre – contained $611,699 for new staffing. While this first-draft shows 18 new staff – four (4) full-time, six (6) part-time, and eight (8) seasonal – staffing details will continue to be refined over the coming months as the Town prepares to open the facility.

Sale of Lands:
Council reviewed a comprehensive inventory of all the lands that could be considered and disposed of by the Town for development. Council further directed staff to develop a strategy, including the drafting of conceptual plans, for the sale the East Fonthill surplus lands (19.75 acres) and the Haist Street arena property (8.2 acres). Council also approved an Environmental Impact Study so that 12 tax-sale-lots owned by the Town on the unopened portion of Balfour Street (between Chantler and Webber Roads) might be sold.

Council continues to take steps to monitor and oversee the construction of the Community Centre and to ensure the financial plan is realized.

Pelham’s 2016 Residential Taxes Increases by 2.4%

Two months ago I wrote about how Council approved our 2016 Operating Budget. Since the Province issued the property tax rate for Educational purposes last week, I can now provide you with an update on the total 2016 residential property tax bill.

You will recall that the amount of property tax you pay to the Town of Pelham, to the Region, and to the Province (for Education) is not solely based on the Market Value Assessment of your property; we multiply your assessment by each of these three tax rates and add them up for your total bill.

The Municipal Property Assessment Corporation (MPAC) – the Provincial body that sets a value your home and property – re-evaluated and assessed all properties in the Province as of January 1, 2012. While this amount will be used as the value of your home in 2016, MPAC phases in any assessment increases evenly over a four-year period. The Town uses that changing assessment value when we calculate your property taxes each year.

When Town Council approved our 2016 Operating Budget in February, we didn’t know neither the Regional nor the Provincial rates.

Now that the Region approved the property tax rates and ratios last month and that the Province set their rate last week, we know that the combined property tax increase for an average residential property (valued at $309,200) in Pelham will be 2.4%.

Please note that this 2.4% is the “pocket-book” increase – the amount it cost an average residential property owner by adjusting for the average MPAC increase.

(I am sure that you would be interested to know that approximately 1.1% of this 2.4% is attributable to the one-time increase for the Pelham Community Centre.)

How do we measure whether that amount is “affordable” or not?

One independent way to judge whether Pelham’s taxes are “affordable” or not, is to compare them with inflation. For example, the Bank of Canada calculates that, over the last 10 years, inflation increased the value of goods and services by 17.7%. Over the same period, Pelham’s combined taxes for the average residential property in Pelham increased by 17.4% -- slightly less than inflation. And, this includes the amount already included in the Town’s 2016 budget to help fund the Pelham Community Centre.

Pelham Council and I continue to direct staff to ensure that we only minimally impact you and other property tax-payers while we increase the level and quality of services to the Town.

Answering Questions About Pelham Community Centre

Last week I wrote about the elegant design and affordable financing plan for the Pelham Community Centre. Since then, some folks asked me to report again about the projected operating costs and basis for a double arena.

Operating Costs:
Last Fall, Staff presented a very detailed pro forma that estimates that the Town can operate the Pelham Community Centre for an operating subsidy of less than $200,000 per year. (Lacking any energy efficiencies or operational synergies, our existing 40-year-old arena requires a $100,000 annual operating subsidy.)

The Architect and Construction Manager included the latest energy efficiency innovations – like an eco-chiller for heat exchange and LED lights – and took care to minimize wasted space while making the Centre’s layout very functional.

The facilities in some other communities include pools or fitness areas which are very expensive to operate and maintain. Further, many other facilities lack a compact design or use older technologies. Others also include debt servicing costs into reported operating budgets, making direct cost comparisons difficult.

Double Arena:
In early-2014, LeisurePlan recommended replacing the existing single arena on Haist Street with a new double arena in the East Fonthill area. Further, they recommended designing for two arenas but with a phased build – building one arena first, and construct the second pad after 2023/24 when sustaining demand developed.

As soon as the consultant released the report, arena users and community members questioned the completeness of the participation numbers used in the report.

Then, in 2015, the Architectural Design Advisory Committee (ADAC) recommended that the Town re-evaluate the business case for building a double arena during the initial build. In addition to concerns about not including all the current demand, ADAC expressed concerns with the overall cost and design implications of phased construction. For example, since they couldn’t easily phase-in electrical and mechanical systems and since the initial build would need “temporary” walls or future connections, the capital cost differential for phasing would be minimal.

In June 2015, LeisurePlan updated their previous projections by considering missing information and additional demand from existing arena ice-users (18-20 hours/week). They concluded that “a second ice pad would be utilized 69%-77% during prime time” and therefore recommended that the Town “should consider the provision of a second ice pad by 2018/19.”

In July 2015, Council agreed with this recommendation and directed that the design include two arenas.

You can review information about this very important and exciting project at Town Hall and Pelham Libraries or at www.pelham.ca/community-centre. And, please plan to attend the Open Houses on Saturday, April 16, to speak with the Architect, Construction Manager, Town Staff, volunteer Architectural Design Advisory Committee members and Councillors.

An Elegant and Affordable Community Centre for Pelham

Last Tuesday, Council received several presentations about the Pelham Community Centre.

The Architects presented an elegant yet very efficient design that includes adaptable and multi-purpose community spaces, a double-gymnasium (dividable into four sections), a double arena (main arena with 1000 seats; second with less than 100 seats), an indoor walking/running track, a concession area, change rooms and washrooms, and an atrium / lobby area. (Please click here to see the Architect's slide presentation.)

Based on an item-by-item-review of the design and informed by their experience on more than 30 community facilities, Ball Construction estimated the construction costs at $32.5 million. The construction managers also pegged total project costs – including design, furniture, fixtures, permits – at $36.2 million. (Please click here to watch a video of Ball Construction's presentation.)

Staff stated that the Community Centre will cost $46.66 for an average residential property (assessed at $309,200) or 3.44% on the 2016 Pelham portion of the tax bill only. That amount will allow the Town to purchase a 30-year debenture of $9.07 million from Infrastructure Ontario. Since Council already approved project funds in our 2016 Budget, the Town will not require any further property tax increases to build the Centre beyond this year.

The Town will fund the remaining costs through development charges, East Fonthill land sales, and fundraising. (Please click here for Staff's slide presentation.)

All new housing units and construction pay Development Charges (DCs) to cover the costs for the facilities and infrastructure required to help serve their new developments. The Town’s DCs can fund $12.1 million for the Centre.

In 2005, the Town purchased the 32-acres at the corner of Rice Road and Hwy 20 for $3.6 million ($112,000 per acre). After re-designating, re-zoning, and fully-servicing those lands, the Town will be able to sell nearly 20 acres for an estimated $12 million ($600,000 per acre). (Including the $1.1 million in interest payments, this sale would represent a return on investment of +150%.)

Based on a number of one-on-one interviews, a professional fundraising feasibility study recommends that the community can raise at least $3 million for the Centre. The Town will acknowledge donor generosity through naming and various other types of donor recognition.

This conservative financial plan does not include revenue from other sources like assessment growth from new housing/developments or from upper levels of government. (Council and I will continue to work with local MPs and MPPs to attract government investments for this project and/or other infrastructure improvements.

You may review the designs and the financing plans for this very important and exciting project at www.pelham.ca/community-centre or at Town Hall or Library branches. And, you may speak to the Architect, Construction Manager, Town Staff, volunteer Architectural Design Advisory Committee members and Councillors at Open Houses on Saturday, April 16:

• Fire Station #2 (766 Welland Rd.) from 10:00 AM to Noon;
• Fire Station #1 (177 Hwy #20) from 2:00 to 4:00 PM

Thanks for your interest in this very important and exciting project for Pelham!

Starting Public Engagement About Pelham Community Centre

Over the last number of years, Pelham Council has diligently scrutinized and prepared for a potential Community Centre. Starting next week, final designs, cost estimates, and financing options will be available to Council and the community.

In late-2012, Council directed staff to provide an executive summary of the seven consultant and staff reports – which date back to 1990 – recommending new or improved recreational and community facilities.

In 2013, we hired LeisurePlan International to conduct a statistically-significant resident survey about our community’s needs and preferences. They also tested the business case for various community facilities.

In 2014, LeisurePlan presented a number of reports demonstrating sustaining-demand for a Community Centre and recommending that the Town construct a facility in the East Fonthill development area. Council also established an Architectural Design Advisory Committee with volunteers representing various recreational user groups, youth, seniors, artists, service clubs and the community-at-large. (You may access these report at www.pelham.ca/community-centre.)

During 2015, the Committee worked with the architect, LeisurePlan, and staff to develop concept drawings and presented a design. Council directed staff to hire a construction manager to review and refine the design and to develop an operating pro forma.

All this work confirms the need and the sustaining-demand for a Community Centre that would include adaptable and multi-purpose community spaces, a double-gymnasium, an indoor walking/running track, and a double-arena. This facility could serve as the hub for residents of all ages to gather and enjoy a wide-variety of recreational, health, and community activities for many years.

On Tuesday, March 22, 2016, Council will receive updated information about the potential Pelham Community Centre, including presentations from the architect with the design and elevations, the construction manager reviewing the construction costs, and staff with details about financing.

Council plans to officially receive this information – thereby making it publically available – as the start of 4-5 weeks of community engagement.

We recognize that not everyone is able to drop everything to attend a Council meeting or an open house. That’s why there will be many ways for people to get information about the project.

For example, so that hundreds of folks can review the March 22 information, the Town will post the video of the presentations on the Town’s website at www.pelham.ca/community-centre on Wednesday, March 23. Further, Cogeco TV will broadcast the presentations on Thursday, March 24 at 1:00 pm.

The weeks of public engagement will also include at least one open house – at the largest venue possible – so folks can speak directly to the architect, the construction manager, Town staff, and Councillors. Please watch traditional and social media for details about this meeting soon.

Finally, we are also planning several other opportunities – presentations to service clubs, athletic groups, and Town committees, and displays at various Town facilities and at the Pelham Home Show – for folks to learn about this exciting project.

Pelham's 2016 Operating Budget Approved

Council recently approved the Town’s 2016 Operating Budget. The new budget translates into an increase of approximately 7.86% (or $107.44) on the Pelham portion of your property tax bill for the average residential property (assessed at $309,200).

Since Pelham’s portion of your property taxes represents roughly 37% of your overall residential tax, we anticipate the average “blended” increase – including the Regional and Provincial portions – to be around 2.9%.

In preparing for the operating budget, Council directed Staff to review all expenditures against customer service needs and the Town’s strategic plan.

The overall budget increased by $792,873 (net). The major increases over 2015 include:
• A $269,830 transfer to the capital reserves to help enhance and maintain our excellent infrastructure and build on the $175,979 that we added to capital reserves last year;
• $79,629 for increased maintenance and $49,731 for increased utility costs for Town facilities;
• $11,007 to increase the Pelham Public Library grant to fund the Library’s cost-of-living-adjustments (COLA) and to double the hours of the renewed Maple Acre Library branch – from 14 to 28 hours per week – starting in November.
• $250,786 for Staff wage and benefit increases. This includes a 1.3% COLA increase, performance management compensation, and required benefits increases (of approximately 10%).
• And $416,984 for additional principal and interest payments. (See below for more details.)
These net to an increase of $792,873 because of the benefits of new assessment growth ($184,469) and of other expected revenue increases ($100,625).

As I wrote about a few weeks ago, Council earmarked $37 million in the Town’s 2016 Capital Budget toward constructing a potential Community Centre. We did this because we are getting close to a final draft design and so that we might be “shovel ready” for potential investments from upper-levels of government.

So that we might be further ready, Council now earmarked operating funds for principal and interest payments that would allow the Town to purchase at least a $5 million, “re-payable,” 30-year debenture from Infrastructure Ontario (at an estimated rate of 3.48%). Council would only approve this debt if we proceed with a proposed Community Centre; if we do not proceed in 2016, the funds will accumulate in a special reserve.

Draft Designs Soon: On a final note, the Architect and Construction Manager anticipate that they can present draft designs, including elevations and more accurate construction cost estimates, by March 21. Council wants to understand your thoughts and feelings on the proposed design and financing of a potential Community Centre in late-March and early-April before we make further determinations. We look forward to that informed discussion!

For more information about Pelham’s Operating Budget, please click here.

Help Encourage “Social Infrastructure” Investments

You may recall that during the summer there were no grants available from the Provincial or Federal government for “quality of life investments” like recreational facilities.

In July, I informed you that “Since there are currently no Federal or Provincial grants available [for a potential new community centre], the Town will continue to lobby for a policy change and for funding.”

In August I asked that you assist the Town’s efforts; I wrote “So, during this National election, please ask your local candidates to ensure that the Canadian Government will also help fund improvements to our quality of life – like new recreational and cultural facilities.”

Since that time, Canadians elected a new Federal Government. During their election campaign, the Liberal Party promised: “Over the next decade, we will invest almost $20 billion more in Canada’s social infrastructure.”

What did they mean by “social infrastructure”? They meant investments that “improve quality of life for millions of Canadians” like investments in “affordable housing, seniors’ facilities, early learning and child care, and cultural and recreational infrastructure.”

This could potentially mean great news for Pelham; it could help make our potential Community Centre more affordable. And, it’s one of the reasons why Pelham Council recently earmarked $37 million in the Town’s 2016 budget toward constructing a potential Community Centre; you see, previous Federal and Provincial grants only funded projects that local Councils already included in their approved capital budgets.

Now, I am asking again for your help with our lobby efforts. You see, last week the Federal Finance Minister Bill Morneau launched 2016-17 pre-budget consultations. He  “…called upon Canadians to share their thoughts on how to better support the middle class, create jobs, and set the right conditions for long-term prosperity and stronger economic growth.”

The Federal Government is seeking feedback from Canadians on a number of topics, including: “What infrastructure needs can best help grow the economy, protect our environment, and meet your priorities locally?”

Therefore, I encourage you to participate in the Federal government’s pre-budget consultations and suggest that they help fund cultural and recreational facilities with the Provincial Government(s) and Municipalities.

Please check out their website at www.budget.gc.ca/pbc16/ and follow the options for online consultations (including via Facebook and Twitter). You can also write to: Honourable Bill Morneau, Minister of Finance, Department of Finance Canada, 90 Elgin Street, Ottawa, Ontario   K1A 0G5.

With your help, we can encourage the Federal Government to help make “social infrastructure” investments – like for a potential Pelham Community Centre – a priority and a reality!