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200923 BIA MIN 1 Tillsonburg Business Improvement Area MINUTES - Board Meeting of Wednesday, September 23rd, 2020 IN PERSON & ZOOM @ CARRIAGE HALL – 25 BROCK ST. W. TILLSONBURG Time: 7:00 AM – Breakfast Meeting: Business Meeting 7:30 AM – 9:30 AM CLOSED SESSION: 7:30 AM – OPEN SESSION: 8:30 AM 1. CALL TO ORDER: Time: 7:36 a.m. QUORUM: Count members present 7/8: C. Tomico, M. Van Geer Truyde, J. Tilson, M. Tedesco, D. Gilvesy, W. Cameron by e-vote, D. Rasokas by e-vote – C. Tomico left the meeting at 8:40 am. Staff present: C. Pepper; Guests present: S. Lamb Regrets: A. HIcks 2. CLOSED SESSION: (7:36 AM) For the purposes of discussing: a) Human Resources; including identifiable individuals moved by: M. Van Geer Truyde seconded by: D. Gilvesy “And resolved that the Board of Management of the BIA moved into closed session to discuss HR – personnel matters about identifiable individuals including board employees”. “CARRIED” 3. OPEN SESSION: (8:40 am) 4. ADOPTION OF THE AGENDA: moved by: M. Van Geer Truyde seconded by: J. Tilson “And resolved that the agenda, as prepared for the BIA Board of Management meeting for September 23rd, 2020 be adopted”. 5. DISCLOSURE OF PECUNIARY INTEREST AND THE GENERAL NATURE THEREOF: None declared by members present. 2 6. ADOPTION OF THE MINUTES from the board meeting of July 23rd, 2020 moved by: M. Van Geer Truyde seconded by: J. Tilson “And resolved that the minutes, as prepared for the Tillsonburg BIA Board of Management meeting of July 23rd, 2020 be adopted”. “CARRIED” 7. BUDGET: The ED reviewed the entire budget and business plan binder. C. Gilvesy spoke about the financial challenges and the possible second wave of the pandemic and how this impacts the membership. The ED confirmed that the 0% levy increase applies to the year-over-year levy not including the proposed new zone. The Board also wants to ensure that there is no program spending in those areas where the offsetting revenues are forecasted – for example the “Business Retention Program – BRP”. The ED spoke to this feedback and confirmed that there will be no spending for either the new levy amount until the boundary adjustment is approved and enacted and second, where grant funding is not secured, the offsetting expenses will be put on hold. In the event a grant application is successful and that the amount received is greater than the budgeted amount; the ED would prepare a report to the board to apprise the board of same and would only spend these surplus funds as approved by the board. Also, the ED reminded the Board that at any time in 2020; the Board may, of its own volition; reduce the budgeted amounts lower. The Board is not able to increase the annual budget without first having same approved by the municipality. The Board also added a 6th condition to budget approval being the adoption of the full-year 2021 marketing plan. The ED also reviewed the staffing plan including FTE requirement. There is no increase in FTE’s for 2021. The ED also reviewed with the Board that the MOU for 2021 still needs to be finalized and approved during the Town of Tillsonburg budget and business plan process. MOTION: moved by: M. Van Geer Truyde seconded by: M. Tedesco 3 “And resolved that the BIA Board of Management approves the 2021 budget as follows*: Existing boundary - $139,450 + New boundary (upon effect) - $24,280 for a total BIA levy of $164,270 resulting in a per member decrease of (-11.7% vs 2020) and Total revenue - $444,829 – Total expense - $444,829 – Deficit - $0; with no funding from reserves, debenture(s) or other borrowing facilities. *Final approval of the budget is subject to the following codicils: 1) Confirmation of the execution of the 2021 MOU with Town of Tillsonburg in the requested amount of $50,645; (CAPEX, operating, tourism); 2) Confirmation of the $31,000 Town of Tillsonburg contribution to the FIP; 3) Approval of the recommendations contained in Board Report HR09-01; 4) Acceptance of the BIA resolution requesting changes to the Town of Tillsonburg BIA levy write-off policy; and 5) Approval by the Council of the Town of Tillsonburg for the proposed BIA boundary expansion plan and 6) Approval of the 2021 marketing plan. “CARRIED” 8. PROPOSED NEW LEVY WRITE-OFF POLICY: The ED presented the background information and policies that have been adopted by other municipalities in Ontario. The ED referenced the telephone call with Kay Matthews, ED of the OBIAA and how there are various policy options throughout the province to deal with this longstanding BIA concern. The impact here is the BIA’s inability to deal with tax levy rebates and write-offs as was the case in 2015 where the BIA was financially pressured to the point of insolvency without having to borrow $43,000 to fund the then current year budget due to multi-year assessment rebates from the 170, 200 and 248 Broadway properties. The Board agreed with the ED’s recommendation. The ED presented the following resolution for consideration of the Board: moved by: M. Van Geer Truyde seconded by: J. Tilson MOTION: “And resolved that the BIA Board of Management requests that the Town of Tillsonburg change the BIA levy write-off policy that all future write-off(s) attributable to the BIA for the levy are absorbed into the Town of Tillsonburg financial statements commencing with January 1st, 2021; and are not passed on to the BIA”. “CARRIED” 4 Note: A “Decision Letter for Action” to the Town Clerk, Administration and Town Council will be sent as formal process and action request to the Town of Tillsonburg. 9. TOWN HALL COMMITTEE: The ED reviewed the situational analysis of the importance of the Town Centre Mall on the financial and operational viability of the downtown core area. The Board was in agreement with the importance of reminding council of the BIA Board of Management position as it relates to keeping the Town Centre Mall as viable as possible given the retail challenges, the impacts of COVID-19 and the importance of this mall as an anchor to the entire town and downtown area. The Board spoke unanimously to recommend that the Town Corporate Offices/Town Hall are to remain at 200 Broadway. The Board provided comment and supports the ED’s recommendation to advise council of the BIA’s known position which remains the same. The ED prepared the following resolution: moved by: M. Tedesco seconded by: J. Tilson MOTION: “And resolved that the Board of Management of the BIA reiterates it’s support that the Town of Tillsonburg Corporate offices to remain at 200 Broadway and that the BIA is consulted throughout the review, decision and implementation process, (if and when applicable). The BIA recognizes that the Tillsonburg Town Centre Mall is the pre-eminent centre of commercial, service and retail activities in the downtown core and as such, must remain an economically feasible, vibrant and operationally successful anchor in the community”. “CARRIED” Note: A “Decision Letter of Action” to the Town Clerk, Administration and Town Council will be sent as formal process and action request to the Town of Tillsonburg. 10. BIA BOUNDARY EXPANSION: The ED presented a report to the Board about the importance of being proactive with expansion of the downtown BIA zone given that it is currently built-out. The ED highlighted the risk of developers who might argue and use the Town’s Official Plan against both the BIA and Town of Tillsonburg to rebuke or litigate that since there is no room for box or other stores; including a potential hotel etc.; that development might accelerate at either of the North Broadway retail node or the Norfolk Mall retail node in neighbouring Norfolk County. The ED also reviewed the history of the current BIA boundary which has only been modified once since 5 inception in 1978. The only minor boundary change occurred with the new Canadian Tire development in 2003. The ED also informed the Board that there are several interested parties, box-style national retailers, who are interested in the Tillsonburg market area. The ED indicated that these stores are at risk of not being built or may have to be located elsewhere since there is currently no designated or “shovel-ready” site(s) for location in the BIA zone/Central Business District (CBD). The BIA boundaries have largely remained the same for 42 years while the town population has increased from 10,487 in the 1981 census to a September 2020 population estimate of 18,005. This translates into population growth of 71.7% during the last 40 years. The board supported the analysis. Questions surrounded the process and what happens next. The ED reviewed that this is the first step in the process which asks Town Council and Administration, via a report to Council from the Town Clerk – Michelle Smibert; to ask for approval to move forward with the legislated requirements of the Municipal Act. If so approved by Town Council; there is a prescribed and detailed process for BIA zone expansion which must be followed. The final boundaries would be subject to public consultation and feedback. *Note: No boundary expansion would occur without support of the membership. There is also a threshold for rejection of the proposed boundaries. The ED has reached out to several of the property owners in the proposed expansion area and the feedback has been very favourable thus far. The BIA will need to create a positive and impactful communication strategy to explain the rationale for the expansion and the importance of moved by: M. Van Geer Truyde seconded by: J. Tilson MOTION: “And resolved that the Board of Management of the BIA adopts the proposed map for the expansion of the BIA boundaries effective on or about January 1st, 2021; and further requests the Administration & Council of the Town of Tillsonburg to outline the public process for public engagement with all stakeholders in accordance with the provisions for BIA’s under the Ontario Municipal Act”. “CARRIED” 6 Note: A “Decision Letter of Action” to the Town Clerk, Administration and Town Council will be sent as formal process and action request to the Town of Tillsonburg. 11. PROPOSED CANNABIS CLINIC: The ED met with property owner at 69 Broadway, (Carlos Oliveira) on September 16th and it was discussed that a proposed tenant has been secured for the empty premises (vacant unit to the north of the 69 Broadway municipal address). The applicant/prospective tenant is currently operating a cannabis store in City of Toronto and the proposed Tillsonburg site would be a 2nd location. The ED suggested to Mr. Oliveira that this proposal would be presented to the board for consideration of a resolution in support. The ED has researched the cannabis legislation and recommends to the Board that perhaps a positive resolution be sent to the appropriate authorities in support of the application for BIA member Mr. Oliveira. The ED has prepared a resolution for consideration of the Board as follows: moved by: M. Van Geer Truyde seconded by: J. Tilson MOTION: “And resolved that the Board of Management of the BIA supports the proposed occupancy of the North unit of 69 Broadway (next to Tillsonburg Wine & Beer Studio); in downtown Tillsonburg for the location of a cannabis retail outlet”. 12. PROPOSED GROUND LEVEL APARTMENTS: The ED has previously sent out the application for zone change regarding the addition of 2 ground-level apartments to the Sammy Krenshaw’s/bowling alley property located at municipal address 47-49 Broadway in downtown Tillsonburg. It is unusual to have ground floor residential units in a downtown core area and especially on the primary retail arterial road. These proposed apartments would consume what would otherwise be street-level retail space. This would potentially set a dangerous precedent for the downtown core area. The Board put forth the following motion as follows: moved by: M. Van Geer Truyde seconded by: J. Tilson MOTION: “And resolved that the Board of Management of the BIA objects to the zone change application to create 2 at-street level apartment units at 47-49 Broadway”. “CARRIED” 7 13. FINANCIAL REPORT: The ED presented the financial report to the Board. There were no questions about the current bank balances/investments. The ED highlighted that there are significant inflows of cash for September 30th as outlined here. There is one aged receivable from Dufferin Construction which will be resolved forthwith. Funds on deposit at CIBC: as at 08/31/2020: $62,375.80. Funds on deposit at FirstOntario: as at 08/31/2020: $67,735.18. Total funds on hand as of 08/31/2020: $130,110.99. The net change from the previous month (-$20,360.86). There are a number of revenue & cash flow items in process which will be received on or about September 30th, 2020. The year-to-date expenses are higher than planned due to variances with the pop-up patio project and part-time labour costs as the MOU and CFDC projects were not originally planned for in the 2020 budget. The ED expects that due to timing; there will be a net surplus for 2020. The pandemic also impacted the completion of the Façade Improvement Program projects for 2020 and expect that there will reduced costs for the 2020 fiscal year. 14. EXECUTIVE DIRECTOR’S REPORT: One item. Marcel Rosehart of Carriage Hall at 25 Brock Street West, has submitted a request to be appointed to the Board of Management of the BIA. The ED prepared a resolution for consideration of the Board as follows: moved by: M. Tedesco seconded by: J. Tilson MOTION: “And resolved that the Board of Management of the BIA formally requests that Marcel Rosehart, landlord and business-owner of Carriage Hall located at municipal address 25 Brock Street West, Tillsonburg be appointed to the BIA Board of Management”. “CARRIED” 15. ROUND TABLE: No comments. 16. NEXT MEETING: Thursday, October 22nd, 2020 at Carriage Hall 17. MOTION TO ADJOURN: Time of adjournment: 10:03 am a. moved by: J. Tilson b. seconded by: M. Van Geer Truyde