TEESWATER – South Bruce Council approved the hiring of Catherine Simpson as the new Manager of Recreation and Facilities effective May 12 of this year.

Simpson, who worked with the South Bruce Nuclear Exploration Team for over two years, takes over for Shawnette Crouse who left the municipality earlier this year.

Council approved Simpson’s hire by motion during its May 13 regular council meeting.

Past programming updates

South Bruce Recreation Programmer Amanda Watson said, in a report to council, that the municipalities’ LEGO Club finished on March 26 after extending the program due to weather cancellations. Six of the eight slots for the club were filled and the next session will be in Mildmay in the fall. 

Watson also reported the March Break camp’s registration numbers were just below capacity, with 13 of 15 spots being claimed. Seventy-seven per cent of parents provided a survey regarding the program responded with 100% saying they would be participating again next year.

The municipality’s Movie and Activity Day programs, held during professional development days where students aren’t in school, has been met with mixed responses, Watson reported. One held during March Break brought out 20 participants, she said in her report, while one held last month had half as many. The last event scheduled for this school year is set for June 6 after which staff will evaluate whether the program’s continuation if feasible for the next school year.

The municipality’s senior spring social was a success according to Watson, with 50 attendees enjoying a complimentary lunch followed by card games and crokinole. The program is supported through a Senior’s Community Grant from the provincial government. Watson said the feedback has been “overwhelmingly positive” with numerous attendees saying they would like to see this event run annually if funding is aavailable.

“Attendees indicated they would be open to contributing a reasonable fee to cover costs, ensuring the tradition can carry on,” she said in her report. 

Coun. Ron Schnurr asked if the program would be feasible without the grant money, and Watson said she believed it would be. She said, previously, the municipality was able to host a holiday senior social which included a meal that cost $25 per person. She said that dollar amount might be feasible, however it was for a full turkey dinner. Utilizing local caterers for a less extravagant meal could mean the events could be held with tickets costing less than that $25 mark.

“If we can hit under that, I think it would be reasonable for people to attend,” she said. “Hopefully, we would have the same numbers.”

Summer programming update

With the exception of the first week of summer camp, which is a part-week due to a holiday, the Municipality of South Bruce has less than five openings remaining in each other week of its summer camp program.

Watson reported that, through the Univerus recreation registration software, parents were able to easily register youth without waiting in line for hours at the municipal office on registration day. 

Watson explained, when asked by council why the first week had 14 vacancies out of 30 spots, that it was a three-day program versus the five-day programs offered the rest of the summer. She hypothesized that parents may have decided to take time off work, or that youth may be involved in other vacation activities for that short week.

Watson said weeks two and five of the program are full, while weeks three, four, six, seven and eight all had less than five vacancies. 

Coun. Mike McDonagh asked if the municipality was advertising those remaining spaces, and Watson said they were. 

Watson was frustrated, however, that only 14 surveys were returned following registration. She said that 134 registrants were sent a survey to gauge the ease-of-use of the Univerus system.

Coun. Ron Schnurr asked Watson how she felt about it, with her saying she wasn’t satisfied.

“It would have been great to see more people respond to those surveys,” she said. “We did send it to registrants with the email they registered with.” 

Watson noted this wasn’t like previous years where people had to line up to register where they had a more captive audience for surveys.

Deputy Mayor Nigel van Dyk pointed out this isn’t the first survey the recreation and facilities department had put out with poor uptake, and asked if there was anything the department was doing to remedy that.

Watson had explained, earlier in the evening, that there were more modules coming to the Univerus system that would make sending out surveys easier, but she mentioned that in-person survey options are always going to be great opportunities, and said that such options, such as sending surveys home with attendees to bring back the next day, might also present an opportunity for greater feedback.

Council received Watson’s report.

Memorandum of understanding with service club expired in December, 2024

TEESWATER – While South Bruce Council did eventually decide to resurface the Formosa Lions Club Park Playground in Formosa as the current covering did not meet the standards necessary, the timing of the request left some council members questioning the actions of the Formosa Lions.

The municipally-owned park, which, up until the end of last year, was under the control and care of the Lions, was in need of resurfacing according to Chief Administrative Officer Leanne Martin. She said a member of the Lions brought that to her attention and, after investigation, she verified it needed work. 

Through that investigation, however, she found that the Memorandum of Understanding (MOU) between the municipality and the Formosa Lions Club that saw the park, as well as other facilities, fall to the care of the club had expired at the end of December 2024. That MOU outlined that the Lions would both care for and benefit from, in terms of rental income, the park, the local campground and the community centre.

As a result of the expired agreement, the municipally-owned park was again the responsibility of the municipality, and Martin sourced a company that would provide resurfacing material and apply it for approximately $5,000. As this was not a budgeted expense, she suggested taking it from the parkland levy reserve fund which has $72,000.

Martin also stated that, in 2023, then-Manager of Recreation and Facilities Shawnette Crouse had suggested resurfacing all the parks, however budget constraints reduced that project to only two parks.

Deputy Mayor Nigel van Dyk said the timing of the request was “interesting”, and that the Lions benefitted from rentals for camping or use of the park but were now not contributing to its maintenance and upkeep.

Martin confirmed the Lions did receive the revenue from the rentals; however, she didn’t know exactly how much of a financial impact that had. 

“The agreement does indicate that they would provide maintenance of facilities and buildings,” she said.

Martin went on to say that a new MOU would make clear for both parties where those expenses would fall. She also noted, later in the meeting, that council and staff had been working on the MOU for some time, with Coun. Mike Niesen adding it had been close to two years. That MOU was in draft format and had been presented to the Lions, Martin said.

The opportunity to pursue a cost-sharing arrangement was brought up by van Dyk, who said it could be done prior to the MOU negotiations, since the park needed to be attended to immediately as it could be a liability in its current state. 

Coun. Jeff Goetz agreed, and asked why the park hasn’t been shut down since the municipality is now in charge of what could be a problem area.

“If it’s not safe, it’s not safe,” he said, indicating that shutting it down might encourage the Lions Club to work the municipality to get the park re-opened. “I think someone was playing some games here because now we’re stuck with this $5,000 bill.”

Mayor Goetz said he didn’t disagree, and said council had already faced criticism as a result of unpopular decisions made during the budget process, so having to work on this was not ideal.

He went on to ask Martin how other parks that were under similar agreements were handled. Martin said she didn’t have that information immediately available but would look into it. 

Getting the park into immediate working order was van Dyk’s suggestion, and that, if the Lions wanted to continue benefiting from the use and rental of facilities, the municipality could consider putting reimbursement requirements into the next MOU with the organization.

Coun. Mike McDonagh asked why the MOU had any kind of expiry date to begin with. He said that having a three- or five-year review made sense, but that the document should be in perpetuity until one group sought to end it. Coun Mark Ireland agreed, and Mayor Goetz said he also felt that, especially with the Lions running the camping grounds, it made sense to not have any kind of expiry time.

Mayor Goetz then explained that reviewing existing MOUs was under consideration when Crouse left the municipality, and that, going forward, staff would meet with all those clubs and, in the process of reviewing the budget and the MOUs, any other situations like this could be caught. He also said he was the first to credit volunteers and community groups for the work they do in supporting the community, however, after current budget issues, spending money in this situation was untenable for the council. 

After more discussion, van Dyk and Niesen moved to have the project proceed, which council voted in favour of.

TEESWATER – After receiving direction from council to continue investigating development charges (DCs) for the municipality, South Bruce staff looked for further direction on preferred exemptions, phasing in plans and discounts in the program.

During council’s April 8 meeting, Manager of Finance/Treasurer Kendra Reinhart, as part of her activity report to council, asked for direction on the above aspects to help with the creation of a bylaw to present to the public and council at a future meeting.

“We talked to our consultant, and they are still wanting any recommendations for the bylaw with regards to exemptions, phasing or discounts,” she said, asking if council had any preferences.

Not a phased approach

Council first discussed phasing in the charges, with Coun. Ron Schnurr asking if it might result in developers pushing forward with projects to get in under lower cost charges.

Mayor Mark Goetz, however, said that, while he initially pushed for a phased approach to the Bruce County development charges, he might not have done so knowing what he does now.

“We phased them in over a five-year period and it’s coming back to haunt us,” he said. “By phasing it in, the regular taxpayers are helping to fund each year until development charges are implemented in full.”

Reinhart said that was the case and would be until 2031 when the county’s development charges would be fully phased in.

Deputy Mayor Nigel Van Dyk asked if there was any difference from a lack of development charges all together and phasing them in, as far as charges to existing residents are considered. Mayor Goetz said there was not.

“The idea is to charge the proper people for the expansion of the infrastructure that’s going to benefit them,” he said. “By phasing it in, that leaves the door open and some of those costs are falling back to the taxpayers that paid for the original infrastructure.

Van Dyk said that, while charging existing residents for growth is not the goal, phasing the development charges in would give developers an opportunity to “hurry up and do developments now, or do it later with full knowledge there will be DCs involved”.

Van Dyk added he would look at a three-year phase-in period.

Mayor Goetz still was not convinced it was the right way to go.

“You have to tell yourself that the developers are not going to pay for this: they aren’t going to take it out of their own pockets,” he said. “It’s the end person that pays, the end person that benefits from the development. It’s hard to sort through that idea, I know.”

 Mayor Goetz explained that the issue is coming back to county council, where they are considering increases because of how much growth-related development is being levied against existing ratepayers.

“I just want to make sure everyone understands that before we make the decision,” he said.

Van Dyk asked if the phased-in approach of the county had led to rapid growth as developers tried to get in before higher tiers of charges were phased in.

“If the answer is yes, again my thought is I don’t think it’s a terrible idea,” he said. “It’s a balancing act … if the result is rapid growth in the next two years.”

Mayor Goetz said the municipalities with development charges are the fastest growing, but also some of the most expensive to buy or build in.

“Things are cheaper to build here,” he said, adding [development charges] would not change that significantly. “A large percentage of the population has been bid out of the marketplace in other areas because residential is expensive there. This is prime time for us to see development. The question I want you to ask yourself is, do you want to phase them in and see the rest of the ratepayers pay for that development?

“It’s not just a matter of adding a couple hundred houses – there are more streets to clean, sidewalks to clear, and that is going to take some of those [new] tax dollars to make that happen,” Mayor Goetz said. 

 After more discussion about phasing in the project, and what percentage each year should be, council defeated a motion to have a phased in-approach with a recorded tie vote.

Van Dyk, Schnurr and Coun. Mark Ireland voted in favour of a phased-in approach, while Coun. Mike Niesen, Coun. Mike McDonagh and Mayor Goetz voted against it. Coun. Jeff Goetz declared a conflict of interest.

As a result, the development charges, if approved, will not be implemented through a phased-in approach.

Exemptions

Council next discussed specific exemptions for the project, comparing lists of exemptions offered by neighbouring from Bruce County.

After significant debate, council voted in favour of exemptions for churches, cemeteries, municipal sites, county sites, local board of education sites, agricultural uses, temporary structures, like-for-like replacement buildings and non-residential commercial and industrial developments. Senior retirement units, which Reinhart said she would find ways to define, were also considered but not part of the initial motion.

After the decisions were made about exemptions and the approach, Reinhart said a bylaw would be produced and a public meeting would be set to review the document in the near future.

Denny Scott
dscott@midwesternnewspapers.com

TEESWATER – After a presentation from representatives of ONE Investment, the only organization permitted by the province to participate in certain investment plans on behalf of municipalities, South Bruce Council approved an investment policy with the group.
During council’s March 25 meeting, Jason Hagan, who handles municipal logistics for ONE Investment, and Keith Taylor, an expert investing with the firm, explained that they offered several different levels of investing, allowing the municipality to create a legacy fund with the funds it received from the Nuclear Waste Management Organization (NWMO).
The municipality, through the hosting agreement it signed with the NWMO, received $4 million for declaring itself a willing host for the proposed Deep Geological Repository (DGR) for used nuclear fuel, which it did last year through a by-election (referendum), and received a $4 million exit payment when the NWMO chose the other site left in the site-selection process, located near Ignace in Northern Ontario.
Previously, council had expressed a desire to invest the funds, allowing the municipality to benefit from the interest while leaving the principal alone.
Hagan and Taylor said that was possible through several different options, though heavily suggested that an investment plan including both more and less volatile investing options would be the best option.
Through such a plan, Taylor said, the municipality could benefit from upswings in the market and also weather times when the market was “naughty” or “misbehaving.”
He pointed out that, usually, when more volatile investing options, like equity, aren’t performing well, the inverse occurs with more stable options like federal bonds, and vice-versa.
Through the presentation, the representatives of ONE Investment said the municipality could possibly draw three per cent of the principal (approximately $240,000) per year to help benefit the municipality without impacting the principle.
After the presentation, councillors had numerous questions, including how reliable the investments were as far as the municipality benefitting from them without having to draw against the $8 million principle.
First, however, Coun. Mike Niesen asked, if ONE Investment was a not-for-profit, would the municipality’s investment require any kind of fee.
Taylor said the fees are “baked into” the investments.
“We have custodians for the funds that need to be paid,” he said. “The firm does not generate profit, and any excess revenue gets plowed back into the municipal sector.”
Niesen asked if the fees are based on the initial investment, or if there is a set rate.
“They are baked into the portfolios themselves,” Taylor said. “They accrue on a daily basis.”
He said those costs are taken off the return, and not invoiced, but are part of the fund itself.
The one exception, according to Hagan, was the High Interest Savings Account, which the municipality could use through the company or on its own, as there are no legal requirements around that.
Coun. Ron Schnurr spoke next, asking which option would make sure the municipality would never lose its principal, to which Taylor said, aside from the high interest savings account, there were no guarantees.
“The principle is not guaranteed,” he said. “We’re structuring it in a way that never needs to be touched. … We suggest, you can, over time, draw down three per cent per annum, and that should not drop below the ‘low water mark’ above the principle. What that means is, with a strong year in the market, you leave the additional funding generated through interest in … providing a buffer for bad years.”
Taylor would go on to say that the City of Kenora ran into a problem where they had to adjust withdraw limits as they invested shortly before COVID.
“They joined and then got close to that ‘low water mark’,” he said. “They didn’t have flexibility [during the COVID pandemic] and had to curtail drawing income until the market recovered. That’s built into the concept. You don’t want to eat into the capital, and, sometimes, you just have to sit on your hands.”
Schnurr then referred to a chart that Taylor had shown during his presentation which indicated funds could grow substantially over just 22 years, and asked if the municipality would see that kind of return.
Taylor said the municipality, drawing its 3% per annum, would likely see some kind of growth, but couldn’t guarantee anything. He said that bonds, over time, will rise above inflation, but equity is where significant growth is in the market.
“Typical equity returns will be well above what you get in bonds,” he said. “You need to take a little bit of risk, but you typically will get more than the 3% being withdrawn.”

Similar to OMERS
Hagan pointed to the Ontario Municipal Employee Retirement System, which uses similar investment strategies. He said that, the 10-year return in the system they are in, as of February of this year, was at 8.96 per cent growth annualized.
Deputy Mayor Nigel Van Dyk said he was fully in favour of the legacy fund, especially given that kind of 10-year return. He asked that, instead of looking at averages, the representatives give an idea of what kind of returns municipality could get on a year-over-year basis.
Taylor said Kenora had a five per cent growth last year, which wasn’t bad, but in a good year, equity growth could be in the high teens while bonds and similar fixed investments would be single-digit increases. By maintaining a blend of those, Taylor said, the municipality would be able to safeguard against most market-based fluctuations.
Coun. Mark Ireland, however, was not in favour of locking the funds in, and asked if that was the case with these kinds of investments.
“If the municipality sees an opportunity to invest in real estate, and that is better suited to the long-term growth of the community, will there be fees to access the money,” he asked.
Hagan said the funds are “fully liquid” and not locked in. Mayor Mark Goetz, however, said if that situation arose, the municipality could take out a loan and use the interest from the investment to make those loan payments.
After the presentation, council turned its attention to the investing policy presented by Director of Finance Kendra Reinhart. Van Dyk said he wanted to remove mechanisms that would allow council to change the agreement, and instead wanted wording that would see unanimous council approval needed to modify the investments in any way.
“With those … changes being made, no council could take out any money of the initial capital investment unless all members of council agreed to make a change to the policy first,” he said.
Reinhart said the term “unanimous” was originally in the document, but it was removed since council makes decisions based on the majority, which allows issues to be moved forward even if there are holdouts against decisions.
Ireland would then again say he wanted to make sure the money was as easy to access as possible so the municipality could use it for investments in the community.
Schnurr said he was against any kind of unanimous requirement, but did ask if, instead of a majority, the municipality could require more than that, pointing to 75 or 80 per cent agreement before a change could be made. Reinhart said that kind of decision was up to council.
In the end neither Van Dyk’s or Schnurr’s suggestions weren’t implemented.
Niesen asked Reinhart if this kind of investment would limit the municipality’s borrowing capacity, to which Reinhart said no, only debt impacts the amount the municipality can borrow.
After further discussion, council voted to approve the creation of the legacy fund policy.

NWMO Multi-Year Funding
Later in the meeting, Reinhart reported that the final multi-year funding report between the NWMO and the municipality had been delivered to the NWMO.
The report reviewed the funding for the final year of the municipality’s involvement with the NWMO site selection process. Through a multi-year funding agreement, the municipality was able to build a team to review the project, fund studies, and engage the community regarding the project. The NWMO will review and return the document to the municipality.
Reinhart said it would be addressed at a future council meeting.