ADMINISTRATIVE REPORT
Date: April 3, 1996
TO: Vancouver City Council
FROM: Director of Finance
SUBJECT: 1996 Operating Budget -
Collingwood Neighbourhood House Society
RECOMMENDATION
THAT Council approve a 1996 grant of $195,171 to the Collingwood
Neighbourhood House Society for the operation of the Collingwood
Village gymnasium; source of funds to be the 1996 'Other Grants
budget.
GENERAL MANAGER S COMMENT
The General Manager of Corporate Services RECOMMENDS approval of
the foregoing.
COUNCIL POLICY
City Council, on December 15, 1994, approved a three year operating
agreement with the Collingwood Neighbourhood House Society for the
operation of the gymnasium, with an annual operating grant of $191,700
(1994 rates).
Approval of grant requires eight affirmative votes of Council.
BACKGROUND
The Collingwood Neighbourhood House Society has been operating in the
new building since late 1995. On December 15, 1994, Council approved
a three year operating agreement with the Collingwood Neighbourhood
House Society to operate the gymnasium and the on-site childcare
centre for the period of 1995 to 1997.
For the gymnasium, the City is responsible for the cost of providing
the basic level of service comparable to other Park Board facilities,
with the Collingwood Neighbourhood House Society responsible for
providing services above the basic level. The Director of Finance is
responsible for the annual review of the operating budget with the
Gymnasium Steering Committee for report back to Council.DISCUSSION
A. 1995 Operating Results
1. Operating Budget
An amount of $73,300 was provided to the Collingwood Neighbourhood
House Society to operate the gymnasium in 1995. The funds have been
fully expended and accounted for in accordance with the approved
budget.
2. One-Time funds for Purchase of Gymnasium Equipment
Council approved a one-time grant of $86,400 in 1995 for the purchase
of gymnasium equipment. $64,000 have been spent to the end of 1995 to
provide the gymnasium with the basic equipment to support the current
programs. The purchases have been made through Park Board whenever it
is feasible to take advantage of the best available prices. The
Gymnasium Steering Committee have been reviewing the programming, and
propose to spend the remaining $22,400 by middle of 1996 to acquire
additional equipment to support the programs.
B. 1996 Request
The Collingwood Neighbourhood House Society has submitted a 1996
request to the City for $195,171, representing an increase of 1.8%
over the 1995 annualized funding level of $191,700. Staff have
reviewed the details supporting the request and are satisfy that they
are reasonable and comply with the original budget prepared in 1994.
It is anticipated that, by the end of 1996, staff would have operated
the facility for a full year, and would have gained sufficient
experience to make changes to the original budget to better suit the
operation needs of the facility. A more in depth review of the request
will be undertaken at that time.
The Director of Finance recommends approval of the $195,171 request
with the source of funds to be the 1996 'Other Grants budget.
C. Collingwood Amenities Endowment Fund
The Collingwood Amenities Endowment Fund is managed by the Vancouver
Foundation and currently has a balance of $2.05 million. It consists
of a $2.0 million contribution from the City through the recovery from
the Canada-British Columbia Infrastructure Program, and a $50,000 in
capital funds raised by the Society. A further $25,000 in donation
has been committed and will be added to the Endowment Fund next year.
It is estimated that the Endowment Fund will earn an interest income
of $146,500 in 1996 and the revenue has been included in the
consolidated operating budget of the Society to support its
activities.
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