GFOABC Dollars & Sense - March 2022 - Issue 118

Dollars & Sense P e r s p e c ti v e

Issue #118 • march 2022

Conference Highlights Celebrating Lenora Lee Treasury & Investment Management

p r es i d e nt ’ s m es s ag e in this issue President’s Message 2 Executive Director’s Message 4 Conference Highlights 6 Member Profile 8 Treasury & Investment Management Course – Part 2 9 Rethinking the Budget Process in Uncertain Times 10 Budget Insurance for Natural Disasters: An Innovative Approach to Address Growing Costs of Climate Change in Canada 12 Cyber Awareness Training for Employees: Empowering Employees to Be Your First Line of Defense Against Cyber Attacks 14 Creating Municipal Partnerships for Vibrant Communities 16 Bootcamp Returns 18 Collectors’ Corner 19 Quarterly Question 20 Thank You Exhibitors 21 Thank You Sponsors 22

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said it in December, but it bears repeating… it’s been quite a year. Actually, let me correct that, it’s been quite a couple of years. When I took on the role of President last June, I envisioned that the worst was behind us and we would soon be transitioning back into some sort of normalcy; in-person Board meetings, perhaps a visit to the GFOABC office, maybe even a group celebration at Christmas…. Well, we know that didn’t go as planned. But as I write this, dare I hope that we are about to turn a corner?

All of us have experienced two years of intense challenges. Yet, we all keep working hard to provide financial expertise to the communities we serve. We also make the time to attend webinars and online training sessions to continue to improve our skills. One of the things that keeps me showing up each day is knowing I have the support of a group of amazing colleagues across the province. Even as we grapple with our ever-increasing workloads, we always find the time to help each other out. It’s one of the reasons I have truly valued the opportunity to be a part of GFOABC. I want to thank our membership, staff, Board and committee members, volunteers,

partners and sponsors for your continued efforts building and maintaining this incredible community.

Now, at the risk of jinxing the universe, it does look like we truly are heading into a period of transition and will soon be able to meet in person again. And, what better way to re-set ourselves than a traditional in-person conference experience! It’s going to be filled with all the things that I’ve missed over the past couple of years: a road trip! a stay in a lovely hotel! reconnecting with so many of you in person! meeting new colleagues! evening get togethers! listening to and getting inspired by all the great speakers and panel members we have lined up! The list goes on and on. And while I expect that I’m going to be a bit rusty and am already nervous at the prospect of speaking in front of actual reallive people again, it’s going to be so worth it! I get a lump in my throat just thinking about it. I don’t know about you but I’m packing Kleenex…

See you soon, Lorraine Coughlin, GFOABC President

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hank you to the Board of Directors and Committee Members-at-Large for their dedication and hard work over this past year. The commitment to your Association and colleagues across the province has allowed us to achieve many of our strategic goals and work towards our vision to be the leading source for knowledge sharing that empowers BC local government financial excellence.

If you are interested in serving the membership by becoming a GFOABC Board Director or Committee Member-at-Large, please reach out to President Lorraine Coughlin at lcoughlin@gibsons.ca.

Committee Members-at-Large Komal Basatia, City of Abbotsford Chris Calder, Fraser Fort George Regional District Elio Iorio, District of North Vancouver Mario Piroddi, BDO Lyle Smith, Central Okanagan Regional District

Board of Directors President Lorraine Coughlin Vice President Nyla Attiana Secretary-Treasurer Rianna Lachance Past President Trevor Thompson

Directors at Large Julia Aspinall Jim Bauer Jeannie Bradburne Shelley Hahn Kathy Humphrey Lenora Lee Talitha Soldera

Staff Kala Harris, Executive Director Gerilee McBride, Graphic Design

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e x e c uti v e d i r e c t o r ’ s m es s ag e S

pring has arrived and with it, a new sense of optimism abounds. Not the optimism of June 2020 when we began to emerge out of what we thought was the end of the pandemic and not the optimism we felt after the first jab in the arm in January 2021—then the second and third. It’s a bit of cautious optimism mixed with excitement around getting back to “normal” or normal-ish.

For GFOABC getting back to “normal” means planning our first hybrid conference. This year’s conference, NEXT LEVEL FINANCE: Leadership & Transformation, will be held in person at the Penticton Lakeside Resort & Conference Centre, a perfect backdrop for reconnecting with colleagues and friends.

Not to be outdone by the conference backdrop, the conference program provides an opportunity for in-person, and virtual attendees to choose from thirty sessions over two and a half days.

Sessions include two incredible keynotes that will present on topics of diversity, equity and inclusion.

On day one of the conference, Jessica Nordell, awardwinning author, science writer, and speaker will share what she has learned through her 15-year odyssey of researching, reporting and writing on the subject of bias and discrimination. On day two, Jesse Wente, broadcaster, Indigenous advocate and author of Unreconciled: Family, Truth and Indigenous Resistance, will share his story and thoughts on truth and acceptance on the journey to reconciliation.

Plenary sessions will take a deeper dive into ESG and Social Purpose, Digital Transformation in the Public Sector, and the Future of Work. The Future of Work presentation will pick up where we left off with the 2017 keynote presentation on the Skills Gap—the perceived

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difference in skills employers want versus what job candidates have. Fast forward to 2022 and the landscape has been irrevocably changed. How is this landscape impacting BC local government, and what can be done to attract and retain talent?

This year’s conference will also see the return of a focus group session. This year’s focus group will look for feedback from members on a newly established Leadership Competency Framework. The framework outlines seven competencies needed to demonstrate excellence in local government finance. Each competency has three levels, and each level includes a description of what it means to demonstrate a particular competency at each level. We look forward to receiving input from members and will reach out ahead of the conference with an RSVP invitation to attend.

In addition to the program and focus group sessions, this year, we have reintroduced in-person pre-conference professional development workshops. This year’s line-up includes Treasury & Investment Management, Annual Municipal Tax Sale, Asset Retirement Obligations, and Debt Financing.

We look forward to welcoming everyone to this year’s conference. In-person or online. We hope you and your team will join us for our first hybrid conference!

Penticton or bust!

Kala Harris, Excutive Director

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Do you know someone who deserves recognition?

Excellence in Local Government Finance Awards nominatio n p er io d en ds mar ch 31 s t

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c o n f e r e n c e h i g h l i g h ts Penticton Lakeside Resort + Online Conference Program Announced! Schedule at-a-glance Welcome Reception | May 31, 6:00pm–9:00pm Gala & Awards Dinner | June 2, 6;00pm–9:00pm Accommodation | Reserve you hotel room today!

Conference Volunteers | Receive one-day pass to sessions!

EARLY BIRD PRICING ENDS MARCH 31 | REGISTER NOW PRE-CONFERENCE WORKSHOPS | REGISTER HERE MAY 30, 2022 - DEBT FINANCING MAY 30, 2022 - ARO WORKSHOP: SCOPING & MEASUREMENT MAY 31, 2022 - ANNUAL MUNICIPAL TAX SALE MAY 31, 2022 - TREASURY & INVESTMENT MANAGEMENT (PART 2)

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Keynote Speakers

Beyond the spreadsheet: Making sense of ESG and Social Purpose in local government finance ESG is a hot topic in financial, business and government circles, but what does it mean for municipalities and more specifically municipal financial professionals? Is it just another buzzword, or is it an imperative? In this age of uncertainty people and organizations are looking for focus and meaning and finding it in a social purpose North Star, where their purpose is to create a better world. What should finance leaders understand about this trend and how can their teams and organizations benefit? These questions and more will be discussed in this exploratory and provocative dialogue with two national ESG and Social Purpose thought leaders. The conversation will challenge and inspire.

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M e m b e r p r o f i le gfoabc congratulates Lenora Lee

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lease join us at GFOA BC in congratulating and celebrating the achievements of Lenora Lee. In February of 2022, the Chartered Professional Accountants of British Columbia (CPABC) honoured Lenora Lee, FCPA, FCA with a fellowship designation (FCPA) for her outstanding professional achievements and community contributions.

Lenora has been an important contributor to the success of the Government Finance Officers Association of British Columbia (GFOABC). She has served on GFOABC’s Board since 2015 and over her Board tenure, Lenora has also served on the Finance & Administration, External Relations and Education Committees.

GFOABC relies strongly on its partners to deliver education programs that are relevant and responsive to our members’ needs. Lenora has dedicated a significant amount of her time and expertise in developing and presenting courses, webinars and workshops on a regular basis.

Her many contributions include: • being a regular author for articles in the GFOABC quarterly newsletter informing members of current developments such as proposed accounting standards • providing real-time resources for GFOABC’s members during COVID-19, including summaries of discussions with the Ministry of Municipal Affairs on funding supports and recommended accounting strategies for these funds in local government financial statements • organizing plenary keynote presentations for GFOABC conferences on topics including money laundering, smart cities, investing in economic development and COVID-19 recovery

In addition to the time Lenora commits to Board and Committee meetings, she provides valuable strategic and practical advice to GFOABC staff balancing ambitious goals with reasonable implementation plans.

Lenora not only shares her time and expertise with GFOA and its members, she is also active in the community, serving as a director with the Royal BC Museum for the last few years and as an ambassador for the University of Victoria from 2022 to today. And she actively supports the development of female entrepreneurs by leading financial boot camps with the Women’s Enterprise Centre (2016-2019).

As a client of KPMG who has Lenora as our Audit Partner, I have first-hand knowledge of her expertise, professionalism and calmness under pressure. I cannot imagine a more deserving candidate for this award than Lenora Lee. …I have known Lenora for over 15 years, during which time I have witnessed her become a “go-to” expert for local government accounting and a highly respected role model for the CPA profession. Lenora is a constant source of stability and financial wisdom.

As the Partner on the MFA audit, she has proven herself more than adept at handling this complicated file.

While serving on the GFOABC Board together, Lenora and I have collaborated on several educational offerings including the Financial Indicators course as well as Regional District Day and I have always appreciated the wisdom, insight and calmness she brings to the sessions.

There is no doubt Lenora Lee is deserving of the CPA Fellowship….

—SHELLEY HAHN, Chief Services Officer, Municipal Finance Authority of BC.

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Treasury & Investment Management Course – Part 2

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ooking to take your investing skills to the next level?

Curious how certain economic factors influence your portfolio and investment decisions? Has your Council asked you to implement or adopt a more socially responsible investment portfolio or divest from fossil fuels?

Ever wonder what the pros and cons are of investing in structured notes? Is inflation eroding your long-term reserves?

MFA has once again teamed up with local government finance practitioners to bring you Part 2 of GFOA’s Treasury & Investment Management taking place in Penticton on May 31 as part of the pre-conference lineup.

While Part 2 of this session does build on concepts presented in Part 1, the prior session is not a pre-requisite to attend Part 2. I will spend a bit of time at the start of the session reviewing some of the key concepts that were delivered in Part 1 - at a high level, highlights will include, why formalize an investment program, the core objectives of an investment policy, bond math and risks, the importance of diversification, performance measurement techniques and the investment process.

Critical to the investment process is having an awareness of economic conditions which may impact the value of portfolio investments or drive investment decisions. Karen Kerr, Portfolio Manager at PH&N will take us through a discussion on how to interpret economic factors and how they may influence your investment decisions.

Given the prescriptiveness of section 183 of the Community Charter, local governments tend to be heavily invested in financial institutions, whether schedule 1 banks, schedule 2 banks or credit unions. Given typical concentration to the financial sector, do you know what to review when assessing the risk of investing in financial institutions? Kyle Derrick, MFA’s Credit & Economic Analyst, will cover the fundamentals of bank credit analysis.

Doug Spindler, Director of Treasury - City of

Burnaby, will explain how structured notes are created and the underlying intricacies you need to understand before investing in these products. He will review the risks and rewards of adding structured notes to your portfolio. Doug will also spend some time laying the foundation for ESG and Socially Responsible Investing, how to communicate with your Council or Board and introduce these concepts into your investment portfolios.

Peter Urbanc, CEO of MFA, will take us through an Institutional Approach to Investment Management. This section aims to provide a better understanding of the general process a local government may undertake to operate an investment program. This section will discuss segmenting your portfolio and investments which may be appropriate for each.

Finally, Peter and I will review the MFA’s Diversified Multi-asset Class Fund which introduces equities and alternative asset classes into local government investment portfolios. This fund has been designed for investment horizons of 10 years or longer. We will discuss various steps required to be completed prior to entrance into the fund and how to prepare your Council or Board to understand the volatility this investment will bring to local government financial statements.

We hope you can join us in Penticton on May 31.

SHELLEY HAHN, Shelley Hahn is the Chief Services Officer with the Municipal Finance Authority of British Columbia (MFA) and joined the Authority in 1997. She directs the operations of all MFA’s short-term lending and investment products and oversees all requests and approvals for financing. Shelley is also responsible for all legal, legislative and securities compliance within the organization. Shelley has been on the Board of the Government Finance Officers Association of British Columbia (GFOA) since 2005 and is very active in developing educational opportunities for MFA’s clients and GFOA Member MARCH 2022 • DOLLARS & SENSE PERSPECTIVE | 9

Rethinking the Budget Process in Uncertain Times

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good foundation for making a budget on the last year’s numbers.

Take the time to examine if your reporting and budgeting tools are appropriate (Excel is not always the answer!), or if the data is disaggregated enough to give useful information. Unusual revenues, expenditures or other transactions from one-time or discontinued programs may be mixed in with normal operating accounts.

Ensure the trial balance is classified efficiently so that these unique items can be identified.

This is particularly important for smaller local governments where unusual events can have a significant financial effect. Due to COVID-19, many local governments saw decreases in recreation and parking revenues, and large increases in cleaning and information technology costs. These changes may not be a good indication of next year’s operations without fully understanding which items were one-time occurrences and which are recurring.

egislation requires a local government to adopt an annual financial plan. This process can be taxing and time consuming at the best of times.

COVID-19 has made budgeting especially challenging for smaller local governments who may have limited administrative resources to invest in deep data analysis and forecasting. For these entities, relatively small items could have a material impact.

Your local government may have already adopted its current year financial plan; however, the plan can be amended by bylaw at any time. Here are some things to keep in mind:

INPUT FROM OUTSIDE THE FINANCE TEAM The financial plan will impact the operations of the entire organization. You must understand each department’s plans and projects for the upcoming year. COVID19 may have created revised expectations for service levels, which will affect each department differently. It is the responsibility of the finance department to work with department managers to translate their needs into a financial budget. Frequent communication and feedback with department managers is important to ensure the budget is accurate and realistic.

GOOD DECISIONS COME FROM GOOD DATA The usual starting point in making a budget is the prior year’s actual results. When reports and analysis of historical results are robust, then you have a

RESERVE FORECASTS Future costs may depend on circumstances or decisions outside of your local government’s control. It is important to understand the financial risk of likely outcomes

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and how it will impact cash needs. In addition to budgeting operating revenues and expenditures, it is equally important to create reserve forecasts to fund adverse or unforeseen events. In this current environment of uncertainty, it is prudent to build cash reserves.

REVISITING BUDGETS AND FORECASTS Without a crystal ball, you cannot create the perfect budget, regardless of how strong the budget process is.

There will be changes and uncontrollable events that will skew actual results. It is important to update forecasts so that stakeholders will understand projected results and make changes to the budget, if needed. It is equally important to explain the updates to the forecast in comparison to the original budget. A revised forecast or budget should not be treated as carte blanche for future spending, but rather an adjustment to the original budget based on better data.

James Hobson, CFA First Vice-President Investment Advisor Portfolio Manager

KAYAN YU is an A&A Senior Manager at BDO Canada with more than 12 years of experience specializing in public sector, First Nation and NPO organizations. Her experience is diverse, having worked with small NPOs to large government entities. Kayan is passionate about helping her clients achieve efficiency in their accounting and assurance needs.

Charet Chahal, CFA First Vice-President Investment Advisor Portfolio Manager www.hobsonchahal.com 1 (800) 665-MUNI (6863) MARCH 2022 • DOLLARS & SENSE PERSPECTIVE | 11

Budget Insurance for Natural Disasters: An Innovative Approach to Address Growing Costs of Climate Change in Canada

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ach year, extreme weather events, including floods, wildfires, heatwaves, wind, snow and hail storms pose a serious risk to governments in Canada. These events are growing in frequency and severity, leading to a rise in public and private sector infrastructure damages, economic losses, business disruptions, insurance claims, lawsuits, as well as financial and mental health impacts on people, who experienced these natural disasters.

In 2020, Canada’s total economic losses from natural disasters amounted to $4.5-billion, of which $2.4-billion was insured, meaning that nearly half of the economic losses were absorbed by governments, businesses and individuals.

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At a time when the economy in general is under a lot of stress from the COVID-19 pandemic, the question is how can governments ensure they have the resources to support the economic recovery efforts AND respond to natural catastrophes?

One answer is budget insurance for natural disasters.

Budget insurance for natural disasters is a public sector fiscal risk management tool that provides immediate funds after a natural disaster to expand taxpayer resources and to support the response functions, expedite the recovery efforts and build back better.

Budget insurance for natural disasters is not a new concept. In fact, governments have successfully used the private markets (capital markets, insurance and reinsurance) to manage natural disasters for over a decade.

For example, the United States Federal Emergency Management Agency (FEMA) purchased reinsurance for the National Flood Insurance Program (NFIP) and collected $1 billion within 10 days of loss notice from a panel of reinsurers in the aftermath of Hurricane Harvey in 2017.

In addition to the immediacy at which funds are received, budget insurance provides governments with the flexibility to redirect contingent funds that would otherwise be held to support post-disaster response needs towards other priorities.

This flexibility means there are more funds to invest into critical climate adaptation and mitigation projects, so that elected officials can better serve taxpayers in minimizing extreme weather impacts.

In its 2019 Canada’s Changing Climate Report, the federal government said Canada has warmed at a rate twice the global average and will continue on that

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trajectory in the future. According to Canada’s Expert Panel on Sustainable Finance, whose membership included Tiff Macklem, current Governor of the Bank of Canada, “The effects of climate change are upon us.

Shifting weather patterns are amplifying the natural risks we already face – floods, storms, heat and drought – leading to more frequent and extreme loss events.

Preparing for and adapting to the current and future impacts of climate change is a critical aspect in managing risk to our communities, businesses and ecosystems.”

Although governments across Canada face different climate change challenges, the need to stretch budgets to respond to natural disasters is common. Budget insurance for natural disaster offers governments an eloquent way to unlock adaptation capital today, in anticipation of bigger disasters tomorrow.

NATALIA MOUDRAK, Director, Climate Resiliency Leader, Aon Public Sector Partnership Natalia advances the development of innovative solutions that create greater climate change resiliency for Aon’s public sector clients.

Prior to joining Aon, Natalia worked as a Director of Climate Resilience at the Intact Centre on Climate Adaptation at the University of Waterloo, and held sustainability consulting and risk assurance roles at PricewaterhouseCoopers Canada. She holds a B.A in Economics and a M.A. in Urban Planning from the University of Waterloo.

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For more information, please contact one of the contacts below: Adam Rawecki BC Interior Commercial Banking Centre 604-202-4046 adam.rawecki@td.com Kate Page Victoria Commercial Banking Centre 250-356-4010 kathryn.page@td.com

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Cyber Awareness Training for Employees: Empowering Employees to Be Your First Line of Defense Against Cyber Attacks

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hink your organization is too small to be the target of a cyber-attack? Criminals are targeting local governments of all sizes – even quaint, picturesque towns in BC – for fraud, malware and other nefarious activities. As local governments store private data and operate critical services, they are at risk of experiencing a cyber-attack.

To build up cyber defenses, in addition to technical security measures, many workplaces require cybersecurity awareness training for employees. A comprehensive and engaging training program that reinforces positive behaviours can help reduce the risk of a cyber breach. Training is one critical layer of a defense-indepth strategy - a survey of over 500 IT professionals in Canada found that 95% indicated that end-user training is effective in reducing incidents and/or risky online behaviour.

It is also becoming more common for insurance companies to require training for cyber policies. When looking for a training program for your organization, we recommend one that combines phishing simulations and cybersecurity courses with the following features: 1. A personalized cyber risk score and rich reporting Platforms that engage users in a series of initial training activities that generate a personalized baseline risk score will allow users to develop a sense of accomplishment. Through ongoing training activities – monthly phishing tests and supplementary courses – users will see if they can lower their risk score.

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Platforms that allow admins to view the overall risk score for the whole organization along with training data and reports are particularly useful. These features help identify new processes or tools that will improve cybersecurity.

2. Content that covers all the cybersecurity basics The best platforms allow users to easily jump right in and get started with a series of courses that cover cybersecurity basics, from password managers to VPNs. It is beneficial if each course has a quick quiz at the end to test their knowledge with results that feed into the user’s personal cyber risk score.

Most importantly, your platform should include Canadian content such as stories that are close to home, Canadian stats and references to Canadian organizations and laws.

3. Opportunities to build the habit of reporting suspicious emails The most effective platforms include phishing simulations, so users learn common red flags used in phishing emails and get into the habit of thinking twice before clicking on suspicious links. Platforms that send fake phishing emails to employees’ inboxes are particularly effective especially if a user’s risk score improves each time they forward fake emails to the reporting address.

Regular phishing simulations can reduce clicks by 60% within one year. The more users that learn and follow cybersecurity best practices, the fewer incidents your organization will be exposed to.

If you are looking at training options, the MIABC has partnered with CIRA to offer a platform that combines phishing simulations and courses in one platform. MIABC members can contact us at askusanything@miabc.org for more information and nonmembers can contact CIRA directly.

ERIN HUTCHINSON joined CIRA’s Cybersecurity Services team as Product Marketing Manager, bringing several years’ experience working on the .ca domain team.

She is a champion of CIRA’s Cybersecurity Awareness Training platform and passionate about developing cybersecurity educational materials that help fight against the ever-evolving tactics of cyber criminals.

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Creating Municipal Partnerships for Vibrant Communities

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s in many places across the country, British Columbia’s municipalities are facing challenges, including managing the decline of the natural resource sector, developing sustainable solutions to homelessness, addressing the impacts of climate change, and recovering from the COVID-19 pandemic. At the same time, many municipalities are overextended, and the tools needed to implement innovative solutions require capital and resources they might not have at their immediate disposal. That’s where Mitacs comes in.

CONNECTING MUNICIPALITIES WITH INNOVATIVE SOLUTIONS Mitacs, a national non-profit with a commitment to Canadian innovation, connects municipalities with the talent, funding and expertise they need to address urgent and important issues. Through Mitacs’s innovation internship programs, municipalities of all sizes are matched with post-secondary researchers with specialized skills to help them drive innovation and build sustainable futures. Mitacs interns – ranging from college students to postdoctoral fellows – can help develop solutions on a broad range of issues that affect municipalities such as infrastructure renewal, including roads and waterways, sector specific development planning, supply chains, pandemic recovery, and much more.

Since expanding eligibility to include municipal governments in the 2020-21 fiscal year, Mitacs has supported projects from over 50 municipalities across Canada, including the cities of Kamloops, West Kelowna and Vancouver. Having partnered with post-secondary institutions nationwide and with a clear understanding of the challenges municipalities face, Mitacs provides the right expertise to meet the unique needs and priorities of each municipality as they look for innovative solutions to pressing problems.

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INNOVATION PARTNERSHIPS IN ACTION Investigating Innovative Solutions for Sustainable Transit The City of West Kelowna, like with many smaller municipalities, has experienced challenges in offering affordable, accessible and sustainable public transportation to its residents. Quickly becoming one of the fastest growing municipalities in Canada, West Kelowna was lacking key resources that would allow the municipality to gain a better understanding of the travel behaviours of its residents as well as make informed decisions on issues related to transit. With an increasing population of over 32,000 residents, West Kelowna was unprepared for the rate of growth and the effect it would have on the local transportation system.

By partnering with Mitacs, West Kelowna was able to benefit from the support of a personalized research team and develop research-based transportation strategies according to the goals and desires of its residents.

Mitacs matched the City of West Kelowna with key researchers from the University of British Columbia to create a complete travel analysis of the municipality, including exploring the demand for alternative modes of transit, analyzing environmental impacts of current models, and developing a transportation plan that would ensure equitable access and reduced vehicular emissions.

A “Right to Food” With an estimated 45 percent of all produced fruits and vegetables going to waste annually in Canada, about 25 percent of the residential garbage in the City of Vancouver was coming from uneaten or spoiled food.

Not only was this creating an enormous financial impact on the municipality, it was also presenting important environmental concerns. With the amount of methane generated by decomposing food in landfills, Vancouver

was quickly becoming one of Canada’s major contributors to climate change.

Mitacs and Simon Fraser University partnered with the municipality to undertake the “Right to Food” project, which aimed to engage with diverse stakeholders, identify strategies, outcomes, and actors within the Vancouver city limits, and propose a plan that would contribute to the vision of a just, circular food system.

The final report provided the City of Vancouver with research-based recommendations that they could use to implement a circular food economy, critically analyze best practices to address concerns of justice, equity and reconciliation in food system design, and develop policies and regulations that would allow for a gradual shift to zero waste and more circular patterns of production and consumption.

Cultural Mapping for a Healthy Community Of the cities hit by the opioid crisis in Canada, smaller cities like Kamloops have been disproportionately affected, with hospitalization rates for opioid-related issues being 2.5 times higher than in the country’s largest cities. For these municipalities, the crisis can seem insurmountable. In conjunction with the COVID19 pandemic, the concern for vulnerable populations in Kamloops has risen, and their social inclusion and public participation in municipal planning is becoming increasingly important.

Through cultural mapping, this Mitacs-supported project between the City of Kamloops and Thompson Rivers University is looking to study the efficacy of participatory mapping protocols. By documenting and making visible the voices of those suffering from the opioid crisis, the research team is working with the municipality to generate enhanced community participation in municipal planning, integrate community-engaged research practices, and co-develop solutions and evidence-based decisions. The project also aims to examine how the process of cultural mapping and community-engaged research can be employed to benefit the city’s new Cultural Strategic Plan.

LET MITACS HELP YOU GROW AND THRIVE The benefits of Mitacs’s innovation programs are clear: Mitacs connects municipalities with the skills and specialized knowledge they need to gather data, advance policies, execute projects, and boost productivity and growth while acknowledging the unique situation of each community. By collaborating with Mitacs, municipalities can access much needed funding and talent to develop cost-saving and innovative solutions to the challenges they face with applications that can extend to other jurisdictions.

With its commitment to fostering Canadian innovation, Mitacs provides 55% financial support for municipal research projects. Projects can be multi-disciplinary, involve numerous researchers, be scaled to support the needs of each municipality, and can receive anywhere from $6,000 to multi-million dollars in funding. By providing personalized support, Mitacs can help execute new ideas and strategies to create vibrant and healthy municipalities across British Columbia. No matter the size of your municipality, let Mitacs help you develop the best public policies to allow your community to grow and thrive.

Mitacs is supported in British Columbia by both the Government of Canada and the Government of British Columbia. If you would like more information on how your community can access Mitacs support, please “Send us your Innovation Challenge” by visiting discover.mitacs.ca/municipality-support/.

KATHARINE O’BRIEN, Communications Specialist, Mitacs

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b o ot ca m p r e t u r n s to the university of victoria campus

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oot Camp is designed for municipal and regional district finance professionals who are new to local government, are responsible for finance functions and aspire to be a statutory financial officer, or are in the statutory financial officer role and want a better grounding in the requirements and responsibilities of the position.

This is a residential program held at the University of Victoria. Fees include accommodation at the university, all meals, refreshments, and workshop materials.

Participants are required to stay at the university in order to gain the full benefits of the program.

Topics covered: • The Role of the Finance Officer • Budgeting & Financial Planning • Property Taxation • Sources & Uses of Funds • Accounting & Financial Reporting

Dates: August 7-11, 2022 Program Fees: GFOABC MEMBER Early Bird ($2,000), after June 17 ($2,500 NON-MEMBER Early Bird ($2,500), after June 17 ($3,000) For more information and to register, please visit the Training & Events, Boot Camp webpage.

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c o l le c t o r s ’ c o r n e r is it time to review your pte policy?

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ections 224 and 225 of the Community Charter provides the authority for municipalities to grant a property tax exemption (PTE) to certain qualifying properties. The issue of PTE, while having legislative constraints, is very complex with many, sometimes conflicting, factors to consider. A PTE policy ensures that the intent of the legislation continues to be met and demonstrates a responsible approach that takes into consideration current societal issues and concerns. The key principles of a PTE policy are accountability, reasonableness, equity, fairness, inclusiveness and accessibility.

Exemptions can be granted in whole or in part on the taxable assessed value of the land, improvements or both. Exemption categories (sport, cultural, community service, agricultural, etc.) can be established with a corresponding maximum exemption amount (50%, 75%, 100%, etc.) applied to each category. The complexity of a PTE policy should be balanced with the available staff resources required to efficiently administer it. Besides conforming to the other municipal policies, the PTE policy should not conflict with other government comparative policies such as BC Assessment and Canada Revenue Agency.

Public Benefits Test: In addition to being a charitable or nonprofit organization, the activities of the organization must result in a benefit to the public, or a sufficient section of it. A public benefit is presumed to exist where an organization’s purposes are for relief of poverty, advancement of education, or advancement of religion, the provision of health care or relief for the aged. Certain factors would disqualify an organization from meeting the public benefits test, such as, the organization operates its facility as if a private club or there is commercial activity on the property.

The Accessibility Test: Are the services and programs/activities of the organization equally available to all residents of the municipality, without discrimination? This factor must be applied in a reasonable and fair manner. Are the facilities accessible and the services/programs inclusive to the public? Is anyone invited to attend/participate, not just a group within the organization or specific persons attending at the property?

Other factors to consider are (but not limited to): • Exemptions are based on the principal use of the property, not on the charitable service of the organization as a whole;

• The organization supports and furthers Council’s objectives; • The organization is required to publicly acknowledge the exemption; • Registration of a covenant restricting use of the property; • An agreement committing the organization to continue a specific service or program; • An agreement committing the organization to have field/facilities open for public use for specific times or a total amount of time; • An agreement committing the organization to contribute to the municipality an amount equal to the amount of property taxes that would otherwise have been payable to the municipality in the event that the property ceases to be eligible for the tax exemption at any time during the taxation year; • The services and activities of the organization are consistent with the Canadian Charter of Rights and Freedoms.

DOUG STEIN has worked in municipal finance for over 30 years. In 2011 he retired from his position as Manager of Revenue Services for the District of Saanich. Doug leads the Collectors’ Forum, is a GFOABC Life Member, and a CPA, CMA.

MARCH 2022 • DOLLARS & SENSE PERSPECTIVE | 19

CIVICINFOBC CIVICINFOBC

q u a rte r ly q u estio n

financial software solutions

F

or this issue’s Quarterly Question, we asked local governments about their financial software and 84 BC Local Governments responded.

Local Governments reported that Vadim is the most widely used primary financial software with nearly 50% using the program as their primary financial software.

58% of all respondents reported using a secondary software to complement their primary software.

Primary financial software was reportedly used for the purpose of financial reporting and payroll in 88% of local governments.

An average upgrade cycle for financial software was reported at 27 months, with a median of 12 months.

Satisfaction with available options is mediocre, with an average rating for overall performance of software at 3.3%.

Detailed results for this survey can be obtained by emailing surveys@civicinfo.bc.ca

?

quarterly question THE NEXT QUARTERLY QUESTION: LOCA L GOVERNMENT POLICING COSTS APLEASE USE THIS LINK TO BE A PART OF THE RESULTS OF THE NEXT QUARTERLY QUESTION. YOUR PEERS WILL THANK YOU! The survey should only take about 3–5 minutes to complete. The responses to this question will be profiled in the next GFOABC Newsletter.

If you have a topic for a future quarterly question, please contact the office at office@gfoabc.ca or (250) 382-6871

If you would like to learn more about this free service, contact CivicInfoBC at info@civicinfo.bc.ca 20 | GFOABC.CA

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