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RFD- 2881 Business Items   Item #   11. a.    
Regular Council Meeting Agenda
Meeting Date: 02/27/2017  
Title:    Appointment of City Assessor - Goodwin
Department: Corporate Services  
Strategic Vision Element: This topic relates to all three of the City’s strategic vision elements contained in Council’s Strategic Plan Related Goal: Spruce Grove has a robust, growing economic base that generates balanced revenues to support the City’s high standards for services and programs.

Information
Request for Decision Summary
This report proposes extending the appointment of the City Assessor in consideration of reduced rates that have been negotiated with Accurate Assessment.

Proposed Motion
That Troy Birtles be appointed City Assessor for a seven year term according to the terms of the proposed assessment services agreement with Accurate Assessment.
Background/Analysis
The Municipal Government Act (MGA) requires every Council to appoint an assessor to prepare and maintain the assessment roll in accordance with the MGA and its regulations. Rather than employing an assessor, the City contracts the services of an accredited assessor. This designated officer works with Administration but, as they are independent from the City, assessment preparation is unbiased. 

The current contract was awarded to Accurate Assessment in 2014. The agreement is scheduled to expire in the first quarter of 2019 and includes an option to renew for an additional five years (2024 expiry). Under the current contract, the per parcel rate would increase by three per cent annually through to 2024. 

In an effort to reduce cost, Administration sought re-negotiation of the assessment services agreement. Subject to early exercise of the five year option to renew, the contractor has proposed a one per cent reduction to the annual increment. Should Council re-appoint Troy Birtles for the seven year term, the total saving over the term of the proposed agreement is estimated to be $69,050.
Options/Alternatives
N/A
Consultation/Engagement
N/A
Implementation/Communication
Re-appointing Troy Birtles as the City Assessor will allow current assessment work to continue without disruption. In the unlikely event that assessment services are performed poorly, contract terms allow for early termination with cause and for termination without cause upon 60 days written notice.
Impacts
Longer term contracts provide good customer service, reliable performance and efficient operations.Troy Birtles has been involved with the City's assessment since 1993.
 

Fiscal Impact
Financial Implications:
The cost of assessment is calculated on a per parcel rate. A $69,050 saving can be estimated over the seven years by applying the historical average annual parcel growth of 2.5 per cent over the term.
 
Service Year Parcel Count Current Contract Proposed Contract Saving
2017-2018 15,069 $256,173 $253,913 $2,260
2018-2019 15,446 $270,300 $265,666 $4,634
2019-2020 15,832 $284,974 $277,849 $7,125
2020-2021 16,228 $300,212 $290,475 $9,737
2021-2022 16,633 $316,034 $303,559 $12,475
2022-2023 17,049 $332,459 $317,115 $15,344
2023-2024 17,475 $349,508 $332,033 $17,475
        $69,050


 
Attachments
No file(s) attached.

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