2014 FINANCIAL PLAN

Percent of General Fund Operating

Net Operating

Net Operating Budget

General Fund Operating = $105.4 Million

Division Overview

Revised

Adopted Financial Plan

Change from

Prior Year Percent Change

Taxation Expenditures 2013 2014

Net Operating 4,057,469 4,321,612 264,143 6.5%

Capital 995,300 611,810 (383,490) (38.5%)

Total Taxation Expenditure 5,052,769 4,933,422 (119,347) (2.4%)

Authorized Positions 33.9 34.5 0.6 1.8%

Division Summary

Carla Weaden - Divisional Director

4%

96%

Communications & Information Services =

$4.3 Million

Corporate Communications

9%

Communications & Information Services 11%

Information Services 75%

Community Communications 5%

COMMUNICATIONS & INFORMATION SERVICES

Communications & Information Services

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2014 FINANCIAL PLAN COMMUNICATIONS & INFORMATION SERVICES

Communications and Information Services Division

The Communication and Information Services Division are key to providing citizens and staff with convenient access to City services and information.

Information Services provides direction, support and maintenance for the City’s information systems and technology infrastructure. In addition to this key service, Information Service is moving to a model that will allow it to strategically consider technology to reduce costs, improve revenue streams, build efficiency and deliver better overall service. Technology is becoming a key driver in the delivery of customer service, economic development and communications. The Communication department provides strategic communications planning to inform, consult, involve, collaborate and empower internal and external stakeholders. Using an audience-centered model, Communications aims to support major city projects and provide accurate and timely information to citizens and staff through research, branding standards, media relations, crisis communications, development and maintenance of print and electronic communications channels (including kelowna.ca and social media platforms), corporate advertising and public engagement programs.

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2014 FINANCIAL PLAN COMMUNICATIONS & INFORMATION SERVICES

kelowna.ca

Drivers & Activities

Division Drivers

To provide accurate and timely information to citizens and staff To engage citizens, staff and stakeholders To protect our corporate data and digital infrastructure To provide communications and information services support for major City initiatives To drive the development of e-services for customer service solutions To develop, implement and maintain corporate communications channels To develop, implement and maintain policies, standards and guidelines To research best practices and be innovative, to deliver results while maintaining core services

Activities by Council Priority

Deliver on our plan Budget communications Support corporate and Council priorities Media relations Continue to promote and maintain the City’s electronic communications channels, including

kelowna.ca, e-Subscribe and social media

Enhance citizens’ quality of life

Implement mobile web options Develop a Digital Strategy Active living social marketing Support regional transportation demand management (TDM) programs Provide communications support for the completion and implementation of RapidBus, new

Gordon Drive route and a potential U-PASS at Okanagan College Support the alternative approval process (AAP) for the new RCMP facility

Focus on results

Implement the Public Engagement Framework Program & Policy Develop video conferencing Implement an Employee Communication Strategy Implement the City’s electronic document management system (on the SharePoint platform) Launch a new corporate intranet for City staff

Grow our economy

Develop a Fibre Strategy Provide capital project communications support, including Lakeshore Road improvements Provide Kelowna International Airport communications and marketing

2014 FINANCIAL PLAN

PROGRAM INPUT MEASURES Actual 2012 Rev. Adopted 2013 Financial Plan 2014

101 Communications & Information Services 400,095 415,880 459,915

Net Operating Expenditures 400,095 415,880 459,915

PROGRAM INPUT MEASURES Actual 2012 Rev. Adopted 2013 Financial Plan 2014

121 Information Services 2,670,998 3,043,943 3,262,856

Net Operating Expenditures 2,670,998 3,043,943 3,262,856

PROGRAM INPUT MEASURES Actual 2012 Rev. Adopted 2013 Financial Plan 2014

229 Corporate Communications 294,265 395,491 400,491

248 Community Communications 231,002 202,155 198,350

Net Operating Expenditures 525,267 597,646 598,841

Total Division Net Operating Expenditures 3,596,360 4,057,469 4,321,612

Communications & Information Services

Information Services

Communications

COMMUNICATIONS & INFORMATION SERVICES

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2014 FINANCIAL PLAN COMMUNICATIONS INFORMATION SERVICES

PROGRAM OUTPUTS

# of news releases 350 200 200

# of correspondence 1,631 1,226 1,226

Ask Inbox 5,200 5,800 6,000

Website visits (unique pageviews) 3,783,106 4,000,000 4,400,000

E-Subscribers 11,112 17,500 23,000

Internal Help Desk requests 7,003 7,662 7,800

PROGRAM OUTCOMES

EFFICIENCY MEASURES

Correspondence turnaround times

Within 1 day 62% (75% in 1-

5 days)

65% (75% in 1-

5 days)

65%

Within 2-5 9% 10% 10%

Within 6-10 15% (85%

within 10

days)

10% (85%

within 10

days)

10%

Within 11-20 8% 10% 10%

Overall 21 days 6% 5% 5%

CUSTOMER SATISFACTION

INNOVATION AND LEARNING

Finance Administration is responsible for providing leadership and direction to Financial Services in the The Financial Accounting and Systems Section prepares annual financial statements, in addition to The Financial Planning Section prepares the Corporate Budget, manages reserve balances, develops utility The Risk Management Section is responsible for the development, implementation, coordination and The Revenue Section is responsible for the administration of: property taxes, general accounts receivable Administration of the payroll function, utility billing function and investment of the City's funds are the The Purchasing and Stores Section is responsible for acquiring the materials, equipment and services Finance Administration is responsible for providing leadership and direction to Financial Services in the The Financial Accounting and Systems Section prepares annual financial statements, in addition to The Financial Planning Section prepares the Corporate Budget, manages reserve balances, develops utility The Risk Management Section is responsible for the development, implementation, coordination and The Revenue Section is responsible for the administration of: property taxes, general accounts receivable Administration of the payroll function, utility billing function and investment of the City's funds are the The Purchasing and Stores Section is responsible for acquiring the materials, equipment and services Finance Administration is responsible for providing leadership and direction to Financial Services in the The Financial Accounting and Systems Section prepares annual financial statements, in addition to The Financial Planning Section prepares the Corporate Budget, manages reserve balances, develops utility The Risk Management Section is responsible for the development, implementation, coordination and The Revenue Section is responsible for the administration of: property taxes, general accounts receivable Administration of the payroll function, utility billing function and investment of the City's funds are the The Purchasing and Stores Section is responsible for acquiring the materials, equipment and services

PERFORMANCE MEASURES Actual 2012

Estimated 2013

Proposed 2014

Page K5

2014 FINANCIAL PLAN  

COMMUNICATIONS & INFORMATION SERVICESGeneral Fund

REVENUES / EXPENDITURES BY CATEGORY 

  Actual2012

Revised2013

Provisional2014

REVENUEPROPERTY TAX 0 0 0PARCEL TAX 0 0 0FEES AND CHARGES ( 380) ( 5,000) ( 5,000)OTHER REVENUE ( 80,239) ( 80,239) ( 84,044)TRANSFERS FROM FUNDS   Special (Stat Reserve) Funds 0 0 0   Development Cost Charges 0 0 0   Accumulated Surplus ( 6,424) ( 25,000) 0  _____________ _____________ _____________TOTAL REVENUE ( 87,043) ( 110,239) ( 89,044) EXPENDITURESSALARIES AND WAGES 2,731,742 3,068,471 3,242,337INTERNAL EQUIPMENT 214 0 0MATERIAL AND OTHER 915,232 1,099,237 1,168,319CONTRACT SERVICES 0 0 0DEBT INTEREST 0 0 0DEBT PRINCIPAL 0 0 0INTERNAL ALLOCATIONS 0 0 0TRANSFERS TO FUNDS   Special (Stat Reserve) Funds 0 0 0   Development Cost Charges 0 0 0   Accumulated Surplus 36,215 0 0  _____________ _____________ _____________TOTAL EXPENDITURES 3,683,403 4,167,708 4,410,656 NET OPERATING EXPENDITURES 3,596,360 4,057,469 4,321,612 CAPITAL EXPENDITURESGROSS EXPENDITURES 1,294,349 1,603,180 686,810OTHER FUNDING SOURCES ( 429,892) ( 607,880) ( 75,000)  _____________ _____________ _____________TAXATION CAPITAL 864,457 995,300 611,810  _____________ _____________ _____________NET OPERATING & TAX CAPITAL EXP. 4,460,817 5,052,769 4,933,422  AUTHORIZED F.T.E.POSITIONS

Budgeted Fte's2012

Actual2012

Revised2013

Provisional2014

Salaried 31.3 29.0 32.6 34.1Hourly 0.4 1.8 1.3 0.5

   

Page K6  

2014 FINANCIAL PLAN

Description of Operating Program Changes

TOTAL FTE

2013 Revised Budget 4,057,469 33.9

2014 Net Impacts

One-time Operating Requests

One-time Expenditure Reductions 9,000

Incremental Costs - Prior year(s) 64,150 0.7

Salary Adjustments 27,416

Other Adjustments (3,805)

Departmental Adjustments 2 96,763 (0.9)

4,154,232 33.7

2014 Program Additions

2014 Operating Requests 171,380 0.8

2014 Expenditure Reductions (4,000) 167,380

2014 Provisional 4,321,612 34.5

Unfunded 2014 Requests

2014 Operating Requests 86,000

2014 Expenditure Reductions 86,000

Total Unfunded Requests for 2014 86,000 0.0

COMMUNICATIONS & INFORMATION SERVICES

Page K7

2014 Operating RequestsPROVISIONAL Budget

SummaryGeneral Fund

Page Description Cost Revenue Taxation CatReserve Borrow UtilityGov/Contr

Communications & Information

Communications Advisor 22,110 0K1 OG(22,110)0 0 00

Applications Systems Manager 58,190 0K2 OG(58,190)0 0 00

Inter Building FibreCommunication Lines

24,220 0K3 OG(24,220)0 0 00

Microsoft Office 365Subscription Service

42,300 0K4 OG(42,300)0 0 00

Software and HardwareMaintenance

24,560 0K5 OG(24,560)0 0 00

171,380 0 (171,380)Division Priority 1 Total 0 0 0 0

171,380 0 (171,380)Total Priority 1 Operating 0 0 0 0

Page K9

2014 Operating RequestsPROVISIONAL Budget

SummaryGeneral Fund

Page Description Cost Revenue Taxation CatReserve Borrow UtilityGov/Contr

Communications & Information

Digital Strategy 86,000 0K6 OT(86,000)0 0 00

86,000 0 (86,000)Division Priority 2 Total 0 0 0 0

86,000 0 (86,000)Total Priority 2 Operating 0 0 0 0

Page K10

2014 Operating Request Details

Division:Communications & Information ServicesDepartment:

Title: Communications Advisor

Priority: 1

ON-GOING

NEW

Communications & Information Services

This request formalizes the funding for ongoing communications resources required to support Infrastructure Planning

and Design and Construction. To date, a combination of temporary staff and consultants equaling more than the cost of

a full time position has been employed to help the above departments deliver projects. The position is funded thirty

percent from current operating and seventy percent from capital. In addition to being a more efficient and effective

way to deliver communications services, the position will build capacity in-house allowing the City to meet the

increasing expectation of citizens for community engagement.

Note: The operating funding of $22,110 in Communications is from a decrease in salary budget in Design &

Construction.

Justification:

Strategic Objective: Deliver on Our Plan

TaxationReserve Borrow Fed/Prov Dev/ComCost Revenue Utility0 0 0 0 0 02014 0 0

20152016

00

00

00

00

00

00

00

00

Division:Information ServicesDepartment:

Title: Applications Systems Manager

Priority: 1

ON-GOING

NEW

Communications & Information Services

The management structure for Information Services (IS) will be realigned to meet the needs of the department and

corporation. The number and complexity of corporate-wide systems required to meet the day-to-day operational needs

of the City have grown significantly over the past 10 years. The new position, Application Systems Manager, will be

responsible for the ERP, EDMS and other application systems allowing the IS Manager, who currently manages these

systems, to have an increased emphasis on the strategic IT initiatives facing the City and Community. These initiatives

will: help reduce costs and improve revenue streams; build efficiency; automation and consolidation; deliver better

overall service. Management streams reporting to the IS Manager to support major IS areas: Systems Development,

Application Systems and Infrastructure Systems. This position will assume the project management role for the

Application Systems to provide coordination and consistency across various projects giving staff more time to focus on

the design, implementation and support work.

Justification:

Strategic Objective: Deliver on Our Plan

TaxationReserve Borrow Fed/Prov Dev/ComCost Revenue Utility58,190 0 0 0 0 02014 0 (58,190)

20152016

116,380116,380

00

00

00

00

00

00

(116,380)(116,380)

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2014 Operating Request Details

Division:Information ServicesDepartment:

Title: Inter Building Fibre Communication Lines

Priority: 1

ON-GOING

EXISTING

Communications & Information Services

For 15 years, the City has utilized a Municipal Access Network (MAN) service from Telus to interconnect 13 municipal

buildings with fibre. As an early adopter, the City has realized favorable pricing on the service, however Telus has

informed the City that the MAN service has been deprecated and will not be available when the current contract ends

in April 2014. The City will need to move to other business fibre services offered by Telus which are at a higher price

structure. The City has been able to reduce the impact of this change by moving a number of buildings to private fibre.

This fibre was installed last year through previously approved capital budgets. The buildings currently or soon to be

connected are: City Hall, Enterprise Fire Hall, Yards, PRC and Water St. Fire Hall. This budget request is to provide the

additional yearly cost to move to the new services.

2014 Base Budget for Fibre Communication Lines $83,139

Justification:

Strategic Objective: Deliver on Our Plan

TaxationReserve Borrow Fed/Prov Dev/ComCost Revenue Utility31,640 (7,420) 0 0 0 02014 0 (24,220)

20152016

42,18042,180

00

(9,890)(9,890)

00

00

00

00

(32,290)(32,290)

Division:Information ServicesDepartment:

Title: Microsoft Office 365 Subscription Service

Priority: 1

ON-GOING

NEW

Communications & Information Services

The City uses Microsoft Office for word processing, spreadsheets, email client and presentation software. The Microsoft

Office software has a new version released every 3 years and the City purchases an upgrade every second release (or

every 6 years). Changes to the way Microsoft licenses the software, integration of the Office product to other

applications like SharePoint, skipping a version will no longer be practical. The new licensing option enables the

software to be purchased through a subscription service and be paid yearly for each user. The licensing allows each

user to access the software from 5 devices enhancing user flexibility (ie. from the office, remotely, mobile devices).

Software upgrades are easy, reducing the IT staff time required.

2014 was scheduled for an upgrade to the latest version of Microsoft Office. This budget request would replace the

need for a $350,000 capital budget request for the software. This model will save $75,000 over 3 years.

Justification:

Strategic Objective: Focus on Results

TaxationReserve Borrow Fed/Prov Dev/ComCost Revenue Utility42,300 0 0 0 0 02014 0 (42,300)

20152016

85,00085,000

00

00

00

00

00

00

(85,000)(85,000)

Page K12

2014 Operating Request Details

Division:Information ServicesDepartment:

Title: Software and Hardware Maintenance

Priority: 1

ON-GOING

EXISTING

Communications & Information Services

This request is to cover the increase in annual support and maintenance fees for software and hardware. The

breakdown of the request is: 45% to accommodate the addition of PST on services purchased since 2010 when HST was

implemented, 30% of the request will be used to address anticipated increases in some of the existing maintenance

agreements and 25% will provide funds for new maintenance agreements on hardware and software purchased in 2013.

Current maintenance and support contracts in place include these major systems: Agresso - financial management

system; AutoDesk - AutoCAD and Civil 3D design software; FDM - Fire Department management and dispatch; Microsoft

- server and database products; Network - core, high speed hardware; Phone servers - the primary servers for phones

and voice mail; Security - products for anti-virus, spam filtering, internet filtering (for inappropriate sites); and

VMWare - The City's virtual server environment.

Justification:

Strategic Objective: Deliver on Our Plan

TaxationReserve Borrow Fed/Prov Dev/ComCost Revenue Utility24,560 0 0 0 0 02014 0 (24,560)

20152016

24,56024,560

00

00

00

00

00

00

(24,560)(24,560)

Division:Information ServicesDepartment:

Title: Digital Strategy

Priority: 2

ONE-TIME

NEW

Communications & Information Services

Justification:

Funding is requested to develop phase one of a Digital Strategy for the City of Kelowna. Advances in digital technology

are changing the way the City delivers services and engages the community. The strategy will consider a number of

areas including: access to digital technology, e-services, open data, community engagement and needs of the Kelowna

business community. The Digital Strategy will become a roadmap that provides direction and priority to the many

existing and future opportunities for digital engagement and access. Phase one will address the City's digital

capabilities while phase two will focus on assessing and meeting the community's needs.

Strategic Objective: Focus on Results

TaxationReserve Borrow Fed/Prov Dev/ComCost Revenue Utility86,000 0 0 0 0 02014 0 (86,000)

Page K13

2014 Reduction RequestsPROVISIONAL Budget

SummaryGeneral Fund

Page Description Cost Revenue Taxation CatReserve Borrow Gov/Contr Utility

Communications & Information

City in Action Advertising (4,000) 0K1 OG4,0000 0 00

(4,000) 0 4,000Division Priority Total 0 0 00

4,0000Total Priority Reduction Requests (4,000) 0 0 00

Page K15

2014 Reduction Request Details

Division: Communications & Information ServicesDepartment: Corporate Communications

Title: City in Action Advertising

Priority: 1

ON-GOING

In 2012, a primary newspaper advertising supplier system was adopted which resulted in fewer advertisements. A one-

time reduction of $5,000 was undertaken for 2013. Based on the experience of the past year and actual costs incurred,

a reduction of $4,000 can be made permanent.

Justification:

Strategic Objective: Deliver on Our Plan

TaxationReserve Borrow Fed/Prov Dev/ComCost Revenue Utility(4,000) 0 0 0 0 02014 0 4,000

20152016

(4,000)(4,000)

00

00

00

00

00

00

4,0004,000

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