Business in Winnipeg

[Marc B.]

From the Free Press:

Report proposes sell-off of city assets


Updated at 4:14 PM

By Aldo Santin



Rookie St. James councillor Scott Fielding has produced a report that might fulfill one of Sam Katz' first campaign promises -- come up with enough money-saving and money-making ideas to raise the $56 million needed to eliminate the business tax.
But by his own admission, Fielding, who chaired the Economic Opportunity Commission, came up a few million dollars short.

Fielding and the other commission members released a report this afternoon that contains about 50 proposals to generate new revenue and save city spending over the next six years, totalling a little more than $50 million.

The proposed changes include a massive contracting out of civic services, capping wage increases for all city staff -- except police and firefighters -- to the rate of inflation, selling off city-owned golf courses and excess city land and selling city buildings wherever possible and then leasing them back, transferring control and operation of as many pools and fitness centres to non-profit and community groups, and partnering with schools and businesses to find savings in with public libraries.

"We've put together a balanced and measured approach to eliminate the business tax within six years," Fielding said during a news conference in a vacant downtown office space.

Katz said councillors had been briefed on the report this morning, said some of the suggestions were embraced and others were immediately rejected by councillors. However he said he was going to spend the next few weeks considering the proposals and deciding which among them he could support.
Katz said that despite the unpopularity of some of the proposals, he remains committed to eliminate the business tax completely.

"We started paying the business tax in 1901 and no one knows why," Katz said, as he stood beside Fielding during the news conference. "It was easy to take the money but no one wants to eliminate it."

The report was condemned immediately by Fort Rouge councillor Jenny Gerbasi, who described it as "a full-scale dismantling of city services with little research or insight into what the impact of these changes would be."

Gerbasi said the report essentially declares war on civic employees.

"This report represents an extreme and narrow view that I don't believe reflects the true values of the majority of Winnipeggers," Gerbasi said.

The report was prepared over the past six months at a cost of $45,000 -- $3,000 under budget.

No veteran members of council attended the afternoon conference and only deputy-mayor Brenda Leipsic, another rookie councillor, was among Katz's cabinet to attend.

Some of the money-saving and money-making ideas cited in the 44-page report are: Contract out city work wherever possible. Save -- $15-20 Million.

Cap wage increases for all city staff, except firefighters and police, to the rate of inflation -- Save $7 million

Target public libraries, through partnerships with schools, coffee shops and other partners, allow more volunteers to do library work -- Save $2 million.

Sell or transfer operation of as many pools and fitness centres as possible, seeking out partnerships with non-profit and community groups -- Save $5 million.

Sell off surplus land, sell buildings and lease back -- Save/New $3 million.

Sell naming rights for every city property it can't get rid of -- New $2 million annually

Sell off all city-owned golf courses and golf course property -- Save $1 million.

Close Animal Services, sell the building and give proceeds to Winnipeg Humane Society, contract out animal services to Humane Society, increase cost of pet licences -- Save $1 million.

Drastic increase in permits and inspections, in line with other major cities -- New $2 million. Charge commercial operators for snow dumping -- New $1 million.

Other ideas to save money and generate new revenue:
❚ Start a fraud and waste Hotline.
❚ Use more volunteers in city operations.
❚ Get employee feedback.
❚ More bulk purchasing.
❚ Contract out work/services to Business Improvement Zones.
❚ Eliminate park police, replace with private security firms.
❚ Finally convince the province to take over operation and cost of paramedic service and health inspections.