Municipal Trailer Park Review Parks Recreation Culture Community

Municipal Trailer Park Review Parks, Recreation & Culture Community Services

Project Team and Subject Matter Experts Name Role Craig Shanks Process Champion and Sponsor Jenn Johnson Process Owner – Trailer Park Management Kevin Brasier Trailer Park Operational Supervision Sharon Weir Process Administration Reference Christine Norris Subject Matter Expert for Collections Lance Sherk Subject Matter Expert for Tourism David Kerr Subject Matter Expert for Water and Wastewater Richard Holy Subject Matter Expert for Planning and Zoning Susanne Murchison Subject Matter Expert for Building Code Diane Mc. Farlane Subject Matter Expert for Land Christina Sisson Process Improvement Facilitator city. kawarthalakes. on. ca Slide 2

Bobcaygeon Beach Park 1. 78 acres city. kawarthalakes. on. ca Slide 3

Centennial Park, Kirkfield 32 acres both parcels city. kawarthalakes. on. ca Slide 4

Scope and Definitions • Currently the City has two municipal trailer parks both operated on a seasonal basis by Parks, Recreation and Culture Division (PRC) • Season extends from May to October (22 weeks) • Bobcaygeon Beach Park has a maximum of 40 sites (Council Resolution 2007 -635) (one for staff trailer) • Centennial Park has 173 sites (one for staff trailer) • Both parks are Designated Campgrounds – “Beach Park Trailer Park” in Bobcaygeon and “Centennial Park” in Kirkfield as per Schedule “A” to By-Law 2006 -147 consolidated on August 3, 2010 • Both trailer parks are on waterfront and have water, sanitary, and hydro city. kawarthalakes. on. ca Slide 5

Historical Perspective and Strategic Value • Bobcaygeon Beach Park purchased in 1963 from the Canadian Pacific Railway • Centennial Park acquired from the Federal Government in 1961 as part of The County of Victoria 100 Anniversary Celebrations • Both considered to provide a tourist destination • Both generate revenue to offset park operations • Both generate sales for local merchants • Both provide a service to users • Both assets have been reviewed in the past for best use scenarios – retain, sell, lease, enhance, and/or abandon city. kawarthalakes. on. ca Slide 6

Amenities Available • Bobcaygeon Beach Park: beach, two playgrounds, walking path, comfort station, concession booth, boat launch, communal fire pits, picnic shelter, approximately 20 docks (entire current property), walking distance to the downtown and existing waterfront park • Centennial Park: beach, two playgrounds, a baseball diamond, basketball court, volleyball, picnic shelter, boat launch, two comfort stations, site specific fire pits, laundry facilities, docking spaces for approximately 66 boats city. kawarthalakes. on. ca Slide 7

city. kawarthalakes. on. ca Slide 8

Project Goals Problem Statement: Municipal trailer parks provide a recreational opportunity to a select few. The true costs and net benefit need to be confirmed to determine the Return on the Investment. Project Goals: Ø Confirm number of customers Ø Confirm who are the customers Ø Confirm the true costs – assets, revenues, expenses – operating and capital Ø Confirm the strategic alignment Ø Financial Implications: forecast tax revenue, land value, and capital city. kawarthalakes. on. ca Slide 9

Process Review 2015 For an asset, we confirm demand, costs, and resources provide the service, and assess. Voice of the Customer: �Trailer Park Visitors want amenities and fast service �City/Employees want to provide service and maximize occupancy while collecting revenue �City/Management want to address the strategic value of the asset - input vs. output and customer value Data: �Ratio of cost per site and utilization �Who is benefitting from the service �Demand costs city. kawarthalakes. on. ca Slide 10

Project Metrics: All Bobcaygeon Beach Park Customers Since 2011 Bobcaygeon Beach Park Sites Rented 36. 5% CKL Residents Other Communities 63. 5% Average turnover less than 5 years city. kawarthalakes. on. ca Slide 11

Project Metrics: Recent Bobcaygeon Customers Bobcaygeon Beach Park Vacancy 2013 5% Vacant Sites Occupied Sites 87% from outside CKL 95% city. kawarthalakes. on. ca Slide 12

Project Metrics: All Centennial Park Customers Since 2005 Centennial Park Sites Rented 3. 5% CKL Residents Other Municipalities 96. 5% Majority of Customers have been on site for over 5 years city. kawarthalakes. on. ca Slide 13

Project Metrics: Recent Centennial Park Customers Centennial Park Vacancy 2010 - 2014 1% Vacant Sites Occupied Sites 99% 95% from outside CKL city. kawarthalakes. on. ca Slide 14

Operating Budgets Bobcaygeon Beach Park Profit every year based on budgets except 2010 and 2013 Operating Actuals $90, 000 $80, 000 $490/Site $70, 000 $60, 000 $50, 000 Revenues $40, 000 Expenses $30, 000 $20, 000 $10, 000 $0 2008 2009 2010 2011 2012 2013 2014 city. kawarthalakes. on. ca Slide 15

Bobcaygeon Beach Park Expenses 2014 $1575/Site $110/site - water $400/site - hydro Occupancy Costs; $20, 052 Personnel; $38, 591 Communications; $639 Professional Technical & Contracted Services; $3, 734 city. kawarthalakes. on. ca Slide 16

Past and Projected Capital Bobcaygeon Beach Park Capital $70, 000 $60, 000 $50, 000 $40, 000 $30, 000 $20, 000 $10, 000 $0 2008 2010 2012 Bobcaygeon Beach Park - Budget 2013 2015 2016 Bobcaygeon Beach Park - Actual city. kawarthalakes. on. ca Slide 17

Operating Budgets Centennial Park Profit every year based on budgets Operating Actuals $450, 000 $400, 000 $350, 000 $1140/Site $300, 000 $250, 000 Revenues Expenses $200, 000 $150, 000 $100, 000 $50, 000 $0 2008 2009 2010 2011 2012 2013 2014 city. kawarthalakes. on. ca Slide 18

Centennial Park Expenses 2014 Fleet and Other Expenses; $1, 428 Allocations; $10, 086 Maintenance & Repairs; $13, 783 $1088/Site Personnel; $87, 023 $270/site - hydro Occupancy Costs; $59, 668 $81/site – taxes* Or specific to site Communications; $2, 797 Materials & Supplies; $643 Professional Technical & Contracted Services; $11, 757 city. kawarthalakes. on. ca Slide 19

Past and Projected Capital Centennial Park Capital $120, 000 $100, 000 $80, 000 $60, 000 $40, 000 $20, 000 $0 2008 2010 2012 Centennial Park - Budget 2013 2015 2016 Centennial Park - Actual city. kawarthalakes. on. ca Slide 20

Additional Costs Consistent with Corporate budget practice, the following costs are not included in the specific park budgets: • Management and Administrative costs within Community Services and Parks, Recreation and Culture (i. e. Administrative Assistant, Supervisor, Manager) • Finance and Revenue and Taxation costs (i. e. billing, collections, administration, etc. ) • Insurance premiums for property and liability (estimated total/year of $770 - BBP and $1400 - CP) • Community well costs for Centennial Park (approximately $12, 000/year or $70/site) city. kawarthalakes. on. ca Slide 21

Rate Comparison Neighbouring Parks 2014 -2015 Victoria Park - Cobourg Riverwood Park-Lindsay Pigeon Lake Trailer Park-Lindsay Nestle In Resort-Dunsford Lovesick Lake Park-Burleigh Falls Long Beach Cottages&Trailer Park-Cameron Log Chateau Park-Fenelon Falls Layzee Acres RV-Sebright Premium/Waterfront Lot Green Acres. Trailer Park-Bobcaygeon Preferred Lot Double "M" RV Resort-Lindsay Regular Lot Centennial Park-Kirkfield CAMPINN on Duck Lake-Kirkfield Bobcaygeon Beach Park Extras include: Hydro Water Sewer/Septic Docks Parking Visitors Birch Cove-Bobcaygeon Bell Haven Park-Bobcaygeon Beavermead Campground-Peterborough Alpine RV - Lindsay $0 $500 $1, 000 $1, 500 $2, 000 $2, 500 $3, 000 $3, 500 $4, 000 Regular Lot Median= $2200 Slide 22 city. kawarthalakes. on. ca

Additional Benefits Economic benefit to the City has been referenced but has not been quantified (Report CS 2007 -40). A recent report for the Beavermead Campground and Park in the City of Peterborough (The Planning Partnership, 2012) quoted a figure of $506/camper party. Potentially, for the combined 212 site in Centennial and Bobcaygeon, the same figure could result in $107, 272 – primarily from tourists. city. kawarthalakes. on. ca Slide 23

Define and Measure Phases Summary and Conclusions • Both parks are occupied – very low vacancy • Majority of occupants are from outside the City of Kawartha Lakes • Demand has been continuous and steadily growing (waiting lists) • Review rates to confirm benchmark • Review options open to the City city. kawarthalakes. on. ca Slide 24

Options Potential Options #1 #2 Data To Be Collected Description Where to Collect Data Who will Collect Data Remarks Status Quo Community Services – PRC Corporate Services Revenue and Taxation and Risk Management Community Services and Facilitator Outline costs – operating, capital, other – review information from a range of years City retains the land – contract management Community Services - PRC #3 City retains the land – no trailer park activity #4 Property sold as trailer park with site agreements in place Land Management #5 Property sold Land Management Community Services and Facilitator Land Management reviewing land values and any encumbrances Outline potential costs and risks Legalities/realities of this option need to be confirmed Legal Review required city. kawarthalakes. on. ca Slide 25

Option #1 – Status Quo • City continues with operations and management of the municipal trailer parks • Bobcaygeon Beach Park – $80 k revenue and $65 k expense • Centennial Park – $370 k revenue and $190 k expense • Capital needs continue – varies year to year • Rates reflect market value • Potential to consider recuperating costs for water, hydro, taxes, etc. • Communication required city. kawarthalakes. on. ca Slide 26

Option #2 – Contract Management • Staff and Resources will be required to manage the contract • Contract must be very clear and precise • The contract model will determine the revenues and expenses (O&M) and capital expenditures • Communication required • Option could apply to both Bobcaygeon and Centennial city. kawarthalakes. on. ca Slide 27

Option #3 – Retain Land & Cease Trailer Park Activity • No revenue would be generated • Expenses would continue – the extent would be dependent on how the land would be repurposed • Bobcaygeon Beach Park Resources are shared to maintain other Bobcaygeon park properties • Operating and maintenance expenses include grass cutting, fences and gates for barricading, etc. • In addition, there are costs associated with closing or demolishing buildings, de-commissioning a well or septic system, removing water services, etc. • Potential for capital expenditures is reduced city. kawarthalakes. on. ca Slide 28

Option #3 – Continued • Option could apply to both Bobcaygeon and Centennial • For Centennial, there is no other municipal use or demand for the site - barrier to site required • Communication required city. kawarthalakes. on. ca Slide 29

Option #4 – Property Sold as Trailer Park with Site Agreements in Place • One time revenue from the sale of the land • Zoning for other potential land uses would generate tax revenue • Expenses may continue during transition and then would cease • No further capital expenditures – asset management costs • Legalities and practicalities of the transfer of the site agreements needs to be confirmed city. kawarthalakes. on. ca Slide 30

Option #4 – Continued • As per the 1961 agreement, “the said land shall be put aside and reserved, forever, by the Corporation for park purposes…and the Corporation shall not sell, lease or otherwise dispose of the said lands” • Based on preliminary Land Management and Legal Review, Centennial Park can not be sold • Therefore, this option applies to Bobcaygeon only • Recommendation is to sever the lands (as shown) to maintain the public entity of the waterfront park city. kawarthalakes. on. ca Slide 31

Bobcaygeon Beach Park - Proposal p Kee l Sel city. kawarthalakes. on. ca Slide 32

Option #4 – Continued • Resources across the City – time, staff, and money required to confirm and implement next steps – official appraisal, survey, zoning review, servicing capacity review, decommissioning of trailer park, etc. • Approximate land value for entire parcel is $4. 2 M • Communication required city. kawarthalakes. on. ca Slide 33

Option #5 – Property Sold • One time revenue from the sale of the land • Zoning for other potential land uses could generate tax revenue • Expenses may continue during transition and then would cease • No further capital expenditures – asset management costs • As per the Land Management and Legal Review, this option applies to Bobcaygeon only city. kawarthalakes. on. ca Slide 34

Option #5 – Continued • Resources across the City – time, staff, and money required to confirm and implement next steps – official appraisal, survey, zoning review, servicing capacity review, decommissioning of trailer park, etc. • Approximate land value for entire parcel is $4. 2 M – confirmation required through the official land management process • Communication required city. kawarthalakes. on. ca Slide 35

Bobcaygeon Beach Park p Kee l Sel city. kawarthalakes. on. ca Slide 36

Summary of Analysis Only three of the options apply to both municipal trailer parks based on legal and land management review: • Status Quo • City retains the land – contracts management • City retains the land – ceases trailer park activity Two additional options remain for Bobcaygeon Beach Park: • City sells property as trailer park with site agreements in place • City sells property city. kawarthalakes. on. ca Slide 37

Summary Continued A comparison of the benefits and/or drawbacks for the various options was completed by the team by looking at the following factors: • Capital Expenditures • Operating Costs • Staffing Needs • Municipal Liability • Promoting Strategy Map • Complaints • Trailer Park Servicing city. kawarthalakes. on. ca Slide 38

Summary Continued Continuing with Centennial Park provides the most benefit - a revenue generating service to tourists Selling the trailer park portion of Bobcaygeon Beach Park provides the most benefit - revenue generation while reducing staff needs, liability, and capital expenditures city. kawarthalakes. on. ca Slide 39

Next Steps A Staff Report to Council will be forthcoming with recommendations. Some improvements recommended to enhance the operation of Centennial Park include: • Continue with constant improvements on the contract as per the Association (annual review) • Pursue a report for increased costs/fees to reflect services provided • Move management and operation to CLASS booking system for consistent one stop customer service city. kawarthalakes. on. ca Slide 40