HomeMy WebLinkAbout2004-02-04 Council MinutesN
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Council Agenda Item #5(a)
TO Reeve Hoppins
Members of Council
FROM Rob Mayhew
DATE February 04, 2004
Issue Development of Undeveloped Road Allowance
Cost Share Options — Second User
Background
With the increase of requests for road development on County dirt roads,
the question has come up as to what cost option responsibility the second
user should be subjected to with his development on the existing road that
was originally cost shared with the County by the first developer
The amendment for Policy 45 13, Development of Underdeveloped Road
Allowance, was received at the January 29 2004 Council meeting
Discussion
Four Counties were contacted Stettler, Lacombe Mountain View and Red
Deer One planner expressed the position that the first developer entered
into the initial agreement because he wanted to develop his Future
Residential, Confined Feeding Operation, Industrial or Commercial
Development there He was willing at that time to invest the dollars to
build the road to his development The County cost shared and have the
responsibility of maintaining this road. A second development whether it
be immediately or five years from the time of the first development should
not be expected to pay for an existing gravel road
One County states in its Access Roads Policy "An individual or
individuals shall have no claim for refund of the cost share if at any
future date, the use of the road develops to the extent that it may be
considered to be in the interests of the public generally "
The issue of Second User Fees can become cumbersome, complicated and
difficult to enforce Municipalities who have considered the
implementation of Second User Fees, generally decide not to pursue this
option
Financial Implications
No financial implications
At present Policy # 5 13 Development of Undeveloped Road Allowance
provides the guidelines for undeveloped sites — Future Residential,
Confined Feeding Operation Industrial or Commercial Development
Recommendation
1 That Council approve the amendment to Policy #5 13 Development of
Undeveloped Road Allowance as presented (seeMattaed)
Rob Maew Ge I
iviaho
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*****Amendment Noted in Bold*******
Policy # 5 13 Development of Undeveloped Road Allowance
Department DEVELOPMENT CONTROL Approval Date July 22, 2003
Amendment Dates August 19, 2003 Replaces
Reference. Motion #385/03
PURPOSE
To establish a policy with respect to development on undeveloped road allowances
POLICY STATEMENT
Provide Administration with guidelines relating to the upgrading of undeveloped road
allowances for those dirt road allowances associated with new subdivisions and
developments
POLICY GUIDELINES
1 Undeveloped Site — Future Residential, Confined Feeding Operation
Industrial, or Commercial Development
1) The County will pay fifty percent (50%) of the costs, to a maximum of
$15,000 00, including gravel and seeding costs, for the building of the road to
County standards ( as per Schedule A — Major Local Road Standard)
2) At time of subdivision or development approval, whichever comes first, the
Developer will enter into a development agreement whereby a caveat will be
attached to the title, outlining the Developer's and County's responsibility of
the upgrade of the road Prior to subdivision or development approval,
Council approval will be required for the upgrade of the road
3) The Developer will be responsible for hiring a contractor for completion of
the Job
4) County standards will apply for seeding of the roadside upon completion of
construction in accordance with Policy #13 25, Seeding Roadsides
5) Upon completion of the construction, inspection will be required by the Public
Works Department, and any deficiencies noted will require correction Final
inspection will be completed one (1) year following corrections of any defects
or deficiencies and a Final Acceptance Certificate will be issued The
County s portion of the cost will be paid to the developer upon issuance of the
Final Acceptance Certificate
6) Maintenance of the road will be the responsibility of the County once a Final
Acceptance Certificate has been issued
7) "An individual or individuals shall have no claim for refund of the cost
share if at any future date, the use of the road develops to the extent that
it may be considered to be in the interests of the general public "
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To Council
From. Terry Nash
Date February 4, 2004
Council Agenda Item 4 6(d)
Issue
Review of the limits of expenditures for recording expenditures as capital assets and
adding definitions for asset classifications to the existing policy
Discussion
Although the insurance deductible on a single claim is $1,000, we need to inventory
smaller items should a multiple loss occur If an entire building were to be destroyed, we
would need to report the loss of all articles stored at that location The $500 limit seems
to pick up most articles with a useful life exceeding 1 year, without the need to record
numerous disposals annually
The definitions of asset classifications are from the Municipal Account Coding Structure
Recommendation
1 That CouriFil receive the draft Capitalization of Fixed Asset Policy as amended
Terry Nash, Wsis a{ant CAO
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Policy # ASSET MANAGEMENT — Capitalization of Fixed Assets
Department Corporate Services Approval Date
Amendment Dates- Replaces
Reference
Purpose.
To Document policies and procedures for capitalization of fixed assets
Policy Statement
Expenditures are made from various funds for the acquisition of fixed assets and
regardless of the source of funds, the assets must be accounted for The guidelines will
describe the method of accounting for all fixed asset additions They will insure the
preservation, conservation and safeguarding of each asset through its useful life
Policy Guidelines
Fixed Assets are of a durable, tangible physical and valuable nature and include
additions, replacements and major alterations, thereto, from which a stream of benefits
are derived over a period of years
Asset acquisitions with a useful life of more than 1 year and a unit cost between $500 and
$9,999 00 shall be inventoried Asset acquisitions with a useful life of more than 1 year
and a unit cost of $10 000 00 or more will be classified as capital Any item which costs
less than $500 will be expensed
Parts and supplies added to new vehicles and equipment to customize it for County use
are to be itemized by the shop on a capital work order and the total value of these extra
items are to be recorded as part of the original purchase of equipment.
No depreciation is recorded on fixed assets
Classifications
500 Equipment Fixed or movable devices for performing any sort of work, such as
motors, pumps electrical or control devices, office appliances and furniture with a unit
cost between $500 and $9,999 00
610 Engineering Structures — All permanent structural works other than buildings such
as sewer water gas systems, power lines, radio towers parks retaining walls, etc., to be
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DRAFT
DRAFT
recorded at cost Include service installations attached to land held for resale Roads
bridges, and sidewalks are not capitalized
620 Buildings — Building structures such as offices, garages, and warehouses, intended
to shelter persons and/or goods machinery, equipment and working space
630 Machinery — Fixed or movable devices for performing any sort of work such as
graders, tractors, packers office appliances and furniture with a unit cost of $10,000.00
or more and all computer equipment (Replacement software or upgrades are not
capitalized.)
640 Land For Own Use — Improved or unimproved land owned by the municipality
including rights of way and cemetery plots Does not include tax sale land or land held
for resale
650 Vehicles — Includes automobiles trucks tractor trailer units and buses
Asset Reporting — A complete inventory (balanced to the general ledger) of all fixed
assets will be maintained including proper identification, location and cost
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