1. home and garden

OTTAWA COMMUNITY HOUSING CORPORATION
BOARD OF DIRECTORS MEETING
39 Auriga Drive
Ottawa, Ontario
Directors:
Thursday, January 8, 2015
Meeting Start Time: 6:00 p.m.
Councillor Mathieu Fleury, Chair; Ms. Peggy Feltmate, Vice-Chair; Mr. Dan Doré, Treasurer;
Ms. Linda Hoad, Corporate Secretary, Ms. Sarah Kambites, Director; Ms. Carole Ladouceur, Director (Tenant);
Mr. Claude Lloyd, Director; Councillor Catherine McKenney, Director; Councillor Jody Mitic, Director; Mr.
Anthony Pizarro, Director; Councillor Mark Taylor, Director; Mayor Jim Watson, Ex-Officio
AGENDA
1.
Welcome and Introduction of New Board Members
2.
Conflict of Interest Declarations
3.
Approval of Agenda
4.
Report OCHC-001/15 - 2015 Inaugural Board Meeting (Verbal Report)
4.1
4.2
4.3
4.4
4.5
4.6
5.
EN FRANÇAIS AU VERSO →
Page
Election of Vice-Chairperson
Election of Corporate Secretary
Election of Treasurer
Appointment of Finance and Audit Committee Members
Appointment of Corporate Affairs Chair and Committee Members
Appointment of Asset Management Chair and Committee Members
Approval of Minutes
5.1
5.2
Minutes of December 11, 2014 Board meeting…………………………………….…………………………………………….. 005
Business Arising from the Minutes
6. Delegation – Agenda Items
6.1
6.2
Tenant Advisory Group – Verbal Report
Tenant Advisory Group minutes of the November 10, 2014 meeting (For Information)……..……………………. 012
7. Delegation – Non-Agenda Items
8. Reports for Approval
8.1
8.2
8.3
8.4
OCHC-002/15
OCHC-003/15
OCHC-004/15
OCHC-005/15
2015 Budget ……………………………………………………………………………………………………………..
2015 Capital Budget Envelope …………………………………………………………………………………….
Audit of 2014 Financial Statements ……………………………………………………………………………..
Personal Information and Privacy Policy………………………………………………………………………..
015
043
047
071
9. Reports for Information/Discussion
9.1
9.2
9.3
9.4
9.5
OCHC-006/15
OCHC-007/15
OCHC-008/15
OCHC-009/15
OCHC-010/15
Long Range Financial Strategy – 2014 Work Plan Update ………………………………………………
Call Centre – Performance Report to June 30, 2014 ………………………………………………………
2014 Tenant Forum ……………………………………………………………………………………………………
Play Structure Update …………………………………………………………………………………………………
Service Excellence Week …………………………………………………………………………………………….
10.
Chief Executive Officer’s Update
11.
Chair’s Update
12.
Enquiries from the Board
13.
Board Discussion/Roundtable
14.
Adjournment
091
101
113
117
121
RÉUNION DU CONSEIL D’ADMINISTRATION
39, promenade Auriga
Ottawa (Ontario)
Jeudi, le 8 janvier 2015
Début de la réunion : 18 heures
Conseiller Mathieu Fleury, président; Mme Peggy Feltmate, vice-présidente; M. Dan Doré, trésorier; Mme Linda
Hoad, secrétaire; Mme Sarah Kambites, membre; Mme Carole Ladouceur; membre (locataire);M. Claude Lloyd,
membre; Conseillère Catherine McKenney, membre; Conseiller Jody Mitic; membre; M. Anthony Pizarro,
membre; Conseiller Mark Taylor, membre; son honneur le maire Jim Watson, membre d’office
Membres
1. Ouverture de la réunion
ORDRE DU JOUR
Page
2. Déclarations de conflits d’intérêts
3. Adoption de l’ordre du jour
4. Rapport OCHC-001/15 - 2015 – Séance inaugurale (Rapport Verbal)
4.1
4.2
4.3
4.4
4.5
4.6
Élection du vice-président/de la vice-présidente
Élection du trésorier
Élection du/de la secrétaire du conseil
Nomination des membres du Comité des finances et de la vérification
Nomination du président et des membres du Comité des affaires administratives
Nomination du président et des membres du Comité de la gestion des biens
5. Adoption du procès-verbal de la dernière réunion
5.1
5.2
Procès-verbal de la réunion régulière du 11 décembre 2014 du Conseil d’administration.......................
Questions découlant du procès-verbal
005
6. Délégation – Articles inscrits à l’ordre du jour
6.1
6.2
Groupe consultatif des locataires – Rapport verbal
Procès-verbal de la réunion du 10 novembre 2014 du Groupe consultatif des locataires…………………….
012
7. Délégation – Articles non inscrits à l’ordre du jour
8. Rapports pour Approbation
8.1
8.2
8.3
8.4
OCHC-002/15
OCHC-003/15
OCHC-004/15
OCHC-005/15
Budget de 2015 (présentation du personnel)..…………………………………………………………….
Budget d’immobilisations de 2015……………………………………………………………………………..
Vérification des états financiers de 2014…………………………………………………………………….
Politique sur la protection des renseignements personnels et de la vie privée…………………
015
043
047
071
9. Rapports pour Information
9.1
9.2
9.3
9.4
9.5
OCHC-006/15
OCHC-007/15
OCHC-008/15
OCHC-009/15
OCHC-010/15
Stratégie financière à long terme – Mise à jour sur le plan de travail de 2014…………………
Forum des locataires 2014………………………………………………………………………………………..
Structures de jeu – Mise à jour………………………………………………………………………………….
Centre d’appels - Rapport de rendement au 30 juin 2014 (présentation du personnel)…….
Semaine de l’excellence du service (présentation du personnel seulement)…………………….
10.
Rapport du chef de la direction
11.
Rapport du président
12.
Demandes de renseignements des membres du Conseil d’administration
13.
Discussion du Conseil/Tour de table
14.
Levée de la réunion
091
101
113
117
121
OTTAWA COMMUNITY HOUSING CORPORATION
BOARD OF DIRECTORS MEETING
MINUTES
OCH Head Office
39 Auriga Drive
Ottawa, Ontario
Thursday, December 11, 2014
Meeting Start Time: 7:00 p.m.
Directors:
Councillor Mathieu Fleury, Chair; Ms. Peggy Feltmate, Vice-Chair; Ms. Linda Hoad,
Secretary; Ms. Sarah Kambites, Director; Ms. Carole Ladouceur, Director (Tenant);
Mr. Claude Lloyd, Director; Mr. Anthony Pizarro
Regrets:
Mayor Jim Watson, Ex-Officio; Mr. Dan Doré, Treasurer
OCH Staff:
Mr. Stéphane Giguère, Chief Executive Officer; Mr. Guy Arseneau, Executive Director,
Tenant Services; Mr. Denis Michel, Director, East Tenant Service Centre; Ms.
Christiane Hallé, Director, Central Tenant Service Centre; Mr. Cliff Youdale, Executive
Director, Asset Management; Mr. Barron Meyerhoffer, Director, Planning &
Engineering; Ms. Diana Carr, Director, Project Implementation; Ms. Patricia Tessier,
Executive Director, Organizational Effectiveness; Ms. Melany Chretien, Interim
Manager, Corporate Communications; Mr. Ven Giannantonio, Director, Finance; Mr.
Devin Winson, Human Resources Officer; Mr. Brian Gilligan, Executive Director,
Community Development; Ms. Wendy McColgan, Executive Coordinator; Ms. Annette
Jensen, Executive Assistant
Guests:
Mr. Nathaniel Mullin, Councillor’s Assistant, Councillor Fleury’s office
Tenants:
2
1.
Call to order and Introduction by the Chair
Ms. Feltmate called the meeting to order and welcomed the attendees.
2.
Election of the Chairperson – presided over by the Vice-Chair
Ms. Feltmate called for nominations for the position of Chair of the Board of Directors for the
term of 2014-2015.
Nomination of the OCHC Chairperson
Nominee: Councillor Mathieu Fleury
Nominated by: Mr. Pizarro
Seconded by: Mr. Lloyd
5
Motion to the Shareholder to Confirm the OCHC Chairperson
Moved by: Mr. Pizarro
Seconded by: Mr. Lloyd
That the OCHC Board recommend to the Shareholder the confirmation of member Councillor
Mathieu Fleury as Chairperson of Ottawa Community Housing Corporation for the calendar
year 2014-2015.
Acclaimed
At this time, Councillor Fleury assumed the chair.
Councillor Fleury thanked the Board for their support and stated that he looked forward to
working with the Board on key initiatives.
At this time, Councillor Fleury thanked Councillor Wilkinson for her dedication to OCH and its
tenants during her term as Chair, as well as her passion for promoting housing issues.
Mr. Giguère spoke about how Councillor Wilkinson has inspired OCH tenants and staff with
her commitment to OCH and its communities. She was presented with a token of
appreciation, and spoke of the enjoyment she has had seeing the Corporation grow and
succeed during many challenges and changes in the past two years.
2.
CONFLICT OF INTEREST DECLARATION
There were no declarations of conflict of interest.
3.
APPROVAL OF AGENDA
Moved by: Ms. Ladouceur
Seconded by: Ms. Kambites
That the agenda of the December 11, 2014 Board of Directors meeting be approved.
Carried
4.
APPROVAL OF MINUTES
4.1
Approval of Minutes of November 13, 2014 Regular Board Meeting
Moved by: Ms. Feltmate
Seconded by: Mr. Pizarro
That the minutes of the November 13, 2014 Board of Directors meeting be approved, with
administrative edits.
Carried, with administrative edits
6
4.2
Business Arising from the Minutes
There was no business arising from the minutes.
5.
DELEGATION – AGENDA ITEMS
5.1
Tenant Advisory Group (TAG) Report
Ms. Ladouceur presented the following report:
The TAG meeting held on December 9 was well attended. We were also joined by a tenant
leader guest from the South District, who wanted to learn more about the Tenant Advisory
Group.
The board package was briefly discussed, and we touched on the amendments to market
rent.
We also discussed on “jazzing up” the agendas for the District Based Committees and the
Tenant Forums. A few ideas included the use of games, surveys and a more exciting notice
of the meetings. It was also suggested that a regular column from the Tenant Advisory
Group might generate more tenant interest in its work, as well as events like the Tenant
Forum and District Based Committees.
The data and evaluations from the 2014 Tenant Forum were distributed and discussed.
Members appreciated the positive comments but still believe that the format should be
refreshed.
The next Tenant Retreat, which is for tenants only, is scheduled for April 25, 2015 at
Walkley Manor.
Tenant Advisory Group members were asked to volunteer for various selection and planning
committees for 2015 (e.g. Tenant Forum Working Group, Ron Larkin Scholarship Selection
Committee, etc.)
The Tenant Advisory Group passed a motion to have its meetings coincide with the Board
meetings every second month, starting January 6, 2015.
All Tenant Advisory Group members were invited to attend as many Christmas celebrations
as possible.
The next Tenant Advisory Group meeting is on January 6, 2015.
5.2
Tenant Advisory Group minutes
That the minutes of the September 9, 2014 Tenant Advisory Group meeting be received for
information.
Received
7
6.
DELEGATION – NON-AGENDA ITEMS
7.
REPORTS FOR APPROVAL
7.1
OCHC-092A/14 – Property Tax Exemption – New Standard of Affordable Rents
and Amendment to Market Rent Schedule for Select Units
Mr. Giguère confirmed that the City has approved a property tax exemption that will provide
approximately $3 million dollars annually to OCH. With amendments to the 2015 OCH
budget, this will become effective on January 1, 2015.
Moved by: Ms. Hoad
Seconded by: Ms. Ladouceur
That the Board of Directors approve the proposed new standard of affordable rent as
described in this report and amend the market rent schedule for 385 units (Attachm ent 1)
to comply with the new standard for affordable rent.
Carried
7.2
OCHC-093/14 –Hiring Policy
Mr. Devin Winson presented key highlights on the renewed hiring policy.
Councillor Fleury confirmed that this policy was reviewed at the Corporate Affairs
Committee, and the Committee has approved its content.
Moved by: Ms. Feltmate
Seconded by: Mr. Lloyd
That the Board of Directors approve the updated Hiring Policy.
Carried
7.3
OCHC-094/14 – 2015 Amended Calendar of Board Committee Meetings
Mr. Giguère presented the report to the Board members. The key change to the Board
meeting s is that they will be held every second month, to align with the Committee
meetings and the reports being forwarded to the Board.
A steering committee of Board and Committee Chairs will meet as required, to identify intercommittee matters, and act as a liaison to Board and Committee members.
Board meetings will be meeting twice a year at OCH Head Office, twice a year in the OCH
communities, and twice a year in other venues in the City. Councillor Fleury will be
forwarding a memo to the Board members with proposed locations for these meetings, and
locations will be provided to tenants and the public as soon as possible.
8
Moved by: Ms. Kambites
Seconded by: Ms. Ladouceur
That the Board of Directors approve:
a) the attached amended schedule for the 2015 meetings; and
b) the creation of Board Steering Committee consisting of the chairs of each Board
committee.
Carried
7.4
OCHC-095/14 – Enhanced Governance
Moved by: Ms. Kambites
Seconded by: Mr. Pizarro
That the Board of Directors approve the enhancements to the OCH board governance model
as presented.
Carried
8.
REPORTS FOR INFORMATION
8.1
OCHC-096/14 – 211 Lees Avenue Revised Elevations
Site plan approval has been received from the city, and further financial updates on the
redevelopment of the property will be provided to the Board in January.
That the Board of Directors receive this report for information.
Received
8.2
OCHC-097/14 – Building Monitoring Plan
Mr. Youdale presented details on the technology that will provide reliable monitoring for
elevators, boiler systems, and other critical building systems. Mr. Giguère also stated that
this monitoring plan will add to cost savings and efficiencies for the Corporation.
That the Board of Directors receive this report for information.
Received
9
8.3
OCHC-098/14 – Defining the OCH Tenant Experience:
Welcome Home to OCH
Mr. Arseneau presented information on the development of shaping the tenant experience, a
welcome package is being developed and tenant satisfaction is being measured. Mr. Lloyd
spoke on the value of having face to face meetings to promote discussions and to develop a
relationship with our tenants. Mr. Giguère spoke on the value of consistent service for all
tenants.
That the Board of Directors receive this report for information.
Received
8.4
OCHC-099/14 – Governance Conference
Ms. Feltmate provided an update on a Governance conference that she attended in the fall.
The conference presented factors such as the importance of an open, trusting relationship
between the Board and the staff. Mutual respect between the Board and staff was also key
to success. It is the Board’s responsibility to ensure that all facts are correct, and that
objectives and risks are well-identified.
Mr. Lloyd spoke of the importance of not remaining static, promoting a culture of discussing
innovative ideas. Ms. Feltmate added that this could be considered at the Strategic Planning
Workshop.
That the Board of Directors receive this report for information.
Received
9.
Chief Executive Officer’s Update
Mr. Giguère congratulated Councillor Fleury on his appointment as OCH Board Chair. He also
thanked Councillor Wilkinson for her valuable contributions to our Board.
Mr. Giguère has met with other leaders in housing, from B.C. and the UK to discuss best
practices and common challenges and goals. Innovative ideas that have been implemented
by OCH were discussed as well. Common challenges such as resources, housing costs,
capacity, and budget issues were compared.
Sessions for recruitment of Board Committee members have been held, and interviews are
underway.
The Ontario Non-Profit Housing Association held in Ottawa was a huge success, and OCH
staff and tenants participated. Tenant engagement, successful community gardens, and the
OCH Green Plan were of interest to many of our partners across Ontario.
The Corporation is investigating the promotion of health education and health checks for
tenants in supportive housing.
10
At a meeting of local public and education leaders, Mr. Giguère presented on the complex
nature of engagement within OCH: with our tenants, stakeholders, shareholders, and
partners. The complexity work together and have an aligned vision for service delivery.
Mr. Giguère attended the open house at Options Bytown, their new offices provide improved
private access to counselling and support services for our tenants.
The Youth Services Bureau “Sleep Out” provided Mr. Giguère a clear view of the challenges
that are faced by the homeless youth of the City as he slept outside overnight.
At a recent meeting, Mr. Giguère presented Councillor Desroches with a plaque of
appreciation for his service as Board Chair and a member of the Board during his term of
office.
Many events are planned for the holiday season, and Mr. Giguère will be attending as many
as possible to meet with our tenants and join in the celebrations supported by the tenant
associations. He wished everyone a safe and happy holiday season.
10.
Chair’s Update
Councillor Fleury commented on the holiday message that Mr. Giguère has recorded for a
local radio station, and it has been well received.
A tour of OCH properties will be planned in the new year, as well as a Board workshop that
will also provide orientation for our new Board members. An information session will also be
held at City Hall in early January to provide all new City councillors an overview of OCH.
11.
Enquiries from the Board
There were no enquiries from the Board.
12.
Board Discussion/Roundtable
There were no items presented for discussion.
13.
Adjournment
Moved by: Ms. Ladouceur
Seconded by: Ms. Feltmate
The meeting was adjourned at 8:40 p.m.
________________________
Corporate Secretary
11
Ottawa Community Housing Corporation
Tenant Advisory Group Meeting
Minutes
Head Office
39 Auriga Drive
Ottawa, Ontario
Date: Wednesday, November 12, 2014
Meeting Start Time: 5:30 pm.
TAG Members:
Ms. Carole Ladouceur, Ms. Sandra Pilote, Mr. Ron McCooeye,
Ms. Shukri D’Jama, Ms. Juana Peralta, Ms. Penny Knox,
Mr. Patrick Cassidy
OCH Staff:
Mr. Brian Gilligan, Executive Director, Community Development
Ms. Christiane Hallé, Director, Central Tenant Services
Ms. Kelly Hastings, Policy Officer
Ms. Gail Henri, Information Officer, Corporate Communications
Ms. Matilda Selormey, Admin. Assistant, Community Development
Absent:
Ms. Penny Knox, TAG Member
Ms. Carissa Davis, DBC Vice-Chair (West)
Guests:
DBC Vice-Chair (South), Mr. Patrick Miller, DBC Vice-Chair (Central),
Mr. Jason Tierney, DBC Vice-Chair (East),
AGENDA
1.
2.
3.
4.
9.
Opening and Welcome
Review and Approval of Agenda
Review and Approval of Minutes of September 11th, 2014
How do OCH Work Orders Work: Maintenance Service Requests to Completion?
• 24 Hour Notice
• Emergency Access
Community Houses – Creating Service Standards
Group Discussion
Development of a Tenant Group Policy
Presentation: Brian Gilligan
Discussion on Board Agenda/Information Package for November 13th
Information and Planning Items
•
Tenant Appreciation Events
•
Tenant Forum 2014 Debrief
•
Agenda for Winter 2014 DBC
•
December TAG Meeting – Agenda Items
Next Meeting: December 9th, 2014
1.
Opening and Welcome
5.
6.
7.
8.
Ms. Ladouceur, Chair of the Tenant Advisory Group welcomed members and guests.
12
2.
Review and Approval of Agenda
Moved by: Ron McCooeye
Seconded by: Juana Peralta
That the agenda of the November 12, 2014 TAG meeting be approved to include the
following additional items under Item 8: 2015 Community Development Dates, Tenant
Retreat.
Carried, as amended
3.
Review and Approval of Minutes of September 11th, 2014
Moved by: Ron McCooeye
Seconded by: Shukri D’Jama
That the Minutes of the September 11th, 2014 TAG meeting be approved.
Carried
4.
How do OCH Work Orders Work: Maintenance Service Request to Completion?
• 24 Hour Notices
• Emergency Access
Ms. Hallé, Central District Director, explained the different stages of OCH Work Order
processes regarding maintenance service requests. She led a discussion focused over the
use of 24 hour notices and the unpredictable use during capital works projects.
5.
Community Houses – Creating Service Standards
Group Discussion
Mr. Gilligan, Executive Director of Community Development updated TAG on the
discussions with the City and the Coalition of Community Houses. He is working on a new
arrangement with community houses that would include service standards, accountability,
and collaboration with OCH tenant groups and partners. The goal is to get tenant’s input
into the discussion in the future to move forward.
6.
Development of a Tenant Group Policy
Presentation: Brian Gilligan
Mr. Gilligan, Executive Director of Community Development and Ms. Hastings, Policy
Officer, led a discussion on the development of a tenant group policy to include new
changes that is planned to replace the current Tenant Association Funding Policy. The
group agreed that the entire January 2015 TAG meeting will focus on a longer discussion
on a Tenant Group Policy.
7.
Discussion on Board Agenda/Information Package for November 13th
A review of the reports for the November 13th Board meeting was discussed and various
enquiries including Elevators, OCH Green Plan were addressed.
13
8.
Information and Planning items
8.1 Tenant Appreciation Events
The Tenant Appreciation event has already taken place in three (3) districts to date.
The events were well received in the communities with one event remaining. The
event in the South is planned for January 2015.
8.2 Tenant Forum 214 Debrief
A debrief on the Tenant Forum held on October 25th at the Confederation Education
Centre will be provided at the next Tenant Advisory Group meeting.
8.3 Agenda for Winter 2014 DBC
Discussed under Item 8.4
8.4 December TAG Meeting – Agenda Items
At the December 9th TAG meeting, the group will discuss other ideas and
improvements to create a different approach to refresh the agenda of both the
tenant corner portion of the District Based Committees and the Tenant Forum.
8.5 2015 Community Development Dates
Mr. Gilligan distributed copies of the 2015 Community Development dates.
8.6 Tenant Retreat – 2015
The 2015 Tenant Retreat will be reintroduced for further discussion at the next TAG
meeting on December 9th.
9.
Next Meeting: December 9th, 2014
The next TAG meeting is scheduled for Tuesday, December 9th, 2014 at 5:30 p.m. in
the Boardroom at 39 Auriga Drive.
14
15
16
17
18
19
20
Attachment 1
Report No.: OCHC-002/15
Meeting Date: January 8, 2015
2013
Actual
Use of Funds
Debt Servicing
Municipal T axes
Utilities
Electricity
Natural Gas
Water and Sewage
Subtotal - Utilities
Annual Capital Funding
Salaries & Benefits
Material & Services
Vehicle Purchase
Capital Projects - Asset Management
Lees Avenue - Redevelopment
Community Capital
Development
T otal Use of Funds
Source of Funds
Operating Subsidies
Additional Capital Repair Contribution
Capital Reserve Contribution
Rent Supplement
Rent
Other revenue
Lees Ave
Revenue from electricity generation
Green Fund Grants
Foregivable Loan - Carsons Road
Forgivable Loan - OSP
City Grant- HPR
T otal Source of Funds
Surplus/(Deficit)
Fund Balance Jan 1
Interfund Transfers
Interest Income
Proceeds from Property Sales
Loan Proceeds
Fund Balance Dec 31
2014 Budget
ALL
2014 Projection
ALL
Operating Fund
31,818,938
23,280,942
31,369,800
23,778,600
31,165,300
24,107,500
31,085,400
0
8,726,602
4,733,217
8,162,926
21,622,745
9,128,200
4,885,600
9,559,300
23,573,100
9,230,000
5,591,300
7,606,200
22,427,500
10,046,900
5,838,900
8,062,600
23,948,400
17,319,500
25,480,735
24,291,515
16,366,100
30,569,700
39,994,800
0
20,000,000
16,366,100
19,801,000
30,652,800
28,994,300
37,552,800
28,570,300
237,368
11,436,600
316,000
100,000
100,000
2,530,000
2,362,000
143,814,375 188,282,100 176,723,968 132,399,400
70,421,000
9,107,601
64,881,217
4,009,185
69,698,200
0
14,966,100
9,255,300
65,092,800
4,059,700
0
0
0
0
1,200,000
1,400,000
69,634,200
0
14,966,100
9,185,300
65,317,700
4,040,100
926,085
250,000
976,292
400,000
1,200,000
1,400,000
2015 Proposed Budget by Fund
Capital Fund
Green Fund
CRF
2,701,000
14,763,000
750,000
30,500,000
2,500,000
4,600,000
100,000
48,064,000
2,500,000
4,600,000
750,000
53,484,400
3,008,400
15,392,600
9,332,300
65,567,700
4,103,600
1,673,900
250,000
1,000,000
1,400,000
148,419,003 165,672,100 168,295,777 132,488,000 19,801,000 1,250,000 1,673,900
4,604,628 -22,610,000
-8,428,191
88,600 -28,263,000 -1,250,000 -2,926,100
Budget
42,949,000
0
414,600
1,200,000
4,100,000
26,053,600
Vehicle
2015
Variance from % 2015 vs
2014 Budget
2014
0
31,085,400
-284,400
-0.91%
0 -23,778,600
-100.00%
2015 Proposed
ALL
10,046,900
5,838,900
8,062,600
23,948,400
918,700
953,300
-1,496,700
375,300
10.06%
19.51%
-15.66%
1.59%
19,801,000
31,695,300
43,333,300
750,000
33,000,000
4,600,000
100,000
0
188,313,400
3,434,900
1,125,600
3,338,500
750,000
13,000,000
20.99%
3.68%
8.35%
53,484,400
3,008,400
15,392,600
9,332,300
65,567,700
4,103,600
1,673,900
250,000
1,000,000
0
0
1,400,000
-16,213,800
3,008,400
426,500
77,000
474,900
43,900
1,673,900
250,000
1,000,000
0
-1,200,000
0
0
-2,530,000
-4,568,700
65.00%
0.00%
-100.00%
-2.43%
-23.26%
2.85%
0.83%
0.73%
1.08%
-100.00%
0.00%
0
-750,000
155,212,900
-33,100,500
-10,459,200
-10,490,500
-6.31%
46.40%
Projection Operating
Capital
Green
CRF
Vehicle
42,949,000
4,276,300 33,344,800
874,492
667,093
27,832
0
-88,600
-1,203,083
375,508
194,007
722,168
494,500
68,400
314,700
175,208
2,065,000
4,000,000
8,100,000
39,190,517
4,344,700 12,293,417
0
0
0
Budget
39,190,517
0
383,100
2,065,000
8,100,000
16,638,117
-3,758,483
0
-31,500
865,000
4,000,000
-9,415,483
-7.60%
72.08%
97.56%
-36.14%
21
22
OTTAWA COMMUNITY HOUSING CORPORATION
Attahcment 2
2015 OCH Budget
Board of Directors
January 8, 2014
23
2015 Financial Position
• Operating Fund surplus of $88,600
• Surplus contributed to other Fund reserves accounts
• Overall reserve balance (all fund categories) estimated at
$16.6 million at end of 2015
• Further reduction in water expenses as full year impact of
retrofit program realized
• Re-financing generates additional funds for capital repairs
- $8.1 million
• Property Tax Exemption for all OCH properties allows
additional $3.0 million contribution to capital work
24
Use of Funds
25
Source of Funds
26
2015 Budget – All Funds
2013
Actual
Use of Funds
Debt Servicing
Municipal Taxes
Utilities
Electricity
Natural Gas
Water and Sewage
Subtotal - Utilities
Annual Capital Funding
Salaries & Benefits
Material & Services
Vehicle Purchase
Capital Projects - Asset Management
Lees Avenue - Redevelopment
Community Capital
Development
Total Use of Funds
Source of Funds
Operating Subsidies
Additional Capital Repair Contribution
Capital Reserve Contribution
Rent Supplement
Rent
Other revenue
Lees Ave
Revenue from electricity generation
Green Fund Grants
Foregivable Loan - Carsons Road
Forgivable Loan - OSP
City Grant- HPR
Total Source of Funds
Surplus/(Deficit)
Fund Balance Jan 1
Interfund Transfers
Interest Income
Proceeds from Property Sales
Loan Proceeds
Fund Balance Dec 31
2014 Budget
ALL
2014 Projection
ALL
Operating Fund
31,818,938
23,280,942
31,369,800
23,778,600
31,165,300
24,107,500
31,085,400
0
8,726,602
4,733,217
8,162,926
21,622,745
9,128,200
4,885,600
9,559,300
23,573,100
9,230,000
5,591,300
7,606,200
22,427,500
10,046,900
5,838,900
8,062,600
23,948,400
17,319,500
25,480,735
24,291,515
16,366,100
30,569,700
39,994,800
0
20,000,000
16,366,100
19,801,000
30,652,800
28,994,300
37,552,800
28,570,300
237,368
11,436,600
316,000
100,000
100,000
2,530,000
2,362,000
143,814,375 188,282,100 176,723,968 132,399,400
70,421,000
9,107,601
64,881,217
4,009,185
69,698,200
0
14,966,100
9,255,300
65,092,800
4,059,700
0
0
0
0
1,200,000
1,400,000
69,634,200
0
14,966,100
9,185,300
65,317,700
4,040,100
926,085
250,000
976,292
400,000
1,200,000
1,400,000
2015 Proposed Budget by Fund
Capital Fund
Green Fund
CRF
2,701,000
14,763,000
30,500,000
2,500,000
4,600,000
100,000
48,064,000
2,500,000
4,600,000
10,046,900
5,838,900
8,062,600
23,948,400
918,700
953,300
-1,496,700
375,300
10.06%
19.51%
-15.66%
1.59%
19,801,000
31,695,300
43,333,300
750,000
750,000
33,000,000
4,600,000
100,000
0
750,000 188,313,400
3,434,900
1,125,600
3,338,500
750,000
13,000,000
20.99%
3.68%
8.35%
53,484,400
53,484,400
3,008,400
15,392,600
9,332,300
65,567,700
4,103,600
1,673,900
250,000
1,000,000
0
0
1,400,000
3,008,400
15,392,600
9,332,300
65,567,700
4,103,600
1,673,900
250,000
1,000,000
1,400,000
148,419,003 165,672,100 168,295,777 132,488,000 19,801,000 1,250,000 1,673,900
4,604,628 -22,610,000
-8,428,191
88,600 -28,263,000 -1,250,000 -2,926,100
Budget
42,949,000
0
414,600
1,200,000
4,100,000
26,053,600
Vehicle
2015
Variance from % 2015 vs
2014 Budget
2014
0
31,085,400
-284,400
-0.91%
0 -23,778,600
-100.00%
2015 Proposed
ALL
0
-2,530,000
-4,568,700
-16,213,800
3,008,400
426,500
77,000
474,900
43,900
1,673,900
250,000
1,000,000
0
-1,200,000
0
65.00%
0.00%
-100.00%
-2.43%
-23.26%
2.85%
0.83%
0.73%
1.08%
-100.00%
0.00%
0
-750,000
155,212,900
-33,100,500
-10,459,200
-10,490,500
-6.31%
46.40%
Projection Operating
Capital
Green
CRF
Vehicle
42,949,000
4,276,300 33,344,800
874,492
667,093
27,832
0
-88,600
-1,203,083
375,508
194,007
722,168
494,500
68,400
314,700
175,208
2,065,000
4,000,000
8,100,000
39,190,517
4,344,700 12,293,417
0
0
0
Budget
39,190,517
0
383,100
2,065,000
8,100,000
16,638,117
-3,758,483
0
-31,500
865,000
4,000,000
-9,415,483
-7.60%
72.08%
97.56%
-36.14%
27
Questions
28
Attachment 3
OTTAWA COMMUNITY HOUSING
CORPORATION
2015
BUDGET
SUPPORTING REFERENCE BRIEF
Submitted to
Board of Directors
January 8, 2015
29
OCH 2015 BUDGET
Table of Contents
Page
INTRODUCTION ...........................................................................................3
FINANCIAL ENVIRONMENT AND STRATEGY ..............................................6
OVERVIEW OF REVENUE AND EXPENSE CATEGORIES ..............................8
FINANCIAL MANAGEMENT AND OVERSIGHT ........................................... 13
30
2
INTRODUCTION
Ottawa Community Housing (OCH) provides affordable rental accommodations to 32,000 residents,
including singles, families, seniors and those with special needs. OCH has an aging and diverse
housing portfolio with over 14,800 housing units – apartments, townhouses, rooming house units,
multi-residential and some single family homes. Close to 3,000 households include tenants who
qualify for the Ontario Disability Support Program. Over 6,600 children, 12 years old and under, live
in OCH communities. The quality of OCH housing has a direct impact on the quality of life of over
32,000 tenants.
2015 Financial Picture
For 2015, OCH is forecasting an overall operating surplus estimated at $88,600, which will be
transferred to other funds. The 2015 balance for all funds is forecast at $16.6 million and is
significantly reduced from the 2014 year end projection of $39.2 million. The reduction is due to the
significant investment in capital repairs and maintenance, new vehicle acquisitions, and the rebuild of
the Lees Ave community.
2013
Actual
Use of Funds
Debt Servicing
Municipal Taxes
Utilities
Electricity
Natural Gas
Water and Sewage
Subtotal - Utilities
2014 Budget
ALL
2014 Projection
ALL
Operating Fund
31,818,938
23,280,942
31,369,800
23,778,600
31,165,300
24,107,500
31,085,400
0
8,726,602
4,733,217
8,162,926
21,622,745
9,128,200
4,885,600
9,559,300
23,573,100
9,230,000
5,591,300
7,606,200
22,427,500
10,046,900
5,838,900
8,062,600
23,948,400
2015 Proposed Budget by Fund
Capital Fund Green Fund
CRF
Annual Capital Funding
17,319,500
16,366,100
16,366,100
19,801,000
Salaries & Benefits
25,480,735
30,569,700
30,652,800
28,994,300
2,701,000
Material & Services
24,291,515
39,994,800
37,552,800
28,570,300
14,763,000
Vehicle Purchase
0
237,368
Capital Projects - Asset Management
20,000,000
11,436,600
30,500,000
2,500,000
Lees Avenue - Redevelopment
316,000
4,600,000
Community Capital
100,000
100,000
100,000
Development
2,530,000
2,362,000
Total Use of Funds
143,814,375 188,282,100 176,723,968 132,399,400 48,064,000 2,500,000 4,600,000
Source of Funds
Operating Subsidies
Additional Capital Repair Contribution
Capital Reserve Contribution
Rent Supplement
Rent
Other revenue
Lees Ave
Revenue from electricity generation
Green Fund Grants
Foregivable Loan - Carsons Road
Forgivable Loan - OSP
City Grant- HPR
Total Source of Funds
Surplus/(Deficit)
Fund Balance Jan 1
Interfund Transfers
Interest Income
Proceeds from Property Sales
Loan Proceeds
Fund Balance Dec 31
70,421,000
9,107,601
64,881,217
4,009,185
69,698,200
0
14,966,100
9,255,300
65,092,800
4,059,700
0
0
0
0
1,200,000
1,400,000
69,634,200
0
14,966,100
9,185,300
65,317,700
4,040,100
926,085
250,000
976,292
400,000
1,200,000
1,400,000
53,484,400
3,008,400
15,392,600
9,332,300
65,567,700
4,103,600
1,673,900
250,000
1,000,000
1,400,000
148,419,003 165,672,100 168,295,777 132,488,000 19,801,000 1,250,000 1,673,900
4,604,628 -22,610,000 -8,428,191
88,600 -28,263,000 -1,250,000 -2,926,100
Budget
42,949,000
0
414,600
1,200,000
4,100,000
26,053,600
Vehicle
2015
2015 Proposed Variance from % 2015 vs
ALL
2014 Budget
2014
0
31,085,400
-284,400
-0.91%
0 -23,778,600 -100.00%
10,046,900
5,838,900
8,062,600
23,948,400
918,700
953,300
-1,496,700
375,300
10.06%
19.51%
-15.66%
1.59%
19,801,000
31,695,300
43,333,300
750,000
750,000
33,000,000
4,600,000
100,000
0
750,000 188,313,400
3,434,900
1,125,600
3,338,500
750,000
13,000,000
20.99%
3.68%
8.35%
53,484,400
3,008,400
15,392,600
9,332,300
65,567,700
4,103,600
1,673,900
250,000
1,000,000
0
0
1,400,000
65.00%
0
0.00%
-2,530,000
-100.00%
-4,568,700
-2.43%
-16,213,800
3,008,400
426,500
77,000
474,900
43,900
1,673,900
250,000
1,000,000
0
-1,200,000
0
-23.26%
2.85%
0.83%
0.73%
1.08%
-100.00%
0.00%
0 155,212,900
-750,000 -33,100,500
-10,459,200
-10,490,500
-6.31%
46.40%
Projection Operating
Capital
Green
CRF
Vehicle
Budget
42,949,000
4,276,300 33,344,800
874,492
667,093
27,832 39,190,517
0
-88,600
-1,203,083
375,508
194,007
722,168
0
494,500
68,400
314,700
383,100
175,208
2,065,000
2,065,000
4,000,000
8,100,000
8,100,000
39,190,517
4,344,700 12,293,417
0
0
0 16,638,117
-3,758,483
0
-31,500
865,000
4,000,000
-9,415,483
-7.60%
72.08%
97.56%
-36.14%
31
3
Utilities, mortgages and debenture costs make up approximately 33% of total costs. Maintenance
materials and contracted services, including major capital work, account for close to 45% of total
costs. Approximately 19% funds salaries and benefit costs. The remaining 4% of costs are for new
development, vehicle acquisitions and green fund activities. Tenant revenue accounts for 45% of
total sources of funding and subsidies account for 35% of total sources of funding. The distribution of
sources and uses of funds are shown in Chart 1 and 2.
Chart 2: 2015 Source of funds
Chart 1: 2015 Use of Funds
New Development
3%
Other
1%
Capital Funding
14%
Debt Servicing
19%
Capital Projects
20%
Operating Subsidies
29%
Other
5%
Utlities
14%
Rent Supplement
7%
Materials & Services
24%
Rent
45%
Salaries & Benefits
19%
Chart 1 and 2 provides an overview of the distribution of the major categories of uses and
sources of funds across OCH; identifying materials and services (e.g. pest management, snow
removal, landscaping, and tenant unit repairs) as the largest use of funds and rents as the
largest source of funds.
The budget, per attachment 1, is prepared and presented in accordance with the following fund
categories:

An Operating Fund that records sources and uses of funds related to day-to-day operations
and would include such categories as tenant rent and yearly operating expenses such as
utilities, debt servicing and expenses related to the daily operation of OCH.

A Capital Fund that supports work that is not part of normal day-to-day maintenance; it is
durable and includes the replacement of significant building components or an improvement
that increases the useful life of the asset. The fund can also cover the acquisition of office
furniture and equipment including information management and technology. The fund also
covers salary expenses related to capital work.

A Green Fund that supports specific operational or capital initiatives which increase the
environmental sustainability of OCH. Contributions to the fund may include energy grants
32
4
which do not form part of the capital reserves; net savings generated from sustainability
projects; and a proportion of new income generated from sustainability projects.
 The Community Reinvestment Fund (CRF) is a discretionary reserve that exists to develop
new housing.

The Vehicle Fund supports the acquisition of new vehicles.
33
5
FINANCIAL ENVIRONMENT AND STRATEGY
The 2015 budget has been prepared in a climate of transformation. OCH launched an IT enabled
business transformation which has enabled greater automation, integration of previously disparate
and disconnected data sources and a more mobile workforce. As part of the transformation, OCH
continues to review its business processes and practices to ensure continuous improvement among
services delivery to tenants, identify efficiencies and to provide better reporting.
Long Range Financial Strategy
OCH has developed a 5 year Long Range Financial Strategy to address the need to acquire sufficient
funds to sustain operations and support further housing development.
The Long Range Financial Strategy has a number of planned objectives:
 Identify the funding and financing required to ensure the sustainable operation of the
housing portfolio
 Enable the redevelopment of communities
 Improve the availability and suitability of affordable housing
 Increase organizational capacity
 Leverage assets such as property and land
 Seek opportunities to increase revenue and reduce expenses
Some of objectives for 2015 include:
Mortgage Re-financing
In 2014, OCH re-financed two pooled mortgages under the Operating Agreement which generated
just over $4.0 million that was contributed to capital reserves for the repair of the housing stock.
OCH will work with the City of Ottawa, Infrastructure Ontario and the Ministry of Municipal Affairs
and Housing to apply this refinancing initiative to three more pooled mortgages that are up for
renewal in 2015. This strategy can generate close to $7.0 million for capital repairs.
Increase Other Revenue Streams
OCH has increased non-residential rental revenue in recent years and will pursue new opportunities
to fund maintenance and repairs. Specific areas of focus include:
 Options for the delivery of laundry services will be pursued in order to increase related
revenues, following a capital project that will improve tenant service and reduce utility
consumption
 New revenue opportunities (e.g. advertising, vending machine leases) will be explored
Sustainability Strategies
OCH is committed to reducing utility costs through green initiatives that use new strategies and
technologies to monitor and manage energy consumption and savings. OCH has benefitted from
energy and water retrofits, and tenant and staff education will reduce energy consumption and
34
6
control costs. Revenue from the generation of electricity, and grants received from senior
government and energy providers will be contributed to the Green Fund to support further initiatives
such as the Heating Management System and the LED Lighting retrofit. OCH has implemented
information technology to better monitor and manage energy consumption and savings.
OCH operates a fleet of 100 vehicles with an average age over 6 years old. OCH is committed to
“Greening” the OCH fleet and will consider vehicle replacements that reduce OCH’s carbon footprint.
For 2015, OCH has budgeted $750,000 for the replacement of approximately 25 vehicles.
Operating Agreement with the City of Ottawa
Subsidy funding is provided by the City of Ottawa according to the terms of an Operating Agreement
that was established in 2008. OCH is now able to manage operations on a portfolio basis, with more
predictable and sustainable levels of funding.
OCH will work with the City of Ottawa to review the current operating agreement with a goal of
clarifying service targets, reporting requirements, funding, and portfolio-wide management practices.
As mortgage subsidy agreements are extended over longer amortization periods, OCH and the
Service Manager will evaluate the desirability of reflecting these developments in the Operating
Agreement. The implications of expiring federal agreements, additional rent supplements and the
recent decision by City Council to exempt OCH from property taxes will also be considered.
35
7
OVERVIEW OF REVENUE AND EXPENSE CATEGORIES
OCH has the following main sources of revenue: Subsidies, tenant rents and other
revenue sources.
Subsidies and Grants
Subsidies represent 41.3% of total revenue. The different types of subsidies are:




Operating Grants and Subsidies
Capital Reserve Grants and Subsidies
Rent Supplements
Safer Communities Subsidy
In 2008, a new Operating Agreement was signed between OCH and the City of Ottawa that
moved to streamline and stabilize the funding arrangement for OCH and the City. One of the main
outcomes of the operating agreement was that OCH is better able to manage its operations on a
portfolio basis, while having more predictable and sustainable funding.
The Operating Agreement determines the operating subsidy for 80% of the portfolio. The funding
formula is based on benchmarks that were established through a rigorous process across the
province. The benchmarks are adjusted annually based on various indices as set out by the province.
Service level standards are clearly identified and operating reserves assist OCHOCH in addressing
year-over-year expense fluctuations.
The City of Ottawa continues to fund a substantial portion of the Safer Communities program. The
grant for Safer Communities has been increased by 2.85% ($2,413,100) in 2015.
Annual Capital Funding Contributions
In 2015, capital reserve contributions are estimated at $15,392,600 (14% of budget). The City of
Ottawa provides annual capital funding for housing covered by the Operating Agreement. In 2015,
the City will contribute $12.56 million under the Operating Agreement, an increase of 2.85% over
2014 (adjusted by the Ontario CPI – all items May 2014). OCH funds the balance of $2.83 million
from rent revenue in those programs outside the Operating Agreement.
OCH has also assumed a further $1.4 million grant from the City of Ottawa under the Housing and
Poverty Reduction Program to fund capital repairs. The grant will be contributed to the Capital
Reserve directly. OCH has also assumed that approximately $3.0 million will be contributed to Capital
Reserves resulting from the saving in the education portion from the property tax exemption.
The annual contribution is recognized as an operating expense and is mandated by the Operating
Agreement.
The Board of Directors determines the annual funding for the capital reserve accounts outside the
Operating Agreement.
36
8
Rents
Rental income represents 45% of total revenue. The primary types of rent are as follows:


Rents Geared to Income (RGI)
Affordable Market Rents
Rent-Geared-to-income (RGI)
RGI rent is calculated based on guidelines from the Province of Ontario. Rent scales are set for
tenants receiving assistance from the Ontario Disability Support Program or Ontario Works. Other
tenants pay 30% of their gross income, with a minimum rent of $85.
Affordable Market Rents
In 2015, OCH market rents are set at the affordable end of the range of private sector rents. This
does not suggest that they will be affordable to all households – RGI subsidies are needed to achieve
that objective.
The current market rents were arrived at through a process that has included:
 Assessing rental market conditions in Ottawa and comparing housing communities on the basis
of location, unit type and size, amenities, size of the community, utilities being included with the
rent or not, and historical experience;
 Comparing OCH rents to the city-wide CMHC average market rents;
 Consulting with staff responsible for rental activity to evaluate the proposed rents based on the
reaction of prospective tenants;
 Comparing rent ranges by housing type and unit size to ensure that consistency is reflected
across the housing stock;
 Working with City staff to establish a definition for affordable market rent to achieve property tax
exemption
OCH 2015 market rents (approved by the OCH Board on August 14, 2014) will increase by 1.6% in
2015. It should be noted that subsidies are available for most market tenants across the OCH
portfolio, and the operating agreement with the City of Ottawa allows for greater flexibility to apply
these subsidies across programs.
On December 11, 2014, the Board of Directors approved an amendment to some of the 2015 market
rents to ensure that all OCH housing units meet the definition of “affordable housing” as defined by
the City of Ottawa to achieve full property tax exemption by January 1, 2015.
The market component of the OCH portfolio represents approximately 9.75% of the rental units
exclusive of block leases.
The 2015 market rent revenue estimate is based on the 2014 actual distribution of market tenants
and adjusted by the approved rent increase of 1.6%.
37
9
Other Revenues
Other revenues are generated by parking charges, laundry concessions, rental of commercial space,
and rooftop antenna rentals. For 2015, these revenues are distributed across funds, and include a
forecast increase of $47,500 in parking, or 2.60% from the 2014 budget, and a forecast increase of
$39,500 in laundry revenue or 4.0% from the 2014 budget. These increases are based on actual
activity in 2014 and the forecast increase for 2015. Rooftop rentals are expected to generate
$250,000 in revenue for 2015 and will be contributed to the Green Fund.
The major expense categories include:
Debt Servicing Costs
For most OCH housing (80% of the housing portfolio) debt servicing costs are fully funded under the
Operating Agreement with the City of Ottawa. Debt payments related to mortgages and long term
debenture debt represent $31.0 million (19% of Budget).
Utilities
Utility costs are estimated at $23,948,400 (14% of budget), a decrease of $375,300 (-1.59%) from
2014. The decrease represents the full year impact of savings from investments in utility retrofits,
particularly for water and sewage expenses which are estimated to be 15.66% less than the 2014
budget. The estimated increase (19.51%) in natural gas costs represents anticipated increases in the
cost of the utility. Electricity expenses will increase by 10.06% based on actual experience and trends
and the forecast increase provided by Hydro Ottawa (8.85%).
Municipal Tax Exemption
On December 10, 2014, City Council approved a property tax exemption for all Ottawa Community
Housing affordable housing stock. The exemption will take effect January 1, 2015.
Salaries and Benefits
The staff complement is budgeted at 348 Full Time Equivalents (FTEs) in 2015. The mandate and
staff responsibilities encompass the following areas:









Tenant Services
Maintenance, Project and Asset Management
Corporate and Tenant Communications
Community Development
Community Safety
Human Resources and Payroll Services
Financial Management and Information Technology
Policy, Privacy and Performance Management
Administration and Board Governance
The 2015 budget contains an estimate of payroll costs that includes new positions required as a
result of changes in business practice, as well as the cost of benefits, mandatory contributions, and
38
10
incremental movement on the salary scales. A contingency that could fund cost of living adjustments
is held in the CEO’s Responsibility Centre. Payroll costs for 2015 are estimated at $31,695,300, an
increase of $1,125,600 (3.68%) from 2014. Additional contingency funds that are held in the CEO
Responsibility Centre may be dedicated to salaries in 2015.
Materials and Services
The budget for materials and services is developed as a global budget across all funds. Actual activity
captures type of expenditure across all funds. For 2015, Materials and Services costs have increased
by $3,338,500 from 2014, or 8.35% to $43,333,300. The priorities that have driven this increase
include:
 A contingency that is held in the CEO Responsibility Centre that may be dedicated to salaries
and cost of living adjustments
 Additional costs required to support the new integrated information system and IT-enabled
model of service delivery
 The materials and services budget continues to include a $120,000 contribution from OCH to
the OCH Foundation for Healthy Communities.
Capital Projects
OCH is taking a longer range view of capital planning that anticipates multi-year projects and
recognizes the need to balance capital spending in an affordable and sustainable manner.
The cost of capital projects for major repairs and renovations for 2015 is estimated at $45.3 million,
and includes $14.8 million for non-project work. This includes major repairs at time of turnover;
appliance replacements; replacement of hot water tanks and furnaces; and the replacement of fire
extinguishers.
Community Reinvestment Fund (CRF)
The CRF starts 2015 with a balance of $667,100. The 2015 estimate for the fund assumes that seven
properties can be sold with a net contribution of $2,065,000 to the CRF. It also includes a
contribution of $185,000 from the Capital Reserves to the CRF in recognition of the elimination of
repair requirements resulting from the demolition of three properties (171 Bruyère, 734 Carson’s
Road 714 Carson’s Road).
The CRF will fund the rebuild of Haley Court (on Lees Avenue). The rebuild is expected to cost $4.8
million and add two units (14 to 16) to the Community. Insurance recoveries are estimated at $2.3
million, and will cover 48% of the cost of the rebuild. The remaining $2.5 million will be covered by
the CRF. Any shortfall in the CRF, currently estimated at $200,000, will be covered by the Capital
Reserves as bridge financing. An affordable mortgage has been modeled for this site at $1.4 million
under the current Operating Agreement, or $1.9 million under a Rent Supplement Agreement. The
Community has an existing mortgage with CMHC with a balance of $300,000 at the end of 2014. In
2015, OCH will work with the City of Ottawa to determine appropriate financing and funding.
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Green Fund
Current estimates for 2015 include $2.0 million for Phase 1 of the Heating Management System
program and $500,000 for Phase 2 of the Lighting Retrofit program. A rebate of $1.0 million is
anticipated for the Heating Management System program. About $250,000 will be generated by the
sale of electricity. An inter-fund transfer of $375,508 is identified from Capital Reserves to fund the
anticipated Green Plan.
Vehicle Reserve
About $750,000 will be required for vehicle acquisitions as OCH continues to acquire more fuel
efficient vehicles to support the maintenance service delivery model. An inter-fund transfer of
$722,168 from the Capital Reserves is required to fund the identified replacements.
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FINANCIAL MANAGEMENT AND OVERSIGHT
OCH budgets are developed by cost and/or responsibility centre with actual activity tracked at the
most appropriate level of expenditure. For example, a budget for site service expenses is estimated
for all activity related to property management, with no requirement to develop detail budgets by
category of expenditure. Actual expenditure, however, will be tracked at a detail level. This allows
greater flexibility in the management budgets. Reporting on expenditures can be done at a building
level, community and by program. Budget to actual expenditure reporting can be consolidated at a
higher level to provide a summary of revenues and expenses for the entire Corporation in a format or
formats that meet reporting requirements for the Shareholder, the Board of Directors, or others. With
this added flexibility in the new accounting system, property managers are able to generate reports
using various queries.
Role of the Board of Directors and the Finance and Audit Committee
The Board of Directors is made up of the Mayor as ex-officio, four City Councillors and five members
of the community and one tenant member. The Board of Directors is responsible for setting policy
direction and is legally accountable for the business of OCH. The Finance and Audit Committee has
responsibility for providing advice to the Board on financial issues and for providing a focus for Board
oversight of financial management for OCH.
Key assumptions, cost drivers and funding constraints considered in the development of the 2015
budget were reviewed with the Finance and Audit Committee on October 16, 2014, with a final
review conducted on December 22, 2014 prior to approval of the budget by the OCH Board of
Directors on January 8, 2015.
Organizational Structure and Responsibility Centres
Specific responsibility centres capture spending activity within functional areas. Some senior
managers are responsible for more than one responsibility.
Chief Executive Officer
The Chief Executive Officer is the senior staff person and serves as the principal liaison between the
Shareholder, the OCH Board of Directors and staff. It is the responsibility of the Chief Executive
Officer to keep the Board advised of OCH activities and to ensure that policies and directions
approved by the Board and Shareholder are implemented.
Organizational Effectiveness
The focus of Organizational Effectiveness is on internal and external communications, media
relations, policy, privacy, performance management, Board governance, capacity development,
continuous improvement and strategic and business planning. .
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Tenant Services
Tenant Services is responsible for services to tenants. Key responsibilities include:








tenancy and housing administration
rent collection
resolution of tenant complaints/conflicts
demand and preventative maintenance
pest management and landscaping
turnover of vacant units
tenant related legal actions
OCH call centre
Community Development
Community Development has a primary focus on community and partnership development. This team
has the lead responsibility for tenant engagement strategies including the Healthy Communities
Initiative and the support and development of Tenant Associations. It is also responsible for volunteer
management and Community Safety Services. This team includes mobile Community Safety Workers
patrolling OCH communities and contributing to creating safe communities.
Asset Management
Asset Management has a critical role in the maintenance, renewal and redevelopment of the housing
stock through the development of building standards and strategic planning related to long-term
asset management. Specific responsibilities include:






capital planning and project management
functional direction for demand and preventative maintenance services
specialized technical expertise related to engineering and consulting
technical support for the on-going maintenance of OCH housing
development and renewal of the OCH communities
asset database management
Corporate Services
The focus of Corporate Services is on the delivery of services that enable the work of OCH: the
development and implementation of financial policies, reporting, audit and compliance requirements;
human resource management, labour relations, payroll and benefit administration; information
systems and technology; and purchasing and vendor management.
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43
Report No.: OCHC-003/15
Meeting Date: January 8, 2015
The preliminary capital commitments identified for the 2015 Capital Budget are as follows:
Program
Roofing Program
$1,000,000.00
Asphalt Program
$500,000.00
Tree Program
$150,000.00
Heating System Replacement Program
$500,000.00
Elevator Upgrade Program
$2,500,000.00
Furnace Program
$500,000.00
Fire Safety System Renewal Program
$750,000.00
Major Projects *
Building Envelope (Walkley Manor)
$900,000.00
Building Envelope (McCartin Place)
$900,000.00
Plumbing System Replacement Program (251 Donald)
$1,500,000.00
Balcony Repairs (31 McEwen)
$500,000.00
Balcony Repairs (1065 Ramsey)
$650,000.00
Balcony Repairs (1455 Heatherington)
$600,000.00
Cladding and Structural (Shearwater Court)
$500,000.00
Windows and Cladding (507 Riverdale)
$500,000.00
Window Replacement (Russell Manor)
$800,000.00
Window Repair (McDonald Manor)
$900,000.00
Garage and Balconies (Murray Street)
$2,100,000.00
Building Monitoring System
$250,000.00
Other
District-Based Priorities
$4,000,000.00
TOTAL 2015 CAPITAL PROJECTS
Carry Over – contracted in 2014 and incomplete
Capital Works Project Total
$20,000,000.00
$10,500,000.00
$30,500,000.00
* These items have preliminary budgets, pending evaluation reports with Class B estimates.
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Attachment 1
Ottawa Community Housing Corporation
Audit Plan
December 31, 2014
49
18 December 2014
Finance and Audit Committee
Ottawa Community Housing Corporation
Dear Members of the Finance and Audit Committee,
We are providing information related to the current year audit plan for Ottawa Community
Housing Corporation (“OCHC”). This document outlines the scope of our services and the key
considerations that will affect the fiscal 2014 audit.
The audit is designed to express an opinion on the 2014 financial statements of OCHC. We are
currently completing the planning phase of our audit, and have aligned our procedures to consider
OCHC’s current and emerging business risks and evaluate those that could materially affect the
financial statements.
We appreciate that Ottawa Community Housing Corporation selected Ernst & Young to perform its
audit and are committed to executing an audit that is responsive to your needs and maximizes
audit effectiveness, delivering the high quality you expect in the most efficient manner possible.
Very truly yours,
Chartered Professional Accountants
Licensed Public Accountants
50
Table of Contents
2014 EY services ................................................................................................... 1
Materiality ............................................................................................................. 1
Summary of audit approach ..................................................................................... 2
Areas of audit emphasis and significant risks ............................................................ 3
Fraud considerations and risk of management override ............................................. 5
Audit team ............................................................................................................. 5
Fees ...................................................................................................................... 6
Appendix A – Timing of required communications ...................................................... 7
Appendix B – Engagement Letter ............................................................................. 8
51
2014 EY services
At the end of the engagement we will express opinions on:
►
The financial statements of OCHC for the year ended December 31, 2014.
►
The financial statements of the Carleton Condominium Corporation No.576 for the year ended
December 31, 2014.
►
The derivative reports on fixed assets, mortgages, debentures and loans, revenue and
expenses by program; and
►
The Annual Information Return of OCHC for the year ended December 31, 2014.
Issue a written communication to:
►
Management and those charged with governance describing significant deficiencies in internal
control or other internal control deficiencies that merit management’s attention identified
during our audit, should any be noted
►
Those charged with governance that comments on the results of the audit and addresses
matters that we are required to communicate under our professional standards.
Materiality
At the conclusion of the audit, we formulate our opinion on the financial statements of OCHC as to
their preparation in all material respects in accordance with the Housing Services Act and the
guidance in its application by the City of Ottawa as Service Manager. Our estimation of planning
materiality requires professional judgment and necessarily takes into account qualitative as well as
quantitative considerations.
Based on the revenues and OCHC’s 2014 forecasted results, we estimate the materiality for the
audit of the 2014 financial statements to be $2,960,000 ($2,500,000 in 2013), which represents
2% of forecasted revenues of $148M at December 31, 2014. The materiality level reflects the
Chartered Professional Accountants auditing standards guidance and Ernst & Young guidance for
materiality allows up to 2% of revenues.
The 2014 preliminary materiality level will be reviewed on an ongoing basis throughout our 2014
audit. Should actual results vary significantly from those forecast, the materiality level may be
adjusted in order to recognize this change in circumstances.
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Summary of audit approach
For purposes of the audit of the financial statements, our audit scope is developed after
considering the inherent and control risks and the effectiveness of OCHC’s internal controls. A
variety of factors are considered when establishing the audit scope including size, specific risks,
the volumes and types of transactions processed, changes in the business environment, and other
factors.
We distinguish between the following strategies:
►
Identify and evaluate controls (controls strategy)
►
Identify but do not assess operating effectiveness of controls (substantive strategy)
All accounts of OCHC were determined to be significant based on preliminary materiality
determinations except the following:
►
Rent receivable, HST receivable and Other account receivable
►
Prepaid expenses and prepaid rents
►
Accrued interest in long-term liabilities
►
Other operating costs
Using our cumulative knowledge of OCHC’s business, including the results of audit procedures in
prior years and the knowledge gained from the current year’s procedures that have been
completed, we established a preliminary strategy for placing reliance on controls related to the
flows of transactions and/ or significant processes. Our intention based on our planning, is to test
and rely on controls over the following significant accounts, in order to increase overall efficiency
of the audit by reducing the nature, timing and/or extent of substantive procedures:
►
►
Operating expenses and accounts payable – trade
Capital expenses
Should the execution of our tests of controls result in exceptions, this may affect our planned
reliance on such controls in conducting our year-end procedures. We will communicate to you any
changes to our audit approach. For the remaining significant accounts, we will take a substantive
approach, as we believe that this will result in a more efficient audit of these accounts based on
their nature.
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Areas of audit emphasis and significant risks
Our audit procedures emphasize testing areas with the highest risk of misstatement (e.g., those
accounts, contracts or transactions where we believe there is the greatest risk of material
misstatement to the financial statements, whether due to error or fraud including disclosure
items). We consider the effects of current market risk factors on OCHC, and emphasis is also
placed on those areas requiring difficult, subjective, or complex determinations by management
with heightened professional skepticism. Accordingly, our audit procedures are planned to focus
on the following areas:
Areas of Audit Emphasis and
Significant Risks
Planned Audit Responses; comments
►
►
Financial system upgrade
►
►
Revenue – Rent revenue and
subsidies
►
►
The transition from the old financial system to the new
financial system was done on March 31, 2014.
Our audit approach will include testing of transactions
both prior to and subsequent to the system conversion.
Our audit approach from January 1 to March 31, 2014
will be substantive in nature. We will assess our ability
to take a control basis approach from April 1 to
December 31, 2014.
We will perform conversion audit procedures on the GL
transition to verify completeness and accuracy of data
transferred.
We perform detailed substantive testing on tenant
billing and collection on a sample basis to verify that
rent was calculated in accordance with the Housing
Services Act (HSA).
We will also perform analytical procedures on the
balance.
We will obtain a third-party confirmation for all
subsidies received.
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Areas of Audit Emphasis and
Significant Risks
Planned Audit Responses; comments
►
Infrastructure Ontario (IO) loan
►
►
►
Estimated liabilities (e.g. accruals)
►
►
Long-term debt and interest
expense
►
OCHC has re-financed two properties which enabled
OCHC to secure a $9.3 million loan for these sites, with
$5.3 million used to pay the current outstanding
mortgages and the remaining $4.0 million to be used
for capital repairs and maintenance on properties held
by OCHC.
We will examine the new loan agreements with
Infrastructure Ontario to verify the fair presentation of
the loans on the statements.
We will review the accounting treatment of the loans to
verify that they were treated in accordance with the
appropriate accounting standards and requirements of
the HSA.
The measurement of the accrued liabilities contains a
higher audit risk as significant assumptions and
estimations are involved in arriving at amounts which
could impact results.
We will review the assumptions used by management to
calculate the estimated liabilities and we will perform
substantive procedures on these balances to verify
their reasonableness.
We submit confirmations to each significant lender,
including Infrastructure Ontario, to confirm outstanding
principal balance at year end, maturity date, interest
rate, interest and principal payments made during the
year.
We perform analytical procedures on the interest
expense as well as the allocation between short-term
and long-term debt.
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Fraud considerations and risk of management override
We are responsible for planning and performing the audit to obtain reasonable assurance about
whether the financial statements are free of material misstatement, whether caused by fraud or
error.
Our audit procedures will include: brainstorming, gathering information to facilitate the
identification of fraud risks and performing procedures in the areas where fraud risks are
identified including performing procedures required by our professional standards, designed to
address the risk of management override (including examining journal entries, reviewing
accounting estimates and evaluating the business rationale of significant unusual transactions).
We evaluate the risk of management override using the fraud triangle which includes
rationalization, opportunity, and incentive and consider the actions management has taken to
respond to those risks.
The fraud risk assessment will be reviewed on an ongoing basis throughout our 2014 audit. Should
any matters be identified that may create a risk of material misstatement due to fraud, we will
perform audit procedures as discussed above.
Audit team
Engagement Member
Role
Contact Number
Deanna Monaghan
Engagement Partner
613-598-4305
Suzie Gignac
Independent Review Partner
613-598-4376
Etienne Boucher-Labelle
Audit Manager
613-598-4374
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Fees
Fiscal 2014
Estimated Fees
Fiscal 2013
Fees
$60,000
$58,000
Audit of Carleton Condominium financial statements
$3,000
$2,800
Report on the OCHC Annual Information Return
$3,000
$2,800
Report on the schedule of Income and Expenses
$3,000
$2,800
Report on the schedule of Mortgages, Debentures and Loans
$2,000
$2,000
Report on the schedule of Fixed Assets
$2,000
$2,000
$7,500 to
$9,500
$1,000
$80,500 to
$82,500
$70,400
Audit of OCHC’s financial statements
Additional audit procedures due to two systems in fiscal 2014
requiring verification and specific data conversion procedures
to perform a control assessment review of the new financial
system data conversion audit
Grand Total
In addition to these fees, there is an administrative charge of 11.5% to cover expenses such as
telecommunication charges, photocopying, delivery, postage, clerical assistance and computer
technology costs. We will provide a complete listing of any fees for other services performed
during the year as part of our year-end reporting package.
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Appendix A – Timing of required communications
Communicate
when
event occurs
Communicate
on a timely
basis, at least
annually
Auditor’s responsibility under Canadian GAAS, including
discussion of the type of opinion we are issuing
X
Overview of planned scope and timing
X
Other information in documents containing the audited
financial statements
Major issues discussed with management in connection with
initial or recurring retention
Significant audit adjustments, including significant disclosure
differences that merit the attention of those charged with
governance
Uncorrected misstatements, including significant disclosure
differences that merit the attention of those charged with
governance, considered by management to be immaterial
X
X
X
X
Critical accounting policies and practices
X
Our judgments about the quality of OCHC accounting
principles
X
The adoption of, or a change in, an accounting policy
X
Methods of accounting for significant unusual transactions
and for controversial or emerging areas
X
Sensitive accounting estimates
X
Material alternative accounting treatments discussed with
management
X
Disagreements with management
X
Consultations with other accountants
X
Serious difficulties encountered in dealing with management
when performing the audit
X
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58
Communicate
when
event occurs
Significant deficiencies in internal control over financial
reporting
Fraud and illegal acts involving senior management and fraud
and illegal acts that cause a material misstatement of the
financial statements
Other material written communications with, and
representations sought from management
Communicate
on a timely
basis, at least
annually
X
X
X
Independence matters
X
Other findings or issues regarding the oversight of the
financial reporting process
X
Subsequent events
X
Related-party transactions
X
Matters related to the component entities of OCHC
X
All relationships between auditor and OCHC
X
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Appendix B – Engagement Letter
18 December 2014
Mr. Dan Dore
Treasurer
Ottawa Community Housing Corporation
39 Auriga Drive
Ottawa, ON K2E 7Y8
Dear Mr. Dore
1.
This Engagement Letter, together with the attached General Terms and Conditions for Audit
and Review Engagements [and any other attachments], (collectively, this “Agreement”),
confirms the terms and conditions upon which Ernst & Young LLP (“we” or “EY”) has been
engaged to audit and report on the financial statements of the Ottawa Community Housing
Corporation (the “Corporation”) for the year ended December 31, 2014. These financial
statements are expected to comprise the financial statements for the year ending
December 31, 2014 together with the related notes to the financial statements as well as
other explanatory information all prepared in accordance with the Housing Services Act and
the guidance in its application by the City of Ottawa as Service Manager.
The services described in this paragraph may hereafter be referred to as either the “Audit
Services” or the “Services.”
Audit responsibilities and limitations
2. The objective of our audit is to express an opinion on whether the financial statements are
prepared, in all material respects, in accordance with the Housing Services Act and the
guidance in its application by the City of Ottawa as Service Manager. Should conditions not
now anticipated preclude us from completing our audit and issuing a report (the “Report”) as
contemplated by this Agreement, we will advise you and those charged with governance
promptly and take such action as we deem appropriate.
3.
As the financial statements will be prepared to meet the specific requirements and are not
intended for distribution to other than the specified users, our report will include a paragraph
following the opinion paragraph indicating that the financial statements are not intended to be
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and should not be used by anyone other than the specified users or for any other purpose.
Should you distribute the financial statements and our report to any party other than the
specified users, we accept no responsibility to you or to any other reader for any loss or
damage suffered as a result of using the financial statements for other than the specified
purpose.
4.
We will conduct the audit in accordance with Canadian generally accepted auditing standards,
as promulgated by the Chartered Professional Accountants of Canada (“CPA Canada”). Those
standards require that we comply with ethical requirements and plan and perform the audit to
obtain reasonable, rather than absolute, assurance about whether the financial statements
are free of material misstatement, whether due to fraud or error. There are inherent
limitations in the audit process, including, for example, the use of judgment and selective
testing of data and the possibility that collusion or forgery may preclude the detection of
material error, fraud, or illegal acts. Accordingly, there is some risk that a material
misstatement of the financial statements may remain undetected. Also, an audit is not
designed to detect fraud or error that is immaterial to the financial statements.
5.
As part of our audit, we will consider, solely for the purpose of planning our audit and
determining the nature, timing, and extent of our audit procedures, the Corporation’s internal
control over financial reporting. This consideration will not be sufficient to enable us to
express an opinion on the effectiveness of internal control or to identify all significant
deficiencies.
6.
In accordance with professional standards established by the CPA Canada, we will
communicate certain matters related to the conduct and results of the audit to those charged
with governance. Such matters include:
► Our responsibility under Canadian generally accepted auditing standards for forming and
expressing an opinion on the financial statements that have been prepared by management
with the oversight of those charged with governance and that such an audit does not
relieve management and those charged with governance of their responsibilities;
► An overview of the planned scope and timing of the audit;
► Significant findings from the audit, which include: (1) our views about the significant
qualitative aspects of the Corporation’s accounting practices, including accounting policies,
accounting estimates, and financial statement disclosures; (2) significant difficulties, if any,
encountered during the audit; (3) uncorrected misstatements, other than those we believe
are trivial; (4) disagreements with management, if any, whether or not satisfactorily
resolved; and (5) other matters, if any, arising from the audit that are, in our professional
judgment, significant and relevant to those charged with governance regarding the
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oversight of the financial reporting process, including significant matters in connection
with the Corporation’s related parties; and
► Written representations requested from management and significant matters, if any,
arising from the audit that were discussed, or the subject of correspondence, with
management.
7.
If we determine that there is evidence that fraud or possible non-compliance with laws and
regulations may have occurred, we will bring such matters to the attention of the appropriate
level of management. If we become aware of fraud involving management or fraud involving
employees who have significant roles in internal control or others where the fraud results in a
material misstatement of the financial statements, we will report this matter directly to those
charged with governance. We will communicate with those charged with governance matters
involving non-compliance with laws and regulations that come to our attention unless they are
clearly inconsequential.
8.
We will communicate in writing significant deficiencies in internal control identified during the
audit of the Corporation’s financial statements.
9.
We also may communicate our observations as to the potential for economies in, or improved
controls over, the Corporation’s operations.
Management’s responsibilities and representations
10. Our audit will be conducted on the basis that management and where appropriate, those
charged with governance, acknowledge and understand that they have responsibility:
(a) For preparation of the financial statements in accordance with the Housing Services Act
and the guidance in its application by the City of Ottawa as Service Manager;
(b) For such internal control as management determines is necessary to enable the
preparation of the financial statements that are free from material misstatement,
whether due to fraud or error; and
(c) To provide us with: 1) access, on a timely basis, to all information of which management
is aware that is relevant to the preparation of the financial statements such as records,
documentation and other matters; 2) additional information that we may request from
management for the purpose of the audit; and 3) unrestricted access to persons within
the Corporation from whom we determine it necessary to obtain audit evidence.
(d) For performing a thorough analysis in order to determine the appropriateness and the
adequacy of the accounting policies selected in the preparation of the financial
statements in accordance with the Housing Services Act and the guidance in its
application by the City of Ottawa as Service Manager.
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Management’s failure to provide us with the information referred to above or access to
persons within the Corporation may cause us to delay our report, modify our procedures, or
even terminate our engagement.
11. Management is also responsible for adjusting the financial statements to correct material
misstatements identified by us during the current audit and pertaining to the latest period and
for affirming to us in its representation letter that they believe the effects of unrecorded
misstatements are immaterial, individually and in aggregate, to the financial statements as a
whole.
12. Management is responsible for apprising us of all allegations involving financial improprieties
received by management or those charged with governance (regardless of the source or form
and including, without limitation, allegations by “whistle-blowers,” employees, former
employees, analysts, regulators or others), and providing us full access to these allegations
and any internal investigations of them, on a timely basis. Allegations of financial
improprieties include allegations of manipulation of financial results by management or
employees, misappropriation of assets by management or employees, intentional
circumvention of internal controls, inappropriate influence on related party transactions by
related parties, intentionally misleading EY, or other allegations of illegal acts or fraud that
could result in a misstatement of the financial statements or otherwise affect the financial
reporting of the Corporation. If the Corporation limits the information otherwise available to
us under this paragraph (based on the Corporation’s claims of solicitor/client privilege,
litigation privilege, or otherwise), the Corporation will immediately inform us of the fact that
certain information is being withheld from us. Any such withholding of information could be
considered a restriction on the scope of the audit and may prevent us from opining on the
Corporation’s financial statements; prevent us from consenting to the inclusion of previously
issued auditors’ reports in future Corporation filings; alter the form of report we may issue on
such financial statements; or otherwise affect our ability to continue as the Corporation’s
independent auditors. We will disclose any such withholding of information to those charged
with governance.
13. We will make specific inquiries of management about the representations contained in the
financial statements. At the conclusion of the audit, we will also obtain written
representations from management about these matters, and that management: (1) has
fulfilled its responsibility for the preparation of the financial statements in accordance with
the Housing Services Act and the guidance in its application by the City of Ottawa as Service
Manager and that all transactions have been recorded and are reflected in the financial
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statements; and (2) has provided us with all relevant information and access as contemplated
in this Agreement. The responses to those inquiries, the written representations, and the
results of our procedures comprise evidence on which we will rely in forming an opinion on the
financial statements.
14. Management of the Corporation is responsible for advising us of any documents or other
information provided during the course of the audit over which it intends to assert a claim of
privilege and should mark any such documentation accordingly, as further described in the
attached additional Terms and Conditions (refer to the provision captioned “Canadian Public
Accountability Board”).
Reporting
15. At the conclusion of the Audit Services, we anticipate issuing our auditors’ report in the form
specified by Canadian Auditing Standard 700, Forming an Opinion and Reporting on Financial
Statements. There may be circumstances in which our auditors’ report may differ from its
anticipated form and content.
Fees and billings
16. Our fees will be subject to approval by the Finance and Audit Committee. However, our actual
fees may exceed the current based on changes to the business (e.g., nature of the business or
change in business entities) or out-of-scope work.
17. Our estimated pricing and schedule of performance are based upon, among other things, our
preliminary review of the Corporation’s records and the representations Corporation
personnel have made to us and are dependent upon the Corporation’s personnel providing a
reasonable level of assistance. Should our assumptions with respect to these matters be
incorrect or should the condition of records, degree of cooperation, results of our audit
procedures, or other matters beyond our reasonable control require additional commitments
by us beyond those upon which our estimates are based, we may adjust our fees and planned
completion dates. Fees for any special audit-related projects, such as proposed business
combinations or research and/or consultation on special business or financial issues, will be
billed separately from the fees referred to above and will be the subject of other written
agreements.
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We appreciate the opportunity to be of assistance to the Corporation. If this Agreement accurately
reflects the terms on which the Corporation has agreed to engage us, please sign below on behalf
of the Corporation and return it to Deanna J. Monaghan at Suite 1200 – 99 Bank Street, Ottawa,
ON; K1P 6B9.
Yours very truly,
Chartered Professional Accountants
Licensed Public Accountants
Agreed and accepted by:
Ottawa Community Housing Corporation
By:
Date:
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General Terms and Conditions
profession (and to such extent, shall be
deemed to not be included in this Agreement).
Our relationship with you
1. We are a member of the global network of
Ernst & Young firms (“EY Firms”), each of
which is a separate legal entity.
2. We may subcontract portions of the Services
to other EY Firms, as well as to other service
providers, who may deal with you directly.
Nevertheless, we alone will be responsible to
you for the Report(s), the performance of the
Services, and our other obligations under this
Agreement.
Limitations
6. You (and any others for whom Services are
provided) may not recover from us, in
contract or tort (including negligence), under
statute or otherwise, any consequential,
incidental, indirect, punitive or special
damages in connection with claims arising out
of this Agreement or otherwise relating to the
Services, including any amount for loss of
profit, data or goodwill, whether or not the
likelihood of such loss or damage was
contemplated.
7. Our total aggregate liability to you (and any
others for whom Services are provided) for
any loss or damage arising out of or relating
to this Agreement or the Services shall be
limited to the greater of (i) the total fees paid
to us for the Services and (ii) $1,000,000.
This limitation applies regardless of whether
our liability arises under contract, tort
(including negligence), statute or otherwise.
This limitation will not limit liability for loss or
damage caused by our fraud or willful
misconduct or to the extent prohibited by
applicable law or professional regulations.
8. If we are liable to you (or to any others for
whom Services are provided) under this
Agreement or otherwise in connection with
the Services, for loss or damage to which any
other persons have also contributed, our
liability to you shall be several and not joint
and several, solidary or in solidum, with such
others, and shall be limited to our
proportionate share of that total loss or
damage, based on our contribution to the loss
and damage relative to the others’
contributions. No exclusion or limitation on
Your responsibilities
3. You shall be responsible for your personnel’s
compliance with your obligations under this
Agreement.
Our reports
4. You may not rely on any draft Report.
Notice re: Québec
5. From time to time, we may have individual
partners and employees performing the
Services who are members of the Ordre des
comptables professionnels agréés du Québec
(the “Québec Order”). Any individual member
of the Québec Order practising the profession
of chartered professional accountant assumes
full personal civil liability arising therefrom,
regardless of his or her status within our
organization. He or she may not invoke the
liability of our organization as a ground for
excluding or limiting his or her own personal
liability for the practice of the profession. The
sections that follow below under the heading
"Limitations" shall not apply to limit the
personal civil liability of individual members of
the Québec Order arising from their practice
of the chartered professional accountant
66
Page 14
Firms and the EY Persons from and against all
claims by third parties (including your
affiliates) and resulting liabilities, losses,
damages, costs and expenses (including
reasonable external and internal legal costs)
arising out of or relating to the Services or
this Agreement. On behalf of yourself and
your affiliates, you release us, the other EY
Firms and the EY Persons from all claims and
causes of action (together, “Claims”), pending
or threatened, that you or they may have
arising out of the Services or this Agreement
to the extent such Claims result from or arise
out of any misrepresentation or fraudulent
act or omission by you, your employees or
agents on your behalf.
the liability of other responsible persons
imposed or agreed at any time shall affect any
assessment of our proportionate liability
hereunder, nor shall settlement of or difficulty
enforcing any claim, or the death, dissolution
or insolvency of any such other responsible
persons or their ceasing to be liable for the
loss or damage or any portion thereof, affect
any such assessment.
9. You shall make any claim relating to the
Services or otherwise under this Agreement
no later than one year after you became
aware (or ought reasonably to have become
aware) of the facts giving rise to any alleged
such claim and in any event, no later than two
years after the completion of the particular
Services (and the parties agree that the
limitation periods established by the
Limitations Act, 2002 (Ontario) or any other
applicable legislation shall be varied and/or
excluded accordingly). This limitation will not
apply to the extent prohibited by applicable
law or professional regulations.
10. You may not make a claim or bring
proceedings relating to the Services or
otherwise under this Agreement against any
other EY Firm or our or its subcontractors,
members, shareholders, directors, officers,
partners, principals or employees ("EY
Persons"). You shall make any claim or bring
proceedings only against us. Sections 6
through 9 and this Section 10 are intended to
benefit the other EY Firms and all EY Persons,
who shall be entitled to rely on and enforce
them.
Confidentiality
12. We follow professional standards of
confidentiality and will treat information
related to you disclosed to us by you or on
your behalf (“Client Information”) as set forth
in the Rules of Professional Conduct of
provincial Institutes of Chartered Accountants
or the Code of Ethics of the Ordre des
comptables professionnels agréés du Québec
(as applicable).
13. Either of us may use electronic media to
correspond or transmit information and such
use will not in itself constitute a breach of any
confidentiality obligations.
14. We may provide Client Information to other
EY Firms (which are listed at www.ey.com),
EY Persons, and service providers to EY and
other EY Firms, all of whom may collect, use,
transfer, store or otherwise process
(collectively “Process”) it in various
jurisdictions in which we and they operate in
order to facilitate performance of the
Services, to comply with
regulatory
Indemnity
11. To the fullest extent permitted by applicable
law and professional regulations, you shall
indemnify and hold harmless EY, the other EY
67
Page 15
Information that can be linked to specific
individuals (“Personal Data”) in various
jurisdictions in which we and they operate, for
the purposes described in section 14. All
Personal Data will be Processed in accordance
with applicable law and professional
regulations. We will require any service
provider that Processes Personal Data on our
behalf to adhere to such requirements and we
shall be responsible to you for maintaining the
confidentiality of Personal Data, regardless of
where or by whom such Personal Data is
Processed on our behalf. Our Canadian
privacy policy is available at www.ey.com/ca.
19. You warrant that you have the authority to
provide the Personal Data to us in connection
with the performance of the Services and that
the Personal Data provided to us has been
Processed in accordance with applicable law.
requirements, to check conflicts, to provide
technology or administrative services, or for
quality, risk management or financial
accounting purposes. We shall be responsible
to you for maintaining the confidentiality of
Client Information, regardless of where or by
whom such information is Processed on our
behalf.
Canadian Public Accountability Board
15. EY may from time to time receive requests or
orders
from
the
Canadian
Public
Accountability Board (“CPAB”) to provide
them with information and copies of
documents in our files, including our working
papers and other work-product relating to
your affairs. You acknowledge that EY will
provide these documents and information
without further reference to, or authority
from, you.
16. You must mark any document over which you
assert privilege as privileged and inform us of
the grounds for your assertion of privilege
(such as whether you claim solicitor-client
privilege or litigation privilege). EY will use
reasonable efforts to refuse access to any
document over which you have expressly
informed us that you assert privilege, unless
providing access to privileged documents is
required by the laws of any jurisdiction that
you or EY are subject to.
17. We will also be required to provide CPAB with
information relating to the fees that you pay
us for audit services, other accounting
services and non-audit services (and you
agree to the disclosure of such information to
CPAB).
Data protection
18. EY, the other EY Firms and our respective
service providers may Process Client
Solicitation and hiring of EY personnel
20. Our auditor independence may be impaired if
you solicit or hire certain EY personnel. This
may either delay the provision of the Services
or cause us to resign from the engagement.
You shall not, during the term of this
Agreement, and for 12 months following its
termination for any reason, without our prior
written consent, solicit for employment or
hire in any role, including a position on your
Board of Directors, any current or former
partner or professional employee of EY, any
affiliate thereof, any other EY Firm or any of
their respective affiliates, if any such person
either: i) performed any audit, review, attest
or related service for or relating to you at any
time (a) since the date on which your most
recent audited financial statements were filed
with the relevant securities regulator(s) or
stock exchange(s) (or, since the beginning of
68
Page 16
external and internal legal costs) incurred to
respond to the request, unless we are a party
to the proceeding or the subject of the
investigation.
the most recent fiscal year to be covered by
your first such financial statements, if
applicable), or (b) in the 12 months ended the
date on which your most recent financial
statements were filed with the relevant
securities regulator(s) or stock exchange(s);
or (ii) influences EY’s operations or financial
policies or has any capital balances or any
other continuing financial arrangement with
EY.
Force majeure
23. Neither you nor we shall be liable for breach
of this Agreement (other than payment
obligations) caused by circumstances beyond
your or our reasonable control.
Fees and expenses generally
21. You shall pay our professional fees and
expenses in connection with the Services. In
lieu of specific itemized charges, our
technology tools, administrative support
personnel, printing and other routine
expenses are charged at 11.5% of our
professional fees. Out-of-pocket expenses for
items such as travel, meals, accommodation
and other matters specifically related to this
engagement will also be invoiced. Our
invoices are rendered on a periodic basis as
our assignment progresses. Payment of our
invoices is due upon receipt. Interest on
overdue accounts accrues at 12% per annum
starting 30 days following the date of our
invoice. EY may suspend performance of the
Services in the event you fail to pay our
invoice. Our fees are exclusive of taxes or
similar charges, as well as customs, duties or
tariffs imposed in respect of the Services, all
of which you shall pay (other than taxes
imposed on our income generally).
22. If we are required by applicable law, legal
process or government action to produce
information or personnel as witnesses with
respect to the Services or this Agreement,
you shall reimburse us for any professional
time and expenses (including reasonable
Term and termination
24. This Agreement applies to the Services
whenever performed (including before the
date of this Agreement).
25. This Agreement shall terminate on the
completion of the Services. We may terminate
this Agreement, or any particular Services,
immediately upon written notice to you if we
reasonably determine that we can no longer
provide the Services in accordance with
applicable law or professional obligations.
26. You shall pay us for all work-in-progress,
Services already performed, and expenses
incurred by us up to and including the
effective date of the termination of this
Agreement. Payment is due within 30 days
following receipt of our invoice for these
amounts.
27. The provisions of this Agreement that give
either of us rights or obligations beyond its
termination
shall
continue
indefinitely
following the termination of this Agreement.
Governing law and dispute resolution
28. This Agreement, and any non-contractual
matters or obligations arising out of this
Agreement or the Services, shall be governed
by, and construed in accordance with, the
laws of the Province of Ontario and the laws
69
Page 17
Agreement,
those
parts
shall
have
precedence as follows (unless expressly
agreed otherwise): (a) the letter to which
these General Terms and Conditions are
attached, (b) these General Terms and
Conditions, and (c) other annexes to this
Agreement.
35. Without limiting any other terms of this
Agreement, the provisions of Sections 11, 14
and 18 are intended to benefit the other EY
Firms and all EY Persons, who shall be entitled
to rely on and enforce them.
36. We are a registered limited liability
partnership ("LLP") continued under the laws
of the province of Ontario and we are
registered as an extra-provincial LLP in
Quebec and other Canadian provinces.
Generally, an LLP partner is not personally
liable for the debts, obligations or liabilities of
the LLP arising from the negligence of
persons not under his or her direct
supervision (including other LLP partners) or
most other debts or obligations of the LLP. As
an LLP, we are required to maintain certain
insurance. Our insurance exceeds the
mandatory professional liability insurance
requirements established by any provincial
Institute of Chartered Accountants/ Order of
Chartered Professional Accountants.
of Canada applicable therein, without regard
to principles of conflicts of law. Any dispute,
claim or other matter arising out of or relating
to this Agreement or the Services shall be
subject to the exclusive jurisdiction of the
Ontario courts, to which each of us agrees to
submit for these purposes.
Miscellaneous
29. This Agreement constitutes the entire
agreement between us as to the Services and
the other matters it covers, and supersedes
all prior agreements, understandings and
representations
with
respect
thereto,
including any confidentiality agreements
previously delivered. In addition, any policy,
protocol, agreement (other than this
Agreement) or other instrument, in whatever
form, imposed at any time that purports to
obligate EY, any other EY Firm or any EY
Person with respect to the use of Client
Information shall be void and of no further
effect, and you shall not seek to enforce any
such obligation.
30. Both of us may execute this Agreement (and
modifications or supplements to it) by
electronic means and each of us may sign a
different copy of the same document. Both of
us must agree in writing to modify or
supplement this Agreement.
31. We retain ownership in the working papers
compiled in connection with the Services.
32. Neither of us may assign any of our rights,
obligations or claims under this Agreement.
33. If any provision of this Agreement (in whole or
part) is held to be illegal, invalid or otherwise
unenforceable, the other provisions shall
remain in full force and effect.
34. If there is any inconsistency between
provisions in different parts of this
70
Page 18
71
72
73
74
Attachment 1
Personal Information and Privacy Policy
Effective Date
XXXXX
Approval Date
January 8, 2015
Review Date
January 8, 2018
Policy Statement
Ottawa Community Housing (OCH) collects and uses the personal
information of its tenants, employees and business invitees to perform
its work. This information is private and OCH commits to respecting
privacy by safeguarding the information for the period in which it is in
OCH possession and disclosing it only when it is legally appropriate to
do so. OCH will ensure that it manages personal information in
accordance with the Municipal Freedom of Information and Protection
and Privacy Act (MFIPPA) and the Housing Services Act (HSA).
Policy Objectives
This policy will ensure:
Organization
Organizational Effectiveness
Owner
Executive Director Organizational
Effectiveness

Executive Directors and Directors are responsible for personal
information management and privacy within OCH

An OCH Privacy Officer is appointed to oversee and ensure
legislative compliance related to personal information
management and privacy

All employees are appropriately trained and supervised in
collecting, using, protecting and disclosing personal information

Privacy protection requirements are included in the design of all
new business processes, projects and technology

Personal information breach protocols are established and
reviewed with employees

Board and Committee members and business invitees are
briefed on their responsibilities to comply with the policy
Title/Subject
Personal Information and Privacy Policy
Approved by
Date
Board of Directors
January 8, 2015
75
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0.5
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Personal Information and Privacy Policy
Policy Principles
Application

Having access to the personal information of tenants,
employees and business invitees requires integrity and
responsible stewardship

OCH employees should only have access to information that
they need to perform their work

The appropriate use, protection and sharing of personal
information is significant to acting professionally and ethically

Prevention and education strategies are central to the proper
stewardship of personal information

Should a personal information breach occur, OCH must act
quickly and transparently to respond and take measures to
avoid future incidents
This policy applies to all OCH employees, Board Directors and
Committee Members, partners, volunteers, and business invitees.
Roles and Responsibilities
Key Roles
Key Responsibilities
CEO, Executive Directors,
Directors
Ensure
Organization
Organizational Effectiveness
Owner
Executive Director Organizational
Effectiveness

Policy and procedures for personal information management
and privacy are enforced within OCH

An OCH Privacy Officer is appointed to oversee and ensure
legislative compliance related to personal information
management and privacy

All employees are appropriately trained and supervised in
collecting, using, protecting and disclosing personal
information annually and as operational needs require

Privacy protection requirements are included in the design of
all new business processes, projects and technology
Title/Subject
Personal Information and Privacy Policy
Approved by
Date
Board of Directors
January 8, 2015
76
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0.5
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Personal Information and Privacy Policy
Human Resources
Managers and Supervisors
Employees
Organization
Organizational Effectiveness
Owner
Executive Director Organizational
Effectiveness

Personal information breach protocols are established and
reviewed with employees

Actual or potential personal information breaches are
responded to promptly by reporting to the Privacy Officer

Appropriate corrective action for violations of this policy

Details in Personal Information Databanks are accurate and
updated as changes occur

Board and Committee members and business invitees are
briefed on their responsibilities to comply with the policy

Ensure new employees and volunteers are provided with
initial training on collecting, using, protecting and disclosing
personal information

Ensure all employees receive regular training on personal
information protection and privacy

Provide supervision and guidance to employees in
understanding and complying with this policy and applicable
OCH procedures and directives

Discuss this policy with employees and highlight any of the
areas or examples that have particular relevance, given the
nature of the employee’s work

Report actual or potential personal information breaches to
the appropriate Executive Director, Director and the Privacy
Officer promptly

Comply with this policy and applicable OCH procedures and
directives

Ask an Executive Director, Director, Manager or Supervisor
questions if uncertain about how to apply this policy and
applicable OCH procedures and directives
Title/Subject
Personal Information and Privacy Policy
Approved by
Date
Board of Directors
January 8, 2015
77
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0.5
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Personal Information and Privacy Policy

Take every precaution reasonable in the circumstances for the
protection of Personal Information

Promptly report to an Executive Director, Director, Manager or
Supervisor any actual or potential personal information
breaches of this policy
Business Invitees

Comply with this policy and the related clauses in contracts
with OCH (where applicable)
Privacy Officer

Review OCH’s policies and practices with regard to personal
information

Ensure that the collection and retrieval of personal information
complies with applicable legislation and OCH’s policy

Administer all requests for Access to Information in OCH’s
custody

Investigate and respond to individuals who file complaints
regarding the collection, use and disclosure of personal
information in accordance with legislated requirements

Coordinate the process for responding to a report of a
personal information breach

Submit an annual report to the Information and Privacy
Commissioner

Maintain Personal Information Data Banks based on detail
provided by Executive Directors and Directors

Answer questions related to collection, use, disclosure,
safeguarding personal information

Guide OCH employees in carrying out their duties in relation
to this policy

Develop orientation and learning material and activities related
to personal information and privacy
Organization
Organizational Effectiveness
Owner
Executive Director Organizational
Effectiveness
Title/Subject
Personal Information and Privacy Policy
Approved by
Date
Board of Directors
January 8, 2015
78
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0.5
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Personal Information and Privacy Policy
Related OCH Policies
and Procedures
Related OCH Policies and Procedures include:
Other Supporting
References
References include






Guide to Personal Information and Privacy
Access to Information Procedure
Personal Information Breach Procedure
Information Retention Schedule
Municipal Freedom of Information and Protection of
Privacy Act (MFIPPA)
Housing Services Act (HSA)
Questions / Contact
Executive Director Organizational Effectiveness
Appendices
Appendix 1 – Definitions
Appendix 2 – Document History
Organization
Organizational Effectiveness
Owner
Executive Director Organizational
Effectiveness
Title/Subject
Personal Information and Privacy Policy
Approved by
Date
Board of Directors
January 8, 2015
79
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0.5
Page 5 of 8
Personal Information and Privacy Policy
Appendix 1 – Definitions
Term
Acronym
Definition
Board Directors and
Committee members
All members of OCH’s Board of Directors and
Committees
Business Invitee
A vendor, contractor or other provider of goods and
services to OCH tenants or OCH. A representative of
community organizations that have a relationship with
OCH are also considered business invitees
Privacy Breach
An incident involving unauthorized disclosure of personal
information in OCH’s custody and control
Employees
Full-time, part-time, temporary or casual workers,
students and volunteers
Housing Services Act
HSA
Provincial legislation which governs the collection, use,
and disclosure of personal information in the provision of
social housing in Ontario
Municipal Freedom of
Information and
Protection of Privacy
Act
MFIPPA
Provincial legislation which controls the collection, use,
disclosure and destruction of personal information held
by Ontario municipalities and certain designated
organizations, such as OCH
Personal Information
Organization
Organizational Effectiveness
Owner
Executive Director Organizational
Effectiveness
Personal information is broadly defined as anything
which identifies an individual. More specifically, personal
information is:
 The personal address, telephone number or email
address of an individual
 Any identifying number assigned to an individual
which can lead to that person's identification such as
a Tenant Identification Number, Social Insurance
Number, or employee number
 Information about an individual’s income and assets
 Bank account and credit card information
Title/Subject
Personal Information and Privacy Policy
Approved by
Date
Board of Directors
January 8, 2015
80
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0.5
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Personal Information and Privacy Policy
Information relating to the race, national or ethnic
origin, citizenship status; colour, religion, age, sex,
sexual orientation, marital or family status of an
individual
 Information relating to the education, medical,
psychiatric, psychological, criminal or employment
history of the individual
 Credit and rental history reports
 Financial information for the purposes of establishing
Rent-Geared-to-Income assistance
 An individual’s blood type or fingerprints
 Information about an individual’s personal or political
opinions
 Correspondence sent to OCH that is of a private or
confidential nature; and any replies from OCH that
would reveal contents of the original correspondence
 An individual’s name if it appears with other
confidential information (e.g. rent arrears reports)
 Employee information including résumés, salary and
benefits, disciplinary action, bank account
information, tenant complaints about an individual,
and problems between staff
Personal information does NOT include the name,
position and business phone number of employees

Privacy Officer
Organization
Organizational Effectiveness
Owner
Executive Director Organizational
Effectiveness
The Privacy Officer is responsible for OCH's compliance
with all privacy legislation. The Privacy Officer will be
designated by the Board of Directors.
Title/Subject
Personal Information and Privacy Policy
Approved by
Date
Board of Directors
January 8, 2015
81
Version
0.5
Page 7 of 8
Personal Information and Privacy Policy
Appendix 2 – Document History
Revision
Number
Date
Author(s)
Brief Description of Change
0.1
2005-02-10
Hastings, Kelly
Original Privacy Policy
0.2
2014-09-17
Hastings, Kelly
Updated to comply with current policy
standards
0.3
2014-10-03
Hastings, Kelly
Updated based on workgroup feedback
0.4
2014-10-10
Hastings, Kelly
Updated based on review with Director,
Performance and Quality
0.5
2014-10-31
Hastings, Kelly
Modified to clarify roles and responsibilities
Organization
Organizational Effectiveness
Owner
Executive Director Organizational
Effectiveness
Title/Subject
Personal Information and Privacy Policy
Approved by
Date
Board of Directors
January 8, 2015
82
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0.5
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OTTAWA COMMUNITY HOUSING CORPORATION
Attachment 2
Personal Information
and
Privacy Policy
Board of Directors
January 8, 2014
83
Today’s Objective
That the Board of Directors approve the
Personal Information and Privacy Policy.
84
Why Update?
• Policy was 10 years old
• Structure of policy was not aligned
to current OCH policy standards
• Privacy Impact Assessment in
2013 recommended update
85
Highlights of Development Process
 Best practices review (May - July)
• City of Ottawa
• Toronto Community Housing Corporation
• Ontario Non-Profit Housing Association
• Other housing providers
 Work Group (August - September)
• Kelly Hastings, Laura Clark, Christiane Hallé
 Preliminary draft (October)
 Senior Management Team consultation
(November)
 Corporate Affairs review and recommendation
(December)
86
Proposed Revisions
Personal Inform ation and Privacy Policy
 Aligned to new policy format
Policy
Statement
Policy
Objectives
OCH collects and uses the personal information of its tenants,
employees and business invitees to perform its work. This
information is private and OCH commits to respecting privacy by
safeguarding the information for the period in which it is in OCH
possession and disclosing it only when it is legally appropriate to do
so. OCH will ensure that it manages personal information in
accordance with the Municipal Freedom of Information and
Protection and Privacy Act (MFIPPA) and the Housing Services Act
(HSA).
• Specific procedures being
developed related to information
access, retention and breaches
• Staff guide also being developed
This policy will ensure:
•
Executive Directors and Directors are responsible for
personal information management and privacy within the
corporation
•
An OCH Privacy Officer is appointed to oversee and
ensure legislative compliance related to personal
information management and privacy
•
All employees are appropriately trained and supervised in
collecting, using, protecting and disclosing personal
information
•
Privacy protection requirements are included in the
design of all new business processes, projects and
technology
•
Personal information breach protocols are established and
reviewed with employees
•
Board and Committee members and business invitees are
briefed on their responsibilities to comply with the policy
 Policy objectives strengthened
 Clarified accountabilities for
privacy
 Most policy content validated
87
Next Steps
• Gain Board approval of policy
(January 8, 2015)
• Develop privacy procedures and
staff guide (February 2015)
• Train OCH staff in privacy
practices (March - April 2015)
88
Questions
89
90
91
92
Attachment 1
2014 Work Plan Update
An annual work plan describes the initiatives that implement the Long Range Financial Strategy.
Detailed descriptions of these work elements are found in the scorecards for departments, divisions
and teams across OCH.
ACHIEVE SUSTAINABLE FUNDING
Confirm Funding with City of Ottawa
OCH and City of Ottawa work collaboratively to maintain service targets and ensure adequate
funding. The Operating Agreement with the City of Ottawa provides funding for 80% of the
portfolio. Some categories of funding (e.g. debt servicing, property taxes) are reconciled to actual
expenses. Other funding (e.g. utilities, materials and services) is determined by established
benchmarks that are adjusted by indices of inflation. The Operating Agreement provides a high
degree of predictability in the core funding administered by the City of Ottawa.
The City of Ottawa has also committed other funds that support capital repair and new
construction.
•
•
•
•
•
2014 LRFP Work Plan Component
The 2014 Budget estimates that OCH will
receive $68.3 million in Operating Subsidy and
$9.3 million under the Rent Supplement
Program
A grant of $1.4 million for capital repair will be
provided
under
the
Housing
and
Homelessness Investment Plan
A grant of $1.2 million will support the
construction of 10 new units on Old St Patrick
St.
In order to re-finance pooled mortgages that
renew in 2014, City Council will be requested
to extend the period of debt subsidy to align
with longer amortization periods. This refinancing will generate more than $3 million to
fund repairs
One property has a federal operating
agreement that expires in 2014. Tenants will
continue to have affordable rents because of
rent supplement provided by the City of
Ottawa.
93
•
Status Update
On target with budget estimate
•
$1.4 million grant provided in 2014
•
$1.2 million grant provided
•
Generated $4 million to fund capital
repairs by extending mortgage period
•
Tenants affordable rent maintained
for 2014
Secure Funding to Support Green Plan
The OCH Green Fund supports the implementation of a Green Plan that reduces energy
consumption and controls utility costs. Grants are administered through the Fund.
2014 LRFP Work Plan Component
Status Update
OCH will pursue energy grants under programs •
such as the High Volume User Program offered
by the City of Ottawa and the Showerhead
Rebate Program by Enbridge Gas
Close to $100,000 in grants under the
High Volume User Program from the
City of Ottawa
•
A grant of $750,000 from the City
enabled OCH to engage Energy
Ottawa to launch Phase One of a
Lighting Retrofit Program, installing
LED lights in common areas of over 30
apartment buildings
•
A pilot project with funding from utility •
providers and CMHC will test the Demtroy
system to control energy consumption in
electrically heated buildings
$100,000 in funding received under
the SaveOnEnergy program for the
pilot project
•
The Enbridge Home Weatherization Program •
provides funding for a program that is delivered
by the Envirocentre to reduce energy
consumption in OCH owned buildings
About 200 OCH units benefitted from
the Program
•
With funding under the SaveOnEnergy program
administered by Hydro Ottawa on behalf of the
Ontario Power Authority, OCH will create an
Embedded Energy Manager to promote
electricity savings
•
Manager engaged and funding to 80%
to a maximum of $108,000 per annum
•
Revenue from the generation of electricity, •
estimated at about $300,000 in 2014, will be
contributed to the Fund
Actual revenue generation projected to
$270,000 for 2014
•
94
Support for the OCH Foundation for Healthy Communities
This charitable foundation raises funds to support tenant and community initiatives that promote
healthy communities. The Foundation was established in 2012 and launched in 2013.
2014 LRFP Work Plan Component
Status Update
•
For a third consecutive year, OCH will •
contribute $120,000 to the Foundation’s annual
budget
$120,000 contribution made for 2014
•
OCH will provide back office services under a •
Memorandum of Agreement that supports the
independent operation of the Foundation
OCH reorganized back office services,
and worked with the Foundation to
create a new Memorandum of
Agreement to support operational
activity
•
Foundation Staff will manage the annual •
employee charitable campaign and promote
charitable giving and community volunteer
work by OCH staff
Foundation Staff managed campaign
and the Ron Larkin Scholarship Fund
DEVELOP A SUSTAINABLE DEBT FINANCING STRATEGY
Ensure Debt Servicing Capability
Extensive re-financing activity in recent years has not increased annual debt servicing expenses.
The total amount of debt has increased and the period of repayment has been extended. The 2014
Budget for current debt expenses has actually been reduced by over $250,000.
2014 LRFP Work Plan Component
Status Update
•
When the mortgage (and operating agreement)
expires on one property in 2014, OCH will not
seek a new mortgage, enabling increased
contributions to capital reserves
One additional property became
mortgage free and no new mortgage
was sought resulting in modest
reduction ($63,000) in debt servicing
expenses
•
A new property on Carson’s Road will sustain •
an affordable mortgage that will repay about
$1.1 million to the Community Reinvestment
Fund
A mortgage on the new property on
Carson’s Road was deferred to 2015
because of the need to demolish an
existing building and re-define the site
plan
•
Funding and financing options will be explored •
to secure the balance of funds required for the
construction of ten new units on Old St. Patrick
Street
Achieved through an agreement with
the City to use Capital Reserve Funds,
eliminating the need for an additional
mortgage
95
Implement Provincial Re-Financing Initiative
OCH will continue to work with the City of Ottawa, the Ministry of Municipal Affairs and Housing,
and Infrastructure Ontario to re-finance and re-capitalize OCH properties.
2014 LRFP Work Plan Component
•
Status Update
2014 re-financing of pooled mortgages will •
generate over $3 million for capital repairs
2014 re-financing of pooled mortgages
generated $4 million for capital
repairs, $1 million more than
previously estimated
•
Total debt now financed through
Infrastructure Ontario is now over
$100 million, all with low interest rates
fixed for the full amortization period
CONTROL EXPENSES AND REDUCE COSTS
Develop OCH Purchasing Program
OCH is committed to the improvement of purchasing and procurement activities in order to ensure
best value for money.
2014 LRFP Work Plan Component
Status Update
•
New Work Order and Purchase Order Systems •
will be implemented with more efficient
ordering and invoice processing practices
New Work Order and Purchase Order
Systems implemented
•
A vendor engagement strategy will update the •
OCH Vendor List and create opportunities for
more effective communication and feedback
An update of the OCH Vendor List now
supports delivering orders by email
•
Business Services team will establish a service •
model that supports strategic sourcing and
other procurement activity
Business Services continues to develop
a service model to support strategic
sourcing and the capacity to support
other business activity
•
Further review of purchasing practices and •
contract and tender documents to be supported
by external legal counsel and procurement
consultants
Reviews
and
standardization
of
contract documentation undertaken
and shall continue in 2015
96
Identify and Pursue Opportunities to Reduce Costs
2014 LRFP Work Plan Component
Status Update
•
The IDEAS Program will encourage staff to •
identify opportunities to reduce costs and
improve efficiency
Staff Ideas program concept promoted
and a team to launch the program in
2015 established. Management Forum
session undertaken presenting staff
ideas for improved efficiency. Further
business case(s) being developed to
support idea(s) generated
•
Based on clear priorities, OCH will increase the •
number of standing offer agreements and
improve access to cooperative purchasing
opportunities
OCH has renewed priority standing
offer
agreements
(SOA’s)
and
identified a requirement for a
Specifications and Standards function
that will be funded in 2015 and
support the creation of additional
SOA’s
•
Collaborate with Housing Services Corporation •
(HSC) to develop a pilot that identifies common
standards and multi-year requirements, in order
to aggregate and leverage spend in
collaboration with other housing providers
Discussion with HSC and other housing
providers has confirmed an interest;
need to further assess viability and
value
Support Energy and Utility Management Initiatives
The OCH Green Plan includes multiple initiatives that benefit from a number of funding and grant
opportunities (as noted above). By investing in staff and tenant education, this Plan has a positive
financial impact that will be sustained by cultural change.
2014 LRFP Work Plan Component
Status Update
•
The annualized impact of the utility retrofit •
program that was completed in 2013 will
reduce water consumption and related costs
significantly in 2014
Resulted
in
reduced
water
consumption and related costs of
close to $5 million in 2014
•
The reduction of electrical energy consumption •
will become a high priority in 2014 through
improved control of building systems and
improvements in lighting systems
Initiatives have been launched to
reduce electrical energy consumption
through improved control of building
systems and the retrofit of lighting
systems
•
Improved tracking and monitoring of utility •
consumption and expenses will be supported
through the implementation of a Utility
Management System that will also improve the
processing and reporting of utility expenses
Implementation
of
a
Utility
Management System will support
control of utility costs and improve
processing and reporting of utility
expenses
97
Property Tax Review
OCH pays more than $23 million in property taxes each year. For 80% of the housing portfolio,
property taxes are fully funded by the City of Ottawa under the Operating Agreement. OCH will
continue to implement a multi-year project to mitigate tax expenses.
2014 LRFP Work Plan Component
Status Update
•
Working with an external consultant, OCH has •
filed requests for review and appealed some
tax assessments
OCH began a tax assessments review
through an external consultant firm
aimed at appealing assessments in
order to reduce its property tax
expense. Due to the City’s approval of
property tax exemption for OCH
properties with “affordable rents” in
December 2014, the tax assessment
and appeal process is no longer being
pursued
•
The implications and feasibility of exemption •
from the payment of property taxes are being
explored
With a new definition of affordable
rent and minor changes to the market
rent schedule, the City will identify all
OCH properties as tax exempt,
providing close to $3 million for capital
repairs in 2015 and annually going
forward
INCREASE OTHER REVENUE STREAMS
OCH has increased non-residential rental revenue in recent years and will pursue new opportunities
to fund maintenance and repairs.
2014 LRFP Work Plan Component
Status Update
•
Options for the delivery of laundry services will •
be pursued in order to increase related
revenues, following a capital project that will
improve tenant service and reduce utility
consumption
A Request for Expressions of Interest
has been issued for laundry services
•
New revenue opportunities (e.g. advertising, •
vending machine leases) will be explored
Revenue opportunities are being
explored in collaboration with an
external consulting resource whose
recommendations will form the basis
for a Revenue Generation Project in
2015
•
Following the consolidation of the new •
information system, OCH will begin to identify
services that could be provided to other
community partners
OCH is still working to stabilize and
further improve information systems
and business processes, building the
capacity to provide services to other
community partners in the future
98
LEVERAGE OCH ASSETS
In order to fund development projects, OCH will evaluate some properties in terms of:
• Tenant and applicant needs
• Operating costs and efficiencies
• Capital repair requirements
• Market opportunities
The Board of Directors will consider the recommended sale of properties on a case by case basis
and net proceeds from any sale will be dedicated to the Community Reinvestment Fund to support
the development of new housing.
2014 LRFP Work Plan Component
Status Update
•
The process to achieve ministerial approval of •
property sales will be reviewed with colleagues
at the municipal and provincial levels to ensure
that it works well for all parties
Discussion to streamline the process
are underway
•
Business case analyses will be prepared for any •
property under consideration for disposal
By year end OCH has sold two
properties and is seeking ministerial
approval to sell seven more, as well
as, to demolish three buildings that are
no longer viable, undertaking the
required diligence and analysis
•
Active management of the housing
portfolio is a key strategy that has
been championed by the Asset
Management Committee
A strategic marketing approach will include the •
preparation of properties to maximize sale
proceeds
Since 2012, the sale of properties has
contributed over $620,000 to the
Community Reinvestment Fund
•
99
100
101
102
103
104
OTTAWA COMMUNITY HOUSING CORPORATION
Attachment 1
Call Centre Performance Report
Board of Directors
January 8, 2015
105
Overview
What we do:
• The 24/7 OCH Call Centre receives tenant requests for
maintenance and security.
• Maintenance requests are entered in a integrated
information system for work assignment and service
delivery by Tenant Service Centre staff.
• Security calls are received and Community Safety Staff are
dispatched. Security activity is monitored through the
Enterpol system.
• A new maintenance service delivery was introduced in
March 2014 with the implementation of a new IT system.
106
Call Volume January 1 until June 30, 2014
Highlights: (January 1 until June 30, 2014)
Results
Volume
Response Rate
A verage Speed of A nswer (sec)
A bandonment Rate
2014
96649
91.31%
18.16
2.47%
107
2013
80796
90.58%
18.09
2.97%
2012
72036
91.48%
17.28
2.44%
2011
149901
91.77%
17.31
2.09%
Performance Results
• Call response rate reflects our ability to answer a percentage
of calls within a specific period of time. (Objective: 85%
of calls within 60 seconds)
• Average speed of answer is the average time it takes to
answer a tenant call. (Objective: 20 seconds)
• Abandonment rate identifies the percentage of calls that are
abandoned after the end of the initial interactive voice
message. Measuring abandoned calls captures our ability to
absorb tenant contacts. (Objective: 4%)
108
Tenant Satisfaction
Service Level - Survey Results:
Provide a rating of the service received from the Call Centre
and Maintenance Services.
1.
10 surveys are completed per week to tenants that have
contacted the Call Centre within the last 10 business
days.
2.
Each tenant is provided a scale from 1 to 5. We tabulate
the individual results and compile an overall percentage
for every week and month.
SCALE:
5. Excellent
4. Very Good
109
3. Good
2. Satisfactory 1. Poor
Tenant Satisfaction – Call Centre
Call Centre
Questions
1. Was your call answered in a
timely fashion?
2. Was the Call Centre Operator
effective in obtaining all the
relevant information to fix your
issue?
3. Did the Call Centre Operator
demonstrate effective
communication skills (courteous,
helpful and polite)?
Tenants Surveyed
JAN
FEB
MAR
APR
MAY
96.00%
94.00%
93.25%
95.00%
98.50%
87.25% 94.00% 88.88%
99.00%
98.50%
91.50%
96.00%
96.00%
89.00% 95.00% 92.79%
98.00%
99.00%
95.00%
98.00%
100.00%
92.00% 97.00% 95.79%
40
40
40
40
40
110
JUN
40
2014
240
2013
480
Tenant Satisfaction - Maintenance
Maintenance Services
Questions
1. Did a maintenance worker
respond to your concern/problem
within 10 business days?
JAN
FEB
MAR
APR
MAY
92.00%
91.00%
93.00%
90.25%
91.50%
86.00% 90.63% 88.79%
2. Was the issue rectified to your
satisfaction?
92.25%
96.50%
85.00%
93.50%
91.00%
88.00% 91.04% 86.15%
3. Was the maintenance worker
(or contractor) courteous/polite?
91.50%
96.50%
94.00%
99.00%
99.50%
93.00% 95.58% 93.54%
40
40
40
40
40
Tenants Surveyed
111
JUN
40
2014
240
2013
480
Questions
112
113
114
115
116
117
118
119
120
OTTAWA COMMUNITY HOUSING CORPORATION
Service Excellence Week (SEW)
June 16-20, 2014
“Great Community and Services:
A Winning Combination"
Board of Directors
January 8, 2015
121
Recommendation
That the Board of Directors receive
the Service Excellence Week presentation
for information.
Contact: Guy Arseneau
613-520-2276
Stéphane Giguère
Chief Executive Officer
122
Objectives of Service Excellence Week
• To promote and celebrate service excellence with staff
and tenants
• To demonstrate our commitment to the OCH Tenant
Service Promise
• To promote continuous tenant service improvement
• To recognize colleagues “staff choice awards”
123
What Was New in 2014
• Staff outreach and distribution of the survey to Community
Houses within OCH communities as well as directly to
tenants
• The survey focused on identifying priorities to enhance the
health of communities
• Education awareness presentations were held in seven
OCH communities informing tenants on elevator
maintenance and rent calculations
124
Service Excellence Week Tenant Program
Monday to Friday
Thursday
Tenant surveys – enter for prizes
Community Open House
OCH souvenirs
Central - 395 Parkdale (9:00-11:00am)
Info table and presentations
Central - 415 MacLaren (1:30-3:30pm)
Goodies and beverages
East – 215 Wurtemburg (9:00-11:00am)
South – 1455 Clementine (9:00-11:00am)
Tuesday
Joint DBC BBQ at 725 Bernard – 5pm
Wednesday
Cake celebration at Tenant Service
Centres – 11am
South – 1455 Heatherington (1:303:30pm)
West – 108 New Orchard (9:00-11:00am)
West – 616 Kirkwood (1:30-3:30pm)
Friday
Tenant prize draw day
Winners contacted the following week
125
SEW Survey Questions and Respondents
Total Respondents: 214
By Question
1. I feel my community is a safe place to live
212
2. I am satisfied with how well my community is
maintained
3. I feel I am a part of my community
214
4. My community has a positive and friendly
environment
5. My top priority to enhance the health of my
community or neighborhood would be…
209
126
211
102
Service Excellence Week Survey Results
127
My top priority to enhance the health of my
community or neighborhood would be…
35%
32%
30%
25%
21%
20%
17%
15%
14%
11%
10%
8%
4%
5%
3%
0%
Safety
Cleanliness
Tenant
Involvement
Recreation
Health/No
Smoking
128
Maintenance
Gardens
Other
My top priority to enhance the health of my
community or neighborhood would be…
Specific Examples by Category:
• Safety:
security, drugs, traffic, noise
• Cleanliness:
garbage, elevators, lobbies, stairs
• Tenant Involvement: communication, community meetings and
activities, tenant association
• Recreation:
playgrounds, sports, programs
• Maintenance:
parking lots, snow removal, buildings
• Other:
pests, larger space in units, volunteers,
as well as positive comments
129
My top priority to enhance the health of my
community or neighborhood would be…
Appreciative Com m ents
"Continue
to do well, as you are doing now, thank you."
"For myself, I feel everything is as good and positive as
any community in this city, I love being here."
"De
rester sans fumée devant l'appartement serait
excellent pour tous les enfants c'est une bonne idée. "
"That
people learn a more positive attitude towards
Ottawa Community Housing. We are so blessed."
130
Questions
131