Some Councillors fear we may see some service cuts as the city considers slashing $2-million off of the tax levy increase.
At Tuesday night’s budget discussion, City Council directed city staff to find savings to lower the tax levy increase by one percent. It started the night at 2.32% after growth, and after a number of motions were passed it rose to 2.41%. Not counting growth, the figure went from 3.17% to 3.25%.
Depending on how much of those savings Council chooses to approve, it could be slashed down to 1.41% after growth.
That report is set to come back at the January 29th budget meeting.
City Manager Norm Gale cautioned Councillors that while staff will come back with a list of possible cuts, some may not be “palatable” to Council or city residents.
In the hour-long debate, Northwood Ward Councillor Shelby Ch’ng was among those opposing the motion. She feels it is “not in our best interest, or in the best interest of the community as a whole,” because the city is still waiting for the results of its program and service review.
The review is in its second phase as Grant Thornton tries to find more efficiencies and savings in the city’s operations.
However, Mayor Bill Mauro didn’t feel that presented much of an obstacle. He claims the city should act now, and points out they aren’t obligated to approve the entire list of savings once it comes back.
Red River Councillor Brian McKinnon is skeptical, pointing out Council made a similar request in the 2018 budget. In the end, they only approved one-third of the cuts that were brought forward. McKinnon echoes the City Manager, pointing out the Citizen Satisfaction Survey tells them that most residents would prefer higher taxes rather than reduced services.
Neebing Councillor Cody Fraser feels this will let them find money to put into infrastructure that he says will crumble if they don’t invest in it.
City Council added a total of $167,700 to the budget last night. That includes an addition of $300,000 in insurance premiums, and a cut of $125,700 from the Social Services Board. They also approved some pre-existing changes, namely a subtraction of $14,300 for sports field user fees, and the addition of $9,300 for the Thunder Pride rainbow and transgender flag crosswalk.
While it didn’t change the tax levy increase, one item of note was the proposed cycling/pedestrian bridge connecting Vickers and Carrick Streets. Another $800,000 needed to be approved for the bridge to proceed, but Council voted to scrap the project for now. That frees up $600,000 earmarked for the project, which can instead be used for things like cycling infrastructure.
The budget talks were paused at midnight, and will resume on Thursday. Council will have to finish up the remaining Infrastructure and Operations Tax- and Rate-Supported budget, along with spending for Solid Waste, Wastewater, Waterworks, and Prince Arthur’s Landing boater services.
Thursday’s agenda includes a list of other budget sections to go over, including the boards for the Victoriaville Centre and Parking Authority, Development and Emergency Services, and Community Services.
The budget process is scheduled to continue on January 22nd and 29th, followed by a public post-budget consultation on February 3rd, and it is set to be finalized on February 10th.
