The last city council meeting of the year was a fast one, as only a section of the 2018 budget document was passed.
At the end of budget deliberations early this month, councillors expected they would pass a three per cent property tax increase, and either a 4.23 or 4.5 per cent increases to utilities rates, which includes water, sewer and consumption rates.
Councillors at the Dec. 11 meeting decided on the 4.5 per cent increase to utility rates.
The rest of the proposed budget is still to be approved, and the next city council meeting will take place Jan. 8, 2018.
Reasons for the 2018 tax increases are numerous and varied, including the city paying for increasing infrastructure costs, funds for reserves, salaries, less-than-expected provincial funds, and inflation.
As reported on Dec. 7, decision makers responsible for budgeting decreased expenses by reducing the hours certain Leisure Services buildings are open, mainly to reduce salaries.
Some city staff members and councillors said tax revenue increases could have been more than they were. Mayor Ryan Bater said tax increases are among the lowest other cities in the province have had to implement.
In other news, the UPAR rates residents paid last year will be the same this year.
Regardless of whether or not the 2018 city budget is passed in January, Councillor Greg Lightfoot said there may be “drastic changes” still to come in March or April, given the reliance on the city budget to the provincial government's.
Last year, the provincial budget, released in April, caused the city to reallocate a number of funds as it received $1.4 million less than decision makers had anticipated. The city raised taxes and delayed projects which had previously been delayed.
“We'll be watching the provincial budget very closely,” Mayor Ryan Bater said.
