Grey County residents will see a slight increase in the tax rate this year as the county tries to cope with provincial funding cuts.
“We have lost $932,000 worth of provincial funding in these budgets, which is about 1.6 per cent,” said Kevin Weppler, director of corporate services in the Grey County’s department of finance. “So, we are looking at a 2.84 per cent increase just with the cost of living and the loss of the provincial funding. This is not increased spending for spending sake. Much of it is being used to replace that lost provincial funding.”
The council of Grey County recommended adoption of the 2020 budget at a Committee of the Whole meeting held on Feb. 7.
“The 2020 budget has an operating capital expense of $157.5 million. After operating and capital reserves, and reserves and capital financing are calculated that $59.8 million needs to be raised through taxes to maintain and enhance existing services,” explained Weppler.
Weppler reports Grey County has experienced unprecedented growth in investment in 2019, with new investment growth of $1.8 million, which is included in the county’s revenue for the 2020 budget.
“After taking into consideration that new growth, a levy increase of 1.26 per cent or $741,083 will need to be raised from taxes,” said Weppler.
The 1.26 per cent increase will translate to approximately a $14.48 increase to the average Grey County household.
Provincial funding cuts saw the greatest impact on the service delivery, long-term care, paramedic services and Ontario Works departments, which have all requested an increased budget in 2020 to make up for the loss.
The county will be utilizing the new growth revenue and the levy increase to absorb the nearly $1 million funding reduction from the province.
“Overall, council was pleased with the budget staff presented,” said Warden, Paul McQueen. “Inflationary increase and reduction in provincial funding at adding more pressure to the municipal tax dollar. We believe a 1.26 increase to the levy is both necessary and fair to continue providing services and moving the county forward.”
The budget outlines funding for road infrastructure, replacement of two ambulances extension of the paramedicine home visitation program, funding the construction of 54 affordable housing units in Owen Sound and supporting homelessness prevention and emergency housing.
For full budget details, visit the website. Grey County council is scheduled to officially approve the 2020 budget at its council meeting on Feb. 13.
