After much deliberation, Grey Highlands council managed to whittle down its 2021 tax levy increase from 14.8 per cent to 1.5 per cent.
“I'm congratulating staff and council on a responsible budget that enables us to prepare ourselves for future growth, while providing the continuing services and service upgrades that we feel are necessary for our ratepayers,” said Councillor Tom Allwood, chair of the budget sessions.
“I think we've come up with a responsible budget, which was the goal at the onset of our deliberation,” he continued.
Council members passed the budget bylaw on Wednesday evening after nearly 40 hours of discussion that began on Nov. 4 with an initial proposal of a 14.8 per cent levy increase.
The 1.5 per cent levy increase works out to be an increase of $8.82 for every $100,000 of assessment.
“It was an involved process but it deserved that,” Allwood added.
Through the budget process the municipality approved a number of changes that will take effect in 2021, including:
- Establishment of a human resources intern position for $19,750
- A manager of facilities and recreation position, prorated for a period of nine months of employment for 2021 at approximately $31,000
- A comprehensive zoning review was included in the amount of $35,000
- The downtown revitalization project was included in the budget of up to $60,000 to be funded from reserves subject to the successful grant application approval
- A compact track loader in the amount of $155,000
- The certified engineering technician position, prorated to approximately two-thirds of the employment period for 2021 in the amount of $70,000
- A part-time contract planner position in the amount of $40,000
- Wage grid movement was included in the amount of $154,937
- An increase to the Asset Management Reserve of 1.17 per cent was included in the budget in the amount of approximately $137,500
The council also decided to fund its COVID Business Recovery Plan with $22,250 from the Safe Restart Reserve.
Funding for the fire department includes an increase in fire training in the amount of $14,000, and $100,000 will be transferred to a reserve for future fire truck purchase.
The municipality’s tree removal program was allotted $25,000, and the resident internet hotspot was supported in the amount of $5,000.
“This budget represents what is perhaps the largest transfer out of reserves. It's something that I have always opposed,” said Grey Highlands Deputy Mayor Aakash Desai. “Because I think, in my opinion, it's irresponsible and unfair to our future generations. Especially when we have not met the asset management plan obligations.”
“I want to be very clear, I don't want higher taxes. I prefer lower taxes. But if higher taxes are to come, I would rather they come in my time so that my children can have lower taxes,” he continued.
Despite his reservations on making transfers out of reserves, in the end Desai said he was, “very proud of the budget we have deliberated on.”
Throughout the budget discussion, the goal of reaching a zero per cent levy increase was mentioned on several occasions. However, according to Desai, a zero per cent levy increase was not realistic without additional growth.
“We're just not in a position where we can afford to do a zero per cent budget yet. Especially when we don't have the growth. Without growth in today's day and age, it's simply impossible to have a zero per cent tax increase responsibly,” he said.
A few of the additional items that council chose not included in the budget at this time, include:
- An Outdoor Adventure Strategy in the amount of $25,000
- A contribution of $25,000 to the Joint Municipal Physician Recruitment committee
- A contribution in the amount of $200,000 to the Centre Grey Hospital
- Renovations at 11 Toronto Street Markdale in the amount of $375,000
- The asphalt resurfacing of the Blue Mountain/Osprey Townline capital project was also deferred to the 2022 budget or until grant funding can be obtained.
A part-time municipal services assistant position for public utilities was also included in the budget in the amount of $34,725, however, this position does not have an impact on the levy as it is funded by revenue.
The council also opted to not include Household Hazardous Waste event days in the budget, however, staff were directed to investigate funding options, including possible partnership options for this initiative.
Ultimately, the council passed the 2021 budget bylaw unanimously at the council meeting held on Wednesday evening. The 2021 budget is available in its entirety on the municipality’s website.
