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Residents rip proposed 2021 town budget
Wednesday, November 11, 2020
By Ron Giofu
Residents who participated in last Saturday’s budget open mic meeting were clear that the original number that is proposed at the start of the process is not acceptable. Town council’s budget, entitled “Service Level and Sustainability in Uncertain Times,” was presented ov. 2 and the first draft of the 2021 budget, if it were passed in its present form, contains a proposed tax rate increase of 7.55 per cent. That would equate to an approximate increase of $1 5 for the year on a home valued at $250,000. For every $100,000 of a home s assessment, taxes would raise about $ 4. Every expenditure of $250,000 is worth about one per cent on the tax rate. Both the capital levies are recommended to stay and administration recommends continuing to fund reserves so that the town can fund its own projects. Proposed budget highlights include over $404,000 in contractual salary obligations, $200,000 for the proposed public transit program, relocating Centennial Park amenities, starting work at the Duffy s site, decommissioning the Edgewater lagoons, a $1.2 million project at the water treatment plant and about $3 million in roadwork. Suggested new hires include a manager of finance, a communications o cer, a town solicitor, an HR coordinator, a supervisor of licensing and a heritage planner. Administration is also recommending 2.5 per cent increases to the water and wastewater rates, which would be a $33 per year increase to the average home. At Saturday’s meeting at the Libro Centre, most people there were in disagreement with the 7.55 per cent number and called for changes. About 20 people attended the meeting in person, with more offering
A mherstb urg resident N ancy A tk inson ask s a q uestion during a pub lic b udget meeting last Saturday afternoon at the L ib ro Centre. A tk inson was one of many q uestioning the b udget, which sees council going into delib erations trying to whittle down a proposed 7 .5 5 per cent tax increase. RTT P hoto b y Ron G iofu
opinions on Zoom. “Normally in each year the Town of Amherstburg generates revenue from numerous sources. The first source being an increase in the mill rate on current tax assessed property values. In the 2020 tax year the mill rate increase was approximately 0.5 per cent,” said resident Tim Brown. “ ow in 2021, administration is recommending 7.55 per cent. Why is this large increase occurring? Well it is due to the loss of the second major source of revenue which are from increases in MPAC accessed values.” Brown stated in 2019 that 441 building permits were issued, which he said generated about $500,000 in taxes, plus fees and development charges totalling $2.9 million. “This was a great increase in revenue. In 2020 the first uarter of this year, four times the number of permits were issued as compared to 2019,” said Brown. “Please note that 2020 will be another record year for revenue from increased taxes accessed and the related fees and development fees.”
Brown questioned administration and council about “what are we doing wrong compared to other municipalities?” but acknowledged Amherstburg has larger future capital needs going forward than other local towns. He believed reserves should be set aside for an upgrade water treatment plant. “Now here’s where the paradigm shift in running the town comes into play. We need to reduce certain services, dream projects and sta ng, not add them each and every year as our revenues increase. We need to focus on our core needs especially during this pandemic,” said Brown. “We need to reduce spending. We have to have departments cut their budgets annually for the next three years, not increase them each year when they are asked to generate their dream lists.” Nancy Atkinson wondered if the two capital levies were included in the 7.55 per cent proposed increase, something that was confirmed by Mayor Aldo DiCarlo. Continued on Page 4
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