Residents in Centre Wellington may be looking at a 3.8% increase to the township portion of their 2018 tax bills.
Based on an average assessment of $352,296, the increase would mean a local tax increase of $38.96.
Councillors approved the budget (combined operating and capital) in principal on Dec. 8, and are expected to ratify the budget on Dec. 18.
At the outset of the first of three budget meetings beginning on Dec. 5, Mayor Kelly Linton stated council already held four pre-budget brainstorming sessions.
Before handing the discussion over to CAO Andy Goldie, Linton stated “a key difference for this year is that we have combined the capital and the operating budgets.”
During discussions, Linton also asked those around the table to remember the differences between the role of council and that of staff.
“We question the assumptions of staff, we can question the intended outcomes, we can discuss changes to service levels, we can talk about our impressions of what the community wants … but it is important that we appreciate the qualifications and subject matter expertise of our professional staff,” said Linton.
He added, “I want to thank our CAO for his leadership in working with his team to provide us with a realistic starting point.
“Let’s remember that we are tasked with making decisions about how to spend money that is not our own. Whenever possible let’s remember to take a citizen perspective. Let’s talk about what is a ‘want’ versus what is a ‘need.’”
Goldie said the intent of pulling the capital and operating budgets together in a time-compressed schedule was to have the 2018 budget completed by the end of 2017.
Goldie said the 2018 operating budget was based on keeping services at existing levels.
The 2018 proposed tax increase is 1.82% ($18.56) plus an increase to the dedicated capital levy equal to 2% ($20.40) for a total tax increase of 3.82% ($38.96) on the average residential property assessed at $352,296.
Operating budget
The 2018 tax-supported operating budget is $25,899,500.
This includes assessment growth of $662,225, a 1.82% increase in the base tax levy of $227,443 and a 2% dedicated capital levy totaling $249,586.
As a result, the tax increase proposed for 2018 is a combined 3.82% ($38.96) on the township’s portion of the total tax bill.
The 2018 user pay operating budget of $10,790,200 ($10,422,801 in 2017) marks a $367,399 (3.52%) increase from the previous year.
The 2018 water rate increase is 2.5% and the wastewater rate increase is 4%. These rates were determined by the water and wastewater rate study approved by council in November 2015.
Capital budget
The 2018 capital budget proposes an internally funded amount of approximately $11.74 million.
The draft capital budget also includes projects funded by external sources such as grants, development charges, and developer and partner contributions totaling approximately $8.83 million.
This brings the total 2018 capital budget to approximately $20.57 million.
Budget process
For the first time since the 2013 budget process, the capital and operating budget discussions have been combined.
Since 2013, the capital and operating budgets were discussed separately; capital was discussed and approved prior to Christmas and the operating budget and vehicle and equipment replacement schedules were discussed and approved early in the new year.
Based on recommendations made to council by Nigel Bellchamber in June, staff presented the combined budget to council for their review and discussion prior to Christmas for the first time in more than a decade.
This allows the township to take advantage of favorable tender pricing that is typically offered earlier in the year before competition from other municipalities begins.
Capital budget highlights
– Replacement/rehabilitation of St. David St. bridge, Sixth Line culvert (structure 5-West Garafraxa), and the Victoria St. Pedestrian bridge,
– Paving Eramosa/West Garafraxa Townline – Third Line to Fifth Line,
– Reconstruction of various roads external to the Summerfields’ development on the northeast side of Fergus including: St. Andrew St. from Gartshore to Lamond St., Tom St. from St. Andrew St. to Garafraxa St., and Garafraxa St. from Tom St. to Summerfields Phase II,
– Surface asphalt on Colborne St. in Elora from Geddes St. to North Queen St.,
– Reconstruction of Churchill Crescent in Fergus,
– Completion of the reconstruction of West Mill St. in Elora,
– Reconstruction of James St. from Churchill Crescent to Forfar St. in Fergus,
– Reconstruction of St. David St. from Bridge St. to St. Andrew St. in Fergus,
– Construction of a skateboard park at the Elora Community Centre,
– Construction of a washroom building at the Southridge Park in Elora,
– Implementation of the Public Urban Forestry Policy,
– Commencing expansion and renovation of the Elora Fire Station,
– Commence development of the South Fergus Secondary Plan,
– Development of a rural and cultural heritage landscape registry,
– Replacement of the roof above Pad A at the Fergus Sportsplex,
– Continuation of a multi-year pavement management program to replace small sections of pavement,
– Proactive remediation on township bridges to extend their useful life, and
– Preparation of a long-term water supply master plan.
