No matter how you look at it, taxes here are going up an average of over $130 for the average homeowner.
On March 20, Erin council reported a “blended” tax increase of 3.19% [$133] based on a $363,750 assessment.
However, Erin’s portion of that bill is $74, an increase of 8.48% over 2011.
The Wellington County portion increased $47 [1.9% over 2011] and the education portion is up $11 [1.43% over 2011].
Following a special budget meeting on March 6, council directed staff to prepare a bylaw to adopt the 2012 estimates for the March 20 meeting.
Impacting this year’s budget was the draft five-year capital plan presented to council last December. But the current bylaw only approves the first year of that plan.
In her March 20 report to council, director of finance Sharon Marshall presented some highlights of the budget.
She said if the budget passed that night “it would be the earliest budget bylaw we’ve ever passed in the Town of Erin.”
Marshall noted provincial regulations now require councils to adopt long-term capital investment plans to manage and renew the infrastructure assets of the municipality.
“Prior to year end, I will be asking council to adopt the balance of our five-year capital plan to comply with the provincial mandate,” she said.
This year, town expenditures total $13,334,547; a jump of $2,378,974 over last year’s budget of $10,955,573. Operating costs are up $351,969 while capital costs are up $2,027,005.
Of the overall increase, the portion to be raised through taxation is $4,616,314; up $359,239 over last year.
In her report, Marshall stated that in late April, Wellington County council will adopt is annual bylaw to set the tax rate policies for all municipalities within the county.
Once that policy is formalized, Erin can then finalize its own tax rates.
“Until then, I can only estimate the total tax impacts of the 2012 town budget.”
Based on those estimates, Marshall suggested the impact to an average home assessed at $363,750 would be an additional $133 on the overall tax bill.
Projects and highlights in the 2012 budget include:
– dedicated infrastructure renewal reserves of $200,000 to specifically to address renewal and replacement of town assets, including the upgrading and paving of roads;
– conservation authority levies. Transfer payments to the Credit Valley Conservation and Grand River Conservation Authority increased from $131,151 in 2011 to $135,804 in 2012. Council also approved a $5,000 additional grant to the CVC towards the purchase of parks lands in Erin;
– reconstruction and upgrades to the Hillsburgh Fire Station. The 2012 capital costs of $1,548,850 to build, furnish and equip the new station (including backup generator). The total project cost is $2,185,000;
– $408,700 to replace the 1984 Hillsburgh fire pumper with a new pumper/rescue truck;
– a new multi-purpose pick-up truck. An addition to the fire department fleet with an estimated cost of $33,000;
– replacement of the 5th Line bridge at a cost of $449,126 to be funded with gas tax revenues;
– reconstruction and resurfacing of Erin/Halton Townline at a cost of $456,339. The project is partially funded through federal gas tax revenues and development charges;
– new roads truck with plow. A replacement of the roads department truck at $108,824 (total cost over 2011-12 is $219,310);
– repairs and painting of Erin’s water tower. The estimated cost to the water system is $110,000;
– completion of three water main projects at a total cost of $259,600, funded two-thirds by OSWAP (Ontario Small Waterworks Assistance Program);
– construction of the Hillsburgh pumping station. Completion of the multi-year project is expected this year with an overall cost of $769,208. The cost is to be covered through provincial grants; and
– construction of a new skate park in Erin. This community driven project is included in the 2012 budget at a cost of $100,000. Fundraising efforts, local donations and grant funding, along with council support, should see the new recreation facility completed this year.
Mayor Lou Maieron noted that some municipalities give the mayor an allowance to drive around the town on businesses.
“Currently we pay for out of town, but no in town. It’s just starting to add up,” Maieron said.
Councillor John Brennan said that in previous years he wanted to point out that of what has been presented as “an average assessment $363,750 – the total blended tax is $4,293 of which $946 stays here.”
Brennan stressed, “the rest goes somewhere else. I continue to present this every year, because every year I run into people who do not understand that, and feel that somehow they should be getting $4,000 of services from the town.”
Maieron said, “I politely told our friends from Wellington County we get all the people lamenting their tax increases.”
He noted Wellington County actually receives 55% of each tax dollar.
Maieron also thanked the treasurer for her work on the five-year plan and providing a breakdown of the projects to be dealt with this year. He noted the blended tax rate increase was close to the cost of inflation.
Because of an extended council session, the budget actually passed the following day, on March 21.
