Draft budget details up for discussio

By Chris Simon Innisfil Scope March 9 2011 

It will be a whirlwind week for town staff, following the release of the draft 2011 Operating Budget later today.

Council is expected to get a first glance at the nearly $16.3 million draft budget, during a special meeting tonight. Following that, staff will embark on a series of public open houses throughout the municipality on Thursday.

This year’s budget includes an almost 3.7 per cent increase in municipal spending, when compared to 2010 figures. That translates into a $17.41 bump in the municipal portion of the tax levy, for the average residential household. However, staff have also proposed a one per cent special capital tax levy (a nearly $30.54 increase for the average household), for the remainder of the council term, to help with the municipality’s long-term fiscal planning initiatives.

“All directors recognize this is a year of transition, given both the magnitude of changes to council, as well as the anticipation of new priorities that will arise through Inspiring Innisfil 2020,” said finance director Lockie Davis. “Departments conducted a thorough review and analysis to ensure their 2011 budgets properly reflect their spending patterns from previous years. However, it bears emphasizing that 2010 was far from a stable year within the organization. This proposed annual one per cent increase to the blended tax rate would enhance considerably the town’s long-term fiscal well-being, and begin to fund gaps that have been identified.”

When combined with the education, police and County of Simcoe portions of the tax levy, the average household could be paying about $82.23 more this year, said Davis.The open houses will be held at the Cookstown Library and Community Centre (9 to 11 a.m.), The Wheel in Sandycove Acres (1 to 3 p.m.) and the New Town Hall (5 to 7 p.m.).

Senior staff will also be presenting department business plans and budget requests, during a meeting March 16.

Council is expected to approve the budget April 6, and pass a 2011 tax rate bylaw two weeks later.

The meetings will attempt to engage local residents in the budget process. Employee wages and benefits, contract work, routine maintenance expenses, and telephone, electricity and similar utility costs account for the bulk of spending in typical operating budgets.

Davis says the Consumer Price Index rose by 2.4 per cent this year, while gasoline and energy prices increased by 13 and 10.5 per cent, respectively. Those expenses will have a significant impact on the budget.

“In addition, previous contract settlements pushed the town’s labour costs up by three per cent, adding to the overall economic pressures on the operating budget,” he sa

By Chris Simon Innisfil Scope March 9 2011

Ralph Heuving wants public transportation.

As a resident of Sandycove Acres, he has difficulty getting to Barrie and other parts of Innisfil for appointments and shopping. And with taxi fare costing roughly $40 each way, his travel options are limited.

“The provincial and federal government provide subsidy for it,” he said. “I was hoping they would proceed forward with that, at a little bit better pace than it has been. If they had transportation, that would cut the cost a lot.” 

Heuving was among about 20 residents who participated in a draft 2011 Operating Budget open house, which took place at The Wheel in Sandycove Acres Thursday afternoon. It was one of three open houses held in the municipality, following the official unveiling of the budget during a council meeting on Wednesday.

Although transportation is not in this year’s budget — town staff will be exploring the issue over the next few months — there is an obvious need for some type of inexpensive network for residents living in the northern portion of the municipality, said fellow Sandycove resident Sharon Raycraft.

“In Sandycove, there’s so many of us that need (transit),” she said. “There’s a lot of single seniors, where the man’s been the driver and now it’s just the woman, that have to find their way around. To get into Barrie, it’s going to be difficult for people.

The nearly $16.3 million budget is projected to grow by 3.7 per cent over last year. That translates into a roughly 2.4 per cent increase (about $17.41 for the average household) on the municipal portion of the property tax levy. However, staff have also recommended a one per cent special capital tax levy (a nearly $30.54 increase for the average household), for the remainder of the council term, to help with the municipality’s long-term fiscal planning initiatives.  

When combined with South Simcoe Police, County of Simcoe and education taxes, the average resident will be paying about $82.23 more on their property tax bill this year.

“We got in the habit of using the money that was coming down the road, and spending it ahead of time,” said deputy mayor Dan Davidson, referring to the OLG Slots at Georgian Downs revenue. “I don’t believe in that philosophy, of spending money you don’t have. The revenue from the slots is actually down from what we expected; the spending is already committed to. We’ve got to smarten up and be more financially responsible. We’re putting money in the bank for the future.” 

Employee wages and benefits, contract work, routine maintenance expenses, and telephone, electricity and similar utility costs account for the bulk of spending in typical operating budgets. 

The Consumer Price Index rose by 2.4 per cent this year, while gasoline and energy prices increased by 13 and 10.5 per cent, respectively. Those expenses will have a significant impact on the budget, said town CAO John Skorobohacz.

“(Staff) have made some very difficult decisions,” he said. “We still continue to face significant challenges in growth, infrastructure, and improved and enhanced municipal services. It hasn’t been business as usual. The town is aligned with the cost of living index. The challenge we face is that a lot of our efforts in the field require materials that have increased significantly.”

However, staff have also asked for 12 service level increases, including the hiring of an economic development officer for $58,743 per year, a special events coordinator for $30,676, and the promotion of two firefighters to the rank of captain for $11,639. Staff have also requested funding for a Roads Needs Study update ($42,000), digital scanning equipment ($50,000), long-term financial planning consultation services ($15,000), and a reflectivity gun for testing traffic regulatory signs ($11,300).

Heuving is supportive of the increases.

“They justified it very well,” he said. “You know down the road that things are going to get higher. The hike isn’t that bad. Overall, I think it’s good for everybody.”

Council will debate the budget during a meeting next week. The budget, and a related tax rate bylaw, is expected to be passed in April.