Annual tax hikes taking toll on Innisfil taxpayers, councillor says

By Rick Vanderlinde Innisfil Journal

Last spring, Innisfil’s previous council set a ceiling of 2.5 per cent for this year’s property tax increase.

But one of the town’s newest councillors says annual tax hikes coupled with higher water and sewer rates are too much for some property owners to bear.

“Innisfil residents are really burdened by the rates that we have today,” Coun. Stan Daurio said. “During the election campaign, people told me they could only afford the taxes for another two of three years and they will have to sell and move.”

Daurio said the new council must focus on “what we really need to do, not what we would like to do.”

Daurio made his comments at last Wednesday’s council meeting as the town’s politicians prepared to head into two days of budget talks this week.

A 2.5 per cent tax hike would see rates on the average $301,000 Innisfil home increase by about $72 for a total bill of about $3,338. Town staff predicts an $86 increase in 2016 and another $119 in 2007.

The average household using about 200 cubic metres of water and wastewater will a pay another $1,037 this year, which is $36 higher than last year.

Innisfil’s water rates are the fourth highest in Simcoe County behind Springwater, Barrie and Collingwood.

The town began boosting its water rates about four years ago to ensure there is money set aside for future infrastructure repairs and replacements, which is a provincial requirement.

“The days of provincial subsidies to build or replace assests are long gone,” town financial director Lockie Davis said. “It’s pay me now or pay me later.”

The proposed blended tax increase of 2.5 per cent will also cover the police service, education and Simcoe County. The local council only controls about 42 per cent of the local tax dollar.

Deputy Mayor Lynn Dollin said that makes it difficult to trim the budget without service reductions.

“We are really walking a tightrope between taxes and services,” she said. “It’s frustrating when you hear people say they what this done, this done and this done and I also what the taxes to go down.”

Public transit is an example of a new service residents have been demanding that would put a strain on future budgets. Plans for a shared bus service with the City of Barrie would see the average property taxpayer shell out another $21 a year.

One per cent of the tax hike goes to a reserve account the last council started to create a fund in case the town loses future gambling revenue from Georgian Downs, which transfers about $4 million a year to Innisfil.

CAO John Skorobohacz reminded council that the town relies heavily on residential taxpayers, which make up 88 per cent of Innisfil’s tax base.

Skorobohacz said the pressure placed on the residential sector is much too high, with a healthy balance being 60 per cent residential and 40 per cent industry and commercial.

“We really need to start to focus on commercial and industrial growth,” he said.

The capital budget meeting takes place on Wednesday, Jan. 21 and the operating budget meeting happens on Thursday, Jan. 22.

The meetings will run daily from 9 a.m. to 5 p.m. at Town Hall, located at 2101 Innisfil Beach Road. Public delegations to council will be heard at 6:30 p.m. Delegates must be registered by 4:30 p.m. on the day they wish to be heard. Delegation forms are available online at www.innisfil.ca or at Town Hall.