2010 Budget Presentation

As I’m unable to present to Council, I’m sending this email instead. You have difficult choices to make with the budget – I hope this letter might be of some help.

As we know, the City Budget is going to be short millions this year. Just to maintain the same services, taxes will need to rise by 9.2%. Alternatively, to have zero tax increases, you will need to spend approximately 14 million dollars less in 2010.

City Staff has given you a long list of possible cutbacks. However, an area with great potential for saving, has not even been listed. This area is 2010 roadwork, partially paid for by the Infrastructure Stimulus Fund.

Next year, 17 road projects are slated for completion at a cost of 17.7 million to the City (its third of the total bill). Yes, the provincial government is paying the other two-thirds. However, Guelph must still ante up a very sizable amount of cash. Many other municipalities are now saying no to these Infrastructure dollars as they realize they are still expensive, especially in recessionary times.

Additionally, the City has been touting it’s new “Long Term Strategy” in planning. The 17 road projects would have been done incrementally over the next decade. Instead, due to these stimulus dollars, all projects will be completed in just 6 months. Looking at the detail of several projects, small sections of road, underground sewers or water lines are often pressing. However, due to the provincial dollars, large sections of our major roadways (Edinburgh, Speedvale, Dawson, Westmount, Stevenson, Victoria etc.) will be totally ripped up so all work needed over the next decade, may be done in 2010. This is a long-term approach?

And what about the province’s claim of “Getting Ontario Working”? Of the 17 projects, the vast majority of engineers and construction companies will come from outside Guelph (just look at the current list of consultants). So, we give six months of temporary work to “Ontario” firms at the expense of local jobs? In 2009 already, many Guelph jobs were lost when road work prevented customers from accessing local businesses. And will we be getting the best quality of work done when the entire province is completing for contracts at the same time?

One reason for the City’s current financial shortfall, is the lack of business development in Guelph. Do you really think businesses will look at all the roadwork, the disruption, and the lack of concern for access and think: Gee, this is a great city for investment. Council, think hard about this “free” money. Cheap can be very dear.SK