The following article appeared in the December 3 edition of the Guelph Mercury:
The current version of the city’s 2009 budget will see a 5.3 per cent tax increase, which works out to about a $12 increase per month for the average taxpayer.
But with the state of the economy top of everyone’s minds, Councillor Ian Findlay set forward a motion last night for staff to examine how they might whittle the budget down to a 3.75 per cent increase.
“We certainly have heard a lot about the pressures facing constituents,” he said.
After a lengthy discussion, the motion passed unanimously. Staff will bring forward the options at the Dec. 15 council meeting, where council will vote on the budget.
Chief administrative officer Hans Loewig, who said staff would be happy to provide the information, stressed the importance of passing the budget before the new year.
Because of the trying economic times ahead, it is important for the city to be ready to deal with any economic stimulus package provided by senior governments, he said.
Opening bids for tender right away also means the city will likely get better deals.
“We understand this is not going to be business as usual,” Loewig said — a sentiment several staff and councillors repeated throughout the budget meeting.
Since the committee budget meetings in late October, a few items have already been modified.
For instance, the purchase of the Baker Street lands for the library and redevelopment project have been deferred to 2010, and costs for the air quality monitoring program slated for the Hanlon Expressway will be spread over nine years, not two.
The city will look at delaying capital projects, increasing user fees and using reserve funds, but the obvious target for cuts will be new services, Loewig said.
Councillors Bob Bell and Gloria Kovach both pointed to free parking initiatives as an area that is costing the city money.
CURRENT 2009 TAX-SUPPORTED BUDGET
One administrative support position for councillors’ offices in the new city hall: $61,700.
Continuation of the free two-hour downtown parking: $725,000 in lost revenues, with $525,000 covered by permit, fine and parking rate increases. The overall impact is $200,000.
Environmental services budget: $9.6 million including, hiring communications and waste reduction coordinators and adding two additional yard waste collection days.
Community services budget: $12.5 million, including increasing accessibility, neighbourhood group funding and transit.
Emergency services budget: $19.2 million, including construction starting on southend facility and assuming direct delivery of land ambulance.
Community design and developmental services budget: $4.3 million, including hiring a park planning technician, heritage planner and environmental building official.
Corporate services budget: $2.4 million, including completing city hall and finalizing the design on the emergency services facility, museum and Wilson Street parking structure.
Information services budget: $5.2 million, including customer service improvement and analyst position.
Financial services budget: $2 million including, long-term financial plan and new development charges bylaw.