Council approved a three per cent property tax increase as part of the 2012 budget last Monday night.
The $23 million budget includes $6.7 million for capital with $16.4 for operating.
“This represents our commitment to the community as best we can,” said Mayor Jim Romane “… at this point it reflects about a three per cent increase to the ratepayer. I think they’re well justified myself.” He said with the three per cent increase he’ll be paying about $65 more in taxes for his property, something he expects will be a little less for the average homeowner in town.
The increase is due in part to keep up with inflation, he explained, adding that the additional $188,400 expected from the three per cent bump is needed to balance the budget.
“… We are going to need, more than that just to offset the operating deficit of the new library, just as an example. That’s what we’re faced with in 2012 is the additional facilities; they’re going to eat more,” he said.
The total expenditures for the library’s operating budget sits at $254,000, a 28 per cent increase from 2011 with revenues at $10,800.
Also in the operating budget is the commitment for the next four years of $180,000 to offset the cost of a third station gym, he added.
Highlights of the $16.4 million operating budget include $3.4 million in the downtown Innisfail construction project that will see the reconstruction of eight blocks of 50 Street. An area redevelopment plan, traffic studies on each intersection and a conception and detail design for the area have been completed. The first phase of a three-year project to replace water, sewer and storm lines along 50th Street and 44th Avenue has been approved in the 2012 budget. The funding comes from $1.5 million in MSI capital grant and $1.9 million water sewer system reserves.
An infrastructure project on 61 Avenue will cost $780,000, with $306,960 coming from the operating budget and $473,040 from a street improvement program grant; $1.2 million will be spent on a truck route project with $181,080 from operating budget and the remainder from grants and reserve.
Council also hopes to implement a matching grant program to encourage property owners to reinvest in their existing buildings.
Also slated is $42,500 to complete the construction of the public works shop, and $6,000 towards building repairs for the fire hall.
Water and sewer rates will also go up from $1.62 to $1.72. The 13 cent per cubic metre increase will head into a $500,000 reserve for future additional costs to be incurred with the regional water and sewer commissions.
“… In three years we’ll be hit with a big bill and hopefully this will give us a couple of years to ramp up to it,” said Romane of the increase.
The $6.7 capital budget includes the continuation of a number of programs and development including $28,000 from cash in lieu reserves for construction of a park in the Hazelwood development area, continued work on the sewer lining project, trail development and upgrades and the installation of new water meters.
