The tax rate hasn't been set yet but the Penhold municipal budget for 2012 is actually approximately $170,000 less than the 2011 budget.
Town council passed the 2012 operating budget during its Jan. 23 meeting. The proposed budget came in at $5,818,766 for 2012 versus $5,989,120 in 2011.
"It's difficult to actually set the tax rates," said Rick Binnendyk, chief administrative officer for Penhold. He said until the school requisition amount is decided by the province municipal tax rates can't be set.
Binnendyk told council money for the economic development budget was added in.
The motion to approve the budget was passed with all councillors except Chad Hoffman voting in favour of approval.
In a later interview, Mayor Dennis Cooper noted taxes did not go up last year in Penhold. He said council wants to keep the town affordable using what he called "low-tax thinking."
"We're trying to be as conservative as possible," he said. He acknowledged that "no increase for a very long time is also dangerous" as it can lead to infrastructure problems.
Cooper said council said no to some of the capital purchases suggested by administration.
"We have to think of that homeowner," he said.
Council has put aside money to start to address the flooding problems in the community caused by heavy rain, Cooper said. Binnendyk said $60,000 was earmarked to pay for an infrastructure study initiated in 2011 that will come back to council in 2012. Some of the $60,000 might be used for a capital project, he said.
Other new endeavours include the economic development project to try and attract more business to the community.
"We're putting more push on that," Cooper said. "People are wanting more services in town."
Increasing the commercial tax base would also be beneficial, he said.
Both the mayor and councillors worked hard on the budget according to the mayor.
"I'm pretty pleased with the budget," Cooper said.
Town council isn't totally done with 2012 budgets. Binnendyk said a capital budget would be passed in the early spring after the school requisitions have been received.
"They affect all our budgets," he said. "We try to evaluate things."
