Town councillors have passed the 2012 operating and capital budgets.
The operating budget calls for total expenditures of $2,546,972 in 2012, up from last year's total of $2,406,354, while the capital budget calls for expenditures totalling $6,825,200, including $2.4 million on the riverbank stabilization project.
Although the final tax rates will not be set until April, the estimated residential tax rate increase will be 6.04 per cent, the commercial rate increase will be 8.35 per cent, and the commercial vacant rate will decrease by 11.11 per cent.
ìWe initially did start off considering a 20 per cent increase in taxes,î said Mayor Annette Clews. ìI think the number we ended up cutting from reserves alone was over half a million dollars. That's what we cut out of the budget to help get the rate lower.
ìThe budget that we passed should not see any reduction in services. We felt it was very important to maintain the level of services we have.î
Operating budget expenditures this year include $430,870 for corporate services, up from $387,497 last year; $100,783 for bylaw enforcement, up from $66,500 last year; $179,306 for fire department, up from $105,237 last year; $661,853 for roads, up from $650,072 last year; $178,898 for development, up from $170,917 last year; and $127,713 for economic development, up from $109,269 last year.
Other expenditures include $115,334 for the arena, up from $99,215 last year; $355,598 for parks, down from $361,741 last year; and $114,398 for library, up from $108,679 last year.
The operating budget includes a cost of living increase of three per cent for all town employees and council.
The capital budget includes $12,000 for a fitness facility/new arena plan, $49,500 for corporate services upgrade (all covered by grant), $20,000 for a new town entrance sign, $151,500 for a breathing apparatus system for fire department, and $65,000 for new fire department vehicle ($25,000 covered by grant).
As well, the capital budget also includes $400,000 for new fire department pumper vehicle (including $200,000 from reserves), $331,500 for roadwork near Sundre Motors, and $3,153,700 for roads, water and wastewater for east side services project ($2,850,477 covered by grant).
ìCouncil was presented the need for $577,725 reserves and set a maximum reserve rate for 2012 at $225,000,î Acting CAO Dave Dubauskas said in a note to council. ìHence, significant cuts were made during budget deliberations with the note that future budgets will require an increase in reserves or amortization expense will need to be charged within the operating budget so that future infrastructure and capital requirements can occur to ensure services levels are maintained.î
Councillors also passed motions regarding distribution of Municipal Sustainability Initiative program grants, which provide long-term funding to ìenhance municipal sustainability and to enable municipalities to meet the demands of growth.î
In 2012 the town is allocating (all covered by MSI grants) $15,750 for GIS software setup, $45,000 for a master infrastructure study, $10,000 for the Chamber of Commerce for visitor information centre operating expenses, and $10,000 for Greenwood Neighbourhood Place operating expenses.
As well, $7,000 goes for community van operating expenses, $49,500 to assist with the purchase of an upgraded financial system, $203,303 to assist with the east side services project, $75,000 to assist with the purchase of an entrance sign on the east side of town.
Councillors also approved new arena rental rates, which include an hourly rate increase for minor hockey/figure skating/fun teams from $64.03 to $70 starting April 1. The senior recreational hockey rate increases from $101.37 to $110 on April 1.
In other town news, the town issued 88 development permits for projects worth a total of $3,245,400 in 2011, down markedly from the 2010 total of 106 permits worth $12,136,962.
In 2011, the town issued 52 building permits for projects worth $46,770. That compares with 43 permits issued worth $9,165 in 2011.
