Rebuilt in the aftermath of the F3 tornado that ripped through Goderich on Aug. 21, 2011 is just one challenge the town will face as it considers the 2013 budget.
HEATHER BOA Bullet News GODERICH – Town of Goderich council will need to find $1.1 million in order to balance its draft 2013 budget, which its administrator calls “one of the most difficult” he’s seen in his career.
“Obviously council has made the decision, and right so, through the master plan, to bring our community back to normal,” Larry McCabe told council at the first public meeting to review the budget. He said along with challenges as a result of rebuilding in the aftermath of the F3 tornado, there is also capital and operational work to be done.
“Can it be zero [increase]? That’s what’s always asked. I went through the budget in detail. I don’t see how to do that with the factors we’ve indicated,” he said.
The budget relies on $6.56 million raised through municipal taxes, which is the same amount raised in 2012. It does not include the County of Huron, education or conservation authority levies, which are traditionally finalized in the first quarter. In order to make revenue and expenditures the same, it will need to find $1 million in income or savings.
The town’s treasurer, Judy Kay, walked council through the highlights of the budget, including:
- An estimated two per cent increase in property tax assessment as a result of MPAC’s province-wide four-year re-assessment means the average residential assessment will rise from $191,933 to approximately $196,280. Every one per cent tax increase will cost the average residential assessment about $17.50.
- Overall, a one per cent increase in taxes will raise approximately $65,000.
- The accumulated surplus or deficit from the 2012 budget is not included in the 2013 budget. It’s not expected to be finalized until February.
- $300,370 will be transferred to the F3 Infrastructure Reserve Fund to pay for recovery and rebuilding on The Square as per the master plan as a result of the tornado in August 2011. Council approved spending this summer of about $2.5 million to rebuild Court House Park, although in late August the town’s engineer, Bruce Potter, of B.M. Ross and Associates, brought in an estimate that boosted the cost to about $3.08 million.
- A $4.8 million connection link capital project at three town roads that connect provincial roadways: Bayfield Road from Britannia to the south limit of town; Britannia Road from Bayfield Road to Victoria Street; and Victoria Street from the five-point stop lights at Elgin Road to Britannia Road. The project includes road, watermain and sanitary sewer reconstruction, and some lighting. It relies on a $697,060 provincial grant received a number of years ago, a $236,040 tax levy, with the remainder funded by water and sewer charges. It may be possible to use a share of money from gas taxes that the province gives to municipalities for public transit projects.
- 7th payment of $100,000 in a $1-million commitment to the CT scanner at the Alexandra Marine and General Hospital.
Council reserved a line-by-line discussion for the next budget session on Jan. 8. It is expected to finalize the budget in spring 2013.
3 Comments on "Goderich’s draft 2013 budget influenced by numerous challenges"
This is not encouraging at all! I’m not a mathematician but when the well dries up in a community where many are on fixed incomes or working at minimum wage jobs it’s not at all clear how we’re going to do more with less.
Do we as taxpayers even know that the money that we loan the town to spend, our money, is being spent wisely? I’m not so sure.
Maybe it is time to reassess the money our harbour brings in, and start asking is it being spent wisely.
For those that wish a zero per cent increase in taxes, then you must be prepared to accept zero increase in your wages or whatever means you have of getting money for your services or our Town can reduce services and staff. . .
The economy of our Town is at an all-time low and to restart the economic engine will take some forward thinking and application.
What we really need here to restart the engine is public input before the fact and I suggest some wide open, freewheeling discussion as to how we will accomplish this. We also need a long-term plan i.e. two years 5 years and 10 years. Mayor and Council just cannot continue to grasp at straws in the hope one will grow.