HEATHER BOA Bullet News CENTRAL HURON – Despite a quorum, the Municipality of Central Huron’s council asked its finance director to explain five scenarios for its 2013 budget last night.
The councillors who were at the information meeting decided to hold off until its April 2 council meeting to give direction to Terri Taylor to proceed further with any one of the scenarios ranging from no increase to a 7.92 per cent increase to raise the money required to run the municipality’s services and programs and maintain its assets.
“It’s difficult when we have three away to kind of get a feel of where council is,” said Jim Ginn, who is the mayor of Central Huron. The meeting was scheduled to start at 5 p.m., but by 5:30 p.m., four out of eight council members were absent. One more councillor arrived later into the meeting.
Taylor explained that the difference between the five scenarios was the amount set aside for tax stabilization reserve and for roads and bridges reserve. Reserves are like savings accounts, which are used to fund expenses anticipated in the coming years.
She said the consolidated tax bill sent to ratepayers will also be affected by an increased assessment and taxes required by Huron County and the school boards.
At the low end, the first scenario maintains the 2012 budget spending of $5.087 million. However, the increased assessment and taxes set by the county and school boards would result in a total 3.43 decrease on the consolidated tax bill. It puts aside $56,996 to the tax stabilization reserve.
At the high end, the fifth scenario calls for 7.92 per cent increase in spending, bringing it to $5,489,800. However, the increased assessment and taxes set by the county and school boards would result in no increase on the consolidated tax bill. It puts aside $56,996 to the tax stabilization reserve and $402,800 to roads and bridges reserve.
Alison Lobb, who is a councillor, said she would support a 7.92 per cent increase because it could build the reserves for future needs or be used to pay down debt, which would save interest payments in the future.
“I would speak to the one at the other end,” said Coun. Alex Westerhout, supporting a hold on spending by Central Huron.
“We’ve already increased our spending from $4 million to $5 million in the last two years, as far as raising tax dollars. That’s a 25 per cent increase and you want to increase it another 10,” he said. “Just because the assessment goes up doesn’t mean you have to spend money.”
