Wellington North council has approved its 2014 budget with an overall hike of 3.1 per cent – down from a previously proposed 8.9% increase. For an average home assessed at $202,000 the increase means a tax hike of $2.77 for municipal tax purposes.
Council passed the budget at its May 26 meeting without discussion.
For an average home assessed at $202,000 the increase means a tax hike of $2.77 for municipal tax purposes.
The approved budget would represent a $186,900 increase from last year (to $6,241,545).
“The total capital budget for the township is $3,430,000 – of that $1,102,035 is coming from reserves or reserve funds,” stated a township press release. “The township is also transferring $1,646,053 to reserves and reserve funds which includes the federal gas tax of $342,000. The above figures also reflect water and sewer (changes).”
CAO Mike Givens, in an earlier interview with the Advertiser, said the township continues to maintain its reserves in order to be prepared should a capital project receive provincial or federal funding.
Mayor Ray Tout has credited staff with department budget cuts to bring the overall levy increase to 3.1%.
It was a level requested by council when the preliminary budget was first unveiled in mid-March.
The township has also seen a steady decline in its debt – from about $12 million to $7.8 million at the end of this year. Council is looking at paying $1.25 million in principle and interest this year.
Councillor Andy Lennox noted at a previous meeting that the budget still leaves the township short about $1 million in capital work officials hoped to have done.
The levy increase also means a reduction for residents whose properties have not been reassessed.
Resident Scott Hartle asked whether he would see a reduction in the $5,000 he pays in taxes, with no reassessment of his property done.
“For a typical single family home (a property that represents an assessed value at or near the midpoint of assessed value and a per cent change in assessment for the year near the median), assessment increased from $199,000 to $202,000 and township taxes change from $1,077 to $1,080,” CAO Mike Givens said when the budget was discussed at a public meeting in April.
“Total taxes (township, county, education) change from $2,820 to $2,811, based on a 3.1% levy increase from 2013 to 2014.
“The total tax rate is declining from 0.01417105 to 0.01391800, so if your assessment did not increase you will be paying less taxes in 2014. This is for residential properties and does not include streetlights. Most residential properties are increasing in assessment due to phase-in around 2 to 3%.”
A $1-million donation request from Louise Marshall Hospital in Mount Forest, which would be put toward a $5-million fundraising campaign to rebuild the hospital emergency room and ambulatory facilities, is now put on hold.
In a report tabled on Monday evening, Givens said he is looking for the hospital foundation to answer questions before council can consider the request. The township would like the hospital foundation, which is heading up the fundraising effort, to provide answers about how many people are served in the catchment area and how much of the $5-million goal has been raised.
The township also wants to know whether the hospital has a reserve outside the campaign goal, the balance of that reserve and whether any money from the reserve is earmarked for the capital project the hospital is planning.
Township capital projects included in the approved budget include reconstruction of Frederick Street in Arthur (pegged at $772,000), replacement of a plow truck ($240,000), replacement of header pipes for the Arthur community centre ($90,000), replacement of accessible doors at the community centre ($28,000), and $345,000 worth of work to strengthen the structure on the Concession 6 bridge.
