2017-11-29 Parry Sound Budget Meeting Notes
30 Wednesday Nov 2016
Written by parry034 in Budget/Financial, Parry Sound, Reflections
Tags
budget, Capital Investment, economic development, Infrastructure, Opinion, parry sound, Taxes, TOPS Financial Analysis, Town Council
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I noticed that none of you were in attendance yesterday evening at the Town of Parry Sound’s first open budget meeting. If you don’t like the menu perhaps you should spend some time in the kitchen talking to the cook.
The 2017 budget is likely to lead to a 4.5% or so increase in taxes. There are a couple of reasons for this. The first is a normal increase in the cost of existing services, as well as some service enhancements. This accounts for about a 2.5% increase. The second reason is the recommendation of Town Staff to establish a reserve fund for major infrastructure projects. This amounts to a recommended 1.8% increase. A 3.6% figure would be better but seems a bit too steep. The whole issue of infrastructure investment is a major issue in Canada and the USA. You may have heard about President-Elect Trump’s promise to invest $1 Trillion in US infrastructure. The question is where he hopes to find the money. The same infrastructure challenge faces Canada, Ontario and Parry Sound. We are better off than most communities who are facing a 5-8% annual increase in tax rates to make up for their past decisions to forego infrastructure investments in exchange for lower taxes.
It also doesn’t help that the overall assessment of properties has dropped by 3%. This has implications for the tax rate, but not the total levy. It shouldn’t directly ding people in terms of their overall tax bill, except those of you condo dwellers who saw a slight assessment increase. But, that increase in taxes will be phased in over the next four years, so it may not even be noticeable in 2017.
Yes, the general provincial and federal grants have dropped over the years, but that’s not a significant overall budget issue as we have done well in securing infrastructure funding support. They take with one hand but give with the other. Ultimately the higher level governments feel we should be truly self-funded, just as you hope with your kids (eventually), which is why we need to look closely at what facilities and services we are able and willing to pay for, without government handouts. I see that our neighbors want $25 million or so from the province and the feds for an internet infrastructure. They may get it, but if it’s that important why aren’t they funding it themselves? Perhaps they feel it’s critical infrastructure that should be ‘given’ to them. Well I feel the same way about the proposed Waubeek Road reconstruction, and the extension of Great North Road. We need to be prepared to carry the costs of those infrastructure projects we judge as critical and hope that the province agrees and kicks in a portion of the funds, not hope they pay for it all.
There is a clear choice for those of you who feel that taxes are too high in Parry Sound, move to the neighboring communities where property taxes are 25% to 60% lower on assessed value. There are fewer local services and much less infrastructure, but the taxes are lower and you can always drive to Parry Sound for your shopping and services. Don’t worry about the bears, we have them here already. After spending time going over the budget and listening to the presentation and discussion last night I am happy to defend the implications of the draft budget. Sometimes you have to spend more to just stay in the same place.
You may see me get a bit more animated if there is any serious discussion of an aquatic centre in Parry Sound lacking a clear plan of how that expense will not end up on my tax bill. Without considerable regional participation it would add another 5-8% to our tax bills for just operating expenses, plus another 5% for the debenture to cover the cost of construction assuming a reasonable time of facility life term for the debenture, not a thirty year daydream. Town Staff did decide to defer investment in a ‘splash pad’ beyond 2017. Splash pad? This was the suggestion of a councillor no longer on Council, and to date I have never seen a plan for where it might be installed, a firm budget for construction and maintenance, and a plan for how it would be operated (season, time, …). We have enough trouble maintaining a couple of small fountains and we want to operate a splash pad?
Back to the budget, you need to go over it to understand the implications. There are four areas of new discretionary spending that Council has been asked to decide on:
- Recreation programmer.
- Economic development officer.
- Tourism intern.
- Enhanced transfer station service (mostly increased hazardous waste service).
All four have merit. If you have a question or comment about the budget be sure to pass it on to Council. The next meeting, when I expect many of the decisions will be made, is scheduled for December 13th, 6:00 PM in the council chambers. Let Council know what you are thinking and come on down on the 13th to see how budgets are discussed and agreed.
Note: The North Star attended the budget session so I expect they will share some of their observations and thoughts in Friday’s Beacon Star and next week’s North Star. With James King having left Moose-FM is seems they are no longer covering Parry Sound Council events. On the upside there is a proposal before Council to budget $2,500 for audio visual equipment to permit council meetings to be made available over YouTube, including these smaller budget type meetings. That would be an important step forward in ensuring transparency in local government.
Yes, there was much more, but nothing too critical in my opinion. If you want to know what goes on you should attend; admission is free.
And no, there was no mention of the casino project. Better perhaps that werestrict our ‘pipe dreams’ to water services for the near future at least.
Budgets are All About Getting Things to Line Up
No comments
November 30, 2016 at 3:30 pm
It would be fantastic if they would live stream or upload council meeting to YouTube. It would give those interested better access to the decision process as well as adding transparency. Great idea!
November 30, 2016 at 3:37 pm
My sense is that it will get approved. I voiced my support for it last night. The set up probably would be a simple webcam in a corner of the council chambers that would record the proceedings with an audio feed from the table microphones. There wouldn’t be the close up shots as provided by Cogeco, but the audio would be complete.
If you think it’s a good idea send an email to, or speak with, a member of Council. Or contact Trevor Pinn. The more people who voice an opinion the more likely it will get on the budget and implemented. The last regular meeting of council wasn’t broadcast because Cogeco couldn’t be there. That highlights the need for a fail-safe system controlled by the Town, not a supplier.
November 30, 2016 at 8:31 pm
Thank you for the info.
Please remember that Council and staff, when making Budget decisions, are NOT spending their OWN monies, and as a result, possess a whole different mind set when it comes to spending yours and mine. The Economic Development Office has been tried three times and then abolished, the Tourism position is a Joke, as I have previously outlined to you. Please, no more added positions. And the 25% less taxes paid in our adjoining municipalities? That is because you and I provide, and maintain, the ‘urban infrastructure’ that everyone requires, but only we, pay for. This is why the Province should fund a major portion of road renewal, as we are funding the cost of our water and sewage renewal/maintenance @ $116.02 per month. This figure should be considered in our total tax levy too, and if it was, would make it closer to 40% cheaper to live a couple hundred yards from our town border.
Swimming Pool maintenance on top of the Stockey center annual debt burden?
Better off to subsidize swimmers who go the 1 hour drive to Bracebridge. Pay them gas mileage. The cost savings would be enormous.
My daughter lives in New Jersey and a one hour drive for hockey, figure skating, etc., is an everyday expectation. Probably the same in Toronto.
I am toooooooooo old and am toooooooooooo poor healthwise to join in the fight for responsible governance, but am happy that at least one individual has taken the task on. Younare to be commended. Thank you again.
November 30, 2016 at 9:28 pm
To your point about subsidizing the swimmers so they can drive to Bracebridge. My sense is that they aren’t Parry Sound residents, but are our neighbours petitioning Parry Sound Council to build the pool for them because their municipalities are only interested in catering to the high end cottagers who of course have a pool back home.
Parry Sound is operated for the residents, and by extension our ‘neighbours’. The other municipalities, with perhaps the exception of McDougall to cater to the needs of the seasonal residents – low, low taxes and limited interference on what they want to build, wherever they want to build it.
In terms of tax rates for 2014 the tax rates on assess value were:
Parry Sound 1.1%
Seguin 0.35%
Carling 0.37%
So there is much more than a 25% savings, more like 65%.
And they want us to build them a swimming pool. Let’s have some consideration for the Carlingites swimmers in that they have further to drive to Bracebridge than those of us in Parry Sound, and much more than those in Seguin.