City staff is officially recommending that Guelph switch to a four-year cycle in its budget process.
Currently budgets are done on an annual basis.
Under the proposed new model, budgets would be set for four years at a time, but would be reviewed annually.
The recommendation comes to council’s committee of the whole on July 3 for initial discussion and vote.
The switch would be for both the capital and operating budgets and would start in 2020.
Staff has already discussed the switch with councillors. The report says that, generally, councillors were supportive of the move.
“Staff continues to recommend moving to a multi-year budgeting process as it is a powerful financial tool for tying long-term community plans, master plans, reserves, debt, the Corporate Administrative Plan, and Council’s shared agenda into one realistic projection for the future, while providing the taxpayers/residents with greater certainty about the future direction of property taxes and the timing of Council initiatives.”
It also creates staff efficiencies and cost savings, the report adds.
The Municipal Act requires that if a multi-year budget is passed by a council, it has to be reaffirmed in each year.
If City Council decides it’s the way to go, staff would develop policies around that, including what to do in the case of changes in direction, additional financial requests etc.
The report says that the City of Waterloo estimates that collectively there are over 10,000 hours saved during a four-year council term as a result of multi-year budgeting.
Guelph staff spends over 15,000 hours annually doing the city budget.
