MINTO - Budget season is in full gear as the Town of Minto faces a 2.2 per cent property tax increase.
“The proposed levy increase is 2.2 per cent. If the county draft increase of two per cent was applied equally to all assessment classes and if there was no change to the provincially-set education rates, then the blended tax rate increase would be 1.7 per cent,” wrote Gordon Duff, treasury and deputy CAO for the town, in an email.
“These variables will not be determined for a few months. The Minto component of this increase would be 0.85 per cent.”
Council held its first operating budget meeting on Tuesday night, with a proposed total operating budget of $5.7 million for 2022.
Last year, the approved budget was $4.7 million, resulting in a 2.2 per cent increase.
“Assuming the average single family dwelling is assessed at $242,000, in this case, however, the exact number is not yet known, then there would be an overall tax increase of $24.65,” stated Duff in the email.
“The dollar impact per $100,000 of assessment works out to $10.81.”
Ontario Municipal Partnership Fund (OMPF) allocation for 2022 is $1,525,500, which is the province's main general assistance grant to municipalities.
The program primarily supports northern and rural municipalities across the province. Its objectives are to recognize the challenges of northern and rural municipalities, while targeting funding to those with more challenging fiscal circumstances; support areas with limited property assessment; and assist municipalities that are adjusting to year-over-year funding changes.
“OMPF increased to $5,000, which is good because we can use that for other projects and we can talk more about where we can allocate it,” said Duff.
Meanwhile, the Ontario Community Infrastructure Fund (OCIF) is still not known; Duff noted that he received word that it would be doubled in the next five years. Last year’s funding was $506,543.
Duff presented the operating budget at the council meeting on Tuesday, explaining the impact of the different tax supported departments with the budget.
The breakdown includes administration, economic development, building and planning services, fire and emergency services, community services, public works, non-departmental.
Public works take up the most from the proposed 2022 budget with $2.1 million, while administration takes second place with a proposed $1.6 million.
“We have the compensation adjustments as well as the long-term borrowing payments for the larger capital projects in the roads administration, which is why it’s budget is at $1 million,” said Mike McIsaac, roads and drainage manager for the town, during the meeting.
Duff also noted that there will be an increase of 1.8 per cent in the budget for the trailer parks in Palmerston, which means that rent for those land usage will also increase.
Tax supported reserves contributions for each department totalled up to $698,500, with the fire administration receiving the majority of it at the cost at $240,000.
“Our reserve contributions fund to operating reserve funds have increased almost $72,000 this year,” said Duff. “A lot of it goes directly back into capital for funding projects; we want to keep that as high as we can without putting too large of a tax increase.”
The second budget meeting will be held on Nov. 30, which will go over the operating budgets changes and updates, and the capital budget discussions. The budget open house will be on Dec. 14 from 5 to 6:30 p.m.
