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Post by Max on Mar 10, 2007 16:48:44 GMT -3
City taxes to rise by 3.6% in '07; Growth in assessment, cut in roads levy limits increase
Denis St. Pierre
Local News - Thursday, March 08, 2007 @ 12:00
Property taxes will increase by 3.6 per cent this year in Greater Sudbury and the municipal budget will grow to $485 million, city council has decided.
The owner of a home with an assessed value of $120,000 will pay an additional $80 in taxes this year, for a total tax bill of $2,300. The owner of a $180,000 home will pay $120 more, for a total tax bill of $3,449 after council approved its 2007 budget Wednesday.
The average homeowner also will pay 4.9 per cent more in water/sewer rates this year, bringing the typical water bill above $1,000. As a result, the combination of taxes and water rates for the average homeowner in Greater Sudbury will rise to about $3,300.
In 2006, combined taxes and water rates amounted to an average of $2,985.
Based on projected growth rates, another milestone will be reached next year, when the city budget is expected to exceed $500 million. Total spending in 2006 was budgeted at $455 million but reached $464 million by year's end.
The budget adopted by council Wednesday will see the municipal property tax levy increase from $156 million in 2006 to $164.
4 million. That is a total 5.3-per-cent increase in property tax revenues that will be collected by the city this year.
However, new development and the new tax assessment it generates will account for a 1.1-per-cent increase in tax revenue collected by the city. That allows the city to reduce the tax hike to 4.2 per cent.
The average homeowner's tax hike will be reduced further by another factor outside council's control - a reduction in the city's share of provincial education taxes this year. (About 15 per cent of a Greater Sudbury homeowner's tax bill goes to fund the education system).
As a result of the change in the education portion of the tax bill, the average homeowner's overall taxes will rise by 3.6 per cent this year.
The 2007 budget also will see the city collect more than $81 million in user fees this year - an increase of eight per cent or about $6 million.
City council, which faced a 5.3-per-cent tax hike at the beginning of its budget deliberations, cut the budget in large part by almost eliminating a special 2.3-per-cent tax levy that was imposed in recent years to increase spending on roads.
If council had again imposed the levy, it would have raised an additional $3.6 million for infrastructure work. Instead, council decided to retain only a 0.5-per-cent capital levy, which will raise about $780,000.
Despite the near-absence of the capital levy, the city still has $32 million for road work this year, not far off last year's record total of $35 million, noted Ward 8 Coun. Ted Callaghan, who chaired the budget deliberations.
"We're spending $32 million on roads this year. We are not dropping our commitment to roads," said Callaghan, who also noted additional roads funding still could come from the provincial and/or federal governments.
The budget and associated tax hike were passed unanimously by council Wednesday.
"We managed to keep the tax increase below four per cent and at the same time we're able to deliver the same services, with some enhancement," Mayor John Rodriguez said.
BUDGET FACTS
The actual increase in property taxes is 5.3-per-cent, but new development and the new tax assessment it generates will account for a 1.1-per-cent increase in tax revenue collected by the city. That allows the city to reduce the tax hike to 4.2 per cent.
The average homeowner's tax hike will be reduced further by another factor outside council's control - a reduction in the city's share of education taxes.
The owner of a home with an assessed value of $120,000 will pay an additional $80 in taxes this year
The 2007 budget also will see the city collect more than $81 million in user fees this year - an increase of 8%.
Total spending in 2006 was budgeted at $455 million but reached $464 million by year's end.
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Post by Max on Mar 13, 2007 21:08:40 GMT -3
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Post by Max on Mar 13, 2007 21:12:01 GMT -3
Kitchener Tax reduction. www.kitchener.ca/city_hall/budget_2007.htm#2006_reductionThe City’s 2005 surplus was larger than expected, and City Council decided to give some of it back to taxpayers. Provincial legislation does not allow the City to issue a rebate cheque to residents. So instead, Council reduced the tax rate an equivalent amount on a one-time basis in 2006. From the very beginning the City has been clear and upfront about the one-time nature of this reduction. However, we know that this one-time tax reduction can be confusing. Check out the attached pdf to help you think of it another way. In the example outlined on the pdf below, the cost goes back to what it was before the rebate, but that does not mean the original savings are being "paid back" or "clawed back." For 2007 City taxes, we are simply returning to the same level as before the one-time reduction. |
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Post by Max on Mar 13, 2007 21:18:18 GMT -3
Ottawa Zero tax increase -- 46.7 million in sustainable reductions and budget reduction www.ottawa.ca/city_hall/budget/budget_2007/index_en.htmlOn February 26, 2007, Ottawa City Council approved the 2007 Operating and Capital Budgets with a zero percent property tax increase for all City services with the exception of Ottawa Police Services. The City’s total operating budget for 2007 is $2.2 billion and the capital budget (without police) is $651 million. There is a 0.3% tax increase required to fund the operating requirements of Ottawa Police Services as directed by the Police Services Board. As part of the budget, Council approved $46.7 million in sustainable reductions and budget reduction targets to the operating budget, as proposed by staff. |
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Post by Max on Mar 13, 2007 21:20:58 GMT -3
Windsor produced 18 million $ in saving.
London has a 2.51 percent tax increase.
Guelph has a 4.3 percent tax increase but only an 18 $ a year increase in water rates.
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Post by max on Apr 10, 2007 14:11:04 GMT -3
Revenue up more than inflation rate; City gets more funding from its major sources www.thesudburystar.com/webapp/sitepages/content.asp?contentid=480098&catname=Local%20News&classif=Denis St. Pierre Local News - Tuesday, April 10, 2007 @ 11:00 It is difficult to argue with Greater Sudbury city council - and its counterparts across the country - that municipalities need better financing arrangements with senior levels of government. If provinces can decry a so-called fiscal imbalance weighted in favour of a cash-rich federal government, municipalities believe they have a similar case for being short-changed by their provincial masters. Particularly in light of a provincial "downloading" of service delivery during the 1990s and early part of this decade, when funding increases did not compensate for added responsibilities foisted on municipal governments. But that argument can only be taken so far, given senior levels of government have begun to recognize the problem and have boosted funding to municipalities, albeit at a pace much too slow for civic leaders. The aforementioned facts have been used consistently by our municipal leaders to justify the property tax hikes and user fee increases they've imposed annually on hapless city residents, most recently with the 2007 budget. Whether those increases have indeed been justified remains open for debate. What can be quantified is how the city's revenues and expenses have increased over the last four years - roughly the period in which the municipal funding picture has begun to brighten somewhat. The 2007 budget approved by council last month features a 3.6-per-cent tax hike, an eight-per-cent boost in user fee revenue and a 4.5-per-cent increase in total spending. For starters, the 3.6-per-cent tax hike is somewhat deceiving. In fact, the city expects to receive 5.3 per cent - or $8.4 million - more in tax revenue this year compared to 2006. The official tax increase is pegged at 3.6 due to a couple of serendipitous factors - new development and the new tax assessment it generates, as well as a reduction in the city's share of provincial education taxes this year (15 per cent of a homeowner's tax bill goes to fund the education system). The eight-per-cent boost in user fee revenues will bring in a total of $81.4 million to the city this year - $6 million more than in 2006. Funding from senior levels of government and other revenues sources will bring in another $240 million or so, about $10 million more than last year. That all adds up to total spending of $485 million - a $21-million increase over the 2006 total of $464 million. Therefore, over a four-year period (since 2003), the city's total annual spending has increased by 12 per cent, while its three main revenue sources have risen by 26 per cent - easily more than double the rate of inflation. The increase in major revenue sources since 2003 breaks down as follows: a 25-per-cent hike in provincial grants, 28-per-cent more in property taxes and a 27-per-cent increase in user fee revenues. What this means, among other things, is that the city is getting $93 million more this year from its three major revenue sources than it did in 2003. Just a little something for council to consider in a few short months when it commences deliberations on the 2008 municipal budget. Interested More sources connected to city hall and the Sudbury Wolves have come forward to confirm last week's report in this space that our local Ontario Hockey League club is interested in buying one of our most-venerable public assets. "You're right on the mark," a senior municipal source said of the previous report of pleasantries between the city and Wolves over a multimillion-dollar sale of 'The Arena.' City council would be compelled to consider a sale of the money-losing arena, if the price was right, several sources say. Proceeds from the sale could assure city council's success in achieving one of its major goals for this term - getting a multi-pad arena/sports complex built, they say. Preliminary discussions have resulted in reports that the Wolves initially floated a ballpark purchase price in the $8-million range. That won't cut it, city sources say, although they admit they don't know exactly what the arena is worth. "We would need to have a reliable appraisal done, then see what their (Wolves') offer is," said one city hall source. For his part, Wolves president Mark Burgess said he was too engrossed by his club's remarkable playoff run to comment on the arena story. "I'm watching my team play tonight," Burgess said when reached at his home, shortly after the start of Game 3 between the Wolves and Colts. "I'm really enjoying the game; I don't have any time for you tonight. Put in the paper that I'm watching the game and I didn't have time to speak with you. OK?" |
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Post by max on Apr 13, 2007 15:33:39 GMT -3
The Soo - 2.83 percent increase.
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Post by Max on Apr 24, 2007 16:59:39 GMT -3
Toronto. 3.8 percent increase.
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Post by Max on Oct 23, 2007 5:08:55 GMT -3
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Post by Max on Nov 14, 2007 15:27:45 GMT -3
Building boom overflows city's coffers; But some departments registered deficits
Posted By Denis St. Pierre
Posted 4 hours ago
Increased tax dollars from a strong local economy, combined with extra funding from senior governments will help the City of Greater Sudbury achieve a budget surplus of nearly $4 million this year.
As of the end of September, the municipality was on course for a $3.8-million surplus, according to a municipal staff report prepared for city council.
Property taxes are expected to be $1.57 million higher than expected this year, as a result of a development boom that exceeded expectations, the report states.
"Continued strong building activity has been the main reason" for the increase in local tax dollars, it states.
The city's 2007 budget was based on the collection of $171.25 million in local taxes. That is expected to reach $172.82 million by year's end.
Savings in social programs and other services funded in part by the province are expected to produce a surplus of $1.66 million in provincial grants and subsidies this year, the city report states.
The Greater Sudbury Police Service has been doing its part to contribute to the budget surplus, by handing out a lot more traffic tickets than expected.
The city will collect $250,000 in unexpected revenue "as a result of the police services issuing more tickets" this year, the report states.
"The Greater Sudbury Police Service is conducting an ongoing implementation of initiatives and strategies with community partners, intended to proactively enhance road safety in the community," it notes. "These efforts include public awareness and education, as well as increased enforcement to specifically address aggressive driving in Greater Sudbury.
"This is resulting in ... revenues exceeding budget."
On the deficit side of the city budget, the spectre of global warming arises in the analysis of increased costs for park maintenance.
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"The longer summer and fall season has necessitated the need for more grass cutting and other parks function, resulting in net overexpenditures of approximately $270,000," the city report states. Combined with increased costs due to aging facilities and infrastructure, parks and recreation expenses are projected to be exceed budget by $550,000.
"Lack of capital dollars to upgrade deteriorating infrastructure has resulted in additional maintenance costs required to maintain recreational facilities," the report states.
The second-largest deficit item is a projected overexpenditure of $540,000 in the human resources division, the city report states. The increase is due largely to higher payroll costs stemming from job evaluations required under collective bargaining agreements between the city and its unionized employees, the report says.
Unless city council decides otherwise, the budget surplus will be divided into two reserve funds.
The projected $3.8-million surplus represents 0.8 per cent of the city's $486-million operating budget for 2007.
Last year, the city realized a modest budget surplus of $1.5 million, or about 0.3 per cent of the overall budget.
In 2005, however, the city enjoyed $9 million in surplus funds, prompting the council of the day to spend one-third of that amount, or $3 million, on various programs and services.
dstpierre@thesudburystar.com
Surpluses and deficits
A $3.8-million budget surplus is projected this year for the City of Greater Sudbury. Here is a breakdown of projected surpluses and/or deficits from individual departments and cost centres:
Surpluses
Grants and other subsidies $1.66 million
Property taxes $1.57 million
Ontario Works (social assistance) $500,000
Housing services $450,000
Pioneer Manor $400,000
Emergency medical services $380,000
Administrative services $270,000
Solid waste management $200,000
Deficits
Leisure and recreation services $550,000
Human resources $540,000
Fire services $320,000
Handi-Transit $200,000
Miscellaneous $10,000
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Post by Max on Nov 28, 2007 17:05:06 GMT -3
Draft budget estimates tax hike at 4.7%; Spending on roads likely to dip next year to $30 million from $32 million
Posted By Denis St. Pierre
Posted 6 hours ago
Greater Sudbury residents are facing a property tax increase in the five-per-cent range in 2008, suggests a draft budget presented to city council Tuesday.
The draft budget calls for a 4.7-per-cent tax hike next year and total spending of $508 million. That compares to the city's 2007 operating budget of $480 million. The average property tax increase this year was 3.6 per cent.
The city's 2008 draft budget actually calls for a tax increase of 2.4 per cent to maintain existing services and programs. But the document also factors in a discretionary, 2.3-per-cent capital levy, for a total proposed increase of 4.7 per cent.
The 2.3-per-cent capital levy was introduced three years ago to increase spending on roads and other municipal infrastructure. In only two years, the special levy added several million dollars to the city's budget for road upgrading and other projects.
However, earlier this year council abandoned the previous commitment to the capital levy, reducing it from the initial 2.3-per-cent target to only 0.5 per cent for 2007.
The reduction was made to keep the overall tax hike in check, at 3.6 per cent.
As result, spending on road upgrading decreased from $35 million in 2006 to $32 million this year. That is expected to drop again this year, to between $28 million and $30 million.
The 4.7-per-cent tax hike proposed in the city's 2008 budget would translate into an additional $145 in taxes for the owner of an average home, valued at $180,000. That projection does not include the cost of pending increases in water and sewer rates, which will be determined by council in coming days.
Although a 4.7-per-cent tax increase is not etched in stone, at first glance it appears reasonable compared to the situation in many richer southern Ontario cities, where taxes are rising by eight to 10 per cent, said Ward 8 Coun. Ted Callaghan.
There is no appetite on council for anything approaching those types of increases, said Callaghan, chairman of city council's finance committee.
"In this community, anything over five or six per cent, it's a real challenge," he said.
Mayor John Rodriguez said he believes most taxpayers will find the city's budget projections acceptable, pending further debate on improvements to services and programs.
"I think that if you can come in at 2.4-per-cent on the regular budget, and then look at the 2.3-per-cent capital levy ... I think most people would think that's acceptable, considering all the challenges we're faced with," Rodriguez said following Tuesday's budget meeting.
"But we also have to take at look at the enhancements, to see what we can afford to do, over and above what we're already providing."
Rodriguez and several councillors also took turns bemoaning the rising costs of maintaining and replacing municipal infrastructure, without adequate support from the senior levels of government.
City council has scheduled another three meetings to debate the 2008 draft budget before adopting a final document on Dec. 10.
While generally maintaining service levels, the draft budget also features about $800,000 in service enhancements, which accounts for about 0.5 per cent on the projected tax hike.
However, before the budget is adopted, council still must deal with some $20 million in additional service improvements that have been proposed throughout the year by councillors and city staff. The costs of those improvements have not been factored into the draft.
A number of councillors suggested Tuesday they will be unwilling to approve most of the proposed enhancements because they would raise the projected tax hike.
The tax levy would rise by one per cent for each additional expenditure of $1.64 million approved by council. Therefore, $20 million in proposed enhancements would represent a further increase of 12 per cent on the tax bill.
The $508-million operating budget projected for next year means the city's total spending would increase by more than $28 million, or nearly six per cent.
However, the projected tax hike is limited to 4.7 per cent due to increases in senior government funding, higher user fees and a local building boom that is generating new property tax revenue.
In fact, new development is projected to translate into a 1.7-per-cent increase in property taxes collected by the city next year - a windfall of about $2.8 million.
That means total property taxes collected by the city would rise by 6.4 per cent from the combination of new development and the projected 4.7-per-cent general tax hike.
The 6.4-per-cent increase in total tax revenue in 2008 would raise nearly $175 million next year, or $10.4 million more than the $164.4 million from this year's budget.
The city's 2008 budget also will require funding increases to three arms-length agencies - the Greater Sudbury Police Service, Sudbury and District Health Unit and the Nickel District Conservation Authority.
The city's funds roughly 96 per cent of the police service's budget, which will rise 4.8 per cent to $40.7 million next year, compared to just under $39 million this year.
City council's next budget meeting is Monday at 3:30 p.m. at Tom Davies Square.
Budget
Highlights of the City of Greater Sudbury's 2008 draft budget, unveiled Tuesday:
Total spending: $508 million ($480 million in '07);
Projected tax increase: 4.7 per cent;
Local property tax levy: $174.8 million ($164.4 million in '07);
Roads upgrading budget (capital): $28 million ($32 million in '07); User fee revenues: $84.9 million ($81.5 million in '07);
Provincial grants: $210 million ($197 million in '07).
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Post by Max on Jan 30, 2008 21:40:50 GMT -3
Sudbury The 4.7-per-cent tax hike proposed in the city's 2008 budget would translate into an additional $145 in taxes for the owner of an average home, valued at $180,000.Toronto As first reported by the Star on Saturday, officials are projecting a 3.75 per cent tax hike for homeowners. That means about $81 more per year for the owner of a home assessed at the city average of $370,000.www.thestar.com/article/298083Toronto Property tax to rise 3.75% Jan 28, 2008 10:40 AM Jim Byers CITY HALL BUREAU More money for bus routes, improved tree maintenance, new waterfront parks and a 3.75% property tax hike for homeowners are among the highlights unveiled today of Toronto’s proposed $8.2 billion operating budget for 2008. For the first time since Toronto’s suburbs were amalgamated into a single city in 1998, the city’s politicians presented a balanced budget at the start of their budget procedure, rather than announcing a shortfall and then going through a very public scramble for more money. Mayor David Miller said that balance was achieved because the city found $116 million in internal savings, implemented a new land transfer tax worth tens of millions of dollars, and received $149 million from the province to help with Toronto Transit Commission costs. As first reported by the Star on Saturday, officials are projecting a 3.75 per cent tax hike for homeowners. That means about $81 more per year for the owner of a home assessed at the city average of $370,000. As per city policy, non-residential property taxes would rise 1.25 per cent. “This budget allows us to start to make the kinds of investments Torontonians want and deserve,” Miller said. “As a government, we have made difficult decisions over the past several months and are now starting to turn the corner.” “We’re in better financial shape than we’ve ever been” since amalgamation, said city councillor and budget chief Shelley Carroll. Members of the public can learn more about the budget by visiting the city’s website, www.toronto.ca. City council’s budget committee will begin its review of the operating budget on Feb. 4, and members of the public can have their say at a meeting on Feb. 5. “Love it or hate it, we want to hear from the entire community,” Carroll said. Miller has pledged to bring in tax hikes that are “in line” with the rate of inflation. Recent figures show the inflation rate in Toronto in December was 2.4 per cent. The city’s tax hike would be more than 50 per cent higher than that, but Miller insisted he’s keeping his promise and called the increase a “modest” one. “To me, four per cent should be a starting point,” said Councillor Denzil Minnan-Wong, a frequent critic of Miller. “We should be working backwards from that figure to find more savings.” Minnan-Wong said the major reason for a balanced budget is the TTC bailout from Queen’s Park, not hard work by the mayor and his allies. Kevin Gaudet, spokesperson for the Canadian Taxpayers Federation, said the 3.75 per cent hike is far too high. “It's almost double the rate of inflation,” Gaudet said. “I don't think anybody in their right minds suggest that's in line with inflation. He clearly broke his campaign promise to keep property taxes at the rate of inflation. “He promised to do it and he didn’t.” Education taxes are set by school boards and are not included in the city’s tax figures. |
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Post by aaa11 on Sept 22, 2008 22:47:01 GMT -3
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