Budget Committee directs staff to provide options to reduce forecasted tax increase

Monday, June 21, 2010 – for immediate release

Budget Committee directs staff to provide options to reduce forecasted tax increase

Oakville Council’s Budget Committee today directed staff to maximize efficiency and revenues for the 2011 Budget to keep potential property tax increases to the lowest possible amount. Staff is currently forecasting that the 2011 base budget will increase by 8.16 per cent to pay for town services and infrastructure costs.  This amounts to an estimated 3.92 per cent overall tax increase once the projected regional and educational tax requirements are calculated. The Budget Committee has directed staff to find efficiencies that would keep the base budget increase to only 5.7 per cent or a 3 per cent overall property tax increase.

           

“This Council is committed to ensuring local services are delivered effectively and at a reasonable cost to taxpayers,” Mayor Rob Burton said. “Our taxpayers expect value for money and Council’s new performance-based, program-based (PB2) budget process focuses the town on delivering the right level of service to meet the needs of our community.”

The 2010 Budget Committee Chair, Town and Regional Councillor Tom Adams noted that last year, Council successfully reduced the town’s budget increase from 6.5 to 4.5 per cent resulting in a total property tax increase of only 1.6 per cent while enhancing several services such as transit and fire protection.

“This is just the first step in the 2011 budget process,” Councillor Adams noted. “The incoming 2011-2014 Council will work together with staff and the public to identify potential saving opportunities before the budget is finalized next January.”

Nancy Sully, the town’s deputy treasurer and director of Financial Planning noted that the recommended 2011 base budget also includes a one per cent capital levy and a one per cent local infrastructure levy to ensure the town’s infrastructure renewal needs are funded. The one per cent local infrastructure levy is a tax shift from the Region of Halton with no overall cost impact to the taxpayer.

In addition, costs to operate several new facilities including the Sixteen Mile Creek Sports Complex, the new transit facility and the QE Park Community centre are reflected in the proposed increase to the town’s base budget. The impact on the 2011 operating budget for these facilities as well as new parks, roads and other infrastructure equipment is estimated at $2.5 million in 2011.

The town’s budget book will be published early in December after the new Council chooses its 2011 Budget Committee. Budget Committee meetings will take place in December and January, with final Council approval targeted for late January 2011.

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For more information:

Nancy Sully
Deputy Treasurer and Director of Financial Planning
Town of Oakville
905-845-6601, ext. 3143

Gisèle Shaw
Manager, Corporate Communications
Town of Oakville
905-845-6601, ext. 3166


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Original article:

Budget Committee directs staff to provide options to reduce forecasted tax increase