Regional councillors unanimously approve 2.6 per cent tax hikeWaterloo Region RecordWATERLOO REGION — Regional politicians added about $45 to the property tax bill of an average homeowner for 2015, with the bulk of the increase due to debt servicing, policing, rapid transit and staff compensation. "Those are the big drivers of our budget are staffing costs and police costs … and so those are ongoing challenges that we need to have a look at on a near- to longer-term kind of basis and we might be able to address some of those things through the service review," Budget Chair Sean Strickland said. A consultant is currently reviewing regional services with a report expected in June. Councillors voted unanimously Wednesday to approve a 2.6 per cent tax hike that will bring an additional $17.9 million into regional coffers this year. The main pressures driving that tax hike got but a blink from politicians who instead spent the majority of the two-hour budget meeting discussing rural ambulance service, rural waste transfer stations and requests from community groups. Regional Chair Ken Seiling said those major costs are seen as already being dealt with and so generally get little attention despite their role in the budget. "I think they've given the once over to the larger projects when they approve projects," Seiling said. The budget drivers: • Politicians approved the continuation of planned tax increases equivalent to 12.9 per cent between 2011 and 2019 for bus expansion and light rail. About $24 million in transit taxes will be collected this year. • Debt servicing will cost the region about $62 million this year. Of that, about $48 million will come from taxpayers. • The region currently has about $634 million in debt. The majority of the debt is for capital infrastructure projects including light rail transit. • The $146-million Waterloo Regional Police budget was also approved, up from $141 million in 2014. Wages and benefits make up about 92 per cent of the budget. Councillors focused their time on consideration of requests for new spending from the community and other politicians around the table. They voted to: • Keep a rural emergency response unit and an ambulance at a cost this year of about $427,000. Staff proposed just converting the rural unit to an ambulance. "What we're doing is we're really lifting the response times for everybody," Seiling said. • Keep the Woolwich and North Dumfries waste transfer stations open every other Saturday until the end of this year, at a cost of about $132,000. Staff proposed they be closed March 31 as planned, after politicians kept the stations alive in the 2014 budget despite a staff-recommended closure. The vote was not unanimous. "I would just like to see this issue resolved once and for all," said Coun. Geoff Lorentz, speaking against the move. "We keep putting it off and putting off." • Grant $45,000 to the Fashion History Museum in Hespeler, $50,000 to Women's Crisis Services of Waterloo Region for Haven House and $200,000 over two years to hospice Innisfree House. The fashion museum approval was a bit of a surprise, after being left out of a budget proposal crafted by the regional committee chairs. "Certainly this is a good example of arts and culture," Coun. Jane Mitchell said. Also approved: • The addition of the Sexual Assault Support Centre of Waterloo Region to a list of service providers the region contracts for counselling and public education services. • The use of $100,000 in provincial funding for children's services to pare down the tax increase • The $3.6 billion, 10-year capital budget which includes $1.2 billion for water and waste water, $899 million for roads and $857 million for transit. Development charges will pay for 30 per cent, debt will pay 21 per cent and property taxes 18 per cent. • About $2 million above the amount required by the province has been built into the budget for so-called discretionary benefits that pay for things like eyeglasses, dental care and food hampers for the poor. • More than $1 million in staff requested new spending. Regional taxes account for about 50 per cent of property tax bills and pay for services including garbage, transit, policing, ambulance service, social services and water and waste water treatment. Council voted to hike water and waste water rates by 4.9 per cent and 7.9 per cent respectively in February, staying on track with a plan to increase water rates up to 45 per cent over 10 years.
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