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www.oakvillebeaver.com · OAKVILLE BEAVER Wednesday, November 18, 2009 · 4 Town's growth may reduce property tax increase By Kim Arnott SPECIAL TO THE BEAVER A week after suggesting that Oakville taxpayers could see a property tax hike of about 2.1 per cent, the Town is now estimating that increase might actually be closer to 1.6 per cent. And that's without making a single budget cut. Preliminary numbers from the Municipal Property Assessment Corporation (MPAC) -- the provincial agency responsible for undertaking property assessment in Ontario -- had led the Town to budget for assessment growth of one per cent. However, newer numbers from the agency are now suggesting that growth -- which relates to new properties being added to the tax rolls -- will actually be about 2.6 per cent, said Nancy Sully, the Town's senior manager of financial planning and policy. While new growth is more often criticized than lauded in Oakville, in this case it means the Town's plan to increase its overall spending by about 4.3 per cent won't translate into an increase of that magnitude for existing taxpayers. The proposed tax hike would now amount to ALL-INCLUSIVE MEMBERSHIP Look for our FREE Swim or Adult Work Out Pass offer in this paper! ACTIVE KIDS PROGRAMS WHILE YOU WORK OUT! JOIN NOW! 905-845-3417 R 410 Rebecca St., Oakville, ON L6K 1K7 E-mail: customerservice@oakville.ymca.ca about $16.58 per $100,000 of assessment. That means a home assessed at $400,000 would pay an additional $66.32 a year in property taxes. On Thursday night, the Town's Budget Committee held its first evening for public comment on the 2010 budget. Attendance was sparse, with only two delegations on the agenda to address the proposed budget. Representatives from the Oakville Public Library Board took the opportunity to urge councillors not to make additional cuts to the budget that could impact staffing and collections at local library branches. With library use increasing, branches are already seeing longer wait times for popular materials and programs, said library board chair Anna Larson. Describing library staff and collection budgets as "stretched," and service as "at a crossroads," Larson added, "Cutting library service at this time will not serve residents well." While the proposed 2010 operating budget of $205.5 million does not suggest cuts to library service, Larson was responding to a list of potential "reduction scenarios" that have been provided to the committee should it wish to pare the tax increase. Those reductions -- totalling $3.2 million -- are not being recommended by Town staff, noted Sully. "We're not recommending them, but if the budget committee wants to reduce it further, these are options they can consider," she said. Along with cuts to library service, staff has suggested the committee could consider eliminating bus service on statutory holidays, closing outdoor pools, reducing the frequency of park maintenance, cutting the number of crossing guards, eliminating various grants and increasing user fees. The budget committee also heard from resident Brian Hopkins, who noted that the population of Oakville has grown 13.4 per cent since 2005, but the Town's operating costs have risen 51 per cent. He urged councillors to cut spending on administration and capital projects like road construction, so it can afford to spend more on important services like tree pruning and public transit. He urged the committee to avoid cutting transit service or raising fares during difficult economic times that see more people relying on the service. "I think we should view funding for transit as an investment rather than an expenditure," he said, noting that taxpayers subsidize road use, but don't expect drivers to deposit cash in a fare box before backing out of their driveways. Along with its operating budget, the Town is considering a $118 million capital budget that includes money for road works, recreation facilities, a new police building and a new transit facility. Complete details of the proposed operating and capital budgets are available on the Town's website (www.oakville.ca). 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