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Regional chair wants tax freeze Move would save $14 for average homeowner By Tim Foran METROLAND WEST MEDIA GROUP In an unusual move, Halton regional chair Gary Carr sent out a press release this week calling for council to support an across-the-board property tax freeze in 2010 for regional services at its April 1 meeting. "We believe there should be a freeze during these tough economic times," explained Carr, noting a recovery from the current recession is not anticipated until next year. Asked why a press release was sent out announcing his motion, Carr said he is hoping for public feedback on his proposal. The dollar impact of a freeze for property taxpayers would not be major, he admitted. If this year's increase of 1.7 per cent for regional services had instead been zero, it would have saved the average $300,000 household about $14 in taxes. "I think it would still have an impact on people," said Carr. While the reduction might not be much to property taxpayers, the cumula- Halton Regional Chair Gary Carr tive impact for the Region is far higher. Cutting that 1.7 per cent in this year's budget would have equated to a $3.89 million reduction in regional services, which include road repairs, waste collection, and health and social services programs. Tax hikes for those services have been generally low this decade, with increases averaging 1.1 per cent annually over the past eight years. However, Carr's proposed tax freeze would not apply to the two largest drivers of regional cost increases, police services and the water bill. Taxes to pay for police services -- covered by the region's approximately 36 per cent share of the property tax bill -- increased 3.4 per cent this year and have increased close to 6 per cent annually over the past eight years. The police budget is passed by the police services board, which is made up of citizens along with Carr and Regional Councillor Colin Best. The board forecasts a 4.5 per cent hike in 2010. Residents and businesses pay for regional water and wastewater services on their water bills, not property taxes. Those bills are included in the mail with the bills from the various municipal hydro utilities. The Region's 2009 budget included a 6.7 per cent hike in water rates, or an extra $50 for the average water user. Rates have increased about 7 per cent annually over the past eight years and regional staff forecast a 6.8 per cent hike in water rates in 2010. Carr said regional council would be examining water rates later this spring. If council approves Carr's motion, staff would examine what cuts are necessary to make the freeze happen. Staff had previously forecast a 2.5 per cent increase in property taxes for regional services for 2010, assuming a 2.5 increase in assessment growth. 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