www.oakvillebeaver.com · OAKVILLE BEAVER Wednesday, July 14, 2010 · 10 Regional taxes could rise by 3.1 per cent next year By Kim Arnott SPECIAL TO THE BEAVER Regional taxes could rise by as much as 3.1 per cent next year, according to estimates from Halton staff. Inflation, provincial cost-cutting, a rise in contributions to the employee pension plan and the increased cost of providing services in a growing region will continue to put upward pressure on tax rates, according to staff. With about one-quarter of the Region's revenue coming directly from provincial grants and cost-sharing programs, Halton CAO Pat Moyle expressed nervousness about the future impact of the large provincial deficit on the municipality's income. "It's no secret that the provincial government has a significant financial challenge," he told a meeting of Halton's Budget Review committee on Monday. "I don't think we can expect to see any growth in fact, I think we'll see some cutbacks over the next five to eight years." Changes to the way the province is funding land ambulance services is already expected to cost the region an additional $1 million next year, with the possibility that the province will make those changes retroactive to 2008 and send Halton a bill to recover money the region was paid under the old rules. That news had Halton Hills councillor Clark Somerville fuming over the basic unfairness of changing the rules retroactively, and suggesting municipalities should make a joint protest through the Association of Municipalities of Ontario (AMO). "This is the start of subtle downloading as (the province) starts balancing its budget," he said. After two years of frozen staffing levels, which Moyle described as creating "a very, very difficult challenge," the region may also need to add staff in some departments in the coming year. "It's an issue that's going to have to be addressed, clearly," said Moyle. "Those types of positions that relate to the consequences of growth need to be considered." Along with rising tax rates, residents can also expect to see continued increases in fees for water and wastewater services. Rates are expected to rise by 7.2 per cent this year, with similar increases predicted each year for the next decade. Slower growth in water consumption rates, partly due to new building standards and water conservation programs, are also putting upward pressure on water and wastewater rates, according to staff. The predicted 2011 tax increase of three per cent is based on an expected growth in regional assessment of 2.25 per cent. However, slow growth in non-residential development may make that prediction optimistic, according to the staff report presented to the committee. The Budget Review committee approved a motion directing staff to prepare a 2011 regional budget based on a 3.1 per cent tax increase, but also requested that options be provided that would allow council to reduce the tax increase down to zero per cent if desired. Oakville councillor Tom Adams asked staff to clearly outline the program and service changes resulting from any budget cuts, noting, "I don't support the idea of trying to go to a zero per cent budget again." A regional budget with a zero per cent tax increase was approved in 2010. Halton's tax increase was 2.2 per cent in 2009, and 1.3 per cent in 2008. The motion from the committee will require approval at a meeting of the full Halton council today (Wednesday). The 2011 budget is expected to be considered by members of the newly-elected council next January. · Thorough, consistent and reliable home cleaning · 100% satisfaction guaranteed · Regular and occasional service · Spring Cleaning · Gift Certificates e-mail: anderson@mollymaid.ca www.mollymaid.ca Contact us today for a free, no-obligation, in-home estimate: (905) 681-7484