Total drop of 24.8 percent over 2015 and 2016
CENTRAL MANITOULIN—Council for the municipality of Central Manitoulin has tallied the numbers and passed the draft budget for 2016, reducing the mill rate for the second year in a row. This year’s mill rate, the cost per $1,000 of municipal assessment, will drop by 9.3 percent on top of the 18 percent reduction in last year’s mill rate.
Although the reduction was welcome news for all councillors, with Councillor Derek Stephens pointing out that this year’s reduction brings the two-year drop almost in line with Mayor Richard Stephens’ campaign commitment to reduce the rate by 25 percent in the first two years of his election, Councillor Stephens also voiced concerns over where the savings were found.
“We have taken a lot out of maintenance,” he said. “There is a lot of roadwork that needs to be done. I am just hoping that doesn’t come back to bite us in the butt. I am hoping we are taking the right approach.”
This year’s overall total levy has dropped from 2015’s budgeted $3,941,347 to $3,863,000. Although the total listed expenses in the 2016 budget document indicates that the total expenses for the municipality will rise to $8,787,480.62 next year, up from $8,155,136.93 in 2015, Treasurer Denise Deforge noted that most of the difference is contained in the Union Bridge project. “That will only go ahead if we receive the grants,” she said.
Ms. Deforge cautioned that the figures contained in the 2015 budget documents are unaudited and that the audit is not slated to take place for another four weeks.
“We always round up,” quipped Mayor Stephens in response to a comment by Councillor Stephens who noted how close the 24.84 percent drop in the mill rate was to the mayor’s stated goal of 25 percent.
A last minute adjustment of $5,000 for the community improvement fund appeared to be necessary, as council had been unaware that commitment had already been made when the budget deliberations took place. Council was assured that the shortfall could be made with internal adjustments to the budget.
“One of the several applications were granted their request for tax incentives,” noted Councillor Alex Baran, who noted that the account had appeared to have a $5,000 surplus. “We took it off the budget,” he said, “forgetting we would need to leave that in to have that request covered.”
“It is important that we live up to the commitments we have made,” said Councillor Patricia MacDonald.
CAO Ruth Frawley noted that the commitment was originally made in 2014. “But we didn’t know until the end of the year what that was,” she said.
