GORE BAY—The Town of Gore Bay has approved its budget for 2014 which includes a levy increase of 2.4 percent over 2013.
“I think this is a reasonable budget for the town,” stated Gore Bay Mayor Ron Lane at a council meeting on Monday. He praised the work of the town’s various committees in making cuts to their proposed budgets and town council and town staff for their efforts in putting this budget together. “All the proposals that came in (to be included in the budget) were good and in a perfect world all would have been included in the budget.”
“With the budget there is a small increase,” said Mayor Lane. “We are continuing to provide funds to maintain streets and sidewalks and we’ve helped cushion the blow for taxpayers whose assessment is being phased in over four years,” he noted.
“If any of you were here last year, our municipal budget presentation is somewhat similar to what we presented last year,” said Mayor Lane at a public meeting held last week to outline the 2014 municipal budget.
“The budget process is one of the most important things we do as a council,” said Mayor Lane. “It is a plan and there are always unexpected things that come up during a year that affect a budget. This presentation points out what we expect to spend this year.”
The audience was then informed the public meeting was over as per the requirements under the Municipal Act, however council wished to have the input of all taxpayers prior to approving the proposed budget. It was also explained that committees of council held several meetings starting last fall to formulate budget items for this year and council continues to implement a five-year capital plan to assist with future budget deliberations.
“Our goal is to try to keep tax increases to a minimum, but realizing that with inflation (currently .94 percent) our operating costs will go up,” said Mayor Lane.
Mayor Lane noted the town has lowered the municipal tax rate again this year to help offset the reassessment applied by the Municipal Property Assessment Corporation (MPAC). “In 2012 MPAC began re-assessing all properties on Manitoulin Island and came up with a market value assessment, in many cases higher than the previous year.” This has been phased in over four years so that in 2016, taxpayers will see the MVA move up to 2012 levels.
“Council has tried to mitigate this by lowering the tax rate in Gore Bay,” said Mayor Lane.
The total property tax bill includes the municipal levy (including the library board), policing, education, District Services Board, Manitoulin Centennial Manor and the Manitoulin Planning Board. Of all of this, council has direct control and responsibility for the municipal levy only, the meeting was told.
Mayor Lane broke down the non-discretionary levies the town has such as policing (which is 28 percent of the town levy), which has increased 20 percent this year to $269,596, DSB costs (16 percent of the town levy) which has gone up .6 percent to $157,070, health unit costs, which has gone up 1.5 percent to $33,106, Manitoulin Centennial Manor costs, which were up 2.9 percent to $18,729, MPAC, which saw a zero percent increase at $12,833 and the Manitoulin Planning Board, which has not increased and remains at $6,020. The town can only control 48 percent of its budget.
“We take all the committee proposals and come up with a figure,” said Mayor Lane. “We never get everything we would want, or the budget would be too high, so we cut what we feel we can live without.”
“Every year we try to replace some of the sidewalks in town,” said Mayor Lane. This year’s proposal is to do work from the post office to Loco Beanz. Some road construction will be undertaken, such as road maintenance including crack sealing Meredith Street.
“Internet service will be installed at the docks,” said Mayor Lane. “We’ve spent a lot of money at the marina, but besides taxation, this is the other thing that makes money for the town. We have a world class marina and Internet service needs to be provided.”
“The medical centre has been here since the 1980s and was built by donations from all of Western Manitoulin, but we own and maintain the building and get some rents,” said Mayor Lane. “But this does not include having funds for roof repairs and other needed work. The building does need a new roof, new handicap access assistance and we are hopeful to see more donations, but we have also allocated some money toward this.”
As for needed work at the arena washrooms, this will only be done if funding is provided, while the arena front doors present a safety issue and will be fixed, Mayor Lane told the meeting.
However, Mayor Lane also outlined some of the proposed budget items that will not be included this year, including the purchase of a public works meg welder, new sidewalks from Meredith Street (Agnes Street to C.C. McLean Public School), new gas pumps at the marina, a new medical centre ramp, new medical centre door opener, arena interior lobby doors, Meredith Street enhancements and (no increases to) council remuneration.
As for the total budget expenses, capital and operating, Mayor Lane explained that 50 percent of this year’s budget is going toward the dock area. “A big chunk is docks and the reason for this is the breakwall project, which is over $1 million.”
In its revenue capital and operating budgets the town receives federal grants that make up 36 percent of the total, with another 23 percent coming from Ontario grants, said Mayor Lane.
In providing a report on the town 2014 tax rate, the 2014 levy (budget) is $956,019, or a tax rate of 0.015497, compared to $932,938 and a tax rate of 0.016004 in 2013. This levy was arrived at by cutting $109,965 from the original proposed levy of $1,065,984.
This represents a 2.4 percent levy increase over 2013, but a 3.12 percent decrease in the mill rate over 2013, Mayor Lane told the meeting.
Mayor Lane stressed, “each taxpayer will be affected differently depending on the overall MPAC assessment increase/decrease applied to their property.”
At its meeting Monday, council approved the budget levy for 2014 be established at $956,019.00, which is a 2.4 percent increase over 2013.
Please see future editions of the Recorder for an additional story.
