The average residential taxpayer in the City of Thompson is facing a 4.32 per cent tax increase this year - before two additional special levies - and the overall budget increases by $9.75 million to $35.248 million. Last year's budget was $25.497 million.
Deputy Mayor Harold Smith told a special public budget meeting May 10 a home that was assessed at $200,000, in a hypothetical example, would face a $178.74 total tax increase this year based on that 4.32 per cent. There's an increase this year of $37.89, or 1.97 per cent, for the School District of Mystery Lake levy. The City of Thompson levy has gone up 6.35 per cent, which would mean an increase of $140.85 for the property. Combine the two and total taxes will have gone up 4.32 per cent or $178.74 for the hypothetical property, Smith said.
Most of the budget increase is to cover capital costs for continued work on the Thompson Regional Community Centre, which may or may not be deferred during the year ahead, Mayor Tim Johnston said May 11.
One of the biggest things to come out of this year's budget, and one of the aspects of the plan most noticed by the public in attendance at the meeting, was a cut to funding of Prairie Bylaw Enforcement (PBLE).
Smith says the agreement of council is that the city needs to approach fees on a more consistent basis. The fees and fines have increased to seven per cent or the equivalent of last year's property tax increase.
The city gained the most revenue from provincial and federal grants, at a total of $13,083,047, or 37 per cent and $9,812,158, or 27 per cent from the tax levy. The biggest expenses for the city in 2010 are its protective services, at 23 per cent, or $8,205,135; and recreation at 8.35 per cent or $2,944,428; and capital at $11,853,601 or 33 per cent.
The city is looking to spend $12,850 on the municipal insurance program; $121,400 on solid waste tipping fees; $15,150 for external agencies; and a decrease in bylaw services from Prairie Bylaw Enforcement at $150,000. Also, the city's small capital fund has increased to $65,000 in total that all departments have access to for small capital items.
The city is spending capital this year on different items that fall under the public safety reserve fund, such as new fit right suits for the fire department at $12,000; defibrillators at $10,000; a new jaws of life at $15,000 and an additional lit crosswalk at $50,000.
There had been $450,000 been budgeted in revenue from the Hotel Accommodation Tax as of the end of 2009, and Smith says the city has collected $526,000.
"The latest reassessment of properties in Thompson significantly increased the property values in the city," Smith explained as he was going over he residential and commercial mill rate comparisons. The total residential mill rate is at 47.947, down from a last year's rate of 71.736. The total commercial mill rate this year is 60.277, while last year's was 87.816. This equals a 4.32 per cent change in the residential mill rate from last year and a 3.19 per cent change in the commercial mill rate.
The mill rate is the tax per dollar of assessed value of property. The rate is expressed in mills where one mill is one-tenth of a cent ($0.001).
One of the last things Smith went over before council entertained questions from the people who had showed up to the meeting was the new phase in program the city is initiating that looks to alleviate some of the impact the 2010 reassessment done by the Province of Manitoba will have on the city. The phase in will last two years and residential properties which see an increase of more than 10 per cent are eligible, not including new construction. Increases over 10 per cent will be phased in at 50 per cent. Commercial properties will be phased in as well.
Lynn Taylor, who served as the senior election officer in the city council byelection last December, and who worked as city manager until she retired last year, had much to say to council about cutting funding for PBLE.
"I just really am disappointed to hear that we're going to look at a cut in that area," she says.
Johnston says that the decision was one of the "toughest" parts of the budgeting process, and claims that it was made in part because the Province didn't authorize the bylaw officers to have the authority the city wanted them to have.
"I would be disappointed if we move away from having a program that treats people with respect, tolerance and compassion," he responded to Taylor, saying he hopes the public comes out and challenges the city about the cut to PBLE.
