Approved 2019 Tax Supported Budget Update
Approved Water and Wastewater & Treatment Budget Update
On December 6, 2016, City Council approved the 2017 Annual Budget Update, noting the average annual property tax levy will remain at 2.8% as approved for the 2016-2019 multi-year budget period. A 2.8% increase equates to an average annual tax increase of $76 (based on the average rate payer owning a home with an assessed value of $221,000 in 2015).
Council approved the following budget amendments without impact to the approved 2.8% average annual tax levy:
A request from the Housing Development Corporation for an additional investment in affordable housing development was deferred for consideration during discussion of the 2016 year end surplus.
Council also approved three amendments to the Water and Wastewater & Treatment budgets. The 2017 Annual Budget Update for Water and Wastewater & Treatment maintains the average annual impact on rates at 3% as identified in the 2016-2019 multi-year budget period. The 3% increase effective January 1, 2017 translates into an approximate $11 increase per year for Water and $14 increase per year for Wastewater & Treatment for the average residential ratepayer consuming 165.4 m3 of water per year. Water and wastewater services are rate based and charged separately from property taxes.
City Council approved the 2018 Annual Budget Update for the Property Tax Supported Budget and the Water and Wastewater & Treatment Rate Supported Budgets on December 12.
The average annual property tax levy increase from rates will remain at 2.8%, the same average increase as originally approved for the 2016-2019 multi-year budget period. This 2.8% increase equates to an average annual tax increase of $77 (based on the average rate payer owning a home with an assessed value of $221,000 in 2015). In order to maintain the 2.8% tax levy increase, Council approved two items to reduce the tax levy increase: savings from the phase out of the vacancy tax rebate program, and 2018 assessment growth revenue in excess of costs to service growth. Council’s decisions reduced the tax levy increase from 3.3% for each of 2018 and 2019 when the budget was first presented, to 2.8% and 3.2% respectively. Council also passed a motion requesting that Civic Administration look for savings in 2019 that would further reduce the tax levy increase in that year.
The 2018 Tax Supported Budget includes a gross operating budget of $920 million and a capital budget of $159 million.
Council approved the following 19 budget amendments while maintaining the approved 2.8% average annual tax levy, noting that two amendments were revised based on reduced funding requests from Upper Thames River Conservation Authority.
Operating Budget Amendments
Capital Budget Amendments
All capital budget amendments were accommodated within the capital plan resulting in no impact to the tax levy.
Additionally, Council approved a pilot project for a reduced rate transit pass ($52 monthly) for youth between 13 and 17 years old, starting in September 2018.
The Water Rate Supported and Wastewater & Treatment Rate Supported Budgets were also approved, maintaining the average annual rate increase of 3% for the 2016-2019 multi-year budget period. The 3% increase translates into an $11 increase per year for Water and $14 increase per year for Wastewater & Treatment for the average rate payer.