Budget still not finalized, but Sudbury's proposed tax hike now at 3.2%

The proposed tax levy for Greater Sudbury has dropped to 3.19 per cent, but the 2020 municipal budget still hasn't been finalized.

That's despite three scheduled meetings of the Finance and Administration committee this week. More meetings will be scheduled throughout December as deliberations continue.

On Thursday, Sudbury Mayor Brain Bigger proposed eliminating $1 million tfrom the operating budget o help reduce the city's proposed property tax increase.

The money is a portion of what was earmarked for future debt repayment of loans for three large projects in various stages of development. Those are the Kingsway Entertainment Centre and the library-art gallery and the convention centre (together known as the Junction).

"We need some flexibility in our budgeting," Bigger said.

"It will in no way impact either the projects or delivery of services or anybody's job, so I think it's reasonable for us to manage the increase in that preparation for future debt repayment."

The plan would basically reduce debt repayments for each project for this year only. The payments are over multiple years, and this change would add six months to the already determined repayment plan.

Takes pressure off; give savings to taxpayers

"This is in no way a reflection on the projects," Bigger said.

"It's simply a financing decision that will take some pressure off of this year's budget and yet we all prudently will provide for future debt repayment as these projects move forward."

Councillor Mark Signoretti said he liked the mayor's idea.

"Why use that money to put aside when we could give those savings back to the taxpayers and reduce our levy?" he said.

Councillor Fern Cormier also was in support.

"It has no detrimental impact whatsoever to our long term plans, our partners that we're working with on these various projects, and I want to stress that that it literally is just a matter of timelines shifting which does allow us this opportunity," Cormier said. 

The change was approved unanimously, reducing the proposed tax levy to 3.19 per cent.

There was further discussion around an idea put forward Wednesday by counciller René Lapierre. He had suggested that the budget for travel expenses by city staff be reduced by $150,000. The total for that budget item is $750,000.

However, after a final vote the change was not supported by the rest of the committee.

Councillors speak about priorities

The third day of budget deliberations began with each councillor stating their respective priorities with regards to the budget or potential projects they're interested in seeing funded.

"I'd like to think that we're all looking for the greater good of the City of Greater Sudbury and not just ward centric," said councillor Mark Signoretti.

However his concern was about going after taxpayers asking for an increase every year.

"My goal is to make sure that we are not impacting the same tax base over and over again," he said.

Councillor Gerry Montpellier said he could never, and has never supported cuts to citizens.

"When taxpayers pay their taxes they expect at least what they have and what they had, not cuts and still tax increases," he said.

That sentiment was also supported by councillor Deb McIntosh.

"I want to maintain and deliver the same level of services that our citizens expect and to be able to maintain that through investment in our equipment, buildings and roads, sewers, etc.," she said. 

Budget decisions not easy

"If I really want to be honest I want everything in this book but I know that's not possible," said counciller René Lapierre referring to the budget binder.

"I think overall this communication we're having is part of good governance. We're doing a really good job" he added.

"We're elected to make decisions that are not easy. They are always difficult, and budget decisions are no different." said Mike Jakubo, the chair of the finance committee.

Several councillors mentioned specific projects they were interested in seeing funded next year. Those projects will come forward at the next budget deliberation meeting.

Councillors Al Sizer, Deb McIntosh and Joscelyne Landry Altmann all publicly stated that they would support the 1.5 per cent capital levy for aging infrastructure. That resolution has yet to be discussed in the deliberations.

Not a done deal — yet

Councillors were able to approve the tax supported capital budget and the base operating budget.

The city has a $614.9 million operating budget for 2020, which is $21 million more than 2019, when the operating budget was $593 million.

The finance committee isn't finished with the 2020 budget. More dates will be scheduled for further deliberations.