The Town of Irricana released its draft 2014 interim budget Sept. 16 at the Town’s council meeting and residents will see a small increase in taxes.
The budget revealed the Town will maintain service delivery at current levels.
The 2014 Draft Operating Budget has an increase of 2.76 per cent in expenses and a corresponding increase in non-tax revenues, lowering the mill rate for 2014.
“The mill rate is just a tax rate,” Alvin Melton CAO of the Town of Irricana said. “It applies to the assessed value of real estate.”
The tax rate will increase to 9.07 from nine per cent in 2013, which mean an increase of $10 on an average house $210,000, according to Melton.
“You take that number - 9.07 - and multiply it by the value of your house divide by a thousand to get your tax rate.”
“The 2014 Draft Budget proposes an expense increase of 2.76 per cent,” said Melton.
“Although our expenses have increased, with a corresponding increase to revenues we were able to keep our mill rate lower then it was in 2013.”
The 2014 Draft Budget maintains service delivery at current levels and includes resources for council’s priority areas of: recreation, public works efficiency and improving utility delivery for the Town.
More specifically, the budget focus will be on staffing the nine-and-a-half full-time equivalent staff positions budgeted and initiate a succession plan for the Town as all staff members currently employed with the Town are over the age of 50. Administration outlined a possible internship program to help bring in a younger work force. Inclusion of a splash park and rink as well as investing in the maintenance of infrastructure support parks within the Town.
Also included in the budget was increased funding to the Irricana Library and Marigold Library to $22 per capita up from $20 in 2013.
The draft budget outlines expenditures of $ $2.2 million with $1.2 million in offsetting revenues excluding property taxes and $1 million in municipal property taxes to achieve a balanced budget.
Through the budget, council decides the municipality’s priorities for the next one to three years by setting aside money for each program or service.
The Municipal Government Act requires every municipality adopt an annual operating budget. Municipalities are not allowed to budget for a deficit; as well, total actual revenues over a four-year period must be equal to or greater than total actual expenditures.
The operating budget is a detailed estimate of how much the municipality needs to spend to meet its ongoing financial obligations and provide programs and services to the residents.
Councillors Josh Taylor, Peter Dunn and Deputy Mayor Larry Martin were present for the meeting. Mayor Lisa Constantini was not present for the meeting.
Council voted in favour of tabling the draft budget and allowing residents to review the contents and will bring it back for approval at an undetermined date.
