This post will likely be my last until mid-August when official Council meetings resume. I will continue to work on projects, meet with residents, stay in touch with the Homeland Housing CEO, and attend events & educational opportunities through the summer - but I’ll also be out enjoying the sun with my family. I hope everyone is able to enjoy the weather over the next few weeks!
Agenda highlights
The purpose of our meeting this week is to discuss the “2023-2025 Municipal Operating Budget Preliminary Tax Increase”. From what I understand, most (all?) of this meeting will be held in-camera due to sections of the Freedom of Information and Protection of Privacy Act regarding administrative advice:
The head of a public body may refuse to disclose
information to an applicant if the disclosure could reasonably be
expected to reveal
(a) advice, proposals, recommendations, analyses or policy
options developed by or for a public body or a member of
the Executive Council…(g) information, including the proposed plans, policies or
projects of a public body, the disclosure of which could
reasonably be expected to result in disclosure of a pending
policy or budgetary decision…
I am not currently privy to the details of the advice being given at this meeting, but what I do know about the expected tax increase over the next couple of years includes:
On May 2, Council directed “Administration to propose a 2023 budget reflecting a tax increase range of 3 to 5 percent”, which I understand will require service cuts as the predicted tax increase is “7.2 per cent in 2023, 6.2 per cent in 2024, and 3.9 per cent in 2025” without any changes to service levels.
Provincial downloading has impacted municipal budgets across the province. (Reductions in municipal portion of fine revenue, increased costs related to policing lab tests, municipalities supporting provincial responsibilities like housing security, mental health supports, etc.)
The infrastructure maintenance deficit (what we save to ensure we can maintain roads, buildings, etc.) is significant, which is why Administration proposed a 20-year 1.5%/year tax increase to address the shortfall back in 2019. (Council approved three years, with a review at the end of that period.)
We used 1-time options to offset tax increases for the last couple years, which is not a sustainable strategy. (COVID relief funding from the province, reduction in corporate learning and development, redirecting the $1.2 million of assessment growth revenue, etc.)
For the first time in recent memory, the results of our community satisfaction survey indicated that residents would prefer service cuts to tax increases.
The MNP review completed last year provided suggestions for increasing efficiency & increasing revenue, but there are no red flags/low-hanging fruit left that can quickly address the immediate pressures. We are working through recommendations, but any realized savings/gains won’t be seen until after implementation.
If anyone has recommendations on how to sustainably remove $2.2-$4.2M+ from the operating budget, I am all ears. For reference, the 2022 budget guide proposed $1.5M in cuts that had varying impact, many of which were not approved, and included:
Replace Saturday normal transit with On-Demand transit ($223,000/year)
Stop staffing 5 outdoor rinks ($37,500/year)
Stop providing free traffic accommodation for community events like the Children's Festival, Farmer's Market, Run Wild, Remembrance Day, Canada Day, Snowflake festival, Lifestyle Expo, etc. ($60,000/year)
Stop putting flower planters around the city/at intersections ($72,300/year)
Change staffing at the Water Play Park ($38,500/year)
Cancel public art funding (~$200,000)
Also for reference, the kinds of services that make a significant dent in our budget include (from the 2022 guide):
Arterial road maintenance (~$1.6M)
Public Works equipment (~$2.5M+)
New playgrounds (~$2.1M in 2024)
Emergency Services (~$40M+)
Rec Services (~$27M+)
This is a brief and incomplete overview of my activities as a councillor and Council meetings, with my personal comments sprinkled in - In no way are my opinions representative of the official direction of council or the City of St. Albert. Please let me know of any typos or errors. Residents can register to speak if they have information to present to council. Full agenda packages can be found on the stalbert.ca website.