Residential property owners will see a 0.1-per-cent increase in their total mill rate this year over last year.
Despite the Town of Athabasca’s draft budget containing a one-per-cent increase to both residential and non-residential mill rates, the figure was offset by drops in both the school and Greater North Foundation (GNF) requisitions.
The school requisition dropped to $991,872 from $1,004,680.80 in 2013, and the GNF levy dropped to $88,342 from $92,027.03 last year.
The result is an increase in the total residential mill rate from 10.36 in 2013 to 10.38 in 2014.
The price of the average home in Athabasca has increased from $249,771 in 2013 to $254,703 in 2014.
This means homeowners whose property value is the town average would see an increase of about $57 in their property tax bill this year.
Non-residential properties will see a 2.6-per-cent decrease in total mill rate: a drop from 20.23 in 2013 to 19.72 in 2014.
The new tax rate bylaw can be adopted after the 2014 budget is adopted April 15.
Council hosted a public budget meeting on April 3, giving citizens the chance to come and discuss the draft budget with council. Approximately 15 people attended, plus six councillors.
The average Athabasca home will see a tax and utilities increase of $7.15 per month.
The meeting broke down the budget displaying an overall operating surplus of $149. However, the utilities deficit (including water, sewer and waste) sits at approximately $128,000.
The town’s expenditures in its capital budget sit at $1,722,850. Included in this figure is the purchase of a new grader for $245,000, a $200,000 water line replacement, and $520,000 for a rescue/pumper truck for the Athabasca Fire Department.
The town will cover its capital expenses using 1,228,725 in revenue, $444,125 in provincial grants and $50,000 from reserves.
Starting the August billing cycle, Athabasca residents may see a slight increase on their water bills.
Last Tuesday, town council passed the final reading of the utility rate bylaw that will increase the water rates by five per cent. For the average user, this will appear as an approximate $2.50 increase on their monthly utility bill; for an above average user, the increase will be approximately $10.18 per month.
Councillor Shelly Gurba stated the increase will not have a significant impact on a careful water user.
“If you’re very conscious of your water usage … you should be able to maintain reasonable water rates,” she said during discussion.
The bylaw passed with councillors Tanu-Tyszka Evans and Nichole Adams opposed.
Tyszka-Evans stated that the increase is not sufficient to address the deficit the town is facing in its operational budget for water, which is forecasted at $219,492.
Adams is critical of the tiered system the town uses instead of charging users the same rate for each cubic metre of water used. Users of 18 cubic metres or less per month are charged $3.22/m3. Those who use between 18.1 and 45 cubic metres are charged $3.37/m3, and users of more than 45 cubic metres in a month are charged $3.70/m3.
“It unfairly penalizes people who live with multiple people in a household,” Adams said later in an interview. Adams explained that people living with extended family or families with multiple children will be hit the hardest.
“It can really stress low-income families who are already struggling to make ends meet,” she said.
“I don’t think we can say the tiered process is unfair,” Mayor Roger Morrill said. “It’s just something that is not utilized in a lot of communities.”
Morrill also feels the increase is not enough to deal with the projected deficit, but it is the first step.
“I think council had to make a decision on trying to look at the major deficit we have with water, and there had be to some increase,” he said.
Morrill explained that in 2010, with the fluctuation in water rates, they were able to drop the water rates by 30 per cent. However, rates have increased, and the town must compensate for that.
“This was another step increase, rather than making one great big fell swoop.
“You have to look at everything: taxation, these all go together to form one big component. If you drop your utilities down, you have to increase your taxes,” Morrill said.
The Athabasca Fire Department will be getting a new combination pumper and rescue truck come 2015. The new truck, which will have a 20-year lifespan and come fully equipped, will cost approximately $550,000.
Athabasca town council included the purchase in its 2014 capital budget. The budget is set to be approved April 15.
The decision to purchase the truck was a difficult one, according to Mayor Roger Morrill, as there were several other options on the table, including a fire hall expansion or the purchase of a different, less expensive truck. However, he is pleased with council’s decision.
“I do like the fact that council relied heavily on the advice of the professionals in our community to let us know what they needed, and the choice was made relatively straightforward for us,” Morrill said.
The current pumper truck is reaching the end of its 20-year life, and along with not being able to carry a large amount of equipment, it is not built with a tall enough ladder to reach the three-storey buildings in town, such as the Days Inn. The new truck will be able to eliminate that danger.
The current rescue truck, which carries extra tools and breathing equipment, will be sold for approximately $40,000.
“We’re getting a truck that will satisfy this town for the next 20 years,” deputy fire chief Ryan Bodnarchuk said following the decision.
Following an in-camera discussion, town council has decided that after meeting with the county, town council will draft a letter to MLA Jeff Johnson about concerns with the new school.
The town did not reveal what specific concerns it has, but chief administrative officer Ryan Maier confirmed that the letter is not about the cost to the town to provide services to the new school site.
