BARRHEAD - The County of Barrhead will be holding the line on residential property taxes.
However, those owning non-residential property will see a slight increase in their mill rate.
On May 2, councillors approved the 2023 Property Tax Bylaw setting residential and non-residential properties at 6.1431, the same rate as 2022, but a one per cent increase over that 2021.
The non-residential property rate increased from 17.5109 per cent in 2022 to 17.8150 mills. The bylaw also set the rate for linear assessment (pipe and power as well as machinery and equipment) along with farmland at 17.8150 mills.
Finance and administration director Tamara Molzahn noted that the non-residential tax rate and the linear assessments are set so that it is equal to 2.9 per cent of the residential rate.
The bylaw also set a minimum tax owed per property at $50.
The mill rate is the amount of tax payable per $100,000 of assessed value.
The Alberta School Foundation Fund (ASFF) and Opted Out School Board (OOSB) of Evergreen CRSD has been set at 2.4988 for residential and farmland properties. For non-residential properties, the rate is 3.5725 per cent. The Barrhead and District Social Housing Association (BDSHA) requisition for seniors' housing rate is 0.1177 mills.
It is worth mentioning that the province sets the above rates, with municipalities collecting the rates on their behalf.
Overall, all categories of property tax will net the county $9,507,446, a six per cent increase from 2022.
The majority coming from residential properties at $4,640,537, followed by pipe and power linear assessment at $2,215,774, farmland at $1,088,906, non-residential at $811,387 and machinery and equipment at $750,842.
The municipality will also collect $2,642,471 in combined provincial school requisition and another $120,839 for the Barrhead and District Social Housing Association.
What that means for the average county homeowner, Molzahn said that for a property assessed at $250,000 in 2022, and assuming the average 2.77 per cent increase in assessment, the municipal portion of their 2023 property tax is $2,250.67, or roughly a $26 more than last year's tax bill.
Out of the $2,250.67 average residential tax bill, close to 50 per cent or $1,041 will go towards transportation, i.e., roads and bridges. The provincial requisitions are the next largest portion at $509, followed by protective services at $182, recreation and cultural services at $130, general services and administration at $98, utilities and waste management at $95, legislative and elections at $65, planning and development at $61, agricultural services at $55, and community services at $14.
County manager Debbie Oyarzun interjected that the municipality reached a milestone for the 2023 taxation year, surpassing a billion in assessed value.
Reeve Doug Drozd setting the mill rate is the final step of a six to seven-month budgeting process.
"We've made several improvements to the process over the last few years. It is very transparent and engaging for council," he said. "And a process that we are involved in right from the beginning."
Final 2023 operating and capital budgets
In two separate motions, councillors approved the 2023 operating and capital budgets.
On the operating side, council set the budget at $19,128,153, with expenditures matching revenues. This is an increase of about $1.6 million from 2022 up from the $18,673,478 in the interim budget approved in December 2022.
On the capital side, council finalized the budget at $14,761,841, down slightly from the $14,775,734 interim budget, but up considerably from the $9,361,508 in last year's budget.
Priority operational projects identified in 2023 are the continued gravel pit volume testing, gravel crushing at the Vega pit, continued work on the creation of an asset management roadmap and road pavement repairs.
Notable capital projects include the replacement or repair of three bridges. However, if the projects go ahead will depend on if the municipality receives Strategic Transportation Infrastructure Program (STIP) grant funding. Presently one has been confirmed.
The municipality also plans to complete four road reconstruction projects totalling 5.75 miles and six miles of paving, most notably four miles of Range Road 22 or Dunstable South and two miles of Range Road 40. Overlaying the pavement in the Hamlet of Thunder Lake, installing a gate at the Neerlandia lagoon dumping station and purchasing a vehicle for the county's new community police officer are also planned for 2023.
Barry Kerton, TownandCountryToday.com
