WESTLOCK — A series of councillor recommendations and postponing some projects could bring the tax increase for Westlock County down to 1.6 per cent from the proposed five per cent.
At the end of Day 4 of budget talks today, other policy changes have still been left open-ended, with councillors either disagreeing or requesting clearer numbers from administration before they make a decision.
Some of the changes which might lead to a lower tax increase include:
- Councillor salary reduction to save about $14,000
- $200 monthly health spending account for councillors instead of a benefit plan could save $21,000
- A reduction in councillor training expenses by $10,000
- A change in how the county splits the funding for the gravel program between two provincial grants, tax money and existing gravel resources could save $250,000, originally a suggestion from deputy reeve Brian Coleman
- Interim CAO Rick McDonald said splitting the provincial grants might lead to questions from the auditor
- One of the grants, the Municipal Stimulus Program, has stringent requirements: it can’t result in a tax increase, and the county has to prove red tape reduction initiatives
- Hamlet garbage collection fee to go up to $15 monthly from $11.44; in the new contract with GFL, pricing dropped from $9.35 per tote to $4.10, meaning a larger profit margin for the county
- Coun. Lou Hall thinks the fee is still reasonable and in line with the Town of Westlock and the Village of Clyde
- Introduction of a $60 tippage permit card for the landfill and getting rid of county-subsidized tippage of up to 4,000 kg total
- Commercial users would have their own accounts with the Westlock Waste Management Commission
- Budget 2021 already includes closing two transfer stations
- A flat $20 fee per vehicle for day use at Long Island Lake Municipal Campground to yield about $60,000 in revenue
- AFRACSS radio purchase and the replacement of a fire tender were both pushed to 2022
Some of the policy changes admin recommended in the proposed budget will remain the same:
- Keep Spruce Island closed
- Close and sell Echo Lake
- Move fire permitting process online, which would also mean reducing fire guardians from four to two
- Three per cent yearly increase in water and wastewater rates to get to cost recovery and adjust for inflation; admin says there currently aren’t enough customers in the system to pay for what it costs to run it
DID YOU KNOW? Some municipalities have many commercial and industrial properties that contribute to their tax base....
Posted by Westlock County on Thursday, December 10, 2020
Road policies the most difficult
Councillors continue to debate around their road policies, including gravel programs and heavy vehicles on gravel roads during road bans.
Coun. Isaac Skuban thinks the gravel program should be reduced to 460 kilometres on a five-year rotation. Budget 2021 includes the same length every 4.5 years. The savings could go toward eliminating the proposed tax increase entirely and funding the reserves for economic development.
Still, that gravel schedule received “no support” from Coun. Dennis Primeau, who is opposed to any reduction in infrastructure spending, but also opposes a tax increase. On Tuesday, he was chastised by reeve Jared Stitsen and asked to come up with a list of alternative cuts to make up the difference.
Both Stitsen and Skuban agree that the only chance the county has at bringing in more revenue is by spending money on economic development.
“No one is willing to address the fact that Westlock County is unattractive” to investors, said Skuban.
Dollar figures still aren’t clear for that proposal, or whether or not it’ll manage to stabilize the tax rate. Admin will come back with details tomorrow.
What they’ll do about enforcing road bans is also not clear yet, although councillors and admin agree that heavy vehicles on gravel roads during the spring does significant damage.
They also think a road use agreement between the county and heavy-duty haulers is likely a good idea and a better way to recover the costs of repairing roads. An agreement also gives users the option to fix the road themselves under county supervision.
Councillors are planning to have further conversations about this plan during regular or governance and priority committee meetings some time in 2021.
Farmland millrate undecided
A six per cent increase in the farmland millrate is included in the proposed budget already, but councillors haven’t made a decision on whether they want to keep it.
Kay Spiess, the county’s budget consultant, warned that getting rid of it might put the county back at a five per cent tax increase for 2021.
They’re scheduled to have a discussion on the proposal tomorrow, when they’ll make decisions on the capital project list as well.
See more coverage of Westlock County's Budget 2021 process here:
