The City of Quinte West has passed its 2023 operating and capital budgets following a more than five hour special council meeting on Wednesday.
Council approved an $82 million budget which will include a 5.36% tax increase.
This includes a 2% capital investment on long-term projects.
For reference, homeowners with a residential property valued at $250,000 will see a $177 increase in their taxes while those with a home assessed at $500,000 will see taxes go up by $354 a year.
Graphic for upcoming tax increase in 2023 after the City of Quinte West approved its 2023 budget on Wednesday. (Photo: City of Quinte West)
City council was first presented by staff with a 10.25% tax levy increase including a 4% increase in capital investments at its January 31 meeting.
Council directed staff to head back to the drawing board to determine a lower tax increase and also directed staff to come back with a capital plan at 2.5%.
At its February 15 meeting, staff returned with a draft operating budget tax levy, including 2.5% for capital investments each year, that would increase by 8.45% this year on residential properties, trending lower for the remaining three years, averaging 6.75% over council’s term.
At that same meeting, many members of the public expressed their frustration over the proposed increase with many asking council to look into lowering the number even further.
Following public consultation, Councillor Shelley Stedall proposed to have staff look into a 3% tax rate increase for a one year budget which council approved.
Before the ultimate meeting on the budget set for Wednesday, council was given a preview of what was to come at its March 8 meeting.
At that meeting, Councillor Zack Card indicated that after speaking with the city’s treasurer, Caleb DenOuden, the budget presentation set to be delivered would show 50 line items showing “different buckets of revenue razors or spending cuts” in order to make a 3% tax levy increase feasible.
Card had added a notice of motion to the agenda to look at additional framework for a budget with a 5.9% tax levy increase noting he picked the number in order to meet the criteria for the notice of motion.
That motion was ultimately defeated with members of council saying they would move forward on the understanding that they would be looking at different revenue generators and spending cuts and be able to pick and choose what would and wouldn’t be in the budget.
Director of Finance and City Treasurer, Caleb DenOuden, presenting city staff’s latest draft budget to council. March 22, 2023. (Photo: Zach McGibbon/Quinte News)
At the special council meeting on Wednesday, council first heard a presentation from Director of Finance and City Treasurer, Caleb DenOuden, outlining the timeline into each draft budget and also showing the 50 line items council could choose to either cut from the budget or look at as possible revenue generators.
After receiving public input on the latest draft budget, council moved forward with looking into cost cutting measures with Councillor Zack Card first introducing a motion that would include a 5.97% tax levy increase including a 2.5% in capital investments.
The motion was amended to look at each individual line item to determine the lowest possible tax increase.
For the next several hours, council went through each line item to determine what should and shouldn’t be in the budget.
This included, but was not limited to, looking into an increase on fees including bag tags as well as postponing the recruitment of certain city positions.
Also decided by council was lowering the capital investments from the initially proposed 2.5% to 2%.
Councillor Egerton Boyce introduced the motion saying that the city would still be doubling what it would normally invest in the past.
Councillor Card responded, saying that while it was an increase in capital funding compared to previous years, it wouldn’t close in the gap to catch up on improving infrastructure.
“We’re investing in Quinte West. We’re investing in these capital projects. We’re investing in North Murray. We’re gonna finish that building, we’re gonna get doctors in there. We’re going to do these roads. I think it’s time that we think in that way and we invest in the city.” Card told council.
“We’re already protecting the most vulnerable from basically most or all of the tax increase. So I think that it’s the right thing to do to keep it at two and a half.”
Councillor Boyce countered Card’s comments.
“I look at it from the last four years where it’s been 1%. I’m actually saying that we need to double that, that figure, so I’m asking for 2%.” Boyce said.
“You can say we’re asking for a decrease, but from the way I look at things, I’m asking for an increase.”
A recorded vote was determined whether the capital investments should drop from 2.5% to 2%.
It was passed 8-5.
Those who voted yes included councillors Jim Alyea, Deputy Mayor Duncan Armstrong, Egerton Boyce, Sally Freeman, Lynda Reid, Karen Sharpe, Shelley Stedall and Mayor Jim Harrison.
Those who voted no included councillors Zack Card, Michael Kotsovos, Don Kuntze, David McCue, and David O’Neil.
Full details about the 2023 budget will be up on the City of Quinte West’s website.
Quinte West City Council looking at multiple items to come up with the 2023 budget. March 22, 2023. (Photo: Zach McGibbon/Quinte News)
