City needs a strategy to deal with debt
To the editor: Last week in a letter to the editor I indicated that our city spent $8 million more per year than the City of Yorkton. Since then, I have discovered certain costs were not included in the financial statement posted on Yorkton’s website. So, to be fair, I feel it necessary to restate the numbers.
After the adjustments are made, our City spends $6 million dollars per year more than Yorkton, or about $400 per person. This is still quite a significant number that cannot be ignored.
Our city is in a precarious financial position and must take action to get our long term debt under control. We have been spending beyond our means for some years and have finally hit the wall. We must deal with our predicament now. It is time to end the denial. If we wait two or three years it may be too late.
I believe it is important for the city to develop a strategy to deal with that debt going forward. That strategy must include a reduction in spending on both our operation and capital budgets and as much as I hate to say it, will likely require a dedicated tax that will go to debt reduction. We have gotten into this situation over a number of years and it is going to take a number of years to right the ship.