Amherstburg finalizes budget
Council reduces originally planned tax increase to 2.03% from 4.88%
Amherstburg town council unanimously approved its 2021 budget on Friday resulting in a 2.03 tax rate increase for residents.
The increase equates to roughly an extra $50 in municipal taxes for a home assessed at $250,000.
Treasurer Justin Russo noted the increase works out to an added $20 for every $100,000 on each home assessment.
Council substantially reduced an original proposed budget increase of 4.88 per cent — recommended by administration in large part to catch up with rising costs after minuscule increases dating back to 2014.
The current year's municipal budget in Amherstburg actually “went backwards,” Russo said, noting it worked out to a decrease of about 1.6 per cent for residents.
But given the ongoing financial struggles for so many people out of work due to the COVID-19 pandemic and lockdowns, several councillors called for a tax increase no higher than the current inflation rate of about two per cent.
“The town and so many people are hurting because of COVID,” said Coun. Michael Prue. “Some have lost jobs or income and are in precarious situations. They are asking us to limit the amount we are spending.
“We have to choose whether it's better to build a road or allow people sufficient funds to make their life a little easier. I always believe people come first.”
Deputy Mayor Leo Meloche said that despite ongoing financial struggles of many residents, council should not go any lower on spending in its 2021 budget and should keep a long-term view in mind.
“We have to consider residents and COVID challenges, but also have to keep in mind challenges that will be passed on to our children or grandchildren,” he said. “It's not in our best interest to just look at this short term.
“Last year, we didn't (collect) as much as we should have. Taxpayers received that benefit and now want more this year, so when does it stop? We have to deal with a lot of our issues.”
Meloche put forward the budget motion for the 2.03 per cent tax hike and it was supported by Coun. Don Mcarthur.
“Last year, was a mistake,” Mcarthur said. “We don't want to make that mistake again. You need the cost of living increase or we will be further behind the eight ball than other municipalities. The reality is people drive on roads. If you have too many potholes, that affects quality of life and they may move somewhere else.”
He noted the two per cent budget increase still allows for completion next year of many long-awaited projects to improve town infrastructure.
They include spending $300,000 at the former Duffy's restaurant site to create public access with pathways that will extend to King's Navy Yard Park, plus creation of the town's first dog park and kayak launch at Ranta Park.
Also included are creating new walking paths at Golfview subdivision, building a new baseball diamond at the Libro Centre, plus relocating a skate park.
Amherstburg will also hire a solicitor, manager of finance and heritage planner in the coming year following a recent service delivery review which illustrated how the town has 15 per cent less full-time administrative staff than other peer municipalities.
The final budget includes operating expenses of $46.5 million and capital spending of $10.6 million. Russo noted that the town's reserve funds at end of 2021 under the new budget will be $17.4 million.