Municipal act overhaul could spell changes for city budget
Changes could be coming for municipal budget process as a first round of proposed changes in the overhaul of Alberta’s Municipal Government Act are opened for public comment.
Major points are still forthcoming, however, according to an Alberta government press release.
The MGA governs how cities town and counties operate and possible updates to the massive document were discussed at length last summer.
They included a new relationship for neighbouring communities in planning and paying for infrastructure projects, as well as the possibility linking commercial and residential tax rates.
An initial batch of amendments, now open for feedback, only cover minor matters but would require local governments to develop guidelines for public participation, as well as lengthen budgeting timelines.
City finance general manager Dennis Egert told the News that in general longer is better in financial planning, and Medicine Hat already informally conforms to the standard.
If approved, cities in future would be required to write three-year financial plans and five-year capital plans.
The City of Medicine Hat currently uses two-year plans for both, but includes an eight-year outlook for capital spending.
“We already focus on longer term items including the asset renewal strategy for utilities, roads and sidewalks, storm water, buildings and fleet, as well as our approach to Financially Fit for the Future,” said Egert. “These are all longterm items and strategic views to ensure the City remains sustainable.”
The local two-year cycle was put in place in 2014, shortly after council terms were extended across Alberta to four years. At that time local administrators stated that the staggering allowed budget periods to span elected terms lead to some continuity.
Former chief administrator Ray Barnard argued the practice also avoided the situation in which a councillor elected in October would have to vote on a multi-year budget two months later.
Egert said the city will conform to new regulations, and is considering options to best align budgets and elected terms.
In terms of public participation, the updated MGA would create standards and requirements for town, cities and counties to follow and publicize regarding public meetings and comment.
In other MGA matters now open for comment, municipal gas-marketing regulations allowing non-industrial customers choice would stay intact, though only be extended two years, meaning re-examination in 2020.
Specific to Medicine Hat, the province is proposing no changes to the aeronautics act agreement which specifically gives the City of Medicine Hat priority planning authority inside city limits in vicinity of Medicine Hat Regional Airport.
Some other proposals create new standards and certification process for tax assessors.
More information on the process and to offer feedback on the proposals residents should visit mgareview.alberta.ca.