Tecumseh council passes budget with 2.7% increase on tax bill
Tecumseh town council settled on a “pretty status quo” municipal budget for 2019 during a relatively short and smooth session Tuesday afternoon of less than three hours. To fund this year’s approved operational budget of approximately $19 million and capital budget of $17.5 million, council approved an increase of the municipal tax levy of 2.7 per cent while maintaining or enhancing existing municipal service levels. Applied to the 2019 property assessments, and due to increased residential market values, the tax rate will be decreased by 0.9 per cent.
For the average residential property valued at $250,000, this year’s Tecumseh municipal tax bill will go up an extra $46 to $50, according to town treasurer Luc Gagnon. This year’s capital spending represents an increase over the $16 million on average over the last several years. Reconstruction of South Talbot Road is among the projects costing over a million dollars.
This year’s budget helps tackle the deficit and build up reserves. With $150,000 added to boost an annual reserve with allocation for new infrastructure projects (now at $1.45 million per year), Tecumseh is close to its target annual levy of $1.75 million.
A portion of that reserve will go toward funding a planned new sportsplex next to Tecumseh Arena, with gymnasium, meeting and activity rooms, walking track, soccer and other indoor sports amenities. The town is hoping for senior government funding to assist with the estimated $24-million-plus cost.
Town policing by the Ontario Provincial Police represents a big slice of Tecumseh’s annual budget, with spending up this year by $92,000 to $3.445 million. This year’s total operating budget is up $780,000, with Gagnon saying most of that increase is for inflationary pressures.
For the average Tecumseh residential property owner, the municipal portion represents about 53 per cent of the annual tax bill, while the county portion is 35 per cent and education takes 12 per cent, according to Gagnon.