North Bay Mayor Al McDonald spoke this week to the complexities of this year's budget process, now underway at City Hall, with a planned completion date of December 9th 2013.
“If we get out the gate early, we're going to save taxpayer's money," says McDonald.
Trying to stick to the 1.5 percent increase, the mayor spoke of the challenges, with the Ontario Municipal Partnership Funding (OMPF) being cut by nearly 1 percent, totalling $700,000.
The Capital budget did increase by a million dollars but the city also had impact property assessments, reducing their tax base uptake, as well as inflationary measures that expanded their costs.
Al McDonald is confident that a reasonable budget agreement could be achievable across the municipal department.
“I've reached out to members of council and I've asked them to support my plan to get us to the target,” says McDonald, adding that he's “very pleased, so far, as to where the budget process is at.”
The City also took to reviewing their long term capital plan, the outlook an long term mortgages that back their ongoing financial offices, something that rarely gets touched and it could impact their ability to borrow or maintain a low cost servicing fee on their debts and investments.
With four more groups yet to present their department budgets, McDonald is hopeful that by 'budget day', the city will be ready to move forward with its 2014 expenditures.
The 2013 operating budget had an additional $700,000 in various costs, particularly with winter maintenance, which pushed last year's budget for ongoing expenses in 2013 even higher than recorded by council as they attempt to control expenses, despite what Mother Nature may bring.
It's worth noting that the specific numbers given to each department come under scrutiny, with the possibility of, for example, a high number of fires, pushing the numbers outside their budget constraints.
On the other hand, a low demand in any of the departments could see a spending spree for the groups that see a reduction in their service requirements.
“If you look at our agencies, boards and commissions right now, they're averaging around 1.17 percent,” says McDonald.
McDonald says council is functioning well after the resignation of a Deputy Mayor Sean Lawlor.
Tanya Vrebosch was installed this past week as deputy mayor and budget chief. Council has 60 days to fill the electoral seat left by Lawlor's departure and is still set to pass the nearly minted budget for the taxpayers on December 9th.
“Everybody's been pulling together," he says.
