Municipal council unanimously approved an interim budget for 2017, Dec. 20, but chose to set aside a number of items included in the budget for further discussion next year.
By passing the interim budget municipal taxes could rise by as much as 3.01 per cent next year, however the tax increase could be reduced if council decides to cut any of the items prior to the budget鈥檚 final approval in 2017.
鈥淭he Municipal Government Act (MGA) states that every municipality must adopt operating and capital budgets each calendar year, but there is nothing in the MGA that states anything about not being able to change an interim budget,鈥� said Natasha Malenchak, the director of finance.
鈥淭he tax rate is not set out until the spring so we can continue to look at the budget until I have final approval when the tax rate will be set.鈥�
In addition to approving the interim operating budget, council also approved increasing utility rates and the 2017 capital budget, although council flagged a $35,000 proposal to build a temporary waterline for the bike park and a $10,000 request for signage. Both of those items will be discussed in the new year before funding is approved.
Among the items set aside in the operating budget, council would like to revisit a $49,000 request to support the Jasper Yellowhead Museum and Archives.
Council鈥檚 financial support for the museum has been on the rocks since the spring when it withheld a similar amount of funding until the museum presented a six-month business plan.
Prior to budget deliberations in November the museum put forward a three-year budget that indicated it intended to return to a balanced budget in 2017, albeit with the help of the municipality to the tune of $49,000.
During the meeting council also agreed to review the benefits package offered to library staff.
The current budget includes $188,000 for the library, including an additional $25,000 to pay for more staffing hours, cover a 3.25 per cent pay increase and provide library staff with a benefits package.
According to the Jasper Municipal Library board, the $25,000 request would help retain existing staff and allow the library to add 17 hours of additional staff time per week within its current operating hours.
Another item set aside for further discussion next year included the town鈥檚 Community and Economic Development Fund, which doles out $25,000 annually to support local organizations host various community events, from the Jasper Folk Music Festival to the Jasper Heritage Rodeo.
The fund was overhauled in the spring to combine the Economic Development Fund and the Community Development Fund into one streamlined process.
鈥淢y concern is when we went through all of this a year-and-a-half ago we focused on the mechanics of operating the fund, but we did not focus on the general intent and I think we should go back and revisit that,鈥� said Mayor Richard Ireland.
Currently the $25,000 is split evenly into two separate application periods. A maximum of $12,500 is available for the March 31 application period, and $12,500 for the Sept. 30 application period.
Earlier this year several councillors were concerned applicants were becoming too reliant on the fund to support their events, instead of finding new sources of revenue.
Council also agreed to revisit its own budget, which includes an estimated $295,000 in expenditures in 2017, the majority of which covers wages and benefits for the mayor and town councillors.
Currently the mayor makes approximately $40,000 annually, plus about $5,000 in benefits. Councillors can earn up to $20,000 plus the same benefits. There is also a $50,000 line item set aside for consultations and $36,000 for travel costs.
Another item council would like to review before it approves the 2017 budget includes a $10,000 line item for a trip to Hakone, Japan, Jasper鈥檚 sister next year. The majority of councillors have indicated they don鈥檛 plan to make the trip next year.
There was also a lengthy discussion about a proposed plan to provide childcare meals at Wildflower Childcare.
Kathleen Waxer, director of Community and Family Services, previously told council the program would not impact the municipal budget and would operate on a cost-recovery basis.
According to Waxer, it would cost $3 per day, per child, based on 50 children. The cost would be passed on to parents who would need to fork out an additional $115 per month. Parents would not be allowed to opt out of the program unless their child was an infant.
The proposed tax increase next year could be reduced by 0.5 per cent thanks to a $37,000 tax over levy that was approved in 2016, however it will depend on how many properties try to appeal their property assessments next year. The money will be applied to the 2017 tax rate when the bylaw is set in June.
For a property assessed at $750,000, a 3.01 per cent tax increase would equate to a $135 tax hike, bringing the homeowner鈥檚 total tax bill to $4,635. Municipal taxes represent about 60 per cent of the total property tax bill. The remaining part of the bill is for taxes such as the Alberta Education Tax, the Evergreens Foundation and Parks Canada requisition.
Bi-monthly utilities bills for an average homeowner would also increase by $9.52 to about $156 every two months.
For a commercial property assessed at $1 million, a 3.01 per cent tax increase would increase the property鈥檚 annual tax bill by $467 for an annual bill of $15,967.聽 The jump in utilities would increase a business鈥� bi-monthly utilities bill by $286.26 to $9,185.10.
Coun. Gilbert Wall and Coun. Vonna Arsenault聽were absent for the meeting.
Paul Clarke
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