Four days of budget discussions have concluded in Prince Edward County.
Councillors and staff set the 2021 budget on Thursday afternoon at Highline Hall in Wellington that will see an increase of approximately $18 per $100,000 assessment. On a home assessed at $300,000, a home owner will pay an estimated $2,745 per year or $228.76 per month.
The municipal operating budget incorporates a 3.17% tax increase or 1.47% after assessment growth.
The municipality will raise $41.5 million in property taxes to fund the portion of the operating budget not covered by other revenue sources such as grants and fees.
The 2020 net operating budget is $1.28 million more than 2020 (3.17% increase).
Council also passed the rate supported operating budget for water and wastewater services of $8.8 million and the rate supported capital budget of $6.5 million.
Councillor Janice Maynard asked for another 2% to be put into road reserves, which would increase the tax levy to 3.49% after growth.
She said a $36 increase for those of more modest means is a lot easier to handle than replacing a tire.
The motion was lost 10-4 but was quickly followed up by a motion from Councillor Jamie Forrester seeking a 1% increase in the roads reserves, which also lost by a vote of 8-6.
Mayor Steve Ferguson said he was in favour of approving the budget presented by staff because he felt this was just not the year to make increases citing the challenges presented by the COVID-19 pandemic which turned everything from work to tourism to family to health sideways in 2020.
“With the municipality, as well as our residents and businesses continuing to face financial pressures due to COVID-19, the County’s 2021 budget focuses on delivering core services and value for ratepayers,” Ferguson said.
Council will vote to give the 2021 tax rates final approval during their meeting on February 9, 2021.
COVID-19-related measures
Council decided the municipality will continue to suspend penalties and interest on unpaid property taxes and water and wastewater bills until April 30, 2021.
Council also directed staff to draft a report exploring the development of a program to assist community members economically impacted by COVID-19 shutdowns and public health measures. The program would look at helping residents navigate tax and benefit programs provided by other levels of government.
Additional budget highlights
Council approved the following spending in 2021:
- $3.1 million for the rehabilitation of Picton Main Street from Bridge Street to Spencer Street. The municipality will cover the cost of the rehabilitation project using Federal Gas Tax funding.
- $2.4 million for rural road surface maintenance program.
- $372,000 for the redevelopment of Prince Edward County Memorial Hospital.
- $278,000 for the first phase of the Crystal Palace revitalization.
- $365,000 for affordable housing.
- $239,947 in total for the three streams of the Municipal Community Grants Program administered by The County Foundation ($189,716 for grants over $5,000; $38,453 for in-kind grants; and, $11,778 for grants under $5,000.
- $150,000 for land ambulance replacement.
