HUNTSVILLE — Huntsville council passed its 2010 capital and operating budget with a 4.99 per cent increase at its first regular council meeting of the year.
Councillors present at the meeting voted unanimously in favour of the budget.
That works out to a tax impact of $17.54 for a house valued at $100,000.
The local tax increase does not include the District Municipality of Muskoka levy or education taxes.
Finance and administration spent the better part of half a year pouring over the budget books.
Thanks to $34 million in mostly upper-level government funding, Huntsville has a slew of new infrastructure and upgraded roads — the updated Huntsville Centennial Centre, University of Waterloo facility, Conroy Park, Port Sydney Fire Hall, Hanes Road and Deerhurst Drive, to name a few.
The new buildings are expected to generate revenue through user fees for the town by September.
Until they are up and running and making money for the town, more funding is needed to subsidize increased operating costs, such as staffing and insurance.
Council praised staff for being able to keep the tax increase within a manageable margin.
It kept department operating budgets at status quo, which means last year’s services at this year’s prices.
Department wish lists in both capital and operating initiatives, which would have cost an additional $1 million were whittled down to under $300,000.
Some of the new services for 2010 are improved corridor maintenance on Centre Street and West Road, new town websites, a card reading system for Huntsville Centennial Centre users, fibre optic connectivity for the town, and new desktop scanners.
Council also agreed not to put additional money in reserves in 2010 — reserves are savings for long-term projects or emergencies — to help reduce the impact of new infrastructure on taxpayers.
“I’m very pleased with the results,” said Zanetti. “This budget allows Huntsville to continue to provide excellent core services by limiting expenditures, doing business in a more efficient manner and by maximizing the use of government funding, grants and user fees.”
The 2010 budget doesn’t include the now projected $8.2-million municipal debt for G8 and other capital projects, $1 million of that refinances the current Jack Bionda Arena debt at a lower interest rate.
A new council has to start paying this back in 2011. Huntsville mayor Claude Doughty has said this will be equivalent to a cup of coffee a month for ratepayers.
Before passing the 2010 budget, Huntsville resident Terence Russell spoke in a deputation to council. He asked it reconsider passing the budget for a month to allow for more public consultation.
His request was denied.