PORT CARLING - Muskoka Lakes property owners can expect a 6.4 per cent tax hike, if the township’s 2010 budget is passed as proposed next month.
The budget was introduced at a committee of the whole meeting March 10.
Staff is recommending a 6.37 per cent tax increase, which equates to an additional $15.83 for the average home assessed at $250,000, said Julie Stevens, township treasurer.
The overall tax levy proposed is $7,442,195, which is an increase of 8.49 per cent or $582,424 over the 2009 approved levy, said Stevens.
The proposed increase in operating expenditures from 2009 to 2010 is $386,650 or 3.8 per cent, said Stevens. The 2010 operating budget comes in at $10,566,793 compared to $10,180,142 budgeted for 2009.
Administrative services, including the clerk, chief executive officer, treasury, financing charges and economic development, are proposed to increase by $238,000.
A portion of that increase is due to wage increases for full-time staff.
An increase of $38,300 is recommended following a report commissioned by township council, said Stevens.
In the report, McDowell and Associates found full-time non-union employees at the municipality were being paid below competitive market wages by approximately two per cent, said Stevens. The draft budget includes a three per cent salary increase for non-union employees, she explained.
Meanwhile, computer services costs are budgeted to increase $76,700 due to new financial software. Costs related to the 2010 election are budgeted at $80,000.
The township has also budgeted $90,000 to cover legal expenses, which includes the Ontario Municipal Board hearing on the official plan. There are three appeals to the OMB relating to the official plan and the Port Carling boundary expansion. Friends of Port Carling, a citizens group of more than 200 families, and the Muskoka Lakes Association (MLA) submitted appeals opposing the expansion. Hanna’s Landing Inc., the developer spearheading the expansion, submitted an appeal with the opposite view.
Capital budget
The township is proposing to spend $2.9 million on capital investment programs in 2010.
Big-ticket items include the remaining work on the Port Carling streetscape project. The township’s remaining portion is $235,144 for this endeavour, which was jointly funded by the federal and provincial governments, said Stevens.
A pumper/tanker truck replacement for the Milford Bay fire hall comes in at $280,000, according to the budget report.
Councillors looked for ways to delay the purchase of the fire truck, but Muskoka Lakes fire chief Jim Sawkins indicated insurance rates would increase if the truck’s 20-year life was extended.
Transportation services, including road upgrades, accounts for the largest amount of expenditures at $3 million or 28.5 per cent of the budget.
The Township of Muskoka Lakes portion of the overall Muskoka property tax bill is the smallest portion of the total bill, Stevens pointed out. The District of Muskoka received 49.35 per cent of residents’ tax bill in 2009 and education tax took 36.4 per cent, she explained.
Councillor Brian Hare pointed out the commercial tax levy is up nearly $200,000.
Stevens confirmed that condominium taxes from the Red Leaves development came online in 2009 and are part of the growth for the township.
Council will hear delegations and discuss the budget on March 31.
The 2010 budget is expected to be adopted on April 13.