LDN20110711DC
Adelaide Metcalfe Council is looking to approve an $8 Million Budget and a 2.54% tax increase at their February 6th meeting. Average homeowners assessed at $290,000 will be paying $51 more in taxes and farms assessed at $800,000 will be paying $36 more. The Commercial Corridor North of Strathroy is still stalled by sewer and water issues with Strathroy-Caradoc. Commercial assessed value in Adelaide Metcalfe was valued under $40 Million while total residential value was over $332 Million. 74% of revenue is from property taxes in Adelaide Metcalfe, and under $5 Million is coming from property taxes.
Treasurer Johnny Pereira said in his report to council.
“The first draft of the 2023 budget was originally over 10 percent, but thanks to staff drastically cutting their budgets, finding efficiencies, utilizing our new investment policy, our new reserve and reserve fund policy and council’s commitment to focus in on a user pay system, we were able to find savings to decrease the tax rate. Staff is also recommending we make use of the newly created tax rate stabilization reserve fund in 2023 and use $45,000 of surplus from 2022.”
The town is bringing in just over 5% more in tax revenue compared to 2022. The Ontario Municipal Partnership fund has decreased by $55,000 and the Ontario Community Infrastructure Fund has decreased by $29,000. This means more money needs to come from property taxes.
Reserves built by taxes will be used to fund Capital Projects. In the next 5 years, we could see $12 Million in Capital Projects. $1.845 Million is in the budget for this year.
The Mullifarry Road rebuild is being split up with only $250,000 of the $3 Million being used this year. In 2024 and 2025, about $2.75 Million will be used. 5.5km of Langan Drive from Townsend Line to Sexton Road will be resurfaced at a price tag of $140,000. 7.3km of Walkers Drive from Melbourne Road to Thames Road will be resurfaced with a cost of $182,000.
$200,000 will be spent on culvert replacements on Scotchmere Drive. $36,000 not spent last year will be spent for the sidewalk extension on Kerwood Road to Kerwood Park. Phase two of the Kerwood Park improvements is worth $144,000 and was budgeted last year. $35,000 is being dedicated this year to fix the park barn.
$37,500 will be allocated to new gear for the Adelaide Metcalfe Fire Department.
88% of this years Capital Budget is transportation. Operating expenses are up $1.4 Million with most going to a new operating budget line for reserves.
$1.57 Million is for wages and benefits and $1.07 Million for contracted services, almost half is just for police.
The Municipality even budgeted $70,000 for legal fees associated with the Centre Road water and sewer servicing dispute with Starthroy-Caradoc.
Reserves for future costs will go up to $8.49 Million at the end of the year. At the start of 2023, the account sat at $7.87 Million.
written by: K. Close