Property taxes in Sudbury are likely going up around 3.6 per cent next year, which works out to an extra $100 for a home valued at $230,000.
Meeting on Tuesday, city councillors received their first official look at the proposed budget for next year, which includes a total of $537 million in spending, an increase of $16.6 million compared to 2016.
In addition to the 3.6 per cent increase, the budget also includes an option for councillors to approve an additional 1.5 per cent increase earmarked for capital work. The extra levy would raise $3.6 million, which could be spent on reducing the city's billion-dollar infrastructure deficit, or leveraged to raise $50 million in debt financing to do more work in a short time period.
Also notable is an increase of $123 million in capital projects compared to 2016, bringing the total to $229 million. That's mainly as a result of the $80 million Maley Drive extension, as well as other funding from the provincial and federal government for such things as new transit buses.
“The increase is mainly to do with an influx of funding from federal and provincial governments,” said chief financial officer Ed Stankiewicz.
In addition to the proposed rate increases, water and sewer rates are rising by 7.4 per cent, part of a long-term plan by the city to boost the amount of money available to maintain the pipes and other infrastructure. The increase works out to about $7 a month for a typical homeowner.
While no votes were held Tuesday, Ward 3 Coun. Gerry Montpellier was upset that plans to four-lane MR35 aren't in the city's plans for next year. Instead, the budget only calls for engineering and other preparation work.
“I believe I've been led down the garden path,” Montpellier said. “I truly, truly believed this city was going to take on this project.”
Four-laning of the highway is a priority for Montpellier and Ward 4 Coun. Evelyn Dutrisac, who both represent people from the former Rayside-Balfour.
It's a contentious issue because the town was the only municipality in the former Region of Sudbury willing to accept a slots gambling facility, which still operates at Sudbury Downs. Shortly after the community agreed to host gambling, the area was amalgamated into the new City of Greater Sudbury.
The new city has received more than $30 million in revenue from the slots, which is how much the four-laning project would cost.
Stankiewicz said the city will be applying for infrastructure funds from upper levels of government for the project. But if it's a project that the city is already planning to do, he said it's less likely the federal or provincial government would help fund it.
“Otherwise it would be $33 million of city money” that would be used, Stankiewicz said.
Montpellier said he didn't want to argue, but that he was under the impression the work was going to be done next year.
“I truly am disappointed,” he said.
City CAO Ed Archer said any decision on whether to proceed and when ultimately lies with the politicians, not staff.
“Council has full discretion to move this project forward, if that's what they decide to do,” Archer said.
The city budget is expected to be finalized by mid-December. The budget breakdown and highlights are available on the city's website.
