Georgina proposing 0.95 per cent property tax increase for 2021--lowest in 10 years

0.95 per cent tax increase plus a 0.50 per cent reserve levy: What you need to know about Georgina’s draft 2021 budget

Yorkregion.com
November 2, 2020

Council is set to deliberate the 2021 budget Dec. 1 and 2.

Here's what you need to know:

HOW MUCH ARE TAXES INCREASING?

The town is proposing a 0.95 per cent increase in property taxes, with the option of tacking on a 0.50 per cent levy to fund the town’s road maintenance reserves.

The total proposed increase is 1.45 per cent--the lowest tax increase in more than a decade.

Georgina’s tax rate increased by 3.9 per cent in 2020, 3.6 per cent in 2019, 2.9 per cent in 2018 and 4.5 per cent in 2017.

HOW MUCH WILL THAT COST YOU?

Based on the average, single-family home assessed at $403,000, the total 2021 tax increase amounts to an additional $30 per year, or $20 per year without the capital reserve levy.

On the water, it’s almost double. Based on the average single-family waterfront home assessed at $722,000, the total increase amounts to an additional $54 per year, or $36 per year without the capital reserve levy.

HOW IS THE BUDGET FUNDED?

The $78 million operating budget is funded by: $46.2 million in property taxes; $15 million in water and wastewater fees; $11.8 million from user fees and other revenue; $2.6 million from development charges; and $2.4 million from town reserves.

WHAT DOES THE 2021 BUDGET INCLUDE?

The town’s proposed operating budget includes about $9.4 million in reserve contributions.

The proposed $68 million capital budget includes about $19 million carried over from the Multi-Use Recreation Complex; $14 million from the new Civic Centre project; and about $26 million in other projects slated for 2020.

Excluding carry over projects, the 2021 capital budget is about $8.3 million--about $5 million lower than normal--and includes: $2 million spent on road maintenance, resurfacing and rehabilitation; $1.7 million spent on water and wastewater infrastructure; $850,000 to replace a fire tanker truck; and $760,000 in IT projects.

WHAT IS THE MOST EXPENSIVE BUDGET ITEM?

Salaries and benefits of both town and public library staff amount to about $35.4 million, or about 45 per cent of the 2021 operating budget.

WHAT ABOUT THE NEW CIVIC CENTRE?

Construction of the new Civic Centre will remain on hold until 2021, pending a final analysis.

HOW HAS COVID-19 IMPACTED THE TOWN’S FINANCES?

It is expected the increase is COVID-19 safety expenditures and revenue losses from closed facilities will result in a $1 million shortfall, which is equivalent to an additional 2.2 per cent tax increase. Town staff recommend funding the gap through the town’s tax rate stabilization reserve.

WHAT NEW INITIATIVES ARE PROPOSED?

Here’s a look at major initiatives planned for 2021:

• Complete design and start construction of the Multi-Use Recreation Complex;

• Construction of the new Julia Munro Community Park;

• Replacing aging water mains in Keswick and Sutton;

• Open Pefferlaw fire Station;

• Develop a permanent outdoor patio program;

• Expand economic recovery initiatives, including Shop Local programs and COVID-19 grant programs;

• Continue partnership with Georgina Trades Training Inc. and Ontario Water Centre;

• Create lending mobile hot spots through the Georgina Public Library.

For more information, visit www.georgina.ca/budget.