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Vaughan's 2021 proposed $318M budget focuses on ‘growth,’ factors COVID-19 'uncertainty'

The proposed budget sends a ‘strong signal of our commitment’ on keeping taxes in check, says Rosati

Yorkregion.com
Dec. 7, 2020
Dina Al-Shibeeb

After presenting its proposed 2021 budget and 2022 financial plan, the City of Vaughan said residents can expect to see no increase in property taxes for the coming year.

The city envisaged a gross operating wallet of $318 million amid dwindling revenues due to the COVID-19 pandemic.

Vaughan’s deputy city manager Michael Coroneos explained to councillors that the 2021 budget has focused on “growth” to further bolster the local economy as well as to prepare for a job creation and population boom -- expected to reach about 463,000 people between 2031 and 2036.

But Coroneos also told councillors that the budget has factored in the “uncertainty” brought by the pandemic.

While last year Vaughan’s council unanimously approved a property tax hike of 2.85 per cent, Mayor Maurizio Bevilacqua vowed last month there would be no property tax increase amid the adverse impact of COVID-19 on the local and the international economy.

“Delivering a zero per cent tax rate in the city's 2021 budget is a priority for myself and all members of council,” Bevilacqua said in a statement. “Relief is at the heart of our COVID-19 recovery efforts, and the City of Vaughan remains dedicated to supporting residents and businesses during these unprecedented times.”

Regional Coun. Gino Rosati said the budget proposal makes him feel “proud” and it sends a “strong signal of our commitment” on keeping taxes in check.

However, the 2022 financial plan, with an expected $333.8-million gross operating budget, would see a three per cent in incremental tax rate.

A slide shown by Coroneos revealed that expenditures are coming from $700,000 in growth pressures, $2 million in current service level pressures and $300,000 in new annual recurring revenue.

For the proposed water, wastewater and stormwater operating budget, there is going to be a 4.5 per cent increase in both the proposed budget as well as the financial plan.
Meanwhile, during the meeting, Bevilacqua touted the city receiving the 2020 Distinguished Budget Presentation Award from the Government Finance Officers Association (GFOA). In 2019, it scored D+ on its report card following the C.D. Howe Institute grading financial presentations of 31 major Canadian municipalities.

The next public meeting to discuss the draft budget is Tuesday, Dec. 8 at 7 p.m. A special council meeting will be held on Tuesday, Dec. 15 at 7 p.m. to approve the draft budget.

Also, the budget proposed the following major infrastructure projects: