Newmarket watchdog group blasts town spending as budget hikes loom
With water rates, property taxes, fees and charges on the rise, town spending criticized

YorkRegion.com
Chris Simon
Nov. 20, 2015

When it comes to reducing water rates, Newmarket may be up the creek without a paddle, says the town's regional councillor.

John Taylor was commenting on the likelihood that residential water bills will be rising by between 6.5 and 7.5 per cent in 2016 — about $62.83 to $72.50 for the average resident — during budget deliberations earlier this week.

"It sounds like a lot, and it is, but it might be coming in below many of our (Greater Toronto Area) neighbours," he said. "This kind of pressure has been going on GTA-wide for awhile. Conservation has been enormously successful but the system still has to be paid for. Short of not meeting legislative requirements, I'm not sure we have a lot of options."

Overall, residents will likely see a hefty increase in town rates, from Newmarket's portion of the municipal tax bill, to various fees and charges. The town is aiming for a 2.5-per-cent increase or $61.68 for the average homeowner with an assessment of $450,072 on the town's portion of the property tax bill. As well, it looks like fees and charges for many town services, including Central York Fire Services inspections, permit fees and civil marriage service fees will increase by 3 per cent to 3.5 per cent.

However, the proposed increases have the Newmarket Taxpayers Advocacy Group fuming.

In light of the additional burden proposed by this year's budget demands, town staff and council should work harder toward decreasing "unnecessary" spending, president Teena Bogner said.

NTAG points to more than $2,530 spent on meals by fire service personnel, including several senior managers, as well as nearly $1,060 at grocery stores and about $300 at party and flower shops, as examples of excess between January and September of this year.

Those expenses are funded through allocations in the 2015 budget, which was adopted by council earlier this year.

"The CYFS clearly has no shortage of charges to Tim Hortons or pizza restaurants," Bogner said. “It is absolutely deplorable that in this current economy, when so many taxpayers are struggling and countless corporations, including municipalities, have downsized, decreased spending and implemented aggressive internal efficiencies, that the town continues to justify out-of-control spending. Rather than consistently and predictably increasing taxes, user fees, hydro and water rates, why not cut costs? It seems fairly obvious that money can be saved with internal efficiencies. At what point do town council and management realize they work for the taxpayer? This is shameful and unacceptable.” 

Bogner also took aim at the town's marketing and sponsorship wing, which spent $4,880 at restaurants between January and September of this year. In March, one employee expensed 11 meals, its documents show.

Bills from 7-Eleven ($3.95), Cobs Bread ($5.60) and Macs Convenience ($5.92) also appear in the expense report.

"Eliminating unnecessary and unmonitored entertainment spending will not close the current budget gaps," Bogner said. "At issue is the town’s utter lack of leadership, starting with council and the CAO’s office, to demand internal cost-cutting measures and end the free lunches and groceries."

The town's entertainment spending is an indication it is unwilling to seriously address the "high internal management costs that contribute to the (yearly) tax increases", she said.

However, employee engagement activities and networking opportunities account for about $77,080 of the $80.6 million in operating funds spent by the municipality, so far. The perks are used as a recruitment tool to attract and retain quality staff, town CAO Bob Shelton said.

"We have a number of controls and practices in place that are adequate," he said. "But we absolutely appreciate when the public does take time to question process and practices and to suggest different approaches. We take those seriously. We're trying to have a motivated and engaged staff. We motivate through trying to create an environment where people really do care about what they do, want to come to work and put in the extra effort. If we ask staff to work through lunch, and that happens all the time with extremely busy schedules, we bring in some sandwiches. It's quite appropriate, in my mind."

Since the town does not offer large bonuses and other financial incentives to staff, these tools are used for motivation and to show appreciation, Shelton said.

Newmarket does have several policies in place to ensure spending is controlled.

For example, senior staff needs to approve the claims, working lunches must be OK'd in advance and regular audits are completed, he said.

"I'm trying to align staff with the strategic priorities of council and motivate them," Shelton said. "It helps to entice people to get engaged and add to our productivity."

Council is expected to approve the draft 2016 fees and charges Nov. 30, but final adoption of the budget has been pushed back to mid-January.

SIDEBAR

NTAG points to more than $2,530 spent on meals by fire service personnel, including several senior managers, as well as nearly $1,060 at grocery stores and about $300 at party and flower shops, as examples of excess between January and September of this year.