Markham hikes taxes 2.4% in 2016 budget

YorkRegion.com
Dec. 16, 2015
Amanda Persico

Markham approved its 2016 operating budget at this week’s final council meeting of the year. 

The approved 2016 tax rate adds $29.77 a year to the tax bill for the average Markham homeowner (a home valued at $597,000) and an additional $16.59 for the average $333,000 Markham condo owner.

Tack on the region’s hike of $64, a residential stormwater fee of $47 and the water and wastewater rate increase of $56 for an additional $195 for the average homeowner.

In 2015 the owner of a $597,000 home in Markham paid $1,219 in city taxes, $2,426 to the region and $1,164 in education taxes for a total of $4,810. With this coming year’s hikes the total will exceed $5,000.

But compared to other GTA municipalities, Markham says its rate is one of the lowest.

Oakville approved a 2.45 per cent tax rate increase, while Vaughan approved a 2.9 per cent increase. Brampton and Mississauga are looking at a 5 per cent tax rate increase.

The city started with a tax rate of about 3.63 per cent, but pared it down to 2.44 per cent. 

“This is a strong budget,” said the city’s budget committee chair and ward Councillor Logan Kanapathi during this week’s council meeting. “This is a responsible and prudent budget. We couldn’t cut any further.”

Part of the modest tax hike can be attributed to the city’s entrepreneurial culture at the administration level, where collaboration and efficiencies are at the helm, Mayor Frank Scarpitti said.

The city says it achieved more than $22 million in savings through its excellence through efficiency and effectiveness program since 2009.

“When people see the new Pan Am Centre, people say it’s a beautiful facility. Then they say, ‘Oh, your taxes must be high’,” said Scarpitti. “Then I have the great opportunity to tell the story of this outstanding organization.”

The city’s 2.44 per cent includes 0.16 per cent or $220,000 for the city’s ice storm recovery program, which is in its final year.

The 2016 capital budget is set at $122.82 million and includes $2.71 million for growth related services – all of which require regular maintenance – including 19 kilometres of new roads, 69 acres of parkland, 2,700 tonnes of waste collection and 865 new street lights.

Budget drivers this year include staff increases at the Cornell Fire Station, Pan Am Centre and southeast community centre and library and hiring two new bylaw officers.

There’s also new staff for new facilities such as the Markham Sports Park, Milliken Mills library expansion and a new operations works yard – projects which still require council approval.

The 2016 operating budget is up from $199.30 million in 2015 to $209.72 million and about 59 per cent of the city’s total operating budget is spent on salaries and benefits.

SIDEBAR

By the numbers:
Here is a breakdown of city’s capital budget:

• $12.55 million – 70 acres of new park design and construction split between 20 different park projects;
• $12.35 million – Hwy. 404 ramp extension, north of Hwy. 7;
• $9.55 million – Verclair Gate bridge over Rouge River;
• $8.63 million – Miller Avenue extension from Woodbine Avenue to Rodick Road, plus $1.86 million for extension between Warden Avenue and Birchmount Road;
• $7.82 million – improvements to community centres and libraries and fire stations;
• $6.62 million – watermain and sanitary sewer construction;
• $6.58 million – west Thornhill flood control program;
• $5.54 million – roads rehabilitation;
• $4.13 million – Emerald Ash Borer program, the fourth year in a five-year program;
• $4 million – investment in Markham District Energy Inc.;
• $3.24 million – multi-use pathway construction;
• $2.14 million – library collections;
• $1.57 million – fire and emergency services;
• $930,000 – Hwy. 404 bridge, north of Hwy. 7. Cost is $38.44 million split between Markham, Richmond Hill and York Region. Markham’s total portion is $12.5 million;
• $520,000 – sports field maintenance and court resurfacing;
• $410,000 – traffic signals and traffic improvements;
• $190,000 – waste management initiatives, including textile recycling;
• $120,000 – trees for tomorrow program.