Both ministers tell us that there will be no tax increases, even though provincial revenues have seriously declined. They're telling Albertans that the budget will be balanced by spending cuts and "wiser spending," to accommodate the $6 billion resource revenue shortfall.
Small municipalities like ours rely on provincial grants and programs for improvements and upkeep in the village. Streets improvements, tourist facilities, and a myriad of other programs are paid for by provincial grants, at least in part.
I worry that some of these grants will be severely reduced or cut completely, as Premier Redford and Minister Horner sharpen their pencils!
If that happens, we have two choices;
- Reduce or eliminate the project or program.
- Increase municipal taxes to replace the lost funding.
Neither of these options appeal to me!
In my experience working in municipal government, I have realized that Albertans do not want severe property tax increases, even though our property taxes here in this province are lower than most others.
Bottom line is that I cannot support a significant property tax increase! If the province does severely reduce or cut grants to municipalities, we will have to do some real belt-tightening here! Will the province download their financial shortcomings to the small municipalities?
I hope that I'm worrying for nothing!
First off, you mayor, are doing a good job of trying to provide adequate governance of the village. So props for that!
ReplyDeleteI agree with your opinion of not wanting to raise taxes. Doing so could prevent future investment in the village, especially if other surrounding communities do not hike their taxes as well. If funding is cut from the provincial government, council will likely face the classic political game theory scenario of the "Prisoners Dilemma".
However one issue that I see needing to be dealt with is the collecting of basic property taxes. Many Albertans and myself a like, are not very supportive of government taxation. However, due to many villagers not paying taxes already, compounded with the possibility of reduced provincial funding to the village, our STANDARDS OF LIVING in the village will DEFINITELY be impacted.
The LATTER needs to be clear to all villagers, and I support completely what you are saying.
If the province cuts funding.
1: Basic services such as public works projects will be cut. That means you might see services like garbage removal, street cleaning, and many things the average person takes for granted cut back.
2: Village recreation projects taken to a halt.
3: With out proper maintenance of the village less investment will take place. What this means for villagers, is migration to other towns, less small business, and virtually the bankrupting of the village, and possibly the a decline of property/ real estate value.
4:Virtually all things that are not of necessity will be cut back. This is contrary to the trend that most younger Albertans are used to. Since the 80s we have seen an increased yearly standard of living for the most part as a province. With reduced funding this trend will not continue.
SIMPLY SAID, THINGS THAT THE VILLAGE ENJOYS TODAY, MAY NOT BE HERE IN THE NEAR FUTURE.
WE NEED TO SMARTEN UP, AND PAY OUR ALREADY LOW TAXES, OR THE CONSEQUENCES COULD BE HARMFUL TO THE VILLAGE.
Thanks mayor for your hard work. You are in a tough position.