CANORA - This year’s budget, according to the Town of Canora, was a challenge for council members, in that while they have been planning some bigger projects, the costs of capital work has skyrocketed.
Planning for the construction of a transfer station began more than a year ago and since that time, the estimated costs have increased from about $1 million to $2.4 million, according to Michael Mykytyshyn, chief administrative officer.
“The work will be going to tender shortly and council is cautiously optimistic that perhaps the bids will be lower than the engineer’s estimates,” said Mykytyshyn.
“The station will replace the existing landfill, which will be decommissioned next year at an estimated cost of more than another $2 million. Of note, is that these projects were not initiated by town council, but are necessary due to the changes in provincial regulations regarding solid waste management.”
This unexpected increase in costs for the transfer station had a negative impact on the remainder of the budget for 2023. Other important projects had to be put on hold, including some heavy equipment purchases and large-scale street paving.
“To offset costs, council agreed to a $40 raise in the minimum property tax rate and a 0.5 mill increase in the mill rate. This will bring in about $110,000 more tax revenue than last year, an increase of just over five per cent overall.
“Council felt the increase was necessary, especially after holding the line on all other fees this year, including water and garbage rates. Mill rate factors remain at .67 for agricultural, .87 for residential and 2.3 for commercial properties.”
Just as the cost of living continues to go up, so do the costs to run a municipality.
“For example, there is no municipal program or rebate for the carbon tax,” said Mykytyshyn. “The Town pays more for fuel, electricity and heat, the same as everyone else, but receives no rebate or relief. When you think about the number of vehicles, equipment and buildings the Town operates, these costs are huge.
“And while the demands and expectations of the public keep increasing, no one ever wants to pay more. Municipalities are required by legislation to table a balanced budget, so when costs to provide the same services increase, the only way to make revenues equal expenditures is to charge more or reduce levels of service. This does not even take into consideration new services.”
Total revenue and expenses in 2023 are close to $8.2 million, with about $4.7 million of that in operating accounts. Capital funding and expenses are just over $3 million. Total tax revenue in the 2023 budget is slightly over $2.1 million or about 26 per cent of this year’s total revenue.
Other projects include water main replacements for about $470,000 and repairs to the main sewer lift of about $250,000.
“Council has heard much speculation in the community about building a new skating rink,” continued Mykytyshyn. “The rumors are inaccurate and council has not made any decisions regarding the future of the Civic Centre. Council did, in fact, budget for an engineer’s study to determine options for the facility. Only once this feasibility study is completed and council has good data will they discuss and make decisions on what’s in store for the rink.”
Despite the fact that the Town cannot fund all of the wants and needs of the community all at the same time, there has been positive movement towards accomplishing some of the former recently.
“The Canora Tourism Committee has been working countless volunteer hours to fund-raise for several improvements around the community, including the new entrance signs that were installed recently. And, because of their efforts, there were no budget dollars spent and no cost to taxpayers,” concluded Mykytyshyn.
