Essa council agrees on two per cent budget increase
by Richard Blanchard

Essa township's 2007 budget will likely see a two percent increase over the 2006 budget.

Despite township mayor Dave Guergis' wish that the township consider a zero per cent increase, the rest of council felt an increase of two per cent was more appropriate.

Guergis told council Wednesday night that a zero per cent tax increase would show that the council was acting more financially responsible.

"For years, we aimed for zero per cent increases but that has changed over the past few years to where two to four per cent increases seem the norm. I just wonder where it ends," he said.

Councillor Sandy Macdonald said that the township was seeing external increases in expenditure which it had to pass on.

"We seeing increases in our levy to the NVCA, heat and hydro which we have to pass on," he said.

Councillor Ron Henderson said that he felt that a two per cent increase in the township portion of the tax bill was pretty small.

"On a $2,000 tax bill, the township only keeps a third of it so a two percent increase will only mean a $14 per year increase. It doesn't amount to a lot of money," he said.

Guergis said that he disagreed with council and said that council should set an example.

"We should be living within our means. We have the same disease as other municipalities in the county which have seen increases of five to ten per cent this year," he said.

"Its just another example of why taxes in Canada have increased as a proportion of income from 30% to 45% of individual's income. During my 13 years on council, we only passed three tax increases," he said.

In an informal vote, council voted in favour of the two percent increase.

Council hopes to approve the budget at its May meeting.