No municipal tax relief in sight
Comment
by Chris Simon

Innisfil residents should get used to an annual increase in property tax.

Most municipal politicians will suggest that the days of a zero per cent property tax increase are over. And there are several reasons why they're right, especially in the Town of Innisfil.

Over the next few weeks, town staff will be looking at ways to trim the 12.7 per cent property tax increase proposed in Innisfil's 2008 operating budget. Councillors have requested that staff attempt to bring the increase down to 9.5 per cent.

But either way, the average residential homeowner would be paying somewhere around $100 more on their town tax levy than they were last year.

Currently, a 12.7 per cent increase translates into a $111.13 hike in taxes. If you include county and police taxes, homeowners will be paying over $173 more, on average, than they were last year.

In each of the next two years, double-digit tax increases are also forecasted.

Staff have already narrowed the budget down from a proposed 19.8 per cent increase, which was forecasted at the start of last week's public budget meeting. However, they have suggested trimming the budget by a further three per cent could impact municipal services.

According to the town, this year's proposed increase is due to several factors. Specifically, nearly 40 per cent of the increase is related solely to the operation and financing of the new recreation and administration centres. The town is still paying for the cost of the facilities, however, there are also anticipated ongoing costs to maintain each building. The recreation centre will need to be staffed, ice will have to be made, floors will need to be cleaned, and equipment will have to be maintained.

At the town hall, ongoing maintenance costs will also need to be covered.

About 20 per cent of the increase has been attributed to salaries and benefits, while more funding has also been allocated for capital projects.

Theoretically, salaries and town infrastructure will continue to grow each year. Every time the town hires a new person, or keeps existing staff on for another year, budgets will expand. The cost of infrastructure is also ongoing, long after roads, bridges and buildings are constructed. Many large-scale projects are financed over time, with many needing continued maintenance. Potholes need to be covered and facilities need to be cleaned and repaired. Every little item, from a blown light bulb to an oil change needs to be paid for by the town.

And as the town continued to grow, its budget will naturally increase. Though many growthrelated projects like roads and sewers are paid for through development charges, once that infrastructure is in place, maintenance costs are absorbed into the town's regular operating expenses.

It's an expensive but necessary price tag to keep the quality of life high among Innisfil residents. Perhaps residents are paying for poor municipal planning several years ago. But unless they're willing to take significant cuts in service areas like libraries, public halls, fire and rescue services and water treatment now, the likelihood of a zero per cent increase in property taxes may have already become a far-fetched hope.