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Study reveals big spending

The District of Squamish spends more than an average community its size, according to a recent B.C. Municipal Spending Watch report. The report, published by the Canadian Federation of Independent Business, shows that among B.C.

The District of Squamish spends more than an average community its size, according to a recent B.C. Municipal Spending Watch report. The report, published by the Canadian Federation of Independent Business, shows that among B.C. communities with populations between 15,000 and 25,000, Squamish is the one of the top spenders per capita, coming second only to Prince Rupert.In 2006, Squamish spent $1,340 per person, several hundred more than the provincial average of $1,073.Mayor Ian Sutherland said the town has been spending more as it invests in the future."In our case, we have spent heavily on infrastructure," he said. The RCMP building, sewer treatment upgrade, purchase of the forestry building and a heavy investment in diking are some of the costs that prepare the community for days ahead."Take those out and we would be in line with most communities that are growing," he said. "Growing is key, because that means we are investing money now for services in the future."The report also identifies Squamish as a community with spending that is increasing at a rate more than double population and inflation growth - a trend it states is unsustainable in the long run.Sutherland said the inflation faced by consumers is far different than what municipalities endure."Included in our list is wages, cost of fuel, cost of insuranceand the services that we now pay for that used to be paid for by the provincial government," he said.While the report suggested Squamish is spending at a worrisome rate, an annual audit showed the district is at least being upfront about spending."There were no errors in disclosure. We had no fraud or illegal acts that we are aware of. No significant weaknesses in the controls that are operating here," said KPMG senior manager Randy Strandt of the district's 2007 financial statements. He said the municipality should budget for the closing of the landfill since it is nearing the end of its lifetime. The value of the landfill and the cost of closing it were estimated to be $2.3 million. "It all depends on what you're going to do to the landfill," Strandt said.Currently, the Cheekye landfill is set to be upgraded and converted into a regional landfill. A funding formula for the change has yet to be determined.Strandt also weighed in on the Squamish Sustainability Corporation (SSC) and the Squamish Oceanfront Development Corporation (SODC).He said the two organizations would need to stop incurring losses if their finances are to continue being listed separately from the district budget."The concern would be if you proceeded to have operating losses going forward, you would have to consolidate them line by lineif there wasn't a future objective that these would have profitable operations," Strandt said.Coun. Corinne Lonsdale asked if the district treats SSC and SODC differently than most municipalities do their arms-length corporations.Strandt said the district's approach was normal.The district's financial information public bodies report was also released at the strategy session. While there was no discussion of its findings, it demonstrated the amount district staff and council members are paid.The highest paid employee of the district is chief administrative officer Kim Anema, who made $116,367.96 in 2007. Councillors were paid $17,767.18 on average, while the mayor made $34,803.60.

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