Budget. The very word brings feelings of trepidation to even experienced councillors. All of our ideas and community initiatives we bring forward during the year must face the test of reality during the budget debates. Finalizing the budget each year requires some of the most difficult decisions we'll face. We have often heard from our community members that they want the services contained in the budget and are prepared to see reasonable tax levels to support those services, but providing those services and keeping tax levels as low as possible presents challenges.
The previous two years have seen budgets that resulted in significant tax increases. This was due to a number of factors including increases in policing costs, increases in transit services, additional debt servicing to fund infrastructure improvements and increased labour costs. Council was not completely happy with the budgets that resulted and so this year asked staff to bring back options of service reductions that would result in a budget with no increase in dollar value.
It is difficult for elected officials to make decisions cutting services without understanding the full effect those cuts may have on other areas of the municipal government, so staff was asked to consider what reductions in service could be made to meet that target while minimizing the effect on other functions and services. This involved a significant amount of work on staff's part but council felt we owed it to the taxpayer to go through this exercise whether or not we end up with such a budget.
It must be remembered that the existing municipal organization is continually being streamlined to provide greater efficiencies. The Service Squamish Initiative, underway for more than three years now, has substantially reorganized municipal government and operations to make them more efficient, so asking staff to provide options for further reductions in services and costs presented a significant challenge.
Staff brought forward three options for consideration. The first is a zero per cent budget which would have no dollar increase. This would result in reductions in services we enjoyed in 2013. The second is a budget for the same service levels as in 2013 which, because of inflation, labour costs, the phasing in of policing cost increases, etc., would result in an increase of 6.2 per cent. The third is the budget recommended by staff, which would provide for existing services at 2013 levels, some minor additional services and contributions to reserves in line with our long-term financial plan and would result in a 7.7 per cent increase.
Council has just begun this process. On Nov. 19 we heard from our financial managers and department heads who explained the options. Our next budget review is set for Dec. 10 and at that time we will begin debating these options and making decisions.
Final decisions will be made in the spring. We value the community's and so I want to encourage you to follow these proceedings in the media and on our website and to give us your comments. The District of Squamish website is www.Squamish.ca/budget and you can email your comments to [email protected]. Your comments will help us find the balance between services the community wants and keeping the tax levels at a reasonable level.
