Budget Includes Tax Increase And Infrastructure Levy

Just before 10 pm Wednesday evening at a special meeting of Council - in a split vote - Moose Jaw set the 2020 tax increase and added an Infrastructure Levy or a flat tax to all dwellings and property to help pay for cast iron water main replacement.

The vote on the overall budget was six to one with Councillor Brian Swanson the lone council member to vote against adopting the final budget.

In a series of votes Council approved a 2.3 percent property tax increase as well as a $30 infrastructure levy. The tax increase will net the City an additional $679,362 meaning in total the City will collect $28,067,000 through property taxes.

The 2.3 percent property tax increase includes a one percent capital surcharge for infrastructure renewal for the Parks and Recreation Department.

In a 5-2 vote the Infrastructure Levy was set at $30 in 2020 - an election year - and then will be ramped up in the following two years to a $100 levy. Councillors Crystal Froese and Swanson were opposed.

Additionally $7.2 million from the projected $10 million in land sales was allocated to capital projects. As part of those capital projects $500,000 will be moved to the Moose Jaw Municipal Authority as a grant to help lengthen the runway.

The budget will see $1.3 million moved to the general capital reserve. The vote on this motion was 6 - 1 with Councillor Swanson opposed.

Your water bill will be going up six percent and the sewer bill rises by five percent. The two votes here were 5 - 2 with Councillors Dawn Luhning and Swanson opposed to both motions.

The federal gas tax was assigned to the northeast feeder line project. This was the only unanimous vote in the series of final votes to adopt the budget.

The 2020 - 2024 Five Year Capital Budget will see $195,082,000 spent over five years. The projected Capital Budget for 2020 is $41 million.

The Equipment Reserve will see spending equal to approxomately $500,000 per month spent throughout the Budget.

Come back later for more detailed budget coverage.

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