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MANOR PARK CHRONICLE
MAY
2001
Budget Time is Upon Us
This year's budget process was effectively launched by the Transition Board with the release of their recommended budget. The good news is that the Board had recommended that there be an overall tax envelope freeze. There was an identified relatively small shortfall of some $9.7 Millions for 2001 which the Board suggested be funded out of previous surpluses or operating reserves. The Board felt that this approach was justified since the shortfall was for one year only. Their budget for subsequent years indicated a surplus condition. All of this excludes, to be sure, the famous one-time transition costs of recent fame. More about this later in the article. As part of Council direction to staff it has requested that staff prepare budget proposals assuming a freeze in the taxation requirement based on a 2% growth in new assessment.
Council's consultation process will be held in the period March 1 - 21. It should be noted that, this year, Budget Review has been separated into an Operating Budget Review and a Review of the Capital Budget. Standing committees will be hearing from the public on the following days:
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Operating |
Capital |
| Planning & Development |
March 22 |
April 26 |
| Emergency & Protective Services |
March 26 |
April 23 |
| Environmental Services |
March 27 |
April 24 |
| Corporate Services |
April 3 |
April 17 |
| Transportation & Transit |
April 4 |
April 18 |
| Health, Recreation & Social Services |
April 5 |
April 19 |
| Audit |
April 10 |
|
| Council Review and Adoption |
April 25 |
May 9 |
As usual, a public Budget consultation/information meeting will be held in this ward in advance of the committee-by-committee review. This is an excellent way to become informed of the actual budget proposals and their consequences. A senior member of the City's Finance department will be on hand to provide an overview and answer questions as will, of course, your representative. This year the meeting will be held at 7:00 p.m. February 20, in the Courtyard Room at the St. Laurent Complex, 525 Côté Street - next to the St. Laurent Library. I hope to see you there.
Transition Squabbles
The following is a short summary of the argument that has erupted between the City and the Province over the costs associated with the transition. Briefly, it had been estimated that the transition might cost $50 Millions in non-recoverable one-time charges. The Transition Board appointed by the Provincial government spent or committed to some $189 Millions. The Transition Board had committed to asking that 75% of these costs be covered by the province. We were then informed by press release that the province would offer only 50% of these monies plus an offer to cover interest charges for three years should the City decide to borrow to cover its share of the costs. The numbers that you have seen in the media arise from these basic facts. Essentially, the transition process itself would have burdened the City with $94.5 Millions (50% of $189Million) in debt at the very birth of the City. Part of the rhetoric involves unfavourable comparisons with Toronto and its amalgamation exercise. Facts and figures on provincial assistance to the City of Toronto can be found on the Ministry of Municipal Affairs' own web site. Some of the more significant numbers are:
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$50 Million grant and two $100 Million interest-free loans;
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$53 Million in assistance for GO transit;
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$565 Million in additional property tax room annually;
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$829 Million in capital funding to Toronto and the TTC.
So much for the facts. Perhaps your local representatives can be forgiven for protesting at the treatment meted out to Ottawa following our own transition. Be that as it may, Council recognized that press conferences and press releases were no way to negotiate fair treatment by the Province. At my urging, Council passed a motion charging our Mayor to seek a meeting with Premier Harris to seek an equitable resolution of this controversy.
You can communicate with me at:
City of Ottawa
110 Laurier Avenue West
Ottawa ON K1P 1J1
Tel: 580-2483, Fax: 580-2523
e-mail: jacques.legendre@city.ottawa.on.ca
Web Site: www.city.ottawa.on.ca/city_council/j_legendre_en.html
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