(file photo/battlefordsNOW Staff)

By Angela Brown

City council

City approves lower tax increase, due to extra Municipal Revenue Sharing funds

May 9, 2023 | 8:42 AM

North Battleford city council approved a proposal to reduce the tax increase for 2023, after the city was notified it will receive additional Municipal Revenue Sharing funds from the province.

Administration reported an extra $179,000 is expected to be received.

Originally, in December of last year, council approved a 5.99 per cent tax increase for the 2023 municipal budget.

“We were debating that tonight – should we utilize it [the extra funds] all for projects, or reduce some of the taxes,” Mayor David Gillan said. “We’ve come up with a decision today, that instead of taxing at 5.99 per cent, we are going to be taxing at 5.34 per cent. Part of that additional revenue we are getting from the province we are going to utilize inside [for projects], and part will be reducing taxes.”

The city will use a portion of the funds, $100,000, to replace some street light poles at the Territorial Drive intersection at 100 Street.

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Part of the additional revenue, $25,000, will be used to purchase a backup generator for the North Battleford airport.

“That is a potential 50-50 cost share if we get the grant [the Community Airport Partnership (CAP) program, through the province],” Gillan said. “So, we’re going to use part of that extra revenue for that as well if we get it. And the balance of that extra revenue we are going to reduce the taxes to 5.34 [per cent increase].”

If the city is not successful in obtaining the CAP grant, it will defer the $25,000 for its 2024 revenues.

City administration initially recommended council opt to leave the tax increase at 5.99 per cent. But after discussing the issue, council amended the resolution for the lower tax increase.

Coun. Kelli Hawtin noted with inflationary pressures these days, it is harder for residents to make ends meet. So she recommended amending the resolution to a 5.34 per cent tax increase.

“We are all feeling it,” she said. “The grocery bill is higher, the power bill is higher, the phone bill is higher. It’s a challenge for everybody.”

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Angela.Brown@pattisonmedia.com

On Twitter: @battlefordsnow