Cavan Monaghan Township council approves 3.4 per cent tax increase

Cavan Monaghan Township council approved its 2024 operating and capital-funding budget Tuesday, with an increase of 3.4 per cent to its municipal residential tax rate — down from a staff preliminary budget estimate of a 14 per cent jump.

The operating budget is $10,700,850 and the capital budget is $12,070,663.

An environmental budget of $528,690, a water and wastewater operating budget of $1,006,876 and a water and wastewater capital budget of $1,680,302 is also included in the final tally.

In a report to council, staff note there will not be any changes to service levels from what the municipality now provides.

The original estimated tax rate increase of 14 per cent was reduced by the budget committee to a 7.9 per increase in the first draft.

Council then directed staff to amend the budget to a “levy increase to below four per cent” in the second draft and approved further reductions at a special budget meeting in January to the present rate of 3.6 per cent.

Decisions by council led to the following budget changes, resulting in reductions:

An additional library board contribution of $3,300 towards the Old Millbrook School play shade structure;

A $20,000 cut from the budget for a splash pad, meaning the cost was reduced from $250,000 to $230,000;

And, $33,000 in updated departmental budget estimates.

A new fire and ambulance station on County Road 10, which is expected to be completed in 2024, is the largest capital expenditure, budgeted at $7,979,510.

An estimated one per cent municipal tax levy increase equals a property tax increase of $6.97 per $100,000 current residential value assessment, or $27.89 per $400,000 current value assessment.

In 2020, the tax levy increase was 3.2 per cent; in 2021 it was one per cent; in 2022 it was 2.85 per cent, and last year it was three per cent.

Councillors Gerry Bryne and Nelson Edgerton voted against the budget approval in a recorded vote, while Mayor Matthew Graham, Deputy Mayor Ryan Huntley and Councillor Lance Nachoff supported it.

Brendan Burke, Local Journalism Initiative Reporter, The Peterborough Examiner