Tay sets 4% blended tax increase for year

·2 min read

Tay council approved a four per cent blended tax rate increase for 2023 at the recent meeting of regular council where this year’s operating and capital budget was approved.

Finance department staff were tasked to target the rate at the previous meeting, and returned with two options for a three or four per cent increase depending on how much council wished to take from the tax rate stabilization reserve; council supported the four per cent option by drawing $57,000 from the tax rate stabilization reserve, which sits at $531,000.

“I think taking $57,000 out is enough,” reasoned Mayor Ted Walker to council.

“If we try to go to that three per cent, it leaves the balance of that tax rate stabilization only over $300,000; I think that’s pretty low. I agree that four per cent blended is an appropriate way to go this year.”

By meeting the four per cent target, Tay residents can expect an $8.82 monthly (or $106 annual) increase in the municipal portion of the tax bill at an average assessed value of $241,000 for the residential tax class. The four per cent blended also means a 5.13 per cent municipal and policing tax rate increase from 2022, as calculated by a 3.5 per cent increase in the county tax rate and with no change to the school tax rate.

Coun. Paul Raymond supported the four per cent blended increase and praised staff for meeting the targeted goal.

“Budget time’s always such a pressure for you guys,” said Raymond. “I’m glad you were able to break it all down for us.”

Walker also added his support and thanks to staff; especially for treasurer Saleem Sandhu.

“I know it was tough,” said Walker. “There were a lot of issues to deal with back in the fall, so we very much appreciate your hard work – you and staff – to bring us to, I think, what is a very reasonable budget considering the times that we’re in.”

Council adopted the budget through a bylaw passed later in the meeting.

The 2023 operating and capital budget report can be found in the agenda on the Tay Township website.

Tay council meets for committee of the whole meetings every second Wednesday of the month, and regular council meetings every fourth Wednesday of the month. Archives and livestreams of council meetings are available through the Tay Township YouTube channel.

Derek Howard, Local Journalism Initiative Reporter, MidlandToday.ca