Tudor and Cashel Township council heard the final 2022 budget presentation from Nancy Carrol, the clerk and treasurer at their May 3 meeting. After some revisions made to the draft budget, including some additional capital projects that council hadn’t yet passed resolutions on, council voted to pass the final 2022 capital and operating budgets with a final tax increase of 3.96 per cent.
At a special 2022 budget meeting held on April 5 at 9:30 a.m., council heard from Carrol, who presented the 2022 draft budget, which at that point, had a municipal tax levy of 3.96 per cent. After discussing it and asking some questions, council had instructed Carrol to make some revisions and bring the budget back to the May 3 meeting for consideration and passage.
Mayor Libby Clarke introduced the resolution to look at the additional resolutions to be passed for the 2022 budget and to subsequently pass the final 2022 budget.
Carrol told council that she had missed a few capital projects that needed to be done, and she’d prepared resolutions for council to approve them. The first was the replacement of the diesel furnace at the Millbridge garage with a propane furnace with an approximate cost of $6,000. The second was the creation of a third office space that was needed at the municipal building, with an approximate cost of $5,500. Both of these projects would be covered under the COVID-19 Safe Restart Funding that the township already had already procured.
“There is an acknowledged need for additional office staff for coverage during holidays and on a part-time basis. The municipal office is currently setup with two office spaces. There is a room at the back of the offices being used as a storage space. There is space in the basement of the municipal office that could be used for storage of the materials currently being stored in the back room,” she says.
The third expenditure was due to a misinterpreted request for a ¾ tonne pickup truck versus a ½ tonne pickup truck, as per resolution 2022-073.
“The report provided to council misrepresented the requested size of the vehicle. The amount budgeted for was for the purchase of a ¾ tonne truck to replace the current pickup,” she says.
The amount budgeted in the draft budget was for the ¾ tonne pickup replacement, so there would be no change to this cost in the final budget. In addition to the resolutions for these changes, Carrol also requested a resolution for council to adopt the operating and capital budgets for 2022.
Carrol also looked to council for direction on how to guide staff to address any potential surpluses and deficits that occur with each budgetary year and to implement a policy for that purpose. She noted specific line items in the budgets year after year that show these variances.
“The municipality budgets annually based on estimates and these estimates may create surpluses and deficits in some accounts that need to be transferred going forward. The auditors provide the annual surplus/deficit with their report. The intention of the transfers is to reduce the financial impact of variances year over year in budgeting and in turn stabilize the annual operating budget,” she says.
In the draft budget presented on April 5, with the estimated 2022 expenditures being $2,401,956.79 and the estimated 2022 revenues being $1,047,901.15, that left a difference of $1,354,055.64 to be raised by taxes. This last figure is $51,496.64 more than the amount that had to be raised by taxes in 2021, so the overall municipal tax increase was going to be around 3.96 per cent in the draft budget. Carrol said the overall levy increase was 4.8 per cent while the municipal increase was 3.96 per cent.
After discussing and then passing the resolutions for the additional capital projects, council subsequently voted to pass the resolution to adopt the final 2022 operating and capital budgets.
Michael Riley, Local Journalism Initiative Reporter, The Bancroft Times