By Brad Herron
The Eagle
Cochrane’s taxes will be going up, but not as much as first proposed.
Once town council officially adopts the 2008 budget, property taxes will rise five per cent, lower than the originally suggested seven per cent.
Councillors spent most of Nov. 23 and 24 hammering out the budget’s details.
Coun. Brenda Sine was glad to see the dollar figures finally posted, but said “some people won’t be happy.”
“We are in tight times where money is not easy to come by,” Sine said.
To limit tax increases, councillors made budget cuts including reducing the Library Board grant by $20,000, not hiring an additional part-time animal officer and giving the Humane Society only $15,000 instead of a $30,000 increase.
Council did find space for additional programs, including a $30,000 remote network access program for employees, $58,000 for improving the town’s website, a $38,000 corporate audit and $40,000 into reserves for the east-end pathway.
In order to back the final numbers, council pulled $110,000 out of the tax stabilization reserve, leaving $75,000.
With water being a primary concern, council decided to go along with the water treatment plant expansion that the previous council approved. With a $12.17 million price tag, it was the largest capital project approved.
With very little debate on the issue, councillors received a tentative timeline from Jim Anderson, director of operations. He said the intake structure should be completed by next summer, with construction starting in the fall.
Anderson said the plant could be operational by 2009, although he cautioned the timeline was “optimistic.”
Council will have to pay about $8 million for the project this year.
The water treatment plant wasn’t the only big-ticket item the previous council passed that this council approved — they also allocated $3.6 million towards the expansion of the Spray Lake Sawmills Family Sports Centre.
Council also approved a $60,000 water metre replacement initiative. About 200 of the original water metres will be replaced this year at a cost of about $300 per unit. New radio-emitting metres will be put in place.
When the topic of water rate increases was raised — water and sewer fees will rise 7.5 per cent — Mayor Truper McBride wanted to see the rates jump by 10 per cent as a way of reducing the tax increase and encouraging water conservation.
Anderson questioned McBride’s adjustment, saying a study needed to be completed before action was taken.
“If we arbitrarily raise rates on water and sewer, we don’t have the base understanding to deal with water and sewer,” Anderson said.
Coun. Ross Watson questioned the hike on a different basis, saying no actual taxpayers’ money would be saved.
“I don’t see the reason,” Watson said. “It’s taking money out of the same pocket.”
Council decided not to discuss the issue any further.
They did however raise fees for a special meeting with the Cochrane Planning Commission, which went from $350 to $1,000 on a request from Coun. Tara McFadden.
McBride proposed increasing development rates, saying he was “not certain Cochrane needs to be competitive in the development industry.”
He believes Cochrane offers a better development opportunity than other communities and developers “should absorb some costs of growth through large corporate development.”
Watson again countered the mayor, saying council doesn’t “want to be seen as deterring (development).”
Completing one of his campaign promises, McBride encouraged council to include a corporate audit in the budget, something his colleagues were receptive to.
McBride said this exercise, which he calls a “health check,” is needed for Cochrane to “move from a smaller community to a larger one.”
“It’s designed to improve the existing organization not change it,” he said.
While Couns. Sine and Joann Churchill supported the initiative, Coun. Ivan Davies questioned its necessity.
“What actually instigated this health check?” Davies asked. “If we were fine and hunky-dory we wouldn’t be doing this.”
McBride answered by saying there is “a perception in the public, and I have heard it again and again, that we have a problem with administration” and he wants to show people that administration is “doing an excellent job.”
The audit will cost $38,000 this year in additional funding, with the overall process costing taxpayers about $150,000 over three years. The first report to council should be in late spring.
Director of Finance Lori Craig told council it will cost $273,000 to do property assessments this year, a $100,000 increase from last year. Administration will attempt to find a cheaper service next year.
Ian Smith, director of community and protective services, told council “there is no immediate plans in place” for a new pool.
Continuing to work through the budget one page at a time, McFadden requested money towards completion of the east-end pathway, saying the project “has been in the works for 10 years or more.”
Anderson told council it would cost about $40,000 for the pre-engineering work.
When approached with additional funding for the Humane Society, councillors questioned the need. The society asked for a $30,000 increase.
“I’m sympathetic to its cause, but I’m more comfortable with $15,000,” McFadden said.
Unwilling to budge off his stance, Davies believed $55,000 was enough, especially with other programs being cut and hirings axed.
“I don’t support any increase at all,” he said.
Sine wavered on her support of the funds, but conceded to the $15,000 increase.
“We put more emphasis on animals than we do on people,” Sine said.
Council decreased spending by just over $200,000.
The tax increase won’t be finalized until February.