Following more than six hours of discussion, Regina City Council approved a city budget with a mill rate increase of 4.34 per cent. This is down from 4.86 per cent originally proposed by city administration.
The original projection was an average annual property tax bill increase of $92.40.
The reduction is due to using $969,000 from the surplus to help cover one-time costs in the upcoming year. This includes hosting the Tim Hortons Brier and installing parking meters near the General Hospital along 14th Avenue.
Additionally, the elimination of PST on life and health insurance saves Regina an additional $200,000. Both of these amendments were put forward by Councillor Sharron Bryce.
Councillor Andrew Stevens put forward a motion to take the $400,000 the city gives to the Regina Exhibition Association Limited (REAL), and put it toward the Community Investment Grant Program. This was defeated in an eight-three vote.
“I was really disappointed that council decided to continue on with the $400,000 per year that goes back to 2001 for REAL, in addition to the millions of dollars we have invested into that facility. It’s a great facility. That could have been spent better on community organizations,” Stevens said.
“We’re spending less on pools. Some of those facilities are crumbling, essential in many communities. We’re not doing enough.”
READ MORE: $88-million Regina police budget approved by council
Councillor Lori Bresciani put forward a number of amendments that were not passed. This included mill rate increases to restore Condo Waste Disposal Rebate Program and more money for park maintenance. Both items came with 0.11 and 0.07 mill rate increase respectively.
To balance the increase ideas, Bresciani put forward an idea to take $1 million from the Winter Road Maintenance Reserve. City Manager Chris Holden cautioned if this money was not allocated to a specific area it would leave the city short $1 million next year.
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Councillor Bob Hawkins said he was against the idea because you never know how much snow will fall next year. He said he has seen that reserve depleted in past years, causing further financial issues for the city.
The motion was defeated in a 10-1 vote.
The city’s total operating budget is $443 million.
Capital Budget
Stevens put forward an idea to advance a cycling portion of the Transportation Master Plan to 2018, and invest $250,000 in developing bike lanes and multi-use pathways.
Stevens said that Regina is falling behind in non-vehicle infrastructure. He also wants to ensure that Regina has “shovel ready” projects prepared for federal infrastructure funding.
City Manager Chris Holden told council this pitch would result in a 0.08 per cent mill rate increase.
Bryce asked administration if this would mean these projects would be worked on and completed this year. Administration said it would not. Bryce declined support on that basis.
Stevens said he is worried if money for active transport is pushed back any longer it could be ten years before work is started.
“We’re at least a decade past the recommendations going back to the downtown plan. Where were those investments before this budget? Where were those investments during the good times in Saskatchewan?” Stevens asked.
The motion was defeated in a seven-four vote.
“So I’m not optimistic. I’m certainly going to keep this conversation going,” Stevens said.
The motion was defeated in a seven-four vote.
Councillor Mancinelli put forward a $1.5 million increase to fund repairs to the Sandra Schmirler Leisure Centre roof. This would come with a 0.68 per cent mill rate increase.
Councillor Jerry Flegel asked what kind of priority this is for city administration. It will be the number one priority roof replacement in 2019. Even if this amendment does not pass, the Facilities Asset Management Budget will be adjusted to ensure the roof is replaced next year.
Mancinelli’s motion was defeated in a nine-two vote.
Regina’s capital budget this year is $132 million.
Where do your tax dollars go?
In the proposed mill rate increase, a very small amount went to day-to-day city operations. Only 0.42 per cent of the proposed 4.86 per cent mill rate was to cover these costs. This would cover increases such as inflation and wage increases. Due to city saving measures last year totalling $9 million through finding efficiencies and not hiring certain positions, the potential mill rate was reduced by 0.64 per cent.
The remaining 4.44 per cent was made up of 1.19 per cent for annualized impacts of last year’s provincial budget, 1.06 per cent was the increased police budget, 0.9 per cent was for cuts to provincial revenue sharing and another 0.9 was the elimination of the education property tax collection fee.
Mayor Fougere said that this should be the last municipal budget to deal with that provincial cut.
“We’ve now internalized that, so this is the last time we’ll deal with that and we now have enough revenue to offset that again. So it’s the last time we’ll have that issue, depending on what happens in the budget next month, or I guess in April from the province,” he said.
Two fixed mill rate increases are the Residential Road Renewal Program, a one per cent mill rate increase dedicated to maintaining and repairing damaged neighbourhood roads. Another 0.45 per cent is to continue paying for the new Mosaic Stadium.
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