Another day of deliberations and budget talks takes over Saskatoon City Hall Tuesday as the city tries to bridge a daunting budgetary gap.
Gage Haubrich, prairie director for the Canadian Taxpayers Federation said if the city doesn’t properly address the shortfall it could be a “make or break moment” for many households.
The City of Saskatoon is facing a budgetary gap of $50.9 million next year and $21.7 million the following year, with those tax increases estimated at 17.33 per cent and 6.25 per cent.
“With all the rising costs we’ve been seeing on families it’s something we don’t want to see happen. One in five Canadians are now skipping meals because of inflation and over half of Canadians are having trouble paying their monthly housing costs,” Haubrich said.
He said Saskatoon residents are concerned about where the money is going.
“When you live in Saskatoon you kind of compare yourself to Regina. Saskatoon is spending about $400 more per person than Regina and people aren’t really seeing that value.”
Haubrich said people are confused as to where this gap came from.
The City of Saskatoon was warned about potential year-over-year deficits last year, but Haubrich said the city didn’t really address it.
He also criticized the spending of the city, pointing out the $67 million spent on land for the potential downtown arena.
“They spent $100,000 on a light display that’s in a back alley lighting up dumpsters, they spent $45,000 to bring really big, red balls out to the city. So when there’s fat like that in the budget it’s kind of no wonder that it gets to this problem.”
He said the city claims that the potential downtown arena won’t affect property taxes that much, but said it could still affect taxes in other areas like ticket sales.
“At the end of the day it’s the city that got themselves into this mess, and it shouldn’t be passing this on to taxpayers in such a time where they’re struggling.”
Everyone and their dog has given their two cents on how the city should approach the budget shortfall:
- The Greater Saskatoon Chamber of Commerce suggested a seven-per cent cut across the board as a starting point
- Coun. Darren Hill has his sights set on the number of full-time equivalent staff the city has, saying he’d like to see a 10-per cent cut starting with upper and middle management
- Coun. Cynthia Block said that city council needs to work with city administration to whittle down the shortfall, noting that they need to give consideration to what councillors have been hearing from residents
- Jason Childs, associate professor of economics at the University of Regina warned that if Saskatoon raises property taxes too high, the city will face competition from surrounding communities and eventually end up hollowing out the city
- Ken Coates, professor of public policy with the University of Saskatchewan suggested that the city build a vision of what Saskatoon could look like in 2050, and try to appeal to the public with that vision.
A special budget meeting is taking place Tuesday with another in August, and will look over 11 areas that make up $27 million, or 51.5 per cent of the pressure the city faces in 2024.
It will also address several business lines that each have several options where the city can cut and slash.