2018-2022 Financial Plan

FINANCIAL PLAN OVERVIEW

As can be seen on the chart that appears below, the approved guidelines show a General Purpose tax increase of 1.90% which remains the lowest increase in years. The guideline for the overall annual tax increase for 2018 was set at 3.5%. We are pleased to report that the Financial Plan that has been developed meets these guidelines.

Actual

Proposed

Municipal Property Tax & User Fee Increases

2014 2015 2016 2017 2018 2019 2020 2021 2022

Property Tax increases General Purpose

1.90% 1.92% 2.10% 1.90% 1.90% 2.00% 2.00% 2.00% 2.00%

Infrastructure Replacement

0.50% 0.50% 0.50% 0.70% 0.70% 0.70% 0.70% 0.70% 0.70%

Parks and Recreation

0.25% 0.25% 0.25% 0.25% 0.60% 0.60% 0.60% 0.60% 0.60%

Drainage

0.30% 0.30% 0.30% 0.30% 0.30% 0.30% 0.30% 0.30% 0.30%

Total Property Tax Increase

2.95% 2.97% 3.15% 3.15% 3.50% 3.60% 3.60% 3.60% 3.60%

User Fee Increases Recycling

0.00% 0.00% 0.00% 1.67% 1.67% 2.75% 2.75% 2.75% 2.75%

Water

5.50% 11.30% 5.50% 4.50% 4.50% 4.50% 4.50% 4.50% 4.50%

Sewer*

4.07% 4.10% 4.10% 3.24% 3.25% 3.25% 3.27% 3.28% 3.29%

Total Municipal Property Tax & User Fee Increases

3.46% 3.49% 3.33% 3.39% 3.62% 3.72% 3.72% 3.72% 3.72%

* This percentage increase is less than the user fee increases in the Financial Plan Guidelines due to a $35 sewer parcel charge that remains unchanged

** Average home is assessed at $592,666 in 2017. The average composite home represents the assessed value of all single family and multi-family homes

Some additional history on our tax experience is shown in the chart that follows. An explanation of each component of the proposed increase is also provided.

General Purpose

Infra- structure Drainage

Parks & Rec.

Fire Levy

Town Centre

Total Increase

2022 2021 2020 2019 2018 2017 2016 2015 2014 2013 2012 2011 2010 2009 2008 2007 2006 2005 2004 2003

2.00% 2.00% 2.00% 2.00% 1.90% 1.90% 2.10% 1.92% 1.90% 2.25% 3.00% 3.00% 3.00% 3.00% 3.00% 3.75% 3.75% 3.00% 3.00% 3.00%

0.70% 0.70% 0.70% 0.70% 0.70% 0.70% 0.50% 0.50% 0.50% 0.50% 1.00% 1.00% 1.00% 1.00% 1.00%

0.30% 0.30% 0.30% 0.30% 0.30% 0.30% 0.30% 0.30% 0.30% 0.30%

0.60% 0.60% 0.60% 0.60% 0.60% 0.25% 0.25% 0.25% 0.25%

3.60% 3.60% 3.60% 3.60% 3.50% 3.15% 3.15% 2.97% 2.95% 3.51% 4.88% 4.99% 5.13% 5.18% 5.31% 6.18% 6.37% 5.77% 4.00% 4.00%

Inc. in GP

0.13% 300,000

600,000 600,000 600,000 600,000 600,000 600,000 600,000 600,000

1.00% 1.00% 1.00% 1.00% 1.00%

General Purpose Increase – this is the portion of the increase that is used to cover the cost of existing services. The cost implications of collective agreements are provided for in this section and have been revised to reflect recent contract settlements in the City.

Infrastructure Sustainability – this portion of the increase goes towards the rehabilitation and replacement of our existing assets and is discussed in detail later in the report. An increase of 0.70% is planned for each year of the Financial Plan.

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