County approves 2023 final budgets
By John Watson Local Journalism Initiative Reporter
Wheatland County approved their final operational budget for 2023 to 2025, and the final capital budget for 2023 to 2027, during the April 4 regular meeting of council.
Joel Chiasson, manager of Financial Services, presented to council three prepared, nearly identical budget options which represented a 2.5 per cent, three per cent or 3.5 per cent municipal tax increase.
“They are essentially all the same, with the discrepancy between the different options – we are essentially changing the net transfer to or from reserves,” he said. “It is flipping between that and how much is pulled from tax revenue. Other than that, everything else between the operating budgets is identical.”
Only one capital budget document was presented to council, given that property tax increases do not have a direct impact on the capital decision.
Coun. Shannon Laprise inquired to administration regarding last year’s expenditures, equating to approximately $13 million of the budgeted $18 million, and whether that was a typical occurrence to not utilize a significant amount of the budget.
“Unfortunately, I will say historically, yes, that has happened. I would say we are actually getting closer from budget to actual, and I would say most of the cases this year … a lot of it we have found to be supply chain issues just within the last couple years,” said Brian Henderson, speaking on behalf of county administration. “We definitely have shored up our numbers from the last five years, I would say, and we are trying to get to a better spot. Unfortunately, it is a trend that we do face.”
County Reeve Amber Link added she acknowledged that several points within the proposed budget were carry-overs which were ordered in previous years and are only now able to be completed.
The 2023 interim operating and capital budgets were approved during the Dec. 20, 2022 meeting of council. According to Section 247 of the Municipal Government Act, no municipality may pass a property tax bylaw unless its capital and operating budgets have been previously approved.
The proposed final capital budget, assuming the 2.5 per cent tax increase option was approved, included a total net decrease from the interim budget of $37,800.
Coun. Scott Klassen motioned for council to approve the final capital budget as presented. The motion was carried without further discussion.
Coun. Glenn Koester moved that council approve the operating budget with a 3.5 per cent increase in municipal tax revenue.
“I believe if we do not keep up to date with our taxes, we are just kicking the can down the road, and at a future date, there is going to have to be some very unpleasant decisions being made,” said Koester. “I believe in being current and not dipping into reserves for operating such as we did last year. That money has to be replaced. We cannot keep living on a shoestring.”
The difference between the 2.5 and 3.5 per cent options equates to roughly $287,000 in the county’s financial reserves.
Coun. Rick Laursen echoed Koester’s concerns, and suggested ratepayers will understand the necessity to increase taxes. He also noted the motioned increase falls well below the current rate of inflation, being approximately six per cent.
The motion was defeated in a vote of 5-2 against.
Coun. Tom Ikert motioned to approve the operating budget with the 2.5 per cent increase in municipal taxes. The motion was carried in a vote of 5-2 in favour.