Town approves balanced budget without surplus

By John Watson Local Journalism Initiative Reporter

Town of Strathmore council met again, Nov. 27, to continue ongoing budget discussions for the upcoming 2025 year.

Opening the discussion, Leana Ashbacher, senior manager of financial services, recapped some of the operating budget impacts previously voted on by council. 

Previous amendments made by council included reductions of varying amounts to the financial stabilization reserve, Agricultural Society Celebration of Lights, library board, Happy Cat sanctuary, and the Strathmore Wheatland Chamber of Commerce (SWCC). 

Money for community groups that was added as amendments was designated for Communities in Bloom, the Strathmore Youth Theatre Company, the Mainsprings Pregnancy and Family Support Association, the Strathmore Performing Arts Festival, and the Agricultural Society. 

The exact amounts for each community organization have been made available through the council meeting agenda, as well as the recorded meeting minutes.

Ashbacher recommended council move in camera to discuss their final decisions and new information to be presented to them regarding community group funding for the upcoming year. 

Prior to the start of the Nov. 27 meeting, council had netted a reduction of $50,000 to their proposed operating expenses, and approved an administrative amendment to transfer $7,000 to reserves. Community group funding had seen a net decrease by $15,100. 

The net effect to the proposed 2025 budget had seen a reduction in tax impact from 4.50 per cent to a 4.15 per cent tax increase for the upcoming year. 

Coun. Brent Wiley motioned for council to approve a balanced operating budget instead of with a surplus of $148,000, which would serve to further reduce the tax per cent increase to local ratepayers. 

Tacked on to this, he motioned for the $300,000 proposed for the spray park recirculation system also be removed from the budget.

He also added a motion for $10,000 to be added to the SWCC specifically to support hosting the annual Stampede parade, the business awards night, and the annual trade show. 

“I am looking forward to working with the chamber on these three events specially, and I think that it is a very good bang for our buck,” said Wiley. “Any time we can have an army of volunteers do the work instead of administration putting on these types of events, I just think it is very, very worthwhile.”

The latter motion for the $10,000 to be added to the SWCC was passed 6-1 in favour, with Mayor Pat Fule in opposition. 

Prior to the vote being cast, Wiley spoke to his motion regarding the drop from an operational surplus and financing the recirculation system, to operating a balanced budget. 

“If we were to remove this, which would be almost half a million dollars … from the budget, we are looking at roughly another two, maybe two and a half per cent tax off what would be getting us into the two per cent, two and a half per cent tax increase position,” he said. “I think, as we have all stated at least at one point during our last budget deliberation meeting is just how important it is to make sure that what we are giving to Strathmore taxpayers is something that is affordable.”

Ashbacher clarified following Wiley’s comment that the $300,000 slated to be used for the recirculation system was largely obtained through a grant and would not have a substantial impact on the overall tax rate increase to ratepayers. 

Coun. Richard Wegener added to the discussion, as council had already approved the funding for the recirculation system in its prior budget discussion, as per the procedural bylaw, the discussion may not be brought up again before council for a period of six months unless it is brought forward by a councillor who was on the prevailing side of a given debate. 

Wiley’s motion was defeated by council in a vote of 5-2 against. 

Following a recess to an in-camera session, Wiley motioned to direct administration to decrease the 2025 operating budget by $148,100 for a balanced budget of $39,221,400, with a reduction in the tax increase from 4.5 per cent to a 3.62 per cent.

The reduction in operating budget would put the Town of Strathmore to a balanced budget with no surplus being added.

“It is not even another one per cent tax decrease; it only brings it to a 3.62 (per cent) but let us not forget that those numbers matter and so this is just one last opportunity for us to make an effort to bring this tax increase down as much as possible,” said Wiley. 

Council voted unanimously in favour of the motion following discussion.

Coun. Jason Montgomery motioned for council to reduce the increase in utility fees from four per cent to three per cent.

“This is essentially going to affect money that is going into reserves. It will reduce by a bit, the amount going into utility reserves and it should keep a few more dollars in our residents’ pockets as times are tough, and we recognize that,” said Montgomery. 

It was clarified to council that should Montgomery’s motion be approved, it would also require an amendment to the current outstanding fees bylaw.

This prompted an amendment to Montgomery’s motion to include a direction of administration to bring back the fees bylaw with the utilities rate increase reduced to three per cent. 

Administration recommended not passing the motion, as it would put the increase to utilities rates as behind the rate of inflation and would cause future councils to play “catch up” in future years regarding their finances for facilities. 

“I appreciate the sentiment behind this motion because I do understand how much people are struggling these days and I think we have done a good job at keeping the tax increase as it is, as low as possible,” said Coun. Melissa Langmaid. “That being said, the infrastructure in our community is not getting younger over time. We are not looking at a reduced amount of money that we are going to have to invest into our infrastructure.”

Following debate, Montgomery’s motion was ultimately defeated by council in a vote of 4-3 against.