Councillors gear up for debate on budget cuts for property tax rebate

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Calgary councillors will debate Tuesday whether or not to entertain a pitch to chop $23 million from town’s 2024 finances, with the objective of returning that cash to residential taxpayers to partially offset a 7.8 per cent property tax enhance.

Six council members co-sponsored the discover of movement that was launched on the government committee final week. It asks metropolis employees to evaluation the working finances and discover $23.1 million in financial savings — cash that will then be refunded to taxpayers.

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Councillors Terry Wong, Sonya Sharp, Andre Chabot, Dan McLean, Jennifer Wyness and Sean Chu co-sponsored the discover of movement. All six voted towards the November finances changes that resulted within the steep residential property tax hike for 2024.

“I feel this council wants to start out listening to Calgarians and the stress and pressures we’re dealing with,” Wyness mentioned Monday.

“Calgarians have been telling us the challenges they’re dealing with of their lives. This council wants to start out doing a greater job of demonstrating how we hear Calgarians.”

The 7.8 per cent property tax hike — greater than twice the rise council initially permitted when passing the four-year finances in 2022 — was as a consequence of council’s choice to shift the residential/non-residential tax share by one per cent, in addition to the inclusion of 28 “funding priorities” for tasks primarily associated to public security, transit and inexpensive housing.

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The $23.1 million roughly displays the greenback impression of shifting one per cent extra of town’s property tax invoice onto residential taxpayers. The shift accounts for roughly two share factors of this 12 months’s residential property tax enhance, or $4 extra month-to-month for the common Calgary family with an assessed worth of $610,000.

Whereas final week’s assembly didn’t embody debate on the deserves of the discover of movement, government committee members voted unanimously to maneuver the dialog ahead to the Jan. 30 common metropolis council assembly.

Councillor desires extra particulars

Ward 11 Coun. Kourtney Penner, who voted in favour of the finances changes in November, mentioned she understands the intent of the discover of movement’s co-sponsors, however is annoyed by the shortage of element within the request.

There’s nonetheless loads of unknowns relating to the time and price implications for the work being requested of metropolis employees to evaluation the finances line by line, Penner mentioned.

“What I really need is, if this group desires that $23 million, for them to do the work to seek out it and never put it again onto administration to try this work for them,” she mentioned.

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“I might be completely satisfied to see what concepts the sponsoring councillors respectively have, if there are particular tasks of their wards that they’re prepared to relinquish to create that $23 million. There are tasks in my ward that I might hate to be reduce due to this, if we do across-the-board cuts.”

Penner additionally mentioned renters would probably not profit from a rebate if there is no such thing as a onus on property house owners to distribute the rebate to tenants.

Ward 12 Coun. Evan Spencer mentioned he helps the intent of offering tax aid to Calgarians, however famous issuing a rebate could possibly be a expensive train for town.

Spencer, who voted for the finances changes in November, mentioned the present council was given its mandate on the again of $177.5 million in base reductions in 2021. He argued this funding shortfall “had very actual implications” for Calgary’s transit, hearth and parks departments, and town is now enjoying catch-up.

However, he mentioned council “must scrutinize spending” and search for potential financial savings.

“I’ll be supporting any consequence on Tuesday that ensures council engages in a strong evaluation of the place town can discover financial savings,” he mentioned.

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Councillor hopes for ‘open, strong and clear dialog’

Ward 5 Coun. Raj Dhaliwal mentioned he was disenchanted by the shortage of session the co-sponsors supplied the remainder of council earlier than bringing the concept ahead final week.

“If we’re making a giant choice that impacts all Calgarians, I might have hoped for some session and dialogue, but it surely was simply dropped at government (committee) and I used to be a bit of stunned by it,” he mentioned.

“That being mentioned, I’m nonetheless going to hearken to the dialogue. I’ll be asking some questions of administration and am hoping for an open, strong and clear dialog.”

Dhaliwal mentioned he supported November’s finances changes as a result of the investments resulted in some long-awaited fairness for his ward, when it comes to companies and infrastructure.

“As a Ward 5 (consultant), for the final two years, I’ve been advocating for equitable supply of companies and infrastructure into communities into Ward 5 and the northeast,” he mentioned. “This finances had these investments constructed into it.”

If a two-thirds majority of councillors vote in favour of the discover of movement on Tuesday, employees will probably be required to convey ahead an inventory of potential price financial savings to council on Feb. 27.

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