The Town of Battleford passed its 2018 budget last Thursday, with advice from someone familiar to North Battleford city council.
David Gillan is now Battleford’s director of finance/deputy CAO. He was previously North Battleford’s director of finance.
Battleford’s 2018 budget projected a cash surplus of approximately $1.6 million. Taxes are scheduled to increase an average three per cent, although the actual amount of increased tax depends on assessed values. Base taxes remain the same, while the mill rate based municipal levy is increasing. Water and sewer fees remain on par.
The tax increase is expected to bring in approximately $81,000.
Chartered accountant Dallan Oberg, who attended the meeting, said the Town is in a good financial position.
Battleford grew approximately nine per cent in population since the 2016 census. Growth, Gillan said, influences both revenue and expenses. Examples of the former are increased tax revenue and utility fee revenue and the latter are utilities upgrades and spending pertaining to quality of life.
The town’s capital plan is laid out in a spreadsheet showing figures over five years. In the budget document Gillan states “understanding our needs at least in a five-year horizon so large capital investments can be managed without tax/rate ‘shock’ to municipal citizens.”
Gillan explained the budget’s revenues, and said “revenue is something we don’t have a lot of control over.” Council has more control over expenses, Gillan said.
The SaskEnergy surcharge was reinstated for an extra $92,000. Revenue from utility fees is expected to increase approximately $50,000 to approximately $1,655,000. Land sales are budgeted to bring in $200,000.
The revenues in the budget total approximately $7,437,000, an increase in approximately nine per cent from last year.
Mayor Ames Leslie said the tax increases are also part of larger trend among municipalities regarding federal and provincial downloading.
Expenses increased by approximately five per cent compared to last year.
Various personnel hires have increased expenses, including hiring staff with financial expertise.
“The town is not a small town anymore, there’s a lot more transactions, there’s a lot more services we’re trying to provide,” Gillan said.
Policing, waste disposal, public health and welfare services are all close to par.
Parks and Recreation is the Town’s biggest department, and wages increasing by two per cent leads to an additional $40,000 cost for the town.
The town will also pay for various maintenance expenses.
Utilities, Gillan said, is a stand alone department, and would be funded by its own rates and fees rather than taxation.
Gillan also mentioned changes to the Dominion Land Titles Building, located near the former Government House, with the goal of “reinvigorating that building for tourism purposes.” Plans are in place to improve windows, flooring and the grounds.
The $1.6 million surplus is split into two funds.
“Utility has to take its portion of the surplus to fund its capital needs, as well as the general side to fund its capital needs,” Gillan said.
Capital spending from the general fund is to be approximately $2.5 million, with about $1.4 million coming from general reserves to break even. Capital spending form the utilities fund is to be approximately $2.3 million, with about $1.8 million coming from reserves to break even.
