City tax hike proves contentious

Much to the chagrin of its chair, City Council's finance committee was unable to reach a consensus today on the amount local property taxes should go up this year.

"We really wanted to save council the time and trouble of having to go through all this," said Ward 3 Councillor Bryan Hayes, the committee's chair, at a meeting this afternoon.

Hayes and other councillors came to today's committee meeting with a list of recommendations as a starting point that would have seen a rate increase of 2.75 percent on urban residential lots.

City staff presented a plan that would have seen a 2.94 percent tax hike.

Chief Administrative Officer Joe Fratesi said staff would like to see budgetary expenses met without dipping into surplus funds that have been set aside for other expenses, but said he understands the need to do so.

Fratesi also cautioned councillors against too conservative a tax increase.

"The lower you go this year, the higher you are going to have to go next year," said Fratesi.

The committee also couldn't agree on funding for the Norgoma Museum Ship, from whose window this picture of City Hall was taken.

It finally came to a tenuous consensus to recommend that the Norgoma issue be referred to Tourism Sault Ste. Marie for consideration in that agency's budget.

Everyone did agree that a one-time expenditure of $40,000 is a must-do to pay for an external review of the entire Economic Development Corporation, including Tourism Sault Ste. Marie and Destiny Sault Ste. Marie.

Mayor John Rowswell said it's important to determine whether there are duplications of services going on and to have a clearer picture of what the EDC does for the City.

Visit SooToday.com later today for more budget news for a special budget session of City Council.