Joe explains the budget

The following is the conclusion of Joe Fratesi's summary of this year's City Budget:

***************** Summary and recommendation

This will be replaced in future years with a debt that will service the debenture used to fund the capital construction to the new Home.

This amount plus new taxes related to the Home will be sufficient to carry in our future budgets and no further amounts will be required.

The balance available to Council for allocation is $1,662,755.

As in previous budgets, we recommend that these remaining surplus funds be allocated for one-time only expenditures in 2004 or be dedicated to a reserve account for a future Council capital project.

This may include extra road work, new facilities or other one-time items that may be identified on the Supplementary list. Council is cautioned again, that any ongoing or recurring expenditure should be included in the levy and not funded from surplus, if Council wishes to consider such expenditure.

The Senior Management Team believes that the Budget as presented continues to provide a good level of service to the citizens of our community in an effective and efficient manner.

Although staff has identified possible expenditure reductions for Council's consideration resulting in further tax rate reductions, none of these are recommended at this point in time.

Our system of budgets has effectively eliminated over the years, any services which are not expected by the majority of ratepayers and we currently provide a good level of service in all areas, as we continually monitor and improve our method of delivery of these services.

For the average homeowner who may have experienced a slight assessment decrease of about 2.8%, this budget means no tax increase.

For those urban residential taxpayers whose assessment has not changed, this budget represents a 2.72% tax rate increase.

All of this compares very favourably to other cities in Northern Ontario.

This is as a result of the approach to budgeting that the City of Sault Ste. Marie has been involved in for several years, and the dedication of all of the City's staff in providing the best possible services at the lowest possible cost. The budget continues to fund a reserve for the City's contribution to our badly needed new hospital.

It continues to fund a higher level of road improvements on a "pay as you go basis."

It continues to fund snow removal at a high level.

It continues to move away from reliance on reserves or previous year's surplus as revenue.

It continues to fund the City's portion of the $60 million major sewage infrastructure improvements over a reasonable period of time. Council and the residents of this community can continue to be proud of the infrastructure improvements that have been made over the last several years including in areas of policing, fire protection, drinking water safety, sewage treatment and recreational facilities.

While the City continues to face significant challenges, it has nonetheless continued to move forward to maintain and improve our major infrastructure, as well as to provide a very good level of service to our ratepayers.

Our 2004 Budget that is presented to you continues in that direction in what staff believes to be a very responsible manner.

This budget is therefore wholeheartedly recommended to City Council for its consideration and approval as recommended.

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