City unveils its 2009 general operating budget

A5

BY KRIS MCDAVID
Tines & Transcript Staff

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MIRAMICHI - The City of Miramichi's tax rate will rise nine cents in 2009, after holding steady the past three years.

On Monday night, city councillors settled on property tax rates of $1.6740 per $100 of assessment for 'core' residents who use municipal water and sewage services, and $1.6240 for 'non-core' residents who live outside of that service area.

For a property with $100,000 of assessed value, that equates to an annual bill of $1,674 for core residents and $1,624 for non-core residents.

The city has been operating on two separate tax rates since the amalgamation in 1995.

Council largely points to the closure of both the UPM and Weyerhaeuser mills as a chief cause for the nine cent hike.

The warrant to be raised by the taxpayers in 2009 is locked in at $20,928,097, while the city's unconditional grant from the province remains unchanged from last year at $2,225,636.

All told, the city has approved a general operating budget of $25,049,811, which will still have to go through the final stages of ratification at the next regular council meeting on Dec. 18.

The budget represents a 6.65 per cent increase over last year.

Mayor Gerry Cormier said council had to make some tough choices in planning for this year's budget.

"As a council, we looked at civic operations and rationalized expenditures across the board," said Cormier.

"We also had to be innovative in what we could and could not fund. For example, we've cut out much-needed operational vehicles, eliminated managerial and unionized positions, and we've increased recreation user fees."

Cormier added he's pleased the city will be able to borrow up to $5 million to help finance a number of capital works projects slated for 2009. "We need to invest in our transportation infrastructures, and infrastructures that support our ability to grow economically," he said.

"I am pleased that Council had the foresight to support such funding."

Meanwhile, Miramichiers will see no increases in water and sewage rates.

"We are fortunate to have invested in significant improvement in the past and citizens can expect to enjoy top level services at a very competitive rate," said Councillor Mike McCoombs.

"We dug deep during this budget process with departments trimming to the bones. There is no doubt that 2009 will be a challenging year if we are to sustain all our services and programs."