A $97,000 town budget shortfall for 2018 will be covered by reallocating funds from reserves. The shortfall stems from missing the mark of the 4.0 per cent estimated growth rate, with assessments coming in at 3.7 per cent. This is on the heels of a 2017 operating budget surplus of $584,525, which have been added to the town's facilities life cycling reserve fund. Administration recommended a tax hike of either residential, non-residential or both – which would have increased the 3.06 per cent approved by council last fall to 3.46 per cent. Coun. Morgan Nagel posed a fourth option in an effort to avoid a tax hike. "I say no all the time and I encourage you guys to do the same more often," said Nagel, adding that government spending should match the private sector – a sentiment also reflected by Coun. Alex Reed. While CAO Dave Devana explained that borrowing to pay for current town costs is not preferred practice, it could work this time around given that $97,000 is a relatively small portion of the $52-million budget. Coun. Tara McFadden said that while she is glad to see a solution to the shortfall, she is also not in favour of the temptation to go for the short-term fix over the long-term solution. Mayor Jeff Genung also emphasized that in the future, it would be important to face the realities of paying for the current year with the funds at hand rather than looking to reserves to cover shortfalls. Ten-Year Capital Plan A presumed reduction in Municipal Sustainability Initiative capital funding of $2 million is being factored into the town's capital planning, moving forward, from $4.4 million to $2.4 million. Developed in 2011, the Ten-Year Capital Plan for the remainder of the current council term (2018-2021) will include: • completing transportation projects for the Bow River Bridge crossing and connections • local transit service • Centre Avenue North widening to Railway Street and intersection improvements at Fifth Avenue and Centre Avenue on Highway 1A to improve traffic flow • complete Horse Creek grade-separated rail crossings and railway pedestrian crossing from Historic Downtown to the Quarry, to improve pedestrian flow • design and construction the new RCMP detachment • upgrade the wastewater infrastructure to construct a reservoir and begin twinning the wastewater line to Calgary Council will continue to put pressure on the province for the completion of the intersection interchange project at highways 1A and 22. The town is currently at 50 per cent of its council-approved debt limit and 40 per cent of the Municipal Government Act limit, which is in line with other municipalities. At the end of 2027, administration is estimated at 72 per cent of its approved debt limit, with 20 per cent of this stemming from taxes.
