Sarnia City Council approved a $132-million budget Tuesday, raising taxes nearly five per cent for next year.
The municipal portion of the property tax bill will increase 4.66 per cent, $40.14 more per $100,000 of residential assessment.
Mayor Mike Bradley believes the blended increase with the County of Lambton budget is a fair compromise.
"The city budget is up 4.6, but the overall blended tax bill when it goes out next year will be around three per cent or less."
The initial draft budget of a 7.94 per cent increase was reduced by about $1.5-million Tuesday through revenue enhancements and cuts. That's including an increase in a provincial grant of nearly $747,000 and a decrease in the Police Services Board approved budget.
Actions taken to further reduce the increase included staggering the hiring of two information technology employees to save $72,000, cutting winter maintenance by $50,000 and bumping up parking fees in city lots. Monthly rates will go up 20 per cent, and semi annual and annual rates up 10 per cent.
A suggested option to eliminate leaf and yard waste pickup, a savings of $465,000, was defeated.
Director of Finance Lisa Armstrong says the 2016 budget is a fairly large increase, but it's because they faced a number of extraordinary items including WSIB claims.
Council also agreed to amortize existing SSEC loans over 15 years, delaying their debt-free goal by 2023.
Capital Spending
Sarnia city council also approved capital spending during its budget deliberations on Tuesday.
More than $13-million of the $20.5-million budget will go towards 20 capital projects.
Of those, the remediation and redesign of Centennial Park will see $3.5-million, $1.95-million will be needed to dredge Sarnia Harbour, and $1-million is going towards phase 2 of the LED Streetlight Conversion project.
Council made cuts to road resurfacing of $100,000.
Finance Director Lisa Armstrong says although the cut isn't favourable, the city will still achieve and maintain a $1-million budget in that area.
