Portage la Prairie city council approved a $35.1-million budget at its meeting Monday night at the William Glesby Centre.

Finance chair Brent Budz delivered the budget speech, and outlined several areas including the 1.49 per cent tax increase the 2017 budget calls for.

“Council's key directive for 2017 was a tax increase equal to or below previous years in keeping with the downward trend established,” Budz says. “However, we encountered several unforeseen challenges in developing this budget.”

“...this is the third budget in this council term and I am pleased to bring you a budget where property tax increases remain below the rate of inflation.”

Budz highlighted a 3.29% arbitrated salary increase for fire fighters, a 2.28% reduction in property assessments and unexpected costs relating to the repair of the Shindleman Aquatic Centre roof as some of the challenges.

In speaking with reporters following the budget speech, the Finance chair pointed specifically to the decrease in assessment values and expected further decrease, as a major consideration undertaken throughout the process.

“If people have been following what our council has been doing (the tax increase) is higher than what we've done in the past,” Budz explains. “When we met with our assessment branch several months ago we could start to see the trend in our community, that assessments were dropping. Obviously the revenues the city collects is based off the assessment of property. It is a trend we saw this year and quite honestly may see again next year.”

“Council took into consideration the revenues coming into city coffers was going to be lower, and quite honestly we had to take a look at how we operated internally,” continues Budz. “That's been a mandate on this council over the last number of years: To inwardly focus on where we're spending dollars so it's the most efficient way possible.”

The Manitoba Assessment Branch determines valuations on property values in the city. Budz spoke about recent news about the creation of new industry, Roquette's planned pea processing plant construction in the RM of Portage la Prairie, as a point of optimism for increased assessment values in future.

“With regards to the investment in our region, we sure anticipate that trend, the overall assessment collectively will go up over the next number of years as we see that investment become a reality,” Budz says. “It is hopefully a very temporary thing in our city and we're looking forward to many future years of increased assessments.”

One major infrastructure project left off the 2017 budget was the Island Park bridge replacement. Costs tied to Shindleman Aquatic Centre repairs and the unknown debt load of the Water Pollution Control Facility upgrades were cited as reasons for pressing pause on the bridge project.

“Council is committed to a causeway across the island,” Budz notes. “It's not something that's going to happen in 2017. We've put that project on hold as a result of (Shindleman Aquatic Centre repairs) and several other factors relating to the Water Pollution Control Facility, Water Treatment Plant.”

“We have a lot going on in the community now, so we have to be conservative in the approach.”

The city will post the 2017 budget document to its website.

BUDGET OUTLINE

The total spending budget of $35.1 million accepted by city council at Monday night's meeting breaks down as follows:

General operating fund ($16.6-million)
Utility operating fund ($12.3-million)
Reserve withdrawals ($4.7-million)
Spending from Capital grants ($1.5-million)

BUDGET SPEECH HIGHLIGHTS

-Two positions in the Utility Department eliminated
-Programming deemed inefficient in the Economic Development department cut
-Forestry Department reorganized to allow the city to deal with Dutch Elm Disease tree removal as opposed to hiring contractors
-Public Safety Director created through rearrangement of duties of Fire Chief, Deputy Fire Chief and Captains
-Island Park Bridge replacement project put on pause
-$1-million allocated to Shindleman Aquatic Centre Roof Repair in 2017
-$90,000 decrease in general operating expenditures in 2017 budget compared to 2016
-$10,000 for reserve funds allocated to prepare a Parks, Recreation and Sport Tourism Master Plan
-$44,000 allocated for expansion and paving of active transportation pathways and sidewalks
-$200,000 allocated for BDO Centre roof repair ($400,000 total with inclusion of $200,000 Canada 150 grant)
-$220,000 for new self-contained breathing apparatuses for firefighters
-$1-million allocated in utility fund to Nutrient Removal Reserve for Water Pollution Control Facility upgrade procurement process
-Community grants included total $522,819 (listed below)

COMMUNITY GRANTS BREAK-DOWN

The 2017 budget speech delivered by Budz at council's meeting Monday night included a detailed break-down of community grants approved. Here's the grants and expenditures outlined in the speech:

1. Youth councillor budget                                            $3,000
2. COPP                                                                        $1,500
3. Portage Community Revitalization Corporation       $25,000
4. Potato Festival                                                          $10,000
5. ROK – Recreation Opportunities for Kids                 $5,000
6. Viterra Curling Championship                                   $1,250
7. Winnipeg Sports Car Club                                        $1,500
8. Youth for Christ                                                         $3,500
9. Portage Handivan                                                     $26,400
10. Hometown Manitoba                                              $10,000
11. Centennial Community Club                                   $7,300
12. Fort la Reine Museum                                             $40,000
13. Herman Prior Senior Services Centre                     $15,000
14. PCCI (Glesby Centre) Operating                             $70,000
15. PCCI (Glesby) Reserve                                           $20,000
16. Portage and District Arts Centre                             $11,900
17. Portage and District Chamber of Commerce         $3,750
18. Portage la Prairie Regional Library                         $264,219
19. Portage Neighborhood Connections                      $3,500