For Grey Highlands council the easy part of the 2025 budget process is over and now the hard choices will start.
Grey Highlands council held a special committee of the whole budget meeting on Jan. 7 to begin the process of determining the property tax increase local ratepayers will face in 2025.
At the meeting, which lasted close to seven hours, council waded through a list of 50 capital spending projects to consider. Council considered each capital item and its corresponding staff report and determined whether or not to approve the project and a funding source.
At the conclusion of the meeting, council had tentatively approved a total of $8,56,160 in capital spending for 2025 (of this total, $123,944 in spending was deferred pending more information from staff). The approvals for the various projects are not final as council could revisit its decisions later in the budget process.
On the council table was figurative piggy bank containing just over $4.5 million available for capital spending in 2025. This amount included: $1 million in provincial infrastructure funding, $400,000 in federal gas tax infrastructure funding, $1.63 million in the current tax levy for capital projects and $1.5 million from a proposed 10 per cent local tax increase for capital projects. By the end of the meeting, council had approved using the full amount in the 2025 budget.
Capital projects have multiple sources of funding. In addition to the $4.5-million, council voted in favour of taking out long-term debt for just over $1.14 million in capital projects. Council also approved a number of capital projects that will be paid for via the user-pay water and wastewater system ($740,918) that do not impact the property tax levy. Other capital funding sources included: reserves ($688,534) and grants/other funding ($1,272,131).
Prior to the Christmas break, council had agreed to the concept of a 10 per cent local tax increase in 2025 to be dedicated to capital spending/asset management. As part of that plan, council also agreed to look at ways to cut the operating budget in order to reduce the tax levy by five per cent.
With the capital portion of the equation complete (pending final approval), council will meet again as committee of the whole on Wednesday, Jan. 8 starting at 9 a.m. and will turn its attention towards finding operating savings.
“Thank you staff and council for your work today,” said Coun. Tom Allwood, who chaired the meeting. “We have made some progress.”
Highlights of the capital plan for 2025 include:
- $140,000 from the levy to replace one of the municipality’s four ice resurfacing machines
- $1,593,065 for the Brackenbury St. and Lawler Drive drainage project - $1 million from the tax levy, $447,147 through provincial infrastructure funding and $145,918 from the user pay reserves
- $293,640 for a Flesherton stormwater improvement project funded through the tax levy
- $728,705 to replace bridge 021 on 10th Concession to be funded with $400,000 from the federal gas tax and $328,705 from provincial infrastructure cash
- $590,000 for a grader replacement to be funded through long-term debt
- $689,691 for gravel maintenance to be funded through the tax levy (total cost of $939,690 with $250,000 coming from the aggregate resources trust)
- $414,097 for asphalt resurfacing of the St. Vincent Euphrasia townline. This is a shared project with the Municipality of Meaford. Grey Highlands share to be funded with $234,949 from the tax levy and $179,148 from provincial infrastructure funding
The full list of projects with complete reports can be found online here.
