Tax increase may be less than thought
Posted May 21, 2010 04:41:00 PM.
This article is more than 5 years old.
The proposed tax increase to cover HRM’s budget shortfall might not be as high as originally reported earlier this week.
Councillors have been raising concerns over the proposed 1.7 per cent general tax rate increase which would fill $6 million of the budget’s $35.5 million shortfall.
Chief Administrative Officer Dan English revealed Friday, staff have found savings to nearly cut the proposed tax increase in half.
“One million reduction in the budget from what we’re transferring into reserve and that would be the variable operating stabalization reserve,” says English. “There’s approximately $3 million sitting in that reserve now. Again it’s going to be risky but we’re prepared to do that.”
English also suggested trimming $1 million from the Winter Works Budget increase and $1 million from Capital.
With the new calculations, residents would see a .85 per cent increase. Which is about an extra $36 on a $180,000 home instead of an extra $56 under the previous proposed increase.
The changes have been adopted as part of the proposed budget which is still under debate.
