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January 14, 2010
(Red Deer, Alberta) – After six days of deliberation, City Council has approved the 2010 operating budget with a recommended 3.31 per cent tax increase. The operating budget totals $232.7 million.
“This budget meets our goal of adjusting to the new economic reality,” said Mayor Morris Flewwelling. “The global recession has had an effect not only on The City’s finances but also on our citizens. The tax increase approved in the budget still allows us to provide quality services while not placing an unreasonable burden on our taxpayers.”
The City requires a 3.31 per cent increase in the overall municipal tax revenue to implement the approved budget. The City Manager’s original budget reflected an average tax increase of 4.06 per cent. The new tax rate will be set later this spring. That tax rate will then be combined with the education tax rate to help determine how much property tax residents will pay. An assessed property value is multiplied by the property tax rate to determine a resident’s property tax bill.
Based on the approved budget, a home, which experienced the average assessment value change and is assessed at $280,000 for the 2010 tax year, will see an average monthly increase of $4.05 towards the services used on a daily basis.
“We heard from the community that this budget needed to be responsive to their desire to keep tax increases to a minimum during these tough economic times, even if this means a reduction in service,” said Flewwelling. “We were able to do this even as we faced other pressures like increased costs for annexation and new growth areas as well as the reduction of all types of revenue, including investments.”
Some key budget initiatives include growth of our parks system, a RCMP member fee agreement, fleet rate increases, Red Deer Public Library budget increase, SPCA and Red Deer Regional Airport grants and staffing of the new Transit Customer Service Centre going into the downtown parkade.
“This was one of our toughest budgets to prepare for Council review,” said City Manager Craig Curtis. “This budget reflects the priorities of our city, maintains affordability for citizens and protects levels of service. It also demonstrates The City’s work in adjusting to meet the new economic climate.”
Citizens can find out more about the 2010 budget by visiting The City’s website at www.reddeer.ca.
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For more information, please contact:
Morris Flewwelling Craig Curtis Lorraine Poth
Mayor City Manager Director of Corporate Services
The City of Red Deer The City of Red Deer The City of Red Deer
403-342-8154 403-342-8156 403-342-8737
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