Moncton approves budget, rejects 'social issues' fund

Moncton has approved its 2022 budget with a six per cent cut in the tax rate, but rejected a proposal by the city's deputy mayor to create a "social issues" reserve fund that could assist with requests for support the city gets from various groups. 

Councillors voted unanimously Friday to approve the $176.3 million operations budget. 

After the province increased property assessments in the city by more than 10 per cent, councillors opted to reduce the tax rate. The change will still see property owners paying more because the rate cut doesn't fully offset the assessment increase. 

The tax rate, unchanged since 2016, was reduced from $1.6497 to $1.5472 per $100 of assessed value.

Councillors increased a grant to Ensemble, a group offering harm reduction services, from $25,000 over three years to $51,500 over that same period. A grant to Second Chance Workshop, which provides employment opportunities for marginalized people, was increased from $5,000 a year over three years to $10,000 a year. 

Deputy Mayor Charles Léger proposed during a budget committee meeting Wednesday that the city consider a smaller cut that would have led to $877,180 in additional tax revenue. The idea was debated Friday morning.

Léger said it could be set aside to be used when they need to match funding from other levels of government, or unbudgeted requests from groups seeking support. 

"We have other demands that we've talked about that aren't in the budget already, and this could give us that flexibility to really be able to step up when we need to," Léger said. He referred to residents increasingly frustrated with homelessness, drug use and crime. 

One of the requests for city support that is not in the budget is funding for the Humanity Project.

The Moncton non-profit that offers meals from its St. George Street location recently submitted a business plan to city hall seeking $3 million over three years for a farm-based addictions and mental health facility south of Salisbury. City staff are still analyzing the request. 

But Léger's proposal was met with resistance from other councillors , who described it as last-minute and without clear guidelines on how the money would be used.

"I do feel … the message that we will be sending is that we still want more," Coun. Susan Edgett said, referring to wanting more money from taxpayers.

Léger was the only council member to support his motion. He suggested it's an idea they could continue to examine in 2022 for consideration in the 2023 budget.