No property tax increase in Summerside budget, utilities going up

Summerside unveiled a $60.1 million budget on Wednesday evening — and while property taxes won't be going up, electricity and water and sewer rates will be.

The budget is broken up with $28.5 million being spent on general government expenses and $31.6 million allocated for utilities.

The cost of the electricity already jumped up on March 1 to match Maritime Electric rates — the city follows the utility based on a past resolution.

Water and sewer will increase an average of $3.18 per month for residential customers.

"Our infrastructure, some of it is 100 years old. Those are the kinds of assets that we have to maintain each year," said Coun. Norma McColeman, Summerside's chair of finance and deputy mayor.

"Over the next 10 years some of those improvements are very costly, but if we don't maintain that foundation of our city, then we are going to be running and falling behind so we have to maintain that every year where we do that is through the rates of our residents."

The increases are needed to maintain good service when it comes to sewage and quality drinking water, McColeman said.

Some councillors are worried about increasing the cost of living for Summerside residents who are already dealing with a high inflation rate, including skyrocketing gas prices.

"Timing really gets to me as I talk to residents and discuss how the current inflation of everything is affecting them. To add another cost onto them is troublesome," said Coun. Cory Snow.

"There's lots of expenditures throughout the budget that I would classify as wants, not necessarily needs that have to be done in a current fiscal year."

Summerside 2022-23 Budget Highlights:

• $500,000 for East-West Connector Road
• $3.1 million for street, intersection and storm sewer upgrades
• $2.4 million for sewer utility improvements
• $1 million for water utility improvements
• $2 million for electric utility improvements
• $503,000 for new sidewalks

Snow said he is pleased with many items in the budget, including $1 million allocated for a new fire hall.

Summerside Fire Chief Ron Enman is excited to get the ball rolling on the new fire hall, but said it will be a while yet before one is built.

"It's good to see it moving forward. We are in the early stages of course, but you know, there is land acquisitions and infrastructure and it is just going to be the starting point moving forward. It's great to see," Enman said.

Enman wants fire officials to be comfortable and said the current building is getting old and he wants "a modern up-to-date facility."

An additional $270,500 will be used for new equipment and infrastructure for fire and police services in the city.

Councilors will vote on the budget on March 31.