Saskatchewan

City of Regina asked to find efficiencies as council approves lower-than-proposed tax increase

Regina city council has passed its 2023-2024 budget, but it has warned city administration that the reduced mill-rate increase means it must find a way to cut $2.9 million in internal costs. 

Average homeowner will see a tax increase of about $6.85 a month or $82 annually

Members of City of Regina administration watch as city council holds a meeting at city hall on Aug. 17, 2022.
Regina city council has passed its budget, and now the city has to find a way to cut costs without reducing services. (Kirk Fraser/CBC)

Regina city council has passed its 2023-2024 budget, but it has warned city administration that the reduced mill-rate increase means it must find a way to cut $2.9 million in internal costs. 

The decision comes after a contentious, five-hour debate on the city's operational budget and a heavily debated amendment that would see the city operate on a lower-than-proposed increase to the mill rate, which determines the tax per dollar of a property's assessed value.

Coun. Lori Bresciani (Ward 4) introduced the motion that set the mill rate increase to 3.67 per cent rather than the  4.6 per cent increase recommended in the proposed budget by city administration. 

As a majority of council members have repeatedly told each other and delegations throughout this week's budget debate, their main goal is maintaining affordability in Regina. 

"This is not easy times for anybody. We look at many residents across this city have emailed or called and said, 'You know, it's unfortunate, but I can't afford to pay anything more,'" Bresciani said. 

Her amended motion passed on a vote of seven-four with Coun. Cheryl Stadnichuk (Ward 1), Coun. Andrew Stevens (Ward 3), Coun. Dan LeBlanc (Ward 6) and Coun. Shanon Zachidniak (Ward 8) joining here. 

The change means that the average homeowner will see a tax increase of about $6.85 a month or $82 annually.  

The amendment came with the caveat that services to Regina's residents wouldn't be negatively affected. Significant changes would require the city administration come back to council for approval. 

"That is going to be our focus," said Barry Lacey, the city's executive director of financial strategy and sustainability. 

Lacey and city manager Niki Anderson repeatedly told council that they would need time to determine what the efficiency efforts would look like. 

'Totally a mess'

The tension on council was on full display Friday as councillors championing the competing priorities of affordability and addressing homelessness clashed.

Mayor Sandra Masters told council to stop the "misinformation" circulating about homelessness. 

"This naiveté we have that we'll just throw a little bit at it — this is an incremental process and it's something we cannot play in because we don't have billion-dollar budgets," the mayor said. 

"These are health issues, these are social services issues, and I resent the fact that there's no acknowledgement whatsoever from some of my council colleagues that we are doing an extraordinary amount more than has been done before."

The vote effectively put an end to efforts from councillors LeBlanc and Stevens to include funding addressing an end to homelessness in the budget.

Their efforts were supported by a majority of the more than 60 delegations that spoke to council on Thursday. 

However, that was not enough to win over the majority of council. 

Coun. Terina Nelson (Ward 7) was among the politicians calling for a united front. She asked her colleagues to personally step up and address homelessness, while calling for a end to fighting on council. 

Other councillors said they were frustrated after the days-long debate. 

"This has been totally, totally a mess," said Coun. Jason Mancinelli (Ward 9). 

Council also unanimously passed an amendment from Stadnichuk that will see council move $300,000 to the community support program, which is  operated by the Regina downtown business improvement district, from the community investment reserve fund. 

The program will also be funded through a $100,000 contribution from the Regina Police Service and additional, unspecified funding from the Regina Public Library. 

Council passed the capital budget with significant changes and passed the utility budget with a rate increase of 4.5 per cent in 2023 and an in-principle 4.0 per cent increase in 2024 after a motion to lower those rates was defeated. 

ABOUT THE AUTHOR

Alexander Quon has been a reporter with CBC Saskatchewan since 2021 and is happy to be back working in his hometown of Regina after half a decade in Atlantic Canada. He has previously worked with the CBC News investigative unit in Nova Scotia and Global News in Halifax. Alexander specializes in municipal political coverage and data-reporting. He can be reached at: alexander.quon@cbc.ca.