City of Greater Sudbury tables 2017 draft budget with 3.6% property tax hike

Sudbury city councillors got their first look at the draft 2017 municipal budget on Tuesday evening, which includes a proposed 3.6 per cent property tax hike.

A special 1.5 per cent capital levy may also be added on top of the city's property taxes next year. It would be introduced to generate $3.6 million and give the city flexibility in case council decides to borrow money to pay for large projects. 

If the property tax increase and special capital levy are passed by council, the owner of an average bungalow valued at $230 thousand would pay an additional $11.73 monthly and $141 annually.

Property tax breakdown:

• 25 per cent for roads
• 19 per cent for police services 
• 13 per cent for social services
• 10 per cent for citizen and leisure services 
• 10 per cent for fire services

A full list can be found here. 

Water and wastewater user rates are also anticipated to go up by 7.4 per cent. 

Spending increases for police, health unit, conservation authority

The city's preliminary 2017 operating budget sits at $537 million. It includes a 0.9 per cent increase to outside boards, such as police, the health unit and the Nickel District Conservation Authority.

Police are asking council for a 3.8 per cent budget increase to pay for wages, equipment, and renovations to the service's head office and training centre.

Some councillors questioned whether now is the right time to upgrade police headquarters.

"​I don't debate the issues you're raising with your building whatsoever. My concern is that we might be jumping the queue," councillor Deb McIntosh said. 

"We have a number of buildings that the municipality is operating, which are also in badly need of upgrading and replacing."

But councillor Michael Vagnini, who sits on the police services board, urged his colleagues to support the force's recommendations.

"We do have an issue with our facilities that we presently have," Vagnini said.

"I have seen the mold. I have been on the different floors. I have seen where our ceilings are coming down and some of the evidence that we have could possibly be compromised."

Capital budget increases more than $100M

Meanwhile, the city's capital budget is expected to grow more than $100 million from last year. The significant increase is said to be due to investments from the federal and provincial governments towards infrastructure projects, such as the Maley Drive extension. 

However, the budget does not include funding to add two more lanes to Municipal Road 35, which disappointed councillor Gerry Montpellier.

"​I believe I've been led down a garden path, as I was under the impression this was going to happen," Montpellier said. 

"We were going to look at debt financing. We've talked about it at length and now I see this project is not even going to go."

Staff said they are looking to apply for federal and provincial dollars to fund the four-laning of Municipal Road 35 instead of financing the whole project in next year's budget.

Last year, council passed a $519 million budget with a 3.9 per cent rise in property taxes. 

Although Sudbury's tax rate is climbing, it is still lower than most Ontario cities with a population over 100 thousand, according to a 2016 BMA Management Consulting study. 

Also included in the proposed 2017 budget is a request to create one new permanent position for an asset management coordinator, who would consider how to close the city's $1.4 billion infrastructure deficit. 

The 2017 budget is expected to be finalized by Dec. 13.