Summerside presents balanced budget despite COVID issues
Sheehan Desjardins | CBC News | Posted: March 11, 2021 11:13 AM | Last Updated: March 11, 2021
Water, sewer and electricity rates to increase
The City of Summerside laid out what it described as its most challenging budget yet as it looks to recover from the COVID-19 pandemic.
For its 26th consecutive year, the city announced a balanced budget Wednesday evening — this time for $55.1 million.
"We really need to look at growing our city for economic development," said finance chair Coun. Norma McColeman.
"We hope that as we start to come out of COVID, then some of that lost revenue will make its way back into the city coffers."
'Tighten the belt'
According to McColeman, the pandemic did play a part in an estimated $1.2 million loss experienced by the city. That being said, city officials were able to cut expenditures and the province also assisted with funding.
"If you don't have the revenue, you can't spend it on the things that you were hoping to move forward into. So we've really had to tighten the belt," said McColeman.
"But still trying to be positive in moving forward on the things that we've already got on the back plate, or on the burner, so to speak."
Highlights from this year's budget included:
- $8 million for the solar farm
- $4.3 million for the new eco-business park
- $4 million for intersection realignment at Pope Road and Central Street
- $1.6 million for the outdoor multipurpose sports dome
- $1.3 million for the redevelopment of land on Granville Street
- $1.16 million for street, intersection and storm sewer upgrades
- $2.4 million for water utility capital improvements
- $1.9 million for sewer utility capital improvements
- $1.7 million for electric utility capital improvements
"There's many things that we'd love to do," said McColeman. "We also have to remember for our residents and the community, we must always consider fire safety, policing, our water and sewer, our streets, our municipal services.
"Those are the things that we have to make a priority ... Those are things that really keep our city really working."
'One of the hardest decisions'
Property taxes will remain the same. However, ice and pool rentals will jump three per cent, and water and sewer will also grow by three per cent for residential customers. Electricity rates will increase to match Maritime Electric starting April 1, a little under four per cent for most customers.
"It was probably one of the hardest decisions that we had to make," said McColeman.
"But we knew that if we don't continue to improve and upgrade, then we might have bigger costs on our hands if those old pipes underground are not worked on."
According to McColeman, some of the pipes in the city are a century old and need attention to ensure healthy water. However, several councillors remained adamant that now was not the time to ask residents for more cash.
"I think we're very heavy and concerned about COVID and many people have been impacted by it and that did not go unspoken or unnoticed," said McColeman.
"None of us looked at those increases as something just like a walk in the park. We really deliberate and I think that's what made it so hard trying to make the decisions."
Summerside council is expected to vote on this budget on March 30.