ST. PAUL - The Town of St. Paul is proposing a 4.5 per cent property tax increase across the board in its 2024 budget.
On Dec. 11, council briefly discussed its 2024 interim budget during its regular council meeting, before moving the discussion into a closed session which lasted about four hours.
After the meeting, CAO Steven Jeffery explained the discussion was moved to closed session due to sensitivities around staffing. He noted that with just a few people working in some departments, it becomes very clear who discussions are about.
The closed session also included discussions with department directors.
Speaking during the public portion of the meeting, Jeffery said that with the status quo, the Town would be left with a significant deficit of more than $500,000.
The CAO said he believes it is in the community’s best interest to build a surplus so the municipality can resume funding reserves. The Town also must plan for future debentures.
Following the lengthy closed session, council first passed a motion to extend the regular meeting passed 11 p.m.
The second motion after the closed session wrapped up was made by Town of St. Paul Mayor Maureen Miller.
“We also had a long conversation and I would like to make a motion that we direct administration to investigate an aggressive incentive program for residential, commercial and industrial property development,” said the mayor. The motion was carried.
The last motion made was regarding the interim budget. Coun. Gary Ward made a motion to include a 4.5 per cent tax increase in the 2024 budget, which provides for a surplus of $158,000. The motion was carried.
Council adjourned the meeting at 12:29 a.m.
Budget highlights
The Town of St. Paul provided Lakeland This Week with a breakdown of the interim budget.
The approved interim budget includes a three per cent cost of living adjustment for all staff positions with the municipality.
In the finance department, $140,000 has been allocated for data migration, implementation and training on a new municipal finance software, as the current software is at the end of its life, as of Dec. 31, 2024.
For community support, the Town has increased grants to individuals and organizations by $6,000 for 2024. Canada Day celebration costs have also been increased by $7,000.
In the Municipal Enforcement department, the budget includes just one Community Peace Officer for 2024.
In the Public Works department, $200,000 has been budgeted for road rehabilitation, which is the same amount budgeted in 2023, but significantly less than the $500,000 budgeted in 2019 and 2020.
Water and sewer revenues are projected to be 10 per cent higher in 2024 as a study is completed on the Town’s actual cost to supply utilities to residents.
The Wellness Centre, which is owned by the Town of St. Paul, will see $10,000 used for repairs and maintenance at the medical clinic.
Also, $10,000 is being put into reserves for the future purchase of a new Action Bus. The Action Bus is operated by the Town of St. Paul and offers transportation for seniors and people with disabilities at a low fee.
A Municipal Development Plan update has also been approved, which comes at a cost of $70,000 in both 2024 and 2025.
In the recreation department, the Town will be using some golf course staff in other positions during the off season, and Aquatic Centre staff are being asked to review service levels and operations, “in order to save about $65,000 in wages and related expenses,” according to the budget highlights.
The Town of St. Paul has also taken over ownership of Union Cemetery, which will come with some revenue and expenses.
Increases
Insurance premiums are expected to see a five to 10 per cent increase across all departments.
Fuel, freight, utilities, chemicals and other necessary items to operate various municipal services have been increasing every year, “and we are trying to manage these costs,” according to the highlights.
