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Moose Jaw city council decided to drop the mill rate increase for the remainder of 2020 in an effort to help citizens during the COVID-19 pandemic.
Council recognized the measures will leave challenges with the 2021 budget, but they are measures that needed to be taken.
“Right now with all the uncertainties, what this does is provides some immediate relief to some of the increases we were faced with,” Coun. Chris Warren said Monday evening.
In order to get to those figures, council voted to postpone the mill rate funding increase of one per cent for parks, recreational and facilities capital projects until 2021.
Coun. Heather Eby made a motion to have unused councillor travel expenses cut to zero for the remainder of the year, but leave the mayor’s travel expenses as is.
Mayor Fraser Tolmie added a friendly amendment that he’d give up half of his travel expenses as he anticipates he will not be travelling as much during the pandemic. The motion was carried by council.
Administration had recommended slashing third-party funding by $166,700 for the remainder of the year. This figure would have represented the amount third parties could cut up to Aug. 31.
However, of the $166,700 in savings, $7,600 would be coming off of the Wakamow Valley Authority’s budget. Since councillors slashed their travel expenses, in turn, Coun. Dawn Luhning made a motion to leave Wakamow Valley’s funding as is since the councillors made up for the shortfall by giving up travel expenses.
Luhning said Wakamow Valley is seeing more traffic right now and yet is losing events due to health regulations. Luhning felt the facility could use the funding at this time.
The motion carried 6-1 with Warren opposed. Warren said while he appreciated the sentiment, Wakamow has a healthy reserve from donations and contributions and felt it should consider that, no different than city council has been doing.
Council also voted that financial services and human resources budgets be reduced by $51,000 through staff reduction.
The outdoor pool will remain closed for the season, saving the operating budget about $166,000.
Tension rose in the council chambers as Coun. Brian Swanson continued to compare the current report to a report given to council on April 13, believing that council had already voted to close the pool. Eventually, he was asked to stop comparing reports because it was stalling the conversation.
Finally, an amended 2020 operating budget was approved. Cash flow would be reduced by $1.6 million up to Aug. 31 and $3.04 million if the pandemic runs the remainder of the year.
“April was the first month of generally the pandemic and people being required to stay home,” said city manager Jim Puffalt.
“Water revenues have dropped but nothing as bad as we thought it may be based on some initial figures and property taxes have remained relatively the same as previous years.”
The new operating budget will also see $1.8 million in savings in expenditures up to Aug. 31 or $3.04 million at the end of the year.
Overall, the adjustments will bring the mill rate increase below one per cent for the year.
Shawn Slaght, Discover Moose Jaw