Don Quixote Blunders at Budget Meeting !

At the Budget talks this morning, there was a question from Coun. Cunningham about how much was actually spent from this reserve. By reflex I mistakenly blurted out $36,000 when I meant $136,000. I was instantly corrected by the astute Financial expert Kevin Bertles who gave the correct figure of $130,000 and I thank him for that.

It is always nice when the correct figures are on display for the Councillors to consider in their budget deliberations.

To set the record straight I refer you to BUDGET 2007 ASSISTED HOUSING RESERVE $150,000 some of which is excepted below:

According to the 2006-2010 Budget there is a planned $150,000 TAXES in 2007. (Future years indicate $150,000 (2008) $50,000 (2009) ($200,000) DRAWDOWN in (2010).

In 2004 $330,000 was reallocated from the Policing Reserve and put into this fund. The reserve stood at $350,000 at 2005 yearend after $150,000 was put in through taxation and $130,000 was used to finance the DCC's for the Good Samaritan Society's project on 20th avenue, and $150,000 was put in through taxation in 2006 to bring the present balance to $500,000. (There is no indications that there will be a drawdown in 2006 although I heard rumours of a $65,000 DCC draw by a Qualified Housing project.)The taxpayer have in effect paid $630,000 into this reserve and only $130,000 has been used in 3 years.

Don Quixote Recommendation:
As this reserve has $500,000 in it and has had little attraction to fund the DCC's for this type of housing (even if the $1 DCC's proposal is not built into DCC bylaw as it should be) then this Reserve fund should be capped at $500,000 and the purpose of this Reserve should be re-examined. (Part of the original motion by Coun Beardsell in 2004 was the original $330,000 startup money must be returned to the Policing Reserve if this Reserve was cancelled!)
There should be no taxation for this reserve in the 2007 year. (saving $150,000)
Reexamination of taxation in the 2008-2010 period.