Wednesday, December 20, 2006

City setting right agenda

Dec 20 2006 EDITORIAL http://www.vernonmorningstar.com/
Often politicians and bureaucrats act like the public’s money is their’s to spend freely. But there was a positive break with tradition at Vernon city hall Monday. have actually been easier to accept staff’s suggested tax hike of 6.81 per cent because there is nothing taxpayers could do to stop it. The tough part was to look staff straight in the eye and say an additional $588,858 in spending will only happen through a combination of belt-tightening and using reserves. If staff can’t find one per cent in savings — $265,000 — the additional budget items may be in jeopardy. And for those who fear such belt-tightening will reduce necessary services, there is nothing to worry about. It would be completely laughable if $265,000 threatened the activities of a multi-million-dollar organization. The finance committee’s goal is to keep the 2007 property tax increase at 2.84 per cent and that makes sense. Obviously no one likes paying more to the taxman, but it costs the city more every year to provide services demanded by residents. At 2.84 per cent, it’s essentially keeping up with the cost of living. There is also the reality that there is just one taxpayer and the city can’t make decisions in isolation. While it is seeking more cash from residents, so are hospitals, the regional district, library board and school districts. All of these financial pressures must be considered as a package. In the end, the finance committee demonstrated prudent management Monday.
Instead of hiking 2007 property taxes even further than anticipated, the finance committee told staff that if they want extra items added to the budget, they will have to find the cash themselves. If anything, such a move is inspired. It would have actually been easier to accept staff’s suggested tax hike of 6.81 per cent because there is nothing taxpayers could do to stop it. The tough part was to look staff straight in the eye and say an additional $588,858 in spending will only happen through a combination of belt-tightening and using reserves. If staff can’t find one per cent in savings — $265,000 — the additional budget items may be in jeopardy. And for those who fear such belt-tightening will reduce necessary services, there is nothing to worry about. It would be completely laughable if $265,000 threatened the activities of a multi-million-dollar organization.
The finance committee’s goal is to keep the 2007 property tax increase at 2.84 per cent and that makes sense. Obviously no one likes paying more to the taxman, but it costs the city more every year to provide services demanded by residents. At 2.84 per cent, it’s essentially keeping up with the cost of living. There is also the reality that there is just one taxpayer and the city can’t make decisions in isolation. While it is seeking more cash from residents, so are hospitals, the regional district, library board and school districts. All of these financial pressures must be considered as a package. In the end, the finance committee demonstrated prudent management Monday.

No comments: