Ratepayers in the RM of Corman Park will see their property taxes rise by an average of 1.26% in the coming year.
Corman Park Councillors put their stamp of approval on the municipality’s 2021 budget during a meeting on Monday, December 21.
The RM’s 2021 budget has projected total revenues for the coming year at $20,282,054; while total expenses will amount to $19,969,217, resulting in a surplus of $312,837.
However, when depreciation, reserve transfers, loan payments, capital projects and other expenses are added into the equation, the RM’s overall deficit for the coming year amounts to $140,868.
The 1.26% increase in property taxes is intended to provide the necessary funds to cover that projected gap between overall revenues and expenses.
Last year, Corman Park did not increase property taxes, and in 2019 the tax increase was set at 1.14%.
Corman Park Reeve Judy Harwood said it is a balancing act to provide quality services across the largest rural municipality in the province in terms of population.
“It is always a challenge to maintain RM services while being cognizant of our economic times, and in particular this past year and going into 2021,” said Harwood.
“Council has held firm on keeping our budget balanced, by cutting costs and some delayed capital purchases we are able to keep our tax increase for 2021 under 1.3 percent.
“We are aware of the difficult times many are experiencing due to the COVID pandemic, so we are doing our very best to keep increases at a minimum while not sacrificing the RM services that are expected.”
Corman Park Chief Administrative Officer Adam Tittemore said the actual property tax increases will vary for individual properties, depending on their assessment value. This coming year is a revaluation year by the Saskatchewan Assessment Management Agency (SAMA). The new assessment numbers won’t be provided by SAMA for several months.
However, he said if the $140,868 generated by the 1.26% tax hike was spread evenly across the RM’s 4500 properties, it would amount to an increase of $31 per property for the year.
“Obviously, the increase won’t be spread evenly,” said Tittemore. “Based on their assessment values, large commercial properties will pay more, while smaller agricultural properties will pay less.”
Tittemore said council had a goal of keeping the tax increase below the level of inflation over a three year period.
He noted that even with a zero per cent tax increase last year, the RM saw a number of significant capital projects completed. This was due in part to lower capital expenses than originally budgeted for.
And, he noted, despite a drop in budgeted revenue, the RM also received some unexpected grants money from senior levels of government.
“We’re very careful with ratepayers’ funds,” said Tittemore. “And with the grant funding we received, we were able to take on some additional road projects and moved forward faster than originally planned.”
Harwood expressed her best wishes to ratepayers over the Christmas season and the coming year.
“All the best to Corman Park residents, stay safe, stay healthy and all the best for 2021,” she said.