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Tuesday, September 08, 2015

Get ready for tax hike to cover cost of budget deficit

Back in July I asked Mike Zegarac, head of finances for the City of Hamilton, if we were running a deficit, and how much it was? In reply I was told that the City's latest 2015 variance report forecasts a deficit (property taxes) of $2.9 million and a surplus (water and sewer charges) of $1.6 million. This means that city hall is spending way more money than was budgeted for while charging more than necessary for sewer and water costs. Fast forward to September, when I asked the head of Finance if the deficit has become worse or better? I was told that the next variance report will go to council by the end of September. One can only assume that we will finish the year even deeper in the hole, which will require another property tax increase to cover the loss. Obviously this cycle of tax and spend mentality has to be curtailed. Since I bought my house on the mountain, property taxes have increased every single year, but services have remained the same. That's Hamilton, get used to it.

Mark-Alan Whittle
Hamilton Mountain

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