Councillors' retreat spells potential 1% tax increase By John Steinbachs, Ottawa Sun, March 4, 04
Municipal taxes began creeping up yesterday as city councillors added cost after cost back into this year's budget. At the end of the day, councillors on the city transportation committee had recommended that $8.4 million in proposed cuts be stopped -- the equivalent of a 1% tax increase. "I think we're going the wrong way, we're on the wrong track," said Coun. Rainer Bloess. "That doesn't look good for the taxpayer right now." The sharp jump in the amount put back into the budget had some councillors wondering just how large the final tax increase would be. About $6 million in proposed cuts to OC Transpo was averted with many on the committee feeling the cuts were just too deep and would hit ridership and service too heavily. ROUTES CANCELLED "I think the committee has realized it just can't take all the cuts that are proposed. It did accept $10 million in cuts so I think it's taken a balanced approach," said Coun. Alex Cullen. Though some items were spared, budget reductions approved yesterday included some OC Transpo bus routes with poor ridership. Some routes could be cancelled while others will be reduced, especially during off-peak hours. All of the decisions still need council's approval on March 24. The transit cuts did not sit well with some. "There is no account of the needs of ... people in the service sector who are taking transit who have to get to work before 9 a.m. on a Saturday morning," said David Jeanes, a spokesman for transit group Transport 2000. He also worried about the effect on the elderly and the disabled. The committee recommended slashing services affecting seniors, city sign making and advertising for OC Transpo. "What we're doing is so sad," said Coun. Clive Doucet. Among yesterday's cuts was the $26,000 Snow-Go program, which helps to co-ordinate snow shovellers for seniors and disabled people. The program helped almost 600 seniors find a snow shoveller last year. Many councillors were upset with the tax-hike pace set yesterday. "What it means is you'd better be prepared for a tax increase at the rate we're going," said Coun. Eli El-Chantiry. "I think we still have to tighten our belt and reduce our staff." To avoid a tax increase the city needs $101.5 million worth of cuts, but a tax freeze moves further away with each passing committee meeting. Today, another committee will begin hearing delegations from hundreds of people calling for a stop to cuts to health, recreation and social services. About $16 million worth of programs are on the line and the day will likely be filled with emotion. |