The town of Fort Frances looking at a 3.7 per cent increase in taxes for 2019.
Town council gave approval to both the operating and capital budgets at a special budget meeting yesterday.
The increase in the rate, in part, accounts for more money being put into reserves for future years.
Mayor June Caul says decisions by past councils to limit increases starting to impact the town.
“We need to start making up for that plus a gain. The province obviously isn’t going to give up the amount of money we’re hoping to get any more so we have to get it from the taxpayers. It’s simple as that,” says Caul.
Councillor Andrew Hallikas agrees and feels now is not the time to be thinking a zero increase.
“While it sounds nice to the public, it’s good for the organization,” says Hallikas. “When you’re in a position to increase taxes a little bit to keep the organization working smoothly you avoid problems down the road.”
The capital budget is pegged at over $6.8-million. Some projects are dependent upon government funding.
$2.3-million would be covered through various reserve accounts.
Another $416-thousand is coming from the water and sewer reserves for projects specific to those areas.
Despite the drain on reserves, the contributions planned are expected to leave the town with more than $13.7 million in the bank by the end of the year.
