Brownsburg-Chatham to see 21-per-cent tax hike in 2011

Residents of Brownsburg-Chatham can expect a 21-per-cent average increase in their municipal taxes in 2011, as announced by municipal council and staff at a special budget meeting on Tuesday, December 21.

Revenues from taxes will increase from $6.16 million in 2010 to $7.49 million in 2011, a jump of $1.33 million (or 21.6 per cent) to be financed by taxpayers.

This amount represents about 72 per cent of the total expected revenues next year. The municipality's budget is $10.47 million, which is an increase of $2 million compared to the previous year's $8.47-million budget.

In announcing the budget, Mayor Georges Dinel told residents it was not an easy decision to present such an increase but maintained it was necessary to finance much-needed infrastructure improvements and the increasing municipal deficit.

"We have many problems, and if we want to repair them, we need money," he stated, adding the municipality also overestimated the 2010 revenues and underestimated its expenses. "This explains the adjustment we made for 2011."

The municipal tax rate is $0.84 per $100 of property valuation for residential and agricultural properties. That rate is $1 per $100 of property valuation for buildings of six housing units or more, $1.79 for commercial properties, and $2.31 for industrial properties.

The average tax rate, according to the municipality, is therefore $1.4384 per $100 of property valuation - up from $1.1937 per $100 in 2010.

Residents of St-Philippe will pay an additional $225 for water and sewer services while those in Brownsburg will pay an extra $70 per household.

Budget

While some expenses in the 2011 budget have increased slightly, the overall differences from last year's budget indicate that a lower percentage of revenues will be allocated to municipal services in 2011, as compared to 2010.

Municipal officials explained this was a result of having to increase payments on Brownsburg-Chatham's financing costs and capital expenses repayments in 2011. Financing costs jumped to $564,640 from $376,400, while capital expenses repayments increased from $621,251 to $1.18 million. Together, these costs represent 16.7 per cent of the 2011 budget.

"We are obliged to reduce our portions of expenses in the budget, as there is debt to pay off," Dinel noted. "The reduction of percentages (allocations) is directly related to the debt repayment."

He explained the municipality has been granted five years to pay its debt, and that the quality and quantity of services in the municipality can be adjusted annually - if the budget permits it.

The net amount of the debt stands at $16 million, which was reduced to $12 million for the municipality after funding grants and financial support from the Québec government. In 2011, however, that debt will increase to $13 million.

Public security will receive $1.61 million, up from $1.51 million last year, while $2 million was allocated to transportation - an increase of $200,000.

The budget for recreation and culture was nearly doubled, jumping from $848,430 to $1.62 million.

2011-2013 capital works forecast

Brownsburg-Chatham director-general Pierre Charron presented the municipality's estimated capital works expenses over the course of the next three years.

Expectations are to spend $320,000 on road infrastructure repairs in 2011, followed by $1.49 million in 2012 and 2013, for a total of about $2 million.

To improve the camping site, the municipality would like to invest $120,000 (2011), $405,000 (2012), and $500,000 (2013), for a total of about $1 million.

For infrastructure repairs to the aqueduct and sewer network, Brownsburg-Chatham is aiming to spend $1.82 million in 2011, followed by $150,000 each year in 2012 and 2013.

Vehicle replacements are expected to cost $335,000 in 2011, $360,000 in 2012, and $430,000 in 2013, while building upgrades are forecasted at $1.5 million in 2013.

In municipal park upgrades, the municipality is looking at $300,000 in 2011, which will be offset by a $140,000 funding grant from Hydro-Québec. This work will include upgrades to local school parks. However, Dinel noted, it must be paid for and completed before Hydro-Québec will provide its share of the funding.

In all, the three-year "wish list" comes to a total of $8.4 million, which would be offset by $2.5 million in grants and funding, leaving $5.9 million to be financed by taxpayers.

That plan also includes a budget for the construction of a new library in 2013, as long as the project is accepted and approved by the provincial Ministère de la Culture, des Communications et de la Condition féminine.

Dinel said the council is aware that it must present a request as early as possible, and would be discussing this with members of the library committee in January.

The 2011 budget includes "at least" $10,000 for the purchase of new books for the library, an expense that was cut in 2010.

"It is worth noting that the 2009 budget provided $12,133, and that the standard as per the Quebec average is $24,377," the Coalition Nous méritons mieux, a citizens' group, wrote on its website following the announcement.