Long Term Financial Framework
The municipality has a long-term financial framework focused on five areas:
- Recognized value for services
- Predictable infrastructure investment
- Competitive property taxes
- Responsible debt management
- Improved reserves and reserve funds
Financial stability is fundamental to the health of the community. Only with stable and sufficient revenues, and careful planning of expenditures, will the District be able to provide the important services residents need and enjoy.
Annual Budget and Five-Year Financial Plan
Every year, we develop an annual budget outlining how tax dollars are invested to support our businesses and residents. We include a five-year balanced financial plan to guide our strategic investments and service plans while keeping property tax, utility fees, and user fees affordable over the long term.
To balance the budget, we carefully analyze the level of services required to meet the expectations of the community, and we balance those against realistic taxation and user fees levels.
Sustainable Infrastructure Replacement
A challenge facing our community is that many of our existing assets were constructed in the 1970s with significant funding support from senior levels of government. These assets will need replacing in the coming decades, and a renewal investment is required to maintain service to the community and protect the next generation. Council recently approved a long-term approach to gradually reach sustainable infrastructure replacement levels within fifteen years. We expect to use a gradual approach to increase the annual $4.2 million of capital investment to the minimum $6.2 million sustainable infrastructure replacement level.
To achieve this goal, we have the following in place:
- Asset Levy: A separate Asset Levy was established in 2017 to clearly identify infrastructure funding for taxpayers.
- General Capital Program: A fifteen-year plan to increase infrastructure spending equal to 1.25% property tax increase to average homeowner each year. ($25 dollars per year to average home)
- Water System: A ten-year plan to increase infrastructure spending equal to 1.50% water utility rate increase to average homeowner each year. ($8 dollars per year)
- Sewer System: A fifteen-year plan to increase infrastructure spending equal to 5% sewer utility rate increase to average homeowner each year. Some debt financing will be required to bridge the first few years as funding is gradually increased and we begin replacement of aging sewer mains and lift stations. ($13 dollars per year)