Introduction from the Chief Administrative Officer
D. Chapman presented a general overview of the Operating budget noting the budget ensures maintenance of services valued by the Community while mitigating cost increases, responds to economic pressures introduced by inflation and supply chain demands, and addresses the impacts of Kitchener's rapidly growing population. D. Chapman noted the Capital Budget maintains investments in priority projects however the 2024 capital forecast requires Council to make difficult decisions that maintain reliable infrastructure and support growth.
D. Chapman further highlighted the City of Kitchener's commitment to maintaining affordable property tax noting the 2023 budget is well below the rate of inflation in line with Council's 2 year rolling average for the Consumer Price Index. D. Chapman noted $1.5M of the proposed budget is allocated for Council and Community priorities. Lastly, the budget outlines strategies developed from Citizen and Council feedback, for improving accessible communication of financial information to Kitchener residents.
Councillor M. Johnston entered at this time.
General Overview by the Chief Financial Officer
J. Lautenbach highlighted the City's budget survey being launched this date noting the survey is typically the public's preferred method for providing input on the budget. In addition, new videos explaining key concepts of the budget have been published on the City of Kitchener website along with a budget summary document.
Councillor B. Ioannidis left the meeting at this time.
J. Lautenbach provided a further overview on the budget, noting the proposed overall tax increase of 4.8% is well below the current rate of inflation (7%). The proposed increase for WIP is 4.5%, in line with previous rates approved by Council. Overall, the impact of the proposed property tax increase is $56 dollars per year, and for water utilities, $42 dollars per year, for the average household.
Councillor B. Ioannidis re-entered the meeting at this time.
In response to suggestions from the Committee, J. Lautenbach indicated tax bills could be reviewed to demonstrate the allocation fees to the City and the Region. Councillor P. Singh requested an issue paper be prepared outlining the initiative for the breakdown of fees collected from tax bills.