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Is Guelph/Eramosa's proposed tax increase too high? Some residents think so

A 3.79 per cent tax increase is currently proposed for the 2025 budget
20220921-townsign-jg
The Guelph/Eramosa town sign.

GUELPH\ERAMOSA — Guelph/Eramosa councillors were met with a mixture of concerns about increased tax rates and where those dollars will go at a public meeting to discuss the proposed 2025 budget on Wednesday afternoon. 

The meeting started with an update on the proposed tax levy increase, which has been reduced from 4.38 per cent to 3.79 per cent after council asked for the levy to be lowered to at least four per cent last month. The current increase does not include the county's portion of the tax bill. 

This proposed increase is "a little high" for Rockwood resident Tara Peyton, who commented on the cost of living and how high property taxes are making it "increasingly difficult" for residents like herself to keep deciding to stay in town. 

"I do feel that it's a little high, especially since we had over four per cent last year ... things like that don't make it very welcoming in my opinion to stay in a tiny town ... it's just making it increasingly difficult to stay in a tiny place like this," said Peyton. 

Resident Phil Hearsky said holding a public budget meeting at 1 p.m. on a Wednesday feels "disingenuous" considering most people work nine-to-fives. He also asked about reserve allocations and called the allocated capital funds for projects like volleyball courts at Marden Park and Gaga Ball Pits at Eden Mills Park "questionable." 

Currently, $265,000 has been allocated for the two projects in the 2025 capital budget, most of which will go toward six volleyball courts.

Approximately $800,000 in capital funding has been allocated for parks and recreation projects in 2025, including $125,000 for a tot lot and swing play structure at Rockmosa Park, $40,000 for a disc golf course at Marden Park and $125,000 for multi-use pads at Cross Creek Park and David Masson Park. 

Defending the proposed allocation, Mayor Chris White said projects like the volleyball courts aren't concrete and have to be "self-sustaining." He also clarified the project would be supported by reserve funds that were not generated by tax revenue.

"The initial numbers we got, we're not happy with them," said White. "We're not proposing adding that to the taxes – (the volleyball court project) has to pay for itself or it won't proceed." 

On the topic of the higher taxes, White said Guelph\Eramosa has a smaller population than larger urban centres which contributes to a higher tax impact. 

For reserves, White said there's a "tsunami coming for all municipalities" regarding infrastructure down the road, and the township has actually added $190,000 more to reserves this year in an effort to accommodate that. 

"We're trying to boost those reserves to look at infrastructure going forward ... we have lower reserves because when we get those reserves in, we're reinvesting them back into the infrastructure," said White. 

Also disputing some of the proposed parks and recreation allocations, resident Ian MacDonald spoke at the meeting to share complaints about the proposed upgrades to the northeast corner of Rockwood, saying neighbours will be looking for someone to "hang by the heels." 

"Are we actually going to destroy that neighbourhood?" said MacDonald, asking why the township wants to spend $3 million to "annoy everybody." 

Staff said $80,000 in capital funding is allocated in 2025 for surveys and designs related to a multi-year water main replacement and reconstruction in northeast Rockwood since the area has "some of the oldest" water mains and sanitary sewers in Rockwood.

The area also has "the majority" of road sections with the lowest condition ratings in Rockwood and "substandard" road sections for an urban environment, said staff. 

"Just to be clear, this initial study is to take a look at what we might do (staff) aren't suggesting we're going to whip in there and double the size of the road and give sidewalks and curbs to everybody ... we're not big government rolling in to tell you exactly what to do," said White. "At the end of the day, the neighbourhood might end up being exactly as it is with some curb improvements for drainage and some underground water stuff, it may be no different at all, we don't have the details."

The final budget will be approved at a future meeting.  

Isabel Buckmaster is the Local Journalism Initiative reporter for GuelphToday. LJI is a federally-funded program.


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About the Author: Isabel Buckmaster, Local Journalism Initiative Reporter

Isabel Buckmaster covers Wellington County under the Local Journalism Initiative, which is funded by the Government of Canada
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