For the first time in many years, residents of the town of Stellarton will have to dig deeper into their pockets come tax time. In a special meeting on Tuesday, Stellarton council went over the budget numbers with accountant Brenda MacKay for fiscal year 2023/24.
The amount of expected revenue for the general operating budget is about $8.8 million dollars,
Mayor Danny MacGillivray (Town of Stellarton photo)
but even after town staff found cost efficiencies, there would be a projected deficit of over 260 thousand dollars. There have been deficits run in the last two years, but two years ago Stellarton covered it with extra money from the province as part of COVID relief, while last year the shortfall was covered by a portion of the town’s operating surplus. MacKay and council noted that the surplus cannot sustainably fund deficits in the long term, and so to balance the books – as required under provincial law – taxes will have to rise. Mayor Danny MacGillivray says like all other municipalities, Stellarton is facing rising costs.
The proposed new tax rate is $1.88 per $100 assessed for residential and resource properties – a six cent increase, meaning another $60 for a property valued at $100,000. The commercial rate would rise 15 cents to $4.30 per $100 assessed, or $150 more for a commercial property valued at $100,000. Councillor Simon Lawand noted this would be the first tax rate increase for Stellarton since 1997.
In addition, the town is waiting on approval from the UARB for a new water rate following the first water rate study in thirteen years. The proposal includes a $5 per month increase this year, a $5 per month increase in 2024-25, after which the town will switch to a fully metered rate.
Council will vote whether to approve the proposed budget at the next regular meeting of council this coming Monday evening.