Fort Simpson (Apr 23/04) - In addressing Fort Simpson's 2004 Taxation bylaw at Monday's council meeting, Coun. Kim Squires said the mill rates seem high.
Senior administrative officer Bernice Swanson agreed that the rates are higher than in other communities, but she said the taxes generate needed revenue for the village's budget. She also noted that the rates have not changed from last year.
Swanson pointed out that the mill rates would be approximately 75 per cent lower under hamlet status, which village council is contemplating.
Mayor Raymond Michaud said reverting to a hamlet would mean an $800,000 budget reduction, but taxpayers would save a proportional amount on their property taxes, making them happier. However, he acknowledged that the territorial government is currently looking at a new funding formula for hamlets.
"That's the grey area," Michaud said.
Henry Zoe, minister of Municipal and Community Affairs (MACA), is tentatively scheduled to attend the May 3 council meeting to discuss the village's funding situation.
The well is dry
Close to a dozen Fort Simpson Army Cadets made a request for a $5,400 donation, the remainder needed for their $18,000 trip to Wainwright, Alta., where they plan to participate in an exercise this weekend. Council donated the $1,100 left in its $2,450 budget for donations in 2004, meaning there's nothing left for any other donation requests this year.
Michaud said nearly $500,000 in funding cuts from the territorial government has made the overall budget very tight.
Don't penalize students
Council voted against a motion to charge the Dehcho Divisional Board of Education $50,000 annually for school use of the recreation centre. Coun. Owen Rowe, who was absent from Monday's meeting, proposed the idea to recoup heating payments to the territorial Department of Public Works. Rowe alleges a verbal agreement was made years ago to allow the students to use the facility for free in exchange for free heat from the government.
Coun. Dave Wright said the schools will stop using the facility if the levy goes into effect. "The only people who lose out are the kids," he said.
He also noted that Education already has to pay the bills for the other three buildings that are heated by the steam plant.
Coun. Norm Prevost added that the curling club, darts club and cribbage players also use the facility, yet they are not being billed. As well, at $50,000 yearly, the village is only paying about one-quarter of the actual cost to heat the recreation centre, said Prevost.
Lease or partner?
Jack Rowe and Martina Norwegian, representing a joint venture known as LKS Realty, presented partnership and lease options for the village in a new office building LKS Realty is planning to build next year. The village has expressed interest in using 3,000 square feet of the 6,500 square foot building, estimated to cost $2.4 million to construct. Swanson said hopefully the village can convince MACA to go for the partnership rather than a long-term lease.
