Fort Simpson (May 05/06) - Changes in mill rates (the amount of tax paid per dollar of an assessed property value) might be possible in the future. Village council discussed the rates at their meeting on May 1.

Coun. Tom Wilson pointed out that there hasn't been an increase in the rates since 1991. Wilson added that an increase by one mill would barely equal the cost of a pack of cigarettes for most people.

Undeveloped lots should have their mill rates increased by 100 per cent as a way to discourage speculators, said Coun. David Wright.

Coun. Bob Hanna suggested that an overall increase of one per cent, coupled with a 50 per cent increase on undeveloped lots, might be appropriate.

"We're never going to get where the budget is going through the mill rate," said Mayor Duncan Canvin.

In the current budget there is an approximate $350,000 deficit with last year's mill rates and water and sewer rates in place, said SAO Tom Matus.

Council decided to continue discussions on the mill rates at a later meeting.

More money

The village is applying for extraordinary funding from MACA to use for an expansion to the fire hall. Matus said $1 million is the amount that will be requested.

Water and sewer woes

Most of the village's deficit is coming from water and sewer rates, Matus told council.

At the current rates, there is a $323,000 deficit in this area in the budget.

Coun. Tom Wilson said he wouldn't mind running a deficit to prove a point to MACA. MACA continues to promise to create new water and sewer divisions, but hasn't done so, said Wilson.

"We can't continue operating this way. It's fiscally irresponsible," said Coun. Ann McKee.

She said that if the water and sewer rates are not raised, funding for something else will have to be reduced.

Council decided to continue the discussion at the next meeting after obtaining a chart of water rates in communities of a comparable size.