December 2020 News Archive

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Council approves multi-year operating budgets and plans

December 3, 2020 4:28 PM
(Red Deer, Alberta)

The operating budgets for 2021 and 2022 are now approved following budget deliberations today. The operating budgets, totaling $379.3 million and $384.9 million for 2021 and 2022 respectively, cover the day-to-day-costs of delivering programs and services to the community.

These budgets align with the parameters set by Council in June 2020:

  • Zero per cent tax increase: property owners whose property has an average change in assessed value will not see any increase to the city portion of their tax bills in 2021 or 2022
  • 0.5 per cent capital contribution in the 2021 and 2022 Operating Budgets
  • No more than a 0.5 per cent increase in utility rates for 2021 and 2022
  • No increases in user fees or new fees in the 2021-2022 budgets
  • Reserves (excluding offsite and parking reserves) will be in a positive balance
  • The 2021-2022 capital budgets meet the approved Council Policy which limits debt to 75 per cent of the provincial debt limit

“Our budget objective was to minimize the financial impacts of City operations to our citizens over the next two years, which is critical during a time when our citizens and businesses are experiencing increased strain due to the current economy and ongoing pandemic,” said Mayor Tara Veer. “The multi-year budget approved today allows administration to maintain levels of service to our citizens in the most efficient and effective way possible, while ensuring our infrastructure continues to be maintained and enhanced.”

The 2023-2024 Operating Plan was also approved in principle today. The plan, paired with multi-year budgets, allows The City to plan more effectively long-term and is used as a tool to assess what the community needs will be and the funding required.

“City administration does their best to estimate the expected service levels and related budget in future years, and to allow for transparent planning for our community,” said Mayor Veer. “Our operating plan reflects this; however, we are unable to guarantee funding from Provincial and Federal governments and changes in the local economy, which is why these plans are approved in principle.”

Funding for the operating budgets are primarily through property taxes, user fees and sales of goods and services, and grants.

For more information on the operating budgets and plan, see attached Operating Budget FAQ (pdf) .

For more information, please contact:          

 

Corporate Communications
The City of Red Deer

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