Due to increasing costs and wanting to be able to put some money into reserves to deal with potential future issues, the Town of Castor council has passed the 2022 tax bylaw which includes a one per cent tax increase.
Council passed the bylaw during their May 9 council meeting.
Prior to presenting the bylaw to council, chief administrative officer Christopher Robblee submitted the town’s tax needs for 2022.
While indicating that the town could get by with no increase in 2022, that decision would also mean that no money would be available for reserves, while the 1 per cent increase allows for a small amount.
The total budget requirements for the town for 2022 total $3.79 million, down from nearly $3.95 million in 2021.
While around $2.4 million of those funds comes from utility fees and other revenues, including government grants, the remaining $1.3 million is raised through taxation.
Around $250,000 of the taxation amount is actually money that the town is obligated to collect from landowners for school fees and senior’s housing through provincial requisitions.
The province sets an amount every year that the town is to collect, and regardless of whether the town collects it or not the municipality is expected to pay that amount to the Government of Alberta.
As of 2020, the average Castor resident’s tax dollar was broken down into six separate sections.
Just over 20 per cent goes towards legislative services, just under eight per cent goes towards protective services, recreation and facilities are the second highest piece of the pie at 23 per cent, public works is 19 per cent, garbage is just under four per cent, and utilities take up the lion’s share of the tax dollar at 25 per cent.
Deputy Mayor Trudy Kilner moved to accept the 2022 tax requirements report, with the one per cent increase, which was carried with two councillors voting against.
The tax bylaw subsequently passed all three readings, and tax notices will be mailed out in the coming weeks.
According to Robblee, depending on 2022 assessments residents will see a few dollars added on the low end and $100 on the high end to their tax bill, with most falling somewhere in between.