With the District of Squamish considering significant increases to taxation to help balance this year's budget, current budget proposals also call for an increase of three quarters of a million dollars to non-core spending.
"Non-core spending refers to new expenses that aren't part of the general increases in year to year finances," said Mayor Ian Sutherland."They are things that we didn't do in 2006 and we are hoping or planning to do in 2007," said Sutherland.Those new non-core expenditures total $735,770 of new expenses.
The new areas of spending include and increase of $25,320 for by-law enforcement, and additional $125,760 for parks and recreation, $177,191 towards fire protection, $33,400 for emergency measures preparedness, $138,699 in additional funding for general government services, and $199,400 towards community development.
These increases in expenditures are not part of the annual increases the district sees each year as part of rising inflation or wages.It is important that spending be looked at closely before, moving ahead with significant tax increases," said Denise Imbeau, manager of the Chamber of Commerce.
The chamber has expressed concern over the initial tax proposals brought forward by district staff - one of which called for a 104 per cent increase in business taxes. However, Sutherland has made assurances that the taxation rate will not increase by that amount.
Many of the new expenditures that the district is considering, would go towards administrative costs - $76,200 would go towards recreation administration, $10,500 would be earmarked for fire protection administration, $15,340 for general government administrative costs, and $32,470 for other general administration expenses.
Other non-core increases include $45,779 for library services, $32,780 for special projects, $130,141 for fire department operations and $23,550 for parks maintenance.
When coupled with core expenditures, the district is looking at a total operating cost of $31,680,208 this year - $1,872,917 more than the municipality spent in 2006.
Under the 2007 budget, the overall expenditures breakdown as:
$4,431,944 for general government, up $230,252 from 2006.
$6,219,297 for protective services, an increase of $903,452, which includes an obligated increase of $745,138 towards police services.
$2,797,904 for parks and rec., up $278,482 from last year.
$1,653,260 for the water utility fund, which is $6,730 less than what was spent in 2006
$2,590,581 for sewer, up $72,184
$3,990 more for health services, bringing that total to $1,277,670
$1,603,390 for transportation, up $16,028
And $2,561,008 for development services, and increase of $177,183.
In addition to these expenses the district is also facing an increase in debt repayment.
The district will spend $1,507, 481 on external debt charges this year, with $770,814 going towards interest, $559,058 going towards principal, and $177,609 being spent on short-term debt.
That expense includes $370,870 in new debt charges this year - charges that were incurred over the last two years and must now be accounted for.
Of this, $93,000 will go towards the principal of a forestry-building loan, $24,000 will be spent on the interest of that loan, and $167,870 will go towards the interest of a loan for improvements to the business park.
In addition the district will have to pay $93,000 in short term interest on an operating loan, being used to keep the district going until taxes begin to come in.
The council will meet again this Tuesday to further discuss how to move ahead with this year's budget.
