Municipal tax levy increase of 6.6% adopted

Cobourg, ON (March 15, 2023) – During the Regular Council Meeting on Monday, February 27, 2023, Municipal Council voted to approve the 2023 Municipal Operating and Capital Budgets.

Council approved the 2023 Capital Budget in the amount of $32,998,716 as well as the 2023 Operating Budget with the Municipal Levy of $28,154,601, which represents an 8.1% increase over the 2022 Operating Budget and a 6.6% net increase after allowing for New Assessment Growth of 1.5%.

This equates to an increase of approximately $178 on the Town portion of the average home assessed by the Municipal Property Assessment Corporation (MPAC) at $278 500

During the month of January 2023, Council received presentations from Town staff across all divisions and departments with projections for the 2023 budget. Budget deliberations occurred over two days, on February 7 and 9, 2023, in Council Chambers as well as livestreamed on eSCRIBE, the Town’s meeting management software.

Residents participated in two phases of public engagement on the Town of Cobourg’s public engagement portal, Engage Cobourg. The engagement process included a preliminary survey to provide insight from taxpayers on the programs and services that are most valued, the level of satisfaction in service delivery and the issues they feel are most important for our community at this time. The results from this Phase 1 survey were presented to Council during the Monday, January 23, 2023, Public Submissions Meeting and Community Grants Presentations.

The Phase 2 public engagement survey was circulated following the release of the draft budget and asked residents to provide feedback on the budget process, including communication and education as well as the direction of the draft capital and operating budgets. The Phase 2 survey concluded on February 13, 2023, and was presented to Council during the Committee of the Whole Meeting on February 21, 2023.

Under the Municipal Act, The Town of Cobourg Council is required to ensure that the following services are maintained: Police, Fire, Parks and Recreation, Roads, Transit, Land Use Planning, Local Government, Library, Solid Waste, Storm Water, Wastewater and Drinking Water.

The final 2023 Municipal Operating and Capital Budget as well as the Public Engagement Report can now be found on the Municipal website at www.cobourg.ca/budget.

Understanding Stormwater Rates

In May 2022, Cobourg Council passed a motion to introduce a dedicated funding source for residential stormwater usage, similar to the full cost recovery system that is in place for water and wastewater assets in Cobourg. The Town has funded stormwater infrastructure needs through property taxes in the past, but this has not been sufficient to fully fund all required maintenance and capital programs. Having a stable funding source for critical infrastructure such as water and wastewater ensures that operating and capital budgets are funded adequately to keep our residents and environment safe and healthy.

The funding structure will distribute fees proportionately among properties that produce more stormwater runoff. In Cobourg, approximately 32% of stormwater runoff is generated by residential properties and 68% is generated by non-residential properties. New stormwater rates will be based on the type and size of the property, therefore, allowing the Town to apply a more equitable distribution of fees, while also ensuring residential taxpayers are not indirectly subsidising the cost of the stormwater system for other sectors under property tax funding.  

Calculation of Annual Rates:

Annual rates are calculated per hectare of property. For low density properties (average single detached home) the rate per year is $904.72. To calculate each individual property annual fee, the Town of Cobourg uses the following calculation:

Annual Rate Calculation: Square footage of residential lot ÷ 107,639 (Being square feet in a hectare) x *Rate per hectare

How Fees Will be Collected:

The Town of Cobourg is working with Lakefront Utility Services Inc. to introduce the new stormwater calculation and fee distribution into monthly utility bills. The Town will issue further communications and education for residents once these bills are ready for distribution.

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About The Town of Cobourg
The Town of Cobourg is a lakeside community (population 20,500) located on the north shore of Lake Ontario halfway between Toronto and Kingston and has been recognized multiple times by MoneySense Magazine as “One of Canada’s Best Places to Live” in populations under 25,000.

Founded in 1798, Cobourg is rich in heritage offering a vibrant downtown, sophisticated small-town atmosphere and renowned waterfront that serves as a popular getaway destination.  As the largest town in Northumberland County, Cobourg is personified by historic Victoria Hall, hosts a 27.4 million community centre, an educated and skilled labour force, flourishing commercial sector and supportive municipal government. Cobourg has received the Federation of Canadian Municipalities Sustainable Communities Award, accolades from the Accessibility for Ontarians with Disabilities Act Alliance, and multiple heritage, environmental, and event awards.  

Attachments

Stormwater Rate Calculation