The Region of Queens approved its 2024/25 budgets on Monday. (Rick Conrad)

Region of Queens council approved a balanced budget on Monday with no tax rate increases and almost $30 million in spending.

At a special meeting, councillors also approved a $21.5-million capital budget, which includes the start of big projects like the water and sewer extension to the Mount Pleasant area and the new outdoor community pool at Queens Place Emera Centre.

Spending is up about $4 million from last year, to $29,848,303. The region’s water utility reported a $442,122 deficit.

Mayor Darlene Norman said in an interview that it was important to councillors not to increase the tax rate.

“We live in a great county and the budget reflects the fact that we are moving ahead,” she said.

“Many things in the budget remain the same. We’ve increased funding for fire departments for their truck purchases. The cost of those trucks is astronomical and we know how as volunteers how hard they work.

“It’s a good budget, it recognizes some requests from all parts of our county.”

Council committed an extra $126,772 in 2024/25 to help the county’s five fire departments with the rising costs of replacing fire trucks.

It also raised the household income threshold for the low-income tax exemption by $5,000. Property owners with a total income of $35,000 or less can qualify for up to $400 off their tax bill. The tiered structure gives the highest break for the lowest income.

“We understand that people financially struggle,” Norman said, “which is why … we increased the amount of money that people can make in order to claim a reduction on their taxes, … which is very generous, I believe, for a municipality of our size.”

The region reported a $644,000 surplus from last year, largely from rising property assessments, higher deed transfer tax revenue and unintended savings from unfilled staff positions. 

The region’s capital plan is packed.

CAO Cody Joudry said in an interview that it addresses a lot of concerns around the municipality.

“In terms of capital budget, it’s expansion of water, wastewater, there’s a lot of safety improvements and upgrades and a lot of investment in infrastructure and community assets, so I think that’s pretty significant.”

A little more than $7.8 million of the $21.5-million capital budget for 24/25 is provincial funding. Almost $2.5 million is from federal sources. About $3.8 million is from long-term borrowing, while $3.53 million is from a combination of municipal reserves and municipal surplus.

In addition to the new pool and the water and sewer extension, some other capital projects include:

• more work at Beach Meadows Beach to expand the parking lot, install sheltered picnic areas and improve environmental protections;
• much-needed repairs and upgrades at the Old Burial Ground in Liverpool;
• continued work on the Liverpool Business Development Centre to install a new heating, ventilation and cooling system;
• renovations to make the business development centre, otherwise known as the call centre space, ready for the temporary home of the Thomas H. Raddall Library;
• the early design work to install accessible washrooms at the inclusive play park and splash pad near Queens Place.

“There are things on there that are very important,” Norman said. “Of course, they will not all get done (this year), but by putting them on here, it shows that these are priorities and start them, do the best that you can do with them.”

Email: rickconradqccr@gmail.com

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Fire trucks at North Queens Fire Association headquarters. (Facebook)

Region of Queens councillors and staff have found a way to help the county’s fire departments with the increased costs of buying new equipment — and all without raising the tax rate.

Councillors are currently in budget deliberations, so the final budget has not been approved. But they headed off a request for an increase to the tax rate to help fire departments pay for new trucks.

Fire chiefs and the region agreed to a new funding schedule in February to replace fire and rescue trucks. The region increased its contribution to $425,000 for pumpers, tankers and aerial trucks from $275,000. That kicks in for the 2026/27 fiscal year.

But as councillors heard on Tuesday, new trucks keep getting more expensive. And higher interest rates mean that borrowing costs for fire departments have skyrocketed.

Fire chiefs made a presentation to council on Tuesday asking for an increase of one cent to the region’s overall tax rate. 

The residential property tax rate per $100 of assessment in districts 1 to 12 is at $1.07 and $1.92 in District 13.

Chris Wolfe, chief of the North Queens Fire Association, told council that interest rates for fire departments have risen to 8.2 per cent from 3.45 per cent in 2021. On a 10-year loan of $600,000, fire departments would have to pay $170,000 more over that period than they would have in 2021.

“Basically the $275,000 that we get now for truck replacement would be just gobbled up in interest charges and wouldn’t be going to the actual principal of buying the truck,” he said.

“The interest for that 10-year term is what’s making a big difference for us in the Queens County fire services in purchasing trucks. It’s taken a drastic jump over the last three or four years.”

Wolfe said the cost of trucks has also risen in the past three years. He said a truck builder in Lantz reported that the cost of a custom fire chassis has jumped by about $120,000 since May 2022. The truck builder told Wolfe that his overall supply costs have also gone up by three per cent. 

Three trucks are due to be replaced over the next two fiscal years, but at the region’s lower contribution of $275,000.

Wolfe said that a one-cent increase in the tax rate now would help the fire departments cope with the increased costs.

Councillors appeared to be prepared to grant the chiefs’ request.

CAO Cody Joudry, however, suggested that staff might be able to find another way to grant the chiefs’ request without adding to the tax rate. 

After a break, Joanne Veinotte, director of corporate services, said that councillors could do what they did last year to help maintain the tax rate.

During last year’s discussions, they budgeted $442,000 from the accumulated surplus to prevent a tax rate increase. Councillors are also eyeing an estimated $650,000 surplus from 2023/24. 

Veinotte said the region didn’t actually need any of that $442,000 because they saved money on staffing and delayed capital projects. She suggested they could do the same thing this year, by pulling $126,772 from reserve funds for fire services to balance the tax rate.

“The fire department has their increase of a penny but yet you still have your no increase in tax rate. And that is something I can literally do in two minutes. So if that’s what council feels comfortable with to get this budget done and put to bed, then I can certainly do that.”

Joudry clarified that if they record a surplus in 2024/25, then the region likely wouldn’t have to dip into the accumulated surplus to pay for the fire departments’ increased truck costs.

Councillors will get the final draft of the budget on Thursday. They hope to approve it at their council meeting on Tues., April 23 at 6 p.m.

Email: rickconradqccr@gmail.com

Listen to the audio version of this story below