The first (in a series) of City of Guelph budgets is now public.
The Non-Tax Supported Budget (formerly known as the User Pay Budget) can be accessed HERE.
Council will hear delegations and discuss this budget on Wednesday, January 21, 2015 beginning at 6:00 pm. To register to speak, or to have a letter included in the Council package prior to the meeting, contact the City Clerk at firstname.lastname@example.org.
Yesterday, in response to a question from a local resident, I tried to explain that “Tax-Increment-Based Grants” (TIBG) were not giveaways, nor are they paid for by current taxpayers.
TIBGs are the most misunderstood term in the world. We really need to invent a new word for TIBGs. As part of the conversation, I gave an example of a vacant property paying $1000 in taxes per year in its current undeveloped state. Then, after it was fully developed, it would generate $32,000 in taxes per year (32x its current value). Then, after it is built and we get the tax revenue, we give some of it back to the developer for a fixed time (eg. 5 years) to offset their cost of cleaning up the vacant lot. After that, we keep all the revenue and the money goes back to lower tax increases across the whole city.
She responded, “So you’re just giving the developers back their own money?”
“Yes, exactly,” I said.
“Well why didn’t you just say that in the first place?” was her response.
It’s that simple.
It is not very often that a municipality can boast an upgraded credit ranking. Our “AA” rating has been consistent for several years, but has now been boosted to a “+Positive” position (from Stable).
A copy of the full report can be found here http://www.guelph.ca/uploads/Finance/StandardPoors/2012_Aug24_Guelph_SandP_ResearchUpdate.pdf
This is very good news in a recessionary economy as it points to our resiliency, diversified economy and financial and debt policies and management practices.
Click below for a summary of the adjustments made to the 2011 budget during recent Council deliberations, provided by our Finance staff.
2011 Budget Adjustments Summary_March 7, 2011
AA credit rating continues for Guelph
June 23, 2010 – Standard & Poor’s Ratings Services has confirmed that the City of Guelph has maintained its ’AA’ credit rating again this year.
The rating reflects Standard & Poor’s Ratings Services’ view that the City has promising long-term prospects, manageable debt, and adequate operating performance and liquidity.
“This rating is good news for Guelph as the economy continues to recover,” said the City’s Finance Director Margaret Neubauer.
Even with the expected increase in capital expenditures in 2010, Standard and Poor’s believes the planned expenditures are manageable and the City’s debt will remain under control. The City is committed to a disciplined and integrated long-term approach to capital planning and continues to adhere to a long-term financial plan guided by debt and reserve management policies.
This ’AA’ rating means the City can secure lower interest rates when issuing debt to finance large capital expenditures resulting in significant savings to the municipality.
Standard & Poor’s also expects Guelph to benefit from the increasingly diverse economies in Kitchener, Waterloo and Cambridge as the region evolves from a traditional concentration in manufacturing to a technology and service-based economy.
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FOR MORE INFORMATION
City Treasurer, Director of Finance
T 519-822-1260 x 5606
Wednesday, July 23, 2008
Harpo’s – 89 Dawson Road, Guelph
Hosted by the Guelph Civic League
Come out and ask the tough questions.
See you there!