Saturday, March 08, 2014

Nanaimo Budget Review Process

Reducing Spending or Creative Juggling?

Over the past two days city council and city staff have gone through a line by line examination of 400+ items looking for ways to reduce the taxes in the city.

The above comparison shows that last year when council approved the 2013 - 2017 financial plan they were approving a 4.2% increase for 2014 and a 3.6% increase for 2015 for a combined two year total of 7.8%.

This year at the beginning of the exercise they were looking at a five year plan calling for a 2.8% increase in the year 2014 and a 6.1% increase for 2015 combining for a two year total of 8.9%.

The $64,000 question is whether this plan actually reduces expenses or simply juggles them around giving the appearance that council has really done a good job in holding the line.

It is noted that 2014 is an election year and being able to boast 'only' a 2.8% increase could be helpful at the polls if the overall picture is ignored.

allvoices

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