Proposed Thunder Bay city budget goes up by $4.3M

Many of the additions to the 2021 Thunder Bay city budget are incremental, but they slowly add up.

City administration released its proposed budget for the year, which is $4.3 million higher than in 2020. The increase works out to 2.15 per cent, or two percent after growth in the city's assessment base, such as newly constructed homes, are factored in.

The budget focuses on capital spending, with $51.6 millionslated for capital works. More than a third of that total is destined for roadwork, with the city also upgrading its fleet of vehicles, and doing other general replacements of furniture and technology, as well as general maintenance to buildings.

Other major items include new defibrillators for Superior North EMS and Thunder Bay Fire Rescue, as well as new ambulances for the city and district.

Any hike in property tax rates is still to be determined, as the city council could cut from the budget, or allocate money from reserve funds to cover costs.

User fees will go up in the city, with most slated to increase between two and three per cent. Those increases include recreation and culture fees, such as the Canada Games Complex, childcare, tipping fees at the landfill, and user fees at campgrounds.

Water bills are slated to increase 3.5 per cent for both the fixed and volume charges. The 'average household' will see an increase of just over $40 per year, which is part of the city's long-term strategy on water rates.

The city has worked to reduce costs, with $300,000 eliminated due to attrition at Thunder Bay Fire Rescue, and the elimination of the articling student position in legal services.

Overall, city departments reduced their expenditures by 1.1 per cent on average. Nearly three-quarters of city department budgets are from salaries.

However, the increases in costin insurance premiums, at over a million dollars and rising WSIB premiums are greater than savings found by city staff. The city has also been able to reduce its use of diesel fuel due to less transit service however, utility costs are increasing. Budget documents show the city will spend $70,000 more on utilities related to the pandemic, mainly because of a need for better ventilation.

The city will maintain a status quo for its animal services budget, although the department is looking to "strengthen partnerships" with volunteer animal-rescue groups in the city, to help cut its costs.

Nearly all city departments cut their training budgets to help reduce costs, although for most, the difference on a per-department basiswas less than $10,000.

Costs related to the COVID-19 pandemic that are not covered by federal or provincial funding will come out of the city's rate stabilization fund, budget documents showed. The pandemic is responsible for creating nearly 37 full-time equivalent jobs, mainly for cleaning facilities.If it were not for the pandemic, the city would have eliminated just over two full-time equivalent positions.

The city estimated the Municipal Accommodation Tax will be down by 30 per cent compared to 2019, which means $1.15 millionless will get transferred to the Indoor Turf Facility Reserve Fund.

One of the largest external budgets that council is not directly responsible foris the city's police service, which has a $47 millionbudget. For 2021, an increase of $1.2 millionis requested, mainly because of $803,000 in wage increases.

Two major projects are also slated for Thunder Bay Transit, including a transit hub, and two new Lift Plus accessible buses.

"Costs associated with the project will address outdated infrastructure and hub configuration that is not consistent with current transit stop/station standards, operational and community needs," the budget noted. Discussions on a new transit hub have been ongoing for eight years.

Some projects in the 2021 budget include:

• $150,000 for Thunder Bay sign at waterfront
• $3 million for a transit hub, although no location was specified
• $1 million for bus stop improvements, including lighting, benches and making stops accessible
• $95,000 for a growth plan for the proposed Northwest Arterial road, which would take traffic off of the Thunder Bay Expressway
• $1.4 million for new defibrillators for Superior North EMS
• $55,000 to start digitizing records, and determine which records to digitize at the city archives
• $522,000 to replace single-walled fuel tanks on Front Street (installed in 1978)
• $300,000 for Red River Road streetscape and design pilot program
• $25,000 for a weather station at Balmoral/Harbour Expressway to check road and weather conditions
• $240,000 for new windows at Brodie Library
• $310,000 to renew Thunder Bay Public Library collection
• $660,000 for improvements at Victoriaville and Waterfront District parkades
• $103,000 for Thunder Bay police equipment to analyze traffic collisions, new breathalyzer
• $200,000 for new Tasers for Thunder Bay Police Service
• $460,000 Pioneer Ridge improvements
• $150,000 for Image Route implementations
• $15,000 for public art

City council will debate the budget starting Jan.19. The budget is slated to be ratified on Feb.8.