“Central Frontenac Tax increase makes the Mayor queasy!” Me too!

Geoff Michie | Mar 04, 2020

I have no doubt that it concerns you as well! The following information may make you feel worse than queasy! During the first 4 years of our current Mayor’s leadership (January 1, 2015 to December 31st, 2018) here are the financial results: Taxation Revenue received by the Township- an increase of 20.4% during the first 4 years or approximately 5% per year. It is important to note that two factors drive taxation revenue. The first is that when property values increase, this results in higher MPAC values, on which the taxation rate is levied; and the second is annual changes by the Township to the taxation rate. During the last few years, cottage values are increasing considerably, adding to Township revenue. At the same time, the Township residential tax rate has increased by 9.0% from 2014 to 2018. In the meantime, the County residential rate only increased by 3.8%, while remarkably the Educational residential tax portion has decreased by 16.3%. Please note: 2019 financial statements are not released, nor is the 2020 Township budget approved, and therefore I have needed to rely only on posted financial information up to the end of 2018.

According to the 2016 Statistics Canada Census, the population of Central Frontenac Township decreased by 4.0% from 2011. As of 2016, almost 26% of residents were over the age of 65, therefore likely receiving Canada Pension Plan and Old Age Security Benefits. During the same time period, the maximum CPP payment increased by only 9.2%, while maximum OAS payments only increased by 6.6%. However, the Township expenditure on Salaries, Wages and Employee Benefits increased 23.8% during the same 4 years.

If current levels of increases continue at the same rate, and you are currently paying $2500 in 2020 taxes for the Central Frontenac portion, by the time you receive your 2030 bill, it will be almost $4100. This is extremely financially difficult for anyone living on a fixed income, or employed in an occupation where their personal income is not increasing at 5% per year.

I do want to provide a balanced perspective. Are you one of the many residents that simply grumble and shake their head when they read in Frontenac News about the Mayor feeling queasy? Did you vote in the last election? Do you ever review agendas or minutes for Council meetings posted on the Township website, or attend a meeting to understand how your tax dollars are allocated? Are you attending the March 6th BUDGET MEETING? It starts at 9 a.m. at Soldier’s Hall. It is time to get involved!

More input and involvement is needed from both permanent and seasonal residents. Seasonal residents are a large contributor to the tax base, and their input is invaluable as well. Taxation should be considered as a topic at cottage association meetings this summer. Why not schedule Council meetings on Saturdays to improve attendance, (https://calendar.centralfrontenac.com/council as well as providing more website disclosure in order to keep seasonal residents informed? Seasonal residents don’t have the benefit of receiving the Frontenac News delivered in their mail to keep informed.

Editors note – all council reports are posted to this website)