KAGAWONG—With all costs increasing to maintain and operate the township of Billings, local taxpayers will see a 6.5 percent increase in taxes. Originally, township staff had been set to pass a budget increase of eight percent.
“Before our treasurer goes over the budget reports I would like to say a few words,” said Mayor Bryan Barker at a council meeting last week. “Following our budget meeting last Thursday, I met with our CAO and asked her to speak with staff and see if the overall budget percentage increase could be reduced. Staff has come back this evening with a 6.5 percent increase recommendation as opposed to the original eight percent. Six-and-a-half percent is the increase as presented, during our deliberations without any reduction.”
Mayor Barker explained, “the 6.5 percent takes into account inflation, the rise in the cost to maintain our standard of service and a modest increase for improvements within the municipality. A 6.5 percent increase would equate to a $22.81 increase per $100,000 of assessed property value per year.”
“With today’s announcement of 25 percent tariffs across the board by (US president) Donald Trump and the uncertainty of what’s in store for the future, I think it is prudent to keep our increase as low as possible without affecting services,” stated Mayor Barker. “With the implementation of these tariffs, we have no idea how long these tariffs will be in place or the impact of the increased costs to the municipality this coming year. There are a lot of unknowns,” said Mayor Barker.
CAO Harmony Hancock went through the budget numbers with council, and in her report she noted the budget concentrates on maintaining current service levels, asset management, finding areas for efficiencies, leveraging grant and funding opportunities while acknowledging staff capacity and resources available.
The increase in revenue asset management plan recommendations considers new and current project costs, general inflation and a small number of proposed projects, said Ms. Hancock in her report to council. The municipal property tax rate proposed is 2.5 percent over 2024. The increase per $100,000 of property assessment value at one percent is $3.51 property assessment value of $3.51 or a total revenue increase to the township of $22,635.50.
The budget realizes a budget increase of $28,000 in its operation budget for building and equipment expense. The overall budget is $257,550. The new operating expenses include equipment maintenance as staff would like to request the booth at the landfill be replaced and that a sea can or operator shed be purchased for storage. The estimated cost is $5,000. As well, public works department requires a backhoe filter at a cost of $15,000.
There is a $134,469 overall increase in the operating budget for wages, as the township had to hire two new CAOs over the past two years and had to hire a new treasurer.
In the roads budget, those roads being looked at for surface treatment in 2025 include Sextant Point Drive, Jacksonville Road, Maple Point Road south, Labar Road, Hideaway Road and Lilly Road.
There has been an overall increase in the operating budget, public services expenses that the township does not have any control over, of $71,333, such as policing costs. Contribution expenses includes North Shore Search and Rescue $2,000; police board $2,000; Gore Bay Airport $5,000; Manitoulin Health Centre $2,000; MADD $200; Heart and Stroke Foundation $50; Manitoulin Family Resources $500; Manitoulin Streams $3,500; Manitoulin Student Aid Bursary $400; Gore Bay Fish and Game $1,000; and, new, is Gore Bay arena from $2,500 up to $5,000.
2025 new capital projects include $12,000 for the museum Mariners Park, with funding being sought through an Experience Ontario Grant (municipality will pay for engineering up to $12,000); public works generator at a cost of $18,500 through a Community Emergency Preparedness Grant; Lakeshore and Mud Creek and Lakeshore engineering work of $97,079; Mud Creek and Lakeshore Road Work reserve $162,470; hard surfacing of roads $155,000; water treatment plant (new equipment) $100,600 per Ontario Clean Water Agency; landfill post-closure cost $73,500; Old Mill Road bridge guardrail $6,000; Park Centre parking lot hard surfacing of $30,000; and accessibility projects $20,000 (which is an additional cost above a $100,000 grant).
“When staff became aware of difference in an administrative expense surplus from last year’s budget, (about $300,000-$320,000 ) I asked our CAO to speak to staff and identify a couple of projects that they felt were priorities (that the funds could go into, instead of general reserves),” said Mayor Barker. “Two of the priorities were roads and completion of the Small Craft Harbour washrooms (and showers). I would like council to consider moving the entire surplus into the reserve earmarked for the completion of the washrooms. First it would be nice to finally see the project to completion, it’s been unfinished for far too long.”
“Our (vendor) market attendance has increased substantially and will only continue to increase; we have porta-potties at the Park Centre and at the beach,” the mayor continued. “This money, combined with funding, would give the township substantial capital toward project completion. If and when funding becomes available, the project could potentially be completed quickly without going back to the taxpayers. Unfortunately, at this point we don’t know exact costs of the project.”
“My only concern is if council were to allocate these funds to multiple projects’ reserves, then the value of the monies would be diluted, making it ineffective in moving forward with a large capital project,” said Mayor Barker. “This may result in not being to apply for or accept potential funding opportunities or having to supplement a project with additional tax dollars or reserves. If the monies were placed into general reserves, the money may get swallowed up, resulting in the washroom project not completed. We have already allocated a substantial amount to roads and bridges in this budget and are moving forward with engineer reports for both roads.”
“Council has committed to improving Mud Creek and Lakeshore Roads, however these are not overnight fixes with the scope of work that needs to take place,” continued Mayor Barker. “These are long term projects with the hope of improving the roads over time as funding opportunities and seed monies become available.”
Councillor Ian Anderson said the washroom project is an issue that has been raised by council since he was first elected. “There is a lot of value in getting that project done.” He said with the tariffs coming down from the US and other pressures, “It is unreasonable to think that municipalities will receive the same funding they have received from the federal and provincial governments in the future. And with the increasing popularity of the Kagawong summer market, port-a-potties are not a long-term solution.”
“We have made many improvements to our waterfront,” said Councillor Anderson. “I agree the lion’s share of the funds, if not all of it, should go into this project.”
Putting the new washrooms in has been talked about at the committee and council level for several years. “My hope is that the waterfront project be completed. I think this is a great recommendation. It would be nice to have proper washrooms there.”
Councillors Vince Grogan and Michael Hunt were both in support of the recommendation as well.
If these funds are put aside in reserve specifically for the washroom project, it would be at least 2026 before the project could be looked to be carried out, council was told.
Council will officially pass a by-law with a 6.5 percent increase at its next meeting.
