Over the last few weeks I have talked about the importance of our hospital.  As Milton’s population grows, every level of government needs to make funding our healthcare system a priority.  The economy has been on the front burner now for the last year or so which has put the issue further from Canadians minds.

So far it looks like the province of Ontario will continue to ignore Haltons needs, the Region is doing what it can to pressure other levels of government for funding and now we can include the Town of Milton. 

Every year the Town of Milton uses revenues from the Mohawk Racetrack and they allocate that money through whats known as the Milton Community Fund.  With the election of this new council back in 2006, the Milton Community Fund has been slashed by $ 150,000 and there are a number of organizations left without funding.  Add Milton District Hospital to that list.

Click here for the article in the Champion.

The hospital you say?  Indeed one would think that if the Milton District Hospital applied for funding that, if reasonable, it would be granted.  Nope.  They were denied their funding because they failed to prioritize the equipment.

While the Town seems to be pushing forward its proposal for a FORTY million dollar arts and entertainment centre, which the Town has allocated $100,000 per year from the fund for the centre, is pushing aside the needs of our hospital.  The hospital applied for a $93.000 grant and it was denied.

Where are their priorities?  Arts and Entertainment Centre or the health care system of the town.  While $93,000 isnt a lot of money and the funds were for surgical products and diagnostic tools it shows that the priorities of town council have changed in the last election.

We are facing the toughest economic times due to a global recession.  Jobs are being lost almost daily in all industries.  Citigroup cut 52,000 jobs worldwide in a day; CanWest cut thousands of jobs early in November with CTV and other media groups following suit; not to mention the auto industry which has been hemeraging cash and jobs for the last year. 

Given these facts, everything on the table has to be considered for cuts in order to minimize the financial impact on taxpayers.  In my current position with HSBC Finance, I see on a daily basis more and more people who are dealing with increasing debt loads and its coupled with dwindling real estate values on their homes.  Banks are getting more and more stingy with credit and people are living off their lines of credit.  If governments continue with higher and higher property taxes and continuous spending of much needed reserve funds, it will just add to the problem.

Do we need further transit funding in 2009?  Probably not.  The town has spent MILLIONS of dollars on new buses to drive around town empty (unless its a FREE FARE program) and until they can figure out how to get someone at Main Street and James Snow Parkway to Thompson and Derry Road in less than 1 hour, there will be no further need for buses.  Members of council who have pushed all this funding for a transit system that isnt being utilized properly need to realize the issues and until they are resolved, a hold on funding should be in place.  In the 2009 budget there is close to $500,000 for transit.  That can be allocated to other more essential services the town provides OR can it go towards reducing the proposed rate increase for the year?

What about this arts and entertainment centre or for that matter the second half of the Milton Sports Centre?  There are some other projects that the Town should consider putting on hold or cancelling for that matter until the Town is back in a solid financial position.

Dont get me wrong.  I do support these iniatives and it will bring needed jobs to the region but NOW is the time to get the financial house in order and consider the impact of these decisions on the taxpayers of Milton.  We need to look at the impact on the taxpayer who will be under seige from all levels of government.  Council doesnt see the big picture and it seems to have their priorities in the wrong place.

December 8th will be a big day.  Let your councillors know what you think.

As many readers to this blog will know, I have been supportive of the Region of Halton’s efforts to get the provincial government to provide additional funding to our region for infrastructure. The current minister in the provincial government, George Smitherman, has on a number of occasions told Halton that our situation isnt unique and that theyve already provided sufficient funding to our region. Not the case.

The Region of Halton needs additional funds from the province to keep up with the provinces rules on Places To Grow. The McQuinty government keeps telling us how much we have to grow by, but then relies on the municipal and regional governments to pay for the infrastructure. They are simply passing the buck. As reported here and other sites, the region of Halton has stated they are willing to put a halt on development in our area until the government puts in more funding for essential things like…oh lets say HOSPITALS.

The Oakville Hospital, which was slated to be started/completed in 2013 has been put off…again. The Milton Hospital is grossly underfunded by the province and the standard of care continues to drop as the Town of Milton grows in leaps and bounds. The Milton Hospital cannot meet the demands of the current population, let alone any increases and something has to be done fast. To give you an idea of the changes in Milton over the past several years, the Milton Hospital was designed for care of 30,000 people. The Town of Milton is now rapidly approaching 80,000 and in a few years will surpass 100,000. And no changes planned for our hospital.

Halton MPP Ted Chudleigh has been working diligently on getting this necessary funds for both Milton and Oakville hospitals, only to have fallen on deaf ears of the Province.

So for a time it looked like the Region of Halton had the taxpayers best interests in mind. Until they do something like this.

Of all the complaining they do of lack of funding for this and that and not wanting to raise taxes, the Region of Halton has voted themselves a pay increase. Here’s what Melanie Hennesey of the Milton Canadian Champion had to say.

Regional council has decided to give its members raises that will take effect in the new year.

At its meeting last Wednesday, council passed a motion to implement a three per cent raise for each councillor and a boost of less than one per cent for Regional Chair Gary Carr. Both equate to about $1,250 extra for each council member.

This means effective January 1, councillors will earn $41,801 and Carr will take home $153,481.

The raise was recommended by the Citizen Advisory Committee on Council Remuneration based on a market survey of other municipalities that showed Halton council members are earning less.

Before approving the raises, Halton Hills Councillor Jane Fogal suggested an amendment to the motion to make the salary increases effective August 2010 in light of the recent economic slowdown.

“People that we serve are feeling a lot less confident about their own financial futures,” Fogal said. “I think as a council we need to be sensitive to the situation many of our constituents are facing.”

She said she suggested August 2010 because the next salary review is taking place in September 2010.

“If we approve this one now, they (the committee) can take that into consideration,” she said.

Oakville Councillor Allan Elgar asked what savings residents would see if the raises were removed from the 2009 budget.

Halton Commissioner of Corporate Services and Treasurer Jane MacCaskill said the raises would add about $26,000 to a proposed $400-million operating budget, so removing the item wouldn’t have an impact.

Milton Councillor Barry Lee encouraged his fellow councillors to vote against Fogal’s suggestion.

“We decided years ago to take this issue to a citizens’ committee and take it out of the political arena,” he said.

Oakville Councillor Keith Bird shared similar sentiments and made a seemingly tongue-in-cheek suggestion that council take a pay cut if it wants to show leadership.

Halton Hills Mayor Rick Bonnette voiced his support for Fogal’s amendment.

“We’re trying to give the message that we understand people are in difficulty,” he said.

In the end, council voted against the amendment and approved that the raises take effect January 1, 2009.

Melanie Hennessey can be reached at mhennessey@miltoncanadianchampion.com .

This is nuts if you ask me. I know there was a citizens advisory committee put in place to decide when and if regional politicians get a pay increase. I know its hands off and not “in the hands” of the politicians.

Why now?

Havent they been reading the news? The country is going into/has gone into a recession. The provincial government has gone into deficit and the fed’s look like they’re heading the same way. The regional government is now looking at raising taxes close to 3 per cent next year. Its just been reported that the Town of Milton is looking at a 5.6% increase with no end in sight. And they go ahead and approve a pay increase for themselves?

At least the federal government is looking at ways of cutting costs for MP’s and their discretionary budgets to show leadership. They might only save a small amount but at least its something. Small as it may be for budgetary purposes but the Region of Halton HAS to show leadership and say during these times of financial uncertainty, we dont deserve a pay increase.

I have spoken out before on pay increases for politicians. I dont disagree with it. I think that our leaders of all levels of government should be paid a fair amount but when it comes to this, they HAVE to take a stand and say no to their own pocketbooks.

Every year it seems, the municipal governments come back to the people and say “its only another 25 or 35 dollars per month” and increase taxes. The Town of Milton last year raised taxes over 6% (and also gave themselves a pay increase) and now expect us to pony up more money. The Region of Halton has also increased taxes last year and are looking to do so again this year.

Many of you have received your recent assessments from MPAC and have noticed they will be phasing in the increase in property value over the next 5 years. All of this is going on when property values are beginning to decrease. This puts an even FURTHER burden on our taxes in the coming years. With the mill rate increasing as well as assessment values our taxes are bound to skyrocket, all while the global economy is going into the sewer by most accounts.

As stated in this article, it was felt by removing the pay increase it “wouldn’t have an impact.” They are asking residents to scrimp and save to pay for higher taxes…it wouldn’t hurt for them to do the same. Thats the difference between the “same old same old” vs leadership.

Halton Hills Councillor Jane Fogal made a motion that the pay increase be set aside until 2010 saying that “People that we serve are feeling a lot less confident about their own financial futures,” Fogal said. “I think as a council we need to be sensitive to the situation many of our constituents are facing.”

Disappointingly, Milton Regional Councillor Barry Lee (Wards 1 &3) urged for his collegues to vote against the motion to have these pay increases set aside until 2010 given the current economic situation we are facing. I would have gone so far to say these pay increases would not be in effect until after the election.

“We decided years ago to take this issue to a citizens’ committee and take it out of the political arena,” he said.

Council members, no matter if they have citizen advisory committees or not, should not be able to vote themselves a pay increase. The increase MUST be effective the NEXT council. As far as many taxpayers are concerned, that still constitutes being in the “political arena”.

On the one hand they have made good points in the fight with the provincial government in getting more funding for infrastructure…then they go ahead and do something like this.

Makes you wonder sometimes.

As reported in todays Champion, Milton Town Council will be discussing a potential tax increase of 5.6 per cent on December 8th.

One can only hope that council will take its time during the budget disscussions and do everything possible to limit the increase to todays rate of inflation.

Last years increase of 6.6 per cent was bad enough but with the coming turmoil in the economy (some say its already hit us) taxpayers are going to be once again stretched to the limit.

The budget proposal is to be expected on the town website www.milton.ca (if its not already there) for viewing and they are inviting input from the community as well before the budget comes to council on December 8.

With the Region of Halton proposing an increase and the boards of education also considering an increase, we as taxpayers need to voice our opinion.

Tell your councillors what you think.

Councillors Brian Penman and Rick Day need to hear from you.

Once the proposal is posted on the website, ill provide a link and some analysis as well.

Yes, its been awhile since my last post and I do apologize for neglecting my blog for the last couple of months. In this period of time I have changed employers and my time has been devoted to getting ramped up with my new career.

My previous employer was a smaller leasing company who fell victim to the short term credit crunch and the asset backed commercial paper market. Back in August and September when it really hit the fan, the available cash from our securitization partners ran short leaving our company in a tough situation and unable to process deals.

That being said, it didn’t take long before the doors closed and many of the 2o or so employees were left looking for other employment.

I’m still in the leasing business working for Irwin Commercial Finance with our branch office based out downtown Toronto. This means more commuting to the downtown core courtesy of GO Transit from Milton, so I’m getting a deeper understanding about public transit in our area.

At this point, Milton doesn’t have all day GO Train service to Toronto with only a few trains in the morning and a few in the evening. Many of the commuters that use the

Milton station come from outside the area in Cambridge, Guelph and northern parts of Oakville and Burlington. The provincial government recently announced a large investment in GO Train services of $100 million dollars but unfortunately none of those dollars have made it to Milton.

Speaking of public transit in Milton, the recent budget brought down by council included ANOTHER huge chunk of cash to go towards buses in town. Also, the town released a report that ridership on Milton transit had increased. You can find the article from the Champion here. On the surface that sounds great. But when you look deeper into the numbers, it isn’t as good as it sounds.

The main reason ridership numbers are up is because of several programs with private sector companies sponsoring free rides. So when its free, people use it more and when people have to pay for it, the numbers decrease immensely.

The report mentioned that ridership increased 63% from 2006 levels. Again, on the surface those numbers sound great, but you don’t get the full picture as many times during 2007 there were extended free fare programs courtesy of a number of companies including Mattamy Homes, Fieldgate Properties, the Milton 150th Anniversary Celebrations, and for such events as the Downtown Street Party. You also have to look at the population levels from 2006 to 2007 and you will find it increased dramatically during this period of time. Unofficially, now Milton is over the 70,000 mark and heading upwards on a daily basis.

What is not mentioned is that there would have been minimal increases in ridership if there wasn’t a fare free program. On the surface it looks like ridership in public transit is up…but you have to carefully look at the numbers. It’s a good first step, but from a business standpoint it doesn’t justify an excessive increase in funding for 2008 over 2007, and that is what town council did for this years budget.

Based on these facts it seems financially wrong to make further cash investments in a program little people are using. Those who read this blog and who have spoken with me during the last municipal campaign know that I am a cautious supporter of public transit.

As our town grows there will be a further need fore more buses and more routes in town for people to get around. At this point, what we had sufficed and until there was any changes in demand, (ie: non-artificially boosted numbers) then the town can look at making more of an investment in transit.

A good friend of mine once said to me “public transit is a slippery slope that can turn into a cash cow for municipalities and in turn will cause increased taxes.” He was right on the money with that statement. Last year council spent millions of dollars on new buses that realistically will run mostly empty unless theres a special free ride promotion and now in 2008 even further investment.

In a letter to the Milton Canadian Champion, former town councillor John Challinor made a few comments that is worth repeating. You can find his letter to the editor here.

Merry Christmas everyone! I certainly hope that everyone’s holiday went well and continues to be happy and memorable.

Many of us know are off for the holidays and there are still lots of things to do. We have to visit some more friends, organize the presents we received and enjoy spending time with our families. I was looking through the most recent edition of the Milton Canadian Champion and I came across a letter to the editor from Milton resident Mike Rank in response to Ward 4 Councillor Wendy Schau’s letter where she tried to justify her reasons for raising taxes.

Here is her letter, followed by Mike Ranks letter.

TAX INCREASE IS MANAGEABLE

In last Friday’s Town budget story, the Champion did a good job summarizing two long nights of discussion. I’m writing because there’s one small, but important, correction and one further explanation I would like to put forward.

Firstly, the $4,000 for subsidy support for individuals and families that need assistance paying user fees for Town programs wasn’t an increase but the reversal of a proposed cut.

It was one of the reductions in service listed to bring the proposed tax increase down from 8 to 6.6 per cent. I was pleased that my fellow councillors voted to restore the funding.

Secondly, your readers may have found it strange that I’m quoted as saying that council should stop behaving as though the people of Milton are impoverished. In the past, I have often written about the need for more affordable housing in our community, so it follows that I do know that there are Miltonians who are in financial difficulties.

My statement to council was about the ability of the community, as a whole, to provide the financial support necessary for this to be a strong, vibrant and healthy place to live.

Milton’s tax rate has been far below that of surrounding municipalities for many years. Even with the 6.6 per cent increase, Milton will continue to have the lowest tax rate in the GTA, except for Toronto. Mississauga’s rate is 19 per cent higher than ours and Halton Hills is 40 per cent, or $300 on a $300,000 assessment, more.

The argument has been made that Milton taxpayers can’t afford the increases necessary to provide a good level of service to our community as it grows.

My argument was that Miltonians are capable of contributing a fair and reasonable amount, one that’s still well below what’s asked of taxpayers in other communities.

When a tax increase is mentioned, people often ask what happens to the money that Milton receives from the proceeds of the Mohawk Slots. Milton usually receives about $5 million a year.

That $5 million should be used only for capital expenses or the Community Fund, and not in the operating fund, which is the money used to run Town services. To do so would be like a family relying on lottery winnings to pay for their groceries — not wise or prudent.

WENDY SCHAU, WARD 4 COUNCILLOR

***

NOT MUCH VALUE SEEN FOR OUR TAX INCREASES

So our very own tax and spend advocate, Ward 4 Councillor Wendy Schau, doesn’t understand the “compulsion” that people have for low tax increases and feels that “wonderful communities cost money.”

Well the fact of the matter is that people are willing to pay if they see value for their money, and unfortunately I’m not seeing a lot of value for these tax increases — given the mismanagement of this whole growth process. I’m sorry, but I need someone to explain to me why the growth demands and resulting revenue charges and increases don’t stay in sync, and if they actually don’t, maybe then we’ve gotten to the real issue.

After all, pretty much all of the expansion involves homes that are relatively higher in value combined with a higher density of residences per kilometre of road.

With respect to Schau’s comment that money makes things wonderful, well then I guess I’m teaching my son all of the wrong values in life, as I really thought that a community or a society could be wonderful and happy, regardless of whether it was rich or poor.

MIKE RANK

MILTON

As many of you know, its about this time of year when the Town of Milton council sits down and decides how much money they need to pay for the services they provide. Its also a well known fact that Milton has one of the lower tax rates in the GTA, which is what makes Milton a choice for many people to live.

Last week on December 10th and 11th, the council sat down to hammer out the town staffs proposal for the budget. What came out of it was rather shocking.

After “long deliberations” the council had decided on a 6.6% increase in our taxes for 2008. This means a homeowner with a property value of $ 300,000 will have an increase on their bill of over $45 for residential and roughly $37 for rural.

Keep in mind the rate of inflation is hovering at 2.5% for this year.

Why such a huge increase? In the articles linked below by the Milton Canadian Champion you will see the highlights (or low-lights if you so chose) of the budget deliberations on the 10th and 11th.

The budget initially had an increase of 4 full time firefighters for the Milton Fire Department but Ward 2 Councillor Greg Nelson made a case for just one more saying “Four says we got the message — five says we care.” A little on the dramatic side and it worked as the changes were approved.

While I am an avid supporter of the fire department, I feel that we have to be prudent in our spending. Things cant change overnight or else taxes will be double digit before long. With this change it added $46,000 to the budget. On the down side, council took out some much needed funds for our new fire chief. While we will now have one more firefighter, the department will be without its new chief until June of next year.

Coupled with the Region increasing taxes by 3.7%, we will now see some big changes on our tax bills in the coming year.

As quoted in the Champion article by Melanie Hennessey “The $27 million in the capital budget will be invested in 96 new projects, including $3.7 million in the new Town Hall, $2.5 million in the new library branch, $2.3 million in a fourth fire station and $1.4 million in a railway underpass on Main Street.”

What was even more upsetting is the lack of interest from Miltonians about the budget and its process. The Town of Milton had a plan in place on a number of occasions for public input on the budget over the past year for what the money should be spent on. During these budget debates on council, there were very few delegations to speak out on it. We all complain about taxes but never really take part in the process that leads up to these decisions.

I personally am NOT against tax increases. I am however in favour of keeping any tax increase in line with the rate of inflation. We have to continue to live within our means With the town growing as it is, it will be hard for this and future councils to make those decisions to keep taxes and spending down. I am also upset at the amount of the increase which is a full 4 per cent over the annual rate of inflation.

At that meeting Councillor Wendy Schau from Ward 4 wanted to add another full 2 per cent onto the budget to put $400,000 towards the town reserves, making the tax increase 8.8%.

Other councillors such as Jan Mowbray and Cindy Lunau, both from Ward 3 supported the increase. Wendy Schau called the full 2% increase “good sense” while Cindy Lunau called it a “wise investment”

Since when does a huge increase in taxes make “good sense?”

Mayor Gord Krantz ran a very efficient meeting of council on the 17th and suggested to councillors that if they feel that these increases are justified or if they wanted further changes to be made, that he would propose to open up budget talks again and silence was his answer. Lots of talk.

This years budget debate brought out the usual “grandstanding” that’s become a norm at this time of year while each councillor stands up and tries to justify why we should pay more money. While some of these major projects are needed to help the town grow, these decisions could have been made at other times saving us untold amounts of money.

Bad decisions in the past breed bad decisions in the future. My only worry is that now we’ve had such a large increase in taxes this year, it will only justify council next year to raise them even higher.

There wont be an election in Milton until 2010 so we should brace ourselves for further increases to come until that time.