The city will have 1.4 per cent more funds to work with next year after learning its unconditional grant from the province is rising by 1.3 million dollars. That’s offset somewhat by an anemic .56 per cent growth in the tax base.
Common Councillor David Merrithew, who chairs the city’s Finance Committee, says that 1.4 per cent increase will not be enough to take care of rising costs including a 2 per cent hike by Saint John Energy and three union contracts.
When asked if he would be in favour of the property tax rate going up, Merrithew replies unequivocally “absolutely not”.
The city’s deficit is estimated at 1.5 million dollars but Moncton’s deficit is even higher at 2.5 million and it’s unconditional grant was cut by 3.2 million dollars.
