Norfolk wraps up budget talks on 10-year capital plan

The majority of respondents to Norfolk County’s budget engagement campaign say they are in favor of increasing taxes just enough to maintain services or improve them.

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Norfolk staff launched the campaign in September asking county residents about their priorities.

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Cost of living, property taxes and healthcare/public health were identified as the most important issues by the 353 respondents to the survey.

“There continues to be a strong desire for continued investment in infrastructure, such as roads and building a solid financial foundation for Norfolk County’s future by ensuring a fiscally responsible organization,” Chris Everets, manager of financial planning and reporting, said in a report to the county’s budget committee.

Twenty-seven per cent of respondents supported increasing taxes just enough to maintain services, with another 28 per cent supporting increasing taxes just enough to expand or improve services. Thirty per cent said they wanted no tax increase, even if it means a reduction to service levels.

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Everets said respondents also submitted 50 ideas for Norfolk to consider ranging from increasing the number of physicians and veterinarians in the county and the available ice time at arenas to implementing a green bin program and beefing up speed enforcement.

Norfolk County councilors wrapped up discussions on Thursday of a historic capital budget that sets the course for the next decade.

It was the second day of deliberation of Norfolk’s 10-year capital budget, the first in the county’s history to top the $1-billion mark.

The 10-year capital plan, covering 2024 to 2033, includes infrastructure investments related to water ($235 million), wastewater ($177 million), roads and bridges ($298 million) and facility needs ($93 million). About $148 million worth of projects had to be re-budgeted from previous years due to lack of funding.

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The plan represents a nearly $500 million increase from the 2020-2029 capital plan.

The proposed 2024 capital budget alone is $166.5 million.

About 58 per cent of the proposed 2024 capital budget is recommended to be funded through debt.

A net levy increase of just over four per cent is required to help address Norfolk’s financial challenges.

Mayor Amy Martin said the budget doesn’t include any new services or “tangible items for the public to see, use and enjoy,” but covers only what is needed to “keep the lights on, the roof from leaking and the water running. ”

Factors contributing to the funding challenges for municipalities are aging infrastructure, asset management implications, skyrocketing construction costs, changing regulations, staffing issues, supply chain challenges, inflation, and interest rates remaining higher than anticipated.

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On Thursday, the budget committee heard from various boards and agencies seeking county funding. Among the funding approved was $8,000 to the police services board to be used, in part, to increase the number of beds at a Simcoe warming shelter from 12 to 20.

Presentations were made by Lynnwood Arts, which will be submitting grant proposals in 2024 for $625,000 to support the county in addressing its building renewal needs; the Langton Lions Club, which has a plan to spend about $183,000 to replace the flooring and complete other maintenance on its building; and the Downtown Simcoe BIA, which requested $14,000 to pick up garbage in the downtown core.

The budget committee turned down a request from the Silver Lake Revitalization Project to allocate $30,000 in 2024 and 2025 toward the completion of a geomorphic assessment of the lake basin.

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While councilors and staff support the project, Andrew Grice, general manager of environmental and infrastructure services, said the municipality has limited money to spend on infrastructure.

“It’s not something we are mandated to do,” he said of the project. “We can’t consciously recommend this be put ahead of a watermain replacement or something else.”

Four new budget initiatives are being proposed by county staff for the 2024 operating budget. They include:

Approved by the budget committee on Thursday was an additional $2.1 million for upgrades at the Port Dover water treatment plant, bringing the total allocation to $16.1 million, to be funded from debentures.

Also approved was a five per cent increase to user fees as an inflationary adjustment. They include some public transit fees, and fees related to arena and community center rentals.

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