THUNDER BAY -- Before they decided to come back another day, city council's proposed levy increase continued to climb.
When they started Thursday night the proposed levy increase was around 5.37 per cent, 3.43 for existing tax payers.
By the time they decided to call it a night before 11 p.m. and continue budget talks March 3, it was 5.68 per cent, 3.74 existing.
The biggest reason for the jump was a $487,500 decision to bring enhanced infrastructure renewal plan spending back up to last year's level.
Coun. Shelby Ch'ng, who introduced the idea, said that the fund was set up as an extra tax to close the city's infrastructure gap.
Over the years though, spending has slowed down.
"We are falling behind by $3 million every year," she said.
“We told the citizens in 2011 that we were raising their taxes to address the infrastructure gap.”
City manager Norm Gale started the meeting with news that employee benefits need an extra $961,000 this year. An expected at least $770,000 from the District of Thunder Bay Social Services Administration board will offset some of that cost, adding another $121,000 to the levy.
An idea from Coun. Rebecca Johnson, which council passed, will help general revenues as cash transit fares will go from $2.65 to $2.75.
While some on council argued that the hike will hurt those in poverty, Johnson said along with raising a bit more money for the city, she's heard from a lot of people that making and carrying change for the $2.65 fare is difficult.
She also wants transit to freeze fares next year.
