We balanced the budget: Now what?

This week we passed a balanced budget in Halifax that continues to pay down debt and deliver a high level of services and programs while rolling back property tax rates. It was also the second year in a row that Council unanimously approved the budget.

That doesn't mean that everyone was 100 percent happy with what is included or omitted. But it means that Council participated throughout the process, made suggestions and recommendations, and recognized the integrity of the budget-making journey that made them comfortable. 

I am very proud of that. For the second consecutive year we had a disciplined, rigorous process the included wide participation from Councillors. Last year we did it through Finance committee, this year through Committee of the Whole and in both cases we began in early January and wrapped up in late March. Senior staff presented their departmental budgets with supporting rationale and took questions from Council. We also added a public component this year whereby citizens could express their views online, at Community Council and at Committee of the whole. 

We made budget documents available to citizens, and we made some videos to help people better understand our budget. All in all it was a process that worked and Councillor Bill Karsten chaired the meetings throughout and did an excellent job.

Our staff, led by CAO Richard Butts and CFO Greg Keefe, deserve credit for their diligence and openness in working with Council to produce a very prudent budget. In recent years while many people have been skeptical of how government operates, our staff and council have made remarkable strides in opening up information and shedding additional light on our city finances.

So we received some congratulations on our budget which is nice. But I am left with a couple of thoughts.

As much as I think our financial situation is the dividend of good planning and common sense, we are in a privileged position relative to most other municipalities in Nova Scotia. We have a strong economic base, and continue to benefit from growth. We have strong sectors, and some very positive developments coming our way.

Ray Ivany pointed out the challenge facing Nova Scotia and the necessity of everyone playing a role in our economic recovery. I want Halifax to be part of that positive direction, and I have personally committed to working with the Union of Nova Scotia Municipalities and other partners. The answer is not to diminish the strength of Halifax but to leverage it as the major economic engine of the Nova Scotia economy.

The surest way to do it is to focus on innovation and bring more people to the province. Last year our city became involved in a Local Immigration Partnership for the first time and I see this as an opportunity to work collectively to bring people to NS.

We reduced tax rates for both residential and commercial taxpayers. We did this for one reason.....we could. But I am not of the belief that all taxes are bad, and should be eliminated or reduced.

I am very pleased that we as a city have been able to hold the line on municipal tax, but at the same time mindful that residents of our city are feeling the daily squeeze in other areas, water bills, power rates and the rising price of oil.  While governments should be prudent in how they spend money, we need to balance that prudence against the community benefits of doing more in some areas.

This year we are committing to invest more in the arts, providing better service to people with disabilities and committing funds to improve our downtown areas. These are all things I, and others, campaigned on -  areas where we can leverage private investment and build a better community.

I don't often use the term taxpayers, not out of any lack of respect for those who pay the bills, but because I was elected to represent all citizens, including taxpayers. Many citizens do not pay property tax directly, but do so indirectly through rent.  Others, due to age, or circumstance do not pay property tax and they are still members of our community and entitled to receive services from the municipality.

Indeed, the people who will most significantly impacted by the decision we make today are too young to vote or pay taxes. Others may be more likely to pay tax in the future if our economy thrives and success can be more widely shared. Our initiatives for diversity and inclusion may help make that happen.

And of course, I hope that many of our future taxpayers in Halifax have not yet even heard of our city. They are in many places in the world that we need to reach, with a message to come to Halifax. They will build new prosperity for themselves and our province.

So as we produce a 'good news' budget we should not lose sight of the big picture. It’s not just about celebrating holding the line on taxes today; it’s about building a Halifax for tomorrow that is better, more open and diverse. It’s about a Halifax that is part of one Nova Scotia where we can all celebrate our growth together.