Despite his election promise to freeze taxes over four years and his frequent assurances that "zero means zero," Mayor Larry O'Brien has proposed a two per cent levy on homeowners' property tax bills for next year.
However, the money must go toward repairing Ottawa's crumbling infrastructure, and both the provincial and federal governments must commit matching funds, O'Brien told the city's long-range financial plan sub-committee Monday.
"Under my option, Ottawa would have $180 million in the fund with only $60 million raised by property taxes over three years," read O'Brien's prepared speech, which he read to committee members at the beginning of the meeting.
The proposal was formally moved by Coun. Eli El-Chantiry.
O'Brien is chair of the committee, which was meeting to finalize its recommendations for the 2008 budget.
The mayor said he is still committed to a zero per cent increase on the "operating portion" of each household's tax bill.
However, the levy is not the only municipal tax increase expected next year.
During the meeting, the committee also voted to use the 1.4 per cent rate of inflation as the starting point for discussions of next year's budget.
City councillors have also been told to expect a police budget increase of 1.6 per cent.
Meanwhile, the levy alone will cost each household about $50. O'Brien said it is needed because previous councils have neglected maintenance on roads, bridges and sidewalks and the federal and provincial governments have not provided cities with the funding they need. Staff estimate the repair bill for Ottawa's infrastructure will be close to $1 billion over the next nine years.
After the meeting, reporters questioned O'Brien about how the levy fits with the promise of a tax freeze he made before the election.
"I'm not giving it up, not at all," O'Brien insisted.
When asked if he has come to regret the promise, he responded, "Well, regret is a very big word."
Related
MORE OTTAWA HEADLINES »
- In Canada, shock and grief at Bhutto's death
- In Canada, people with roots in Pakistan struggle to adjust to the death of former prime minister Benazir Bhutto.
- Ottawa hires trappers to catch pet-eating coyotes
- The City of Ottawa has hired trappers to capture coyotes after reports that family pets were being eaten by wild animals in rural outskirts.
- Ottawa Community Housing probes 7-hour Christmas power outage
- The City of Ottawa's public housing corporation is investigating how an 18-storey building housing hundreds of seniors lost power, leaving residents without light, elevator service, or the ability to cook a festive dinner during seven hours on Christmas Day.
- Senators overpower resurgent Islanders
- The Ottawa Senators came out of their Christmas break in fine form after they disposed of the resurgent New York Islanders 5-2 on Thursday night at Scotiabank Place in Kanata, Ont.
- Candle may have caused Aylmer, Que., house fire
- A fire destroyed a home in western Quebec and damaged the home next door after a candle was left unattended in the living room Wednesday night.
Canada Features
Blog Watch
Most Blogged about CBC.ca Articles