Dedicated tax levy proposed for future city-wide emergency snow response
Members of City Council’s Governance and Priorities Committee (GPC) will discuss funding options following the activation of the Roadways Emergency Response Plan (Plan), which prompted city-wide snow grading and removal. The Plan was meant to be used in exceptional circumstances, but this undertaking has occurred twice since November 2020 because of extreme snowfalls. The Administration recommends City Council consider introducing a four-year property tax phase-in of 0.75 per cent for the 2024 to 2027 budgets.
“A levy would not only repay the borrowing for the 2022 snow event but would also put money in a reserve to fund future responses,” says Clae Hack, Chief Financial Officer. “Should the committee approve this recommendation, such a move would have the least impact on the City’s asset management programs and overall service levels that residents expect.”
Snow grading and snow removal on local residential streets are not funded in the annual $14.9 million snow and ice management budget and are not in the level of service when it snows. However, the latest snowfall this December and the storm in November 2020, required immediate grading, followed by snow removal on every street.
“Snow removal is a costly undertaking because it requires a variety of equipment, extra operators and lots of hauling costs,” says Hack. “However, it’s necessary to restore sightlines at intersections and the full width of driving lanes for safety reasons, and parking availability along streets.”
The total cost of the clean-up this time is estimated up to be $20 million, about $6 million more than in 2020 because of more accumulated snow and higher costs of diesel fuel and equipment.
The storm in November 2020 is the most recent event with similar snowfall at 30-40 cm and was the largest single snowfall event since 2007. The Administration applied the lessons learned from the clean-up response to develop a comprehensive Roadways Emergency Response Plan (Plan).
On Tuesday, January 17, GPC will review four funding options:
- Use cash from reserves and deferral of capital projects like road maintenance;
- Repay borrowing by reducing reserve transfers to the Paved Roadway and Sidewalk Capital Reserves or others;
- Repay borrowing by making reductions to the 2024-2035 Major Capital Plan, which could impact proposed new and replacement Fire Halls, White Buffalo Youth Lodge Refurbishment/Replacement, Fleet Electrification (including Transit) or other priorities; and
- Create a dedicated property tax phase-in to build base for future events and repay borrowing.
Find the full agenda for the January 17, 2023, Governance and Priorities Committee and the link to watch live at Agendas, Minutes and Meeting Video on our website.