Regardless of whether the City of Ottawa freezes property taxes for next year, it will have to cut services and hike user fees, according to a draft budget prepared by city staff.
Scenarios involving property tax hikes of:
- zero per cent
- 1.4 per cent
- 3.4 per cent
are included in the document released to city councillors Wednesday morning.
Under the zero per cent increase scenario promised by Mayor Larry O'Brien, staff recommend that to deal with a $138 million budget shortfall, the city should:
- Close 10 library branches.
- Reduce service at other library branches.
- Slow down plans to build a new central library and a new west-end library.
- Eliminate less popular bus routes.
- Reduce weekend and evening bus service.
- Eliminate planned improvements to bus service.
- Close five of 42 ice rinks.
- Boost rental rates for rinks and sports fields.
- Close 23 of 122 community centres, mostly in rural areas.
- Boost rates for street parking.
- Add paid parking in Westboro, Hintoburg, Old Ottawa South and Beechwood.
- Replace parking meters with a new pay-and-display system.
The list is similar to cuts suggested by staff but largely rejected by city council in 2004.
On Tuesday, O'Brien released a consultant's report outlining $97 million in possible savings, but on Wednesday, city manager Kent Kirkpatrick called that figure unrealistic.
Meanwhile, the city's police force requested on Wednesday a $14 million budget increase for 2008, suggesting that it be funded by an 8.8 per cent increase in the city's police tax and a 1.44 rise in property taxes.
O'Brien has proposed a two-per-cent infrastructure tax levy and an increase to the city's police budget, but wants no increase in regular property taxes. During his 2006 election campaign, he promised to freeze property taxes for four years.
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