The Town of Kearney has announced that the Draft Budget 2013 will be presented at a public meeting scheduled for Monday, February 18th at 10:30AM, to be held in the Kearney Community Centre gymnasium.
The Draft Budget is not yet available for review and the key information that tax payers would like to see will likely not even be available when the Draft Budget is unveiled. For instance, what is the real tax increase, yes, increase, because the reserves have been depleted to an all-time low, and this council has leached the funds out of everything it can, and even tried to leach funds out of things they can't. The library has been bled dry, the Fire Department has been bled dry, Public Works is ready for embalming, jobs have been cut, and lawsuits against the town are starting to trickle in.
There is much more we can say, but it is clear that all our fears of gross financial mismanagement, bullying and harassment, and the steady decline of Kearney are coming to a head at an alarming rate.
The Proudfoot bunch will undoubtedly try to poo-poo all this, but Kearney's situation isn't unique. Other towns, who have not maintained healthy reserves are suddenly finding themselves in trouble. Having said that, a vast majority of Ontario towns will emerge unscathed because they maintained healthy reserves.
This is what reserves are for, Paul. In case of financial emergencies, not bailing out your budget mismanagement so there's nothing left and you have to borrow from the bank.
An article in the Espanola Around & About newspaper talks about huge property tax increases that will be needed to offset lost revenue from Espanola properties that have been reassessed downwards. Kearney doesn't have a similarly large industrial property that would be so significantly reduced in assessed value, but we do have many high-value properties enjoying reduced assessments that take effect immediately. Remember all those Proudfoot waterfront properties that were hit with massive property tax increases phased in at 9.5% each year over four years? The Proudfoot bunch cut property taxes by 9.5% each year to lighten their burden, and now they'll be entitled to refunds from the town, but the refunds are to be paid immediately. No phasing in of refunds. Do you think that Proudfoot land-barons like Pritchard, et al are going to repay Kearney's kindness and hold off on their refunds? Yah... We also predict a killing frost in Hell.
This council has recklessly slashed taxes over the past two years, not just to break even, but creating a deficit, forcing them each year to wade into Reserves (approximately 30% each year) just to meet basic operational needs. Now we have a 2013 budget to be presented on Monday and the issue of reduced property assessments are being ignored. Just to meet the current draft budget proposal will require a 10% tax increase, which is being hidden (in other words, be prepared for more bullshit Proudfoot-speak in this budget) while Reserves are allowed to decrease again to the point of virtual oblivion.
The impact of reduced assessments is also being ignored and the property tax apocalypse is just around the corner. So, sit back folks, ignore the warnings, and enjoy the financial ride of a lifetime. Or, take a look at the 2013 draft budget and attend Monday’s meeting, and make your voice heard. It’s probably already too late but what the hell.
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