2022 Budget

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2022 Budget Community Consultation Public Meeting

When:    Monday, November 1, 2021 – 6:00 pm Regular Council Meeting
Where:   Council Chambers, City Hall – Participate in the meeting via ZOOM Webinar.  Pre-registration is requested.

Virtual Participation

Watch: To view the live stream visit: mission.ca/webcast

Participate Register to be on the speaker’s list.  After you have filled in the registration information, you will receive a detailed email with a link to participate via Zoom.  While in the meeting, participants will be muted until it is their turn to speak.  Participants must click the “raise hand” function to speak.

2022 Budget Consultation

The Public Consultation Presentation for the 2022 Budget and 2022-2026 Financial Plan will be conducted virtually on November 1, 2021 via ZOOM Webinar. To take part in our 2022 Budget Survey please visit engage.mission.ca.

Introduction

Mission updates its five-year Financial Plan annually to ensure its finances are managed responsibly and to reflect the priorities identified by Council and the community.  Council is currently considering the 2022 to 2026 Financial Plan.

The Plan includes specific funding requirements for 2022, and projections for 2023 – 2026.

At a high level the financial plan combines:

General Operating Budget

The day-to-day operational expenses, such as recreation, inspections and protective services.   Any proposed changes to this budget allow the City to continue to provide the same services, at the same levels.

General Capital Budget

For general municipal capital projects such as playground equipment and upgrades, road and bridge repairs, facility construction and improvements, and life-cycle equipment replacements.

Utility Budgets

The operating and capital budgets for water, sewer, drainage, and solid waste.  These expenses are funded through user-fees and levies.   Utility levies are included on your Property Tax Notice, while metered utilities are billed separately.

New Initiatives

These are new initiatives or service level changes based on Council’s strategic plan, Master Plans, and through ongoing works to improve operations and services to the community.

The 2022 Budget

The 2022 budget focuses on maintaining service levels and supporting the needs of the community, while also moving Mission forward with a number of new initiatives based on Council’s Strategic Plan, public input gathered through our annual Citizen Satisfaction Survey, and opportunities identified by staff.

General Operating Budget

Proposed Budget Changes:

In the summer of 2021 staff compiled the draft Financial Plan with a focus on the 2022 budget. The budgets were presented to Council in early October with service level spending packages/new initiatives for 2022 and 2023.

Council is considering service level spending packages worth over $696,600 to be included in the Financial Plan.

The proposed 5.97% increase to the General Operating Fund budget is $2,203,467.

Summary of Changes

In 2021, Council approved new initiatives and increased service levels that have an impact on the 2022 budget.  These new 2021 initiatives and increased service levels total $577,529 and include:

  • removal of one-time funding from Surplus
  • development services initiatives
  • phasing-in of fire fighters hired July 2020

To maintain current service levels, a net increase of $1,312,195 is required, including a 2% estimate for CPI built into many contracts.

Development activity remains strong with development/new construction revenue projected at $400,000.

Staff have proposed increasing the transfer to General Capital by $186,250 in 2022 to fund future capital projects.

Spending packages and new initiatives under consideration for 2022 total $696,693.  Should two spending packages be phased-in, this amount could be reduced to $527,493.

These proposed changes total $2,203,467.  This represents an increase of $130.88 to the property taxes of an average assessed home of $754,900.

Consolidated Operating Funds

Operating expenditures are used to pay for the day-to-day activities of the various community programs and services, such as a Parks crews and their equipment or delivering clean, safe water to homes and businesses.

 

 

 

Reserves

In 2022, the City is budgeting to transfer $15.1 million from the six operational units into both operating and capital reserves to ensure funds are available for future capital and operating expenditures and emergencies.

Some Capital Reserve funds are being built up so funding is available for all or partial expenditures of several large projects starting over the next 20 years.

Operating Reserves are being built up to fund large periodic operating expenditures such as the municipal election that occurs every four years.

 

 

 

Utilities

Utilities represent more than 27% of Mission’s ongoing operating expenses, or approximately $23 million in operating expenditures.

Operating and saving for future utilities and drainage infrastructure is funded through user fees and levies.

Each year staff propose adjustments to the user fees to support the ongoing operations, maintenance of infrastructure, and to save for capital projects.

Staff is recommending a position be added in 2022, Public Works Technologist, that would be responsible for managing capital and maintenance projects in the utility operations.  The costs would be shared equally between the water, sewer, and drainage utilities.  A one-time capital expenditure would also be funded equally between the utility capital reserves.

Water

The City owns and operates over 195km of water mains in the local water distribution system that serves over 11,000 customer accounts.  Although the City solely operates the local water distribution system, the City of Mission and the City of Abbotsford are joint partners in the Regional water supply system, which benefits residents in both communities.

Staff is proposing no increase in water user fees in 2022.

Solid Waste

Mission owns the Landfill (Minnie’s Pit), the Mershon Street Recycling Depot and jointly owns the Abbotsford/Mission recycling Depot and Sorting facility (AMRD), located in Abbotsford.

Staff is proposing no increase for refuse and recycling/compost collection fees in 2022.

Sewer

The City owns and operates over 155km of sewer mains in the local sewer conveyance system that serves over 8,000 customer accounts.  Although the City solely operates the local sewer conveyance system, the City of Mission and the City of Abbotsford are joint partners in the Regional sewer conveyance system, which benefits residents in both communities.

Staff are proposing increasing the sewer user fees by $12.12 for a total of $476.04 per year or $39.67 per month.

Flat Rate User Fees

The proposed changes to Water, Sewer, Refuse and Recycling/Compost include:

Utility Increase % Increase $ Total User Fees
Water 0%  $0 $512.64
Sewer 2.62% $12.12 $476.04
Refuse 0%  $0 $102.96
Recycling / Compost 0%  $0 $184.20

For 2022, of the four utility user fees, only an increase to the sewer user fee of $12.12 is being proposed.
The monthly costs to residences with these four utility services equals $106.32.
2% of the Sewer Utility increase will be segregated to a Debt Reserve, to be used to reduce the debt needed for the two large Sewer Capital Projects, and the annual transfer to the Debt Reserve would be reallocated to service future debt payments.

Drainage

The drainage utility program, established in 2016, requires $1.44 million to be transferred annually to capital to support the replacement and upgrading of the City’s aging storm water drainage systems.  The draft 2022 drainage budget includes an incremental increase in the transfer to the Capital Reserve of $250,000 which represents a $14.85 increase to the drainage levy on the average assessed home.

Staff is proposing increasing the drainage levy by $21.12 on the average assessed home.

Operating Service Level  Spending Packages, under Consideration

Municipal Services Funded by Taxation 

Estimated 2022 Property Tax Notice

Have Your Say!

Provide your feedback on the 2022 Budget by completing our survey The survey will be open from October 25 until November 7, 2021.  Survey results and comments will be reported back to  Council during the final budget meeting on November 17, 2021, and used to further align the budget with community priorities before the 2022 to 2026 Financial Plan Bylaw is adopted in December 2021.  You can also send your comments on the 2022 budget to communications@mission.ca. 

Year-Round Budget Feedback

Council appreciates hearing from and/or receiving your input throughout the budget process and all year-round.

For any financial questions, please contact us at budget@mission.ca and we will get back to you.

If you have a comment or a suggestion, we’d love to hear from you. Simply fill out the comment box below.