Tag: Wood Buffalo council

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Economic Ft Mac Politics

A Property Tax Cut approved by Wood Buffalo Council

The Wood Buffalo council has approved a property tax cut, with councillors voting to set the property tax rate for 2016 at 2% lower than the 2015 property tax rate levels. Residents and businesses both could use a little relief right bow after everything that has happened, and though 2% may seem small it is a step in the right direction to get Fort McMurray and Wood Buffalo back on track for the future. Many lost their homes and most if not all of their possessions when the wildfire swept through Wood Buffalo, but some have homes and buildings that are damaged but that can be repaired. The costs may be high though, and a property tax bill that is smaller could be seen as a big plus for those who must come up with the money to pay these bills.

Some question whether a property tax cut is the right thing for the Wood Buffalo council to do at this time though. The municipality has a current cash flow problem, understandable after everything that happened, and a cut in property tax rates will not address that issue right now. Councillor Germain explained that the tax cut would not impact the core budget for 2016 and this was enough to sway enough councillors for the tax cut to pass. All five of the property tax classes which cover the municipality will see a small break on their 2016 property tax rates. Hopefully this small break will help residents and businesses in Wood Buffalo recover a little sooner while not taking too much of the revenue that the municipality needs to get things back to the way they used to be.

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Economic Ft Mac Politics

Protectionist Measures Rejected by Wood Buffalo Council

Two proposals for bylaw amendments were rejected as protectionist measures by the Wood Buffalo council. The proposed amendments would set steep fees for demolition permits and use of the landfill for any contractors who were not already established in the area before May 3 when the wildfire hit. Councillor Allen Vinni proposed a bylaw amendment which would set a $2,000 charge for demolition permits to non residents while local contractors would only pay $200, but this was voted down after a lengthy debate. All of the councillors but Vinni voted against this specific amendment. Another proposed amendment was approved and this does include charging non residents more to use the landfill but the difference between resident and nonresident costs was much smaller. Vinni explained his defeated amendment by saying “To me this bylaw is fundamentally about creating a level playing field for local contractors.”

The initial landfill amendment also had protectionist measures but these were minimized by the Wood Buffalo council as well. As originally proposed the amendment stated that non residents would pay five times what residents would pay to use the landfill. A resident discarding mobile home remains would be charged $970 but a non resident contractor would pay $4,870 for the same debris. Instead of adopting the original amendment in this case the council determined that doubling the fee was sufficient and the changed amendment passed. Some non resident contractors were upset at the initial fees proposed because they felt like they were helping Fort McMurray out and that they were treated unfairly. Contractors can separate any recyclable demolition debris and this can be taken to the landfill at no charge for residents and non residents both. This step could significantly decrease the landfill fee paid.

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Economic Ft Mac Politics

Does the Wood Buffalo Council Deserve the Pay Raise They Voted for Themselves?

A number of residents are upset over the pay raise that Wood Buffalo council members voted for themselves, with some receiving a new salary that is more than double what they were making before they voted to give themselves a hefty raise. As soon as the news reached the public there was anger and outrage. The votes meant that a part time salary for a council member went from a little over $35,000 to $75,000. 3 members of the council were designated as full time council members, and their salaries were increased to $150,000 per year, the same salary as Mayor Melissa Blake makes. This is the highest salary amount for a council member in Canada, even higher than Toronto and other much larger cities.

Some on the Wood Buffalo council who voted for the pay raise defended their vote. Colleen Tatum took to a Facebook post to defend her decision to vote for and accept the enormous pay raise, posting “Childcare, lost time in my business, lost opportunities elsewhere do cost me much more than I ever earn. It does seem obscene on face value, to ask for a raise in these extreme and very hard times, but the justification I do feel is there.” Mayor Melissa Blake and a number of council members voted against the pay increase but they were outnumbered. The Canadian Taxpayers Federation Alberta director Paige MacPherson asked “Was such a dramatic wage increase really necessary right now? That’s a fair question for residents and taxpayers to be asking. These are now some of the highest base salaries of any major centre in Canada. It’s unprecedented for a councillor to make the same or more as any mayor.”

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Economic Ft Mac Politics

Wood Buffalo Council Policy Proposal Against Fly In Fly Out Arrangements

A policy proposal that was recently asked for by Wood Buffalo council members involved fly in fly out arrangements, and the council meeting went fairly quickly even though this proposal was just one of many items on the agenda. The audit committee proposal was given to the council requesting that a policy be implemented that prohibits fly in fly out accommodations for people who are municipal employees. This policy was one of the recommendations made as a result of the 2014 KPMG audit. A motion on December 1, 2015 to implement a fly in fly out policy was defeated, and the new policy would prohibit this type of activity. Chief Legislative Officer David LeFlar did caution that the council did not have the authority to legally prohibit commuting by employees but passing the policy motion would ensure that the municipality would not be required to cover the expense of these trips.

The no fly in fly out policy proposal in front of the Wood Buffalo council does have a provision to cover extenuating circumstances according to Councilor Tyran Ault. If an out of town expert is needed by the municipality and a commute was necessary to hire the expert then the council could bring up the specific issue for a vote. Councilor Allan Vinni discussed th new policy and said stated “I think that that inconvenience is more than outweighed by the message that we need to send to the citizens of this region that we’re about employing and working with people who live here.” The motion passed unanimously.

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Ft Mac Politics

Motions at Recent Wood Buffalo Council Meeting Covered Many Topics

Wood Buffalo council, motions

A recent Wood Buffalo council meeting included a number of motions on a wide variety of topics. One motion called for the downtown arena project to be scrapped, and another motion was seeking a funding commitment for the Willow Square project that has been in limbo for some time. The council also engaged in a debate over a new policy concerning whistle blowers, and members debated different methods and solutions so that rural businesses saw some relief from the high tax rate that applies to non residential property. A 2015 Capital Budget Amendment report was received by the council, and a land sale proposal was also evaluated. The meeting started with a motion by Coun. Keith McGrath to stop all negotiations over the downtown arena with the ICC. The motion also asked that the council prohibit any presentations on proposals and contracts associated with the downtown arena.

While the Wood Buffalo council was in recess McGrath discussed the reasons behind the motion. The councilor talked about the high cost, public opposition, a lack of a sufficient review on the project, and the lack of a sound business case. McGrath explained “This is motivated by common sense. I’m not sold one bit.” Coun. Tyran Ault was responsible for bringing a motion for a funding commitment to the Willow Square long term facility in the amount of $10.5 million. Ault explained “They’re still getting mixed messages on what we as a local government believe in terms of what long-term care we want in the future. So I think it’s time to put our money where our mouth is.”

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Alberta Economic Ft Mac Politics

Wood Buffalo Council Motion Pushing for Lower Rural Taxes

Wood Buffalo council, lower rural taxes

The Wood Buffalo Council is pushing for lower rural taxes, putting pressure on the province to do something about the problems that the rural tax rates are causing for a number of local people in the region. A number of business owners made complaints, as did aboriginal leaders. The complaints all show that the current tax rate is affecting quality of life and development in the rural areas. Rural business owners pay a tax rate that is more than 4.5% higher than what Fort MacMurray business owners pay. The motion to allow the municipality to tax non residential properties in rural hamlets at the same rate that Fort MacMurray business owners pay was submitted by Councillor Jane Stroud. Soon after the motion was presented business leaders and aboriginal Metis pleaded with the council to accept the motion. The Wood Buffalo Council motion from Councillor Jane Stroud would also create a Hamlet service Area where all properties would be taxed at the same rate that Fort MacMurray properties are taxed at.

Conklin Resource Development Advisory Committee CEO Jeffrey O’Donnell discussed the fact that many of the rural businesses which struggle and eventually close because of high taxes and expenses are businesses that provide community services and oil company and sector support. O’Donnell stated “Unless you operate out of the rural communities like Conklin or McKay or Chip, you can only then really understand the impact.” Councillors explained that only the provincial government can change taxes, and Councillor Allan Vinni said “You’re preaching to the choir here. The way that tax structure works is preventing the smaller communities in this municipality from achieving their destiny in every way.”