Armstrong looks to cut budget and fees to help residents
Armstrong council has asked its staff to look at all options for trying to provide financial relief to residents during the COVID-19 outbreak.
Mayor Chris Pieper said that includes ideas such as lowering the planned tax hike of 4.98 per cent, cutting water and sewer fees, and even a 20 per cent pay cut for council members.
Pieper said he challenged staff to get the tax hike down to zero, with staff to report back with recommendations in two weeks.
“I’m not sure that can happen (zero increase), but you need a target,” Pieper said. “I’m optimistic we can adjust it, but I’m not sure how far.”
The mayor told Vernon Matters, for example, the city has budgeted $20,000 for council’s various conventions, some of which have been cancelled.
“Maybe we cut that in half. There is an opportunity there. There is other savings of $5,000 here and there, so maybe we can make it,” he said.
Pieper said his suggestion of a 20 per cent pay cut for council members didn’t go over well with his colleagues.
“We don’t make a lot of money but it’s still an initiative that could work for the balance of the year. Everything is on the table,” he said.
Pieper said decreases to utility billings will be discussed as the first quarter bills have already been mailed out.
“There is nothing we could do to impact that, but going forward, we’ll review it our first meeting in May,” he said.
A staff report said if the city reduced fixed fees (water and sewer) for six months, it would save $125 for each user but the city would lose $325,000 in revenue.
“It would be great for the residents, but long term, it would definitely impact future infrastructure projects. so we have to balance the two off,” Pieper said.