Contact:
Regional & Local Councillor Brenda Hogg, Budget Chair, 905-771-2498, Brenda.Hogg@RichmondHill.ca
Dean Miller, Commissioner, Corporate & Financial Services, 905-771-2497, Dean.Miller@RichmondHill.ca

RICHMOND HILL – Richmond Hill Council approved the 2014 Operating Budget of $144.4 million at a Special Council Meeting on February 20. This approval confirms the Town’s long-standing commitment to maintaining service levels and minimizing the tax rate impact, while remaining debt-free.

“Our 2014 Budget responds to the community’s needs and wants by implementing the smallest tax increase possible, while still maintaining all current services that residents value so highly,” said Mayor Dave Barrow. “Part of keeping taxes down is finding other revenue sources. More than a third of our 2014 Operating Budget is funded from sources other than taxes, including fines and fees, investments and reserves.”

The Operating Budget will result in a 2.04 per cent increase to the municipal portion of the total property tax bill. This is equal to $26.46 in property taxes on an average home assessed at $564,900. However, Richmond Hill’s taxes only account for approximately one quarter of the total tax bill. When combined with the Region of York and anticipated Education impacts to the tax bill, Richmond Hill residents will see an overall tax rate increase of 1.31 per cent.

“Staff and Council scrutinized this Budget carefully and delved deeply to find ways to minimize the tax increase including service and cost efficiencies,” said Budget Chair, Regional & Local Councillor Brenda Hogg. “Richmond Hill residents deserve wise and prudent management of their money. Council Members have done their job in this detailed review.”

The Budget increase is attributed to the full-year impact of Council-approved services, including staff and programs that began in 2013.

The 2014 Operating Budget of $144.4 million includes:

• $19.7 million for fire and emergency services
• $10.8 million for Town-owned facility maintenance, utilities and repairs
• $9.3 million for parks and recreational programming and events
• $11.2 million for road-related maintenance and snow removal
• $9.4 million invested for infrastructure sustainability and capital programs
• $7.3 million for libraries
• $5.6 million for waste management

Public consultation was again a key component of the 2014 Budget process. Council and staff engaged the public through an information session for residents at the Central Library; an information session for the business community with the Richmond Hill Chamber of Commerce; and an online budget survey. Through these activities, staff shared information and received feedback directly from members of the community about what is important to them.

Richmond Hill’s tax rates remain lower than most Greater Toronto Area municipalities for both residential and commercial tax rates. Minimizing tax increases is a priority and the Town is always seeking ways to reduce and contain costs.

Approval of the Operating Budget is the final phase of Budget 2014. Council previously approved the 2014 Capital Budget of $52.6 million in November 2013.

At the February 20 meeting, Council also increased the Seniors’ Tax Assistance Grant by 2.04 per cent to $331 per eligible applicant.

Visit RichmondHill.ca/Budget for more information about Richmond Hill’s 2014 Budget.

Backgrounder: 2014 Operating Budget

Tax Impact Breakdown – 2.04%

Operating Budget = $144.4 million
Capital Budget = $52.6 million (approved November 2013)

WHAT YOUR MONEY PROVIDES

Town Portion of Residential Tax Bill = 25% (approximately)



Richmond Hill Services for 25 Cents
Estimated Tax Increase Amounts for Sample Home Assessment Values

Operating Budget Highlights ($144.4 million)
The following list represents many of the items included in the 2014 Operating Budget as they pertain to the four goals of the Strategic Plan to support the vision of “Richmond Hill, where people come together to build our community.”

Goal 1: Stronger Connections

• Development and initial implementation of a new website strategy and redesign/re-architecture of RichmondHill.ca
• Continued implementation of the Responsible Pet Ownership program, including education and awareness initiatives
• Continued implementation of the Economic Development Strategy to further position Richmond Hill as the Smart Place for Business

Goal 2: Better Choice

• An operational and strategic review of Access Richmond Hill (ARH) to identify opportunities to enhance customer service and ARH operations
• Ongoing implementation of the Parks and Recreation Plans
• Continued implementation of the Accessibility Plan, outlining the many ways Richmond Hill is improving accessibility in its programs and services
• Increasing the amount of the Seniors’ Tax Assistance Grant to $331 per eligible applicant

Goal 3: More Vibrant

• Execution of the 2014 Municipal Election (October 27, 2014)
• Hiring of a Manager of Virtual Services for the Richmond Hill Public Library to enhance the online experience of virtual users
• Continued implementation of the Cultural Plan, including furthering the development of a Festivals and Events Strategy

Goal 4: Wise Management of Resources

• Revisiting the Emerald Ash Borer Management Strategy to reflect damage caused by the 2013 ice storm
• Implementation of Richmond Hill’s first Environment Strategy, Greening the Hill: Our Community, Our Future, with a focus to provide direction for the overall management of environmental policies and programs, as well as integrate the Town’s green initiatives into one coordinated effort
• Continuation of the Healthy Yards program

Key Budget Directions

All submissions by Town departments were made with the following in mind:

• Maintain existing service levels
• Minimize any tax rate impact
• Provide approved growth & services
• Remain true to the Town of Richmond Hill’s financial principles:
  • Thorough short and long term planning
  • Prudent consideration of reserves
  • Leverage available funding sources
  • Maintain debt-free status

Richmond Hill Budget 101
Richmond Hill’s annual Budget is comprised of two components, the Capital Budget and the Operating Budget. 

Operating Budget
Richmond Hill's Operating Budget consists of expenses that cover day-to-day activities or operations, including items such as utilities, rent, insurance, staff wages and benefits, program supplies, transportation and repairs. It also includes revenues received from taxes, fees and other items like program registrations. With approval from Council, the Operating Budget establishes the annual tax rate.

Starting in January, each department’s budget was reviewed by the Budget Committee of the Whole (comprised of Council). Once all of the departments’ submissions were reviewed and new items are considered, a consolidated budget was presented.

Capital Budget
Richmond Hill’s 2014 Capital Budget was approved in November 2013. More than 200 large and small capital projects will be launched in 2014, including: construction of the Lake Wilcox Phase Two Park Construction and Design; twinning the ice pad at Ed Sackfield Arena; new park construction at Rothbury Road; road construction; and upgrades of service delivery systems.

The Capital Budget is funded through Richmond Hill reserves, development charges and grants.

Reserves
Often when reading about Richmond Hill’s annual Budget or the financial statements, the term reserve is used. Reserves or Reserve Funds are important part of the Town's long-range financial planning strategy. Reserves are accounts set up with the approval of Council for specific purposes like repair and replacement of Town-owned assets (e.g. equipment, vehicles, and information systems) and infrastructure (e.g. roads, building repairs). They are used to offset impacts and stabilize operating and Capital Budgets, cushioning the impact of major expenditures like road construction projects.