Reg egio ion n of Du Durha ham Fi Finance ance Departmen - - PowerPoint PPT Presentation

Reg egio ion n of Du Durha ham

Fi Finance ance Departmen artment t Pr Presentation sentation to to To Townsh wnship ip of Scugo ugog, g, Fe Febr bruary uary 21, , 2018 18

Br Broa

• ader

der Eco cono nomic mic Co Condition ditions

2018 GDP growth expected to be more moderate than 2017 Household Debt Remains High Interest Rates inching upward, mindful of downside risks in the forecast

“My second preoccupation is the state of Canada’s housing markets and the associated level of household debt. The Bank said …these vulnerabilities are elevated, and are likely to remain so for a long time. ” Steven Poloz, Governor of the Bank of Canada December 14, 2017

Source: Statistics Canada February 21, 2018 Durham Region Finance Department Presentation to Township of Scugog Slide 1

Property T axation Overview

Property Tax

Current Value Assessment (CVA) Set by Municipal Property Assessment Corporation (MPAC) Municipal Tax Rate (Regional, Local & Education)

Residential Non-Residential

2018 Estimated Property Taxes

February 21, 2018 Durham Region Finance Department Presentation to Township of Scugog Slide 2

CVA Change

Tax Increase Tax Decrease

Regional Tax Avg 7.0%

Regional Reassessment – 2018 Impacts

Property Tax Reassessment Impact

Region Only

February 21, 2018 Durham Region Finance Department Presentation to Township of Scugog Slide 3

Reassessment Tax Shifts by Local ($m)

Assessment Base Trends

Scugog Residential properties 7,183

2018 Regional Reassessment Tax Changes Frequency Distribution

Scugog Non-Residential properties 1,303

February 21, 2018 Durham Region Finance Department Presentation to Township of Scugog Slide 4

Re Regi giona

• nal

l Prope perty y T ax Budg dget Guide delin line

Committee of the Whole

Taxpayer Affordability & Competitiveness Annualization of 2017 Items Maintain & Increase Service Levels

PRIORITIZED AFFORDABLE BUDGET

February 21, 2018 Durham Region Finance Department Presentation to Township of Scugog Slide 5

2018 App pproved ed Gross ss Prope perty y T ax Budg dget

($1.6 billion including Water/Sewer)

Regional Assets $13.2b

Water Supply $4.0b Sanitary Sewerage $4.5b Facilities $1.0b Fleet & Equipment $0.3b Transportation $3.4b

Expenditures $1.2 billion Revenue $1.2 billion

February 21, 2018 Durham Region Finance Department Presentation to Township of Scugog Slide 6

2018 2018 Guide delin line e Ach chiev eved ed

2018 Increase ($ millions) Tax Impact (per cent)

Net Budget Increase 22.37 3.60 Assessment Growth—Budgetary (1.80) Seaton Growth Reserve Fund 0.10 2018 Net Property Taxpayer Impact 1.90

February 21, 2018 Durham Region Finance Department Presentation to Township of Scugog Slide 7

2018 2018 Region

• nal

l T axation Estima mated ed 2018 Property ty T ax Bills ls (with reassessment impacts)

Region-Wide ide Averag age e Home

Average increase $60 or 2.2%

CVA = $424,900 CVA = $395,700

Scugog Averag age e Home

Average increase $4 or 0.2%

CVA = $398,200 CVA = $378,600

Scugog Commercial cial

CVA = $500,000

Average decrease ($10) or (0.2%)

CVA = $477,000

February 21, 2018 Durham Region Finance Department Presentation to Township of Scugog Slide 8

Police $65 Waste Services $15 Paramedic Services $8 9-1-1 $1 Regional Transit $18 Public Health $6 Long Term Care $14 Works $27

Scugog Average Home (CVA = $398,200) 2018 Monthly Household Regional T ax Impact

February 21, 2018 Durham Region Finance Department Presentation to Township of Scugog Slide 9

“The Region’s forward looking financial planning for

• perating and capital plans

allow it to identify and address anticipated pressures early on. ”

• Moody’s Investors Service,

January 9, 2018

Busi siness ness Plannin ning g Proce cess ss

Asset Management Study

June October

Multi-Year Economic & Financial Forecast and Guideline

November-January

Business Planning Servicing & Financing Studies Business Plans & Budgets Property Tax Strategy Multi-Year Forecast

January-February Approval

2018 Budget Financing Strategies

• Seaton
• Federal Gas Tax
• Hospice/Hospital
• Asset Management Planning
• Reserve Funds
• Property Tax Strategy
• Land Management for

Conservation Authorities

February 21, 2018 Durham Region Finance Department Presentation to Township of Scugog Slide 10

Thank You

February 21, 2018 Durham Region Finance Department Presentation to Township of Scugog Slide 11