Summerside's latest budgets put cash into 'planning for growth,' with major investments
With the theme Planning for Growth, the budget gives priority to infrastructure improvements, economic development and long-term sustainability, the municipality said in a news release.
P.E.I.'s second-biggest city is projecting a balanced budget, with total revenues and expenses of $76.7 million, which includes the operation of city-owned utilities.
Capital spending has increased significantly from last year's $71.2 million, with the biggest addition — $11 million — going toward the city's East-West Housing Corridor project.
The project will eventually connect Water Street East with Ryan Street in the city's north end. Officials have said the development will ease traffic and open up enough land for developers to build up to 2,000 new housing units.
Other major infrastructure investments include:
$3.7 million for water system upgrades
$1.4 million for street resurfacing
$404,000 for fire and police equipment upgrades
$130,000 for downtown revitalization and public art initiatives
$762,000 for roof and rooftop air handling system at City Hall
$291,000 for sidewalk construction and replacement
$355,000 for boardwalk remediation
The budget is supported by key revenue sources, including $12.7 million from government transfers, $12.1 million from property taxes and $3.7 million from wind energy sales.
Summerside councillors will vote on the budget at a council meeting on March 27.
Electricity, water rates up; taxes unchanged
While property tax rates will remain the same, the combined rate for water and sewer services will increase by about 5.5 per cent, from $76.32 last year to $80.75.
Electricity rates have also gone up in line with an increase in Maritime Electric rates that took effect March 1. Domestic service has a $24.57 monthly service charge and energy rates of $0.1723 per kWh for the first 2000 kWh and $0.1375 per kWh for the remainder.
Investment in Summerside Electric
Meanwhile, the city continues to reinvest in its own electrical utility, which generates about $31.6 million in revenue.
The Summerside grid will see a $4.6 million investment to enhance safety, security and reliability, as well as to ensure a sustainable and dependable power supply for residents and businesses, the news release said.
The city's power supply faced a series of challenges last month following a failure at Maritime Electric's Sherbrooke substation. While the city generates about 60 per cent of its electricity through renewable sources like solar and wind, it depends on Maritime Electric's transmission grid to receive the power Summerside Eletric buys from New Brunswick Power.
A mobile transformer brought in from Newfoundland was installed to stabilize the system, but the city is calling for a permanent solution from Maritime Electric.
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