THE Mayor and City Council (M&CC) of Georgetown is proposing an increase in residential taxes, from 40 to 52 percent and commercial taxes, from 250 to 320 percent, for the coming year. Treasurer Andrew Meredith told a City Hall press conference the expectation is that the increases in revenue collection would raise $460M more.
Explaining the proposals for the 2012 budget, he said the proposals should garner $1,193,353,000 and the municipality also expects a Government subvention of $35M.
The M&CC plans, as well, to pursue initiatives for kind contributions in the region of $460M.
“As it is now, our budget reflects a deficit of $500M. That gap is expected to be bridged through the in kind contributions and, in some measures, the small increases which we have proposed to the commercial and residential rates,” he related.
Providing more details, Meredith said the Town Clerk’s Department expects to rake in $3M; City Constabulary $3.1M; City Property Rates Collection $1,592,223; Public Health Department $52M; Solid Waste Management Department $10M; City Engineer’s Department $67M and Markets Department $270M.
In terms of expenditure, he said it is anticipated that the City Engineer’s Department will utilise $795M; Administration Department $480M; City Constabulary $278M; Solid Waste Management Department $367M; Markets Department $245M and the Finance Department $138M.
Meredith observed that, over the years, the Council has seen just about 65 percent rates realisation because most of its expenditure hinges on its capability to collect.
“These appropriations planned must be seen in the context of our ability and our achievements. It is oftentimes a situation where our collection rate is such that we are unable to meet our liabilities in a timely fashion,” he acknowledged.
He pointed out that, since last August, the municipality almost had a shutdown but the institution of the amnesty period significantly helped with expenditure and expenses.
During that time, the Council had hoped to receive $300M but only $171M was realised and $190M was waived in interest.
Following Meredith’s presentation, Mayor Hamilton Green remarked that the budget proposals represented a “very grim and dismal picture” of the capital city.