Saskatoon councillors expand paid parking, cut community funding to trim budget

Saskatoon city councillors found some modest savings Tuesday in the third special budget meeting this summer to grapple with budget shortfalls in 2024 and 2025.

After eight hours, the special budget committee whittled out another $1.1 million from the the city's projected 2024 $52 million shortfall, largely by lowering contributions for community grants and special events.

That's on top of $21.6 million zapped last month by councillors, largely by deferring spending to future years. The recommendations won't be finalized until the budget deliberation process starts in November.

In total, the funding gap has been reduced by $25.8 million in 2024 and $2.3 million in 2025.

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Without further reductions, which is unlikely given the budget items yet to be debated, property taxes would need to increase by 8.54 per cent in 2024 and 6.04 per cent in 2025.

Speaking to the committee yesterday North Saskatoon Business Association executive director Keith Moen was critical of the choice to delay spending, recounting how deferred spending led to a road tax levy — in addition to property taxes — in 2014.

"The lesson learned there is that you can't really get away from doing the appropriate planning, spending and maintenance. It catches up with you in the end," Moen said.

For much of the meeting, councillors seemed reluctant to slash spending as numerous recommendations were defeated.

Councillors were hesitant tto raise bus fares by 7.5 per cent and claw back inflationary increases for maintenance which could have cut $270,000 from the 2024 budget.

After roughly five hours, the committee voted to save $296,400, by reducing the sweeping budget for city medians by $200,000 and reducing the line painting budget and signage by another $96,400.

Councillors spoke about making more buses available for on-demand service to streamline operations and reduce route frequency from every 30 minutes to every 60 minutes, but those options were defeated.

"I think in some cases, we're just saying no," Coun. Randy Donauer said to his colleagues, hoping to avoid more deferred of spending.

"I'm going to be paying close attention to the wording of the motions, because in some cases, when it's a defer, it actually just needs  be a no for this year."

The committee voted in favour of expanding paid parking areas to increase revenue. This would add 130 new paid spots in the Warehouse district and the Central Industrial area surrounding downtown.

The committee also supported increasing pet license fees by 10 per cent, and adding a three per cent hike in cemetery fees to add more revenue next year.

A special events fund will see a reduction of $200,000 next year, and community groups utilizing city grants — like youth sports and cultural organizations — will not see any grant increases after the committee denied that request.

When Moen urged city to act on the NSBA's seven proposed "action items" to close the funding shortfall, there was a brief exchange between Moen, Mayor Charlie Clark and Coun. Mairin Loewen when Moen suggested staff should be cut at city hall, particularly in the environmental and sustainability department.

"Are you aware of some of the impacts of climate on cities right now?" Clark asked Moen.

"What can we afford at this point? And with the funding gap that we have identified ... we would view this as spending that needs to be put off," Moen replied.

Loewen asked if it was the NSBA's position that the city should not be involved in climate adaptation or climate mitigation work.

"It doesn't fall upon the burden of government to look after," Moen said.

Also decided during Tuesday's committee meeting, the Saskatoon Fire Department will have some new administrative hires deferred, pushing $37,000 on to the 2025 finances.

There are more city business lines up for consideration at council’s next special budget meeting scheduled for Aug. 31.