Gatineau, December 17, 2013. – The theme for the 2014 Budget adopted today by Gatineau Municipal Council is A Transition Budget.

"For the last ten years, our city has experienced steady population and economic growth. This is good news, but it places significant pressure on our services, including everything from libraries to sports facilities, as well as roads and plants. And this year we also had to take into account the federal public service staff cutbacks because these have a significant impact on the housing market, which in turn affects our revenues," indicated Gatineau Mayor Maxime Pedneaud-Jobin.

With all of these issues taken into consideration, the Municipal Council presented a $526 million balanced budget. With it, Gatineau intends to maintain its level of services and manage its growth with a minimal tax increase.

For the average residential tax bill, the 2014 increase is equivalent to 2.9%, or $67. Of this, 1% represents the dedicated infrastructure tax, and 1.9% will go to increase the tax base, in essence the equivalent of the Bank of Canada's consumer price index target.


Investing in Services

Changes to Gatineau's operating budget and service improvements in 2014 include, among other things, the following:

• a $3.7 million increase in its assessed contribution to the Société de transport de l'Outaouais (STO), for a total of $51.3 million, of which $1.4 million will go towards the adjustments required for the Rapibus;
• a $1.2 million increase for new equipment and 13 firefighters under the fire safety cover plan;
• a contribution of $590,000 to complete the implementation of the police organization plan;
• $220,000 to the Heritage Policy and the Cultural Policy, and for celebrations and festivals;
• $300,000 to the Policy on Social Development;
• $925,000 to purchase additional ice time and time on the synthetic surface at the centre Branchaud-Brière; and
• $250,000 for the emerald ash borer management plan.

Investing in Infrastructures

Gatineau has introduced a number of measures in order to step up its infrastructure investments. In addition to the 1% dedicated infrastructure tax, Gatineau makes use of the subsidy programs run by other levels of government. In 2014, Gatineau will allocate $96 million to its infrastructures:
• $26 million for road improvements;
• $22 million for water supply and sewer system improvements;
• $16.2 million for water and wastewater treatment plants;
• $12.2 million for municipal building maintenance;
• $5 million for the replacement and purchase of vehicles and equipment;
• $3.5 million for parks and recreational, sports and community infrastructures;
• $1.8 million for recreational pathways;
• $1.2 million for the Programme Rénovation Québec; and
• $2.1 million for 125 social housing units under the AccèsLogis Québec program.

Report on Expenditures

"In 2014, we will accelerate the expenditure review process. For this first year, we are aiming for significant rationalization. We believe it is essential to ensure optimal operational performance, and to put every dollar collected from residents to good use. We also want to carry out a similar review process for the STO," added Mr. Pedneaud-Jobin.

Whereas at the time of the 2002 merger, debt servicing costs represented 23% of the municipal budget, they now represent only 12% of our expenditures. Gatineau is managing its debt efficiently, as a result of which it can now make up for past shortfalls in infrastructure investments.

"It is strikingly clear that cities in Quebec are overly dependent on property taxes. Gatineau relies on those taxes for 85% of its revenues. For years, municipalities in Quebec have been asking the provincial government to do something. The Province is moving far too slowly on this issue. There is an urgent need to diversify municipal revenue sources. In the coming year, we will continue to bring this issue to the table during negotiations around the fiscal and financial partnership with Quebec."

"Cities have to maintain 58% of public infrastructures even though they only receive 8% of the taxes paid by their residents. It is hardly surprising that our infrastructures are deteriorating. Without Quebec City and Ottawa, Gatineau can limit the damage, but no more."

"Finally, in 2014 we will be meeting with our employees to discuss the health of our pension funds with the aim of ensuring the survival of pension plans and protecting the interests of municipal taxpayers," concluded Mr. Pedneaud-Jobin.

Residents can consult the municipal Web site for additional information about this budget.