The opposition at Montreal City Hall accuses the Plante administration of “hypocrisy” for having hit citizens with a 4.1% tax increase in 2023, when it had a surplus of 343.8 million for the year 2022, according to its financial statement released on Friday.
“The hypocrisy of the Plante administration is to have imposed on Montrealers the largest increase in municipal taxes for a decade, when it presents surpluses of more than a quarter of a billion dollars for the financial year 2022. In fact, the Plante administration falsifies its budgetary reality by taxing more and more, rather than soundly managing its budget,” denounces Alan DeSousa, opposition finance spokesperson.
But according to the president of the executive committee, Dominique Ollivier, these surpluses are far from being staggering.
PHOTO ROBERT SKINNER, THE PRESS
The president of the executive committee of the City of Montreal and responsible for finances, Dominique Ollivier
“It should be remembered that the City’s budget is 6.8 billion, so the surpluses represent a tiny portion,” she said at a press conference. It’s a delicate balancing act that we managed to do this year to balance, taking on us the effects of inflation, which reached 6.7%. »
We are reaching our limit. Once we have replenished our reserve for the snow, put money aside to repay the debt and set aside sums for inflation, the rest will be used for emergencies. We won’t have too many, believe me.
Dominique Oliver
The opposition also criticized the city’s dependence on financial assistance from other levels of government.
“For five years, Valérie Plante has been shouting at the Government of Quebec, saying that Montreal does not receive enough money, says Mr. DeSousa. It has become the administration’s easy way out of not assuming its responsibilities. In fact, Montreal received nearly $200 million more in government transfers last year. »
Priorities
Dominique Ollivier explained that the administration had spent the money of Montrealers keeping in mind four priorities: ecological transition, urban security, mobility and housing.
In addition to ending the fiscal year with a surplus representing 5.3% of revenues, the City reduced its debt ratio in 2022.
“The debt ratio reached 106%, 6% above the set limit of 100%. However, it is 13% lower than that forecast in the 2022 budget. This orientation aims to allow a significant catch-up in the maintenance deficit of municipal assets, while exercising tight control of the City’s financial balance sheet, “indicates the report. annual.
172.3 million in overtime
Overtime for municipal employees, mainly police officers and firefighters, continues to cost taxpayers dearly, since they reached 172.3 million, or 94.8 million more than expected.
Dominique Ollivier explained that these costs stem from the increase in armed violence in the metropolis and the many vacancies in the ranks of the Police Department of the City of Montreal, which oblige the police to work overtime.
In addition, an amount of 22.9 million in overtime stems from security measures that had to be put in place for COP 15, in December 2022, but which are partially reimbursed by the federal government.
In total, COP 15 cost Montreal $30.4 million, which received $27.9 million from Ottawa in compensation. “The net cost was 2.5 million for the City, which was able to benefit from a great influence thanks to this event”, noted the number two of the Plante administration.
Other revenue changes include $95.9 million more in municipal coffers due to higher-than-expected real estate transfer taxes: fewer real estate transactions, but higher prices have been good for the City .
On the other hand, fines and penalties were lower than anticipated, by 49 million.