Jaret Dickie, manager of city utilities, outlines the increase of city utility rates Monday evening. (CHAT News photo)

By Alex McCuaig

City services, utility rates going up

Nov 16, 2020 | 11:00 PM

MEDICINE HAT, AB – The cost of doing business will be going up in Medicine Hat – along with just about everything else requiring a permit, licence, inspection or approval from City Hall as council approved a more than 12 per cent across the board hike for services.

The increases will be phased in over two years starting Jan. 1 and affect business licences, building permits, safety inspections, sub-division applications and just about anything requiring an application to City Hall.

Utility rates (sewer, water, electric, solid waste and natural gas) collectively will see the average household pay 2.28 per cent more in 2021 – though that represents a decrease of a projected four per cent increase.

After being sent back to the drawing board on a proposed hike in late property tax penalties the city’s Corporate Services Committee came back to council with the same proposal, just spread over a longer period of time.

During a lively debate during the Nov. 2 council meeting, councillors considered a doubling of the late tax penalty from seven to 14 per cent – putting Medicine Hat in line with other Alberta municipalities.

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Monday saw council consider the same increase spread out over three years.

Despite the back and forth featured two weeks ago with multiple councillors and the mayor questioning whether the increase of the tax penalties is reasonable, the hike was approved without debate.

Mayor Ted Clugston and Coun. Julie Friesen voted against the move.

On the cost savings side, the city voted to dismantle its nine public advisory boards and replace them with a single Community Vibrancy Advisory Board.

The sale of three oil and gas assets approved Monday night will also result in the savings of $6 million in abandonment costs.