The Pyramid Centre's Financing
In the August 16, 2006 issue of the St Marys Journal Argus
St Marys Town Council wrote:
We asked an independent accounting firm Deloitte & Touche to take a look at the Town’s finances and obligations. They created a viable financial strategy to pay for the upgrades, which ensures we have money to continue our regular work, move forward with other projects and meet future commitments. Deloitte & Touche also evaluated the cost of the building, the cost to run it, and how to pay for it. The responsible plan they put together was presented to the public on March 9, 2006.
Andrew Atlin / John Munro's ratepayer group wrote in reply:
Deloitte Touche never recommended that you go forward. Their report solely considered where Council what funds would be required to allow the project to go forward and where the Town might be able to access these funds. The Town had an operating loss of $ 341,000 from the 2005 FIR. All the surplus monies Deloitte Touche identified were used to fund current operations in 2005 and still were not enough to keep the Town from red ink.
Town debt payments from the project will require the taxpayers to pay at least $ 1 million per year for 20 years even with current fundraising considered. Aylmer and Goderich data show that the operating loss will be at least $ 400,000 per year more than our current level. Therefore, the total cost of the project to the municipality will be at least $ 1.4 million per year. The Town will raise $ 6.9 million in taxes in 2006 so the tax increase for every year from 2008 onwards will be at least 20% per year. Council has no evidence to the contrary.
St Marys Town Council wrote:
We asked an independent accounting firm Deloitte & Touche to take a look at the Town’s finances and obligations. They created a viable financial strategy to pay for the upgrades, which ensures we have money to continue our regular work, move forward with other projects and meet future commitments. Deloitte & Touche also evaluated the cost of the building, the cost to run it, and how to pay for it. The responsible plan they put together was presented to the public on March 9, 2006.
Andrew Atlin / John Munro's ratepayer group wrote in reply:
Deloitte Touche never recommended that you go forward. Their report solely considered where Council what funds would be required to allow the project to go forward and where the Town might be able to access these funds. The Town had an operating loss of $ 341,000 from the 2005 FIR. All the surplus monies Deloitte Touche identified were used to fund current operations in 2005 and still were not enough to keep the Town from red ink.
Town debt payments from the project will require the taxpayers to pay at least $ 1 million per year for 20 years even with current fundraising considered. Aylmer and Goderich data show that the operating loss will be at least $ 400,000 per year more than our current level. Therefore, the total cost of the project to the municipality will be at least $ 1.4 million per year. The Town will raise $ 6.9 million in taxes in 2006 so the tax increase for every year from 2008 onwards will be at least 20% per year. Council has no evidence to the contrary.
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