Province Outlines Options For Canso
SERVICE N.S./MUNICIPAL RELATIONS--Province Outlines Options For Canso
The Nova Scotia government is moving to protect municipal services for the people of Canso. Service Nova Scotia and Municipal Relations Minister Barry Barnet has written to the mayor and council of the town, advising them that the current budget crisis in the town cannot continue and it is now time to consider other options.
"The town of Canso has an accumulated deficit of about $715,000 on a budget of $1.1 million. In addition to the deficit, the town is heavily in debt, has difficulty collecting its property taxes and there is no light at the end of the tunnel," Mr. Barnet said. "My letter outlines three options for the town, and only two of them are realistic."
The first option would be that, if the town is to continue as a separate municipality, it would be required to increase its property tax rate by at least 10 per cent in order to provide town services. The town already has a high level of outstanding property taxes, so it is unlikely this option would improve the situation, Mr. Barnet said.
A second option would see the town become part of the Municipality of the District of Guysborough. Residents of Canso would be represented on district council and municipal services would be provided at a substantially reduced tax rate.
A third option would be to become a new type of municipal entity called a Heritage Town. This status would see Canso become part of the District of Guysborough with powers greater than a village, but without the financial responsibilities of a town. Also with this option, municipal services would be provided at a lower residential tax rate than exists in Canso currently, but not as low as in the second option.
"Canso's financial difficulties are directly related to the economic downturn in the town," Mr. Barnet said. "The municipal services people need are in danger of imploding and we cannot wait for the local economy to turn around. The town is broke."
In addition to its operating deficit, the town owes more than $600,000 to the province for policing costs and loans. The province has also helped the town by paying for accountants to bring the town's books up to date, preparing a budget and providing other financial and operating advice.
The minister said dissolving its town council would in no way diminish Canso's community identity. "There are plenty of examples in Nova Scotia where towns have become part of larger municipalities yet their residents can still proudly say they are from Inverness, Glace Bay, Dartmouth, Port Hood, North Sydney or Bedford. Residents of those communities know that their identity is not derived from the municipal government of the community, but from the community itself."
The next step is for council to hold a public meeting to discuss the options and to submit its decision on the available options to the minister by Thursday, July 15.