More services or more cuts? London, Ont.’s budget committee gets to work

The City of London’s budget committee has begun combing through the mayor's draft budget, facing an increase that now sits at 8.8 per cent.

Council members will grapple with either cutting programs and services to reduce that number, or salvage programs and services that were jettisoned during the mayors review. That could mean an even greater increase, in order to bolster programs deemed to be a benefit the community.

Friday's most significant effort to cut came from Ward 11 Coun. Skylar Franke. Franke proposed taking a million dollars out of the annual contribution to the Industrial Land Reserve Fund.

Franke pointed to the anticipated demand for land from companies that will support the St. Thomas-based Volkswagen battery plant, "London is one of the strongest markets in the country for industrial property. There's very high demand and little supply."

She added, “I personally see it being prudent to alleviate the tax pressure on Londoners for 2024 by withholding the one-year injection.”

Deputy Mayor Sean Lewis argued that a cut to the fund this year would have to be pushed into the projected 8.6 per cent tax increase slated for next year.

A position Ward 8 Coun. Steve Lehman echoed, "To use this to shift a bit of tax from year to another, I understand the reasoning behind it. But, in this case, [it's] not the time."

The motion passed by a vote of 8-to-7, but every close vote comes with a question: will the mayor use a significant new power he now holds?

London council members, seen on Feb. 2, 2024, have begun working through the mayor's 2024 draft budget. (Gerry Dewan/CTV News London)

Once the budget wraps, the mayor the has ten days to veto any motions he doesn't agree with. The committee will then need a two-thirds majority to restore the motion.

Mayor Josh Morgan insisted he doesn't want the veto to play a role in how budget committee members make their decision, "I’m not going to cloud this process with talk about whether or not something should be vetoed. I think council should focus squarely on the changes they want to make."

Budget Chair Elizabeth Peloza said that at one point, the list of amendment requests grew to four pages long, "It’s a really different process than what they're used to for the budget. I feel like we're moving through it well, with transparency."

Items that could test the committee and the mayor are expected to come up next Thursday and Friday.

It's anticipated an amendment will propose that most, if not all, of the London Transit Commission's request for $42-million in service enhancements be restored.

They'll also face a police budget that currently makes up five per cent of the 8.8 per cent draft budget for 2024.