Red Deer City Council is considering service level changes to balance the 2025 Budget.
During the Sept. 4 council meeting, city administration presented 24 possible budget changes for councils' consideration.
The potential budget changes stem from a service level review and prioritization exercise which council and administration undertook over the summer.
Council reviewed the city’s 275 service levels and identified 37 they were interested in pursuing for possible change.
During yesterday’s meeting, administration presented council with the risks, impacts, and opportunities of each item, and gave direction to pursue 24 changes.
“The decisions made by council today will inform what comes forward for consideration during budget debate in November,” said Mayor Ken Johnston. “The rigour both council and administration applied to this service level process will help ensure a budget that considers and balances the needs of our community and the fiscal realities we currently face. I am confident today’s process will serve us well as we move closer to the budget debate.”
It’s estimated that $20 million is needed to balance the budget. Although property tax and utility user fees can help, additional ways to reduce expenses need to be considered.
“Administration now has clear direction on the specific service level changes council would like to see reflected in the operating budget submission in November,” said Tara Lodewyk, City Manager. “We look forward to refining these budget change concepts further, including engaging with our community and employees, as we look to the big picture of building our budget. These budget change concepts are just one component of the budget and we still have many factors to consider, including our capital and utilities budget, other expenditures, revenue, and property taxes.”
Going forward, the city is set to begin community engagement before budget debates begin in November.