Calgary city budget debate: Council votes for slightly reduced tax hike

City council voted unanimouslyMonday afternoon to cut Calgary's property tax hiketo 4.5 per cent next year.

It comes during the second week of debate for the city budget, whichexpected to bringannual property tax increases of 4.7 per cent for the next four years andseveral utility rate hikes.

Councillors learned Mondaythat lower employee benefit costs would free up roughly$7 million, which would have reducednext year's property tax increaseto 4.2 per cent.

Mayor Naheed Nenshi said earlier in the day that he wantedlike to see the money used to reduce the rate, but also to help bolster other services.

"I would like to utilize some of that towards the priorities we've heard citizens talk about, particularly around mobility for people with disabilities, the elderly and transit," he said.

Councillors also votedto usecity savingsto replenish the snow and ice control reserve fund at a cost of$5 million for each ofthe next two years.

Nenshi said with millions of dollars worth of efficiencies already worked into the budget, finding more places to cut was tough.

It was very, very difficult compared to previous years to go through and find savings, which as you know has always been my practice. There were a few in here. I think it will be difficult to find them in future years.

Monday was the sixthandfinalday of debate on Calgarys firstfour-year budget, which passed in a 14-1 vote. The only one to opposethe budget was Ward 4Coun. Sean Chu.

• CBC city hall reporter Scott Dippelwas in council chambers tweetingthe debate. Follow along below: