A Fiscal Picture of Midland

The Town of Midland is a $25 million a year “corporation” providing a variety of services to the people of Midland. And while the Town must be responsive to its citizens, it also must heed the basic financial rules that apply to all corporations.

The population of Midland, from which the Town receives its tax revenues, is characterized by two factors:

• Low average household income, and
• Flat population growth

Inflation aside, there has been almost no increase in the ability of the people of Midland to pay more taxes in almost a decade. Keeping taxes down to help low-income homeowners keep their homes is essential.

Flying in the face of that fact is that our tax bills have increased over 100% since 2000. The tax growth stems from past Councils not managing wage growth and adding new services without a financial plan. One example is the NSSRC - an excellent facility providing needed services to many in our area. Its fiscal reality is that it requires a $1.4 million annual subsidy from taxpayers for its operations and capital. Midland, like every householder, has to balance its income with its costs.

So, how do we get to a better financial place? It is first important to recognize that we have spent decades getting into this situation. It will take time to get us out. Also, Midland is not in “dire straits” - we do not need knee jerk solutions. We need to build on our reasonably healthy local economy and take advantage of the opportunities to realign municipal services to decrease our costs and taxes.

The first step (which has already started) is to implement operational changes identified in the KPMG report that will save money while preserving our service levels. 60 such items were identified that can save us $1-2 million per year. Opportunities include consolidating internal works operations or consolidated billing with MPUC. This can be done without laying off staff.

The second step (which has already started) is to grow our local economy and, with it, the tax base. We have:

• Launched the Economic Development Corporation of North Simcoe, our arms length agency devoted to building our North Simcoe economy
• Started to streamline services at our Town Hall under our new CAO, Carolyn Tripp
• Frozen Development Charges, signaling to companies and developers that we are open for business
• Maintained tax control, holding the rate of increase to less than inflation - in essence, reducing real taxes

We have started to turn the fiscal corner. There are many more opportunities ahead that, if implemented, will allow taxes to actually be reduced and services maintained. But it is not just about getting the budget right. I am committed to a balance between fiscal restraint and providing needed community services (e.g. library, recreation, affordable housing, social services) so that all citizens of Midland can enjoy being part of our great community.

Leadership and Entrepreneurism

I have been fortunate to receive many supportive messages from people throughout our community. I appreciate them all - some make me smile, others are very humbling, and some offer me great hope for the future of our town. Such was the case when I read the following words from Colin Pape (ShopCity, ShopMidland). Colin is a young entrepreneur who was born and raised in Midland, left for a while, and then came back to start a business in his hometown.

"I've had many discussions with Gord McKay about ways to grow our business and bring more jobs to the area. Gord has been instrumental in helping us cut through red tape and move our company forward. We now employ 15 people in Downtown Midland, and with an experienced leader like Mayor McKay, who's already grown a company from a handful of people to hundreds, I know we can employ many more. A vote for Gord is a vote for real economic development.

In today's day and age, with smartphones, the internet, and Facebook at the core of our communications, it's imperative that we have a leader who understands and uses these powerful mediums to engage the community, seize opportunities, and communicate the potential of our community to the world. Gord gets the importance of innovation and knows how to leverage technology better than anyone else running."

Colin's enthusiasm and his entrepreneurial spirit are indicative of the potential that we have in our community. And fortunately, he is not alone. I have met with many other ambitious people with similar aspirations including: John P. Cipressi (manufacturing), Christine Taylor (retail), Jim Brown (computer technology), Bob Kafato (communications), and Barb Rowlandson (event management). With people like this committed to economic development in our town, I am confident that we can move Midland forward over the next four years and beyond.