Tecumseh Posts A Budget Surplus
Lower policing costs and greater revenue from new development gets the credit for a $1-million budget surplus in Tecumseh.
Mayor Gary McNamara says a new contract with the OPP and less overtime will save the town $600,000. He anticipates greater savings in policing in the years ahead. “There’s a reduction this year of just under $400,000 from the original bill because the total bill in the next five years will drop by $1.8-million.”
New industrial, residential and commercial development will generate another $400,000 in revenue for the town this year.
For residents, the good news means a 0.4% drop in their property tax rate.
McNamara says the town intends to put the surplus to good use. About $550,000 will go into a storm sewer reserve fund while $300,000 will boost the post-retirement benefits reserve. The rest will be put aside to replace aging infrastructure.
Last fall, the town anticipated either a balanced budget or a modest deficit of $19,000.