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Town’s debt going to increase taxes: Dressler

I would like to thank the Sylvan Lake News for their excellent paper. I find it interesting that assumptions are made

Dear Editor,

I would like to thank the Sylvan Lake News for their excellent paper. I find it interesting that assumptions are made and accusations of incorrect facts are made.

Firstly I never said the town borrowed $22 million for the park. I said the park cost was $22 million and I went on to state my views of the waste that I felt occurred. I heard on the radio the town now has $22 million dollars in debt. I said that was a terrifying amount. The mayor was quoted as saying the park was financed without property tax money.

That’s a very specific definition, however the taxpayers still paid the money. Even if it was collected by a special levy or a rider on utility payments or some other mechanism, the money still came from the pockets of the citizens.

Further the word financed usually means borrowed money. It’s possible using Enron style financing and the creative accounting depending upon the dates of the year end and offset debt structures that the town can say it now has a debt of $8.5 million as opposed to the statements of $22 million on the radio.

Further the director of finance has stated that the town’s debt will go from 34 per cent to 63 per cent next year, that his debt limit calculations were conservative and that you will see a couple of years when debt servicing will increase substantially.

That means more money from the people of Sylvan Lake — businesses and residents. I can see my costs for my house that started at $1,200 a year, that are now $4,200, going to $10,000 a year in taxes simply from the increases in the debt financing and that is at today’s lowest interest rates. These are not paranoid rants — this is accounting reality.

Now I can well appreciate that many people can’t associate a new building with increased payments but in reality the town charges $1,000 a year to utilize the pool. That’s the yearly pass costs. However if new structures are built they will have to increase that to reflect costs of $2,000 a year. In reality can you afford to use that pool at those costs or will you just drive to the pool in Red Deer? Will you walk away from your homes when the tax rates become unbearable? I know businesses in leased offices will abandon the town. That will be the accounting reality of these decisions.

Further I am not considering a position on council. Yes, I would dearly love to serve the community and that’s why I write council letters and then the newspaper when councils continue down a destructive path.

I see that $17 million can be cut from the current council’s wish list, but it can’t be cut without a new selection of like-minded people.

Again I hope that the people of town can choose wisely. Please also remember all of the petitions and fuss and accusations that were towards the provincial MLA and Alberta Transportation over the lights on the highway and then the mayor, after meeting the MLA, finally saying she does not support lights on Highway 11. This town needs truth to make accurate decisions.

Thank you.

Lyle Dressler,

Sylvan Lake