02-11-2021, 04:57 PM
(02-11-2021, 03:02 PM)dtkvictim Wrote: But what about projects like the LRT? Did we pay it all off at once, or is the region receiving continuous money from the province and federal government for their portions to pay down a debt?
AFAIK the provincial and federal contributions were just lump sum payments, or in any case have already been spent or allocated. The region's contribution was funded by a short-term loan taken out at the beginning of construction and several long-term bonds issued as construction progressed, all through GrandLinq itself. There was also some other ancillary financing the region is responsible for repaying. The property tax increases were meant to get the regional budget to the point the annual expenses over the term of the contract are manageable, since a considerable amount of tax revenue needs to be allocated. Servicing the long-term debt is something like 40% of the budget of the rapid transit department. It's a good example of how hard it is when these expenses are dumped on the municipal level because the province and federal government aren't willing to provide full funding.