City dealing with $51-Million shortfall without impacting Calgarians
Posted Mar 12, 2013 04:48:21 PM.
This article is more than 5 years old.
The city of Calgary will receive $254-million from the Provincial government through the Municipal Sustainability Initiative (MIS) and while the number may seem like a fair amount, it’s a lot less than what was expected.
Alderman Gord Lowe tells 660News, councillors crunched numbers Tuesday and recognized, Calgary will receive $51-million less than they budgeted. But, he adds, taxpayers won’t be taking a hit for the shortfall.
Instead, the city will borrow the funding for the long-term projects it was allotted to, such as the West LRT line.
“This is the third or fourth time that we’ve changed the financing schedule for our MSI projects so there’s always considerable balancing that has to go on, but administration has achieved it for us and I’m very pleased,” says Lowe.
However, while taxpayers won’t be feeling the impact, the city will now be on the hook for higher interest costs.