Wednesday, November 26, 2008

Fuel savings

Declining fuel prices could save the city $375,000 in 2009. That could lower next year's 8.97 tax increase by about 0.6 of a percentage point.

The savings is due to the administration revising its fuel forecast, lowering it by 25 cents to $1.25 per litre. The original estimate was calculated several months ago, before the price of crude went into the tank.

The $375,000 in savings are based on 1.5 million litres of consumption.

Mayor Nolan Crouse introduced a motion at tonight's budget meeting to make the fuel forecast official. It still needs to be debated, likely next week, but really is  just a formality.