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The city is now saying we are throwing out the principled method we used to determine profit from our water system when we set the budget (a mere 90 days ago) and arbitrarily claiming it will now earn $1 million than it originally said it would.

This is a dodgy proposition at best. It’s the equivalent of waving a municipal magic wand and causing $1 million to appear out of thin air based on hopes and dreams. The city is hoping for one long, hot summer with a lot of lawn watering and BBQ dysentery to ensure there is a dramatic increase in water and sewer usage to find that magical million dollars. It’s not the most ideal of accounting practices, and if council is wrong, it will have a deficit problem by next November (although, see comment above about November being 50 million political years away).

Overall, council and the civic administration did a good job handling the provincial budget crunch. The crisis is far from over, however; this was the first major issue the new council has dealt with and its members seemed to have pulled together and managed their way through. Next on the agenda should be repairing the municipal relationship with the province in hopes of avoiding a repetition of this hostile discussion next year.

The province has hinted there may be more cuts to come, so an immediate relationship repair is necessary. There have not been any reports of meetings between Mayor Charlie Clark and Premier Brad Wall. This not surprising. The differences in their political alignment are a hurdle. Wall is not likely to capitulate. Resolution will require further focus and creativity by the city.