Thanks to a few large purchases in the capital spending budget, debt is expected to rise $22 million

Over the past five years, Halifax says its knocked its debt down by almost $25 million dollars.

But thanks to a few large purchases in the capital spending budget, debt is expected to rise $22 million.

"Normally the budget of HRM is $1 billion, which is a huge number in and of itself," says HRM District 15 Councillor Paul Russell. "Every year there is $200 million of capital expense and $800 million of operating."

The growing budget was introduced last Tuesday at City Hall, where councillors began debating additions and subtractions from the budget that they have until April to set in stone.

HRM staff say instead of total debt declining over the next three years by $13.2 million, these changes would see it increase to over $200 million.

As Halifax's newest councillor, Lower Sackville's Paul Russell is concerned about the biggest money pit, the Halifax Forum renovations.

"The Forum was a good building, it hosted a lot of very notable events," he tells NEWS 95.7's The Todd Veinotte Show.

But now, with a projected $85 million renovation, he thinks the Forum renovations are what's putting the budget over the top.

"For us to spend an extra $20 million to maintain the front wall and 50 feet of the side wall, I'm not sure that's the best investment," says Russell.

That $20 million he's referring to is the difference between a bare-bones Forum renovation, versus preserving the historic elements of the Forum and renovating the structure.

"The difference is we're paying $20 million for the facade and 50 feet of the side wall, and that I think is where a number of people had issue with, I certainly did," he says.

But the capital budget for 2020/21 also sets aside large portions of cash for things other than the Forum.

Some of those costs include $5 million for fire station upgrades, $6.5 million for the replacement HRMs MacKintosh depot, and $12 million for the Cogswell interchange. It also includes $1 million for the Scotiabank Centre, $4 million for road upgrades, and $4.5 million for the Woodside Ferry Terminal.

See the full report here.

Russell tells NEWS 95.7 he'd be happier to see smaller portions of the budget put towards other uses.

"The capital budget is composed of tons of little pieces. We need a sidewalk here, we need a road repaved there, we need a new water line here," he explains. "And tons of little pieces that add up to the $200 million."

But Russell thinks that many projects will be looked over for the sake of saving money for the Forum.

"By increasing it $22 million for this Forum project it means that a number of other smaller projects either won't get done or we'll have to have taxes increased to support them," he adds.

The councillor says that with a growing population and lots of development happening downtown, he'd rather stick to budget and be able to provide more services elsewhere.

"My preference would be to be able to take that $22 million and put sidewalks or put other infrastructure into places where it would have a more wide ranging effect," he says.