The City of Guelph says its early financial projects show a loss of up to $6 million in revenue by the end of April due to novel coronavirus pandemic response measures.
A report being presented to an emergency meeting of city council on Monday night states the city’s user fee revenues have already taken a significant hit after closing all city facilities, offering free public transit and pausing all non-urgent inspections and site visits.
Staff are also recommending additional relief measures for residents and businesses when it comes to paying property taxes, but the April 30 due date and billing will still process as planned.
“The property tax collection timing implications of shifting cash receipts of upwards of $100 million towards the last half of 2020 is causing the greatest concern,” the report stated. “The city continues to need enough liquidity to meet its obligations to vendors and employees.”
Other measures being recommended include extending free Guelph Transit rides and waiving downtown parking pass fees until April 30.
The report stated the city has sufficient contingency reserves to cover the loss in revenues, projected to be between $4 and $6 million, but could go as high as $10 million by the end of May.
Staff are encouraging the community, where possible, to follow their property tax payment plan and meet the April 30 deadline.
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