Grey County council, at its regular meeting on Tuesday morning, adopted its 2008 budget. There is good news for county ratepayers in the budget. A proposed 1.977-per-cent tax increase was reduced by county finance personnel to just over 1.5 per cent.

Earlier drafts of the budget included a tax hike of 2.69 per cent. County councillors and staff worked at reducing the tax impact in 2008. Warden Kevin Eccles presented council with a list of proposed changes that reduced that tax increase to 1.98 per cent. The Warden then explained to council that staff had worked on the budget throughout the weekend and found further reductions.

"I extend my gratitude to staff. (Finance Director Kevin Weppler) identified some other place where we can tweak the budget and get it to 1.5 per cent," said Eccles.

Council formally adopted bylaws setting revenue and spending estimates, tax rates and tax ratios at the meeting.

The 2008 budget will require $44.02 million from county taxpayers. That amount is up from $42.72 million in 2007.

Weppler told county council that the budget features $2.3 million in new revenues with $3.2 million in spending hikes. A large portion of the spending increase is $1.2 million for staff wage increases.

On a property assessed at $100,000, the county tax levy will increase $6.83 to $462.16. On a property assessed at $150,000 the increase is $10.25 and the total is $693.24.

At the meeting Grey County also received confirmation from the provincial government that it was receiving more than $4.3 million in infrastructure funding from the province.

"We're down even more," said off the budget after county council approved the latest cuts. Eccles said he was pleased with the budget.

Grey Highlands Mayor Brian Mullin did some rough calculations at his county council seat and told the press that with the county increase set at 1.5 per cent the total overall increase in his municipality will be approximately two per cent in 2008.

"I'm satisfied with the budget at 1.5 per cent," Mullin said. "It allows us to do even more work with that new infrastructure funding," he said.

Meaford Deputy Mayor Francis Richardson said he was very happy to see the county's tax increased for 2008 minimized.

"I was delighted they were able to find that extra amount to reduce the increase. They found $200,000 in savings," said Richardson, who said he did breath a sigh of relief knowing the county's tax impact is only 1.5 per cent.

The Municipality of Meaford is facing a hefty tax increase after its first 2008 draft budget pegged spending increases at 30 per cent.