Questions · 7 so far
We read Drummond-North Elmsley's financial reports and meeting minutes, and compared its numbers with 41 similar Ontario towns. These are the things that stood out.
These are unusual enough that residents deserve a clear answer from council.
$3.7Min savings at the end of 2025
Towns keep savings (called reserves) to pay for new trucks, roof repairs and surprises. Drummond-North Elmsley had $3.7M saved at the end of 2025, down from $4.6M in 2019. That is 48% of one year's spending. Only 4 of 41 similar towns had less, compared with what they spend.
Found automatically from the town's financial reports · 2 sources
There may well be a good reason. It is still worth asking what it is.
$1,879,522estimated reserves at December 31, 2026 in the December 2, 2025 draft, down from an estimated $3,159,342
A reserve is money set aside in earlier years for later costs. The draft 2026 budget slide shows an estimated reserve balance of $3,159,342 at December 31, 2025, new transfers into reserves of $1,185,935, transfers out of $2,465,755, and an estimated $1,879,522 at the end of 2026. By our own division (worked out by us), that is about 41% lower. The slide's note gives one reason. We could not read the adopted budget.
Found by reading the town's own documents · 2 sources
$200,000draft 2026 capital line for a financial system replacement
The December 2025 draft budget slides list "Financial System Replacement $200,000", paid from the Information Technology Reserve. A 2020 outside review set out a move to Microsoft Dynamics GP, which council opted to pursue, with a one-time cost of $68k and about $100k of services in the first year, 2021. The draft slide gives no reason for the new spending.
Found by reading the town's own documents · 2 sources
Development charges are fees on new homes that pay for growth-related costs. In February 2025 a staff report recommended raising them each January and said the applicable increase would be 2.3%, from $6,135 to $6,276 for a single-detached home. The Township's 2025 statement, written in April 2026, says the rates in effect from December 1, 2024 "remained unchanged for 2025". We do not know whether council approved the recommendation.
Found by reading the town's own documents · 2 sources
Background that helps make sense of the rest.
$544,437draft 2026 levy increase shown December 2, 2025 (9.73%), before council adopted a budget
At the public budget meeting on December 2, 2025, the Township showed a draft 2026 tax levy of $6,138,293, an increase of $544,437 or 9.73%. The slide lists the reasons. The biggest was "2025 Received One-time Credit" at $181,011, and the next was the policing contract at $140,445. By our own addition (worked out by us), the listed reasons add up to $489,096, which is $55,341 less than $544,437. The slides name December 9, 2025 as the day of proposed adoption. We could not read the adopted budget, so we do not know whether these draft figures changed.
Found by reading the town's own documents · 4 sources
The Township pays about $113,616 a year on a loan for bridges. In 2023 the whole payment came out of the development charge reserve. In 2025 the reserve paid $30,348.61 of it. The rest, about $83,267 (worked out by us as $113,615.76 less $30,348.61), had to come from somewhere else, most likely taxes. The Township's own draft budget slide explains the change: the new 2024 study counts only the growth share. The reserve itself rose from $206,184.30 at the end of 2023 to $511,423.09 at the end of 2025.
Found by reading the town's own documents · 3 sources
−$1.4Mnet financial position, 2025
In 2019, Drummond-North Elmsley had $3.7M more in cash and money owed to it than it owed to others. By 2025 it was −$1.4M. About 95% of that change ($4.9M) is a new accounting rule from 2023: towns must now record the future cost of closing things like a landfill. That is not new spending or borrowing. Even leaving that out, only 9 of 41 similar towns are in a weaker position.
Found automatically from the town's financial reports · 2 sources
$3.7Min savings at the end of 2025
Towns keep savings (called reserves) to pay for new trucks, roof repairs and surprises. Drummond-North Elmsley had $3.7M saved at the end of 2025, down from $4.6M in 2019. That is 48% of one year's spending. Only 4 of 41 similar towns had less, compared with what they spend.
| Year | Savings (reserves) |
|---|---|
| 2019 | $4.6M |
| 2020 | $3.9M |
| 2021 | $3.8M |
| 2022 | $3.0M |
| 2023 | $2.9M |
| 2024 | $2.8M |
| 2025 | $3.7M |
With little saved, a broken bridge or a storm has to be paid for with a sudden tax increase or a loan. Low savings can also mean past budgets were balanced by spending savings instead of facing the real cost.
You can ask during the public part of a council meeting, by writing to the clerk, or by contacting your councillors. How to reach council.
Speak for Drummond-North Elmsley? Send us your answer and we will publish it with this question.
Savings (reserves and reserve funds): 2019 $4.6M, 2020 $3.9M, 2021 $3.8M, 2022 $3.0M, 2023 $2.9M, 2024 $2.8M, 2025 $3.7M.
Ontario Financial Information Return (FIR), 2019 to 2025 · Schedule 70, line 6420 · archived copy
Typical among similar towns: savings equal to 112% of a year's spending. Drummond-North Elmsley: 48%.
Ontario Financial Information Return (FIR), 2025, 41 similar municipalities · Schedules 40 and 70 · archived copy
$1,879,522estimated reserves at December 31, 2026 in the December 2, 2025 draft, down from an estimated $3,159,342
A reserve is money set aside in earlier years for later costs. The draft 2026 budget slide shows an estimated reserve balance of $3,159,342 at December 31, 2025, new transfers into reserves of $1,185,935, transfers out of $2,465,755, and an estimated $1,879,522 at the end of 2026. By our own division (worked out by us), that is about 41% lower. The slide's note gives one reason. We could not read the adopted budget.
Reserves are the Township's cushion for repairs, equipment and surprises. Spending them on planned projects is normal, but a large fall in one year leaves less for the next.
You can ask during the public part of a council meeting, by writing to the clerk, or by contacting your councillors. How to reach council.
Speak for Drummond-North Elmsley? Send us your answer and we will publish it with this question.
"Total Estimated Balance at Dec. 31, 2025 $ 3,159,342", "PLUS: Draft 2026 Transfers TO Reserves $ 1,185,935", "LESS: Draft 2026 Transfers FROM Reserves ($ 2,465,755)", "Total Estimated Balance at Dec. 31, 2026 $ 1,879,522". Note: "Proposed financing to replenish reserves utilized for FFCH construction".
2026 Draft Budget and Proposed Fee Amendments, public meeting slides, December 2nd, 2025 · Slide 17 (PDF page 17)
The slides show "2026 Capital Programs - $2,168,470". Richmond's Road / Drummond Conc. 5B is $1,278,720, paid $478,720 from the Construction Reserve and $800,000 from the Canada Community Building Fund. Grader and mounted roller packer $549,750 is paid from the Equipment Reserve. Financial System Replacement $200,000 is paid from the Information Technology Reserve.
2026 Draft Budget and Proposed Fee Amendments, public meeting slides, December 2nd, 2025 · Slides 13, 15 and 16 (PDF pages 13, 15 and 16)
$200,000draft 2026 capital line for a financial system replacement
The December 2025 draft budget slides list "Financial System Replacement $200,000", paid from the Information Technology Reserve. A 2020 outside review set out a move to Microsoft Dynamics GP, which council opted to pursue, with a one-time cost of $68k and about $100k of services in the first year, 2021. The draft slide gives no reason for the new spending.
A finance system holds the Township's books, payroll and tax billing. It is a large one-off cost for a small township. Residents can only judge it if the Township says what it replaces and why.
You can ask during the public part of a council meeting, by writing to the clerk, or by contacting your councillors. How to reach council.
Speak for Drummond-North Elmsley? Send us your answer and we will publish it with this question.
The slide reads "2026 Capital Programs, Financial System Replacement $ 200,000, Information Technology Reserve $200,000".
2026 Draft Budget and Proposed Fee Amendments, public meeting slides, December 2nd, 2025 · Slide 16 (PDF page 16)
The executive summary says "DNE Council opted to pursue a partnership with the County and the implementation of Microsoft Dynamics GP". It says "the initial investment includes a one-time cost of $68k" and that the first-year services in 2021 are estimated at "$100k".
Financial Systems and Processes Review, Final Report, November 29, 2020 (WSCS Consulting Incorporated) · Executive Summary, PDF page 7 (printed page 3)
Development charges are fees on new homes that pay for growth-related costs. In February 2025 a staff report recommended raising them each January and said the applicable increase would be 2.3%, from $6,135 to $6,276 for a single-detached home. The Township's 2025 statement, written in April 2026, says the rates in effect from December 1, 2024 "remained unchanged for 2025". We do not know whether council approved the recommendation.
If the charges were meant to rise each January but did not, the reserve for growth costs would get slightly less. Residents need to know what council decided.
You can ask during the public part of a council meeting, by writing to the clerk, or by contacting your councillors. How to reach council.
Speak for Drummond-North Elmsley? Send us your answer and we will publish it with this question.
The report recommends that the schedule of development charges "be adjusted annually as of January 1st each year". It says the applicable increase "would be 2.3% which would increase the current DC fee for a Single and Semi-Detached Dwelling of $6,135 to $6,276, being an increase of $141".
Report FIN-2025-07, Development Charges Annual Indexing (Committee of the Whole, February 25, 2025) · Staff recommendation, PDF page 1; Financial Implications, PDF page 2
The report says the rates in effect from December 1, 2024 "remained unchanged for 2025". It says $151,305 was collected in development charges during 2025.
Report FIN-2026-05, 2025 Development Charges Statement (Committee of the Whole, April 7, 2026) · Discussion, PDF pages 1 and 2
$544,437draft 2026 levy increase shown December 2, 2025 (9.73%), before council adopted a budget
At the public budget meeting on December 2, 2025, the Township showed a draft 2026 tax levy of $6,138,293, an increase of $544,437 or 9.73%. The slide lists the reasons. The biggest was "2025 Received One-time Credit" at $181,011, and the next was the policing contract at $140,445. By our own addition (worked out by us), the listed reasons add up to $489,096, which is $55,341 less than $544,437. The slides name December 9, 2025 as the day of proposed adoption. We could not read the adopted budget, so we do not know whether these draft figures changed.
Property taxes are most of the Township's income. A draft is a starting point, and the adopted levy is what residents pay. The slide also says part of the increase is a credit that does not repeat.
You can ask during the public part of a council meeting, by writing to the clerk, or by contacting your councillors. How to reach council.
Speak for Drummond-North Elmsley? Send us your answer and we will publish it with this question.
The slide says "Total Tax Requirement: $6,138,293" and "Increase of $544,437 or 9.73% More than was required in 2025". The budget schedule slide gives "December 9th – Proposed Adoption of the Budget and Fee Amendments".
2026 Draft Budget and Proposed Fee Amendments, public meeting slides, December 2nd, 2025 · Slides 2 and 7 (PDF pages 2 and 7)
The slide titled "Proposed Levy Increase of $544,437" lists: OPP Contract Increase $140,445; 2025 Received One-time Credit $181,011; Wages & Benefits $111,725; Fire Services $ 27,365; Library Board Increase $ 11,155; Audit Fees $ 5,100; Reduced Contribution to Reserves ($ 42,520); Increased Investment Income ($ 11,025). It lists eleven more smaller lines, up and down.
2026 Draft Budget and Proposed Fee Amendments, public meeting slides, December 2nd, 2025 · Slide 8 (PDF page 8)
For a $300,000 home, "Municipal Portion Only": 2025 taxes $1,358, 2026 proposed $1,453, an increase of "$94.65 or 6.97%".
2026 Draft Budget and Proposed Fee Amendments, public meeting slides, December 2nd, 2025 · Slide 10 (PDF page 10)
The "Tax Rates" table shows a residential 2026 final rate of 0.01057811 and a 2025 final rate of 0.01016244. The table says each rate "includes: Municipal, County, Education", so it is not the Township's own rate and cannot be compared with the draft levy.
Taxes (Township website) · Tax Rates table, read October 14, 2026
The Township pays about $113,616 a year on a loan for bridges. In 2023 the whole payment came out of the development charge reserve. In 2025 the reserve paid $30,348.61 of it. The rest, about $83,267 (worked out by us as $113,615.76 less $30,348.61), had to come from somewhere else, most likely taxes. The Township's own draft budget slide explains the change: the new 2024 study counts only the growth share. The reserve itself rose from $206,184.30 at the end of 2023 to $511,423.09 at the end of 2025.
Who pays for a loan, new homes or all taxpayers, is a choice written into the development charge study. It is useful to see it printed in the statements.
You can ask during the public part of a council meeting, by writing to the clerk, or by contacting your councillors. How to reach council.
Speak for Drummond-North Elmsley? Send us your answer and we will publish it with this question.
The 2023 table shows "Less $113,616 for bridges" and the text says expenses for 2023 include "$113,615.76 for loan payments for the bridge loan". It gives the balance of the reserve at December 31, 2023 as "$206,184.30".
Report FIN-2024-01, 2023 Development Charges (Committee of the Whole, February 13, 2024) · Discussion table and Financial Implications, PDF page 2
The report lists "$30,348.61 - Bridge Loan repayment" and says the development charges study "includes a portion of the loan repayment that is attributable to growth". It gives the reserve balance on December 31, 2025 as "$511,423.09".
Report FIN-2026-05, 2025 Development Charges Statement (Committee of the Whole, April 7, 2026) · Financial Implications, PDF pages 2 and 3
The debt slide says "2022 Loan for Bridges $1,000,000, 10 Year Loan at 2.59%", "Repayment was from Development Charges, until Dec. 2024", annual payments "$ 113,616", maturity date "February 1, 2032".
2026 Draft Budget and Proposed Fee Amendments, public meeting slides, December 2nd, 2025 · Slide 18 (PDF page 18)
−$1.4Mnet financial position, 2025
In 2019, Drummond-North Elmsley had $3.7M more in cash and money owed to it than it owed to others. By 2025 it was −$1.4M. About 95% of that change ($4.9M) is a new accounting rule from 2023: towns must now record the future cost of closing things like a landfill. That is not new spending or borrowing. Even leaving that out, only 9 of 41 similar towns are in a weaker position.
| Year | Net financial position |
|---|---|
| 2019 | $3.7M |
| 2020 | $2.7M |
| 2021 | $1.6M |
| 2022 | $1.2M |
| 2023 | −$2.0M |
| 2024 | −$1.8M |
| 2025 | −$1.4M |
This number is one of the clearest signs of whether a town is living within its means. The accounting-rule part is a bill that will come due when the landfill closes, not money already spent. The rest is real borrowing and spending of savings.
You can ask during the public part of a council meeting, by writing to the clerk, or by contacting your councillors. How to reach council.
Speak for Drummond-North Elmsley? Send us your answer and we will publish it with this question.
Net financial assets: 2019 $3.7M, 2020 $2.7M, 2021 $1.6M, 2022 $1.2M, 2023 −$2.0M, 2024 −$1.8M, 2025 −$1.4M.
Ontario Financial Information Return (FIR), 2019 to 2025 · Schedule 70, line 9945 · archived copy
Future landfill and similar closing costs recorded: $4.9M. Long-term debt: $647K. Temporary loans: $0.
Ontario Financial Information Return (FIR), 2019 to 2025 · Schedule 70, lines 2920, 2699, 2099 · archived copy