The Town of Collingwood is looking at a 5.24-per-cent tax increase for 2008.

For a home assessed at $200,000, this would be an increase of $77 on the town portion of the property taxes.

"We believe this is a reasonable increase," said treasurer Marjory Leonard.

Council looked over the operating portion of the 2008 budget on Monday, which is about $32 million and a $2.5-million or 9.5-per-cent increase over 2007.

There wasn't a large amount of discussion or cuts made during the two-hour session.

Counc. Mike Edwards was concerned that the town wasn't planning ahead for new fire equipment.

The fire department was putting about $100,000 into reserves, which would help pay for a new ladder truck in 2011. The town's current vehicle needs to be replaced in three years and will cost about $1 million.

Fire Chief Sandy Cunningham said he has no problem putting more money away, but says this will increase his budget.

Leonard said every $180,000 equals a one per cent tax increase.

Another lengthy discussion was over the possible expropriation of 209 acres in the Silver Creek Wetland.

Leonard put aside $50,000 for the appraisal of the property and $50,000 for legal fees.

CAO Gordon Norris said if the town proceeds with the expropriation the cost of purchasing the property will be debentured.

This was news to Counc. Tim McNabb and said if the property was debentured, it might change his opinion.

"I always thought we would sell a piece of property so we are not debenturing," he said.

A clearly frustrated Mayor Chris Carrier said the discussion of whether or not to purchase the property was not on the table and council would have plenty of time to debate it at a later date.

According to the budget, the Collingwood Fitness Centre, which houses the only therapeutic pool in the area, lost about $193,000 in 2007, as revenues were $56, 000 and expenses were $249,000.

The centre is projected to have revenues of $50,000 and expenses of $257,000, for an estimated loss of $189,000.

Carrier once again expressed his desire to close the centre, saying the town could close the facility and save the money.

Carrier said he was hopeful the increase would be about half of what is currently being proposed.

"I would like to see it around three per cent," he said. "I still think the contact centre should be closed. That would save one per cent.