Comox council had the first opportunity to examine the first draft of the 2011-2015 capital and financial plans Wednesday, with both plans using the Comox Valley Regional District's concept of 'zero-based budgeting' for 2011.During a March 9 meeting, Comox committee of the whole voted to get an idea of what a zero-based budget will look like in 2011. A zero-based concept means budgets are created based on each department's work plans and priorities. Both expenditure and revenue sources are evaluated to ensure the financial plan can achieve those priorities.Long-term requirements are also reviewed to ensure sufficient reserves are maintained and available to sustain the town.During the March 30 meeting, Donald Jacquest, director of finance for the town noted the capital budget contains $18.7 million in potential expenditures across the five years, although most of the expenditures are funded from capital reserves and grants.He also said deferring projects — from tennis court replacement to Village Park redevelopment — will not save the town any money unless it is deferred from year five to later years so that it effectively drops off the plan. This is because the town has to balance budgets across all five years of the plan, he noted.In the financial plan, Jacquest explained the core operating expenses are expected to be almost $10.5 million in 2011, and grow another $329,000 in 2011.The core operations are increasing at just over two per cent overall per year, and if most of the increase is recovered on property value taxes, then the potential increase to those taxes is closer to three per cent, he indicated.The first draft of the general fund budget summary indicates the residual (which would have to be funded through additional revenue, particularly property taxes) would be an average increase of 4.5 per cent over the five years, but Jacquest quickly noted this is the first look that the committee had at the draft of the plan."The annual residuals will change as we review the drafts of the financial plan .... it would be premature to call it taxation. There's likely going to be a reduction on residuals," he told the Record.One increase to core operations in the financial plan include the addition of 1.5 RCMP officers to the policing budget. In the past several years, the Town has included a new RCMP officer in every fourth year of the plan and this year Jacquest included a 0.5 support staff increase in the year following the officer increase. The policing budget includes the proposed increases to core service of $30,000 in 2013 and $41,200 in 2014.Another budget proposal is the increases to marina capital reserves $75,000 over plan. Jacquest noted since the repayment of the debt from 1998/99 reconstruction of the marina, the town has been increasing contributions to the marina capital reserves annually, funded by rate increases in the marina. In 2010, the town put $45,000 in the reserve; annual increases of $5,000 per year above that level would cost the town another $75,000 across the five years. The budget has to be adopted to law by May 15; there is a regular council meeting scheduled May 4 and a committee of the whole meeting scheduled for May 11. Jacquest said council may call a special meeting to finalize the plan and tax rates, and one week is needed to adopt the budget, then tax notices are sent to residents.photos@comoxvalleyrecord.com