Each year the City Treasurer estimates the franchise fee. Previous franchise fees have been underestimated by any where from $45,000 to $90,000 per year and the money was used as a budget surplus in following year.
Each March 1 or before before the final tax rates are set the actual figure is available from Terasen Gas. COUNCIL SHOULD COMMIT THE UNDERESTIMATION IN 2007 INTO THE TAX EQUALIZATION RESERVE (which has never been used in recent memory) TO REDUCE THE TAX BURDEN ON CITIZENS. THIS SLUSH FUND MUST BE ELIMINATED.
REPOST OF OLD ARTICLE: If you live in Vernon or Coldstream take a good look at your Terasen Gas Bill. You will have a 3.09% Franchise fee charged on it. This is 3.09% of the total that you pay for gas consumed and delivered. To make it more crazy the Federal Govt charges you GST on the Franchise Fee. WHERE DOES THIS MONEY GO? If you guessed "my local municipal government" you are correct. Every time the price of gas goes up your City benefits. Remember that next time they complain about gas prices and the effect on arena heating etc.
HOW MUCH DOES MY CITY Of VERNON GET FROM THIS TAX??? IN 2006 over $525,000. (see data below) Total actual 2000 to 2006 = $3,168,152 plus GST of $221,770
YEAR 3.09% BC GAS FRANCHISE FEE
2000 $290,331
2001 $398,823
2002 $501,972
2003 $472,388
2004 $487,013
2005 $492,625
2006 (est) $525000 (actual will be $570,000)
Totals $3,168,152
There is NO Franchise Fees in the lower mainland or any other unincorporated areas like AREA C or B. Bet you weren't told that when you joined your local City. (too late Okanagan Landing or COMMONAGE Something to consider for Swan Lake Corridor and SILVER STAR!! )
No comments:
Post a Comment