Axe taken to residential taxes

By Richard Rolke - Vernon Morning Star - February 13, 2008

The taxman may not hit Vernonites as hard as expected. As part of 2008 budget deliberations, the proposed residential property tax increase has been pared down to 3.49 per cent from the originally planned 5.07 per cent. And the final figure isn’t written in stone yet. “I’d like to see it go down further to the cost of living. It’s going in the right direction,” said Coun. Jack Gilroy. A 3.49 per cent increase would translate into an extra $25.94 in municipal taxes for the average home in Vernon. The reduction in the potential tax increase is a result of city officials having a better understanding of the city’s financial status. “Revenue numbers have changed and as the assessment numbers come in, the growth numbers change,” said Kevin Bertles, finance manager. As an example, permits for the Kristall Resort have bolstered city coffers by more than $360,000. Few items have been cut from the budget, and in the case of O’Keefe Ranch, a $190,000 grant has been added. Like Gilroy, Coun. Barry Beardsell sees 3.49 per cent as just the beginning and not the end result for taxes. “We’ve got a lot of work to do to bring it down, hopefully to zero,” he said. Beardsell also wants the city to pressure the North Okanagan Regional District to lower its tax requisition.“It’s all coming out of the same pocket,” he said of residents.NORD’s provisional 2008 budget includes a seven per cent overall tax requisition for the entire region.A major issue of concern is the regional district setting aside $3 million for the expansion of its administration office. Coun. Pat Cochrane is opposed to the expansion project in light of valley-wide governance discussions. He is asking the city’s three NORD representatives to speak out firmly against the expansion being part of the budget. “With the number of issues we have with the regional district, it weakens our case if we support what they are doing,” he said.