Terasen Gas increased rates on April Fools Date now increasing Rates on Canada Day.

The same taxpayer if he happens to pay for Natural Gas at Terasen will not only pay an extra 22% for natural Gas this year but pay 3.09% extra for the franchise fee that is on your Terasen Gas bill (unless you live in Areas B and C who are exempt from this tax.). Then he will see that his parks and rec fees will increase between 3.5% and 5.5% because of the rise of the price in Natural Gas for our local recreational buildings.

The City of Vernon will pull in an additional $78,375 from this Natural Gas rate hike ! (See history below). And in case I haven't already made your day the Feds come along and tag their 5% GST on not only the hike but on the 3.09% franchise fee also.
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You will be paying more for natural gas starting on July 1st. The B-C Utilities Commission has approved an 11 per cent increase in gas rates for most regions of the province.

107.5 KISSFM Pete McIntyre Gas cost adds to parks and rec fees June 13

Rising energy costs are making it more expensive for Greater Vernon residents to use public facilities. Greater Vernon Services has approved parks and rec fee hikes starting this fall, ranging from 3.5 to 5.5 percent. Parks Director Al McNiven says hockey and other ice users will be most affected. "The arena fees are going up 5.5 percent and the main thing that drives that is the utility costs." The utility that's seen the biggest spike is natural gas, up by 17 percent, with another 11 percent hike just approved and to to take effect July 1.Other services, such as for using parks, which are not affected by utilities, will be up 3.5 percent for inflation and wages.
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Under the franchise agreement with the city, the city stands to increase its revenue from the company through this latest increase. This 11% for half the year with the 11% increase from Apr. 1 will add to the $570,000 the City of Vernon extracted last year. (Estimated increase $47025 for Apr. 1 increase and $31,350 for July 1 increase. Total $78,375).

Don Quixote Note:

A HIDDEN TAX in your GAS BILL.
UPDATE 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. In 2006 the City of Vernon collected $550,000 on this fee. Total since 2000 $3,168,152

Estimate was for $570,000 in 2007 when it is complete and $570,000 has been budgeted for 2008. (Actual turns to be $579,000)

For those blogreaders in Coldstream the franchise fee is $154,000 in 2007 with same amount budgeted for 2008.