The economic impact is sinking in about the pending closure of the Lavington Glass Plant. Owens-Illinois has announced the 39 year old plant will close at the end of October, putting 300 people out of work. Vernon councillor Barry Beardsell brought up the issue at Monday's city council meeting. He says it will affect businesses throughout the area. "With an estimated $15 million payroll loss, because these are well paying union jobs, that's devastating for the economy." Beardsell says Coldstream alone will lose about $300,000 in annual taxes, along with natural gas fees.
Due to that, he suggests it's time to take another look at Coldstream and the electoral areas, joining Vernon to reduce the taxpayer's costs. "It is time for a restructuring (in Greater Vernon) to reduce the costs that all the taxpayer's bare. In other words, less politicians, less bureaucrats and a more efficient local government for the area." Mayor Wayne Lippert says the shut down will have a ripple effect to all the businesses that supply goods and services to the plant and its workers. The U-S owner of the plant is consolidating operations south of the border to save energy and production costs.
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Don Quixote Note: My early unscientific calculation of the effect on Coldstream and NORD's and school board property taxes and Coldstream's franchise fee can be found here .
2 comments:
Councillor Beardsell needs remedial math and history lessons: Not one amalgamation in recent history has led to lower costs - not for anyone!
The City of Vernon would take on more liabilities, not fewer, if it takes over less developed outlying areas - what about the costs of road building and maintenance, water delivery, sewer, infrastructure, etc? Who does Councillor Beardsell think ought to pay for all this?
Is there anyone out there who believes that the City taxpayers can afford to cover all these costs, when the City can't even afford to properly fix all the roads it has today?
Anyone up for a drive through Spallumcheen?
Vernon Council always had a simple solution for the Greater Vernon problems: Let's amalgamate. Never mind asking the residents of both the City and the "amalgamees". What if they don't want to be amalgamated?
Councillor Beardsell says it would be cheaper. For whom? Besides, some people don't mind paying a bit extra for the privilege of not having Vernon Council make decisions for them. Just ask Okanagan Landing residents how they benefited from amalgamation.
City Council is wrong occasionally!
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