Friday, January 23, 2009

City tax hike aims for two

Vernonites could see a tax increase of at least two per cent, but some officials want that whittled down further. City staff was directed Thursday to work towards a two per cent residential property tax increase, not including fire protection services. It’s anticipated that further discussions next week will identify the overall 2009 hike. “We could see a two per cent increase, including fire protection. But I still would like to see it at zero,” said Mayor Wayne Lippert. That is also the view of Coun. Patrick Nicol referring to some departmental surpluses and reserves. “We’ve been taxing people for money and not using it,” he said.

However, Coun. Mary-Jo O’Keefe fears that a zero per cent situation could lead to residents being hit by double-digit tax increases in the years to come. “I don’t want to reduce it where we create a problem for ourselves in the future,” she said. Coun. Jack Gilroy would have been comfortable with a 3.5 per cent overall increase as long as it went to infrastructure improvements. “We need to keep up with what we’ve been doing,” he said.

One challenge in determining the overall tax increase is the fire protection budget, which is billed separately. Presently, the fire protection budget calls for a 15.8 per cent hike. “Council will look at it and have an opportunity to make adjustments,” said Lippert. On Thursday, several items were added to the overall budget for consideration. While everything in the budget would amount to a 5.18 per cent tax increase, surpluses and reserves will be used at to bring it down to two per cent. Among the extra items are an addition to council chambers, an environmental resources co-ordinator and enhancement to the noxious weed program. There was no consensus on creating a full-time transportation demand management position at $87,000 a year to pursue transportation alternatives like transit and cycling. And that caused some frustration for Coun. Buffy Baumbrough. “It was a huge piece in our official community plan. If we wish this to be successful, we need to invest the resources,” she said.

Options for transportation demand management, including a part-time position, will be reviewed, but Nicol insists there must be a balance between programs and taxes.“You just can’t do everything in this economy,” he said.

One item that didn’t come up, but is expected to at Monday’s council meeting, is the future of the proposed roundabout at Pleasant Valley Road and 32nd Avenue.The city has budgeted $310,000 for upgrades to that intersection, including $30,000 for the roundabout. Even if the roundabout is cancelled, much of the money will still be spent. “Most of the money is for the work in the ground like pipes, sidewalks and curbs,” said Lippert. Council will meet Jan. 28 at 8 a.m. to continue work on the budget, including a public input session.

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