Sunday, February 22, 2009

WFN reserve residents pay nothing for KGH expansion

Jason Luciw - Kelowna Capital News Published: February 21, 2009

While every other taxpayer in the Central Okanagan stares significant hospital tax increases in the face, those living on Westbank First Nation land will pay nothing for the $119-million expansion at Kelowna General Hospital. As with any hospital project or equipment purchase, the provincial government covers 60 per cent of the bill, leaving local taxpayers to foot the remaining 40 per cent. In the case of the new emergency room and patient care tower at Kelowna General, that’s an extra $47.6 million to local taxpayers, repaid over 30 years under a private/public partnership. Central Okanagan Regional Hospital District chairman Robert Hobson has noted that capital expenditures are increasing significantly and the board tried to convince the Westbank First Nation to contribute its fair share to the Kelowna hospital expansion to no avail. “Our view, of course, is that First Nation (residents) are looked after in hospitals that are paid for by the provincial government with a 40 per cent contribution from the local taxpayer,” said Hobson.

More than 9,000 people live on Westbank reserve land, including about 500 First Nation members. Westbank First Nation Chief Robert Louie said there’s good reason his band is not contributing specifically to the Kelowna General expansion project. “First off, Westbank First Nation was never directly asked,” said Louie. “But the most important thing, I think, is that our health coverage is a requirement of the federal government, so if there are any dollars put forward (it becomes) a fiduciary obligation of Canada. However, the federal government is not obligated to cover health costs of the thousands of non-band members. In that regard, the tax structure on Westbank First Nation land does not lend itself well to charging non-band members for provincially funded projects like hospitals, said Louie. That’s because the provincial government does not give the homeowner’s grant to any one living on Westbank First Nation—it’s a grant the band provides. So the province is saving money for its services in that regard, said Louie. “So that confines us in terms of going after our taxpayers and saying look, in addition to that, you’re going to have to pay something in this (hospital) regard.” Westbank First Nation does contribute, however, to other regional and municipal functions its residents use on the west side via service agreements in areas such as transit, the library, Royal LePage Place arena and waste water treatment. Louie also noted that his band might consider making a contribution to any hospital built on the west side in the future.

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Don Quixote Note: The statement "As with any hospital project or equipment purchase, the provincial government covers 60 per cent of the bill, leaving local taxpayers to foot the remaining 40 per cent." is INCORRECT.

http://vernonblog.blogspot.com/2006/12/minister-of-health-replies-to-don.html

In the above Posting the Health Minister confirms the larger lower mainland cities listed in your email, and indicated as not having a portion of property taxes collected for hospital purposes, are all members of the Greater Vancouver Regional District (GVRD).

Other Postings on this subject:
Editorial by former Editor Scott Neufeld of the Vernon Daily Courier Oct 26, 2006

Will Greater Vernon municipalities have to raise
property taxes to keep pace? What’s interesting to note is that municipalities within the Greater Vancouver Regional District do not charge their citizens a property tax.Instead the province has assumed their hospital debt. In plain terms, the provincial government collects money from all B.C. taxpayers to pay for Lower Mainland hospitals. But when it comes paying for hospitals in the rest of B.C., the message seems to be that if you want something – you’re going to have to pay for a lot of it yourself. This payment formula sounds a little bit like a fundraiser only this one doesn’t come with an income tax refund for your donation and you have no option to say no to the collector. The potential impact of soaring hospital costs on Vernon taxpayers could be felt for decades. It’s time for the provincial government to stop legislating double-dipping from our pockets and start paying for 100 per cent of capital hospital costs. Failing that, stop siphoning cash from the wallets of Interior residents to build hospitals in the Lower Mainland that most people outside of Greater Vancouver will never see.

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