City opposes cash for building

By Mike Simmons - Salmon Arm Observer Published: March 10, 2009

Salmon Arm city council decided on Monday to ask the Columbia Shuswap Regional District board to strike a $500,000 increase in general government spending from its budget. CSRD chief administrative officer Charles Hamilton said the increase in the CSRD’s general government fund is attributable in part to a proposal for a $500,000 reserve fund for a new building. The amount the CSRD requisitions from Salmon Arm increased by $287,899 this year. Coun. Kevin Flynn pointed out Salmon Arm would be paying 50 per cent of the cost of the building reserve, and only get 18 per cent of the value. “That’s a significant inequity.” Coun. Alan Harrison pointed out Salmon Arm funds 24 per cent of the general government costs for the CSRD. “The majority of that debt comes from the taxpayers of Salmon Arm.” Harrison said he could not support the way the building is being financed presently. He pointed out when council considered its tax increase, it had a percentage in mind. “If we had to add things, we took it away in other places.”

Hamilton said the CSRD does not have the same degree of latitude in creating its budget. Coun. Ken Jamieson pointed out Salmon Arm is paying 100 per cent of five positions at the CSRD, along with portions of others. This includes Hamilton’s salary. He asked Hamilton if 24 per cent of his work directly affects Salmon Arm. Hamilton said arguably, no. Flynn said he thinks the regional district budget process is flawed, and asked for direction from city council for the next CSRD meeting. Harrison made a motion to move that the $500,000 building reserve be removed from the CSRD budget this year. He said the two issues seem to be changing economic times, and the way the CSRD is set up. Harrison questioned the fairness of Salmon Arm paying for 24 per cent of general administration. “The motion would certainly let the CSRD know how we feel about it.” Coun. Ivan Idzan said he agrees with the principle that council send a strong message. He said he would like to see the amount reduced, not necessarily removed. Flynn said the way the city is being charged is wrong, and questioned why council would want to put anything into the building reserve. “What I need is a clear message from this council.”

Coun. Chad Eliason said while he recognizes the need for the building, he does not think the CSRD needs to spend $500,000. Jamieson said he supported the motion, as did Coun. Debbie Cannon. The motion carried unanimously.