Monday, December 14, 2009

Kelowna proposes modest budget

by Wayne Moore - Dec 14, 2009 / 10:36 am CASTANET:
After enduring tax increases of 5.66% and 3.49% over the past two years, Kelowna taxpayers are in for a tax break in 2010. In his annual budget forecast, City Manager Ron Mattiussi will present City Council with a proposed 1.2% budget increase for 2010. In 2008 and 2009, more than half (4.7%) of the combined increase of 9.15% went directly to paying off the new H2O Centre. The proposed 2010 increase does not include the new aquatic centre. Councillors will hear the rationale behind the increase Monday before going over the 1,000 page budget document line-by-line Thursday. The budget is broken down into priority one and priority two request items. Priority one's have been factored into the budget while any priority two items included into the final budget would mean an increase to the final budget number. "My goal for the 2010 Financial Plan is to maintain existing core services and keep the taxation impact at a minimal level," says Mattiussi in his budget preview.
"With cost pressures, reduced revenues and citizen expectations it is a difficult task. This budget maintains existing infrastructure and positions the city to respond quickly when economic conditions improve." Mattiussi say there are several plans being developed to prepare for future opportunities while the city completes 2009 projects funded from senior levels of government. The total net operating budget for 2010 is expected to come in at slightly more than $85.3 million, up nearly $4 million from 2009. If the increase does hold at 1.2% when the budget is finalized in May of 2010, it would translate into about $20 more for the average homeowner on his or her tax bill.

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