Council aims for no tax hike

Martha Wickett - Salmon Arm Observer Published: November 16, 2010 6:00 PM
City taxpayers will be facing a tax increase of less than one per cent, possibly no increase at all, if initial budget deliberations are finalized.  Salmon Arm mayor and council immersed themselves in numbers Monday, deciding who would get what in the city’s 2011 budget. As deliberations wrapped up after about five hours, council members decided to reconvene on Nov. 23 to give themselves time to further consider the document and to possibly come up with more reductions.The proposed tax increase at the close of Monday’s session was 0.76 per cent, but several councillors expressed the wish to get it down to zero.

For the taxpayer, whatever tax increase or non-increase becomes the final figure, it will be separate from the bill for the new garbage and recycling service to be instituted in January. That cost hasn’t yet been finalized, but was initially estimated to be about $11 per month for single family homes. As well, utilities are billed separately, usually in December. The draft budget contains a two per cent increase in water user fees – or about an additional $4.44 per year for residential users. The water frontage tax, which is included in the property tax bill in May, is also increasing by two per cent or 23 cents per taxable foot, meaning an average size lot of 60 feet would see an annual increase of $13.80. Both the water-related increases are to help pay for the construction of the Homely Reservoir off Auto Road near 5th Street SE.

Carl Bannister, the city’s chief administrative officer, listed a few features of the staff-compiled draft budget. They included the hiring of a new safety officer for the city, savings in excess of $150,000 from the contracting out of 911 dispatching, an increase in the volunteer firefighter payroll, a decrease of about $16,000 in the building department budget, an increase of almost $120,000 to the policing budget due mainly to getting a full complement of 19 officers, election expenses, an increase to the transportation budget of about $35,000 due mainly to an increase in transit costs and a decrease in revenue, an increase in the airport budget of $17,000 related to a new access road, an increase to the cemetery budget of about $12,000 to accommodate a new caretaker, and an increase of about $25,000 to development services, mainly to establish a $20,000 reserve for a sensitive ecosystems inventory.
Safety officer

One issue attracting a fair amount of discussion was the proposed new safety officer. While the effect of the position on the 2011 budget would be only $15,000, it would be $60,000 per year in subsequent budgets. Assistant fire chief Rod Macfarlane is currently budgeted to spend 30 per cent of his time on the city’s safety program, but fire chief Brad Shirley explained to council that while Macfarlane is doing an excellent job, the allotted time is not enough to carry out all the duties. Monica Dalziel, the city’s director of corporate services, reported that because of time constraints, the program has been largely reactive rather than proactive. Worksafe BC paid out $102,000 in injury claims on behalf of the city in 2009, $33,000 in 2008 and $50,000 in 2007. Based on the cost of injuries and the city’s health and safety record, the city’s Worksafe BC assessment rate will be increasing by about $30,000 annually. As well, the city must appoint a safety officer to carry out safety audits at the airport, as mandated by Transport Canada. While Coun. Ivan Idzan voiced strong support for a full-time safety officer, stating that trying to find someone half-time for such a serious position “is a joke,” Coun. Alan Harrison said while he doesn’t want to downplay the position’s importance, he thinks a creative solution can be found to keep the position at half-time, or $30,000 per year. In the end, a motion to create a half-time position passed, with Couns. Idzan, Ken Jamieson and Chad Eliason opposed.

Policing
Policing attracted attention, as usual, during budget discussions, particularly because the policing budget is increasing by about $120,000. Because 2011 will be the first time the local detachment will see its full complement at 19 officers, Coun. Kevin Flynn said he’d like a report at the end of the year to determine “if we really need 19.” He also asked about an expenditure of $70,000 for police vehicles, and wondered if there is a schedule or proof that two vehicles are needed. Dalziel said mileage of 160,000 km usually triggers the need for replacement, police have done well in not replacing vehicles prematurely, and noted replacement is required by the RCMP’s E division. Staff Sgt. Kevin Keane recently gave a report to council, stating that the RCMP may have to charge for policing special events such as the Roots and Blues festival, or the new Sturgis North. Flynn said with a complement of 19, he thinks the local detachment should be able to handle special events. “I still think we’re not where we should be regarding council having input into where resources are allocated.” Mayor Marty Bootsma remarked that the events are during the summer when the police are already at their busiest. “It’s not as simple as it seems.”Bannister is preparing a report to council regarding possible cost-recovery for policing special events.