Thursday, November 25, 2010

Vancouver property owners face 2% tax hike

The City of Vancouver forecasts a two-per-cent raise in property taxes will be needed next year to balance the municipal books.  The tax increase is part of the city’s strategy to raise an additional $55.6 million.  The rest of the money will come from revenue increases, funding from reserves, and cuts to city departments.  “This budget increases funding for key areas like parks and libraries, while still keeping taxes at a low rate,” Vancouver Mayor Gregor Robertson said in a release.  “We’re in a much better position than last year, but we still face economic challenges. We are starting from a $20.6-million budget shortfall, and our revenues have not recovered to pre-recession levels.” The proposed budget will be submitted to council in mid-December for a final decision. It includes a $600,000 increase for the public library, a $1.8-million increase for the parks board, and a $2.5-million increase for the fire department.
A city-wide review of its departments led to $13.4 million savings. The two largest cuts were $2.3 million from engineering and $3.6 million from corporate support.

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