Taxes are still going up but not by as much as expected. Vernon council voted unanimously Monday to decrease the 2012 tax increase from two to 1.7 per cent after learning that provincial traffic fine revenue is considerably higher than was originally forecast. “Our economy is still facing challenges and we’re looking at what we can do for our citizens,” said Coun. Catherine Lord. The city had anticipated receiving $496,000 in traffic fine revenue but the actual number is $802,000. Of the difference, $80,000 to $90,000 will go towards lowering taxes and the rest will be put into reserves for a new RCMP detachment in the future. Coun. Bob Spiers believes the city had a responsibility to reduce taxes because of other financial pressures facing residents like water rates. “We’ve got a heck of a lot of people who will feel a pinch,” he said. While lowering the tax hike was unanimous, some elected officials expressed some reluctance because there are other demands on the city. Among them is improved pedestrian safety at Okanagan Landing and Myriad roads. “I want to make sure we’re providing a level of service and if there are safety concerns, we need to address them,” said Coun. Mary-Jo O’Keefe. The city held a public open house and an input session on the proposed 2012 budget Monday. Two people showed up — former councillors Shawn Lee and David O’Keefe. “It’s distressing to see a poor turnout for such a presentation,” said Lee. Lee was pleased that the surplus traffic fine revenue was going towards long-term planning for a new RCMP building. “It’s a good decision,” he said, adding that reserves for future capital works are important.
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Don Quixote Note: A very important decision to top up the proper reserves was also made during a previous budget session : "Moved by Councillor Spiers, seconded by Councillor Quiring: THAT Council directs staff to transfer the 2012 salary surplus to the Infrastructure Reserves at the end of the year; AND FURTHER, directs staff that the Divisional Salary budget for 2013 is to be budgeted at the actuals, rather than the top of the band. CARRIED. "
The 2011 salary surplus transfer amount turned out to be $345,875. It is anticipated that it will be the same in 2012 as the 2.9% exempt salary increase in 2012 was also budgeted as an addition to last years amount. This will at 2012 year-end flow directly into an infrastructure reserve.
A good idea of other budget decisions can be made by reading the Feb. 27th agenda package and referring to the minutes of the Special Committee of the Whole Meeting of Council held February 9, 2012, be adopted. (P. 6). Earlier budget decisions can be found at Feb. 13th Cow Agenda package AND FURTHER, that the minutes of the Special Committee of the Whole Meeting of Council held February 3, 2012, be adopted. (P .2)
- Agenda Package
(Feb 27 for feb 09 budget) - Agenda Package (Feb 13 for previous special budget minutes)
1 comment:
What is the actual saving on an average home by reducing the tax increase from 2% to 1.7%?
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