SOMBA K'E/YELLOWKNIFE - Yellowknife is considering whether to raise the hourly parking meter rate to $1.25 from $1, and the commercial business licence fee by 50 per cent in the new year.

City of Yellowknife is considering whether to hike the hourly parking meter rate in the new year to $1.25 from $1. - Tim Edwards/NNSL photo

Business licence fees haven't changed in 19 years while the parking meter rates have remained the same for the past 10 years.

"We think that $1.25 from $1 is not a huge increase and it still keeps us below Whitehorse, which is the one I looked at as a comparison. It's sort of an 'it's about time,'" said Mayor Gord Van Tighem.

The parking meter rate increase is expected to generate $83,000 in additional revenue a year.

"Parking meter increases that go in, half of that goes to the downtown development committee and we give it out as grants," said Van Tighem. "It adds more impetus to the downtown area promoting in facade improvements and the other renovations that people can do with the money that's available to them.

"The other thing is if the parking meter rates go up a bit, maybe more people will take the bus too."

Van Tighem said even with the increase, the city's rates are well below other municipalities.

City administration said the proposed business licence fee increase to $150 in 2010, from the current $100, would be more in line with the current home-based business licence fee of $200. City administration also said the proposed fee would also be closer to the median fee of $234 it found surveying 12 other Canadian municipalities. It added the business licence fee had remained lower because the city wanted to encourage storefront businesses.

The city estimates the proposed increase for next year would result in $46,050 more revenue. In 2008, the city issued 921 commercial business licences and 744 home-based business licences.

The bylaw will receive first reading during the council meeting Dec. 14. Second and third reading could occur at a special budget meeting the following night.