City floats 3.44 per cent tax hike
Public gets first glimpse at upcoming budget; consultations set to begin this weekend
Shane Magee
Northern News Services
Wednesday, May 4, 2016
SOMBA K'E/YELLOWKNIFE
City councillors on Monday were given a broad overview of plans for the city's 2017 budget which included a 3.44 per cent property tax increase.
Jeff Dalley, City of Yellowknife director of corporate services, gave the first presentation on the 2017 budget to the city's Municipal Services Committee Monday, saying staff project a tax increase of 3.44 per cent. - Shane Magee/NNSL photo |
The increase covers what could be a projected $1 million shortfall, said Jeff Dalley, the city's director of corporate services.
"The tax increase is the increase required to balance the budget with no other changes, for example no new revenue or no new reductions in the operations and maintenance and capital (budgets)," said Dalley.
For a property assessed at $300,000, it would mean an increase of $61.92 per year, according to Dalley. For $500,000, it would be $103.20, and for $750,000 it would be an increase of $154.80.
The increase would come on top of previously approved increases to the water and sewer and solid waste user fees of four per cent and 2.5 per cent respectively.
The tax increase, if it remains by the time the budget is finalized by council in December, would come after two consecutive years of no increases.
The presentation is an early step in the budget drafting process to give councillors an overview of the conditions influencing the document.
Recently, each councillor was asked to provide a list of items they would like to see in the capital budget for 2017. That list will be examined by councillors as a group to whittle it down to items for administration to closely examine and determine the costs of the projects for consideration in the budget.
The tax rate increase was based on projected capital spending of $13.75 million, which is below the $16.3 million budgeted this year and $23.3 million for 2015. Capital spending has been higher in previous years as the city completed large projects, such as the new water treatment plant.
Councillors at the meeting didn't speak directly to the projected tax hike, although several said they appreciated the detailed presentation and the inclusion of a slide show demonstrating the impact to properties of various values.
"Having the household impact ... to show the reality for people in more valuable properties is a very valuable thing to do," Coun. Adrian Bell said.
The city has changed its budget consultation schedule and this year will move away from open house events that have had poor attendance. Instead, the plan is to have staff attend events where there are already people, such as the Yellowknife Chamber of Commerce Trade Show happening this weekend or the farmers market over the summer.
