Kelowna city council approved a 4.7 per cent tax hike Monday, despite an attempt by one councillor to get his peers to slow the tax roll.
“‘We need to rein in spending at city hall and ensure your money has been spent efficiently. With extraordinary tax increases, you deserve extraordinary improvements. It’s time to respect your hard-earned tax dollars,’” Coun. Ron Cannan said to Mayor Tom Dyas at the regular council meeting.
“I totally agree with that quote, and that was from (you) during your election. I worked with you on your campaign, so I’m well aware of that.”
Cannan said he doesn’t support growing government at “twice the rate of city’s growth.”
“I don’t support raising taxes higher than the cost of living, especially considering how many residents in our community are hurting and struggling with interest rates at a near 23-year high,” Cannan said.
Cannan pointed out that there’s a healthy reserve system and that he thought it was time to think about taxpayers pocketbooks.
Dyas did not respond though Coun. Luke Stack said the decisions made in the budget offered “good value for money” for residents,.
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“The monies that we have will be well-used to achieve the objectives that they’re seeking, which are many recreation expansions, road expansions, and other infrastructure things that we have on the way,” Stack said.
Of the $854.9 million total budget, 2024 taxation revenue accounts for approximately 22 per cent, or $191.2 million.
The city said in a press release issued Monday that the 4.72 per cent adopted tax demand is based on the amount needed to balance the budget once the City’s other revenue streams, including grants, reserves, and user fees have been applied.
Based on the City portion of an average residential property tax bill in Kelowna, this translates to an additional $112 per year or $9.33 a month. Taxes last year were on average $2,400 for area homeowners.
City business operations that are 100 per cent self-funded, with no impact to the taxpayer, include Kelowna International Airport and the City’s water utility, parking and solid waste services.
The city said it’s moving to a performance-based budgeting model which is designed to promote a more transparent and strategic approach to resource allocation, leading to more efficient decision making, improved outcomes and better use of resources.
“The adoption of service-based budgeting underscores our dedication to digital transformation and leveraging data-driven insights for decision making,” said City Manager Doug Gilchrist. “This approach aligns with our commitment to public progress reporting and also ensures optimal resource allocation for the greatest community impact.”
Of the $854.9 million total budget, 2024 taxation revenue accounts for approximately 22 per cent, or $191.2 million. The 4.72 per cent adopted tax demand is based on the amount needed to balance the budget once the City’s other revenue streams, including grants, reserves, and user fees have been applied.
This is not the only time in recent weeks when Cannan has appeared not to be in sync with his council cohorts.
Last week, when the mayor changed the appointments to the regional district board and Cannan spoke out against it. He along with Coun. Mohini Singh, and Coun. Lovegrove were replaced on the board, in what the mayor described as a move to create more diverse experiences.
The month before that, the same three councillors expressed opposition to the 35 per cent pay raise for themselves.
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