In the course of a month, Prince Rupert residents have seen three different proposed tax rate changes.
First announced in March, Prince Rupert council set a proposed 15.7 per cent property tax rate. According to the city, this increase is impacted by several factors out of their control. Since municipalities cannot operate in a deficit, they must keep the budget balanced.
Prince Rupert City Manager Rob Buchan says that one of the biggest contributing factors to the increase is a reduced Payment in Lieu of Taxes from port properties.
Buchan also talked about inflation’s role in the increase, impacting general operating costs like policing contracts and labour.
So, when a $1 million loan repayment came from CityWest at the end of March, it made a positive impact.
Shortly after that announcement, the city updated their proposed budget on the website, now including a 13.4 percent tax rate increase instead.
But in the first of two public consultations on the proposed increase on April 11, council announced a final amendment sitting at 12.5 per cent. Buchan says that change came from city staff actively working to lower the rate.
Some of the budget changes made to lower the tax rate include removing a recreation centre improvement that was estimated to cost $100,000 and reducing the general operating hours of the centre.
A final public consultation on the proposed budget will happen on April 24 in council chambers at 7 p.m.
Listen to the CFNR story with Rob Buchan below:
