Prince Rupert residents will get a two percent tax cut.
City council discussed the possibility of introducing a one percent tax cut and a corresponding increase in capital reserves for asset management, before unanimously passing the budget as is.
Mayor Lee Brain says after holding the line for the last two budgets, it is time to show residents that the city’s economic situation is improving.
Those who responded to the city’s survey about the budget were split on the idea of the tax cut.
Of the 59 responses, 27 were in favour of the cut, 23 disagreed, and six didn’t know.
The City of Prince Rupert had a few surprises for its latest budget, both good and bad.
Unforeseen maintenance issues to the airport ferry refit, including steel plate replacement and sandblasting, will cost an extra $350,000.
Fortunately, the City can dip into its $8.1 million in recently announced provincial capital funding to cover the added expenses.
A one-time doubling of federal gas tax revenue will mean an extra $600,000 for Prince Rupert. City staff have allocated a half million of that for increased road paving.
The City also wants to use $20,000 from the gas tax money to fund its participation an electric vehicle charging station.
The changes did not affect the original budget recommendation from staff.
