Early budget discussions have been open to the public this year, which is something new for Castlegar residents. At Monday’s meeting, council provided direction to staff on how to move forward drafting the budget. It includes a five year infrastructure levy that could bring in $1.25-million towards the replacement of roads, parks, and the City’s facilities and fleet. The end result was a vote of four to three in favour of the levy.
Councillor Sue Heaton-Sherstobitoff was one of the three with some reservations about the idea.
“I want us to really look at that and think about what that burden is on our tax payers.”
Councillor Heaton-Sherstobitoff, as well as councillors Dan Rye and Florio Vassilikakis, feel it would be less of a hit to the tax payers if it stretched out across six or seven years instead. As of right now the residential tax increase could be over 7 per cent for 2019; however, there’s still a long ways to go in the budget process and that number will likely change. The portion of that increase dedicated to the levy is 4.42 per cent, which would equate to approximately $47 for the average home.
CAO Chris Barlow explains why the levy is being proposed.
“We’ve been going through our asset management plans so last year we were able to present our water, sewer, storm and roads initial assessment management plans. Certainly, those showed that there’s an infrastructure deficit gap there. We know from experience, looking at our facilities and our parks and our fleet that there’s additional funding needs there.”
Over the five year period it could mean a compounded tax increase of roughly 36 per cent.
Those in favour of the five year period for the levy feel the funds are needed and extending it to seven years could have it’s risks. For example, a new council may come in and remove the levy. Councillor Bergen Price stated that it was a good starting point and now council needs to do the hard work of going through the budget to determine what the wants versus needs are. Councillor Maria McFaddin feels it may end up costing tax payers more in the long run if infrastructure needs aren’t dealt with now. For more on the City’s budget, click here.
WHERE THE INFRASTRUCTURE INVESTMENT LEVY GOES: 2019 CAPITAL PROGRAM
Columbia Avenue Phase 2 Preliminary & Detailed Design $456,000
5th Avenue & 2nd Street Storm Project $100,000
CMMS & Asset Management System $31,250
Pavement Management Plan $120,000
Sidewalk replacement $40,000
Contribution to Development $20,000
27 Street & 1st Avenue retaining wall replacement design $50,000
Airport Lands Intersection $1,934,000
Oil Containment Facility at PW $25,000
Public Works Building air handling Improvements $40,000
Audible crosswalk Lights $15,000
City wayfinding Signage $84,000
CPR Crossing contribution $75,000
Facilities Condition Assessment $100,000