Nanaimo councillors were unexpectedly in sync about the 2020 property tax increase, as noted by many at the discussion table. (file photo/NanaimoNewsNOW)

By Spencer Sterritt

necessary evil

Nanaimo councillors to lower 2020 property tax increase, warn of tough decisions in 2021

May 5, 2020 | 6:54 AM

NANAIMO — City councillors have signalled their approval for a reduction to the planned property tax increase.

They voted 7-2 in favour of reducing the planned 2020 property tax increase from 5.2 per cent to 4.5 per cent, during their Monday, May 4 meeting.

This reduces the yearly increase for the average Nanaimo home, valued at $516,000, from $158 to $144. This includes a $95 property tax increase and $49 in user fee increases.

This does not include increases to the various fees paid to separate organizations, such as the Vancouver Island Regional Library, Nanaimo Regional Hospital or the Nanaimo Regional District.

“I don’t think that’s outrageous for the services the City provides,” coun. Ian Thorpe said. “City tax revenue (is used) to provide the things we keep hearing people want. They want more sidewalks, better and safer crossings, more snow removal and maintenance of our parks. Sure, we all do. That’s what our tax revenue helps pay for.”

closing arguments

Crown refutes self-defence claims for Nanaimo woman on trial for murder/dismembering ex-boyfriend

6h ago

rental rules

Thousands of short-term rentals go back to long-term May 1: B.C. government

9h ago

sweet sounds

Nanaimo woman tries to coax trapped killer calf out of tidal lagoon with her violin

14h ago

Coun. Zeni Maartman said she received a call from a property owner asking why the City couldn’t have a zero per cent property tax increase since the City isn’t providing any services during the COVID-19 pandemic.

“The only services we have actually cut are the ones which brought us in revenue: our aquatic and recreation centres. Unfortunately, we cannot cut the taxes because there wouldn’t be any services.”

A zero per cent property tax increase was an option in a staff report but it wasn’t discussed by councillors.

Coun. Sheryl Armstrong said she was in favour of a 4.5 per cent property tax increase because it lowered the starting point for the 2021 property tax increase.

“I think next year is going to be the very difficult year. This year we’ve been given reprieves, especially businesses, from the federal government. It’s helped but it may not be there next year.”

Coun. Don Bonner and Jim Turley were the two who objected to the 4.5 per cent increase.

Bonner introduced the idea of deferring the $1 million general asset management reserve cost until 2023, but it wasn’t warmly received by councillors Armstrong and mayor Leonard Krog.

City staff will now prepare the official bylaw to introduce the 4.5 per cent property tax increase. It’s expected to be in front of council for approval in coming weeks.

spencer@nanaimonewsnow.com

On Twitter: spencer_sterrit