An unexpected $6.69 million COVID relief cheque has been sent from the province to City of Nanaimo. CAO Jake Rudolph said the fund was a focal point of this year's Union of BC Municipalities convention. (NanaimoNewsNOW file photo)

By Ian Holmes

COVID cash

City of Nanaimo lands $6.7 million COVID relief grant

Nov 16, 2020 | 5:30 AM

NANAIMO — City councillors have more wiggle room during what will be challenging upcoming budget discussions.

The City of Nanaimo received $6.69 million from the federally-funded Safe Restart Agreement, distributed by the province to B.C. municipalities and regional districts.

CAO Jake Rudolph said the money can be spent on addressing revenue shortfalls, COVID-related expenses and community safety initiatives.

“I think council has to see the big picture and decide how to receive this funding and appropriately place it in locations of operations that they feel are the priority,” Rudolph told NanaimoNewsNOW.

An information fact sheet on the COVID relief fund will be presented to councillors at a finance and audit committee meeting on Wednesday, Nov. 18.

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“They will take it under advisement, probably ask questions and then the matter will be referred to the budget process,” Rudolph said, who noted 2021 budget discussions begin Nov. 25.

While the money is helpful and appreciated, Rudolph said it’s by no means a windfall.

He said the pandemic “dramatically impacted” key revenue streams, including parking, the casino and recreation facilities.

Discussions on next years $200 million budget are slated to start with a three per cent property tax hike, Rudolph said.

Nanaimo received the largest share of the relief fund across the mid Island.

Parksville received the next highest amount at $2.86 million, followed by Qualicum Beach and Ladysmith with around $2.3 million.

Both Lantzville and the Regional District of Nanaimo were given roughly $1.2 million.

A total of $425 million was committed to B.C. communities to cover COVID-related expenses.

ian@nanaimonewsnow.com

On Twitter: @reporterholmes