Council begins 3 days of budget deliberations

Proposed 2018 budget projects revenue of $77.1 million against expenses of $70.5 million

Penticton city council got down to work Tuesday for the first of three consecutive days of budget deliberations.

Finance manager Jim Bauer opened with an overview of the 2018 budget, which includes a three per cent tax hike that would cost the average homeowner about $39 extra next year.

Half of the proposed increase would go to cover inflation, while one per cent would be set aside to help fix the city’s aging infrastructure and the balance would be dedicated to council priorities.

Bauer noted the city is still making up for a threeyear period under former mayor Dan Ashton, during which taxes decreased by 0.5 per cent.

“Although it was great at the time, it did have a downstream effect,” Bauer said.

He also explained the current proposed budget has three main themes: growth and development, asset management, and safety and enforcement.

On the first point, Bauer noted the city has experienced “unprecedented growth” over the past few years that has continued with planning applications up 55 per cent and building permits up 39 per cent so far in 2017.

All told, the proposed 2018 budget projects revenue of $77.1 million against expenses of $70.5 million.

That compares to projected revenue of $76.7 million and $68.8 million in expenses in 2017.

Budget deliberations are tentatively set to run from 9 a.m. to 4 p.m. today and Thursday. Meetings are held in council chambers and open to the public.