Victoria council eyes tax, utility increases
Victoria home and business owners can expect property-tax and utility increases totalling more than two per cent next year to cover the cost of Victoria city, police and library operations, according to a draft financial plan.
The draft $221-million 2016 operating budget is $2.8 million more than 2015’s, resulting in increases of 1.02 per cent for city operations, 0.14 per cent for the Greater Victoria Public Library and 1.14 per cent for police.
The draft budget also includes a 2.16 per cent increase in water utility bills and a garbage user-fee increase of 1.67 per cent.
The proposed increases translate into $63 more ($53 in property taxes, $7 more for water and $3 more for garbage) for the average residential property (assessed at $518,000) and $167 more for the typical small business assessed at $500,000 ($160 in property taxes and $7 more for water).
“It’s all very, very pre- liminary. But the report staff brought forward was excellent and detailed and I look forward to going through it in detail and just like we did last year, to hearing from the public on the proposals,” Mayor Lisa Helps said.
City manager Jason Johnson said the budget is in line with council’s direction that it wanted a maximum tax increase of inflation plus one per cent.
“The overall tax increase based on the draft financial plan as presented was 2.31 per cent, so that is within the mandate that council had established for the city of Victoria to bring forward,” Johnson said.
The draft financial plan maintains services at current levels.
Director of finance Susanne Thompson noted that projected increases in utilities and property taxes in each of the next five years are below three per cent.
But the proposed increases do not factor in any tax increase dedicated to the city’s $51-million capital budget. In each year since 2013, council levied a 1.25 per cent tax increase for capital projects. If it did the same for next year, the tax increase would jump to well over three per cent, Thompson said.
Thompson noted the library board plans to bring forward a proposal for a larger James Bay branch, at a $400,000 annual operating cost beginning in mid-2017 and a capital cost of $1.6 million.
While the 2015 budget saw a reduction in four full-time-equivalent positions at the city, this budget includes the addition of 22.75 new full-time equivalents. Most of those — 17 — are to staff the city’s new parking ambassador program, which is replacing the contract with the Corps of Commissionaires.
The budget also includes three FTEs to assist in delivering the city’s strategic plan, 1.75 to increase sidewalk maintenance, a new hire for a planned business hub at city hall and one for a new municipal real estate function.