Council rejects tax on Fortis
West Kelowna will remain the only city in B.C. that doesn’t pro t from its residents’ use of natural gas.
Council on Tuesday voted down the idea of a so-called franchise fee that would have seen FortisBC Gas apply a five per cent surcharge to their customers’ bills and remit the money to the municipality.
It would have netted the city an estimated $450,000 annually and was under consideration as a way of offsetting expected declines in development-related revenues because of the provincial government’s speculation tax.
Although it’s used by other municipalities, on the rationale that utility companies pro t by burying lines under city-owned roads and rights-of-way, a majority of West Kelowna said they wanted no part of a franchise fee.
The franchise fee might have cost the average homeowner about $60 a year.