Kamloops council has had a first look at the provisional budget for next year, and it’s expected to be the lowest tax increase in more than a decade.
The provisional tax increase is expected to be 0.49 per cent, with more than $3.5 million in provincial COVID-19 relief funding helping offset lost revenues. The city has received $6.68 million from the province as “Safe Restart funding,” as part of $425 million provided by the province to smaller municipalities on a per-capita basis.
“I think this would be the lowest tax increase that we’ve experienced in over a decade, but we’re facing some challenges that we’ve not seen in this decade, in fact this century,” mayor Ken Christian says.
The city is proposing pulling $1.32 million out of reserves next year to fund some services, including $970,000 for increased RCMP costs, $200,000 to improve safety of rail crossings, and $150,000 for the city to update its IT services.
Staff are also proposing service cuts that would get the tax increase to zero per cent.
Those could include keeping Memorial Arena closed, meaning $220,000 in savings, and closing or cutting hours to the Westsyde Pool which would save between $200,000 and $600,000.
Other service cuts could include turning down the temperature in city buildings ($200,000 in savings), reducing the city calendar publication ($25,000), ending street light inspections ($20,000) and reducing public access to city hall ($6,500).
In August, city council directed staff to keep next year’s tax increase at or near zero per cent, because of economic concerns brought on by the COVID-19 pandemic.
Council will give staff direction on any changes to make during next week’s committee of the whole meeting, and the provisional tax increase will be voted on in December at a regular council meeting.