After much discussion, Prince George city council has approved a zero per cent property tax increase for 2021.
At the Jan. 27 budget meetings, council approved all of the service categories on the agenda which equalled a necessary 2.7 per cent tax levy, including a $1.5 million increase to the city’s snow-clearing budget.
Council then had to decide on how much of the Safe Restart Grant funding to use in order to lower the levy to either a one or a zero per cent option.
Prince George was the recipient of $6.11 million from funding for the provincial and federal government’s Safe Restart Grant, meant to help municipalities during COVID-19 challenges.
The decision was postponed twice before tonight (Feb. 8).
“After a lot of humming and hawing, going with a zero or a one is going to be kicking the can down the road. However, there’s a number of residents who need a helping hand this year,” said Coun. Kyle Sampson, voicing support for a zero per cent increase during discussions.
City administration recommended using $796,185 to reduce the tax levy and to save the remaining $5.31 million for future uses. To completely eliminate the tax increase this year would require the city to use half of the funding at $3.05 million.
However, Coun. Cori Ramsay urged council to be cautious of a zero per cent tax levy, saying the city will have to face a greater tax increase in 2022 as a result.
“At the end of the day it’s going to be tacked on to next year,” said Coun. Ramsay. “It is easy to say we can strategize later but we can also strategize now.”
She asked the city’s director of finance Kris Dalio if the 2.7 per cent increase would be added to the city’s levy next year, to which he responded the city would be “in excess of five per cent for a basic starting point” in 2022.
A chart detailing the Safe Restart Grant money options regarding the proposed tax levy. By City of Prince GeorgeHowever, many councillors expressed a need for immediate relief with Coun. Terri McConnachie, calling the decision to use half the Safe Restart Funding a “no brainer”.
“All of our community is in a bad spot right now – a zero per cent is where people want us to be at and I think that is where we need to be at,” added Coun. Frank Everitt.
Mayor Hall noted it had been a huge struggle to come up with the numbers this year.
“We’ve heard loud and clear that people are saying we need the break this year - it’s absolutely essential we need the break this year,” said Hall before voicing support for a zero per cent increase.
“Are we kicking things down the road? There’s no question. We are kicking things down the road if we go with zero and if we go with one per cent. But every person that I’ve spoken to has said that every little bit will help.”
The motion to approve a one per cent option failed three-to-six and a zero per cent tax levy increase was approved six-to-three. Councillors Ramsay, Scott and Frizzell voted in opposition.
Council has also rejected a requested service enhancement from the Prince George RCMP.
RCMP Superintendent Shaun Wright requested a service enhancement for two additional officers for internal training requirements, increasing the current contracted strength from 142 members to 144 members.
This training would focus on mandatory firearms use of force options, crisis de-escalation and mental health, medical and life-saving training, and training specific to the needs of Prince George.
This service enhancement would cost the city $96,000 funded from within the contracted budget for this year, but the cost for 2022 would be $365,000.
Despite concerns regarding whose responsibility it is to fund RCMP training initiatives, many councillors thanked Supt. Wright for his innovative request, noting it has come during a difficult budget year.
“It is really innovative and I think it shows you care a lot for our city and it would make a huge difference,” said Coun. Ramsay.
“We just saw council support a zero per cent tax levy and I cannot in good conscious support an enhancement with a tax levy at zero. I do think there’s some advocacy work that can be done.”
Coun. Sampson said he struggles with the idea of downloading costs from other levels of government.
“I think this should be taken into consideration at the federal level as this is not a municipal police force,” said Sampson, adding that Spt. Wright has been invited to the Intergovernmental Resolutions Committee to work on further advocacy.
“At the right time, it would be absolutely the right thing to do,” added Coun. Murry Krause.
The motion to approve the police enhancement failed unanimously.
