Winter Games Levy Set
By 250 News
Monday, February 28, 2011 05:20 PM
Prince George, B.C.- You can expect to see a special Canada Winter Games levy on your tax bill this year.
Prince George City Council has approved moving forward with a plan that would add a new 2% levy on your bill this year and a further 1.18% next year to make that levy 3.18% in 2012, 2013, 2014, and 2015.
While Councillor Debora Munoz is very concerned about the cost of the Games, with the overall capital and operational costs in the $49 million range, Mayor Dan Rogers reminded Council that Council had already approved the business plan for the Games.
The City will need to contribute a little over $17.4 million dollars for the Kin Centre replacement, underwater lighting at the aquatic centre, improved lighting at the Coliseum, and half a million dollars for a Games Village Plaza downtown where the medals will be handed out and celebrations will take place.
Council was presented with three options:
- A 3.10% increase in each of the years leading up to the games ( including 2015).
- 2% this year, ($1,308,937.00) additional 1.38% in years 2012- 2015 ($2,211,884 each of the next four years)
- 2% this year, ($1,308,937.00) plus additional 1.18% in 2012 for 3.18% levy in each of the years thereafter through 2015
Councillor Munoz supported option three saying she thought it was the most sustainable way to go. Councillor Cameron Stolz echoed that support.
Councillor Dave Wilbur says the winning of the bid was one of the greatest moments in the City of Prince George, he is certain the City will do well. His only concern is that in 2011, the need is for $778,639 dollars, but collecting the full 2% will collect an extra $450 thousand. He understands the desire to build a Cushion, he says economically, he favours setting a Winter Games tax levy rate by what is needed for 2011, then boosting the rate in years to come.
Manager of Financial Services, Sandy Stibrany, says option three creates a smooth transition, and while a lower rate would be palatable this year, the amount that would be needed in future years would be a little hard to swallow. She says if the plan was to collect only the amount needed for 2011 , that would be 1.1%. Then, in order to raise the money needed to cover the City's $7.875 million dollar capital committment, the tax hike in 2012 would have to be 12%.
Councillor Wilbur moved that the levy for 2011 be cut to .5%. Mayor Dan Rogers says that would just delay the amount the taxes will have to be boosted in future years.
It was not lost on Councillor Don Bassermann that this is an election year, and any effort to keep taxes down should be examined in that context.
Councillor Murry Krause supported option 3 as presented.
Councillor Sherri Greene is just back from the Winter Games in Halifax and says the most recent projection for economic impact from those games for Halifax is $125 milliion dollars and she supports option 3.
Councillor Brian Skakun said he would support a smaller increase because he is aware of those who are on fixed income or reduced income. While he would support a plan that would reduce the tax levy for the games, he said he would not support option 3.
The proposed amendment was defeated with only Wilbur and Skakun voting in favour of the amendment.
Option three was approved with Councillors Wilbur and Skakun recorded as opposed.
The Winter Games levy will be a specific line item on the tax bill.
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Posted by: boomer on February 28 2011 5:36 PM