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No win on property tax

Both the SCRD and the Town of Gibsons have passed budgets that resulted in lower property tax increases than were contemplated before the economy tanked due to COVID-19.

Both the SCRD and the Town of Gibsons have passed budgets that resulted in lower property tax increases than were contemplated before the economy tanked due to COVID-19.

But are those “lesser increases” low enough? With 27% of surveyed businesses on the Coast shut down, should property taxes not be raised at all, or even be decreased?

Even before the pandemic, the SCRD’s original budget went well beyond the recognized norms of affordability. Arguing that a vast number of projects needed to be taken on all at once, and that previous boards had kicked the can down the road too many times, directors brought in an overall property tax increase of 12.9% and a 25% hike in water rates and parcel taxes. At the 11th hour, they hacked the overall increase down to 4.7%.

Gibsons council was also under pressure to raise taxes in expectation of a massive hit in policing costs in two years. A planned reserve fund for that purpose dropped from a 5% to 2% to 1% increase as the pandemic unfolded, with council ultimately holding this year’s total property tax hike to 4%.

Now it’s Sechelt’s turn. The mayor has come under fire for recently saying that a zero increase is not feasible, but is gutting municipal services during a health emergency really a good idea? If those services are not available, council will be condemned for lack of foresight. If unpaid property tax bills start piling up in a few months, they will be condemned for lack of caring. There is no winning on this one.

Striking a thankless balance is the only option, knowing that condemnation will almost certainly follow regardless.