Oak Bay residents could see a 9.68 per cent increase in property taxes this year as the municipality deals with inflationary pressures, increased wages in collective agreements and infrastructure replacement plans.
That increase on a median residential property in Oak Bay equates to $357, according to the municipality’s draft five-year financial plan.
Forced growth issues — or maintaining services with no new projects — represents about 4.5 per cent of the overall increase and includes about $1.485 million in additional costs.
An additional 1.81 per cent is attributed to Oak Bay’s ongoing infrastructure replacement plan, and another 1.4 per cent increase is for new staffing.
Forced growth pressures included municipal wage increases as collective bargaining for the Canadian Union of Public Employees Local 374 and the Oak Bay Police Association were substantially higher than what was predicted in the 2022 financial plan.
Natural gas unit rates also rose more than 20 per cent in 2022, and there are ongoing pressures in fuel and equipment replacement costs. The municipality also noted its property and general liability insurance premiums have been increased by 15 per cent.
The municipality is also budgeting for a contaminated soil fund and beautification and graffiti cleanups.
Council continues to examine the financial plan during a special committee of the whole meeting with public input on Tuesday at 7 p.m. It must ratify its financial plan by May 15.
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