Port Moody councillors will begin deliberations Tuesday, Feb. 20, on the city’s proposed budget that would see property taxes increase by 8.37 per cent.
And if the results of a survey conducted by the city through January are considered, they may have some work ahead of them.
In a report to be presented to council’s finance committee, 37 per cent of the 409 residents who participated in the online survey, Jan. 8 to 28, said they favoured a tax increase to maintain current levels of city services while 32 per cent said they would be okay with a reduction in services to hold the line on property taxes.
That's a tighter spread than last year when 45 per cent opted for a tax increase and 28 per cent favoured fewer services.
Port Moody’s proposed tax increase equates to about $224 for a residential property with an assessed value of $1,248,000.
Last December, Coquitlam council passed a budget that boosts property taxes in that city by 8.92 per cent or $273 for the average residential property valued at $1.3 million. Port Coquitlam residents are facing a proposed property tax increase of 5.58 per cent.
Port Moody's draft budget includes an additional $637,000 to hire several new positions like a public art coordinator, a new training sergeant for the police department and help to implement a new master plan for the city’s fire department.
As well, Port Moody is planning to bring back its Car Free Day festival that’s been on hold since the COVID-19 pandemic.
It’s budgeted to cost $124,000, although some of that money could be recouped through sponsorships.
Capital projects in the budget include several rehabilitation and repair projects for roads, as well as water and sewer infrastructure. Air conditioning would also be installed in the gym at the recreation complex and renovations to the skate shop.
Tyson Ganske, Port Moody’s deputy chief financial officer, said inflation is driving increased costs for transportation, insurance, construction and services while revenues struggle to keep pace. He added the city is also bearing more costs for community and social issues like affordable housing, child care and homelessness, as well as the impacts of climate change.
Mayor Meghan Lahti said council will need to strike a balance between those financial pressures and the increasing challenges on household budgets faced by residents.
“We are mindful of the need to keep property tax increases as low as possible while maintaining service levels.”
Ganske said if council greenlights the draft budget as it currently stands, staff could begin preparing the necessary financial plan and tax rate bylaws immediately. Otherwise they’re scheduled to be presented to council on April 23 with final adoption on or before May 14.
