Five-year financial plan heading for approval
Oliver’s five-year financial plan will soon be adopted, showing a $13 million budget this year with a decrease in municipal taxes, but increases from other levels of government.
The $13 million to be spent in 2013 includes $4 million to the general fund, $7.6 million to the water fund, and $1.4 million to the sewer fund.
Chief financial officer David Svetlichny said only 27 per cent of the entire tax bill represents municipal taxes. He stated the average Oliver residence, based on an assessed value of $287,033, will see municipal taxes decrease this year by $2.97 compared to 2012.
In addition, a decrease in the business multiple equates to a 7.78 per cent decrease in the business tax rate in Oliver. For a business assessed at $250,000, this equates to approximately $90 in savings compared to last year, Svetlichny said.
But things aren’t so rosy when you factor in taxes (projected to increase by nearly $50) for other governments.
For example, regional district taxes will increase by $15 to $334, library taxes will go up by $3 to $60, and hospital taxes will increase by $3 to $101.
School taxes will increase by $22 for a total of $760, and police taxes will jump by $6 for a total of $89.
Garbage and recycling rates for the average home will not increase this year; these rates will be maintained at $120 per residence.
Council has approved a 1.5 per cent increase in this year’s sewer user fees and parcel taxes. The combined annual parcel tax and user fee for a single family home is to increase by $5 to $328.
The Town’s entire water utility has incorporated a 2.2 per cent increase in all rates. Agricultural irrigation rates for a 10-acre property will increase $44, from $2,046 to $2,090.
All potable water users will continue being charged based on water consumption.
Svetlichny said metered rates have been increased by 2.2 per cent to cover current and future debt charges over the next five years, including a new well and completion of the water twinning project.
The Town’s property tax distribution shows the residential class providing the largest proportion of tax revenue (71 per cent or $924,096). The business class represents 25 per cent or $328,870. Light industry is two per cent or $25,898, while utility is one per cent or $15,669. The farm and recreation class represent one per cent at nearly $4,000.
Svetlichny said the Town, over the next five years, will keep the property tax increase close to the cost of living.