Langford’s first draft of the city’s financial plan includes a proposed 11.94 per cent property tax increase in 2023, although that number may change as deliberations continue.
Funding for the purchase of the YMCA-YWCA Westhills facility, the design phase of the new RCMP detachment and ongoing capital asset management are also up for consideration.
One option to pay for all three would mean an additional 3.5 per cent tax increase for each year from 2024 to 2027, plus a one per cent increase for 2023 added to the 11.94 per cent. A possible YMCA purchase could be paid off during those four years with money from the Growing Communities Fund – Langford received $16.4 million. The RCMP detachment costs are set to be paid between 2028 to 2032, but shouldn’t need another tax increase, according to a presentation given by Michael Dillabaugh, director of the finance department, during Monday’s (March 27) committee of the whole meeting.
The ongoing capital asset management fund will see $9.9 million added annually to the city’s reserves and spent on maintaining city infrastructure. That starts in 2032 but also shouldn’t require further hikes.
Council will decide whether or not they want to include money for those three items during future deliberations.
COMMITTEE OF THE WHOLE: Langford residents face higher taxes as council eyes additional spending
To get to the 11.94 per cent hike, $1.7 million in reserves were used to cut taxes.
Previous mayor and council had strived to keep taxes lower – partially through the use of surplus and reserves and higher-than-expected revenues. Prior to the 2022 budget, city staff had initially pitched a five per cent increase, which was worked down to 2.95 per cent. In 2021, 3.95 per cent became 2.95 per cent and in 2020, 3.49 per cent became 1.9 per cent.
But Dillabaugh said during Monday’s meeting that this wouldn’t be sustainable and that approach would likely be phased out within five years.
LAST YEAR’S INCREASE: Langford proposes modest 2.95-per-cent tax increase; larger increases down the road
Taxes would go up by more than $240 for the average residential property if a 11.94 per cent increase is approved.
Over the next four years, tax hikes are forecasted to be 7.75 per cent, 6.24 per cent, 5.86 per cent and 5.42 per cent.
Sitting as a committee of the whole, Langford council was presented with the first draft of 2023 to 2027 five-year financial plan on Monday. The public will get a chance to have its say during the committee of the whole meetings on March 30 at 7 p.m. and Monday, April 3 at 12 p.m. Council will begin budget deliberations on Tuesday, April 11 at 7 p.m.
The plan as laid out includes money for four more RCMP officers, nine firefighters, 6.5 city staff and $950,000 extra as a subsidy for the YMCA’s operations.
Four RCMP officers maintain the current ratio of police officers to population and allow the city to work towards its target of a 1:750 “cop to pop.” The money will also include one support staff. Four is one less than the committee had initially asked staff to include in the budget, with five being the number to reach the 1:750 “cop to pop” ratio.
READ MORE: Langford backs RCMP asks for new $82M building, more officers
Council will consider the first, second and third readings of the bylaws on May 8 at 7 p.m. Council will then consider adoption of the bylaws on May 11 at 7 p.m. ahead of the provincial deadline for municipalities to pass their budget, which is on May 15.
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bailey.moreton@goldstreamgazette.com
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