May 04, 2015 - 1:12 PM
KELOWNA - It’s not much, but homeowners in Kelowna will be happy to hear the property tax increase for 2015 will be a bit less than originally planned.
Adjustments to the final budget will see an official tax increase of 3.2 per cent, down from the 3.46 per cent established in the provisional budget submitted in January. The increase will raise $114-million out of a total budget of $347-million for 2015.
A report from city manager Ron Mattiussi says the decision last week by Kelowna city council to pull a budget request for $200,000 for repairs to Cameron House and an increase in the revenue from the Fortis B.C. gas franchise fee are the main reasons for the decrease.
The final budget number is also affected by the tax assessment conducted by the B.C. Assessment Authority. Assessments for 2015 increased 5.56 per cent over last year, a combination of a 3.28 per cent increase in overall market values and a 2.28 per cent increase in new construction assessments.
Final capital budget requests include a new hot water system for the Rutland arena, improvements to the Rose Avenue and Richter Street intersection and support for a new document management system.
As well, the city is buying property for the South Perimeter Road, which was moved ahead by seven years at the request of local developers, who will pay for the road’s construction.
In his report, Mattiussi notes the provincial homeowner grant has not changed and allows $770 for those under 65 and $1,054 for those over that threshold. Grants for homes valued over $1.1 million are reduced by $5 for every $1,000 of assessed value.
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News from © InfoTel News Ltd, 2015