Proposed RDCK five-year financial plan sets sights on 11 per cent taxation rise
By Timothy Schafer Local Journalism Initiative Reporter
The first glimpse of the regional district financial plan shows a projected average increase on taxation of 11 per cent.
During a special board meeting on Friday, Jan. 19, the Regional District of Central Kootenay directors received the 2024-2028 financial plan projections contained in a preliminary draft.
However, the increase — to pay for over 180 services — does vary across the rural electoral and the member municipalities, depending on the amount of services being utilized.
The $38.7 million the RDCK drew in its budget for 2023 has jumped to $42.99 in the draft plan for 2024. Although taxation could rise, on average, around 11 per cent, the BC Assessment for the entire RDCK has risen by only a 4.18 per cent average.
The biggest change in taxation proposed for this year is in Area D, which could see a 17.7 per cent increase, followed by a 16.3 per cent increase for the Village of Salmo.
The city of Nelson’s 3.1 per cent average assessment increase is met with a proposed 12.2 per cent hike in taxation. In a similar vein, Castlegar’s 3.52 per cent assessment increase is paired with a projected 11.7 per cent taxation rise.
During the special meeting, it was noted that inflation was the main culprit in driving taxation upwards, as well as some supply chain concerns, impacting several services and projects.
“An an increase in interest rates will continue to put pressure on both short-term and long-term borrowing costs with a partial offset from increased investment income,” said RDCK chief financial officer, Yev Malloff, during the meeting.
In the upcoming months the RDCK will host public information sessions — in-person and online — through February and March, allowing people the opportunity to understand how the budget impacts the electoral areas and municipalities.
More to come …
