Armed with new numbers and a more complete picture of the city’s financial needs, Port Moody’s manager of financial planning, Tyson Ganske, is recommending a tax increase of 7.36% be presented at public budget consultations on Jan. 29.
In a report being presented to the city’s finance committee on Tuesday, Ganske said the increase will cost the average Port Moody homeowner about $170.
An earlier update of a 3% tax increase to cover the city’s operating budget in 2019, as well as a 1% levy to pay for the replacement and upgrading of city infrastructure, was presented in December. It has been bolstered by costs associated with the new employer health tax as well as increased salaries being paid to the mayor and councillors to make up for the loss of a tax-free allowance that will account for a 1.62% increase to taxes.
Additionally, the city will have to cover $460,500 in proposed new services, like some new staffing, software maintenance and the replacement of some hazmat equipment for the fire department. Several positions and programs that have already been approved will also require more than $567,000 in funding. As well, the budget for the city’s police department has been revised to reflect updated growth figures.
Revenue from development, permits and the sale of city services is expected to generate almost $1.3 million and new construction will add another $375,000 to city coffers.
In his report, Ganske said the proposed increase will allow the city to maintain the same service levels as last year. He said any reduction in the proposed increase “would result in service level impacts across multiple departments.”
