An example of good governance
- Dec 9, 2024
- 2 min read
The City of Campbell River (CCR) is a shining example of good governance. Their budget deliberations concluded on December 4, 2024, with Council approving the 2025-2034 Financial Plan and a 2025 tax increase of 2.89 per cent.
Balancing fiscal responsibility with maintaining core services and advancing strategic priorities were top-of-mind for Council during this year’s budget discussions.
Like the Town of Qualicum Beach (TQB), CCR is facing significant pressure from factors such as contractual commitments outside the City’s control, the lag effects of inflation and costs that have typically been covered under provincial and federal mandates but that the City has now had to assume. Despite these challenges, carefully considered cost-savings measures brought the 2025 tax increase in line with their policy.
The City’s Taxation Policy requires that the City reviews its tax rates on a three-year basis, ensuring that rates are comparable and reasonable given assessed values in Campbell River as compared to other communities. Overall, Campbell River’s tax rates and levels of overall taxation are consistent or below other communities with a population between 25,000 and 50,000, across the province of B.C.
So how did they achieve their goal of less than 3% annual tax increase?
Firstly, they looked critically at their discretionary spending and approved a new Financial Assistance Policy that governs all grants, leases and permissive tax exemptions for Campbell River non-profit organizations under one holistic policy. They standardized the process to reduce staff time and then also reduced the amount of grants given out, not only in 2025 but also 2026. Further they increased user fee revenues such as lease renewal and airport fees.
Requests for additional service, such as a new playground with an estimated cost of $200.000 benefiting only a small group of homes, is being funded entirely through a local service tax. Homeowners in the surrounding area will each pay about $1,000 over a five-year period. Increased tax revenues received from new builds are being allocated to cover inflationary costs in parks and operations departments. Staffing was also reduced with vacancies not being filled, and further entire wages budget was reduced by 2% to reflect the existing reality of delays in hiring backfills.
I have had the opportunity to watch their council in action and the process is remarkably different to what I have observed in the latest round of TQB budget setting meetings. It is refreshing to see how well senior staff and council address similar challenges, it is all about having a common goal and a mindset to achieve that goal.
Kudos to Mayor Kermit Dahl, Council and Staff.
Citizens of Campbell River should be proud to have selected such a competent team.
You can view CCR council and staff in action here.
More CCR council meeting videos
Marie Noel
December 8th 2024
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