Qualicum Beach 2026 budget considerations

8.1% tax increase equals a case of wine on sale

As the town proceeds with its budget deliberations and having completed the two planned public engagement meetings, we now have a glimpse of the property tax increase options put forth by town staff. The first, and recommended option, proposes an 8.1% increase to property taxes. ( Options 2 and 3 indicate taxation increases of 7% and 6.5%, respectively. Other than to say that reductions in municipal operations would be required to arrive at either option 2 or 3, no specifics were given as to what services would be forgone to achieve these lower rates.)

An 8.1% increase equates to $198 more on your tax bill assuming an average assessed value of $959,000. As someone mentioned "That is about the cost of a case of wine on sale at the local liquor store. Not something to get stressed about...everything is going up in price". This general apathy towards municipal spending is not uncommon.

Why does an 8.1% property tax increase matter?

I ask our readers to consider:

The 8.1% increase comes about not as a result of addressing the real challenges the town is facing. We continue to underfund reserves for the replacement and repair of core assets required for the delivery of critical services. We are now at the point where we are deferring replacement of asbestos cement drinking water pipes more than 10 years beyond their expected life. We are deferring over $800,000 per year of needed road replacements. We are deferring roof replacements on several of our town owned buildings. We are banking on uncertain grant approvals from tapped out senior levels of government to protect our well heads from river erosion.

Where does the 8.1% increase ($1,062,346) get spent?

1) Increasing policing costs by $102,400. 

No explanation or understanding as to why we need more policing or how our share is being determined. Has the crime rate gone up in the town of QB? Will this mean greater visual presence in QB? Does the increase cover body camera’s or will that be a further expense for next year?

2) Fire department increases of $70,900 (.5 of the tax increase). This is probably a legitimate expense as their equipment has to be replaced within legislated time lines.

3) Increases to reserves of $345,000 (2.6% of the tax increase). This is a positive thing but woefully below the amount required to maintain our assets within the time that they need to be repaired and or replaced.

4) Increasing benefits and contracted wages for exempt (non-union) staff at town hall by $173,400. 

5) Increasing benefits and contracts in the planning department by $102,500.

6) Additional staff for municipal operations and increasing supplies at a cost of $475,000 (3.6% of the tax increase). This excludes water and sewer operations.  

This all adds up to $1,166,000 and is offset by $239,000 of expected new taxes from newly built or renovated homes.

Off the top of my head…What is missing from the 8.1% tax increase ?

1) The impact of the new union contract likely 4 to 6% wage and benefit lift.

2) The impact of back pay as the contract expired last June or thereabout.

3) The loss of property taxes by the Town's acquisition of the Eaglecrest Golf Course, estimated at $22,000 (municipal portion) and $20,000 (RDN portion) that QB tax payers will now need to absorb.

4) Potential increased staff cost to maintain the Eaglecrest Golf Course until these costs can be passed on, hopefully, to the ultimate operator.

5) Operational subsidy for the Qualicum Commons property. The amount is unknown at this time as we have never seen a business plan or budget.

6) The proper amount that should be put into reserves to fix and maintain the Town's assets, which is probably more than triple the current allocations. For example, $1,000,000 per year is required to maintain our roads, yet our current reserves only permit us to spend $200,000. That gap alone indicates we should be adding $800,000 more a year just to allow us to maintain our current roads.

The final thought I want to leave with everyone is that the $475,000 increasing costs in the works department alone requires the addition of 180 new houses into QB, each paying the average property taxes of $2632 per year forever, while never contributing toward any other municipal costs. If you do not believe me, here is the math....$475,000 divided by $2632 equals180 homes.

Yes, it is a good thing I can afford another case of wine. I may need it to help me sleep at night.

Marie Noel

February 1 2026

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