The Regional District of Nanaimo board approved its 2024-28 financial plan, but some directors were not in favour, due to a hefty 13.5-per cent increase taxpayers will face in 2024.
After a long debate, the budget was endorsed by the board at its regular meeting on Tuesday, Dec. 12. It was not unanimous as some directors wanted third reading and adoption deferred until some items in the budget can be reviewed further to help reduce the huge tax hike and ease the financial burden.
The 2024 tax requisition will amount to $89.2 million, representing a 13.5 increase over the 2023 amount of $78.6 million.
Cedar-South Wellington director Jessica Stanley reluctantly opposed the financial plan. She was uncomfortable raising her objections despite honouring the process and hard work RDN staff rendered to get the budget ready.
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“Why I am not going to support it at this moment in time is that I just can’t do it because my community simply can’t afford it,” she said. “And with significant increases I just can’t support that level of increase to be pushed on to the community members and our taxpayers.”
Stanley added despite the numerous discussions and reviews the board and staff had on the budget, they have failed to garner any kind of tax relief.
Extension-East Wellington director Lauren Melanson echoed Stanley’s sentiments.
“I know that the scales might balance differently in other areas where service levels are different,” Melanson said. “In my area, the scales just don’t balance and I am uncomfortable putting my name on something that will be such a burden to my community. I cannot put my name on it.”
Chief administrative officer Douglas Holmes said the financial plan doesn’t have to be finalized until March 31 next year but needs to be adopted now.
“That would give staff the mandate to undertake delivery of services and the programs and the policies that the board has confirmed, with a couple of caveats, but would be able to do so starting Jan. 1,” said Holmes, who added that deferring the adoption of the budget would delay any work that needs a 12 month period to undertake.
He said once the budget is adopted, RDN staff would like to know the other concerns in the budget the directors would like to debate further.
French Creek director Lehann Wallace said the problem is in the first 60 days of 2024, directors don’t know what the projects are and what to prioritize. She suggested having a provisional budget and have more information come forward to help them make educated decisions.
“I feel, we’re being asked to kind of approve something a little bit blind,” she said. “And that is a challenge because if we do anticipate we need to make changes, we need to be able to facilitate those changes in a collaborative and constructive matter instead of just being deconstructive and opposed to what we have in front of us.”
Although the financial plan has been adopted, amendments are permitted under the local government act as the RDN is still waiting for information that can be incorporated into the budget such as the 2024 assessments from B.C. Assessment, actual year-end financial results for the RDN, and other details.
Regional taxes vary by municipality and electoral area within the RDN, depending on the package of services being provided.
In the City of Nanaimo, regional taxes will go up from $629 last year to $713 this year, an $84 increase for a typical household. District of Lantzville taxpayers will see regional taxes go up from $617 to $722, a $105 increase.
In the electoral areas, Cedar-South Wellington-Yellow Point-Cassidy is facing a regional tax increase from $782 to $905, Gabriola and Mudge islands will see an increase from $529 to $586, Extension-Nanaimo Lakes-East Wellington-Pleasant Valley’s taxes are going up from $986 to $1,140 on average, and Nanoose Bay homeowners are looking at an increase from $990 to $1,162.