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The District of Summerland is proposing a four per cent tax increase in next year's budget, the equivalent of $50.50 for the average homeowner.

After four months of work on financial plan, the 2017 budget will hit councillors desks on Monday for discussion and planning for a public open house.

Contractual increases to the RCMP, waste management and union wage bumps contribute to a funding shortfall of about $164,200 for the district. With a significant infrastructure deficit looming and big-dollar items coming down the pipe, council has decided that filling that funding shortfall with reserve funds is not ideal.

“In the last few years council has made a conscious and concentrated effort to to try to increase reserve levels to manageable levels,” Director of Finance David Svetlichny writes in his report to council, going onto reference some big ticket items in the capital budget.

Those include the Garnett Valley water system separation, Giant’s Head Road upgrade, mobile fleet replacement and a new aerial fire truck.

Of the four per cent increase being proposed, 1.8 per cent is directly attributed to increasing contributions to the district's reserve for capital projects, with the remaining 2.2 per cent due to the operating shortfall.

The proposed budget will be presented to the public at an open house on April 3, where feedback will be taken into consideration for the final financial plan. 

The district report states that a one per cent property tax increase generates an additional $75,400 in revenue for the district.