The District of Summerland's Mayor and Council have proposed a 7.25 per cent property tax rate increase for 2025, while also reducing service levels and adding new user-pay elements.
The decision followed two days of budget deliberations and feedback from the community still remains to be collected in the new year.
According to the district, the rate increase would see a typical single-family home in the District of Summerland, assessed at $878,808 pay $129.95 more in taxes than they did in 2024.
This includes $31.11 added in for new debt payments for the Prairie Valley Road upgrade.
In comparison, Summerland residents would pay an average of $2,112.31 in municipal property taxes for a home assessed at $850,000 in 2025 whereas a property of the same assessed value is expected to pay $2,332.61 in Kelowna, $2,536.57 in Peachland, $2,740.01 in Vernon, and $2,937.47 in Penticton, according to the district.
The district said council aimed to keep the increase low while still preparing for large increases in labour with new union agreements and contractual increases such as the RCMP agreement and the curbside waste collection contract.
"After two years of extensive cuts, including staff layoffs in 2024, the only way for Council to keep tax increases amongst the lowest in the region in 2025 was to reduce service levels and to add new user-pay elements," the district said.
Mayor Doug Holmes said finding more operational efficiencies this year led to reducing some service levels.
"We have always strived to improve service delivery so reducing service levels isn’t something that council takes lightly. We looked for service level reductions that would cause the least amount of disruption,” he added.
To keep with cost-saving and revenue-generating measures, council is proposing to:
- eliminate the unlimited yard waste collection days effective Fall 2025;
- increase the monthly Base Cart Program Fee by $1.18 to cover the increased contractual cost of weekly garbage, recycling and yard and garden waste pick-up (effective January 1, 2025);
- reduce the amount of road line painting;
- move statutory notifications to an alternative means of publication in accordance with the Community Charter (effective March 4, 2025);
- move the monthly District newsletter to an online-only format (effective April 1, 2025); charge a $1.50 postage fee to those who choose to receive monthly utility bills by mail (effective April 1, 2025);
- implement a recreation program cancellation fee (effective Spring 2025);
- extend the third-party surcharge to recover credit card processing costs to include the registration of recreation programs (effective Spring 2025);
- increase building permit fees by $1 per $1,000 of construction value (effective Jan.1, 2025);
- defer the Peach Orchard Cemetery paving project.
Residents are invited to provide feedback on the proposed 2025 Financial Plan at an open house next month.
The session will take place at the Summerland Arena Banquet Room, located at 8820 Jubilee Road East on Wednesday, Jan. 15, 2025, from 5 p.m. to 7 p.m., with a presentation at 6 p.m.
The district said the open house is an opportunity to learn about the priority projects, along with how tax dollars will be invested in the community in the areas of roads, parks and recreation, fire protection, policing, and more.