City of Kelowna adopts budget, approves 4.34% tax increase

4.34% property tax increase

Photo: File photo

City of Kelowna adopts new budget, approves 4.34% tax increase.

The City of Kelowna adopted this year's budget Monday, approving a 4.34% tax increase.

In a press release issued Monday afternoon, the city said the tax increase is “one of the lowest in the province.”

The average residential property tax bill will rise by $107.79 per year as a result of the tax increase.

“Our low tax increase is no accident,” said City Manager Doug Gilchrist. “We’re minimizing our reliance on property taxes by encouraging business units to generate revenues, build partnerships, and find savings. This allows our City to deliver four times the value for every tax dollar collected.”

The city approved this year's budget of $908 million, with property taxes funding less than a quarter of the budget. The rest comes from user fees, utility service charges, developer contributions, grants, and reserves.

“When only one in four dollars comes from taxes, you know we’re doing something right,” said City Financial Planning Manager Melanie Antunes.

“Our reliance on taxes is kept at a minimum, by design, without sacrificing our ability to keep pace with growth and deliver what Council and citizens expect.”

Of the $204.3 million raised from property taxes, 52% will go to policing, 22% will go to transportation projects, 21% will go to parks, recreation facilities and arts and culture projects, while 5% will “support planning and other services,” the City says.

Property owners in Kelowna will start receiving their property tax bills my mail on May 12. Owners have until July 2 to claim the provincial Home Owner Grant and pay taxes to avoid a 10 per cent penalty. To sign up for eBilling, click here.