Penticton's 2007 budget is one step closer to being finalized.
City council passed the 2007 budget bylaw through the first three readings on Monday.
City Treasurer, Doug Leahy, says the five per cent property tax hike estimated last month will remain the same, but residents will also have to pay more for utilities.
He says city water rates will rise by 21 per cent, sewer rates will increase by 10 per cent and electrical rates will go up by 1.2 per cent, which could cost the average tax payer about $82.
Leahy says the five per cent increase will cover things such as inflation, the maintenance of current service levels, the South Okanagan Events Centre and the Fairview Road-Industrial Avenue intersection relocation project.
The budget will be given final approval during the February 5 council meeting.
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