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Harrison Hot Springs' village council is set to vote on the upcoming financial plan for 2025 through 2029. The village's chief financial officer Scott Schultz hosted an open house for public feedback and to provide information on what the financial picture for the village looks like for the near future.
Harrison in bottom 30 per cent in residential, business property taxes
According to Schultz, of the 162 registered municipalities in B.C., Harrison residents pay more residential and business property taxes than 30 and 37 municipalities, respectively, putting them in the bottom 20 per cent in residential rankings and the bottom 25 per cent of business property tax rankings. However, Harrison pays more recreation property taxes than 130 other B.C. municipalities.
"I think this does show that current council and previous council have done a good job of balancing and keeping taxes in the village very reasonable," Schultz said.
The municipal portion of residential property taxes in Harrison are expected to rise by about 5.22 per cent, business property taxes by 7.15 per cent and recreational property taxes by 8.38 per cent.
2024 fell short on parking revenue
Chief financial officer Scott Schultz said although property tax, curbside and utility revenue was about as expected last year, pay parking revenue was down ($336,000 on the year) due to an especially rainy spring. Schultz called pay parking revenue "an important revenue stream for the village" as it assists with park and amenity maintenance throughout Harrison.
The village expects about $350,000 in pay parking revenue this coming season, provided the weather cooperates.
Schultz said the village felt the pressures of inflation but there are signs that it is softening moving forward. Total expenses were under budget in 2024, ending the year in an accumulated surplus of approximately $6.3 million (Approximately $429,000 from 2024 based on preliminary figures).
'No reduction in services'
The goal for the upcoming financial plan is "no reduction in services and continued contributions to reserves while keeping property tax increases to a reasonable level."
In terms of expenses and getting more efficient, Schultz said the "slow greening" of village facilities and fleets have shown reduced costs; the village added one electric truck to their fleet last year. He said grant funding remains a significant source of income for the village.
"Our Community Services team is excellent and they are always on the lookout for grant funding," he said. "We've secured a lot of grant funding, and hopefully more to come. Large projects would not be possible without grant funding or debt, so we're thankful we do have a lot of that on the books."
Some of the challenges ahead include retaining a high-quality workforce, planning for aging infrastructure and new services.
$3 million in taxation revenue expected this year
Aside from grant funding, taxation is among the top sources of income for the village with $3 million projected for this year.
The village has projected $98,000 for updating firefighting equipment, about $50,000 of which is funding through grants.The village also earmarked $110,000 for the completion of the Parks Master Plan.
In public works, all the highlighted expenses are coming from reserve funds or grants, including drainage improvements on Esplanade Avenue, an electric truck and washroom renovations.
Several projects carried forward
The biggest capital project on the books this year is the dike and wastewater treatment plant road improvements with at least $5.65 million in grant funding allocated to the project. Schutlz said there is more grant funding secured and a more clear picture of the final cost will crystallize as the consulting stage continues.
Other carry-forward projects include the ongoing Miami Creek North Bridge improvement ($1.1 million in grant funding), Hot Springs Road drainage work ($1.95 million in grant/drainage development cost charges) and upgrades to Spring Park ($292,000 through reserves and development cost charges).
Some projects carrying forward from last year to the future using Resort Municipality Initiative (RMI) funding include $785,000 for lagoon redevelopment and $75,000 to expand the boat launch building.
What happens next?
During the March 3 meeting, the village council approved a third reading of the budget. Now that the three readings are complete, the council will decide whether or not to adopt the financial plan during the March 17 meeting.
Council's March 17 meeting starts at 7 p.m. at Memorial Hall, 290 Esplanade Ave. The meeting is also available to attend via Zoom through a link on the village's website (harrisonhotsprings.ca) and an archived video will be available on the village's YouTube page.
