Surrey City Council has asked staff to revise and reduce its proposed 17.5-per-cent property tax increase.
But a lower rate will only cover the costs of maintaining Surrey's RCMP police force, and won't account for a transition to the Surrey Police Service, said Mayor Brenda Locke.
Council voted March 6 to have city staff find a way to propose a property tax increase of no more than 12.5 per cent. This comes after the city secured funding from the B.C. government, according to a City of Surrey press release.
“Since the proposed budget was made public two weeks ago, the city has secured nearly $90 million from the province of British Columbia,” said Locke in the press release. “As a result, we are now in a position to revise the budget and bring the overall property tax rate down.
“Should the police transition be allowed to continue, the extra costs would not be covered in the proposed 2023 budget.”
The $89.9 million comes from the Growing Communities Fund, which will be providing up to $1 billion in funding to all 188 B.C. municipalities and regions with a one-time payment to address community needs, according to a government of B.C. press release.
The funding from the province has been earmarked for capital improvements as well as to decrease Surrey’s policing surcharge to 4.5 per cent from 9.5 per cent, according to the city.
Surrey’s proposed 2023-2027 General Operating and Capital Budget was released to the public on Feb. 18. The originally proposed 17.5-per-cent property tax increase was comprised of a general property tax increase of 9.5 per cent to cover policing costs, a roads and traffic levy increase of one per cent and a seven-per-cent bump to account for inflation, the hiring of more emergency personnel and city operations, according to the City of Surrey.
The original proposed increase would have resulted in an increase of $403 in taxes for the average assessed single-family dwelling. Of that amount, $219 would have gone towards the policing shortfall, according to the finance committee report on the proposed budget.
“It is important to note that the proposed 2023 budget is built on the unwinding of the Surrey Police Service and maintaining the RCMP as the police of jurisdiction in Surrey,” Locke said in the release.
City staff will present a revised budget to council on April 3.
