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Whitehorse council proposes 1.2 per cent tax hike in 2017

Whitehorse homeowners can expect to see their property taxes rise, on average, by $47 in 2017, while business owners would pay an extra $358 per year. City council gave initial approval to the city's budget on Monday.

'One shouldn't ask: why are our taxes so high? It's 'why are they so low?' says mayor Dan Curtis

Whitehorse city council gave initial approval to the $73 million operating budget on Monday. Residents will be able to have their say at a council meeting next month. (Mike Rudyk/CBC)

Whitehorse homeowners can expect to see their property taxes rise, on average,by $47 in 2017while business owners wouldpay an extra $358 per year.

Whitehorse city council gave initial approval on Monday to the city's $73 million operating budget. It proposes a 1.2 per cent tax increase, down slightly from last year's city tax hike of 1.7 per cent.

"We're very, very proud to have such a low rate to offer to our citizens this year," said mayor Dan Curtis.

Mayor Dan Curtis says he's 'very excited' to keep the proposed tax increase at 1.2 per cent - down from last year. (Mike Rudyk/CBC)

"The worst thing any community could ever do is give a zero per cent tax increase, because inflation keeps on ticking away ... if you have a zero per cent tax increase, it's going tocatch up with you."

Curtis said about half of the city's annualbudget is paid for by tax money, with the rest coming from user fees, government grants, and other income sources.

"One shouldn't ask:'why are our taxes so high?' It's:'why are they so low?' Because if we had to pay for everything, without the help of the governments, then our taxes would be triple what they are right now," Curtis said.

More transit, new fire prevention officer

The budget will also raiserates for city rentals, passes and memberships by 1.5 per cent next year.

New expenditures include moretransit service to the Whistle Bend subdivision (which Curtis says is "filling up more and quicker than we ever anticipated"), and the hiring of a new fire prevention officer.

Curtis says the new fire officer "isable to go into some of our older and maybe little bit more tired buildings, and make sure they're brought up to snuff."

City residents will be ableto have their say on the budgetat the Jan. 16 city council meeting.

The proposed budget includes funding to expand transit service to the city's new Whistle Bend subdivision. (Paul Tukker/CBC)

With files from Nancy Thomson