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CITY OF REVELSTOKE |
FINANCIAL PLAN NEWSLETTER 2003-2007 |
| Five Year Financial Plan 2003-2007 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| City Council is in the
process of discussing the City’s financial plan for the next five years. The new five year plan will follow, as closely as possible given the impact of current conditions, the ten year capital plan developed in 1998. Capital expenditures are estimated to be about $17 million in 2003-2007. Some of the more significant capital projects City Council will be considering for inclusion in the five year plan are as follows:
The City is estimating that borrowing will
be required of about $5,750,000 in 2003-2007 to fund some of the above
projects. |
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| Service Levels | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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The draft financial plan for 2003-2007 has
been prepared on the basis that all services will be maintained at their
current levels. The snow removal budget has been cut to $400,000 in 2003 to
reflect the light snow fall at the beginning of 2003 but this does not mean
a reduction in service. RCMP contract costs continue to rise and represent a
significant portion of the City’s operating budget. |
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| Property Taxes | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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The ten year capital plan projected property tax increases of between 4% and 5% a year in real terms (before inflation at an estimated rate of 1%) in order to provide sufficient funding for the projects it recommended. The property tax increase for 2003 has not yet been determined by Council but is likely to be about 4.25% across all classes. For a residential property assessed at $100,000 this means an increase of about $29 a year. For a business with a similar assessment value, the increase would be about $84 a year. The financial plan incorporates increases of between 5% and 6% for each of the remaining four years. Additional increases of about 3.5% in 2004 and 6.5% in 2005 will be required to fund the aquatic centre capital and operating costs. In order to peg
property tax increases to this level the City will have to use approximately
$394,000 from prior years’ surplus during 2004-2005. It is anticipated that
the surplus will be largely replenished in 2007. |
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| Utilities | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| There are no increases in
water and sewer rates anticipated for 2003-2007. However, the ability to
sustain these rates at their current levies depends largely on the degree of
continued inflationary pressure and the demand for capital improvements.
There is no provision in the plan for garbage rates to increase but this
situation could change during the currency of the plan. |
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| Overall Summary of Revenues and Expenditures | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Where the money comes
from... |
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| Where the money goes... |
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| Borrowing Level | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| The financial plan’s
projection is that by the end of 2007 the City’s accumulated borrowing will
be $11,308,392 or about 69% of its current borrowing ability. The
recommendation in the 10 year capital plan was that this percentage should
not exceed 75%. |
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| Feedback | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
City Council invites
comments and suggestions from the public regarding the financial plan.
Please write to:
A detailed version of the financial plan can be viewed at City Hall, the local library and on this website (PDF Format - 586KB). For more
information on the City's finances please click
here or telephone the Director of Finance
at 837-2161. |
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