Coquitlam approves 8.9% property tax increase

The owner of an average Coquitlam house will pay $4,101 in municipal taxes in 2024 – an increase of $273 from last year.

The 8.92 percent tax increase is “a big number,” acknowledged Mayor Richard Stewart.

“We did not come to it easily, or like it,” he said.

The city is facing substantial financial pressures, Stewart said.

Besides putting money toward community safety, climate change mitigation and infrastructure to support the growing community, municipalities are also left grappling with global inflation.

“More than two-thirds of this . . . was needed just to cover off inflation and contract obligations,” Stewart said.

Looking to Victoria

The tax increase is unpleasant but necessary, said Coun. Dennis Marsden.

“No one is going to look at this number and say it doesn’t suck. It sucks,” Marsden said. “This is what it costs to run the city.”

Marsden was one of several councillors who criticized the province for downloading responsibilities on municipalities without also offering the necessary financial help.

“I just hope that the premier was good to his word when he said: if you densify, we’re going to help you with the infrastructure. I look forward to the $200-million cheque for the northeast rec centre that he’ll be sending us. I look forward to the $70-million cheque that we will need to replace all the sewer lines,” he said. “I’ll even show up for the photo-op, and I hate photo-ops.”

Marsden noted that the city’s reserves helped cushion Coquitlam taxpayers.

A combination of Coquitlam’s additional revenue, investment earnings and taxation growth are slated to help lower taxes by three percent, or about $71.

For a house with an assessed value of $1.3 million, which is about average for Coquitlam, owners will pay $210 more than last year in property taxes.

Residents will also pay an average of $62 more for both water as well as sewer and drainage, which each rose five percent. The fee for solid waste is set to rise two percent, the equivalent of another $7.

With the city facing 7.7 percent inflation, the property tax increase amounts to about 1.22 percent, noted Coun. Steve Kim.

“I’m proud that we had kept our service enhancements to a bare minimum,” he said.

Coun. Matt Djonlic made a similar point, explaining the challenges of cutting “bread and butter services” to lower taxes.

“Twenty percent is for fire and police, twenty percent is for our sewers and water, thirty percent in infrastructure, 12 percent in parks and rec,” he said.

City administration and capital financing are set to account for 29 percent of the 2024 budget – approximately $127.7 million. Sewer and drainage as well as water add up to 20 percent of next year’s budget – approximately $85.2 million.

Public safety

The city’s investment in public safety includes 10 new firefighters, nine extra RCMP members and two more bylaw inspectors, as well as an emergency management policy and planning coordinator. The city is also drawing on reserves and other sources to buy five new RCMP vehicles as well as other police equipment.

Coquitlam is projected to pay $2.2 million for the 22 new employees and equipment, a tax impact of about 1.26 percent, or an extra $30 on the average tax bill.

Coquitlam’s share of the $3-million RCMP contract is expected to cost the average taxpayer about $40.

There are good things in the budget, Djonlic emphasized, noting that a new Spani pool was on the way, new books would be in the library, and more children with disabilities would have access to recreational activities.

“I hope this is the peak of the pain that people are feeling when it comes to inflation, when it comes to cost of living and in terms of just the cost the city is seeing,” Djonlic said.

Property taxes make up 45 percent of the city’s revenue.

The city’s financial plan bylaw requires one more vote from council before being officially adopted.