By some estimates, city taxes could rise up to five per cent in 2020 pending voter approval of major borrowing for the proposed aquatic centre.

The City of Yellowknife scraped away at its largest budget yet, approving a 1.44 per cent rate increase, but city administration is tight-lipped on how tax rates could change for 2020 and 2021.

Mayor Rebecca Alty placed her own estimate of a four to five per cent increase in property taxes, if voters approve the new build. With major infrastructure projects, property taxes are unlikely to keep pace with typical tax increases of one or two per cent, she told Yellowknifer.

City councillors acknowledged in interviews that determining a specific rate increase for 2020 is no simple calculation because city is waiting on key decisions including a water line replacement and a referendum on aquatic centre borrowing.

Any major increase would be determined by voter approval on the pool, a financial quagmire for the city because the current cost of nearly $50-million is a concept design or SA国际影视传媒渃lass DSA国际影视传媒� estimate, said city officials.

Class D estimates, however, are only accurate within 20 to 30 per cent, according to a guide published by the Canadian Construction Association. The city did not provide comment as of press time to indicate what class of estimate will be put before voters nor when they can expect a referendum.

A class A estimate (100 per cent complete tender documents) can only be produced once construction documents are complete.

Council has conditionally approved an initial $1.75-million in spending to advance a design for the aquatic centre.

The initial spending will set administration closer to a construction methodology, project milestones and terms of reference for the proposed aquatic centre.

Council will deliberate on this information on March 31.

The city is obliged under the Cities, Towns and Villages Act to seek voter approval through a referendum or a ministerial exemption to pursue long-term borrowing.
Councillors took that recommendation from administration and the result has removed $6-million of spending initially proposed for 2019.

In response to questions about what ratepayers can expect for a 2020 property tax, a final rate is up in the air, said Coun. Neils Konge, who pushed eight last-minute amendments to bring budget increases to zero.

Konge whittled down the budget increases to zero and proposed keeping the planned 1.44 per cent property tax increase by building up the citySA国际影视传媒檚 reserve fund.

Konge suggested taxes could go up in 2020 but shied away from projecting a specific number.

SA国际影视传媒淭hat is a very expensive piece of infrastructure and it will require borrowing; and prior to that a plebiscite, to ensure the taxpayers are willing to borrow for the project,SA国际影视传媒� said Coun. Neils Konge.

A 6.3 per cent increase on the citySA国际影视传媒檚 $3.2-billion of assessed property should have been enough to avoid tax increases, said Konge.

Wages for the city are set to increase 5.7 per cent year over year. Five years down the line, that would represent a 25 per cent wage growth, he said.

SA国际影视传媒淚t is not sustainable unless the city is growing, and it is not,SA国际影视传媒� said Konge.

Yellowknifers will have sway, says Morgan

The final costs that residents will face are ultimately up to Yellowknifers, said Coun. Shauna Morgan.

SA国际影视传媒淭he driving factor over the next five years is whether and how we go forward with the aquatic centre and at what scale,SA国际影视传媒� she said.

The city is carefully moving forward with planning before it spends significant funds and takes the public pulse on how much support there is for the project, said Morgan.
The city anticipates significant borrowing in 2020 related to the pool and the potential submarine pipeline, but SA国际影视传媒渘one of that has been decided yet,SA国际影视传媒� she said.

The water line intake cost hinges on several factors, one of which is whether Ottawa will come through with funding for 75 per cent of the projectSA国际影视传媒檚 cost. During budget deliberations last week, city administrators did not have an update on whether that funding arrangement will be successful.

Budget increases wage and benefits, low compared to other Canadian jurisdictions

By budget 2019, wages and benefits will constitute just under 30 per cent of the citySA国际影视传媒檚 total expenditures, according to budget summaries shared with councillors.

The Yellowknife Chamber of Commerce praised the citySA国际影视传媒檚 relatively low expenditures compared to other jurisdictions like the City of Edmonton, which has 55 per cent of its expenditures dedicated to wage and benefits.

Morgan presses the point that 78 per cent of Yellowknife city staff are performing frontline service provision, including firefighting, city camps, water and safe disposal of sewage.

All of those functions are critical to ensure the city and its infrastructure run smoothly, she said.