The view from the Stoke Chair at Revelstoke Mountain Resort. (Revelstoke Review)

Revelstoke Mountain Resort’s successful property assessment appeal affects city’s budget

The city is looking at $500,000 less revenue

Revelstoke city staff will be looking to make an up to $550,000 budget shortfall going forward after Revelstoke Alpine Village Inc. successfully appealed several property assessments.

Back in 2016 a handful of condos in Sutton place were reclassified to Class 6 from Class 1, dramatically increasing the amount of property tax paid for those locations.

At the time Tania McCabe, now director of finance for the city, and her predecessor Graham Inglis, flagged the change and decided to set aside the extra revenue “until we are sure we can keep it,” McCabe said. They were setting aside $400,000 a year, just in case. However, the previous city council dropped that number to $200,000 a few years ago in order to avoid increasing taxes, McCabe said.

FROM 2016: Revelstoke council puts $21.7 million budget out to public

The city will have to pay back $1,548,943 to the resort. McCabe said they will be using the $1,579,946 in Tax Equalization Reserve fund to cover the cost, leaving $31,002 in the fund.

“The tax appeal was to ensure our properties were being treated fairly and consistently with similar properties throughout the province,” said Peter Nielsen, VP of operations at Revelstoke Mountain Resort, in a news release. “This is a standard business practice. With our commitment to continued investment at the resort, we anticipate our tax contributions to the City or Revelstoke will continue to increase over time and provide increasing benefits to the community.”

If the decrease in revenue were to be addressed solely with a property tax increase, taxpayers would see a 4-4.5 per cent change, McCabe said.

READ MORE: Council approves second hotel at Revelstoke Mountain Resort

“Obviously the management group is going to do some serious naval gazing and try to not have to do that,” she said.

As McCabe sits down to do next year’s budget she said she doesn’t know how it is going to play out, adding that she will be looking at tightening the capital plan, saying projects that need to be done might have to be deferred a few years.


 

@JDoll_Revy
jocelyn.doll@revelstokereview.com

Like us on Facebook and follow us on Twitter.

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

COVID-19: Diabetes Canada donation bins becoming garbage dumps amid pandemic

Diabetes Canada has asked residents to stop overflowing bins with donations and garbage

Okanagan temperatures to be in the double digits all week

Kelowna’s forecast projects a high of 17 degrees on Thursday

COVID-19: Website created to let Revelstokians know what’s open and what isn’t

‘If people don’t know what’s open, it’s a barrier to help others’

COVID-19: More infected passengers on planes flying to and from Okanagan and Kamloops airports

The BC Centre of Disease Control has identified numerous flights with COVID-19 cases

Okanagan College grading system critical despite COVID-19 pandemic

On heels of petition penned by student, VP academic says grading system necessary for accurate assessments

Here’s how to talk to people who aren’t taking physical distancing seriously

Approach the conversation with empathy says conflict expert

B.C. clears more acute hospital beds as COVID-19 case growth slows

Province holding about 40% of beds empty for peak still to come

As 500K+ apply for emergency benefit, Trudeau says aid coming for Canadians left behind

Canada Emergency Response Benefit provides $2,000 per month

Spike of visitors to Princeton-area stressing grocery supply chain and healthcare teams

‘We are really not set up to have this many people at this time of year.’ Area H Director Bob Coyne

Summerland to offer mental health webinar

Event will examine ways of coping during COVID-19 pandemic

Okanagan tourism continues to suffer following COVID-19 pandemic

The District of Lake Country voted to suspend tourism on March 31

Van crashes into Kamloops home

Police say the driver went into medical distress before the crash

Most Read