Image Credit: CFJC Today
ARMCHAIR MAYOR

ROTHENBURGER: City council needs wisdom of Solomon on tax ratios

May 14, 2019 | 10:08 PM

KAMLOOPS — THE ANNUAL DANCE between Domtar and the City is underway.

For the past eight or nine years, the pulp mill has been demanding a better deal on the taxes it and other heavy industries pay to the City. At one point, Domtar even threatened taking the City to court.

It all centers on the ratio of taxes paid by heavy industry compared to other categories, including homeowners. The Kamloops Voters Society has now come out of hibernation to object to the shifting of tax burden.

In a letter to council, the KVS makes a vow of its own — to wage a public campaign on the issue.

It questions the City’s basis for considering further cuts in heavy industry’s share of taxation, saying comparisons to other cities don’t add up. Further, the group says, the City is looking to reduce heavy industrial property tax by another $2 million and add 2.5 per cent to the bill paid by residential owners.

That’s simply unfair, says the KVA. But what’s fair and not fair depends (to borrow from a Biblical phrase) on whose ox is being gored.

Domtar has argued for years that the ratio paid by heavy industry in Kamloops far exceeds that paid in other B.C. cities. It says those taxes should be based on assessed value rather than on percentage ratios of the total.

For its part, the City has sought an elusive fair balance that satisfies industry and doesn’t bring down upon itself the wrath of homeowners — who, after all, have the power of the vote.

So far, says Domtar, the City has been mostly talk and little action. Which takes us back to Biblical times to define the council’s challenge — and that’s to find in itself the wisdom of Solomon.

I’m Mel Rothenburger, the Armchair Mayor.Mel Rothenburger is a former mayor of Kamloops and newspaper editor. He publishes the ArmchairMayor.ca opinion website, and is a director on the Thompson-Nicola Regional District board. He can be reached at mrothenburger@armchairmayor.ca.

Editor’s Note: This opinion piece reflects the views of its author, and does not necessarily represent the views of CFJC Today or the Jim Pattison Broadcast Group.

View Comments