File Photo (Image Credit: CFJC Today)

By Michael Reeve

2026 Taxes

Kamloops council directs staff to find additional cuts after preliminary tax rate sits at 10.76%

Nov 18, 2025 | 6:49 PM

KAMLOOPS — Last year, when Kamloops council wrapped up budget deliberations the projected tax increase for 2026 was 6.72 per cent. However, through a number of factors, that number now resides at 10.76 per cent and council would like to see it reduced.

For reference, a 1 per cent tax increase equates to approximately $1.6 million in revenue for the city.

Some of the unforeseen increases relate to the RCMP, with a $19,000 increase to the cost of each member at the detachment, or transit revenues not meeting forecast. Staff are also unsure of current contract negotiations for both CUPE and IAFF, and that potential impact on the city’s bottom line. Forecast growth included in the budget from last year was $1 million below expectations.

City hall is also awaiting a decision from the provincial NDP government with regard to pipeline assessments, that could result in a $650,000 loss of revenue.

City council expressed concern with the double-digit figure on Tuesday (Nov .18) during a Committee of the Whole meeting, in turn asking staff to return with ways to reduce the tax rate. Council spoke to issues around RCMP staffing, transit and funding for the provincially owned Stuart Wood site.

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Manager Dustin Rutsatz stated finding ways to reduce that number will not come easy for staff or council with expected hard decisions.

“It’s not easy,” said Rutsatz. “All these things are important things with what their priorities are. No, there is not a lot of fat. Honestly, there was a lot that was cut already to get to where we are.”

“We can do it, but it will need some council decisions,” added Rutsatz. “There is also going to be some of those bigger pieces that council will get the chance to decide if they still feel it’s a priority for this year.”

A few councillors, including Katie Neustaeter and Mike O’Reilly, referenced the pedestrian overpass over Summit Drive that the city was going to partner with TRU to build, with $5 million set aside. Rutsatz clarified that money has already been moved at council’s direction, and won’t be an immediate $5-million cut to taxation.

“We had $5 million. They had already deallocated that funding and gave it to the Riverside Skating Facility and to active transportation around Build Kamloops,” explained Rutsatz.

City staff and council are holding an open house on Wednesday evening (Nov. 19) from 6:00 – 8:00 p.m. in the Kia Lounge at the Sandman Centre for residents to learn more about the budget and ask questions.