KAMLOOPS MAYORAL ISSUE #3 – Balancing major projects and debt

The cost of living is increasing, leading to questions around whether it’s the right time to build. Opponents of the projects say slow down, while proponents say things will only get more expensive if we wait.

Mike O’Reilly pointed to the current debt load at the city as he backed major projects underway, saying the city is playing catch up.

“I think what we’ve proposed going forward with the performing arts centre, and multi-plex it was the most palatable way to fund those two projects going forward,” said O”Reilly. “We committed a five year tax increase of 1 per cent for five years. We are just about to go into our fifth year, and that at point those investments will be taxed at that point, nothing further will come. Going forward we have a significant amount of room where we can take on a higher debt load, not that we necessarily want to take on debt but was have the capacity to do that.”

“We are very low, we are sitting at about 8.5 per cent, we are allowed up to a threshold of 25 per cent. And this isn’t just council coming up with a number, this is provincially mandated this is done through the BC Municipal Finance Authority and we are in a very good position, and by feathering in tax increases, rather than a large jump at one time it really allows our resident to absorb those tax increases to frankly pay for the facilities that should have been started 20 years ago. We are playing catch up.”

Ray Dhaliwal spoke to the current rise in taxes being connected to COVID-19, when tax increased where limited, saying as well the city is now playing catch up.

“On the campaign trail I’m learning a lot from the current councillors saying these things are fully funded, the reason that their taxes have gone up the last four years is because we are playing catch-up,” said Dhaliwal. “Before that they were down 1-2 per cent just to keep it down because of COVID, I understand that but it’s too much too fast for our citizens, they are struggling.”

“There is a reason I’m giving half my wages back to the community for seniors and families that are struggling, same for the person who reached out this morning, how is he going to afford a house. And that is my commitment, over the four year term it will be $280,000 that I’ll be giving back into a hardship fund. Other businesses have volunteered to step up as well, they said once they know the money is going directly where it’s needed, they will donate as well. So I’m sure that fund will grow and help our community out.”

Ivory Winston wants to look at creative approaches for decreasing the debt load, while still moving forward with the major projects underway.

“I want a creative approach, yes we need a new police station, I have heard, and I want to support our police department because they are going to make a difference in the crime in this community, they have been and I want to continue to make sure they feel incredibly supported,” said Winston. “And I don’t believe in tacking on a whole bunch of debt for projects, yes there are ways of doing things and I believe we can find creative approaches. Does the new ice rink facility need to be as large, need to be in that location, these projects are already in the works, I don’t want to cut up existing projects. People put a lot of time and effort into these developing projects. And I want to look at creative approaches, I don’t want to stamp it because that was the decision that was made, or we should just make this decision.”

“I want to look at every single possible creative approach to see if we can do these in a more cost effective manner, so Kamloops residents are burdened with massive debt for years and years to come. I want the money we spend to be invested in this community so we aren’t making debt payments, that doesn’t sit right with me. So I want these projects to proceed and I want to find creative approaches.”

Nelly Dever clarified her position, saying the if elected, she will not stop or pause work on the performing arts centre, but wants to look at ways to lower the overall cost.

“How we are going to balance it, we have to respect the contracts that are in place,” said Dever. “We don’t want to put ourselves in the position of any legal liability. So we have to honour those contracts. The Build Kamloops project with the performing arts centre, as we know anybody who drives by Seymour Street, that is too far into the contractual phases to pause or cancel. So Pivot Kamloops, we are looking at making sure that is completed with strong fiscal discipline, and it’s completed on time and on budget and if anything under budget.”

“With everything else in the Build Kamloops project we want to review the major contracts and look to see that they fit within the means of the taxpayers ability. And if we can put in some co-build initiatives that is my number one priority. We want to continue building Kamloops but if I can take that Kenna Cartwright project with the multi-rink and bring in a partner and drop that price down to half, and same with the new RCMP station. The RCMP station as well that needs to be put forward as priority, I know it’s not part of the Build Kamloops, but that is critical infrastructure, in comparison to non-critical infrastructure, so that needs to become a priority. But co-build initiatives need to be looked at for sure.”

Incumbent Mayor Reid Hamer-Jackson refused to be interviewed for our issue stories this week. Kris Lloyd Middleton was under the weather and unable to participate.

by Michael Reeve

KAMLOOPS MAYORAL ISSUE #3 – Balancing major projects and debt

Our Community