The Tax Increases Are Well Above The 2.9 Percent Promised By Surrey Mayor McCallum And Are Designed To Pay For Unnecessary Policing Transition Costs Which Have Ballooned To $184 Million!

Surrey is raising taxes by nearly 3 percent as well as adding on a $200 parcel tax per home to cover rising Surrey policing transition costs which have ballooned to $184 million dollars as well as other capital projects during COVID-19 where many homeowners do not have the money to pay for Surrey Mayor Doug McCallum’s pet projects. The real tax increase to Surrey homeowners is well above the 2.9 percent promised by McCallum. Surrey’s police transition will cost at least 40% more than previously planned after city officials tacked on an additional $18.5 million to their latest estimate in the proposed 2021 operating budget.

By PD Raj Senior Writer DESIBUZZCanada 

SURREY  – Surrey is raising taxes by nearly 3 percent as well as adding on a $200 parcel tax per home to cover rising Surrey policing transition costs which have ballooned to $184 million dollars as well as other capital projects during COVID-19 where many homeowners do not have the money to pay for Surrey Mayor Doug McCallum’s pet projects. The real tax increase to Surrey homeowners is well above the 2.9 percent promised by McCallum.

Surrey’s police transition will cost at least 40% more than previously planned after city officials tacked on an additional $18.5 million to their latest estimate in the proposed 2021 operating budget.

Furthermore, the new police service will not be ready by April 2021 as originally scheduled, but rather “fundamentally complete” by the end of 2022 – and until this time the city is not planning to add more Surrey RCMP police officers, reported Glacier Media.

Surrey’s proposed Budget 2021 has set a general property tax increase of 2.9%, which the City said is consistent with the rate that was set by Council in the two previous budgets. 

“It has been the Council's approach to manage our public dollars prudently and it is a testament to the economic strength of Surrey that we have been able to bring in a fully balanced budget that holds the line on property taxes. The rate set in the 2019 and 2020 budgets was 2.9% and is, once again, the rate proposed for the 2021 budget,” said McCallum. 

But Councillor Linda Annis says Surrey's proposed tax increases will be well beyond 2.9 percent promised by the mayor, and will hurt moderately priced homes and their owners the most.

"The 2.9 percent increase is just the tip of the iceberg," said Annis. "With this proposed budget you can expect to see your tax bill climb by much more than 2.9 per cent, particularly if you live in a moderately priced home," said Annis. "For instance, the flat rate parcel tax is going to triple from $100 to $300, and because it's a flat rate it will burden moderate and lower-priced homes and their owners the most."

Budget 2021 proposes a Capital Parcel Tax increase of $200. Below are some of the projects that will benefit all citizens of Surrey that the levy will help fund.

Annis said the proposed increases come at the worst possible time as insolvencies across Canada climbed by 19 per cent in September, the highest number since COVID-19 began impacting the economy in March, and some 760,000 Canadians have deferred mortgage payments during the pandemic.

Annis explained that the flat rate parcel tax charged each year is distinct and separate from property value taxes and is to be used only for infrastructure. It cannot be used to recover general administration costs. No matter the value of your home, every home pays the same amount for a parcel tax.

"I believe the mayor wants to use the parcel tax to finance community facilities that would normally be financed out of your property taxes," added Annis. "But because of the growing costs associated with the proposed Surrey Police Department, the one city budget item that hasn't been hit by the cost of COVID-19 belt tightening, those dollars are not there. While we closed pools, rinks and rec centres and laid off staff across the city that wasn't the case for the proposed SPD which just kept on spending, including using city staff without properly charging their time to the police transition which helped to hide real police costs."

In addition to taxes climbing well beyond 2.9 per cent Annis said this year's budget process continues to reflect the mayor's complete lack of transparency and consultation with the community, "something that has become a hallmark" of this particular mayor and his four remaining councillors.

"The city is also borrowing money to build new capital projects and normally that would not be an issue," noted Annis. "However, with the city increasing taxes, it begs the question about the current state of the city's finances."

Annis said the public can provide comments on the proposed city budget at an upcoming city Finance Committee meeting to be held Monday, November 30 at 2:00 P.M.