Diving Deeper with Questions About City Finances

Every time I drive up my street, I steer to miss potholes and wonder when we’ll have pristine, smooth roads. I hear my husband’s voice, “With all the taxes we pay…” and just exhale.  We once were a vibrant mill town and thought we would always be.  Taxes and reserves were kept low because we felt there would always be money.  Now generations later, we’re feeling the consequences of that belief.  Times changed. Life happened. This week, I had a thoughtful conversation about our city’s finances and what it might take to create a stronger, more forward-looking Powell River. 

Municipal finances can feel complicated and distant from everyday life, but they affect almost everything we experience: the taxes and fees we pay; the services we rely upon; the condition of our roads, parks and recreation facilities; the housing that gets built; and the opportunities we create for future generations.

Experience is showing us that before approving any new project, we need to understand its full cost; not only what it costs to build, but what it costs to operate, which includes staffing, maintaining and eventually replacement . Grants can help a community accomplish important things, but even a fully funded capital project may create ongoing expenses. For example, BC Housing funded a shelter and also funds the operations. But we are seeing the cost on first responders, businesses, cleanup, and wellbeing on our community was not factored in. Now that we are aware, how can we be better?

A good decision today must still make sense in the near and far future. That leads to some important questions:

• When a new project is proposed, are residents shown its complete long-term cost?

• Do we know how it will be funded once the original grant/investment is gone?

• What measurable benefit will it provide, and how will we know whether it succeeded?

• Could the same outcome be achieved through a partnership or a more creative approach that will cost the city less?

We also need to talk honestly about revenue. Property taxes cannot be the only answer whenever costs rise. That is unsustainable. Powell River has land, waterfront, facilities and other community assets that cost us to maintain. While we work on a large tax contributor on the mill site, helping small and medium size businesses succeed is essential. What does supporting them look like?

We should understand which assets are serving residents well, which may be underused and whether some could responsibly generate greater value for the community.

That does not mean selling public land simply to balance a budget. It means approaching public assets strategically and transparently. At times, is it more appropriate to lease land so we are still at the table? Could an underused property support housing, local business, recreation or another community priority? Could a carefully structured partnership create jobs and expand our tax base while protecting the public interest? Can we work with qRD and Tla’amin and share cost and revenue?

Responsible growth and fiscal responsibility are not opposites. Thoughtful development can help create housing, employment and new municipal revenue. At the same time, residents deserve clear processes, appropriate safeguards and confidence that decisions are being made fairly.

We should therefore be asking:

• Is Powell River an easy place in which to bring forward a responsible idea?

• Are our development requirements clear, timely and consistent?

• Do we begin with “How can we say yes to a project?” while still protecting community interests?

• Are we actively inviting the kinds of investment and partnerships our community needs?

  
  

Good financial stewardship also requires us to examine how the City itself operates. Periodic independent reviews can help identify where employees are overwhelmed, outdated systems, duplicated work, unclear responsibilities and opportunities to provide better service. The goal should be a City Hall that is supported so staff turnover is low, effective, accountable and equipped to meet today’s needs.

Council must be willing to ask difficult questions, examine evidence and explain decisions in language people can understand. Before making a major decision, we should consistently ask:

• What problem are we solving?

• What is the complete financial picture including long term operating costs?

• Who benefits, and who carries the cost or risk?

• What alternatives and partnerships have been considered?

• What will this decision mean for residents ten to fifty years from now?

  
  

I believe Powell River has enormous potential. Moving forward will require more than cutting costs or raising taxes. We must increase our revenue. It will require curiosity, creativity, responsible risk-taking and a willingness to think differently about the assets and opportunities already around us.

We can disagree on answers. But we should trust that our elected leaders have asked thorough questions, listened and evaluated the answers, and have lead with the best information given at that time.

Listen. Learn. Lead.

Henrietta Johnson