Whitehorse Daily Star

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Photo by Vince Fedoroff

PROBLEMATIC BUDGETARY DIRECTION? – Rick Karp, the president of the Whitehorse Chamber of Commerce, addresses city council about the proposed new budget on Monday evening.

Budget attacks vulnerable citizens, council told

When private businesses look at enriching their profit margins, they go beyond simply putting prices up and explore where money can be saved in day-to-day operations.

By Stephanie Waddell on March 16, 2011

When private businesses look at enriching their profit margins, they go beyond simply putting prices up and explore where money can be saved in day-to-day operations.

And that's something Rick Karp, the president of the Whitehorse Chamber of Commerce, is suggesting the city needs to do.

Karp was one of three delegates to address council Monday evening during a public input session on the city's $63.4-million operating budget, a spending blueprint the chamber "does not support or endorse,” Karp said.

"This budget attacks our most vulnerable citizens,” Karp said of the plan.

The budget will see taxes hiked by four per cent (with plans for additional four per cent increases in 2012 and 2013), with water and sewer rates rising by 7.33 per cent.

Instead of raising taxes and fees, the city needs to set out its priorities, Karp said. He questioned whether officials had a third party review the document before it was approved to be brought formally to council.

High tax rates and utility charges do nothing to either attract business or keep it in Whitehorse, Karp told council as he noted the chamber's efforts to do both.

The city is not showing leadership with its budget and it is not aligned with the city's sustainability plan, Karp told council.

A Whitehorse businessman since the mid-1980s, Karp questioned whether the city had looked into issuing bonds as one way to generate funds.

However, Mayor Bev Buckway told reporters after Monday night's meeting the territorial Municipal Act makes it difficult for communities to raise funds any other way than through taxes and charging for services like sewer and water.

While the city has proposed other initiatives, such as a hotel tax, to the Yukon government, those discussions haven't gone anywhere.

Buckway is hoping the Our Town Our Futures initiative – looking at a variety of municipal issues in the territory – will help move it along.

Porter Creek resident Cam Koss had a few ideas of his own.

He wondered if the city had given any thought to increasing the tax rate to property owners who have properties with abandoned or dilapidated buildings, or those with sites which have remained vacant for a number of years.

Cuts could also be made in a number of areas such as clearing paths for cyclists during the winter, he said.

Buckway pointed out to reporters the question comes up of how the city would rate a site as being dilapidated.

What may seem as disorder to one person may not to another, she said.

And as for property that's sitting vacant, she wondered about residents who have a double lot and use the second one for well-kept yard space.

Another speaker questioned the numerous hirings the city is planning for the coming year and the associated costs.

"I'm interested in how much this is costing,” she said, also taking issue with money that will come out of reserves.

Coun. Doug Graham noted the new planning position will be paid for by the Yukon government as part of its contribution to develop the new Whistle Bend subdivision, and it's hoped that the sale of compost will pay the wages for a new compost technician.

He too, however, has taken issue with the city's reserves being diminished by $1.1 million to fund the city operations.

Along with presentations made during Monday night's meeting, the city received five written submissions on the budget.

A report on the public input will come forward prior to council voting on second and third readings of the budget.

Comments (7)

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philip on Mar 23, 2011 at 11:14 am

This mayor has had a tax and spend philosophy ever since she took office. However Whitehorse residents re-elected her last election so it's no surprise that the tax hikes continue.

Heaven forbid that the CoW stops creating new staff positions that somehow we've managed to do without up until now. Thank goodness some councillors are finally standing up and saying enough is enough!

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Kailey Irwin on Mar 22, 2011 at 11:46 pm

Hiking taxes and water and sewer costs is definalty not the answer. These increases will make it harder and harder for the younger generation of the Yukon public to get a life started. Not only are housing prices high but now they are adding to more costs and increasing the debt levels of those who are just trying to support themselves.

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Max Mack on Mar 18, 2011 at 3:37 am

I did not know that CoW allowed public input regarding its budget.

However, had I known and participated, I am not sure public input would have made any difference as Queen Bev and her entourage has consistently shown their contempt for any input other than input they want to hear.

CoW's spending is out-of-control, and they are using questionable accounting practices to raise taxes. Most of the water/sewer and other public infrastructure has been built and upgraded with federal/YTG dollars and yet the expenses are being passed onto taxpayers regardless.

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francas pillman on Mar 17, 2011 at 10:11 am

Blame the unions and their workers? What are you talking about. The union doesn't raise water and sewer taxes. They do not dictate tax levels. Again, what are you talking about? But it's always comical when people attack anyone in a union. Because all you are really telling the world with your comment is that you are jealous. Nothing more, nothing less.

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karlmarx on Mar 16, 2011 at 1:06 pm

The Chamber of Commerce played a key role in reducing benefits to our most vulnerable citizens, Injured Workers!

That's because the Chamber wanted to reduce WCB premiums payed by employers, including Mr Karp.

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JC on Mar 16, 2011 at 9:35 am

Blame the greedy union and their workers. Their salaries have increased too much over the years. Four percent was not enough. They should have doubled their taxes. Serves them right.

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JuneJackson on Mar 16, 2011 at 7:55 am

If its one thing buckway and council are good at its running to the bank to borrow money and raising taxes.

They aren't very good at NOT taking that trip, or asking groups to do a little more fundraising before asking the city for a handout.. they aren't very good at managing the numbers of staff or cutting back on the catering to their committees and meetings..in fact.. they haven't once mentioned cutting back on anything as an alternative to hiking prices up so high that the very people who are trying to eat something fresh will be driven back to McDonalds coupons.

I am so very sorry you all got elected again.

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