Cranbrook city council has formally approved a tax rate bylaw that will see a 3.97 per cent increase on residential taxes, depending on changes in assessed value over the last year.
The city has budgeted revenues of $66 million, of which $27 million will be raised through property taxes. Residential ($16.8 million) and business ($9.7 million) make up the majority of the general municipal property tax classes.
Included in the $27 million is a one per-cent dedicated road improvement tax that is expected to raise $2.2 million.
The tax rates were developed with a 61/36 per cent split between residential and business class taxes, according to a city staff report.
Properties within the City of Cranbrook have a collective assessed value of $2.79 biillion. Based on data from B.C. Assessment, residential and business class average assessed values increased by 5.03 per cent and 4.4 per cent, respectively, over the last year.
The city illustrates the tax impact on a residential property valued at $300,000 in 2018 and extrapolates based on a 5.03 per cent average increase in assessed value for 2019. See the chart below.