Nanaimo’s third attempt to secure $90 million for public works fails

Nanaimo has failed in its third attempt to win support from residents to borrow $90 million to upgrade its nearly 70-year-old public works facilities.

The City Council is set to meet Monday to consider next steps as it begins to consider next year’s budget and property taxes.

Nanaimo has turned to an alternative approval process in hopes of being able to borrow money to build new buildings to maintain the fleet and manage crews on its public works site.

The process fails if at least 10 percent of eligible voters fill out forms objecting to the borrowing.

A total of 8,655 valid opposition election forms had been received by the Oct. 31 deadline, representing 10.85 percent of voters, the city announced Friday.

The city first tried to create an AAP in 2023, but it was abandoned after an administrative error came to light.

A second attempt was made in February, but this was also stopped due to concerns about the availability of forms.

In the latter case, the city completed the process within 42 days—12 days longer than required by provincial law.

Nanaimo resident Sandy Bartlett was against the city’s use of an alternative approval process and expressed concerns about the project itself, which he called a “negative billing” process.

Bartlett proposed that the city submit large borrowing proposals to voters in a referendum when municipal elections are held every four years, which would limit voting costs.

“If you have a majority of people supporting a capital project, I think you should build it. If you don’t, I don’t think you should build it.”

Bartlett said the information presented to Nanaimo residents did not detail potential backup funding and only included concept drawings.

And while Bartlett believes the city has demonstrated the need for new service bays for its equipment, he was concerned that the planned facility would be too expensive.

He also didn’t like the idea of ​​a new staff office building, saying it wasn’t necessary as governments at all levels were trying to contain costs.

Nanaimo Mayor Leonard Krogh said he was disappointed with the outcome, saying the public works plan “remains an important community project.” Its construction is in the public interest.”

Putting the borrowing plan to a full referendum would cost about $300,000, he said. “However, what the council decides to do remains open at this time.”

Public works employees currently work out of “cobbled-together” trailers, Krogh said, and the city has significant assets, including fire trucks, that cannot be handled or properly maintained within existing facilities.

As for funding the work within the city’s annual budget, Krogh said trying to do it over the next few years is “pretty unrealistic” because of the impact it would have on property taxes.

The City of Nanaimo is beginning its annual financial planning for the coming year. The proposed draft plan calls for an 8.7% increase in property taxes, including a 1% increase in the general asset management reserve fund and a 7.7% increase in property values. taxes.

Under the draft user fee plan, sewer rates would increase by four percent, water fees would increase by five percent and sanitation fees would increase by 5.7 percent.

Under that scenario, for a typical home valued at $783,808, property taxes would rise to $3,091 in 2025, or $4,037 if higher user fees are added, up from $3,744 in 2024, municipal records show.

City budget documents can be found at www.nanaimo.ca/goto/budget.

Residents can attend eTown Hall on Financial Plan Monday and submit questions at nanaimo.ca/goto/etownhall, on X (formerly Twitter) using the hashtag #NanaimoTH, and on the eTown Hall event page on www.facebook. .com/CityofNanaimo.

During the meeting, they can ask a question in person or submit it online.

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