Financial Plan


A healthy community requires strong financial planning.


Each year, the City develops a balanced budget that governs how much it needs to spend to provide services for that year and how much revenue it will need to fund those services. The annual budget is part of the City’s Five-Year Financial Plan that forecasts future budgeting to ensure accountability and service delivery to taxpayers. The plan considers external economic opportunities and pressures and the long-term vision for the City, balanced with the need to provide the essential services that residents rely on every day. 

The Financial Plan is guided by Council’s Strategic Plan, which outlines the vision and four-year direction of Council and informs the work of the organization. The Strategic Plan is an indispensable tool for tackling issues and opportunities and ensuring resources are used effectively. All of which helps to continue our efforts to create a healthy, thriving, and resilient community for people who live here now and for those who will in the future.

There are three main categories of the City's Financial Plan:

  • Operating Budget: Ensures the dependable delivery of essential services and programs, including public safety, transportation and transit, recreation and culture, and more.
  • Capital Budget: An investment plan for maintaining, improving and building essential infrastructure, including the new Harry Jerome Community Recreation Centre, roads and sidewalks, parks and trails, and more.
  • Utilities Budget: Ensures effective and sustainable delivery of water, sewer services and waste collection.
Draft 2024 Budget Update

The draft 2024–2028 Financial Plan and a summary of public feedback were presented for Council’s consideration during the City Council meeting on Monday, February 5, 2024. During the meeting, Council requested that staff update the Financial Plan to reflect options for a baseline tax rate increase of 6.5 to 7.5%. The updated Financial Plan will be presented for Council’s consideration during the City Council meeting on March 11, 2024.

Frequently asked questions (FAQ)

What is the annual budget and Financial Plan?

Each year, the City develops a balanced budget that governs how much it needs to spend to provide services for that year and how much revenue it will need to fund those services. The annual budget is part of the City’s Five-Year Financial Plan that forecasts future budgeting to ensure accountability and service delivery to taxpayers.

The plan considers external economic pressures and the long-term vision for the City as outlined in Council’s Strategic Plan, balanced with the need to provide the essential services that residents rely on every day. 
 

What guides the Financial Plan?

The Financial Plan is guided by Council’s Strategic Plan, which outlines the vision and four-year direction of Council and informs the work of the organization. 
 

What does a balanced budget mean?

A balanced budget means money going out must equal money coming in, or revenues equal expenditures. In British Columbia, legislation requires local governments to have a balanced operating budget, which means the City may not run a deficit or borrow money to fund its annual operations. The City considers a combination of funding sources to balance the operating budget and address new funding priorities.
 

What does the Financial Plan fund?

Much of the plan is used to fund important services such as public safety, transportation, recreation, utilities, parks, the library, and other City services and infrastructure, as well as initiatives identified as a priority through Council’s Strategic Plan
 

What are the main components of the Financial Plan?

  1. Operating Budget: Ensures the dependable delivery of essential services and programs, including public safety, transportation and transit, recreation and culture, and more.
  2. Capital Budget: An investment plan for maintaining, improving and building essential infrastructure, including the new Harry Jerome Community Recreation Centre and The Hub: North Shore Neighborhood House Redevelopment, roads, sidewalks and mobility corridors, parks and trails, and more.
  3. Utilities Budget: Ensures effective and sustainable delivery of water, sewer services and waste collection.

How does the City fund its programs and services?

When funding the annual budget, the City identifies and accounts for all sources of revenues, which includes fees for permits and licencing, rent earned from City land, grants from different levels of government, and interest on investment income. After all revenues have been exhausted, property taxes are then applied to fill the balance. The City continually seeks new revenue streams and capacity-building opportunities to inform the City’s budgeting process.
 

Can the City incur debt?

Debt can only be used to finance the purchase or construction of capital assets such as land, emergency vehicles, buildings, water mains, roads and parks. To do this, the City would enter into a long-term capital borrowing through a loan authorization bylaw. Long-term capital borrowing is typically only used for larger, long-term capital projects like the development of a new civic facility. 
 

What external factors affect the budget?

Many external factors may affect the budget, including:

  • Inflation 
  • Regional utility charges, set by Metro Vancouver
  • Labour market trends
  • Supply chain challenges
  • Climate change

How are property taxes calculated?

Once the City has determined its planned annual operating expenditures and taken all other revenues into account, it determines the balance required from property taxes and sets a municipal tax rate to collect the required amount from property owners.

Your share of municipal tax required to balance the budget is determined by the value of your property relative to the average property assessment in the municipality in a given year. If your property’s assessed value varies from the average in its property class, your property taxes will either be higher or lower than the City’s overall change in tax rate. BC Assessment provides annual value assessments for all properties in British Columbia by January each year.
 

How do water and sewer utility rates affect property taxes?

The Utilities Budget is part of the Five-Year Financial Plan. However, annual water and sewer utility rates are calculated and billed separately from property taxes.
 

I am not a homeowner. Does the budget affect me?

The budget affects all community members who enjoy the City’s vast number of services, amenities and infrastructure. Whether you rent, own a home, or run a business in the community, the City’s budget affects you and your feedback is encouraged during the annual budget development process. 
 

How can I give feedback on the budget and how will my feedback be used?

The public is invited to provide feedback on the draft budget during the annual budgeting process. A summary of feedback is shared with City Council, and comments are considered, where possible, as Council reviews the draft Financial Plan.

About the draft 2024 budget

The draft 2024 budget proposes a base budget of $397.7 million. The three main categories of this budget are:

  • Operating budget of $101.7 million
  • Capital budget of $144.0 million 
  • Utilities budget of $48.7 million

 

The following documents are available for review:

Previous Capital Plans

Previous Operating Budgets

 

Contact Us

Finance Department
Phone: 604-985-7761
Email: finance@cnv.org

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