Grants in lieu continue to rise, city finds

The city's mayor is expressing concern about the rising amount the city isn't collecting in taxes.

The city’s mayor is expressing concern about the rising amount the city isn’t collecting in taxes.

“The costs are going up and up and up,“ Bev Buckway commented Monday night.

She made the observation after council was presented with a recommendation to move ahead with a bylaw for the community service grants.

The grants provide various organizations and charitable groups with grants and property taxes and, in one case, utilities.

Buckway, as well as a report to council, suggested that at some point the city may have to cap the grants, after viewing the report.

The document shows the value given to each group rising annually as property values and taxes have jumped in recent years.

Grants total $126,376 for this year ($72,951.32 in property taxes and municipal charges along with $53,425.08 in community service grants).

Administration is recommending that the extra $5,814.84 it’s going over-budget on come from the city’s contingency reserve.

“The main reason for the variance between the amount budgeted and the applications is the increased property assessment of a number of properties,“ reads the administrative report to council.

“To compensate for this budget variance, the utilities component of the community services grant has been eliminated against this year, still leaving a balance to be contributed from other sources.“

It goes onto note that while museums, Crime Prevention Yukon, the Humane Society Yukon and the Downtown Urban Gardens Society don’t meet the current criteria for the grants, they’ve all been grandfathered in “as council has previously deemed them to be special cases warranting the granting of taxes and other municipal charges.“

Also not fully meeting the eligibility criteria is the Yukon Aboriginal Women’s Circle, which would receive a $7,244 grant in lieu.

The group is recommended for the grant because it primarily provides advocacy and support for Whitehorse aboriginal women and children only, it’s noted.

“Most, if not all, of the eligible organizations that apply for the grant have an expectation that the level of assistance from the city will be constant and have, over time, adjusted their operations accordingly,“ reads the report to council.

“For those groups with lease agreements, the terms require that property taxes and, in some cases, utilities be granted.“

The city had budgeted $140,500 for the grants, but council has the authority to vary the amount it grants.

A total of $120,158 in grants were approved in 2006 while $112,131 were approved in 2005.