Council endorses 2024 budget carryovers

March 18, 2024

News Release

Kelowna City Council approved the City’s 2024 carryover budget requests at the Monday, March 18 regular Council meeting. The $279 million carryover budget includes the previously approved operating and capital expenditures for projects that span multiple years or were unable to be completed in 2023.

Budget carryover projects do not add to the current year’s taxation demand, as they are funded through the previous year’s council-approved budget. The 2024 carryover projects include the Soaring Beyond 2.5 Million Passengers Airport Improvement Fee program, Rutland Centre Sewer Connection project, the Highway 97 Pedestrian Overpass, Dehart Park and Glenmore Recreation Park.

The total 2024 preliminary budget is $562.7 million. Of that, the gross taxation demand is $190 million. Once budget carryovers are applied and the financial plan is finalized in April, only approximately 25 per cent of the City’s 2024 operating and capital costs will come from annual taxation.

The City’s non-tax revenue sources include grants and income from user fees including those from self-funding business units such as, Kelowna International Airport, the City’s water and wastewater utilities and solid waste operations. Development Cost Charge revenue for 2024 will total to $61.4 million and will fund over 40 key infrastructure projects to accommodate growth.

To provide greater clarity of services, including the associated costs, this year, the City shifted from traditional budgeting to service-based budgeting. The new approach is designed to facilitate more thoughtful discussion and review of service levels, and to give residents and Council a better understanding of how, where and when the City can redeploy finite resources to areas of need.

The 2024 budget prioritizes:

Investing in community safety through additional and enhanced resourcing for RCMP, Bylaw Services and the Kelowna Fire Department.
Addressing homelessness head on through investments in community programing and social development.
Keeping Kelowna moving by investing in more transit infrastructure and prioritizing sustainable transportation and shared mobility.
Focusing on the impacts of climate change by investing in proactive ways to tackle wildfire and flood mitigation, and providing financial incentives to residents and businesses that participate in renewable and efficiency programs.
Improving how citizens do business with the city through digital transformation strategies that leverage technology to create more access and efficiency for residents and businesses.

Based on the average value single-detached home in Kelowna, Council approved a $112.74 increase to property taxes. The 4.75 per cent increase—or $9.39 per month—includes the continuation of a one-per-cent public safety levy to help fund the addition of 16 new RCMP members, seven firefighters and six bylaw officers. City taxes are only one portion of a property tax bill, which also includes amounts the City collects on behalf of the province and Central Okanagan Regional District, and school and library levies.

There are three stages of the City’s annual budget process: preliminary budget in December, carryovers in March and the final budget that will be presented on April 22, 2023. At that time, council will consider the final budget for adoption, including setting the final taxation demand increase. To review the 2024 preliminary budget, subscribe for budget e-updates and for more information, visit kelowna.ca/budget.