- 2a

However, under existing legislation we are required to pay 10%, Unfortunately

we have now learned that this year the 10% share will require a per capita monthly
billing of $1.60, wp from $1.30 during the past 12 months. This amounts to an
additional $3.60 extra per capita for the forthcoming fiscal year, or a total of
approximately $6.3 million being raised from municipalities. I find that this is
an incredible additional amount to be borne, and one that is completely unsupport-
able under any criteria. In terms of the general restraints being advocated by
your Government this year, it is far in excess of a reasonable increase as it
amounts to 23% more. ;

Worse, the Government has already recognized the difficult financial position of
the municipalities by granting us an additional $10 million under the Interim
Revenue Sharing Programme through the Minister of Municipal Affairs but this added
load from your Department takes back almost two-thirds of that amount,

In addition, I have learned this morning that some municipalities have only just
been advised that their monthly welfare per capita billing will be $1.60, when

in compliance with the Statutes they have already set their tax rates for 1976

(the rates by-law to be finalized by May 15th), and thus they have not made adequate
provision for this increased monthly billing. Some East Kootenay municipalities
which received their April, 1976, billing on May 14th, now realize that they
should have levied at least another one or two mills on their taxes but due to

lack of official notice, have not done so,

It seems to me that school boards, regional boards, the Assessment Authority and
the Municipal Finance Authority are all required under Statutes to advise
municipalities of their tax requirements well before May 15th, and I can see

no good reason why similar information cannot be made available by your Depart~
ment at a time when the necessary amounts can be budgetted. Under present
circumstances, it is not done and the result is that municipalities will be
greatly under budgetted.

Municipal Calculation of Costs

In the municipalities which are responsible for paying 10% of welfare ccsts,
there are approximately 1.82 million people. In all of B,C. there are approximately
2.1 million people. But the 1.82 million are charged for welfare costs three
times =
- they pay towards the Federal 50% share of welfare costs through
their Federal taxes, as it is reasonable to say that most pay
at least some income taxes.

they pay towards the Provincial 40% share of welfare costs through
theix Provincial taxes, as it is reasonable to say that most pay
at least some yrovincial income and sales taxes.

AND they pay again through their property taxes, to provide the
10% municipal share.

As you stated in your U.B.C.M. Convention report quoted earlier, the municipal
property owmers are being affected by double taxation. The truth of the matter
is that the municipal property owner is paying three times, while his 300,000
fellow-citizens living in the non-municipal areas of B C. are paying twice. If
the Government recognizes that the 10% municipal share is a charge against real
property, then in order to be fair and equitable, that charge should be made
against all property in the province and not restricted to that property which
is im the 67 municipalities over 2,500 population.

I sincerely urge you to give immediate review to the matters raised in this letter.

Yours truly,
M.S. Evers, Mayor,
ect The Hon. H.A. Curtis President, U.B.C.M.