; TERRACE: STANDARD Business Review City third worst in B.C. for business Local business leaders doubt survey's result By DAVID TAYLOR A RECENTLY released -Teport ranks. Terrace as the province’s third worst city in which to do business. But the Terrace and Dis- trict Chamber of Commerce says things aren’t nearly that bad. “We've had 133 new business starts here this year,”’ says chamber presi- dent Sharalyn Palagian. ‘'T think that says something.’ Terrace was one of 22 municipalities across B.C, surveyed for a study by the Canadian Federation of In- dependent Business. The survey asked the owners of small and medium-sized businesses to rate the per- formance of their municipal governinent, Questions included rating local. government on the value and distribulion of taxes, the value of local spending, control of public sector’ wages, fairness of bylaws and regulations, and overall awareness of small business issues. None of the 22 cities received a passing grade. The average mark was only 3.2 out of 10. Terrace was well below average, however, at 2.14. Only Nanaimo and North Van- couver rated lower. City economic develop- ment officer Ken Veldman says he was not happy to see the results. “"] was disappointed to say the least,’’ he says. “‘It was especially bad to see it in a major provincial publication (the Vancouver Sun).”’ Veldman says he was also surprised to see the poor rating sittce he thought Ter- race had been gaining a: reputation as pro-business and development. ' But Veldman admits the city does have a high tax rate on small businesses compared to many olber areas. “That’s always been a big complaiut,’’ he says, However, Veldiman says the city has been taking steps to reduces both taxes and red tape, so council is headed in the right direc- tion. “Tf anything this will tenew the vigour of our B.C, munielpalities, ranked on a scale of 1 to 10 by focal businesses that responded to a survey: Chilliwack — 4.66 Kelowna — 4.39 Tri Cities — 4.33 Burnaby — 4.19 Vancouver — 4.09 Maple Ridge — 3.95 Kamloops — 3.9 Victoria — 3.84 Delta — 3.82 Abbotsford — 3.68 New Westminster — 3.46 Richmond — 3.4 Capital Region — 3.34 Courtenay — 3.3 Duncan — 3.29 Surrey — 3.25 Langley —- 3.07 Prince George — 2.68 Prince Rupert — 2.22 Terrace — 2.14 - Nanaimo — 1.94 North Vancouver — 0,9 goals,”’ he says. ‘‘Our rela- tionship with the business community is something we should be priding ourselves on,’’ City councillor = Val George echoed the surprise but said he understands sentiments here about being among the highest taxed businesses in the province. “Our businesses support almost 40 per cent of our to- tal tax base. And that’s al- most double the average in B.C.,’’ George said. ‘But there’s not a heck of a lot we can do about it be- cause our residential rates eye te te . ste oe ke Bat “We've had 133 new business starts here this year. | think that says something.” and our industry rates are also pretty high in com- parison to the rest of Briish Columbia.” Members of Tertace’s chamber of commerce weren't pleased with the report either. Sharalyn Palagian “Everyone was kind of outraged by il,”’ says local businessman Gerry Martin. “The initial reaction is to get your back up and say it’s not that bad here.”’ Sharalyn Palagian agrees. While she says the survey obviously shows a dis- satisfaction with local government, she points out that part of the problem has been the downloading of services from the province. And she says that gener- ally Terrace is a good place for sinall business. “The number of business Start-ups show we have a healthy community here,”’ she says. ‘“‘Small and medium-sized are the major source of new jobs. They create long-term stability that help the town prow.” Palagian says that red tape is a problem, as it is in most communities. But she ques- tions the methodology of the sgurveys | “They only surveyed people who belong to their association and J] don’l know how many they talked to,”” she says. “‘And their questions could have been more specific.”’ But Palagian says the study is uscful in that il points out that there is definitely room for im- provement. “Perhaps the municipalily should review the way they treat businesses,”’ she says. ‘Maybe we should be working mare closely to- gether.’’ _ James W. Radelet RADELET & COMPANY Barristers & Solicitors Tax Law + Trusts» Corporate & Commercial 1330 - 1075 West Georgia Street, Vancouver, B.C. V6E 309 Phone:.604-689-0878 Fax: 604-689-1386 olf ARINI Notewarthy Piane Senice Tim Keenan, M.Se.,C.P.T. Tuner / Techniclan Fresh Halibut Available every day of the. woek, nes ees & Chips! Phone: 1-250-635-9736 businesses © 4702 Lakelse Ave., Terrace Ph. 635-6302 « Fax 635-6381 Formerly Terrace Slumber Lodge OPEN:NG We are featuring in store demonirations Join us & celebrate with extraordinary savings throughout the store! -Gyproc g 4/2 inch 4x8 cash & carry REAL ESTATE House prices, sales tumble, stats show REAL ESTATE prices and the number of homes sold have fallen substantially, ac- ‘cording to the Northwest Real Estate Board, Figures released to the end of July show that after remaining close to last year’s sales volume through the spring, the num- ber of hoines sold in the northwest plunged in June and July, Just 19 units worth a total $2.7 million were reported sold in July, compared to 32 units worth $4.3 million in the same month of 1996. That's a decrease of nearly 40 per cent. Meanwhile the trend of monthly increases in the average price of single-family homes reversed itself. and prices fell in June and July. The real estate board reported the average price for a single-family home at $156,020 in May. That dropped to $154,648 in June, and then to $148,317 in July, That’s a drop of more than five per cent. August's numbers won’t be available for a few weeks. . The change in the market is definitely a result of the fallout from the shutdown of Skeena Cellulose, local realtors say. “'There’s no doubt about il — it’s slower than last year and years before,’’ said John Evans, a realtor with Re/Max of Terrace. “Certainly SCI has affected a lot of buying decisions: of plenty of purchasers out there.’’ Sales in the upper price ranges — and | even anything over $150,000 — have been Northwest real estate sales $ millions 6 1996 5 4 3 2 Northwest real estate sales |" tumbled to $2.7 milllon in 1 July, down 37 per cent from a year ago. 0 May June July Source: Northwest Real Estale Board very slow, Evans said, The rest of the market below that fi figure, however, is down somewhat- bul has remained relatively slable, he said. Homes are still selling, added Coidwell Banker’s Lisa Godlinski. Bul she noted that the ones that are moving have had lo cut their prices, *‘People are nervous,” she said, “It’s a buyer’s market.” She said there are about twice as many listings on the market as usual now. Recycle Yourself. Tht Kiedy Fane . qe Can | BC Branch ; (604) 136-9775 ar 1-B00-567-B112 (604) 877-2100 ot 1-800-663-6189 Decide to Be an Organ Donor and Tell Your Family. Brlilch coe yee Soclety . FOUNDATION (604) 681-4588 or 1-800-896-7266 from various company representatives who will answer any questions you may have. All Gardening Truckload sales Accessories, event!! Soils, Pots, etc. FIBREGLASS PINK INSULATION. HUGE SAVINGS Refreshments, popcorn & more! LSA A Spend some time with The Irly Bird —_ a IRLY BIRD — ww, 4425 Keith Ave., Terrace B.C.