OK, I am turning into an Alexis Weisend from the Columbian Staff Reporters, this was agreat article share with us about Vancouver, I reworte it in my word. For the original Article please see "Proposed Vancouver budget includes 5 new taxes and job cuts as city faces $43 million deficit"
Vancouver City Manager Eric Holmes has proposed a 2025-2026 budget to tackle a projected $43 million deficit. The plan includes introducing five new taxes, such as those on parking and movie tickets, along with job cuts impacting city departments.
“We faced some difficult choices, but overall, the budget came together positively,” Holmes stated at a Vancouver City Council workshop.
Despite the deficit, the proposed budget for 2025-26 is $46 million higher than the previous period due to carryover funding, according to budget manager Shannon Olsen. The total proposed budget amounts to $2.11 billion.
Proposed New Taxes
In response to inflation and slower growth, Vancouver is introducing new taxes for the first time in a decade.
“We’ve encountered unprecedented inflation, both nationally and locally, impacting all our cost areas,” said Natasha Ramras, Vancouver’s chief financial officer.
To mitigate cuts and address the shortfall, the city proposes several new taxes:
- Cable Tax: A 6% tax on cable services, expected to generate $1.9 million.
- Admissions Tax: A 5% tax on movie tickets, projected to bring in $400,000.
- Parking Tax: Starting in 2026, this tax will charge 15 cents per transaction for short-term off-street parking and 20 cents for on-street parking, generating $500,000 for transportation.
- Sales Tax: A 0.1% sales tax beginning in 2026 aimed at raising $6.5 million for arts and cultural programs in the Vancouver Arts District.
- Business and Occupation (B&O) Tax: A 0.1% tax on retail starting in 2026 to fund a 150-bed homeless shelter, anticipated to bring in $7.1 million.
Additional Revenue Strategies
The budget also considers other revenue-generating measures, including utilizing “banked” levy capacity from Proposition 2 to finance fire station projects, passing credit card fees onto consumers, and adjusting various fees for inflation.
The budget currently does not factor in Proposition 4, which voters will decide on in November. This measure would fund police staffing and expansion, including 80 new full-time officers and other enhancements like traffic enforcement cameras and homeless assistance programs. If approved, Proposition 4 would raise the city’s 2024 general fund property tax levy by 41 cents per $1,000 of assessed value and would bring in $15.5 million initially, reaching $36 million by 2030.
Workforce Reductions
The budget proposes cutting the city’s workforce by approximately nine full-time positions. This includes reducing hours, reallocating responsibilities, and eliminating certain roles, some of which affect the police and fire departments.
Proposed eliminations include a vacant records division position at the Vancouver Police Department, with shifts moving five corporals and two sergeants to patrol. In the fire department, three nonsworn positions would be cut, two of which are currently occupied.
Some council members voiced concerns over these reductions, particularly within public safety departments. Councilor Diana Perez highlighted the challenges posed by rising crime and drug enforcement needs, questioning the decision to cut fire and police positions.
Holmes clarified that no uniformed roles would be cut, but Councilor Sarah Fox expressed reservations about eliminating nonsworn positions, stating that reducing any staffing feels wrong.
Budget officials emphasized the difficulty of avoiding cuts in public safety departments, given that two-thirds of the general fund is allocated to police and fire services.
Next Steps
The city’s next budget workshop is scheduled for October 14, where further discussions will take place. The full budget details are available on the city’s website under the budget dashboard.
