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This third edition of the BC Municipal population, had been able to keep spending
Spending Watch report extends the analysis of growth in line with population and inflation
municipal financial data to 2008. From 2000 to growth between 2000 and 2008. If operating
2008, municipal operating spending in BC, spending had stayed in line with the
which does not include capital expenditures, population and inflation benchmark since
grew by 57.7 per cent, while population and 2000, British Columbians would have saved
inflation grew by 28.7 per cent. We use these more than $883 million in 2008 alone, an
numbers to calculate what we call the Fiscal average of $228 per person or $904 for a
Sustainability Gap (FSG), a measure of the family of four.
affordability of municipal spending growth. In
2008, the Fiscal Sustainability Gap is 2.01. Figure 1.1:
British Columbia aggregate
The growth in municipal operating spending in operating spending compared to
2008 over 2007 was 9.7 per cent, compared to population and inflation growth,
a population and inflation growth of 4.01 per
2000-2008
cent. This represents the largest increase in
the Fiscal Sustainability Gap. In 2004, the year
with the second highest increase, operating
spending increased 6.6 per cent while
population and inflation increased 3.4 per
cent. If municipalities continue to spend at
rates double that of population and inflation
growth, the sustainability of the programs and
services these programs fund will be in
jeopardy—taxpayers’ paycheques are simply
not increasing at an equal rate.
Source: BC Government, Ministry of Community
By 2008, less than one in ten municipalities, Services
representing only 1.2 per cent of the provincial
www.cfib.ca
BC Municipal Spending Watch 2
Another way to look at spending trends is to spending. Using another benchmark, real GDP
compare per capita spending across the growth, shows that operating spending growth
province. In 2000, municipalities spent $866 by municipalities is still unsustainable.
per capita on average. In 2008, they spent Adjusting for inflation for each indicator
$1240 per capita. shows that operating spending grew by 35.0
per cent while GDP grew by 24.1 per cent (see
The first edition of this report, published in Figure 1.3).
2008, found that operating spending in BC’s
municipalities had increased 36 per cent from Figure 1.3:
2000 to 2006 while population and inflation Real operating spending versus
growth had grown by 21 per cent. The second real GDP growth, % change
edition, published in 2009 and studying data relative to 2000
from 2000 to 2007, found that operating
spending had risen by 44 per cent compared
to a rise of 25 per cent in population and
inflation. To highlight this increasing gap in
fiscal sustainability, the numbers have been
reconfigured below in a bar graph (see Figure
1.2).
Figure 1.2:
Operating spending growth and
population and inflation growth,
% change relative to 2000 Sources: BC Government, Ministry of Community
Services, BC Stats.
of revenue in
Sustainability
services as %
Gap 2000-
payments, 2000-2008
Sale of
Fiscal
2008
2008
Port Clements 78.12% 20.25
Masset 73.72% 16.33
Nelson 66.68% 1.44
Penticton 63.10% 3.56
Cache Creek 57.39% 2.45
Summerland 56.09% 5.05
Oliver 55.18% 3.56
Port Hardy 54.93% -0.53
Grand Forks 53.90% 3.40
Osoyoos 50.71% 3.12
Pemberton 47.66% 1.62
Lake Cowichan 45.04% 0.67
Kelowna 44.88% 2.02
Vancouver 44.68% 1.92
AVERAGE 33.00%
Source: BC Government, Ministry of Community
Note: Population and inflation growth over this Services
period was 28.7 per cent.
Source: BC Government, Ministry of Community Municipal property taxes are used to provide a
Services range of local services. As such, they are
determined according to what these services,
This illustrates the trend to increasingly rely
including wages and benefits for municipal
on revenues from the sale of services (user
employees, ultimately cost. During the
fees) instead of property taxes to fill revenue
budgeting process, each municipality
shortfalls. While in theory ensuring the user of
determines the revenue required for a given
the service pays for the service is a good idea,
year’s operating costs. They then subtract all
in practice the reliance on user fees may lead
known revenues (derived from permits,
to unsustainable spending choices—municipal
licenses, fees, etc) from this amount. Property
leaders may choose to increase parking rates
tax rates are then set for each property class
or business license fees to pay for increased
spending rather than to increase property
taxes, a highly visible tax and potentially
3
politically damaging tax. Municipal leaders say that they only get 8 cents on
every dollar of taxes raised by all governments.
However, user fees are now used to generate
additional revenues equaling or greater than the
property tax revenue.
BC Municipal Spending Watch 6
Sustainability Gap (FSG) in 2008, a ratio defined and these municipalities are noted
measure that compares the growth in with a ND (Not defined). For example, Prince
operating spending with the growth in Rupert experienced a decline in municipal
population and inflation between 2000 and spending of 16.4 per cent and a decline in
2008. For comparison purposes, the FSGs from population and inflation of 3.9 per cent.
2006, 2007 and 2008 for each municipality Plugging these numbers into the formula leads
with a population over 5,000 are available to an FSG of 4.17, a relatively high FSG but not
following the 2008 spending trend table in this logically true (spending decline was higher
section. than population and inflation). Only a few
municipalities fall into this category.
20000-2008
2000-2008
2000-2008
only 12.4 per cent. This is a significant
increase in Prince George’s Fiscal Sustainability
Gap. In 2007, it was 2.89, while in 2006, it was
3.64 (see Table 3.2). An increasing FSG shows
continued overspending.
Prince George 48.0% 12.4% 3.87 27,110,492 $1,464
The savings for a family of four if Penticton 67.8% 19.1% 3.56 19,436,616 $2,361
municipalities had kept spending to Langford 200.7% 56.8% 3.54 10,920,630 $1,674
sustainable rates in 2008 range considerably, North 60.3% 17.7% 3.41 29,233,539 $1,359
Vancouver-
from $214 in New Westminster to $2,361 in District
Penticton. Families should assess whether or West 52.3% 14.5% 3.19 17,010,471 $1,588
Vancouver*
not they received additional value-for-money North 62.4% 22.6% 2.76 15,824,287 $1,326
for having been asked to spend above the Vancouver-
City
sustainable operating spending level. Can they Vernon 77.3% 29.6% 2.61 10,287,057 $1,070
afford to keep paying above the sustainable Maple Ridge 82.8% 34.7% 2.38 18,692,334 $1,011
level year after year? Delta 35.8% 15.2% 2.36 20,455,511 $822
Chilliwack 81.3% 34.7% 2.34 15,787,397 $842
Figure 3.1: Langley- 73.4% 31.6% 2.33 22,913,562 $904
District
Operating spending growth and Coquitlam 52.4% 23.2% 2.26 25,110,960 $827
population and inflation growth, North 57.9% 25.7% 2.25 5,315,981 $728
Cowichan
Prince George, 2000 2008 Victoria 53.0% 24.4% 2.18 25,985,175 $1,270
Abbotsford 69.4% 32.1% 2.17 27,866,006 $835
Langley-City 45.7% 21.4% 2.14 4,390,413 $693
Port 50.9% 24.0% 2.12 9,703,712 $698
Coquitlam
Campbell 45.1% 21.7% 2.08 5,854,063 $756
River
Saanich 47.9% 23.2% 2.07 18,557,525 $656
Kelowna 79.9% 39.5% 2.02 36,845,880 $1,244
Vancouver 54.5% 28.4% 1.92 159,240,862 $1,034
Surrey 82.5% 43.5% 1.90 73,827,624 $681
Kamloops 48.0% 25.3% 1.90 16,913,192 $785
Richmond 57.1% 31.3% 1.83 37,931,089 $742
Nanaimo 52.4% 28.6% 1.83 15,376,210 $803
Burnaby 47.6% 28.6% 1.67 30,833,297 $565
Mission 53.1% 32.3% 1.64 5,250,530 $573
Source: BC Government, Ministry of Community Port Moody 71.6% 51.9% 1.38 4,171,067 $528
Sustainability
Sustainability
2000-2006
2000-2007
2000-2008
Fiscal
Fiscal
Gap
Gap
Gap
Figure 3.5:
Operating spending growth and
population and inflation growth,
Vancouver, 2000-2008
Sustainability
Sustainability
Sustainability
2000-2006
2000-2007
2000-2008
would have saved
Fiscal
Fiscal
Fiscal
Gap
Gap
Gap
2000-20008
2000-2008
2000-2008
Figure 3.7:
Operating spending growth and
population and inflation growth,
Oak Bay, 2000 2008
Table 3.5:
Operating spending growth and Table 3.6:
population and inflation growth, Fiscal Sustainability Gaps, 2006,
municipalities with a population 2007, and 2008, municipalities with
between 5,000 and 10,000, 2000- a population between 5,000 and
2008 10,000
Sustainability
Sustainability
Sustainability
2000-2006
2000-2007
2000-2008
2Fiscal
Operating Expenditure Growth
Fiscal
Fiscal
If excess spending in 2008 had
been eliminated, a family of 4
Gap
Gap
Gap
Population and Inflation
2000-2008
2000-2008
Figure 3.8:
Operating spending growth and Section 4: Spending Levels
population and inflation growth,
Trail, 2000 2008 While the previous section almost exclusively
reported the growth in spending over time,
this section compares current levels of per
capita spending in order to get a more
complete picture of municipal finances. In
each section, municipalities’ Fiscal
Sustainability Gaps in 2008 have also been
included for reference.
few reasons why this may occur. For examples, Table 4.1:
while all municipalities are legislated to Per capita operating spending,
provide basic services, such as fire and police, municipalities with a population
some spend less using volunteer firefighters over 25,000, 2008
and the RCMP instead of their own officers.5
% increase in
Sustainability
Per Capita
2000/2008
Gap 2000-
per capita
operating
Spending
spending
Also, among other factors, the geographic size
Fiscal
2008
2008
and terrain vary significantly, leading to
different and varied maintenance costs.
Although this should not affect the Penticton 2,032 64.7% 3.56
Victoria 1,697 43.0% 2.18
conclusions of the previous section, which West Vancouver 1,681 53.0% 3.19
analysed growth, such considerations are New 1,574 21.0% 1.15
relevant when considering spending levels. Westminster
Vancouver 1,535 41.3% 1.92
These factors aside, responsibilities delegated
Prince George 1,521 53.9% 3.87
to municipalities are the same across the Kelowna 1,384 50.7% 2.02
province, which should act to limit the Delta 1,354 37.9% 2.36
variation in per capita spending. North 1,354 54.7% 2.76
Vancouver-City
North 1,278 59.1% 3.41
Municipalities with a population Vancouver-
over 25,000 District
Kamloops 1,277 38.1% 1.90
Richmond 1,219 39.9% 1.83
Per capita spending in British Columbia’s large Nanaimo 1,190 38.4% 1.83
municipalities varies less than any other Campbell River 1,172 39.3% 2.08
grouping of municipalities (see Table 4.1 and Port Moody 1,151 32.0% 1.38
Burnaby 1,094 34.3% 1.67
Figure 4.1). Penticton spent the most per
Coquitlam 1,080 44.7% 2.26
capita at $2,032 an increase of 64.7 per cent West Kelowna 1,076 n/a n/a
per capita since 2000. Surrey spent the least Mission 1,055 35.2% 1.64
per capita at $797, an increase of 48.7 per cent Langley-City 1,037 40.3% 2.14
Vernon 995 59.8% 2.61
per capita since 2000.
Port Coquitlam 982 42.1% 2.12
Saanich 980 40.3% 2.07
British Columbia’s largest city, Vancouver, Maple Ridge 962 58.5% 2.38
spent at the high end at $1,535. Victoria, the Abbotsford 946 49.9% 2.17
provincial capital, spent more per capita, at Langley-District 937 54.0% 2.33
North Cowichan 893 46.8% 2.25
$1,697. These represented increases of 41.3 Langford 874 124.2% 3.54
per cent and 43.0 per cent per capita since Chilliwack 820 57.3% 2.34
2000, respectively. Surrey 797 48.6% 1.90
Source: BC Government, Ministry of Community
Services. Note: West Kelowna was incorporated in
December 2007 as “Westside.” It was renamed West
Kelowna in December 2008
*See note on West Vancouver on page 9.
5
Municipalities with RCMP-contracted services
receive 10-30 per cent in federal funding due to an
acknowledgement that local officers have to enforce
federal laws.
BC Municipal Spending Watch 16
% increase in
Sustainability
Per Capita
2000/2008
Gap 2000-
per capita
operating
Spending
spending
Fiscal
2008
2008
Dawson Creek 2,415 69.8% 3.85
Prince Rupert 1,990 1.7% ND
Summerland 1,729 85.5% 5.05
Williams Lake 1,656 50.7% 3.94
Powell River 1,648 5.9% 0.25
Cranbrook 1,490 82.0% 5.19
Port Alberni 1,463 27.0% 2.03
Fort St. John 1,413 42.2% 1.87
Squamish 1,386 57.3% 2.47
Oak Bay 1,352 43.4% 2.81
Terrace 1,306 30.0% -6.37
Esquimalt 1,284 51.0% 2.51
Sidney 1,223 41.8% 2.33
Courtenay 1,149 35.4% 1.50
Source: BC Government, Ministry of Community Parksville 1,132 41.5% 1.97
Services White Rock 1,104 44.1% 2.58
Lake Country 1,097 69.0% 2.68
Municipalities with a population
Central Saanich 1,091 48.4% 2.64
between 10,000 and 25,000
North Saanich 1,057 73.4% 4.00
Per capita spending in British Columbia’s mid- Salmon Arm 1,032 49.7% 2.38
size municipalities varies considerably (see Pitt Meadows 939 71.8% 2.80
Table 4.2 and Figure 4.2). Dawson Creek spent Colwood 831 110.4% 4.46
the most per capita at $2,415, an increase of Comox 769 22.3% 1.19
69.8 per cent per capita since 2000. Sooke 650 271.3% 8.74
Coldstream 566 60.7% 2.91
Coldstream spent the least per capita at $566,
an increase of 60.7 per cent per capita since Source: BC Government, Ministry of Community
Services
2000.
Sustainability Gap
% increase in per
capita operating
Spending 2008
Per Capita
2000-2008
2000/2008
spending
Fiscal
Whistler 5,418 65.9% 3.12
Nelson 2,558 25.2% 1.44
Quesnel 1,918 66.4% 6.83
Kitimat 1,910 39.9% -13.02
Kimberley 1,847 71.1% 5.19
Trail 1,821 48.5% 5.25
Revelstoke 1,764 68.1% 7.24
Smithers 1,723 52.0% 5.57
Castlegar 1,296 26.8% 1.48
Creston 1,192 77.5% 4.34
View Royal 1,180 150.9% 4.61
Osoyoos 1,179 77.9% 3.12
Merritt 1,170 38.7% 2.21
Kent 1,149 84.3% 4.19
Hope 1,120 51.5% 3.88
Ladysmith 1,037 34.7% 1.55
Peachland 1,019 41.2% 1.97
Source: BC Government, Ministry of Community Sechelt 947 49.7% 2.20
Services Qualicum
Beach 910 5.6% 0.67
Municipalities with a population Spallumcheen 602 33.4% 2.73
between 5,000 and 10,000 Metchosin 484 89.8% 5.07
Source: BC Government, Ministry of Community
Per capita spending in British Columbia’s Services
small-size municipalities also varies
considerably (see Table 4.3 and Figure 4.3),
with Whistler being by far much higher than
any other municipality (per capita of $5,418).
Second highest was Nelson at $2,558. At the
low end of the spending level was Metchosin at
$484. However, taxpayers in Metchosin have
experienced a significant increase in per capita
spending between 2000 and 2008, resulting in
a high Fiscal Sustainability Gap of 5.07.
BC Municipal Spending Watch 18
Municipal Wages
Significant wage differences favouring the
public sector are a major driver of municipal
operating expenditures. According to an
analysis of individual municipal data6, at least
48 per cent of large municipalities’ budgets go
to salaries and benefits, and a further 15 per
Source: BC Government, Ministry of Community cent, on average, go to contracted services.
Services This is significant because when public wage
increases are not prudently managed, it
distorts local employment markets, reduces
productivity, and increases tax levels.
Section 5: Municipal
Expenditure Drivers Small business owners are aware of these
factors and are concerned that local
In the private sector, no company can survive government wages are not being effectively
in a competitive marketplace without effective managed. In 2010, small businesses in British
cost management. Small businesses, in Columbia were asked to rate their
particular, must pay close attention to value- municipalities’ control of government wages
for-money on both their inputs and outputs in (see Figure 5.1).
order to stay in business. As local
governments do not depend entirely on the
voluntary purchase of their services, as the
private sector does, it can take longer to notice
inefficiencies. For the public sector, which has
fewer connections to competitive markets,
maintaining spending discipline is that much
more important.
Figure 5.2:
Premium (salary and benefits/
salary only) at the municipal level
of government, 2008
Public wages are the largest municipal The UBCM/ provincial government publication,
operating budget expenditure. CFIB research Local Government in British Columbia—4th
comparing public and private sector wages and edition explains that there are functions
benefits shows that, on average in BC, mandated by the province and voluntary
municipal workers earn 10.4 per cent more functions. Mandated functions can also
than their private sector counterparts in the include instructions from the province on how
same job (see Figure 5.2). When you add in to organize these functions.
benefits, this premium soars to a shocking
34.9 per cent. Only Victoria and Vancouver are
BC Municipal Spending Watch 20
emergency planning,
7
Bish and Clemens, Local Government in British 8
From the Frontier Centre, Local Performance Index,
Columbia—4th edition, pages 40-41. 2008.
BC Municipal Spending Watch 21
It should be noted that some municipalities in spending trends are unsustainable and that
BC have already adopted and proved the they will have to self-impose limits.
effectiveness of some of the measures outlined
below. We commend them for their foresight The following provisions would help local
and encourage all of BC’s municipalities to governments control growth in operating
adopt these measures in the future. spending.
CFIB makes the following two overarching Freeze municipal wages until they are
policy recommendations for provincial and within 5 per cent of wages for equivalent
municipal governments to help municipalities positions in the private sector
return to a path of sustainable spending.
At least 60 per cent of municipal operating
spending in BC goes to wages, benefits and
1) Limit operating spending
contracted services. CFIB research using
increases to population and Statistics Canada data has demonstrated that
inflation growth municipal employees are paid significantly
higher rates of overall compensation than their
The current dissatisfaction and lack of trust
equivalent counterparts in the private sector.
among small- and medium-sized businesses
with their local governments can be traced to
Municipalities need to find ways to limit the
unsustainable spending growth. When
growth in the amount spent on wages and
municipalities don’t rein in spending increases,
benefits; otherwise their long term financial
small businesses are burdened by local
viability is at risk. This requires better
government taxation and user fee increases
alignment between public and private sector
and reduced value-for-money of services they
salaries and benefits, and limiting the growth
consume.
in full-time equivalent employees to the
growth in population.
An excellent way of ensuring sustainable
spending, as well as transparency and
Municipalities should also work on contracting
accountability, is to regulate expenditures
out the provision of municipal services
through limits on spending.9 If municipalities
wherever possible. By making all tender
did wish to increase the scope of the services
processes more open and competitive, local
they provide, the process would look very
governments will be able to draw from an
different than it currently does. Instead of
expanded choice of providers, improving the
simply increasing taxes and user fees to fund
quality and value of services provided to
new projects, municipalities would have to
residents of the community. However, it is
free up existing funds through efficiency
important to point out that this must coincide
efforts and cost-cutting measures
with reducing the number of public employees.
If contracted services are simply added—
Given the broad powers given to BC’s local
without an equivalent reduction in spending
governments through the Community Charter
on public employees—little will have been
in 2003, it is unlikely that the province would
done to improve fiscal sustainability.
step in again to control spending. Thus,
municipalities (and the taxpayers they serve)
Use zero-based budgeting
will have to come to understand that current
The traditional budgeting process treats
existing levels of spending as a given and
official approval is only required for any actual
9 increases in spending. This can lead to existing
There is some history in BC with legislated
spending limits. According to Local Government in inefficiencies continuing on indefinitely. A
British Columbia, in 1982 there was a mandated 12 zero-based budgeting review process would
per cent ceiling on annual municipal expenditure require that all spending be approved at least
increases. While the 12 per cent limit is a very high
threshold and shouldn’t have been a constraint for once an election term.
any government budget, it was abandoned as it was
seen to interfere with local self-government.
BC Municipal Spending Watch 23
10
Bish and Clemens, Local Government in British
Columbia—4th edition, page 29.
BC Municipal Spending Watch 24
When small business owners were asked if Canadian Federation of Independent Business,
they agreed that there is sufficient British Columbia Municipal Spending Watch, 2nd
accountability and transparency of public edition, November 2009. www.cfib.ca/bc
expenditures at the local level of government,
the majority (71.5 per cent) did not agree (see CFIB, The Case for a cap on the property tax
Figure 7.3). gap, June 2010.
Bish and Clemens, Local Government in British Mintz, Jack M. and Tom Roberts, Running on
Columbia—4th edition.2008 Empty: A Proposal to Improve City Finances,
February 2006.
Canadian Federation of Independent Business,
British Columbia Municipal Spending Watch, MMK Consulting, City of Vancouver
June 2008. www.cfib.ca/bc Consumption of Tax-Supported Municipal
Services, January 2007.
BC Municipal Spending Watch 25
OECD, Towards Government at a glance: Gold River 13.20% 9.70% 1.36 73,505 206
Golden 76.13% 11.08% 6.87 1,853,622 1873
Identification of core data and issues related to Grand Forks 49.64% 14.58% 3.40 1,892,136 1834
public sector efficiencies, 2007 Granisle 78.94% 16.86% 4.68 399,450 4097
Greenwood 33.95% 8.86% 3.83 187,842 1126
http://www.olis.oecd.org/olis/2007doc.nsf/EN Harrison 81.30% 40.95% 1.99 515,440 1291
GDATCORPLOOK/NT00004322/$FILE/J0T0324 Hot Springs
Hazelton 30.95% -12.52% -2.47 222,241 3280
9372.PDF Highlands 128.04% 45.90% 2.79 604,795 1144
Houston 39.61% -9.44% -4.20 1,732,379 2311
The Union of BC Municipalities The Local Hudson's 50.39% 12.07% 4.17 649,093 2518
Hope
Government Management, Association of BC Invermere 66.08% 39.67% 1.67 720,461 814
and Ministry of Community Services. Local Kaslo 35.02% 26.48% 1.32 82,151 281
Keremeos 79.69% 14.02% 5.68 396,773 1281
Government in British Columbia – a community Lake 14.39% 21.53% 0.67 -160,915 -213
effort, 2006 Cowichan
Lillooet 49.26% -3.96% -12.45 1,003,714 1693
Lions Bay 105.75% 12.35% 8.56 639,717 1832
http://www.civicnet.bc.ca/assets/Library/Publi Logan Lake 34.43% 9.30% 3.70 542,191 987
Lumby 141.45% 19.45% 7.27 965,763 2202
cations/Local~Government~in~British~Columb Lytton 80.76% -18.55% -4.35 501,722 8726
ia/LGinBC.pdf Mackenzie 60.65% -4.78% -12.69 4,438,752 3850
Masset 71.55% 4.38% 16.33 1,311,742 5753
McBride 68.28% 16.86% 10.07 463,749 2736
Midway 18.68% 15.12% 1.24 27,546 166
Montrose 12.45% 9.14% 1.36 22,414 86
Appendix: Nakusp
New Denver
38.84%
60.68%
1.01%
9.76%
38.58
6.22
704,720
175,651
1851
1336
New 20.57% -11.89% -1.73 268,440 1760
Operating spending growth and Hazelton
Oliver 75.06% 21.08% 3.56 1,530,700 1342
population and inflation growth, Pemberton 114.53% 70.51% 1.62 691,017 1182
Port Alice -9.14% -16.52% ND 113,195 537
municipalities with a population Port 72.88% 3.60% 20.25 330,157 2865
under 5,000 2000-2008 Clements
Port Edward 76.72% -4.52% -16.96 913,318 6245
Port Hardy 3.08% -5.79% -0.53 483,626 501
Port McNeill 18.14% 2.81% 6.46 252,554 388
Pouce 51.26% -2.28% -22.49 381,270 2118
Coupe
Princeton 47.53% 9.52% 4.99 772,520 1183
Radium Hot 70.33% 98.43% 0.71 -265,928 -1093
Springs
Population and Inflation
eliminated, a family of 4
Excess Spending in 2008
Fiscal Sustainability Gap
Operating Expenditure
If excess spending in
and vice versa. For example, in Vernon operating Hudson's Hope 6.43 3.37 4.17
spending growth was 2.61 times higher than Invermere 1.14 1.22 1.67
Kaslo 0.75 1.33 1.32
population and inflation growth between 2000 and
Keremeos 2.28 1.8 5.68
2008. Lake Cowichan 0.51 0.27 0.67
ND= Not Defined Lillooet -8.26 -8.99 -12.45
Lions Bay 7.95 9.62 8.56
For small municipalities, there is far more fluctuation Logan Lake 0.6 0.36 3.70
in the numbers reported than in larger Lumby 5.93 5.99 7.27
Lytton -2.77 -2.61 -4.35
municipalities—relatively small changes to spending Mackenzie -3.81 -5.98 -12.69
or population create a bigger impact on the Masset 5.81 5.58 16.33
calculations in smaller municipalities. There are a McBride 5.72 30.24 10.07
number of ways this can happen. For example, in Midway 2.35 1.85 1.24
Tumbler Ridge spending in 2000 was abnormally Montrose -0.81 -0.37 1.36
Nakusp 4.25 5.66 38.58
higher than throughout 2001-2008. Therefore, when
New Denver 3.44 5.79 6.22
calculating excess spending relative to the year 2000, New Hazelton -2.17 -1.29 -1.73
it gives us an inflated sense of under spending. Oliver 1.94 2.08 3.56
Where operating spending growth is high and Pemberton 1.17 1.12 1.62
population growth is negative, these calculations Port Alice ND ND ND
numbers can be significant. In Fort St. James, very Port Clements -14.27 3.15 20.25
Port Edward -17.11 -9.25 -16.96
high growth in operating spending between 2000
Port Hardy -0.64 3.62 -0.53
and 2008, and a declining population, resulted in Port McNeill 1.64 2.33 6.46
very high per capita excess spending. Pouce Coupe 18.65 53.68 -22.49
Princeton 1.79 2.4 4.99
Radium Hot 0.49 0.61 0.71
Springs
Fiscal Sustainability Gaps, 2006, Rossland -3.26 0.23 0.79
2007, and 2008, municipalities with Salmo 54.48 1.71 16.63
Sayward 13.03 -8.68 -6.98
a population under 5,000 Sicamous 4.66 5.04 4.10
Silverton -4.77 -41.77 -76.24
Fiscal Sustainability
Fiscal Sustainability
Fiscal Sustainability
Gap 2000-2007
Gap 2000-2008
Fiscal Sustainability
% increase in per
capita operating
Gap 2000-2008