• Independent accountant report finds CRD has understated Victoria, Esquimalt and View Royal’s burden by hundreds of dollars
• CRD businesses could pay $2,306 per year for Seaterra plant

VICTORIA, B.C.: The Canadian Taxpayers Federation (CTF) today released new numbers on the cost of the Seaterra sewage project, showing that the Capital Regional District’s (CRD) tax models are overly simplistic, and suggesting that businesses should brace for an average $2,306 annual property tax hike.

“The Victoria sewage plant project is massively expensive, hugely unpopular, and based on flawed math,” said Jordan Bateman, the CTF’s B.C. Director. “This has boondoggle written all over it, and it’s time the taxpayers of the CRD had accurate numbers on what it’s going to cost them.”

The 48-page CTF report, prepared by independent, off-Island Certified Management Accountant Sacha Peter, found:

• Inflation from 2010 has conservatively increased the capital cost of building the project to $830.6 million, and the annual operating cost to $15.46 million.
• The average CRD homeowner will pay about $410 per year for the project
• The CRD’s plan understates the average Victoria homeowner’s tax bill by $579 over six years, Esquimalt by $555, View Royal by $195, and Saanich by $69.
• Should cities apportion sewage taxes to businesses at the same ratio it uses for property taxes, the average CRD business property owner would pay $2,306 per year for the project’s capital and operating expenses. (For more on how this was calculated, click here.)

"If this project goes forward, taxpayers – both residential and business – are going to suffer greatly. There just isn’t enough growth or a broad enough tax base to pay for this project,” said Bateman. “With the Esquimalt public hearing later this month, Esquimalt councillors should be demanding accurate tax models from the CRD – the ones they are basing their decisions on now are too simplistic and understate the tax burden by $555 over the first six years.”

To see the full CTF report on the sewage project, click here.