Due to measures taken to reduce financial impacts on residents amid the COVID-19 pandemic, the City of Kelowna is expecting to take a revenue hit.
The city’s revenue could be nearly $1 million less than expected, according to a report headed to council on April 27.
“Financial impacts include reductions in the anticipated receipt of the budgeted amount of $850,000 in property tax penalty revenue, the $85,000 in utility billing interest charges, $45,000 in accounts receivable interest and will need to cover the costs of a portion of the returned cheques $10,600,” reads the report.
Council asked staff earlier this month to bring forward three bylaws amendments to ease the financial burden on residents. Those include bylaws to waive interest charges on utility bills from April 27, 2020 to August 31, 2020; waive returned payment fees from April 27, 2020 to August 31, 2020; and defer the application of the 10 per cent property tax penalty from July 2, 2020 to September 1, 2020.
The province has also extended the property tax penalty date for businesses to Oct. 1.
Council will give the bylaws all three readings and adopt them Monday to implement the changes immediately.
The final budget, headed to council on May 4, will reflect the reduction in anticipated revenues.