Kelowna council will consider final 2025 budget next week

Kelowna City Council will be considering adoption of the final 2025 budget next week.

During the regular meeting on April 28, council will be reviewing the final budget and tax demand, nearly five months after giving initial approval.

If approved, the tax increase for 2025 would be 4.34%, which is down slightly from the 4.72% in 2024 but still up from the 3.78% in the year prior.

Based on the average value of a single-detached home in Kelowna, that works out to a $107.79 increase to property taxes, about $8.98 a month.

“We are committed to keeping Kelowna’s tax rates stable and competitive,” said Doug Gilchrist, city manager, in a news release.

“Our service‑based budgeting model links spending to service outcomes, making it easier for residents to see the direct impact of every dollar invested in essential services, community programs and major capital projects.”

The city says this year’s proposed tax increase is one of the lowest in the province.

This is the second year that the city has budgeted spending by service rather than each city department.

In 2024, the city introduced a service-based approach to the budget.

According to the city, the approach is meant to promote a more transparent and strategic approach to resource allocation, leading to more efficient decision making, improved outcomes and better use of resources.

This year’s budget also shows how each service aligns with the 2023-2026 council priorities and the city’s growth strategies.

As for 2025, the city says it is focused on improving public safety and reducing crime, reducing traffic congestion and improving active transportation, expanding housing options and making housing more affordable, increasing complex care and transitional housing for the homeless, meeting the growing needs for recreation facilities, and mitigating against flooding.

All those projects would not be possible without different funding sources, the city said.

Property taxes fund less than a quarter of the 4908 million budget with the other three-quarters coming from user fees, utility service charges, developer contributions, grants and reserves.

“We’re committed to keeping our taxes stable and ensuring that our spending is closely aligned with our service priorities,” says Melanie Antunes, financial planning manager. “In 2025, we redeployed $3 million to areas of need and continue to actively seek revenue sources and partnerships to fund services and reduce the burden on taxpayers.”

Once the budget is adopted, the city will start preparing property tax bills, which will be mailed out by May 15.

Property taxes are due Wednesday, July 2.

^{Thumbnail photo credit: City of Kelowna}