The Prince Rupert Port Authority is quite pleased with the new provincial budget that was released this week. The budget is putting forward a number of different tax changes to support trade with Asia, which the provincial government hopes will create jobs in the north and across the province.
The most important of these for the port authority is a promise of legislation that will permanently cap the amount of property taxes ports have to pay to the city.
This cap is already in place since it was originally introduced originally as The Ports Property Tax Act in 2004 and the cap was extended in 2008 and would have expired in 2019, now it will be permanent.
“The Ports Property Tax Act has ensured that port operators work in a fair and competitive environment,” says port authority CEO, Don Krusel.
Krusel says that the tax break will make it easier for the port to make investments in its infrastructure.
The province is also promising make up the difference to municipalities like the City of Prince Rupert. Between 2004 and 2008 the City was paid $1.30-million to make up for the lost tax revenue. When the cap was extended last time, payments were increased to match inflation.
***We’re currently working on more comprehensive look at how the provincial budget affects Prince Rupert as well as the community response. Keep checking our website or look for it in the next edition of The Prince Rupert Northern View which comes out on February 29.