West Kelowna, B.C.’s mayor apologized Wednesday after thousands of residents received a letter from the city that lacked some crucial information on additional costs to pay off a debt for the community’s new water treatment plant.
“We didn’t do a good job in communicating when we sent this letter out and I apologize on behalf of the city,” Mayor Gord Milsom told Global News.
Milsom is providing clarification in the wake of the letter which has caused a lot of concern and resulted in many calls to city hall.
Residents who get their water from the new Rose Valley Water Treatment Plant received the letter this week.
It outlines the amount households owe to pay off a $23.5 million debt the city took on on when it borrowed money towards the $75 million project.
“This was a complete shock to us,” said West Kelowna resident Talia Zumpano.
That’s because residents already pay about $150 a year for the plant and have done so for several years.
“We have been paying an additional levy towards the treatment plant,” Zumpano said.
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The letter that’s now making waves provides two payment options.
One option is to pay a yearly fee of approximately $181 for 25 years at an interest rate of 4.02 per cent.
The other option is a lump sum payment of $2,750. While the one-time payment is more cost-effective, it has to be paid by May 31.
“We don’t have an extra $3,000 lying around,” Zumpano said. “I assume a lot of other families and people with children don’t as well.”
Milson is assuring residents that the money owed to pay off the debt is not in addition to that $150 they have been paying, a piece of information that was not included in the recent letter.
“We failed to remind our residents that the $150 that they have been putting towards the reserve amount that helps contribute to the total costs, it’s going to stop,” he said. “So really the increase is $31 a year.”
While that may soften the blow for some people, the same can’t be said for the quick deadline for the lump sum payment.
“To give you a month to pay your bill was kind of extreme especially at tax time. People are getting tax returns or owing money and they want 30 days to pay it,” said West Kelowna resident Jonathan Kierstead. “That’s a little insane.”
It’s a timeline Milsom said can’t, unfortunately, be extended due to repayment process deadlines the city itself must meet.
“Maybe again another mistake on our part not to give more time to our residents,” Milsom said. “We apologize for that, apologize for that late notice.”
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West Kelowna mayor apologizes for letter outlining debt cost of water treatment plant
