A 6.1 per cent tax increase will be on the table for Fernie city council.
Mayor Nic Milligan said even though inflation seems to be going down, it doesn’t mean it will stay that way.
“Inflation in Canada has gone down which has surprised many economists, the Bank of Canada and others, but we ultimately can’t rely on any of that.”
He said outside forces can quickly change a city’s finances without council having any control.
“We have major world events coming up. with an election south of the border, an election in Canada and a provincial election here,” he said.
“We don’t know what the outcomes of all those events will be in terms of inflation and stability.”
That’s why Milligan thinks council needs to be proactive in filling up its reserves to ensure the can continue to provide the city’s services.
“We need to look after the people of Fernie to the best of our ability and saving for the future in my mind is key to that,” he added.
“This is a small incremental step in replenishing our reserves that saves our future.”
The budget and financial plan will be up for first and second reading on Mar. 26 and up for adoption on April 16.
