CITY OF DUNCAN
April 7, 2004
For Immediate Release
In an effort to share costs more equitably among recreation facility users from all regions, the District of North Cowichan and the City of Duncan are exploring several cost sharing options for the Aquannis Centre and Cowichan Centre.
Currently, the District of North Cowichan and the City of Duncan are the only contributors to the $1.38 million annual cost of the Aquannis Centre, which is located on land jointly owned by the two municipalities. Almost 40% of pool users live in communities that provide no funding toward the maintenance of the facility.
As a result, the District of North Cowichan and the City of Duncan pay a disproportionate share of the costs of the Aquannis Centre.
Some of the cost sharing options being considered include:
North Cowichan and the City of Duncan have invited a broader base of support, with surrounding communities paying a proportional amount. The Electoral Areas of Mill Bay/Malahat, Shawnigan Lake, Cobble Hill, Cowichan Bay and Cowichan Station have been approached with this proposal, and the District of North Cowichan plans to extend funding to include their North End assessment. Currently Cobble Hill, Cowichan Bay and Cowichan Station are considering participating in sub-regional funding. If they did, the annual tax bill in those communities would rise by approximately $27 on a $150,000 home to fund the Aquannis Centre. If Cobble Hill became a partner in the Cowichan Centre, the increase for Cobble Hill would be approximately $79 for both facilities.
A user-pay system would see residents from non-funding communities paying more to use Aquannis Centre facilities than residents of North Cowichan and the City of Duncan. An annual sports pass for the pool allowing people to register for programs would cost approximately $150 for individuals and $250 for families. For public session admissions, people from non-funding communities without an annual pass would pay a higher fee.
The average user family in Electoral Areas faces a choice of a relatively small increase in their taxes (approximately $27 annually) if their Area participates in sub-regional funding or a substantially higher cost (approximately $250 annually) under a two-tier system.
The North Cowichan and City of Duncan Councils are working to establish a fair funding formula based on the belief that if you use a facility you should equitably support the operating, maintenance and capital costs. See more details on the attached Fact Sheet.
“We believe the neighbouring Electoral Area Directors share our desire to work together to find solutions as equal funding partners by assessment for recreation facilities,” says City of Duncan Mayor Mike Coleman.
If you live in Electoral Areas of Cobble Hill, Cowichan Bay or Cowichan Station and support a sub-regional agreement to keep the Aquannis Centre open at a cost of approximately $27 per year on your taxes versus $250 for an annual pass under a two-tier registration system, communicate this to your Area Director.
Contact Information: Paul Douville, City Administrator 250-746-6126
Who uses the Aquannis Centre?
According to the latest statistics for program registration in 2002, 37.71% of pool users live in areas of the C.V.R.D. that provide no funding for the facility. The funding municipalities, the District of North Cowichan and the City of Duncan, account for 62.29% of pool users.
User revenues only fund approximately one-third of the Aquannis Centre’s annual costs.
Pool revenue $ 493,726
District of North Cowichan $ 720,826
City of Duncan $ 165,800
_________
Total $1,380,352
There is a widespread belief that whoever benefits from a service should pay towards that service. Residents of North Cowichan and Duncan are subsidizing participation at the Aquannis Centre (and other recreational facilities) for residents from non-contributing communities. It is unreasonable that the 5,000 residents of Duncan should shoulder a disproportionately large share of the tax burden.
A more equitable sharing of costs would see neighbouring electoral districts such as Cowichan Bay, Cowichan Station and Cobble Hill (who collectively provide almost twice the pool users as the City of Duncan) share in funding of the facility based on assessment. Under a sub-regional agreement, the present funding from the District of North Cowichan would increase as the North End of that district would start contributing. Under this scenario, the average annual tax bill in these areas would increase by approximately $27.
A user-pay system would see residents from non-contributing communities (outside of North Cowichan and the City of Duncan) purchasing an annual sports pass costing in the range of $150 for individuals and $250 for families to participate in programs at the Aquannis Centre. For public sessions, non-residents without a sports pass would pay full admission rates while North Cowichan and City of Duncan residents would pay a discounted rate.
This is not sudden – this process has been ongoing for several years. The City of Duncan and North Cowichan Councils and staff have been exploring more equitable funding of the Aquannis Centre since December 2001. Two years ago, Councillor George Seymour, Cowichan Centre Commission Chair, asked the Electoral Areas to consider becoming funding partners in the Aquannis Centre. There was no response from the Electoral Area Directors. The Directors from Electoral Areas A, B, C, D and E were all invited to a meeting with North Cowichan and City of Duncan officials in October 2003 to discuss broader cost sharing of recreation facilities. In December 2003, the North Cowichan and City of Duncan councils agreed to postpone a decision to implement a two-tiered system based on interest in sub-regional funding expressed by several Electoral Area Directors.
How would sub-regional funding of the Aquannis Centre affect plans for a new Kerry Park pool?
There is very little relationship between the two. The new pool is still very much in the planning stages. The current process of exploring cost sharing options is focused on finding a way to fund existing facilities properly.