City council falls down on job of transportation funding
John McKibbin
is the president and CEO of the Greater Vancouver Chamber of Commerce.
The Greater Vancouver Chamber of Commerce is committed to fulfilling our core mission: "providing positive business leadership that results in economic vitality for businesses, their employees and our community."
The City of Vancouver came to the Chamber in the spring of 2004 at our request to talk about the financial condition of the city and plans for tax increases to deal with the budget shortfalls. At the meeting the city made a case for more money to maintain services and raised the issue of reinstating the Business and Occupation (B&O) tax that had been phased out over an 8-year period.
If the city reinstated the B&O tax to its previous level, Vancouver could raise $8 million-plus per year and up to $15 million if the city tapped into all of its authority. This would only have required a vote of the city council to implement. The Chamber didn’t buy into that presentation and strongly opposed additional taxes and particularly the B&O tax.
We spoke out against a Business & Occupation tax, but with our mission in mind we went to work for jobs and roads. We brought in resources and offered solutions and support. We rolled up our sleeves to help craft a workable if not perfect solution.
In February 2006 during his "State of the City Address," Vancouver Mayor Royce Pollard made it clear how important transportation funding is for the local economy and jobs.
"The most significant issue affecting our regional economic development continues to be transportation. Congestion is more than just an irritation; it is damaging our region’s economy. Our lack of mobility is ultimately costing us more time, more money and more jobs. While we sit and wait on congested roadways, competing regions are making valuable transportation investments in their communities, making it more challenging for us to attract and recruit quality jobs…Additional investments in transportation infrastructure can generate a benefit of at least $3 for every dollar spent…The only way we will be successful in this effort is to be creative and proactive."
Yet, in spite of business support and their own powerful argument in favor of transportation, it’s now been two years since the city first met with the Chamber on this issue and nearly six months since they had the recommendations on how to finance new road construction. The business community has been extraordinarily responsible in its approach and responsive to the city’s needs. Where is the city council in all of this?
Each time the issue has come up before the city council it gets kicked back, deferred or put on hold. Several rationalizations and reasons are offered up each time, but the plain fact is this: council members are elected to represent the whole city and do what’s best for it. This isn’t a popularity contest. It’s about providing leadership and doing what needs to be done to keep the city healthy and prosperous.
The most recent actions of the council have forced the Chamber to pull support of the latest version of a funding proposal by the city to raise money from a new business license fee for new road capacity. The latest plan was crafted without Chamber or business community support. The proposal would have cost some of our members with 50 employees $3,500 per year and larger members of 500 employees $35,000 per year.
That is not being open for business.
The city council has been unable to reach consensus, with council members continuing to look for the "perfect" solution that everyone would support. This is not realistic. What council members need to do is accept the input they requested and take the hard vote, even if it opened them up to some complaints or criticism.
The Chamber has consistently taken the necessary action needed to ensure that Vancouver remains open for business and continues promoting job growth. It’s time for the council to do the same for jobs and prosperity of the city.
