Nanaimo Regional Hospital District (NRHD) board met on Dec 11th 2024 to approve their provisional budget for 2025, as to date they have not received an updated capital budget from the health authority.
Many residents of the Town of Qualicum Beach are not aware that as part of the regional district we are required to contribute "capital funding" to the Vancouver Island Health Authority in support of local healthcare facilities. For the NRHD this includes minor capital grants for equipment as well as major capital project support. Through annual property tax requisitions and debt repayment, property owners in the district fund 40% and the remaining 60% is funded by the province. The provisional budget calls for $43.3 million from annual property taxation in 2025 (representing an increase of 28.2% )growing to $91.1 million annually by 2028. This rapidly increasing taxation and resulting reserves, is intended to send a message to the provincial government that we are serious in our need of additional healthcare infrastructure and that we will have our share of the money required to meet our 40% commitment as soon as the provincial government is ready to proceed. The NRDH board is tasked with raising 40% of the money but it is the Health Authority and the Provincial Government that determine where and when the money is spent.
It is interesting to note that the largest "approved" project is the Lantzville Long Term Care 300 bed facility, budgeted at $285.8 million scheduled to be completed in 2027. The High Acuity Unit is budgeted at $18.5 million scheduled for completion in 2025/2026. Still on the list, marked as "planned", is the Nanaimo Hospital Cancer Centre upgrade budgeted at $29.5 million scheduled to be completed by 2027/2028.
Many projects are listed as "possible" as apposed to "approved", and some of those include;
-A new wellness and recovery center $10.3 million maybe in 2025/2026
-Bed expansion $43.5 million maybe in 2027/2028
-Six Additional Renal Dialysis Beds $4.5 million maybe in 2026/2027
-Catheterization Lab $11 million maybe in 2029
-Patient tower replacement $1.2 billion maybe by 2031/2032
-Cancer centre phase 2 $550 million maybe by 2032/2033
-Eagle Park Lodge replacement, the only project in TQB, is $33 million maybe by 2032/2033
So why is this important to Qualicum Beach residents?
Although our Mayor is fully supportive of the ongoing 28.2% annual property tax increase there are other directors on the board that recognize the affordability crisis some members of our community are currently facing. (Particularly our seniors still living in their homes and trying to stretch their pension income. ) Board member Jessica Stanley from Nanaimo Cedar proposed a motion,
" That the Nanaimo Regional Hospital District Board direct staff to provide a report on the effects of reducing the rate of requisition increases by ½ of the current Board policy of 28.2% to equal 14.1% in the coming years. " The motion passed not without considerable opposition, after she indicated that the timeline of our gathering of funds was quicker than the likely timeline for actual construction and that a slower approach and/or use of debt could soften the impact to residents. It is important to note that this is a motion for information not an approval to reduce the 28.2% increase down to 14.1%.
We all want the added healthcare facilities but some question the fairness of putting this burden on homeowners based on the values of their homes, and whether these facilities will even be built in their lifetime. In the past, the Union of Municipalities' has made representation that there is opportunity to negotiate with Health Authorities and the Provincial Government for legislative reform. I admit that I saw no evidence of political will by our board to pursue any form of funding split negotiations, at this board meeting.
If nothing else this is a wakeup call to the elected officials in our town that we need them to be frugal. Between both hefty hospital taxes, and the expected similar increases coming up for the French Creek Pollution Control Centre, we are reaching the tipping point of property taxation.
Marie Noel
December 13 2024
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More information
video of the meeting
meeting agenda and document package including budget, 2024 version of capital budget
.