Nanaimo has failed in its third attempt to win support from residents to borrow $90 million to upgrade its nearly 70-year-old public works facilities.
City council is set to meet Monday to ponder next steps, as it begins considering next year’s budget and property taxes.
Nanaimo turned to an alternative approval process in hopes of being able to borrow the money for new fleet-maintenance and crew-administration buildings at the public works yard.
The process fails if at least 10 per cent of eligible voters fill out forms objecting to the borrowing.
A total of 8,655 valid electoral response forms in opposition were received by the Oct. 31 deadline, representing 10.85 per cent of electors, the city announced Friday.
The city first attempted an AAP in 2023, but it was scrapped after an administrative error came to light.
A second attempt was made in February but it, too, was axed after concerns arose about the availability of forms.
In the most recent effort, the city ran the process for 42 days — 12 days longer than required by provincial legislation.
Nanaimo resident Sandy Bartlett was opposed to the city using the alternative approval process and had concerns about the project itself, which he called a “negative-billing” process.
Bartlett suggested the city put major borrowing proposals to electors in a referendum when municipal elections are held every four years, which would limit the costs of the vote.
“If you have the majority of people supporting a capital project, I think you should build it. If you don’t, I think you should not build it.”
Bartlett said information presented to Nanaimo residents was short on details of possible contingency funding and only included conceptual design drawings.
And although Bartlett believes the city demonstrated the need for new service bays for its equipment, he was concerned the planned facility was too pricey.
He also wasn’t sold on the idea of a new administration building for staff, saying it was not necessary at a time when governments at all levels are trying to limit expenditures.
Nanaimo Mayor Leonard Krog said he was disappointed in the result, saying the public works plan “remains an important public project. It is in the public interest that it be built.”
Taking the borrowing plan to a full referendum would cost about $300,000, he said. “Having said that, what council decides to do is very much an open question at this point.”
Public works staff are currently working in trailers “cobbled together” and the city has significant assets, including fire trucks, that cannot be worked on within existing facilities and be maintained properly, Krog said.
As for funding the work within the city’s annual budget, Krog said trying to do that over the next few years is “pretty unrealistic” because of the impact it would have on property taxes.
The City of Nanaimo is embarking on its annual financial planning process for the coming year, with a proposed draft plan requiring a 8.7 property tax increase, including a one per cent increase for the general asset management reserve fund and a 7.7 per cent increase in property taxes.
A draft plan for user fees would see sanitary sewer rates rise by four per cent, water-use fees rise by five per cent, and sanitation fees increase by 5.7 per cent.
Under that scenario, a typical home valued at $783,808 would see 2025 property taxes rise to $3,091, or $4,037 when higher user fees are added, up from $3,744 in 2024, municipal documents show.
City budget documents are at .
Residents can take part in an eTown hall on Monday on the financial plan, and submit questions to , on X (previously Twitter) using the hashtag #NanaimoTH, and on the eTown Hall event page at .
During the meeting, they can ask a question in person or send them in online.
