City moves forward with New Gold extension

NEWS/ CITY HALL — The City will move ahead with an application to annex the New Gold mine property but Mayor Peter Milobar says it’s not all about the money.

“This shouldn’t be seen as a cash grab,” he said today as council considered next steps. “This isn’t just about the City of Kamloops looking out for the City of Kamloops.”

Milobar pointed out that despite its proximity to Kamloops the city is the only level of government that doesn’t receive tax revenues from New Gold, while other heavy industries are within boundaries.

But he also said it won’t be a windfall for homeowners on their tax bills. “This isn’t meant to pretend that the homeowner will see this tremendous drop in their taxes.”

Coun. Pat Wallace said bringing New Gold into the City would not only provide some relief to Domtar and other major industries on taxation but would encourage other industry to locate in Kamloops.

Coun. Ken Christian said New Gold employees enjoy the benefits of Kamloops infrastructure and amenities so “I think it’s time that they would pony up.”

Milobar emphasized, however, that New Gold is a good corporate citizen.

“This isn’t about New Gold being an evil corporate empire … They’ve been great….   This really isn’t about how they been operating as a corporation.”

The annexation process must go through several steps before completion — including a possible referendum or counter petition — that could take up to two years.

Milobar said he’s had some preliminary discussions with the TNRD and Tk’emlups Band on the application.