Three hundred employees, in the space of one news release, went from having a good career with great paying jobs to scrambling to see how much was in their rainy-day savings account.
Three hundred people were able to support their families and enjoy the amazing lifestyle that Prince George offers, all while having a home that they could afford to buy and live in. Those same families are now scrambling to cancel vacations, postpone major purchases, and find out what their options are.
For some, who were close to retirement, they will likely make the decision to retire a little earlier than they had planned. Those in the trades are fortunate that employers are actively looking to fill those kinds of positions in their companies. Those employees will be fortunate to have employment options to consider. The remainder will have a more challenging time finding work, especially at the wage they were earning. For them, the road ahead is long, stressful, and full of financial uncertainty.
However, the closure of the pulp line at Canfor’s Prince George Pulp and Paper mill has fallout that goes beyond just those three hundred families. It will affect the mill’s local suppliers and fabricators, as well as the crews that would perform the yearly maintenance shutdowns. Then there are the small businesses, retail stores, and restaurants that will see their sales affected as those families reevaluate their spending.
It doesn’t stop there though. The closure is going to affect you as well.
Your pocketbook is going to take a hit.
In 2024, Canfor will no longer be paying property tax on the plant they are shutting down. That will cost the City of Prince George approximately $2 million in lost property tax. That's tax revenue that will need to be made up for by the rest of the property owners in our city. So, for next year, on top of whatever inflation brings to your property tax bill, you will be paying an additional two per cent to make up for the lost property tax resulting from Canfor’s closure.
It likely doesn’t end there though. With the lack of wood fibre due the pine beetle, spruce beetle, forest fires, and new log harvesting restrictions put in place by the provincial government, there is a very real prospect that another mill, such as Intercontinental (Intercon) Pulp and Paper, could be shut down in the very near future. On top of the hundreds of families devastated should that closure happen, the loss in property taxes paid by Canfor for that site would translate into an additional six per cent increase to the remaining taxpayers in our city.
Mayor Simon Yu is correct. We need to attract new investment and broaden our tax base, and we need to start now.
Cameron Stolz is a Prince George writer.
