Update 4:55 p.m.:

The B.C. Ombudsperson issued a statement praising the City of Penticton for following through on the report鈥檚 recommendation of compensating the vulnerable 鈥楳s. Wilson鈥� following the tax sale of her home.

鈥淚 am very pleased that city council has accepted our recommendation that Ms. Wilson receive compensation,鈥� said Ombudsperson Jay Chalke. 鈥淭his outcome clearly demonstrates that it鈥檚 never too late to do the right thing.鈥�

The statement notes that the city had initially rejected the Ombudsperson鈥檚 recommendation, as well as reiterated the procedural issues that were listed in the original report.

Original Story:

The City of Penticton will be compensating a vulnerable resident who had her property sold at auction for not paying $10,000 in taxes.

During a special meeting of council on Dec. 14, Mayor John Vassilaki offered an apology to the woman, identified in the B.C. Ombudsperson鈥檚 report as Ms. Wilson.

鈥淥n behalf of Penticton city council, we wish to deliver an apology to 鈥楳s. Wilson鈥� concerning the tax sale of her former home,鈥� said mayor John Vassilaki. 鈥淭he process by which 鈥楳s. Wilson鈥檚鈥� home was sold followed an unfortunate set of circumstances that occurred as a result of provincial legislation. The city of Penticton acknowledges the part that it played in this process and is committed to working to improve provincial legislation related to property tax sales. There was however another side to this story and we are disappointed in the Ombudsperson鈥檚 conduct and his report.鈥�

Following a special meeting where council passed the city鈥檚 budget, the mayor put forward a motion to have the city pay Ms. Wilson $140,000 in restitution, in line with B.C. Ombudsperson Jay Chalke鈥檚 recommendation that was published the week prior.

鈥淚f I didn鈥檛 make this motion I wouldn鈥檛 be able to live with myself,鈥� said Vassilaki.

He continued to say that Ms. Wilson is now in a care facility, and that the additional money would be needed to ensure that the remainder of her years would be financially secure and comfortable.

That report had found the city made multiple miscommunications with Ms. Wilson starting after the taxes were deemed delinquent in 2016 leading up to and after the sale of the property in 2017 and the transfer of the property in 2018. The property ended up selling for $150,000, well below its assessed value of $420,000.

Councillor Campbell Watt was the sole councillor to vote against the motion, having wrestled with his decision during the meeting and expressing his concerns over the fact that it would be the city鈥檚 taxpayers who would be forced to pay, when he and other councillors struggle every year with deciding which worthy organizations get grants or not.

The mayor also said that the city and council were disappointed with the Ombudsperson鈥檚 findings. He acknowledged the city鈥檚 part in the tax sale, and he noted that the tax sale was done in accordance with provincial legislation.

Members of the council all expressed their hopes that following the report and their decision that lead to changes to the provincial legislation to improve the process and ensure that a situation like Ms. Wilson鈥檚 not occur again.

Council also directed city staff to provide as much additional information as they legally could out of their response to the Ombudsperson鈥檚 report. The full 53-page response from city was not included in the Ombudsperson report because it would identify Ms. Wilson, according to Chalke.

According to city staff, they stated that during the period after the taxes went unpaid and before the property went to the sale they had contacted Ms. Wilson and stated that she had been aware of the upcoming sale, and that she had in fact had gone to city hall in 2018 after the sale had gone through and the property transferred.

To report a typo, email: editor@pentictonwesternnews.com.

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