A Girl Guides camp on the Sunshine Coast won’t have to pay the hefty tax bill that caught operators by surprise and threatened to silence the singing around campfires this summer.

For the first time in Camp Olave’s 80-year history its annual application for tax exemption was rejected by the District of Sechelt.

Rumours circulated in October that the 132-acre waterfront property owned by the Girl Guides of Canada might be saddled with a crushing tax bill as high as $120,000.

Last month the figure was confirmed to be closer to $14,000, and after the Girl Guides requested a reassessment, that figure was almost halved.

Last night the issue was resolved when the District of Sechelt Council voted to provide a grant-in-aid to Camp Olave in the amount of $7,198, which will cover the taxes owed.

The decision by the District of Sechelt to tax the Girl Guides of Canada on the property was based on “applications for tax exemption steadily increasing,” said Connie Jordison, the District of Sechelt’s Coordinator for Council and Community Relations.

“Sechelt has a higher percentage of tax-exempt properties than any other municipality in B.C.,” Jordison told The Tyee. With 45 applicants in 2010 compared to 35 one year earlier, the District simply could not give each of them tax-free status, she said.

The news that Camp Olave was facing financial challenges and planned to raise the money needed through Girl Guide cookie sales prompted “Save Camp Olave” petitions on Facebook and several local media outlets to publicize the story.

Jordison said the District of Sechelt repeatedly urged the Girl Guides to apply for reassessment.

Upon reassessment and reconsideration by the District Council, the tax estimates were lowered by almost 50 per cent, but still left the Guides owing nearly $7,200. And the grant made by council last night wipes out that debt.

To be eligible for tax-exempt status in 2011, the Guides must file their application by May 31.

The Tyee speculates that even though buying a box or three from the girl at your door won’t be needed to solve a tax crisis, this year’s cookie sales will still be strong.

Shannon Smart is completing a practicum at The Tyee and, full disclosure, has fond memories of attending Camp Olave.