Stratford’s draft budget projects 5.9 per cent tax increase

Stratford residents will have a chance to share their thoughts on the city’s proposed 2025 draft budget – and its 5.9 per cent property tax hike – at a public open house set for Monday.

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If approved by council, this property tax increase would add an average of $316 to tax bills based on a 2016 assessed property value of $350,000. This comes after increases of 6.97 per cent in 2023 and 7.9 per cent for this year’s budget.

The city has decided against any cuts to services. According to the budget’s executive summary by Karmen Kruger, Stratford’s director of corporate services, “the 2025 draft budget reflects the resources required to meet current service delivery without cuts to services.”

The budget also includes a few priority initiatives “to meet the climate goals, accessibility requirements and asset management priorities” of the city.

“Increasing investments are being made in attainable housing and homelessness, as the city recognizes these solutions require everyone,” the report states.

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The draft budget shows operating expenditures are expected to increase by $14 million while non-taxation revenues are expected to increase by $8 million, resulting in a proposed levy increase of $6.5 million.

Capital projects are expected to cost $37 million next year. In preparing the 2024 budget, council heard feedback from residents that spending on infrastructure was growing too much and too quickly, so the city will be scaling that back slightly, “even though pressures on infrastructure continue to rise.”

“This means a larger dependency on reserves and reserve funds in a time when it is more desirable to grow these funds,” the report notes.

The budget also outlines several significant cost increases, including those related to staffing. These include:

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• $1,310,184 for wages and employer cost increases;
• $874,687 for employer remittance costs and employee benefits increases;
• $260,189 for an eight per cent increase in insurance premiums, plus additional claims settlements; and
• $112,255 in legal costs,

The budget is also calling for a $2.24-million increase to the police budget, $730,180 for increased shared services and $146,261 for the public library.

On top of these major cost increases, the city is also projecting a more-than-$6 million increase due to inflationary pressures.

This also will mark the first year the city is conducting a multi-year budget process after council approved that option in July.

“Council will only be approving the 2025 budget, but this forward-looking approach for operations, as well as capital requirements through the 10-year forecast, should assist in efforts to create cost predictability,” Kurger’s report states.

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“It will require a lot of additional work through the upcoming year to identify those higher risk and more volatile revenues and expenses and set parameters around discretionary impacts,” it added.

Besides the open house, which is scheduled at city hall from 4 pm to 7 pm, residents can provide feedback through a survey that closes Tuesday evening. There will also be a pop-up event at the Stratford Farmers Market on Nov. 25 and at the Local Community Food Center on Nov. 29.

The city’s finance and labor relations committee will hold three deliberation meetings. These are for Nov 28 and Dec. 3 from 9 am to 4 pm, and Dec. 9 from 4:30 pm to 8 pm

More information, including the full budget document and link to the survey, can be found at engagestratford.ca/2025-budget.

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