Chatham-Kent (CK) residents are looking at a possible property tax increase of 4.92 per cent next year.
The proposed 2026 budget would see CK homeowners pay an additional $104 annually per $100,000 of a home's assessed value.
During a budget meeting, Mayor Darrin Canniff attributed aspects of the proposed tax increase to a $10 million cap from the Ontario Community Infrastructure Fund (OCIF).
According to the provincial calculations, Chatham should receive $29,318,046 to subsidize the municipality’s budget, but due to an "arbitrary" cap, Canniff says CK will be "shortchanged."
The municipality noted that the forecasted increase was 8.77 per cent, but efficiencies helped lower the number to 4.92 per cent.
The efficiencies include a long list of reductions totaling roughly $9.5 million.
“Some of them are just small savings that add up, so things like changes in insurance premiums, the Chief Administrative Officer (CAO) restructuring, a debt retirement on the Bloomfield business part,” said Brock McGregor, Councillor and Budget Committee Chair.
However, the municipality also told CK News Today that these reductions do not include any decreases to services for taxpayers.
The 4.92 per cent increase includes 1.12 per cent for maintaining current service, even as inflation saw an increase of 2.01 per cent.
“We're continuing to provide services and even enhancing them and still staying less than inflation, and that's something that, I as the CAO, I'm really proud of it, because most businesses can't do that, most of us can't do that in our own daily lives with our budget,” said CAO Michael Duben.
The increase also includes 0.70 per cent for asset management, 0.62 per cent for social investments like the cabin project, and 0.48 per cent for changes in services.
Council will meet to deliberate the budget at 6 p.m. on November 25.
