Kincardine council will have some tough calls to make this budget season if they want to hit the stated goal of a maximum eight per cent tax increase.
Director of Corporate Services, Roxanna Baumann, provided an update to council on Wednesday, October 9, saying eight percent is the levy needed just to maintain the current level of municipal services.
"At this point in time, we have an operating budget impact estimated at $1.63 million," she told council. "What that means is an additional levy requirement of $1.63 million in some fashion, whether it be through taxes or rate increases. That is currently sitting at a tax rate impact of 8.17 per cent or a tax levy impact of seven per cent."
Baumann's report noted that respondents to this year's budget survey were down, but the overall responses supported existing service levels being maintained.
She also said more considerations have emerged since she finished her report in September.
"We received the 2025 OPP policing costs for next year and its projected to increase by $268,000," said Baumann. "In addition, proceeding with the 2024 Market Study, the impact of that is $270,000. So if I was to recreate this template today, it would not be 8.17 per cent, it would be a starting point of 10.88 per cent."
During discussions, most of council expressed a willingness to set the maximum tax rate at eight per cent, with only Councillor Rory Cavanaugh saying he'd be willing to go as high as 9.9.
Kincardine council will hold it's first budget meeting on December 10.
Next year's budget will likely be finalized and adopted in February.
