Calgary council approves budget, 3.6% property tax increase

City council has approved a 3.6 per cent increase in municipal property taxes for next year. The decision follows five days of debate on adjustments to next year's civic budget.

Previous budget discussions in 2022 resulted in a council-approved increase of 3.6 per cent for 2025, and on Friday, council stuck to the original figure.

The resulting property tax increase translates to about $8 more per month in residential property tax for the owner of a median-priced home worth $700,000.

The largest percentage change will fall to condo owners. Owners of a condo with a typical assessed value of $360,000 can expect to pay $1,370 annually — a notable 10.5 per cent increase.

The approved budget comes after voting on dozens of amendments, including using reserve funds for a new police gun range and the cost of paving more roads to avoid boosting next year's property tax increase even higher.

However, included in the budget adjustments is also a list of unfunded operating and capital investments the city says can't be accommodated currently due to what city administration calls "significant financial pressures and constraints."

These investments will be considered in future cycles should additional funding become available, according to the city.

The budget also includes a utility and service fee increase, meaning an estimated $5.09 in waste and recycling and water utilities per month, based on typical usage. 

Calgary's budget adjustments were approved in a 9-6 vote, with council unanimously voting to forgo a debate on the budget overall late Friday following a week of budget talks.

Calgary Mayor Jyoti Gondek says council "held the line" on the 3.6 per cent budget increase that was promised previously.

"The budget that we just passed represents a clear commitment to the people of Calgary," said Gondek.

"We had some very difficult and fiery discussions, and we made tough choices, choices that will help the city meet today's needs while planning for Calgary's future."

Gondek says council kept the budget as lean as it possibly could, while continuing to invest in things like pothole repairs, as well as addressing issues like public safety.

"Sixty per cent of [the budget] is focused on infrastructure ... another portion of the budget was dedicated to public transit and public safety. That's 75 per cent of the budget, 24 per cent was for inflation," she said.

"We are being hit in the same way that homeowners are, and that's exactly why we were not going to go any farther than we promised in 2022."

Dozens of proposed budget amendments rejected

Ward 1 Coun. Sonya Sharp — who was part of a group of five councillors who proposed several amendments to the budget in order to find savings — says most of the proposals brought forward in this week's debate were rejected by her colleagues. Sharp maintains there is still room for efficiencies. 

"There is fat in the budget," she said.

"Is there opportunity for improvement in a corporation? Absolutely. Are businesses and other corporations doing that? Yes. Are they doing it in the public? No, but that's the difference between us. And so I will say that it's easy to hide things when you don't know what you're looking for."

Sharp also added that she believes city administration won't look for potential savings unless directed to do so by council. 

Other key investments include items such as planning for a new water treatment plant, upgrading wastewater facilities and feeder mains, and accelerating water conservation efforts through maintenance.

Council also approved millions in funding for the low-income transit pass — however, following budget talks, it also unanimously voted for the mayor to write a letter to the provincial government on behalf of city council advocating that the Alberta government take over funding the low-income transit pass program completely.

Ward 10 Coun. Andre Chabot told reporters at City Hall late Friday that he believes city administration "did a good job" of keeping the budget within reason, even though Calgary has experienced dramatic population growth and inflationary pressures.

"My main issue with this budget, and I've said it all along, is the shifting of the tax burden from ... the non-residential customers to the residential customers. And I tried on several occasions to try and shift that budget back," said Chabot.

Inglewood pool closure reconsidered

What's more, the final vote of Friday's council meeting involved reversing the decision to close the Inglewood Aquatic Centre.

Council voted 12-3 to reconsider the pool's previously scheduled closure, meaning it will no longer shutter on Dec. 22, with councillors Jennifer Wyness, Raj Dhaliwal and Evan Spencer voting to keep the pool closed.