2025 Budget: Preliminary estimates and projections

An information report on early information and assumptions about the 2025 budget impacts, which will be refined as the budget process continues and more information becomes available, was presented to City Council.

On June 11 and 27, 2024, staff made presentations to General Committee about the 2025 preliminary budget information of each department. The purpose of these presentations was to inform members of Council about the issues the City is facing for the 2025 budget and the impacts these issues will have on the All-Inclusive Rate increase and property tax requirement. At the end of those presentations, Council decided to revisit the presentations and a 2025 draft budget guideline in the August Council meeting cycle.

The preliminary estimates at this stage of the 2025 draft budget process reflect that to maintain the Status Quo levels of service in 2025 would require an increase to the All-Inclusive Rate of 8.44%. To fund the identified Incremental Items would require an additional increase of 1.84%, for a total increase of 10.28%.

These items are based on early information and assumptions about the 2025 budget requirements and impacts which will be refined as the budget process continues and more information becomes available.

Under the Strong Mayor Powers legislation, staff receive direction about the budget from the Mayor. At this time, the Mayor advises that he is contemplating not exercising his delegated authority in this context and would prefer Council reach a consensus about a guideline increase for the 2025 budget. Should Council determine a guideline for the 2025 draft budget, the recommendation would be made to the Mayor, requesting that he take it into consideration in providing direction to staff about the preparation of the budget.

With the many significant and competing demands on the 2025 budget, it is important that the Levels of Service remain the focus as the key means to reduce the property tax requirement and the 2025 budget.

The Draft 2025 Budget as developed by City staff is expected to be presented to Council at its meeting on November 4, 2024, which will be followed by three public meetings to hear feedback from residents before Council deliberates on the Draft 2025 Budget during two meetings on November 18 and 19. The Mayor’s 2025 Budget is expected to be adopted on December 9, 2024.

The 2025 Budget process started in March 2024. The City has held two consultation meetings, one with a presentation followed by an opportunity to speak with budget team members and another that was an informal drop-in meeting for conversations with the budget team. A budget survey was open from March 28 to April 26, which generated 220 responses.