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Mayor expects about 7% property-tax hike

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Brandon Mayor Jeff Fawcett says next year’s budget will likely come with a property-tax hike of about seven per cent.

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Brandon Mayor Jeff Fawcett says next year’s budget will likely come with a property-tax hike of about seven per cent.

Budget deliberations are set for Jan. 30 and 31 at city hall. Those meetings are typically all-day affairs.

This year’s property-tax increase, which ended up at 6.9 per cent, was whittled down after city administration called for an 11.7 per cent hike.

Brandon Mayor Jeff Fawcett says tax increases are needed “to catch up on growth, to catch up on infrastructure, to make sure we’re maintaining everything.” (Alex Lambert/The Brandon Sun)

Brandon Mayor Jeff Fawcett says tax increases are needed “to catch up on growth, to catch up on infrastructure, to make sure we’re maintaining everything.” (Alex Lambert/The Brandon Sun)

Fawcett said Wednesday that next year’s increase will be “somewhere in the area” of last year’s jump, but it “could be a bit higher than that.”

“Essentially seven (per cent), give or take a little bit,” he said.

“The need is much greater. It’s probably over in the double digits, but it’s not palpable for communities.”

Increases are needed “to catch up on growth, to catch up on infrastructure, to make sure we’re maintaining everything,” Fawcett said.

“We’re going to have lots of discussion on that over the next month.”

In late 2023, a report from accounting firm MNP said the city should implement 13 per cent tax increases every year between 2024 and 2027, followed by about three per cent increases from 2028 to 2033.

The report said the increases were needed due to rising costs and because the city had previously kept taxes too low.

A second scenario called for nine per cent increases every year from 2024 to 2033, which would have required delaying several capital projects.

Just over a month after receiving the report, council approved a 9.4 per cent tax increase for 2024.

The city’s finance director is scheduled to give an overview of the budget at the Jan. 5 council meeting, city spokesperson Merrilea Metcalf said in an email.

Four pre-budget meetings are scheduled for Jan. 12, 15, 20, and 26. Those meetings will be open to the public, except for one on staff labour.

Meeting times, and which ones will be public, are still to be determined. Metcalf said communication on specifics will be announced in early January.

January’s budget will be the last one set by the current council, as voters will head to the polls in October to elect the city’s next council.

Council also approved its interim budget on Monday, which allows the city to function in January as council debates the year’s budget over the course of January. The interim budget is based on the previous year’s general fund and utility fund figures.

» alambert@brandonsun.com

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