Calgarians and local groups gathered at city hall Monday to share their thoughts during a public hearing on the city’s proposed adjustments to the four-year budget, which includes a property tax increase of 3.6 per cent.
Councillors heard from close to 40 speakers throughout the day with a wide array of opinions on the city’s spending plan, with advocacy over affordability, public transit, and infrastructure, while others raised concerns about the proposed tax increase, spending on climate change initiatives, and funding for city-wide rezoning.
“This update to the city’s service plans and budget needs to return the focus of this council and administration to the basic delivery of essential services,” Guy Buchanan told council during his allotted five minutes. “Your worship, how is a 3.6 per cent increase on taxes holding the line?”
Calgary’s mayor has used ‘holding the line’ to refer to this year’s budget adjustment as the property tax increase is capped at 3.6 per cent, a decision council made back in 2022.
On Monday, Mayor Jyoti Gondek argued the budget is “rooted in reality,” with both inflation and population growth soaring past initial city projections.
“Inflation is almost double what we projected, and population growth is more than triple what we projected,” Gondek told reporters. “This budget is a realistic budget and it delivers on a promise that we made two years ago.”
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Although the overall property tax increase sits at 3.6 per cent, it varies depending on property class due to assessed its assessed value, with single-family homes expected to see a 3.9 per cent hike and the median condominium expected to see a 10.5 per cent increase.
Combined with a proposal to raise fees for water, waste and recycling services, the tax increase would mean an extra $13.46 per month for the average residential property assessed at $700,000.
Arthur Gallant, a resident of Ward 8, returned to pitch city council to address affordability during the public hearing on Monday.
Gallant noted he earns 70 per cent above minimum wage but can’t afford to use transit after he covers his bills and rent, as he earns too much to qualify for a low-income transit pass. Gallant also shared with council he had to surrender his cat of 10 years to the Calgary Humane Society due to the costs.
“If this affordability crisis, which I believe (city council) has control over from a monetary perspective, continues to get worse, I will not be able to call myself a Calgarian a year from now,” he said in an interview following his presentation.
According to city administration, 60 per cent of the recommended new spending in this budget adjustment will be directed to infrastructure, with 24 per cent set to cover inflationary pressures, another 11 per cent for transit and transportation, and four per cent for public safety.
Gondek argued there’s little wiggle room in this year’s budget for cuts.
“We are managing to move things around in this budget to ensure Calgarians top three priorities are addressed, that you have solid infrastructure, that people have good roadways, that our transit can operate on those roadways, that your water system is going to provide you with safe, clean drinking water,” Gondek said.
“To the people who are saying we can cut it further, I’d love for them to show me the math.”
However, some councillors argued there is room to reduce spending in the budget, with Ward 1 Coun. Sonya Sharp noting she’s looking for efficiencies that don’t affect front-line services.
“There are things in this corporation that are nice-to-haves that the public wouldn’t even skip a beat, they wouldn’t even notice,” she told reporters.
Ward 7 Coun. Terry Wong said he believes the city should pause a planned shifting the tax burden by one-percent from non-residential properties onto residential properties this year.
City council will return Tuesday to ask questions of each city department, including the Calgary Fire Department and Calgary Police Service.
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