Manitoba

Winnipeg Mayor Brian Bowman hints at higher property-tax hikes after next election

Mayor Brian Bowman says Winnipeg may be forced to consider more sizable property-tax hikes as a result of provincial funding decisions.

Provincial funding decisions are 'putting a squeeze on Winnipeg,' mayor says in year-end interview

Mayor Brian Bowman has kept his 2014 campaign promise to limit property-tax hikes to 2.33 per cent each year during his first term in office. Higher hikes are possible after 2018, he hinted Tuesday. (Jeff Stapleton/CBC)

Mayor Brian Bowman says Winnipeg may be forced to consider more sizable property-tax hikes as a result of provincial funding decisions.

In an end-of-2017 interview with CBC News, the mayor hinted 2018 may be the last year the City of Winnipeg limits its annual hike in property taxes to 2.33 per cent.

"The new fiscal reality we face in the province is putting a squeeze on Winnipeg and Winnipeg taxpayers, no doubt," Bowman said Tuesday morning in an interview in his office.

"That is going to become an increasing question, given some of the downloading we're facing here in the city."

During the 2014 mayoral race, Bowman pledged to limit any annual increase in the pool of taxes the city collects from existing residential and commercial properties to 2.33 per cent each year. He kept that promise in 2015, 2016 and 2017 and is poised to do the same in 2018, the final calendar year of his rookie term.

While Bowman has not committed to placing his name on the mayoral ballot when Winnipeggers go to the polls on on Oct. 24, 2018, he also says he does not foresee any event that will prevent him from seeking a second term.

"That's a great question I can't answer right now," he said. "I'm having fun. I'm working really hard and we're delivering results for Winnipeggers."

Premier Brian Pallister says Winnipeg has a sweet deal from the province. (CBC)

While the mayor claims to have a good relationship with Manitoba Premier Brian Pallister, there has been a growing fiscal-policy rift between the city and province.

In May, Bowman criticized the Progressive Conservative government for freezing provincial funding for the city at 2016 levels.

The mayor intensified that criticism in November to highlight what he described as the province's "unilateral decision" to end an agreement to cover half the cost of Winnipeg Transit operations that are not covered by transit-fare revenue.

Bowman used that decision to justify a 25 cent Winnipeg Transit hike in 2018 as well as the need to review transit operations next year with an eye toward potential service changes.

Winnipeg Mayor Brian Bowman hints at higher property-tax hikes after next election

7 years ago
Duration 1:47
Mayor Brian Bowman says Winnipeg may be forced to consider more sizable property-tax hikes as a result of provincial funding decisions. In an end-of-2017 interview with CBC News, the mayor hinted 2018 may be the last year the City of Winnipeg limits its annual hike in property taxes to 2.33 per cent.
Bowman then proceeded to blame the province for saddling Winnipeg with a higher share of ambulance costs.

In a budget presentation in December, the Winnipeg Fire Paramedic Service said the Winnipeg Regional Health Authority either has to provide the city with an additional $4.5 million to operate ambulances on its behalf next year or tell the city which paramedic services to cut.

In a year-end interview of his own last week, Pallister dismissed the notion the province is shortchanging the city in any manner.

"I give the City of Winnipeg hundreds of millions of dollars in reassurance every year. The City of Winnipeg has the sweetest deal in Canada. They have virtually no strings," Pallister said on Dec. 14. "I expect them to find savings."

The statement about Winnipeg's funding is not a Pallister government invention. Gary Doer's NDP government said the same thing a decade ago.


Property-tax hikes in Winnipeg

2018: 2.33 per cent

2017: 2.33 per cent

2016: 2.33 per cent

2015: 2.33 per cent

2014: 2.95 per cent

2013: 3.87 per cent

2012: 3.5 per cent

2003-2011: No property-tax hikes

ABOUT THE AUTHOR

Bartley Kives

Senior reporter, CBC Manitoba

Bartley Kives joined CBC Manitoba in 2016. Prior to that, he spent three years at the Winnipeg Sun and 18 at the Winnipeg Free Press, writing about politics, music, food and outdoor recreation. He's the author of the Canadian bestseller A Daytripper's Guide to Manitoba: Exploring Canada's Undiscovered Province and co-author of both Stuck in the Middle: Dissenting Views of Winnipeg and Stuck In The Middle 2: Defining Views of Manitoba.

- With files from Elisha Dacey