Manitoba

City of Brandon budget proposes 6.9% tax hike amid inflation, COVID-19 pressures

Brandon’s city council begins deliberations Friday morning on its 2022 budget, which proposes a 6.9 per cent tax hike.

Council to begin deliberations Friday morning on budget that proposes $10M increase in spending over 2021

Brandon city council will begin to debate the city's 2022 budget on Friday morning. (Riley Laychuk/CBC)

Brandon's city council begins deliberations Friday morning on its 2022 budget — one affected by inflation and the COVID-19 pandemic, and which proposes a 6.9 per cent municipal tax hike for Manitoba's second-largest city.

If approved, the operating budget will also see spending among city departments increase by almost $10 million — or 11.9 per cent — over the 2021 budget. 

Over the next two days, city council will go through the proposed $93.6-million operating budget and its $132-million capital budget, and hear presentations from city administration and department officials faced with rising costs in recent years. 

"Senior administration has worked diligently to keep this [tax increase] percentage as low as possible while dealing with rising inflation costs, challenges due to COVID-19, and the need to properly invest in infrastructure projects which will support our city's future," reads a news release from the city. 

The city is also relying on $40 million in provincial and federal grants to balance its capital budget.

Brandon's protective services budget, which makes up more than a third of the city's operating budget, is proposed to go up by $1.17 million, with a draft increase of almost $900,000 to the Brandon police budget alone.

The city is also proposing a 78 per cent increase to the growth, economic development and housing budget — most of which is attributable to a $3.9-million hike in the budget for housing initiatives. 

The capital budget includes proposals for drainage improvements, a new sewage lift station for the southern part of the city, a new ladder and rescue vehicle for the city's fire department, and a $14-million allocation to a new outdoor sports complex. 

The proposed tax increase is markedly higher than those proposed in past budgets.

In 2021, Brandon city council approved a budget that saw the residential property tax rate go down by one per cent, after a proposed increase of 3.15 per cent. 

The increase in 2020 was held to 0.47 per cent, while 2019 saw a 1.17 per cent increase passed after deliberations. 

The city will live stream budget deliberations on Friday and Saturday on its YouTube channel

After council passes the budget, it will go to a public hearing before it is ratified.