Halifax residents are set to experience a 9.5 per cent increase in their municipal property tax bills this year. The rise is attributed to a budget allocation towards transit enhancements and significant construction projects. The Halifax council recently approved an operating budget of $1.4 billion and a capital budget of approximately $316 million for the 2026-27 fiscal year.
The property tax rate for the average urban homeowner has been adjusted to 0.798 per $100 of assessment, a slight increase from the previous year’s rate of 0.770. Consequently, an average urban residential property valued at $357,500 will incur a tax bill of $2,853 this year, marking an increase of about $247, or 9.5 per cent, compared to last year.
Mayor Andy Fillmore and councillors Shawn Cleary and John Young were the sole dissenting votes, with the budget passing by a vote of 14 to three. Fillmore expressed that the decision was influenced by feedback received from Halifax residents, emphasizing the strain caused by escalating utility costs and fuel prices on households.
While the initial projection called for a 10.9 per cent increase, adjustments were made to lower the impact. The budget includes provisions for 10 additional firefighters at Station 11 in Upper Sackville to enhance emergency response, as well as developments such as the Windsor Street exchange and the upcoming Eastern Shore Lifestyle Centre in Sheet Harbour.
Furthermore, the budget allocates resources for 10 new buses to expedite the city’s transit plan and enhance key routes. Councillor Janet Steele highlighted the importance of efficient and safe transit in contributing to overall affordability.
To offset expenses, the council implemented various measures such as raising parking fees, introducing paid parking on Saturdays in select areas, and raising transit fares by 25 cents in the upcoming season. The community engagement process revealed mixed sentiments, with some advocating for lower tax rates while others supported increased taxes for improved services, particularly for enhanced transit options.
Council members defended the budget decisions, emphasizing the necessity of investments to position Halifax as an attractive living environment. The budget report commended the financial sustainability of the budget, citing additions to reserve accounts and prudent debt management practices to ensure a stable financial outlook.
When factoring in other mandatory charges on the property tax bill, including provincial education and Halifax Water fees, the total bill for an average urban home is projected to rise by 7.5 per cent compared to the previous year, amounting to an increase of $284 and bringing the total average bill to $4,058.
Overall, the approved budget reflects the council’s commitment to balancing the needs of the community with financial responsibility, aiming to enhance the quality of life for Halifax residents.