Bracebridge looking at higher tax increases in the coming years

The increases of 3 1/2 to 4 1/2 per cent each year is expected over the next decade

The Bracebridge Capital Plan annual update pointed to future tax levy increases, in the September 1, 2026, General Committee meeting.

According to the staff report, the plan includes a preliminary 3.5 per cent capital levy impact for 2027 and potential increases of 4.5 per cent annually in subsequent years.

The updated plan provides an overview of the Town's anticipated capital requirements over the next 10 years, based on departmental assessments and Council priorities, and will be considered as part of the development of the Mayor's 2027 Budget and Business Plan.

For 2027, the plan includes approximately $11.5 million in total project expenditures. The estimated net capital investment represents an increase of $811,340 compared to 2026, resulting in the preliminary 3.5 per cent levy impact.

The longer-term projections currently show annual increases of approximately 4.5 per cent from 2028 through 2036.

The report adds that project costs and timing may change due to factors including grant opportunities, coordination with partners such as the District Municipality of Muskoka, updated cost estimates and future direction from Council.

Staff have prioritized rehabilitation projects over the construction of new assets when sequencing projects within the plan. The Town's 2025 Asset Management Plan recommended increasing funding by 1.4 per cent annually for 20 years, in addition to sustainable revenue sources, to fully fund municipal asset maintenance, rehabilitation and replacement requirements.

The capital plan also includes funding for projects such as future land acquisition for Phase 2 of Salmon Avenue and preparatory work toward demolition of the vacant red brick building at 10 Entrance Drive.

Councillor, Don Smith, expressed concern about the potential long-term 4.5 percent increases over the span of the next 10 years, indicating “60% tax increase is what it works out to.” He added that approving the plan now is “moving the ship in that direction.”

Smith continued, “There’s a fairly significant risk here and when we equate that with other things going on in the world today…”

Director of Finance/Treasurer, Paul Judson, said, “The Town is faced with undertaking priorities with affordability and capital constraints.” However, he added, “Those are there for illustrative purposes. They’re subject to change.”

Smith replied, “I would hope that we’re not looking at a 4.5 per cent increase year after year after year for capital.” He added, “I guess I find the extent of that number a bit daunting and concerning.”

The final 2027 tax levy impact, including both capital and operating requirements, will be determined through the Mayor's 2027 Budget and Business Plan, which is scheduled to be presented to Council on January 13, 2027.