Lake of Bays Council considering a 5.56% tax levy increase for 2026

Lake of Bays Council reviewed the 2026 draft budget, projecting an increase amid rising costs and new staffing and infrastructure projects.

Township of Lake of Bays staff presented a tax levy increase projection of 5.56% to Council, in the November 11, 2025, meeting.

While outlining the new 2026 Draft Budget and Business Plan staff reported challenging economic conditions and inflation pressures, including the Consumer Price Index (CPI) at 1.88% and the Bank of Canada rate at 2.25%.

They indicated that a property valued at $300,000 at a 2025 tax rate provides $674.88, and the 5.56% increase in 2026 provides an annual increase of $37.52.

Department projections include $126,529 for a new inspector in the Building Department to implement a new septic re-inspection program, and an additional $120,000 for office renovations.

Corporate Services budgeted $60,000 for 2026 election preparations, plus $100,000 to upgrade the Council sound system.

The Fire Department budgeted an additional $50,000 for the transition to be independent of the Huntsville department. They also projected $127,664 for new Deputy Fire Chief and Administrative Co-ordinator positions.

Other Fire expenses include increases in other areas as well leading to department projections of $705,000 for wages and benefits, $9,000 for communication equipment, $20,000 for materials and supplies, $8,000 for professional development, and $380,000 for subcontracting.

The Dwight Public Library projected an additional $50,000 for a new librarian position to help in the summer and fall because the current CEO is covering managerial duties, taking away from other responsibilities.

Council members expressed concern about the proposed library expense given a recent approval for a part time position, and that $50,000 covering half a year would cost $100,000 annually.

Mayor, Terry Glover, raised concern about the existing $3 million cost for recent changes, including the renovation in Dwight and a potential refresh in Baysville.

The Parks and Recreation department reported a $2.2 million budget impact for the Dwight library and community centre addition, renovations, access, and programing.

Councillor, Rick Brooks, said, “I think we need to be modifying some numbers.”

Other areas in Parks and Recreation have seen increases as well, resulting in projections of $30,000 for materials and supplies, $40,000 for repair and maintenance, $359,716 for tangible assets, and $65,000 for hydro at the Lake of Bays Community Centre – a $10,000 increase to accommodate things like the new splash pad.

The Planning Department project a $50,000 budget impact for an Active Transportation Strategy, $65,000 for a Tourism Strategy ($50,000 for strategy and $15,000 for support), $10,400 for housekeeping of the Community Planning Permit By-law in relation to Hobby Farms, $58,369 for a new Official Plan, $79,000 for a budget increase for a new full-time permanent Manager of Planning position, and other budget items.

Public Works projected $1,500,000 for active living and infrastructure for the Streetscape project on Highway 117. Upgrades include a year-round multi-use trail, wider sidewalks, new crosswalks, outdoor seating, and pedestrian lighting.

After budget discussions staff were directed to return next month with a proposed reduction from potential changes to the 3 new staff positions presented in the draft in order to reduce the net levy impact.