Town of Gravenhurst passes a 6.87% percent tax rate increase for 2026

The Mayor says council should be proud of the budget

The Town of Gravenhurst Council passed a 6.87% tax rate increase, along with the overall 2026 budget, in the December 9, 2025, meeting.

Staff reported an operating budget of “$337,550 which is an increase of $5,850 or 1.8% from 2025.”

A $31.4 million operating budget, along with a $13.7 million capital budget was also reported.

The budget is deemed to reflect pressures of rising service costs, long-term planning commitments, and ongoing municipal responsibilities.

CAO, Scott Lucas, said the budget also balances “continued investments and capital.”

The increase is required to maintain services, implement strategic priorities, and support the master plans across departments, according to the report.

It continues that Council's priorities in the upcoming year include its continued role in community representation, policy development, and maintaining the financial integrity of the municipality.

The budget also supports Council's participation in numerous strategic and corporate plans, including the Strategic Plan, Fire Master Plan, Parks, Recreation and Trails Master Plan, Corporate Communications Strategy, and environmental initiatives, such as the Muskoka Joint Climate Change Adaptation Plan and Regional Climate Plan (ReCAP).

Other Town initiatives include the Economic Development Strategy, Housing Needs Assessment, IT Service Review, Opera House Master Plan, watershed management planning, and advocacy for expanded healthcare services, including the growth of the Town’s Community Hub. Council members will also continue professional development and orientation sessions to support informed governance, indicates the report.

Mayor, Heidi Lorenz, said it’s important to note, “Gravenhurst is one of the only Council’s in the region that didn’t give themselves a raise this year, other than the cost of living raise, so you can be rest assured  that that’s not in this budget, so, a pat on the back to all of us for that.”

She indicated that the budget reflects significant decisions about what was possible. She added, “Times are tough and we needed to be close without cutting out some of the fun stuff… Those are what makes community great, and I hope people get out and enjoy them.”

She continued that Council should be “proud of the budget” and “defend” the increases in various departments. “I hope you can get behind the budget,” and the staff’s work, she said.

The Mayor also did not veto the budget, so a Council override was not required, therefore, the proposed draft 2026 budget was deemed passed.