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December 20, 2018 Volume 33, No. 16
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City council sets 3% tax hike target
Santa was a busy man on the weekend as hundreds of children paid him a visit at Place d’Orléans to make their special requests for Christmas including Abby, 4, and Tyler, 7, from Orléans . FRED SHERWIN PHOTO
By Fred Sherwin The Orléans Star Ottawa residents can expect to see a three per cent increase in their property taxes next year, along with a 2.5 per cent increase in OC Transpo fares and other user fees. Those are the targets established by city staff under the direction of Mayor Jim Watson as they set out to put together a draft budget for 2019. A third of the revenue raised by the three per cent increase, or $9.8 million, will be used to tackle the city`s $70 million infrastructure renewal funding gap. The rest of the money will be used to cover growthrelated expenditures. A three per cent tax increase equates to an extra $100 for the average property assessed at $350,000. The OC Transpo fare increase won`t come into effect until July 1. How it
will be applied across the transit service’s fare and pass structure will be revealed when the draft budget is tabled next month. The city had planned to eliminate the infrastructure renewal funding gap over the next 10 years, but after hearing residents’ concerns about the deteriorating state of Ottawa’s roads and other infrastructure, the former council directed staff to come up with ways to cut the timeline in half. One of those ways was to add one per cent to the tax rate in 2019 which will flow through to subsequent years, generating an additional $9.8 million a year for the foreseeable future Although the money is currently earmarked to repair the city’s aging infrastructure, it can eventually be used to pay for other expenditures if so directed by council. CONTINUED ON PAGE 2