The City of Quinte West is addressing some of the financial pressures it faces as the city prepares for the first of its three meetings regarding the 2025 budget.
In a release, the city says that its budget has faced significant strain due to rising inflation, growing demands from external agencies and community groups for city funding, and cuts in funding from other levels of government.
In particular, the city cited the existing infrastructure deficit, rising policing costs and provincial and federal funding pressures.
Addressing infrastructure, the city says that aging infrastructure, past inflationary pressures, and the need to balance capital spending while limiting tax rate increases have contributed to its existing infrastructure deficit.
When it comes to policing, Ontario Provincial Police issued its 2025 annual billing statement to the city with the statement reflecting a 19% increase in policing costs, translating to an additional $1.69 million for Quinte West in 2025.
The cost increase is consistent with other OPP municipalities, but absorbing the increase will create a 2.2% increase to the city’s 2025 tax levy alone.
Finally, for provincial and federal funding pressures, the city says past cuts in funding from other levels of government continue to limit the amount of money the city has to spend on the 2025 operating expenses, capital projects, and to invest in reserves.
The city is anticipating a $1 million loss in Payment in Lieu of Taxes (PILTs) on the federal government’s 8 Wing/CFB Trenton property.
Grant applications to generate new revenue for the city have been difficult and unpredictable, citing recent grant applications for $2.2 million from the provincial Housing-Enabling Water Systems Fund for sanitary sewer improvements along Old Wooler Road, and $3.6 million from the first round of the federal Housing Accelerator Fund to support local affordable housing initiatives, being unsuccessful.
Despite all of this, the city remains committed to protecting its long-term financial health through these three strategies:
- Using asset management plans to make data-informed decisions about maintenance and upgrades to city infrastructure, ensuring efficient spending and reducing unexpected costs.
- Updating user-rate studies for development charges, water and wastewater rates and fees and charges to cover the costs of essential services, infrastructure and growth.
- Applying for grants and funding to generate additional revenue for projects, reducing the municipal tax burden on residents and freeing up existing funds for other priorities.
Residents who would like to provide comments or input on the budget can either send something in writing to clerk@quintewest.ca for distribution as correspondence to council or address council in-person or virtually at any upcoming budget meeting.
More information about the city’s budget can be found at the City of Quinte West’s website.