Halifax approves $1.3-billion budget, 6.3% tax bill increase
Halifax Regional Municipality has approved a 6.3 per cent tax bill increase as part of a $1.3-billion budget for 2024-25.
Regional council approved the budget which includes an operating budget of $1.04 billion and a capital budget of $306.5 million on Tuesday.
In a news release, the city said the budget allows the municipality to keep pace with operating demands posed by significant growth, inflationary pressures and also includes some investments in new or enhanced services.
“It was a challenging budget debate, through which I believe Council managed to support growth, maintain services and meet significant commitments to our communities,” Mayor Mike Savage said in the news release.
Halifax Regional Police received funding for 22 new positions, and RCMP received funding for six officers. The budget also includes $2 million for a 24/7 fire station conversion in Hammonds Plains, $2.3 million in continued community safety programs and new positions, as well as funding for 10 new crossing guards.
There is $7.5 million in tax relief for non-profit and charitable organizations and $18.6 million for capital projects as part of the municipality’s climate change plan.
The budget will also allocate $271 million toward the Mill Cove ferry terminal project and $2.4 million for funding of the Integrated Mobility Plan.
Some provincial taxes removed
Starting in 2024-25, the municipality will no longer collect housing and corrections taxes for the province. The change does not affect the municipality’s budget, but it did lower the overall property tax bill increase.
The average homeowner in Halifax will see an average tax bill increase of about $214, for an annual total of $3,589 for someone in the urban area.
Halifax Transit fares are also set to increase 25 cents to $3 for an adult fare this year with the other passes and ticket bundles rising proportionally on Sept. 1.
“From the beginning of the budget process to this final step, significant reductions and adjustments have been made to reduce the proposed tax increase,” Cathie O’Toole, the chief administrative officer, said at committee.
O’Toole said there was about $48 million in spending reductions during the budget process.
Deputy Mayor Cathy Deagle Gammon and Coun. Trish Purdy asked about the possibility of a multi-year budget.
“Instead of doing this lovely journey every year of starting high and coming down to something, I think the four-year budgeting process has some very positive attributes,” Deagle Gammon said
O’Toole said a multi-year operating budget would help staff and council take a longer-term view.
Council approved a 5.9 per cent hike in 2023-24, which meant the average single-family residential tax bill went up $128 for a total of $2,288.
