Written By David Gomez, Local Journalism Initiative Reporter
STRATHROY-CARADOC - On February 3rd, Council approved the 2025 budget, which includes a 4.59% tax rate increase, during a public council meeting. The budget was approved with a vote of 7-2, with Councillors Willsie and Derbyshire opposing the motion.
Bill Dakin, Director of Financial Services & Treasurer, detailed the budget’s composition in his presentation to council. Dakin explained, “The overall spending of $77 million is split between $30.5 million in capital and $46.5 million in operations.” He highlighted the reliance on non-tax revenues, including user fees and grants, which significantly contribute to the budget, comprising two-thirds of the funding ($52.5 million).
The tax increase will result in approximately $24.4 million in revenue for 2025. Dakin noted, “This increase translates to about $124 on the average tax bill.” This adjustment is part of the council’s effort to manage growing demands for municipal services against the backdrop of limited assessment growth, which has slowed to 1% this year.
Dakin also addressed the budget’s strategic financial measures: “We are also starting to utilize development charges that the municipal body has been collecting to ensure that future developments are funded by the fees collected from those developments.” This approach is intended to sustain the municipality’s long-term financial health and infrastructure projects.
The meeting included a discussion on the allocation of funds, with a particular focus on the strategic use of a $9 million financial placeholder. “This placeholder allows us to prepare for significant capital expenditures without immediate financial commitment,” stated Dakin, emphasizing the necessity for forward-looking financial planning.
The budget’s approval two months earlier than the previous year allowed for an accelerated start on municipal projects planned for the year.
As the council session concluded, the adopted budget set the financial framework for 2025, aiming to meet municipal service demands while adhering to fiscal management guidelines.
