June 12, 2019 7:24 pm
Updated: June 13, 2019 7:29 am

City of Saskatoon expects regular annual property tax increases

WATCH ABOVE: The City of Saskatoon has released its first indicative multi-year budget for the years 2020 and 2021.

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The City of Saskatoon is putting together its first multi-year budget for 2020-21 and expects property taxes to increase about four per cent each year.

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The city’s budget projects a 2.94 per cent increase in 2020 and 3.17 per cent in 2021 in order to maintain current service levels. But paying for the new city-wide organics program would add another one per cent, making the total increase 3.94 per cent, and 4.17 per cent respectively.

READ MORE: Saskatoon city council pushes back organics collection to 2023

Saskatoon’s chief financial officer said the reason for the regular increases is due to a lack of non-tax revenue streams.

“We’re not being able to keep up and we’ve got to fill that gap with property tax. So we look at expenses very hard. We try to maintain within a mandate of inflation and some growth parameters,” Kerry Tarasoff said.

He added that a multi-year budget could be beneficial for administration, council and residents because it will allow them to plan for future projects or tax increases.

READ MORE: Saskatoon city council approves 4.4% property tax hike for 2019

Three options will be presented to the city’s governance and priorities committee next week.

The options range on whether the committee wants to set the target property tax increase at 8.11 per cent (in total) over the next two years.

The other options are whether the committee will commit to a higher or lower tax than what is recommended by the city.

© 2019 Global News, a division of Corus Entertainment Inc.

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