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Typical Calgary home would see taxes and fees rise by $113 in 2019 under proposed city budget

Nenshi's approval rating highest among women, young people, north Calgary residents and NDP supporters

Calgary's proposed budget for 2019 includes a 3.5 per cent increase in residential property taxes along with user fee hikes that together add up to a total increase of about $113 for a typical household.

Many business owners outside the city's downtown core, however, may be hit by even larger tax increases unless council finds additional funds to limit those hikes, as it has in the past two years.

That's because of the continuing shift in tax burden that has resulted from declining property values downtown, particularly among office towers that sit substantially empty.

Council has devoted $86 million over the past two years to blunt the blow on individual businesses by limiting tax increases to five per cent.

It is considering a plan to devote another $40 million next year, but this time to limit increases to no more than 25 per cent.

The budget plan also calls for a 10-cent increase in adult transit fares next year and further increases in subsequent years.

Increases in fees for recreation facilities like pools and arenas are also proposed.

In terms of spending, the city is proposing to boost the amount of money it devotes to snow clearing, affordable housing and the Calgary Police Service.

The budget also calls for spending reductions on some social programs, appeals and tribunals and the city's citizen engagement efforts.

The financial plan for 2019 includes about $40 million in efficiencies and other savings that city staff say they've found.

City manager Jeff Fielding calls it a responsible budget that ensures Calgarians will get the services they want.

Mayor Naheed Nenshi noted city budgets are calculated on a total-dollar basis and a certain amount of increase each year is required to account for inflation and population growth.

The city specifically broke out expenses related to the development of new communities in the 2019 budget, which the mayor said accounts for roughly a 2.2 per cent tax increase.

The remaining 1.3 per cent is for other things, Nenshi said.

City council heard Wednesday that the budget assumes an effective inflation rate of about 1.9 per cent next year and population growth of 1.3 per cent.

The budget also includes a four-year outlook, with three-per-cent tax increases slated for 2020, 2021 and 2022.

After meeting briefly on Wednesday to discuss the budget in broad terms, council is set to debate the financial plan, in detail, starting on Nov. 26.