Adjustments
On Sept. 16, 2024, Administration shared a preview of the proposed adjustments to the 2023-2026 Service Plans and Budgets. The preview provides an early look at the budget that will be presented in November.
What are mid-cycle adjustments?
Each year, we refine our service plans and budgets to reflect changes in current economic factors and ensure we’re responding to Calgarians’ needs. Adjustments made are in addition to the ones outlined in the 2023-2026 Service Plans and Budgets.
Why we're making adjustments
The City has been facing pressures affecting service delivery and Calgarians. Some of these pressures include aging infrastructure highlighted by the recent water main break, rapid population growth and inflationary pressure.
-
Aging infrastructure
-
Rapid population growth
-
High inflation
-
Have your say on budget adjustments
Council will deliberate and decide on adjustments to plans and budgets in the month of November.
Before that, Calgarians can voice their opinion and help Council identify which are the most important investments.
You can provide written feedback to Council or register to speak with members of Council in November.
Proposed changes
Earlier this year, Council directed us to maintain the 2025 property tax increase at 3.6 per cent for existing properties. To accomplish this, we looked closely at City investments and funding priorities and used different strategies to find efficiencies, adjust or prioritize work and improve budget estimates. A total of $107 million in tax support operating budget was identified through this process, and $228.9 million in capital funds can be re-used for priority investments.
Despite finding these efficiencies, further investments are required to deliver on Council priorities and maintain current service levels. Administration is proposing:
Municipal property tax
An increase in property tax revenue by an additional 0.9 per cent for 2025. Altogether, tax changes from this recommendation, plus the previous approvals and the tax shift, will increase the tax bill by $8.86/month for a median residential property assessed at $700,000. That is $1.90/month higher than the currently approved 2025 budget.
Waste & recycling and water utilities
An increase to user fees for Water and Waste & Recycling in 2025 to address continued population growth and inflation, infrastructure and inspections & repair needs. This will result in a $5.09/month increase on the typical residential water & waste utility bill in 2025 (based on typical metered water usage of 19m3 per month).
What these adjustments mean to you financially
| Changes in 2025 for the typical single residential property* | 2024 | 2025 change (proposed) |
|---|---|---|
|
Municipal property tax per month |
$216 |
+ $8.86 |
|
Waste & recycling and water utilities per month |
$137 |
+ $5.09 |
| Total City services | $353 | + $13.95/month |
* A residential property assessed at the median of $700,000 in 2025 with metered water usage of 19m3.
Calgarians need a safe, sustainable and resilient city. The proposed investments will help maintain projects including housing, public safety, transit and infrastructure. They aim to strike the balance between delivering City services, continuing capital projects and ensuring community development to address Council’s priorities
Proposed investments
These proposed investments are in addition to the ones outlined in the 2023-2026 Service Plans and Budgets. They respond to the evolving needs expressed by Calgarians and businesses, primarily through the 2024 Spring Survey of Calgarians. They may also align to Council’s focus areas or are projects that are deemed critical to The City. Investments are either used to run the service day-to-day (operating) or used to build and maintain infrastructure (capital) used by services.
Read our at a glance document for further information on these investments.
Operating investments
Without increasing taxes or fees
To determine what to invest in without additional increases to property tax or user-fees we’ve:
- Reviewed what we’ve spent compared to what we’ve budgeted to see if there are any unspent corporate funds we can use.
- Looked at the expected 2024 operating variance).
- Looked outside The City for external grants and other funding streams.
- Worked internally among our services to prioritize the most important investments.
See the efficiencies our services found.
Housing
- Rezoning for Housing Resources
Transit
- Eligibility Resources for Calgary Transit Access
- Increased 9-1-1 capacity to dispatch Transit Peace Officers
- Low Income Transit Pass Program Sustainment for 2025
- Preparing for Green Line Operations
Public safety
- 50 Officer Grant: Guns and Gangs Violence Action Fund
- Additional 5A Network Improvement Plan
- Implementing Downtown Safety Leadership Table recommendations
- Improving Pavement Quality and the 5A Network
- Playground and Amenity Safety Inspections and Sustainment
Other
- A Data Foundation for City Building: Exploring a New Civic Census
- Bill 20 Changes for Municipal Elections
- Clean Energy Improvement Program
- Corporate inflationary pressures
- Film Friendly Program Sustainment
- Plus 15 Inspection Program
- Remuneration framework for Boards, Commissions and Committees
Enabled by The City's proposed property tax increase
Council had directed The City to maintain the previously approved 3.6 per cent from existing properties, but Calgary’s growing population needs places to live and services to sustain them. The City is proposing an additional property tax revenue increase of 0.9 per cent for 2025 to address Calgary’s highest priorities needs.
Housing
- Growth Application in the Belvedere Area Structure Plan (Liberty Stage 2)
- Growth Application in the Keystone Hills Area Structure Plan (Prairiesong)
- Growth Application in the South Shepard Area Structure Plan (Hotchkiss)
- Open Business Cases in the Belvedere Area Structure Plan
Transit
- Incremental funding for Preparing for Green Line Operations*
- Public Transit Revenue Shortfall
Public safety
- Aligning emergency response capabilities to meet rising service demand
- Implementing Downtown Safety Leadership Table recommendations
Other
- Bridge Management System
- Policy framework for Boards, Commissions and Committees remuneration
- Sustaining service levels after significant grant to increase urban canopy
* Council directed Administration to bring recommendations to the September 17, 2024, Regular Meeting of Council to address the next steps for the Green Line Stage 1 program. Currently, The City is working to determine how the Green Line Stage 1 program might impact the 2023-2026 Service Plans and Budgets in November.
Capital investments
We made significant efforts to review capital investments and relinquish funding that can be re-used for high priority capital needs. The relinquishments will have very little impact to services. Additional funding was also identified from the Local Government Fiscal Framework and Franchise Fees to support these high priority investments.
The approximately $229 million identified can be re-used for capital cost escalations on previously approved projects, maintenance and critical repairs, housing and community development and City funding required to match contributions from other levels of government or external parties. The proposed capital investments include:
Capital cost escalations
- Capital Cost Escalations Fund
Maintenance and critical repairs
- Beaverdam Flats Slope Stability Project
- Enmax High Risk Task Transformer Relay Replacement
- Improving Pavement Quality on High-Speed Roads
- MacEwan Park View NW Slope Project
- Reinvesting In Our Annual Investment Programs
- Retaining Wall Replacement Program
- Timber Stair Replacement Program
Housing and community development
- Belvedere related Infrastructure including: Stoney Tr/Memorial Dr SE flyover, design for Max Purple
- City-Wide Transit Oriented Development
- Country Hills Widening (Barlow Tr to 36 St SE)
- Public realm investments in Established Areas
- Transit Oriented Design – Design & Infrastructure Study
Matched government funding
- Blue Line – Additional Design and early works
- Cowboys Park Capital Upgrade
The following investments do not require additional corporate funding. They are funded through other City funds, either entirely through offsite levies, reserves or self-supported debt.
- Community Grant Program for Established Areas
- Haskayne Emergency Response Station – Land purchase
- Vehicle and Equipment Growth 2023-2026
Utilities
Utilities are essential for Calgarians, and investing in maintenance and enhanced inspections is key to ensuring their reliability now and in the future. However, current rates haven’t kept up with the pressures of our growing and aging system.
To ensure the future sustainability of Calgary’s utilities, we’re proposing rate or charge increases to the following services:
- Stormwater Management
- Waste and Recycling Residential
- Wastewater Collection & Treatment
- Water Treatment & Supply
Across the four services, the rate increase will help address aging critical infrastructure, rapid population growth and growing demand for landfill capacity.
- Drainage Facilities & Network
- Waste & Recycling Services Facilities & Equipment
- Waste & Recycling Services Landfill/Treatment Infrastructure
- Wastewater Collection Network
- Wastewater Treatment Plants
- Water Distribution Network
- Water Treatment Plant
-
Preview of the mid-cycle adjustments at a glance
We understand that budgets and adjustments can be overwhelming. We’ve put together this at a glance document to help you understand the proposed changes to the 2023-2026 Service Plans and Budgets.
2024 adjustments
On Nov. 22 2023, Council approved adjustments to The City of Calgary’s service plans and budgets. These adjustments balance the desire to keep property tax and water, sewer and waste and recycling fee increases as affordable as possible for Calgarians while making meaningful investments in priority areas, such as affordable housing, public safety, and transit.
Council also approved a three-year plan to better balance taxes between business owners and homeowners. This comes as a response to some of the challenges for businesses and our local economy. It moves us closer to other big cities in Canada, which all have a lower tax responsibility for businesses. Council shifted 1 per cent of the tax responsibility from businesses to homeowners each year in 2024, 2025 and 2026. This will lead to a more diverse local economy, that will stimulate economic growth, create jobs, expand the economy, and provide a stable revenue stream for The City.
Adjustments process
Here is how the Adjustments process works: