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Initial proposed budget includes 6.1 per cent tax-levy increase

The proposed budget includes an increase in total gross spending and a potential municipal tax levy of $231.7 million.
City Council
Archived photo of City council from 2020. (Ian Kaufman,

THUNDER BAY -- The City of Thunder Bay unveiled their proposal for the 2024 Operating and Capital Budget.

Last year, Mayor Ken Boshcoff directed the city manager and treasurer to bring forward a spending plan in line with council’s target of a six-per-cent tax levy hike (5.5 per cent after growth).

The staff is proposing that in order to support the budget, the municipal tax levy would need to be $231.7 million ($211.5 million operating, $20.2 million capital), which is an increase of $13.3 million or 6.1 per cent compared to the previous year.

2024 Key Budget Drivers

  • $2.3 million increase request from Thunder Bay Police Service 
  • $200,000 increase request from the Thunder Bay Police Services Board
  • $1.7 million to implement approved program and services review recommendations including expansions for the human resources strategy, digital strategy, and other expansions including the affordable transit pass pilot project, recreation and culture affordable access pilot project, airport rebate program, and provincially mandated organics program
  • $1.1 million for inflationary increases for materials and purchased services for parts, salt, paint, contracted repairs and maintenance, and snow removal
  • A $900,000 one-time use in the reserve funds in 2023 that were not offset by approved service-level reductions
  • $1.6 million increase for outside and local boards, excluding Thunder Bay Police Service and the Police Services Board

On the positive side of the ledger, staff have highlighted the following:

  • $1.2 million increase in user fees
  • $800,000 decrease in insurance premiums
  • $1 million increase in the TBaytel dividend
  • $800,000 in the beginning of interest payments from the Synergy North Corporation
  • $500,000 increase in other revenue including administrative recoveries and casino revenue
  • $200,000 increase in the Ontario Municipal Partnership Fund allocation

The proposed operating and capital budget includes total gross spending of $538.3 million, an increase of $23.5 million or 4.6 per cent compared to 2023.

The council will have a look at the long-term finances next Tuesday, which will be followed by an informal question and answer session on Jan. 25.

Council will review the budget on Jan. 30, Feb. 1, Feb. 5 and Feb. 7

The budget is scheduled to be ratified on Monday, Feb. 12.


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