2.99% tax increase in proposed 2025 Windsor budget

The proposed 2025 City of Windsor budget includes a 2.99 per cent tax increase.

Mayor Drew Dilkens tabled the budget today as part of his legislated responsibilities under the Municipal Act.

The proposed 2.99 per cent municipal tax levy increase is below the average annual blended rate of inflation and below last year’s 3.93 per cent increase.

“This proposed 2025 municipal budget for the City of Windsor focuses on investment, growth, and sustainability, while delivering a modest tax levy increase to the residents and navigating the opportunities and challenges associated with the rapid and unprecedented growth of our city and the surrounding region,” said Dilkens.

He said the city has saved Windsor taxpayers a cumulative $1.47 billion from 2008 to 2024, which translates into $96.7 million savings in 2025 with anticipated and continued annual savings accruing to taxpayers well into the future.

“Through dedication and careful strategic planning, the Corporation continues to efficiently allocate resources and prioritize essential investments to secure the ongoing provision of services, growth, and resiliency of our city and the Windsor community,” said CAO Joe Mancina.

Earlier this year, in an effort to address significant budgetary pressures for 2025, Dilkens said they did the following:

• Launched a budget consultation process that included establishing three Finance Committees of Councillors and City Administration to identify potential savings in operations and service levels;
• Instituted a hiring freeze at City Hall; and
• Rolled out a public survey as part of the 2024 Ward Meetings in each area of the city.
• As a result of work at the Finance Committees, reductions of over $2 million were brought forward for Mayoral consideration. The proposed tax levy increase stood at approximately 5.5 peer cent before the Mayor’s final review with City Administration.

In addition to proposed changes to some city services, which will result in cost savings that will be deliberated by council in the coming weeks, further reductions to the tax levy were supported by:

• Additional tax revenue of $4.85 million anticipated from new development and growth; and
• Additional non-tax related revenue of $5 million from increased internal investment yields and the Ontario Municipal Partnership Fund.
• The 2025 recommended 10-Year Capital Budget is $2.24 billion. This includes $312.7 million in capital investments for 2025. The city’s increase in average annual investment in roads and sewers infrastructure is 88 per cent since 2019.

Contemplated in the overall investments for 2025 are:

• $856.8 million for roads;
• $485.2 million for sewers; and
• $186.2 million for parks and recreation.

Dilkens said “notable” 2025 investments through the capital plan include a number of projects that support development around the NextStar Energy EV battery factory, the site of the future Windsor-Essex Acute Care Hospital, and further development of Sandwich South, including the servicing of airport lands. These include:

• $169.3 million for Lauzon Parkway / Cabana Road East – County Road 42
• $35.6 million for airport employment lands servicing
• $15 million for the Lauzon Parkway Extension to the 401
• $50 million for the Banwell Road / E.C. Row Expressway Interchange
• $43.6 million for the Banwell Corridor
• $6.2 million for the East Riverside Planning District on Wyandotte
• Other notable infrastructure projects for 2025 include:
• Howard Avenue / South Camera intersection work between Division Road and Kenilworth Road
• Ongoing work on Lauzon, north of the E.C. Row Expressway
• Continued work on University Avenue
• Project tender for the new Peace Fountain
• Installation of a cricket pitch for Derwent Park
• Phase 1A of the South Cameron Trail
• Replacement of the Optimist playground

According to provincial legislation, council has 30 days to propose amendments to the 2025 proposed budget. The public and city council will have two weeks to review the budget.

Council will then hear from delegations on Jan. 13. At the conclusion of that meeting, council will meet to deliberate the 2025 City Budget on Jan. 27, with any additional rounds of deliberations scheduled, as required, between Jan. 28 to Feb.3.