Skip to content

Council votes to not raise taxes in preparation of Bill 23 impacts

Cambridge city council has opted to not raise taxes an additional 1.5 per cent to prepare for Bill 23, citing uncertainty around the provincial legislation.
20220217-CONSTRUCTION-JM
Construction site in Cambridge

The controversial Bill 23, More Homes Built Faster Act, has caused confusion for municipalities all over Ontario and Cambridge city council has been faced with many questions on how to proceed.

With high inflation, rising costs of living and the 2023 4.74 per cent increase on property tax, council has voted unanimously to take a step back and assess the situation before adding more onto the plate of the taxpayer.

Cambridge councillor for Ward 7, Scott Hamilton put forth a motion that would let city staff take some time to monitor the impacts and implications of Bill 23 and put off raising taxes related to it until the 2024 budget. If Hamilton's motion was not passed, this year's tax increase would have been another 1.5 per cent. 

"By diving deeper into potential ramifications and uncertainties of making municipalities whole, it just shows up how much uncertainty surrounds us right now," said Hamilton.

"I don't think anyone around this horseshoe doesn't understand how important the tax bill is and how much people are pinching pennies right now across the city." 

Councillors have echoed this sentiment and say they understand how the people of Cambridge are being dealt a tough hand financially and adding more on them is not the right move. 

“We have people in this community that are suffering and suffering badly,” said councillor for Ward 2 Mike Devine. "I think it's in the nest interest of our community and down the road if we have to make a change, we'll make a change." 

Devine does not want to see extra taxes dumped on the residents of Cambridge after the difficult financial time they experienced during the pandemic and continue to go through today. 

Mayor Jan Liggett referenced her time with city managers, the Big City Mayor's and the mayors from Waterloo region and their long discussions on the subject and said they have grave concerns of the impacts of the bill.

"But whether you love them or you hate them, any provincial government you have to remember that we take our marching orders from them and we have to work within whatever regulations they put forward," added Liggett. 

According to city staff, despite the bill being introduced back in Nov. 2022, there has still been no solid communication on how the province would reimburse and make municipalities whole for the waiving of development charges. Cambridge could potentially lose upwards of $1.5 million from the phasing in of this bill. 

At the final budget and Audit Committee hearing, city staff presented council with a few outcomes from Bill 23 and some of the responses by Ontario premier Doug Ford in regards to municipalities. 

Staff referenced a press conference from Jan 18, where Ford said he believes any revenue lost by municipalities because of breaks for developers and the waiving of fees can be made up by finding efficiencies at city governments. 

"We're gonna bring auditors into the cities to make sure that you know, what they say they're doing, they're doing," said Ford. 

Provincial rhetoric and lack of clarity around the legislation has caused Hamilton and his council peers to unanimously approve a motion that would be open and transparent with the public about the bill and how it will affect tax payers. 

The motion included the pause of any added taxes for this calender year and to asses the situation. A dedicated web page on the City of Cambridge's website will be made to outline impacts of Bill 23 and the city's response to them. 

Ward 8 councillor and budget chair Nicholas Ermeta, wants an open dialog with local MPPs to be established and further the discussion on what exactly will happen and to clarify the province's responsibility.


Reader Feedback

Joe McGinty

About the Author: Joe McGinty

Joe McGinty is a multimedia journalist who covers local news in the Cambridge area. He is a graduate of Conestoga College and began his career as a freelance journalist at CambridgeToday before joining full time.
Read more