Moncton residents will see another tax cut in 2025 to help offset rising property assessments.
Council approved the city’s $223-million operating budget, an increase of 5.5 per cent, during a special meeting on Thursday.
The 2025 tax rate has been set at $1.3614 per $100 of assessment, a drop of 6.2 cents.
Moncton’s tax rate has dropped by nearly 29 cents since 2021, according to a city news release.
Commercial tax rates will be $2.3144 per $100 of assessment, or 1.7 times the residential rate, a decrease of 4.85 cents from 2024.
“Moncton has experienced strong growth in its assessment base over the past four years due to rising property values in the city and new construction,” Jacques Doucet, general manager of finance service, said in a news release.
“This growth provides us with some flexibility to enhance and grow our services to residents while mitigating property tax increases for citizens who have seen their assessments go up.”
While many residents will still pay more in taxes even with the tax rate cut, Doucet told our newsroom that the increase will be considerably less.
Residents in the Moncton Local Service District who were incorporated into the City of Moncton in Jan. 2023 will see their tax rate increase by 2.5 cents to a total of 99.08 cents.
What’s included in the budget?
Codiac Transpo is a big part of the 2025 budget, with money set aside for more staff, new buses and service extensions.
The budget includes funding for 38 new positions across the city, including 17 staff at the transit agency.
“One of our biggest success stories is how our transportation system went from being a service used by very little to now being a very demanded service,” said Doucet.
“It was really important for us to enhance that service, to continue to increase not only the bus runs but make sure that we have buses that are in working conditions.”
Four new firefighters are also being hired for the Moncton Fire Department, which Doucet said is a result of continued growth across the city.
There is also funding for five municipal support staff in policing, one new staff member in building inspection and a community development officer for seniors and youth will also be added.
Codiac Regional RCMP asked for a nearly $9.4-million increase to its budget in 2025 which, among other things, will pay for those five municipal support staff positions and 17 additional police officers.
A total of $1.8 million is being spent on Codiac Transpo operations in 2025, which includes funding to support extending services.
Capital budget
During Thursday’s special meeting, council also approved a nearly $73-million capital budget for 2025.
Nearly 50 per cent of that budget will go toward road reconstruction, resurfacing, traffic calming and related infrastructure, as well as water, sewer and storm sewer construction and upgrades.
Codiac Transpo will receive $8.6 million to buy four diesel buses and one electric bus, as well as for equipment and infrastructure.
A total of $4.6 million has been set aside for infrastructure improvements at the Magnetic Hill Zoo.
The budget also includes $3.4 million for a new ladder truck and other fire equipment as well as $500,000 designated for feasibility and design work for an aquatic facility.
Moncton will borrow nearly $27 million to pay for those capital projects and use more than $17 million from its operating budget
Water and sewer rates going up
Council also approved a slight increase for water and sewer rates in the upcoming year.
A typical household will pay around $1,128 for the full year, an increase of $13 or $3.25 per quarter.
Commercial customers will see increases of one to two per cent, depending on the usage per year and the service line size.
The 2025 utility budget is worth more than $46 million.
