The tax rates have been updated as per newly released numbers by District staff. The dollar impact on the property tax remains the same. You can find the media release from the District below.
At its January 16 meeting, District Municipality of Muskoka Council passed the 2025/2026 budget with a tax rate increase for 2025 over 2024 of approximately 4.85% and an increase for 2026 from 2025 of 3.39%.
Those rates absorb a weighted assessment growth of 2.01% in 2025 and an anticipated 1.53% in 2026.
The tax-supported increases represent an additional $15.69 in 2025 and an additional $13.34 in 2026 per $100,000 of assessment value on the District portion of the property tax.
Both tax rate increases include the local share of the hospital builds and funds for hospital reserves to contribute to hospitals outside of Muskoka that Muskoka residents use. Those funds represent 0.33% of the tax rate increase or $1.37 in 2025 and 0.31% of the tax rate increase or $1.35 in 2026.
The 2025 net levy increased by 6.96% or $6,562,745 over 2024 for a total net levy for 2025 of $100,822,842. The 2026 budget calls for a net levy increase of $5,579,958 or 5.92% over 2025 and a total net levy of $106,402,827.
There were discussions about whether to pull $500,000 from the District’s tax stabilization reserve to bring down the increase, at least in 2025. Staff had originally recommended pulling that same amount from the reserve in order to help with increases in police services, but the province ended up covering part or all of those increases, councillors were told.
Councillor Heidi Lorenz moved to pull that same $500,000 to bring down the tax increase in 2025. That would have meant a decrease of $1.68 per $100,000 of assessment, but the motion was defeated with the majority of councillors opting to save those funds to cover financial uncertainty in the future.
Although it was not a recorded vote, three Councillors, including Guy Burry and Scott Morrison, voted against the budget.
Both brought up staffing level changes during discussions and moved motions to decrease the same, but their motions were defeated.
“My reasons for not supporting the budget is because I see a lot of areas where we can save money at the District, and I don’t think that we as a council have done enough to explore all those areas yet,” said Morrison in a follow-up conversation with Doppler. “I did bring up staffing level changes with four motions to defeat four positions. I got defeated on all of those four motions, so it would be hard for me to support the budget knowing that I don’t believe in those positions and knowing that we’re at the tip of the iceberg with money we can save down there,” added Morrison who noted that every increase adds up.
The District Municipality of Muskoka is expected to issue a release on its first two-year budget. The 2026 budget is expected to be revisited at a later date and may change.
You can find the report from staff HERE to the January 16 District council meeting where the budget was passed and the budget HERE.
UPDATE: Media release issued by this District on January 17: https://www.muskoka.on.ca/en/news/district-of-muskoka-approves-first-multi-year-budget-to-advance-community-priorities.aspx
Related
Huntsville Council passes two-year budgets
Muskoka Lakes Township approves 8.9% tax increase
Gravenhurst passes budget with 4.6 percent increase
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As a landlord, I can only raise my rents by 2.5% per year. Each year, the District has exceeded those rates and intends to do so for the next few year which means I will be subsiding my tenants. And people wonder why we don’t have enough rental accommodation. To the District – cut your expenses to match the cost of living !