London Mayor Josh Morgan is taking steps he hopes will help lower the projected property tax increase for the remaining years of the city's multi-year budget.
The budget, approved by city council at the end of January, increases property taxes this year to 8.8 per cent. It also called for tax hikes of 8.6 per cent in 2025, 5.7 per cent in 2026, and 6.5 per cent in 2027.
Among the series of measures announced by Morgan on Monday aimed at decreasing those projections includes the creation of a new council working group that will review current services. It will also be tasked with identifying options for new or enhanced municipal revenue generation opportunities and partnerships for agencies, boards and commissions for accountability, shared services, and service review program development.
“Council must have difficult conversations about the current scope of services provided by the municipality,” said Morgan. “Efficiencies alone can only take us so far. Beyond that, we must consider whether existing municipal services align with modern day community needs. It’s possible that exiting some services may be prudent, but doing so requires a responsible, thorough, and thoughtful mechanism to consider such changes.”
The working group will be chaired by Councillor Elizabeth Peloza, who also served as the city's budget chair during the multi-year budget process. The group will make policy and governance recommendations through the strategic priorities and policy committee. Those recommendations would then have to be approved by council and forwarded to Morgan for consideration in the relevant annual budget update.
London's new City Manager Sandra Datars Bere is also being directed to look for possible program enhancements to the city's current comprehensive service review program. The program, created in 2016, has saved hundreds of millions of dollars and was a significant contributor to identifying $10-million in permanent savings in 2024, according to city officials.
"I believe that by implementing these initiatives, council can work together to alleviate the burden of projected tax increases on our constituents in the years ahead while ensuring critical civic services are not compromised," said Morgan. "It is incumbent upon us to exercise fiscal prudence and explore innovative solutions to ensure the sustainability and prosperity of our community."