Region of Waterloo’s proposed 2026 budget features 4.94 per cent increase

CTV’s Jeff Pickel takes a look at what the Region of Waterloo’s budget has for residents and how much it could cost.

Homeowners in Waterloo Region could be paying 4.94 per cent more for the 2026 regional portion of their property taxes.

Regional staff put forth a recommended budget for next year with the proposed increase that adds up to approximately $96 for a home worth $350,000.

Last year, the region approved a 2025 operating and capital budget for regional services that featured a 9.48 per cent increase. The approval came after councillors wrestled for days with what was initially a 10.45 per cent property tax hike. Council ultimately had to make changes to some services to save $7 million on the 2025 budget.

“This year’s plan or budget tried to do both delivering services that people expect while keeping tax increases at an affordable rate,” Michael Harris, councillor and chair of the Finance and Sustainability Committee, said. “We think the mandate given to staff at [setting a budget] under five per cent delivers upon that.”

Harris said next year’s budget will result in some large projects being put off.

“There are not many, if any, new investments here in the community,” he explained. “We’re going to continue to deliver the services that people expect while rolling back some of the non-critical aspects.”

One project that will be delayed is an affordable housing initiative on Mooregate Cresent.

“There are a couple projects that we’ve had to put in the window and delay for further out. There are roads that we know need to be taken care of, that we would have loved to have dealt with this year, that we’re going to need to defer.”

The budget does not include the cost of the Waterloo Regional Police budget. Police have put forward a $272.6 million budget.

Finding savings

The Region said staff were asked to find additional ways to cut costs in the budget.

According to a report, staff trimmed $12.5 million in service adjustments.

Some of the proposed changes featured in the report include reducing the number of bags households can leave at the curb after large holidays. Currently, up to six bags are allowed, but the region is considering lowering that to three. Bulk item collection would also happen monthly instead of every two weeks.

The Region is also looking at increasing tipping fees at landfills and closing Grand River Transit customer service centres on Sundays and holidays due to low customer traffic and increased e-service usage.

Dwindling provincial support

Harris said the Province of Ontario has put the Region of Waterloo in a serious financial bind.

“Over the last few years, regional taxpayers have had to make up the difference of over $200 million of other levels of government funding for programs that are currently being delivered,” said Harris.

According to Harris and the budget report, the Region of Waterloo will be forced to fund an estimated $227 million worth of services that previously received provincial support.

“The programs that the region delivers will remain the same, but it’s costing local taxpayers more because other levels of government have reduced grants or eliminated funding for those very programs.”