The warden of Essex County says she’s not surprised to see the 2027 pre-budget tax increase. Hilda MacDonald says a number of factors are contributing to the potential 4.17 per cent tax increase for next year. County administration presented the 2027 pre-budget outlook to council Wednesday night, outlining growing financial pressures from compensation, benefits, inflation and service demands. The report says compensation and benefits account for most of the projected increase, with additional pressures from contracted services, operating costs, road expansions, EMS requirements, social housing and reserve funding. MacDonald says the early forecast is meant to give councillors an idea of what to expect before budget deliberations begin in December. “Council has always asked to be at or just above the consumer price index, but we’re looking at just compensation and benefit increases alone of 2.91 per cent. And then on top of it, you’ve got other operating increases. So it’s just an idea for council to have in their head of what to expect.” She says the increases are expected, given wage agreements and rising costs. “Just based on the agreements made with the unions where many are looking at over three per cent, some as high as six. When you add that all up, it comes from the tax rate increase. So we expected it and we know that we have to keep our people employed and they need a fair wage. But again, it reflects in the tax rate.” MacDonald says the 4.17 per cent figure is only an early estimate. “This is what we’ll be starting off with and council will have to look at maintaining the service level and that’s what the 4.17 per cent does is maintain that level. Now there still will be some assessment additions added and maybe some funding announcements that might change that before December.” The county approved a $145.1-million budget for 2026, representing a 2.25 per cent levy increase, or about $44 for a home assessed at $350,000. The proposed 2027 budget is expected to be released to the public around Nov. 19, with deliberations scheduled for Dec. 2. The final increase will be determined by the new term of council.
