FAUQUIER-STRICKLAND - After weeks of uncertainty and pushback, a northern township is now looking at a 20–30 per cent tax increase. .
Fauquier-Strickland council meets tomorrow (Sept. 9) to pass its 2025 operating budget, including water and wastewater, and to set tax rates and user fees.
“We know we have to raise the taxes,” Coun. Pierre Lamontagne told TimminsToday.
“But 80 per cent was too high for the citizens who are paying. We all knew it was too much. So it’s going to be 20 or 30 per cent. That’s if every member of the council accepts that. But if we want to get our money from the government, we better hurry up.”
The budget was supposed to be finalized by Aug. 31, but that deadline was missed after clerk, acting treasurer, and director of municipal services Shannon Pawlikowski went on stress leave. Lamontagne said the Ministry of Municipal Affairs and Housing (MMAH) has granted the township an extension until Sept. 9.
A 20 per cent tax levy increase would mean that 92 per cent of residential properties would see an increase of less than $500, according to the budget report. At the 30 per cent level, 91 per cent of properties would see increases under $700.
Lamontagne said residents may feel some relief knowing the increase won’t be as high as the 80 per cent increase initially considered, but the new proposal still comes on the heels of last year’s 26 per cent tax hike.
“It’s still not the best,” he said. “It’s going to be like 50 per cent in two years. You don’t see that too often. I just hope we’re going to survive.”
A petition opposing any increase beyond 20 per cent gathered more than 350 signatures, reflecting widespread concern in the community.
SEE: 'That would kill us': Nearly 90% of Fauquier-Strickland residents sign petition against looming 80% tax hike
RELATED: Fauquier considers 80% tax hike to keep township afloat
Lamontagne said the ministry is closely monitoring the township’s finances and has required a discretionary spending freeze limited to essential expenses.
“They want to know where all our money is going,” he said.
The councillor was candid about the township’s past financial troubles, blaming what he called “misleadership.”
“We’re in the hole. Somebody didn’t know how to count. And it’s not the new council, I can tell you that,” Lamontagne said.
“My parents, they taught me to be careful with my money. I came from a big family, so there was no spending for luxury. When you had money, well, you saved it for the hard times. Within the municipality, they didn’t do that.”
To help raise funds, the township has also put up long-vacant land for sale, with more properties to follow, Lamontagne said.
“They were vacant for 20 years. We could have had taxes on that land for 20 years. And there's more land that we can sell still,” he said.
The situation in the township of about 400 has drawn attention across Ontario since July, when council warned it would shut down all municipal services and lay off staff as of Aug. 1 after racking up a $2.5-million deficit over the past decade.
Hours before the deadline, the township received $300,000 in emergency provincial funding, delivered in instalments through October under strict conditions.
SEE: Fauquier-Strickland votes to accept $300K lifeline from province
The August instalment was $32,200. In September, the township receives $195,000, and $72,800 in October.
The money is intended to cover essential operating costs — such as staff salaries, utilities, and critical municipal functions — while the ministry reviews the township’s financial situation and explores medium and long-term solutions.
The terms require the township to:
- Continue municipal operations without layoffs as of Aug. 1.
- Pass the 2025 operating budget, including water and wastewater budgets, and set tax rates and user fees by Aug. 31.
- Implement a discretionary spending freeze — limited to essential expenses — by Aug. 31.
- Submit 2024 financial statements by Sept. 15.
- Issue tax bills, with the first instalment due Sept. 30.
- Provide monthly expense reports to the ministry from August to October.
It’s not clear yet if the Sept. 9 meeting will be livestreamed. The agenda can be found on the township’s website.