Fredericton budget trims tax rate, boosts public safety

Fredericton city council has adopted a 2027 budget that cuts the main residential property tax rate by 4.67 cents and directs about $60 million, roughly 35 per cent of spending by program area, to police, fire and other public safety services.

Council approved the operating, capital, and water and sewer budgets at its Nov. 9 meeting, the city said in a news release. It is the first budget from the council elected in May.

The inside tax rate, paid by most city households, falls to $1.2619 per $100 of assessed value, and the outside rate drops 0.77 cents to $1.1988, the city said. By our calculation, the owner of a home assessed at $300,000 inside the core would pay about $3,786 in city property tax at the new rate, about $140 less than at last year’s rate on the same assessment.

Not everyone gets a cut. Rates for the amalgamated areas rise: the former local service districts go up 0.86 cents to $0.7873, and Saint Mary’s, Lakeside Estates and Lincoln each go up five cents. Residential properties in those areas also pay a separate $0.4115 provincial rate for road maintenance. About 90 per cent of properties meet the province’s tax reform targets, the city said.

The city’s summary of expenses by program area totals about $172.9 million. Public safety is the largest line at $60 million, followed by infrastructure renewal at $42.1 million, mobility, including roads and transit, at $25.2 million and parks and recreation at $21 million.

The budget adds $1.14 million for vehicles and staff for the Fredericton Police Force’s Direct Action Response Team, which targets public drug use and petty crime, CBC News reported. Deputy Mayor Ruth Breen voted against that item, arguing the city cannot police its way out of the crisis, but it passed.

“We are making meaningful investments in public safety, recreation, and infrastructure renewal while reducing property tax rates for most households,” said Coun. Colin Ebbett, who chairs the finance committee. The budget also adds free and low-cost recreation programs, more sports field maintenance and new money for affordable housing programs.

The same council recently approved a smaller shelter and a council pay raise, and voted this week to send its dispute over the Exhibition Grounds payout to court.

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