Essex council begins reviewing proposed 2026 budget with nearly 5 per cent tax hike

Essex Town Hall, April 15, 2025 (Travis Fortnum/CTV News Windsor)

Essex council began digging into the town’s proposed 2026 budget Monday night, receiving an overview from administration on the year’s projected spending and tax impacts.

The draft budget outlines $80.4 Million in total spending for 2026 and calls for a 4.9 per cent municipal tax increase.

A special meeting of council Monday marked the start of council’s formal budget review process, with staff outlining key pressures and high-priority projects built into the draft financial plan.

Additional departmental presentations are expected as deliberations continue.

Tax impact

The 4.9 per cent municipal levy increase works out to roughly $100 more for the average Essex homeowner, based on a $192,000 property assessment.

Staff say the increase reflects growing infrastructure needs, escalating construction costs and a slate of facility and parks upgrades programmed into the 2026 capital plan.

Flood prevention emerges as top resident priority

Town administration reported that flood prevention ranked as the top concern for residents during this year’s budget survey and public consultations.

The draft budget responds with several drainage-focused initiatives, including drainage block assessments, phragmites control and storm sewer rehabilitation design work

More than $21.5M in capital projects proposed for 2026

The 2026 draft capital budget totals $21.5 million, a significant increase over previous years.

The largest project is the complete replacement of Fire Station 3, budgeted at $5,235,000 and funded through long-term debt.

The project is listed within the fire division’s capital plan.

The proposed plan also includes $600,000 to replace and relocate the town’s tennis courts to the Harrow Soccer Complex, addressing cracking and subsurface issues.

The budget notes there could be cost efficiencies if that work is coordinated with the Fire Station 3 project.

Other recreation and parks investments outlined in the draft budget include:

• $582,000 for a new amphitheater at Heritage Park
• $375,000 for a new park in the Essex Town Centre subdivision
• $200,000 to relocate and rebuild the pavilion at Sadler’s Park due to deterioration and low visibility on the current site

Debt, reserves and financing

To fund the capital program, the town anticipates drawing on a mix of reserves and more than $5 million in new long-term debt, most of it tied to the Fire Station 3 replacement.

The fire division’s overall 2026 capital allocation totals $5,484,000, with $5,235,000 directed to the new station.

What happens next?

Monday’s meeting was the first step in council’s review of the 2026 financial plan.

The draft budget is now in a 30-day public review period, with remaining departmental presentations and potential amendments scheduled through December.

With Mayor Sherry Bondy waiving her veto window, the proposed 2026 budget is expected to be deemed adopted before Dec. 22, barring further changes.