Ottawa, December 8, 2024 - The City of Ottawa Council approved the 2025 budget, which includes a gradual increase in transportation fares for seniors, while maintaining transit ticket discounts for youth, along with raising taxes across most residents' properties.

At the end of the six-hour council session on Wednesday, Mayor Mark Sutcliffe stated, "This was certainly a difficult budget process. It is not perfect, but no budget is perfect. However, I believe it strikes a good balance between investing in what matters to our community and protecting the financial capacity of our residents."

The budget was approved by a vote of 22-3, with Laine Johnson, Sean Devine, and Geoff Leiper voting against it.

2.9% Tax Increase and Fare Hike

The city will see a 2.9% increase in property taxes, in addition to an increase in transit fares that will rise by CAD 168 on the annual tax bill for most urban properties in 2025. The budget indicates an 8% increase in transit fares, which translates to about a 1% increase for most homeowners.

Although property taxes will remain lower than many other Canadian cities, this increase is considered one of the highest Ottawa has experienced in recent years. For example, tax increases in cities such as Toronto (9.5%), Vancouver (7.5%), Edmonton (8.9%), and Calgary (7.8%) have been noted.

Ottawa is under significant pressure, prompting Sutcliffe to launch the "Justice for Ottawa" campaign this year to demand more funding from the federal government while maintaining his electoral promise to keep property taxes low.

Moderate Increases in Transit Fares for Seniors and Retention of Youth Discounts

The 2025 budget includes a "historic" investment in public transit, with an additional CAD 88 million allocated to the OC Transpo budget, reaching CAD 856 million. The city also plans to open a Trolley line next month, in addition to extending the Confederation Line next year.

The most controversial part of the budget, which is the transit budget, was approved by a vote of 18-7. Some amendments were introduced to the budget thanks to a proposal made by Councillor Tim Tierney, who kept the youth ticket discounts until September 2025 and approved a smaller increase in senior fares than was initially proposed.

For seniors, the monthly fare will increase from CAD 49 to CAD 58.25 starting in February 2025, following widespread objections from citizens. The initial proposal for fare increases suggested a 120% hike, raising the price to CAD 108.

Furthermore, free transit days for seniors on Wednesdays and Sundays will remain, after the city had proposed to eliminate them.

Public Transit Issues and Continued Collaboration with the Federal Government

Despite the vote on the budget, many members expressed concerns about the lack of realistic solutions to improve major transit issues, such as bus reliability. In this context, Sutcliffe emphasized that the city's transportation issues still require long-term solutions.

He also mentioned the need for federal government support for public transit in Ottawa, stating, "It is clear that this budget is a temporary solution. But we need to work together to find long-term solutions."

Increase in Police and Emergency Services Budget

The council approved the Ottawa Police Service budget for 2025 by a vote of 18-5, which saw an increase of CAD 16.3 million. The budget includes CAD 20 million to maintain current services and an additional CAD 8.1 million to hire 22 new police officers and 28 civilian staff.

Additionally, CAD 5.4 million was allocated for new police vehicles, CAD 1.9 million for electric weapons like stun guns, and CAD 10.3 million for upgrading the police headquarters on Elgin Street.

The budget also outlines plans to hire 100 emergency responders, including 23 additional paramedics to bolster service and reduce transport delays.

Investment in Local Priorities

It is noted that the budget includes a provision of CAD 54 million in savings, and the hiring freeze and suspension of discretionary spending continue.