'The best start': Saskatoon begins 2025 budget talks with proposed cut to property taxes

Saskatoon budget talks kick off with a cut WATCH: Saskatoon's property tax increase will be smaller than expected. Keenan Sorokan has more as city budget talks kick off.

In an unusual twist, the latest City of Saskatoon budget deliberations began with positive financial news.

Clae Hack, the city's chief financial officer, projected property taxes will increase by 5.2 per cent — lower than the 5.64 per cent bump originally planned last year.

The 2025 numbers were approved in 2023, but must be finalized this week, as part of the city's new multi-year budgeting system.

Hack said the property tax change is attributed to additional investment income.

"If the additional $2 million in investment income is added to the budget, this would bring the property tax requirement to 5.2 per cent," Hack told city councillors.

Last week, administration proposed a 5.84 per cent property tax hike — making the 5.2 figure even more welcomed.

"I think this is the best start to any budget, in my past 12, where you actually reduced it before we kicked off," Ward 4 Councillor Troy Davies told Hack.

The city is preparing to make record spending on the Saskatoon Police Service, road maintenance, snow removal and Saskatoon Transit.

Budget deliberations are scheduled for three days, from Dec. 2 to 4.

Audits & AI: NSBA suggests ways for the city to save money

The North Saskatoon Business Association (NSBA) put forward cost-saving ideas as the City of Saskatoon began debating its 2025 budget.

On the first day of 2025 budget deliberations, the NSBA’s Mike Lawton got behind the mic.

"We propose conducting a department-by-department value-for-money audit with the goal of ensuring staff levels and resources are adequate and appropriate in each department," Lawton told city councillors and city administrators on Monday.

He suggested hiring freezes in departments that have yet to be audited.

"We also recommend exploring innovative tools, such as artificial intelligence (AI), to streamline operations and improve efficiency," Lawton said.

He said the NSBA will be offering courses on how to use AI that will be open to all members and city staff.

Lawton suggested the city reconsider funding for certain programs "that should be under the jurisdiction of higher levels of government."

"We encourage you to focus on the core elements of municipal responsibility — these include: roads and infrastructure, protective services, waste management, transportation and public amenities such as parks and recreation," Lawton said.

Lawton closed his speech by urging councillors to make hard decisions and be mindful of the financial challenges businesses and residents are facing.

The city has allotted three days to debate the 2025 budget. The numbers were approved last year, but must be finalized over the next three days.