Council approves 2024/2025 Budget - support for core services, roads, transit, public safety & community well-being

Saskatoon City Council has approved the City of Saskatoon’s 2024/2025 Multi-Year Business Plan and Budget after working hard to review the budget line by line and making tough decisions throughout its final budget review this week. Council’s prior approved 2024/2025 budget adjustments and those made over the four days of budget deliberations this week shaved the City’s funding gap by nearly $40 million. City Council remained dedicated to finding a balance between maintaining current service levels, providing for community well-being, and minimizing the impact on taxpayers. Council also weighed its final budget decisions against the vision and priorities’ set within the City’s 2022-2025 Strategic Plan.

The approved 2024 and 2025 budgets are forward focused, with aligned funding to directly support the delivery of core services, promote growth for the community, maintain quality of life and importantly, adequately fund public safety and protection, infrastructure, and sustainability to keep Saskatoon moving forward with momentum.

"This year’s budget presented unique challenges in navigating record-high inflation rates, ongoing pandemic impacts, and the pressures of providing services in a city that’s experiencing record population growth," says Mayor Charlie Clark. 

“Council made big changes to reduce the funding gap by $39 million and bring down the property tax increase. The City budget is about more than just reducing the tax increase, it is also about ensuring we are investing in building a vibrant city that provides great quality of life to residents. This budget strikes that balance and I’m grateful for all of the work that went into getting us there."

Over 76% of the City’s overall budget is dedicated to core services residents rely on every day including Police, Transportation, Fire, Transit, Recreation, Water and Waste Water, and the Corporate Support such as IT, HR, Finance and Supply Chain Management required to support City operations. The goal of City staff and Council is to create a multi-year budget that balances the cost of providing City services with the available financial resources.

2024/2025 Approved Budget Highlights:

• $72 million in 2024 and $78 million in 2025, the largest ever investment in the City’s Roadway Maintenance and Rehabilitation Programs, this includes the Road Maintenance, Bridges and Transportation Service Lines.
• $10.5 million in 2024 and $11.1 million in 2025, the largest ever investment in the City’s Facility Maintenance Program to preserve and protect our assets.
• Investment in two new Firehalls to address emergency response to expanding neighbourhoods.
• Opening of the City’s Material Recovery Centre, a major achievement for Saskatoon in working toward our 70% waste diversion goal
• Increased funding for Fire, Parks, Street Lighting, Sidewalks, and Transit, to help address public safety, protection, and servicing needs within Saskatoon, one of the fastest growing and diverse cities in Canada

2024/2025 Capital Budget Investments: Capital budget funding maintains the infrastructure we currently have and builds out new infrastructure to benefit Saskatoon residents as the city continues to grow. The capital budget is $383.2 million in 2024 and $405.9 million in 2025. Notable capital budget investments include:

• $161.6 million for Land Development including arterial roads, primary water mains and parks
• $151.1 million for Transit Implementation Plan (Bus Rapid Transit)
• 51.3 million for Saskatoon Transit bus replacement
• $4.1 million for Parks Upgrades, Enhancement and Repairs
• $2.0 million for the design of a new White Buffalo Youth Lodge             

Investments in Protection & Safety to Address Changing Community Needs:

City Council approved the Saskatoon Police Service budget which included resources to address the growth of the city, and the increase in calls for service with the addition of an additional 14 FTEs in 2024 and 10 FTEs in 2025. This includes additional Alternative Response Officers.

Saskatoon Police Service 2024 Expense Change = $8,052,000 and Revenue increase of $182,800 for a net budget increase of $7,869,200

Saskatoon Police Service 2025 Expense Change = $6,982,700 and Revenue increase of $133,900 for a net budget increase of $6,848,800 

To meet the fire protection needs for of a growing city with expanding new neighborhoods, Council approved Saskatoon Fire Department’s operating expenditures with a total of $61,953,200 in 2024, and $64,176,500 in 2025. (Increases of $4,331,600 (7.5%) in 2024 and $2,223,300 (3.6%) in 2025.)

Council also approved Saskatoon Fire Department’s Capital Budget with $3,971,000 in 2024 and $16,776,000 in 2025 in funded capital projects, including:

• $3,131,000 in 2024 and 15,851,000 in 2025 for design and construction for two new Fire Stations No. 10 and 11, as well as design for the renovation of Fire Station No. 6.

Additional Funding to Support a Growing and Diverse City:

• $278,600 in 2024 and 204,000 in 2025, for Saskatoon Transit Targeted Support Worker Program
• $Additional $400,000 to Saskatoon Transit reserves for future bus purchases
• $240,000 in 2024 and $125,000 in 2025, to support the Housing Operating Program aimed at monitoring and managing housing portfolio partnerships and the City’s role in working with community agencies to proactively plan for residents’ top priority and active issue in 2023 - affordable housing
• An additional $100,000 in 2024 and $150,000 in 2025 to increase the, at present, underfunded Reserve to support for Urban Forestry to fight pest invasion and disease attack within Saskatoon’s urban forest
• $113,400 in 2024 to add an Indigenous Public Engagement Consultant, to support the standard and build capacity in making sure the City can efficiently and effectively undertake ongoing engagement with the Indigenous community
• $100,000 in 2024 and $5,000 in 2025, to meet basic needs of residents and visitors to Saskatoon by providing for reliable, clean, outdoor Riverbank Washrooms, maintenance, and checks, and to mitigate repair issues
• $100,000 in 2024, for the Road Safety Audit Program, to enhance and support in-depth traffic safety analysis of high collision/problematic intersections and with consideration of all roadway users within Saskatoon
• $34,000 in 2024, to enhance the service level for Snow Removal within School Zone drop off and pick up areas
• $5,000 in 2024, for the continuation of the City’s Public Wi-Fi Pilot Program, with a goal to eventually expand the City’s fiber network in future years

Addressing the City’s First Climate Budget for a Sustainable Future:

The 2024/2025 Budget cycle presented the City’s first Climate Budget which highlighted recent progress made on climate action and summarized the City’s funded and unfunded projects to reduce greenhouse gas emissions.

“City Council was able to make fully informed decisions throughout the process, and carefully invested in the changing needs of our fast-growing and diverse community, while being mindful of the current economic climate,” says Jeff Jorgenson, City Manager.

“Administration will now faithfully execute and undertake City Council’s budget direction in delivering quality services and programs to the residents we proudly serve. The 2024/2025 multi-year budget sets the City up for continued success as a leader in the renewal, maintenance and expansion of our infrastructure assets, and in providing for a great quality of life in Saskatoon today - and for the future.” 

Changes to Rates and Fees:

In order to meet the current and future needs of the City and residents, an overall average rate increase for water, wastewater and infrastructure levy of 4.6% was approved in 2024 and 5.4% in 2025. The rate increase is expected to generate a revenue increase of $8.79 million and $10.29 million, respectively, to ensure the utility is fully cost recovered. This translates into an additional $5.32 per month in 2024 and $7.14 per month in 2025 for the average homeowner.

2024/2025 Approved Recreation and Culture Rates and Fees

Indoor Leisure Centre general admission fees will increase by 1% in 2024 and 1% in 2025. As an example, adult General Admission will increase from $10.25 to $10.40 in 2024 and $10.50 in 2025. The adult Monthly LeisureCard will increase from $52.00 to $57.20 in 2024, and $63.00 in 2025.

Council’s approved 2024/2025 Budget investments translate into property tax rates of 6.04% and 5.64% for 2024 and 2025 respectively. In general terms, a homeowner with a single-family detached home with an average assessed value of $344,000 would have a municipal property tax increase of $10.47 per month or $125.62 per year in 2024, and $10.37 per month or $124.41 per year in 2025. In 2024, 1% of property tax equates to $2.92 million. The 2024/2025 property tax rates will provide $35.2 million in additional funding to balance the budget and fully fund City Council’s directed service levels over the next two years.

In 2025, per the City’s Multi-Year Business Plan and Budget Policy, City Council will have the flexibility to make any necessary budgetary adjustments or corrections to respond to events or circumstances requiring funding or resource adjustments since the budget was first approved.

The City thanks all residents, organizations and business owners in Saskatoon who wrote in or spoke to City Council this week and in the months leading up to budget review. We value all input received from the community at large.

The finalized 2024/2025 Multi-Year Business Plan and Budget document will be made available on saskatoon.ca/budget once ready.