CARLETON PLACE — Carleton Place council opened its first round of 2026 budget talks this week with a proposed three per cent tax rate increase and a capital plan shaped by major water, wastewater and facility projects tied to growth and aging infrastructure.
Treasurer Trisa McConkey presented the initial financial summary on Nov. 13, outlining a draft levy of $17.3 million.
“We are estimating growth around two per cent, about $320,000,” she said. “The proposed budget as it sits at the moment would need a three per cent tax rate increase, which would bring us in almost $500,000.”
McConkey said several departments are facing increases linked to service contracts, wages and legislated requirements. Department heads will present detailed requests as deliberations continue next week.
Significant 2026 cost increases include:
- Garbage collection and landfill fees, up $170,000
- Aquatics contract, up $184,000
- Affordable housing and heritage grants, rising to nearly $500,000, offset by the Housing Accessibility Fund
- Professional training and contracted services, $50,000
- A 2.5 per cent cost-of-living increase for staff and council, totalling $169,000
- OCIF funding reduction for roads, down $82,344
- New staffing proposals, $146,000 pending approval
- Benefit enhancements, $55,100 pending approval
One long-term debt payment wraps up this year, lowering expenses by $30,000. The 2026 OPP policing estimate has not been released; McConkey has included a seven per cent increase as a placeholder, though the maximum possible rise is 11 per cent. Last year’s policing grant surplus has been set aside to help offset that cost.
A payment to Beckwith Township for previously annexed lands is expected to rise by about $65,000.
The cumulative tax impact from recommended changes sits at $19,305, with more adjustments expected.
Major capital projects proposed for 2026
The draft capital plan totals $152.6 million, led by two major infrastructure projects: a $73-million expansion of the Wastewater Treatment Plant and a $40-million expansion of the Water Treatment Plant.
Other major capital items include:
- OPP detachment design, $4.85 million
- Pool building code repairs, $3.78 million, requiring a 12- to 14-month closure if approved
- Public Works Yard construction, $3 million, plus $300,000 for design
- New O’Donovan Park, $450,000
Proposed recreation and community upgrades include:
- Riverside Park playground replacement, $150,000
- Riverside Park splashpad repairs, $175,000
- Johnson Street playground renewal, $75,000
- Kinder Yard AODA retrofit, $200,000
- Library accessibility upgrades, $40,000
- LED streetlight upgrades, $150,000
Arena lifecycle work includes roof coatings, refrigeration control panels, HVAC improvements and a scoreboard replacement.
Other smaller projects address sidewalk repairs, park amenities, software upgrades, equipment replacement, record digitization and accessibility improvements.
How much residents would pay
Carleton Place continues to have one of the lowest residential tax rates in the region. McConkey said that even with a three per cent increase, 2026 rates would remain below the 2025 levels of other comparable municipalities, except Ottawa.
Property assessments remain frozen at 2016 levels. The median home in Carleton Place is assessed at $295,000.
A three per cent increase would add $23.73 per $100,000 of assessment, or about $72 per year for the median home.
Next steps in the budget process
Department managers will continue presenting operating and capital requests next week. Items requiring more time will be set aside for further discussion at a second day of deliberations.
Provincial legislation requires that mayors with strong-mayor powers have the option to veto council-approved budget amendments within 10 days. McConkey told council that Mayor Toby Randell has repeatedly said he does not intend to exercise those powers and will follow the town’s traditional collaborative process.
If no veto is issued, the budget is adopted immediately. If a veto is used, council may override it with five of seven votes. The budget will be adopted no later than Dec. 6.
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