Montreal caps property tax increases, boosts spending for police, housing in 2022 budget

Montreal Mayor Valrie Plante's administration is promising to tackle homelessness, address the housing crisis and increase public security spending without significantly raising property taxes.

The city unveiled its proposed operating and capital works budgets for 2022 on Wednesday.

The operating budget will be $6.46 billion for 2022, a 1.3 per centincrease over last year, with an additional $19 billion earmarked for a 10-year capital works program.

What it means for your taxes

Residential taxes, which can vary from borough to borough, will see an average increase of about twoper cent.

For the average detached home in Montreal, evaluated at $535,000, it represents an $83 increase. For condos, it is an average of $7more.

Here are some highlights by borough:

• The borough of L'le-BizardSainte-Genevive will see the highest jumpin the city, with taxes going upon average 5.1 per cent.
• Homeowners inRivire-des-PrairiesPointe-aux-Trembles will have the lowest increase, with a meagre 0.1 per cent average increase.
• Cte-Des-NeigesNotre-Dame-De-Grce, Outremont,Le Plateau-Mont-Royal, Le Sud-Ouest, Verdun and Ville-Marie will see average increases between two and three per cent.
• LaSalle,PierrefondsRoxboro,RosemontLa Petite-Patrie,Saint-Laurent and Saint-Lonardwill see average increases of one to two per cent.
• Finally,AhuntsicCartierville, Anjou, Lachine,MercierHochelaga-Maisonneuve,Montral-Nord andVilleraySaint-MichelParc-Extension will see average increases of1.5 per cent or less.

Non-residential and commercial taxes will be increased anywhere from 0.3to three per cent, depending on the borough, with the exception of Anjou, which is reducingcommercial taxes by 0.2 per cent.

However, businesses will soon start paying a municipal water tax, which will be tied to how much water they consumer.

Housing and commercial spaces

In a bid to tackle the city's housing crisis, the city has set aside $111 million in 2022 to create 12,000 new social and affordable housing units.

Plante said that the city is dependent on the Quebec government to fund social housing initiatives, but said the province hasn't invested in the program for the past two years, "which is a huge problem."

She said the vast majority of that $111 million will go toward making social housing happen, without or without the provincial government.

WATCH | Valrie Plante explains how the city will reach its housing goals:

Valrie Plante explains how the city will reach its housing goals

3 years ago

Duration 1:48

Montreal's mayor says the city's efforts to create social housing have been hampered by the province in the past but her administration's new budget includes the means to gradually reach all her housing goals.

"We are determined to finalize [our previous goals]because it is crucial. And to be honest, the needs are even more than that," she said.

The city will still work with provincial counterparts to try to get "extra funding," she said.

Another $116 million over the next 10years will go towardpurchasing landin a new plan to build 60,000 affordable units by 2031.

It's not just housing that might get scooped up by the city. The administration is committing $5 million in 2022 to purchasing commercial properties as well, to "maintain a commercial, social and cultural mix by promoting the affordability" of commercial spaces.

Dominique Ollivier, the president of the city's executive committee, said the goal is to have the cityact as a leverto ensure commercial rents remain affordable for local small businesses.

"We always talk about diversity on the residential level, but we should also talk about[commercial] diversity," she said.

Public security and bodycams

The Plante administration has once again raised the budget of the Montreal police, this time to the tune of $45 million, bringing the total budget to about $724 million.

About $4.6 million of that is specifically to fightgun violence.

"We have all been affected by the rise of violence, that includes guns, in the last months," she said, describing it as a growing trend."That is something I'm really preoccupied with."

Public security accounts for 17.7 per cent of the total budget.

About $500,000 has been allocated to equippingofficers with body camerasin 2022. A total of $17 million has been earmarked for the cameras over 10 years.

The first pilot projects using the body cameras will begin in 2022, but a full rolloutacross the police service isn't expected before 2023.

Olliviersaid that's because several changes need to be made to accommodatethe cameras structurally, such asmaking sure the servers can handle all the data and make it accessible, for example.

Alternative approaches

Non-police initiatives such as programs to prevent youth violence and the EMMIS (quipe mobile de mdiation et d'intervention sociale) unit, which sends social workers to respond to 911 calls can expect $5.6 million in funding this coming year.

Plante said that tacklingviolence in the city has to be a team effort between police and community groups.

"[We need to be] finding solutions, understanding better, and acting promptly so our kids feel safe in their neighbourhoods," she said.

Another $1.2 million will go towardconjugal violence programs, after a particularly deadly year for violence against women across Quebec.

As promised by PlanteTuesdaywhen she announced a local state of emergency, the city doubled its budget to fight homelessness, committing $5.9 million in 2022.

The money is not yet tied to any specific programs or initiatives. Officials are set to meet community organizations early in 2022 to present the new funding program and assess the needs.

How the money will ultimately be allocated will be announced early next year.

Opposition calls budget 'outdated'

The city's official opposition, Ensemble Montral, reacted to the budget in a statement, accusing the plan of being outdated in the face of the Omicron variant.

"We do not find any money dedicated tofinancial assistance programs; the administration has budgeted as if there was
no pandemic," wrote Aref Salem, the leader of the opposition for the party.

Salem accused the administration of rushing to table the budget, instead of choosing to wait until January, to properly account for the effect of rising case numbers.

Montreal reported1,757 new cases of COVID-19 on Wednesday.