Dysart et al mayor Murray Fearrey said he’s waiting to see what U.S. president Donald Trump does with proposed 25 per cent tariffs on Canadian imports before worrying about the potential impacts in Haliburton County.
Measures proposed by Trump in January are on hold until April 2, with the U.S. president, new Canadian prime minister Mark Carney, and Ontario premier Doug Ford embroiled in a public game of tit-for-tat involving retaliatory tariffs and counter threats.
Since March 4, Canada has instituted 25 per cent tariffs on $30 billion of U.S. goods, with another $29.8 billion pending. Fearrey believes the federal government is playing a dangerous game.
“The more we retaliate, I think the more he’s going to reciprocate,” Fearrey said. “It’s a dangerous game. There’s 340 million people in the U.S. and about 40 million in Canada – we rely on them for a lot of things we use every day – a prolonged trade war would only hurt us.”
He said the biggest issue for the township would be on major vehicle purchases, with most heavy-duty trucks and equipment imported from the U.S. For those, Dysart would be dinged by the Canadian government’s counter tariffs.
“It’s going to hurt if, all of a sudden, we’re having to pay an extra 25 per cent for every vehicle purchase we need to make,” Fearrey said.
Minden Hills mayor Bob Carter agreed, noting municipalities are already stretched thin.
“Costs have gone up so much over the last few years, it’s a bit mind boggling to begin with,” he said.
Spring is usually a busy time for municipalities, with staff working to send projects approved during recent budget discussions to tender.
Carter said Minden Hills has lots of RFPs out right now, mainly for construction projects, that aren’t being picked up.
“It’s really difficult to say what will happen. Any time there’s economic uncertainty, people play their cards close to the vest. The thing I fear most is that these RFPs come back and people have put in more of a buffer [costing us more],” he said.
Algonquin Highlands mayor Liz Danielsen didn’t want to speculate on what may, or may not, happen. “It’s early days to make decisions on an issue that appears to be somewhat of a moving target.”
With each township upping taxes between four and six per cent in 2025, Fearrey said he’s worried about what the tariffs could do to next year’s numbers.
“Everything costs so much more today… in Dysart, we have bridges that are going to cost $1.5 million apiece to do next year, and we have more coming after that. It wasn’t that many years ago you’d be able to get grants for $500,000 or $750,000 to help, but those aren’t available anymore.
“Unless somebody, somewhere has an idea to change funding for local governments to find more money, we’re not going to be able to get out of this mess. It’s just going to keep getting worse,” Fearrey said.
U.S. contracts to stay
At the administrative level, County CAO Gary Duke has been working with the CAOs from the four townships, including Highlands East, to prepare for any impacts as best they can.
“We are actively monitoring developments and will be making necessary adjustments to our operational budgets to remain responsive to these changing circumstances.
“We are focusing on procurement issues related to U.S.-based companies and service contracts related to IT, and the purchasing of vehicles necessary for road maintenance and emergency services, as well as the overall price structure for construction projects across the County,” Dyke said.
He noted the County and lower-tier townships would not join the likes of Cambridge, On, Leduc in Alberta, and North Vancouver, BC, in closing social media accounts owned by American interests, such as X and Facebook.
There’s no appetite either for ending existing agreements with U.S. companies. Last year, the County’s four townships signed contracts with Granicus, headquartered in Denver, Colorado but boasting a Canadian arm, for the firm to manage short-term rental applications.
“We recognize the importance of honouring existing contracts with U.S.-based firms that were negotiated and signed in good faith prior to the introduction of these tariffs. Our municipality values the relationships we have built and the mutual benefits these partnerships bring to our local economy,” Dyke said, adding staff may approach councils for talks on limiting bids from U.S. companies on certain municipal projects.
“Our goal is to ensure municipal contracts not only support our community, but also align with broader national interests… we are engaging with government officials to explore strategies that prioritize our local and Canadian suppliers.”
