Highlands East ‘wizardry’ reduces tax hike

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By Adam Frisk Local Journalism Initiative Reporter

The Municipality of Highlands East approved its 2026 budget March 10, finalizing a 4.71 per cent tax rate increase.

The approval of the financial document followed an effort by staff to pare down the initial tax hit, which was originally projected to be nearly six per cent last month.

CAO/treasurer Brittany McCaw said that the initial proposed increase discussed during last month’s special meeting of council was 5.96 per cent. However, during the final reviews and assessment adjustments, staff managed to lower that figure by more than a full percentage point.

“I think you’ve been, what I’m going to call it, a wizard getting stuff pared down and getting the things in order on the budget,” mayor Dave Burton said. “I’m extremely pleased with our rate that you’ve come up with.”

The final version of the budget included what McCaw described as a “minor change” following an equipment breakdown in the public works department.

Rather than putting $70,000 into a reserve fund for a future grader purchase, council agreed to reallocate those funds into the capital account to purchase and install a new transmission for an existing grader. McCaw noted that the reallocation of funds had “no impact to the budget” or the overall levy, but was essential because “otherwise, the grader would have been out of service.”

What that means for local taxpayers is that the 4.71 per cent municipal increase translates to an additional $27.98 per $100,000 of assessed property value for the municipal portion alone. When the County of Haliburton and education rates are factored in, the total tax bill increase rises to $42.52 per $100,000, the treasurer explained.

She went on to describe how local tax dollars are distributed with 59 per cent remaining within Highlands East, 27 per cent to the County of Haliburton and 14 per cent for education.

As for the budget itself, roads account for nearly half of the municipal spending at 44.83 per cent, while policing and general government represent 15.59 per cent and 17.18 per cent respectively.

While deputy mayor Cecil Ryall made a lighthearted critique of the accessibility of the budget report, noting that he “needed a magnifying glass to read it,” the elected official was happy with the numbers. “You’ve done a wonderful job.”