Tecumseh homeowners are looking at a proposed municipal property tax increase of 2.85 per cent this year, according to the town's draft 2026 budget. Mayor Gary McNamara presented the financial plan to council on Tuesday, January 13, 2026, acknowledging the difficult balancing act required.
Breaking Down the Tax Impact
The proposed increase would raise an additional $872,338 in municipal taxes, bringing the total town levy to $31.9 million. When combined with county and education levies, the overall tax bill increase for residents is projected to be 2.36 per cent.
For the owner of an average residential property assessed at $275,000, this translates to an extra $103 per year. The municipal portion of that increase is about $69 annually, or roughly $5.75 per month.
Deputy Treasurer Vanessa DaDalt noted that the initial draft from town administration called for a much higher 6.3 per cent jump in the municipal levy. "We were able to find additional cost savings or deferrals, identify new revenue sources, and make decisions to use transfers from reserves for some items," DaDalt explained.
Major Infrastructure and Recreation Investments
The 2026 draft budget outlines significant capital spending, with $58 million allocated for infrastructure and recreational projects. This spending will be funded through grants, developer contributions, and town reserves.
Key infrastructure projects highlighted in the budget include:
- Upgrades to the Scully-St. Mark’s and P.J. Cecile stormwater pump stations to improve drainage and flood protection.
- Water and wastewater servicing in the Tecumseh Hamlet Secondary Plan Area.
- The Westlake Drive extension.
- Improvements at the Oldcastle Industrial and Business Park.
- Stormwater upgrades in the Manning Road Secondary Plan Area.
Mayor McNamara, utilizing Ontario's strong mayor powers to introduce the budget, has also prioritized community amenities. Funding is earmarked for a new water feature, washrooms, and trails at Southfield Park, enhancements at Lakewood Park, and upgrades for the St. Clair Beach Community Centre and Optimist Park. Trail improvements along the Lesperance Trail are also planned to improve safety for pedestrians and cyclists.
Utility Rates and Next Steps for Residents
Beyond property taxes, the budget proposes increases to utility rates. Water rates would rise by three per cent and wastewater rates by five per cent, adding approximately $47 to the average household's annual bill.
Mayor McNamara emphasized the complexity of the budget process. "I know the complexity and the discussions between each department — it's not an easy process," he said. "I can see why it takes three to four months to prepare the budget and then bring it to council and residents to go over it."
The draft budget is now open for public input. Residents can review the document online at tecumseh.ca until February 12, 2026. On that date, town councillors may propose amendments. If no changes are suggested, the budget will be considered approved. If amendments are proposed, a final vote could be delayed until March 9, 2026.
