The city of Ottawa's 2024 draft budget will be tabled today

City council voted to direct staff to draft the budget with a maximum 2.5 per cent property tax increase, which would add $105 to the average urban property tax bill next year.

City councillors will meet today to review the 2024 draft budget.

City council voted to direct staff to draft the budget with a maximum 2.5 per cent property tax increase, which would add $105 to the average urban property tax bill next year. The budget directions also include a 2.5 per cent transit fare hike and 2.5 per cent increases to the police and transit levies.

The budget directions also included a 2 per cent cost of living increase to all recreation fees and an increase in garbage fees. Homeowners will also face a projected 4.3 per cent increase in water and wastewater rates in 2024.

It comes as the city faces significant financial pressures, including increased costs from inflation.

"The current external economic conditions and supply chain pressures have resulted in inflationary pressures impacting all City Services. Increases on construction indices, parts and supplies will have an impact to the 2024 budget pressures," city staff say.

The greatest challenge facing the city budget comes by way of OC Transpo, which is projecting a $35 million fare revenue shortfall next year. OC Transpo staff are looking at cutting the 200-series "Connexion" bus routes and cutting 74,000 service hours next year.

Some big ticket spending items on the table include the $419-million Lansdowne 2.0 project, which has yet to be approved, a new $194-million south end police station, and $152 million in new contingency funding for Stage 2 of LRT, which is still under construction.