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Ottawa Board of Trade Response to the City of Ottawa’s 2026 Budget Directions

The Ottawa Board of Trade (OBOT) commends the City of Ottawa for its commitment to transparency and consultation with the release of the 2026 Budget Directions. The city budget is our community’s blueprint for prosperity, shaping business competitiveness, community confidence, and long-term economic growth.

It is understood that Council must balance economic uncertainty and fiscal pressures with the responsibility to provide affordability, ensure public safety, renew infrastructure, and support a competitive business environment. This moment calls for bold leadership, clear priorities, and strong collaboration with the private sector to unlock Ottawa’s full economic potential. OBOT offers the following perspective:

Fiscal Responsibility and Predictability

  • OBOT supports the target of limiting overall tax increases to no more than 3.75% but urges Council to prioritize efficiencies and service improvements before raising taxes.
  • OBOT acknowledges the $207.5 million in efficiencies achieved. We encourage Council and staff to continue identifying efficiencies as part of the 2026 Budget to ensure every dollar is spent wisely before new revenues are sought.
  • Predictable taxation, affordable housing, and reliable transit are critical for business confidence, investment, and attracting the talent Ottawa needs to grow.

Public Safety and Community Well-Being

  • OBOT notes the proposed 2.9%–6.5% increase in the Police Services levy. While we recognize the rising costs of policing, it is essential that these investments deliver measurable results in addressing public disorder and the opioid crisis in Ottawa’s downtown.
  • Safe and welcoming streets are the foundation of a strong economy, vibrant tourism, and livable communities. OBOT encourages closer collaboration between Ottawa Police Services, Public Health, community agencies, and other levels of government to ensure new investments achieve visible improvements in downtown safety.

Transit and Mobility

  • Transit is essential for economic growth, workforce mobility, and climate goals. OBOT supports the exploration of urban transit fares and bulk passes and strongly encourages faster implementation than the 1–2 years currently noted by the Transit LRFP Working Group, particularly as more employers are exploring calling employees back to the office 5 days a week.
    • We support the proposed 3%–15% transit levy increase and 2.5%–7.5% fare increase, provided they are matched with a clear plan to:
    • Increase ridership by offering fares that attract people back to transit and by delivering sensible, reliable routes.
    • Ensure affordability and accessibility for workers.
    • Support transit-oriented development.
  • Above all, Ottawa must make transit a competitive choice to driving, reducing congestion and parking pressures, particularly in the downtown core, and especially to support City workers being called back to the office 5 days a week as of 2026.

Housing and Infrastructure Investment

  • Business competitiveness depends on Ottawa’s ability to attract and retain talent. OBOT supports continued investments in housing affordability, infrastructure renewal, and climate resiliency as part of the City’s long-range capital plans.

Assessment Growth

  • The 2026 Budget Directions forecast assessment growth at 1.6%, representing new revenues from Ottawa’s expanding tax base.
  • OBOT asks that Council to ensure these funds are strategically allocated to strengthen long-term competitiveness — including downtown revitalization and transit sustainability — rather than simply absorbed into baseline operations.

Downtown as an Economic Engine

  • OBOT calls on Council to ensure that new levies and revenues are strategically reinvested in Ottawa’s downtown which is facing unprecedented pressures. The downtown core is the city’s economic, cultural, and civic engine that contributes 20% of Ottawa’s property tax revenues. A strong downtown tax base and vibrant core are therefore essential to Ottawa’s long-term fiscal health.

Conclusion

Ottawa’s business community understands the complex balance Council must achieve in 2026. Beyond managing today’s fiscal and service challenges, we must confront the broader economic shifts affecting our city: federal downsizing, rapid AI adoption, and global trade uncertainty. To remain resilient, Ottawa needs a clear strategy for economic diversification and growth— one that strengthens downtown, diversifies our economy beyond the federal government and knowledge industries and allows for strategic investment.

As the voice of Ottawa’s business community, representing every sector and size of enterprise, the Ottawa Board of Trade is committed to working with Council, City staff, community partners, and all levels of government to build a competitive, inclusive, and sustainable economy that will serve generations to come.

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