Three things that will cost more in Ottawa in 2023 and two things that won't

Prices are going up across industries and municipal expenses are no exception.

But it’s not all bad news.

CTVNewsOttawa.ca looks at three things that will cost more in Ottawa in 2023 and two things that won’t.

PROPERTY TAXES

Homeowners will be on the hook for another property tax increase this year.

Directions to staff call for the development of a 2023 that includes a property tax increase of no more than 2.5 per cent, which was a campaign promise by Mayor Mark Sutcliffe.

The draft budget is to be tabled Feb. 1 and finalized on March 1. Some city councillors have argued that keeping tax increases capped at 2.5 per cent amounts to austerity, given the rate of inflation, but Interim City Manager Wendy Stephanson says the budget will include recommendations to address fiscal pressures.

Ottawa City Hall. (File photo)

EMPTY HOUSES

The city’s vacant unit tax comes into effect this year.

All residential property owners must declare the vacancy status of every home they own. If the home is vacant for more than half of a calendar year, the owner is charged an extra fee of 1 per cent of the property’s assessed value.

All eligible property owners are required to submit a property status declaration by March 16, including for principal residences, which are exempt from the tax.

The declaration portal on the city’s website is expected to come online today.

Vacant homes in Ottawa. Council voted in March to impose a one per cent tax on vacant units in Ottawa starting in 2023. (Peter Szperling/CTV News Ottawa)

GAS

Expect a return to $2-per-litre prices at the pumps this year.

President of Canadians for Affordable Energy Dan McTeague predicts prices could spike this spring because of two principal factors.

“The two big factors in April, no matter what, the carbon tax increases by three to four cents a litre,” he told CP24. “It’s very quickly followed by the increase in prices that comes with the shift from winter blends of gasoline to summer blends of gasoline.”

He says summer driving habits and the value of the Canadian dollar also play a role.

In the short-term, McTeague says prices could drop this week.

A man fills his vehicle with gasoline in Ottawa. May 17, 2021. (Dave Charbonneau / CTV News Ottawa)

TRANSIT FARES

One thing that won’t cost you more in 2023 is transit fares.

One of Sutcliffe’s campaign pledges was to freeze transit fares at 2022 levels for one year.

While the city’s initial budget pitch in late 2022 included a 2.5 per cent transit fare increase, council approved a motion to include the promised fare freeze in the 2023 budget directions.

Staff said a fare freeze would cost OC Transpo an estimated $5 million in lost revenue at a time when the transit service is still struggling to return to pre-pandemic ridership.An OC Transpo ticket machine is seen in this undated image. (CTV News Ottawa)

YOUTH RECREATIONAL FEES

Not only will recreational fees for kids not cost you more in 2023, they will soon cost less.

As part of the 2023 budget directions, city staff have been instructed to cut youth recreational fees by 10 per cent in 2023.

Sutcliffe says the fee cut would apply to programs offered by the City of Ottawa for preschoolers, children and youth. 

A swimming pool is seen in this undated file photo. (Shutterstock / Taweesak Jaroensin)