Provincial Bill 23, high inflation impact Orillia’s capital budget

Ontario Construction News staff writer

While balancing the financial impacts of historically high inflation rates, effects of the Province’s Bill 23, and service contract pressures, the City of Orillia approved the 2023 budget with a 2.79 per cent increase.

“This is a fiscally responsible budget that focuses on the priorities identified by our community including a substantial investment of $15 million in roads and sidewalks, funding for the Orillia Overnight Warming Centre, investments in climate change action and funding to support housing affordability such as creating a new housing coordinator position,” said Mayor Don McIsaac. “We are anticipating significant impacts from Bill 23 of about $12 million over the next five years.

“Through the 2023 budget process, we have set aside $1 million to help mitigate the burden that has been placed on Orillia taxpayers by the province to pay for growth due to this new legislation.”

orillia budgetThe $33.6 million capital budget, which is funded from various reserves, debt and grant funding, focuses on increased investment in road and sidewalk infrastructure – including doubling the investment of the annual capital roads and sidewalk programs; dfmaintaining parks, culture and recreation facilities; and planning for a sustainable future.


  • Laclie Street reconstruction project phase 1 – $6.8 million
  • Phase 3 Centennial Drive area improvements – $2.65 million
  • road resurfacing program – $2.1 million.
  • sidewalk program – $1 million.
  • Orillia City Centre council chamber accessibility and technology upgrades – $570,000
  • Affordable Housing Reserve contribution increase from $100,000 to $200,000
  • Housing coordinator position – $103,000.
  • Funding for the Orillia Overnight Warming Centre – $31,500.
  • Centennial boat launch parking lot construction – $1.5 million.
  • Public Wi-Fi for Rotary Place – $120,000.

“This net 2023 levy increase is lower than what is being proposed by several surrounding municipalities and shows Orillia is holding the line on inflation while investing in areas of growth,” said John Henry, CFO, treasurer. “Additionally, the city has undertaken a comprehensive review of its user fees and rate-supported services and has implemented a responsible strategy to keep rates aligned with the cost of service provision while at the same time striking a reasonable balance with the tax levy.”


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