Taxes

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Property Tax Increase Explained

1. Final 2022 Levies - Previous Year Final Levy
Total taxes paid in previous year (2022)
2. Total Year over Year Change
The number in this box is the total of all 2023 budget increases including the Township portion, Region of
Waterloo portion and School Board portion.
3. Final 2023 Levies - Current Year Final Levy
Total taxes payable for current year (2023)
Property Tax Increase Explained (PDF)

NEW* Wellesley Township Tax Increase FAQ - February 10, 2023

The Township of Wellesley tax increase for 2023 has sparked a great deal of concern among some residents. Township Council understands these concerns and is sympathetic to the financial impact the tax increase will have on residents. The 2023 budget was not easy to prepare or to approve, but Council determined that the increase is necessary to meet the current and future needs of the Township as a whole. Actual inflationary costs of maintaining service have been kept below the rate of inflation in recognition of the fact that the cost of the Recreation Complex would be added to the tax base in 2023.

There has been a substantial number of posts made to social media in regards to the tax increase, many of which contain information that is inaccurate and misleading. This FAQ will attempt to dispel some of the social media myths and provide facts.

Additional FAQ’s can be added to this list if deemed necessary.

Q: Is my tax bill going to increase by 14% plus whatever tax increase the Region of Waterloo passes?

A: No. The Township tax increase is only applicable to the Township Levy portion of your tax bill. It does not apply to the Regional Levy or the School Board Levy. Similarly, the Regional tax increase is only applicable to the Regional Levy portion of your tax bill. It does not apply to the Township Levy or the School Board Levy. For the 2023 tax year, the estimated Township tax increase for an average household would be $179.29 per year or $14.94 per month.

Q. How did the cost of the recreation complex balloon from $22 million to $27.2 million?

A. The original estimate of $22 million was prepared before the pandemic hit. This was the amount originally applied for in the Investing in Canada Infrastructure Program (ICIP) in 2019. The Township was unsuccessful in that application. The Province then approached the Township in 2021 in regards to the Strategic Priorities Infrastructure Fund (SPIF) based on the information in the 2019 ICIP application. As a result, the Township was awarded $16,128,438 from the Province towards a new recreation complex which was approximately 73.3% of $22,000,000. Construction costs had increased greatly as a result of the pandemic and the final contract awarded for the recreation complex was approved by Council on December 14, 2021 at a cost of $27,200,000.

Q. The original announcement says the recreation complex will cost the average household $47.00/ year? What is the increase now?

A. The estimate of $47 per year for an average household was based on the pre-pandemic cost estimate of $22 million and a debenture of $3,000,000. On March 15^th, 2022, a report was presented to Council to approve a debenture of eight (8) million dollars for construction of the $27.2 million recreation complex. The report indicated the impact to an average household would be approximately $112.80 per year. Council approved this debenture and resulting tax increase.

Q. Why has there been no transparency in approvals and the tax increase for the recreation complex?

A. Every stage of the approval process for the recreation complex was considered in public forums with public reports, public meetings and open council sessions. The contract for the complex was discussed and eventually approved at a public meeting held at the Linwood Recreation Centre on December 14, 2021. This included the anticipated cost to the average household on the tax base. The debenture which has been taken for $8,000,000 was discussed and eventually approved at a regular meeting of Council on March 15, 2022 which included the financial impact on the average taxpayer.

Q. Will my taxes double when MPAC reassesses homes and doubles my assessment?

A. No. The amount of taxes collected in a year is only the amount determined in the budget to deliver the services set by Council. The Township does not collect additional taxes when assessments increase. The portion of the overall taxes collected by the Township that you pay is proportionate to the portion of the overall assessment value in the Township that your house represents. For example. If your house is now assessed at $400,000 and the overall assessment value in the Township is $2,000,000,000, you would be paying 0.02% of the overall tax levy collected. If all properties in the Township are reassessed at double their previous assessment, your house would now be assessed at $800,000 and the overall assessment value in the Township would be $4,000,000,000. Therefore you would still be paying 0.02% of the overall tax levy collected.

https://www.youtube.com/watch?v=nrWry5i3TBU

Q. How do we know the cost of the recreation complex won’t exceed the contracted price?

A. This is a design-build contract and the contracted price includes a 5% contingency allowance. Staff are carefully monitoring the job to stay within the contracted amount and currently there is no concern of exceeding the approved amount. No additional costs would be permitted without discussion and approval at a public council meeting.

Q. Will Council be reconsidering the tax increase?

A. At this time, no councilor has put forward a motion to reconsider the budget. Councillors have heard, understand, and sympathize with, the concerns being raised by residents. They have been actively asking additional questions of staff regarding the impact reducing the budget would have on short and long term delivery of township services and maintenance of infrastructure.

Tax bills are issued twice a year; an Interim in February and a Final in August. Both of these bills have two installment due dates, the last day of February, April, August and October.

Please note that:

if you have not received your tax notice please contact the Tax Collector at 519-699-3943. Not receiving your bill does not excuse you from paying your taxes or the charge of late fees.

*Payment must be received in the office by the due date or a penalty of 1.25% will be added to any late or unpaid balances after a due date and on the first day of each following month. Payments received are first applied towards any outstanding penalty/interest charges and then toward the oldest outstanding taxes.

we are not responsible for payments made on wrong accounts
if you get a tax notice that is not yours, please return it to the tax office at once
if you sell your property, please leave the tax bill or a copy for the new owner
there is a $14.00 fee for any tax bill reprints as per our fees and charges by-law
tax certificate requests can be faxed to 519-699-4540, mailed to the office, or emailed to taxes@wellesley.ca the cost is $67.00

The following links may help you with:

moving into or out of the township
questions about your property assessment
to see payment options
property tax by-laws
yearly property tax rates
Provincial and Township tax adjustment programs
grants & special assistance