How does the City spend money

Imagine the City's budget as your family's spending plan. Just like you budget to decide how to spend your money at home, the City decides how to use its funds to provide services that make our daily lives better.

• It includes operating expenses—these are day-to-day costs for utilities, groceries, gas and other transportation costs, personal services, etc.; for the City this also means things like utilities and fuel as well as the salaries of staff that provide City services.
• It also covers capital expenses – these are longer-term investments like a renovation or purchasing a new major appliance; for the City, think large projects and permanent fixtures like rebuilding the Conservatory, installing new storm or sanitary sewers or buying a new fire truck.

Every time you see a police car on duty, when your garbage is picked up, when the snow is cleared from your street, or when you visit a library, you're seeing your tax dollars in action. It's like paying for your home's utilities, groceries, or a streaming subscription—essential services that make life easier and more enjoyable.

As a single-tier municipality, Thunder Bay is unique because we are responsible for managing many services that other cities in Ontario are not. This includes everything from policing to public transit to water management, which adds extra pressure to the budget. Each year, in order to figure out the best way to spend our money, we have to look at all the services we provide, how much they cost, and how they're paid for.

We aim to offer a mix of services that make Thunder Bay a great place to live, work, and play today, and for generations to come.

Breaking Down the Budget

The money for these services comes from two main types of budgets: the Rate-Supported Budget and the Tax-Supported Budget.

The Tax-Supported Budget is the portion of the City’s budget funded through property taxes. It funds a variety of services that contribute to the health, safety and quality of life in the City of Thunder Bay such as: Roads, Parks and Open Spaces, Emergency Services (Thunder Bay Police, Thunder Bay Fire Rescue, Superior North Emergency Medical Service), Recreation and Culture, Planning Services, Pioneer Ridge, Long Term Care and Senior Services and more.

The portion of the City’s budget that is fully funded by fees that are only applied to the users of the service is referred to as the rate-supported budget. These rates are separate from the property tax bills. The rate supported budget includes Waterworks, Wastewater, Solid Waste (Landfill), and Prince Arthur’s Landing – Boater Services.

Building a Better City

Capital construction projects are major investments that improve and expand our city's infrastructure. These projects range from upgrading roads and bridges to constructing new community centres and enhancing public parks. Think of these as the major renovations or additions you might undertake in your home to improve its value and functionality, except on a much larger scale.