No new taxes, $2M surplus in 2026 Iqaluit operating budget
Loss of Inuit Child First Initiative results in 50 per cent cut in ‘community funding’
The City of Iqaluit’s finance committee supported the proposed operating budget for 2026 at its meeting Tuesday. The budget will now go before city council for final approval. (Photo by Jeff Pelletier)
The City of Iqaluit appears headed for a 2026 budget with no property tax hikes but a surplus in revenue, after the finance committee reviewed the plan Tuesday night.
“I’m happy to say that we are able to present a balanced budget without any major tax or rate increases,” Peter Tumilty, the city’s finance director, told committee members about the 2026 draft budget.
For the 2026 operating budget, it’s projected the city will run with $2.3 million surplus. That’s the difference between the expected revenues of $75.6 million and expenses of $73.3 million.
Those figures are both lower than they were in the 2025 budget, where revenues were listed as $80 million and expenses at $77 million.
Part of that shift can be tied to the end of the Inuit Child First Initiative food voucher program in March this year, Tumilty said. This city won’t have the $2.8 million it got from Ottawa this year to run the program, meaning that’s money the city will not receive or spend next year.
As a result, the city’s spending on community funding will be reduced to $2.5 million compared to $5.3 million in 2025.
Across several departments, there’s a decrease in salaries and benefits costs to reflect the “natural level of unfilled positions,” Tumilty said.
He said the city consistently runs at a 10 to 20 per cent rate of staff positions being unfilled. The 2026 budget introduces a “five per cent vacancy factor,” which explains some of the cost reduction.
Water and sewer work is one of the few areas of spending set to increase next year, to $20.3 million — nearly $5 million more than in the previous budget. Tumilty said that can be tied to the city upgrading its water infrastructure and truck fleet.
There are no new tax increases in the 2026 budget. However, the city is expected to take in about $28.2 million in property tax revenue — a slight bump from 2025 — because of some new property developments.
The finance committee unanimously supported the budget, which will head to council for final approval.
The city’s $83.4 million 2026 capital budget — its other spending plan, which outlines how the city plans to purchase equipment and pay for infrastructure projects — was approved by council in October.
“We’ve been able to operate pretty effectively so we can maintain a positive balance at the end of the day,” said Coun. Kyle Sheppard, the finance committee chairperson, in an interview.
“I’m really happy to hold the line on property taxes and the rates for residents.”
No surprise here, as a homeowner we are taxed so heavily with cuts to our services over the years.
I don’t know how young families will be able to buy a house today let alone maintain and pay for all the taxes that are put on homeowners.
It’s nearly impossible to own your own home today, not enough lots to build on, houses that are for sell are way over priced, property tax, land lease.
And who is buying all the houses in Iqaluit. Only orgazitions who can afford them like NTI and NCC.
Take the surplus and fix the AWG so kids can get on the ice again. Can even splurge and get the Zamboni part priority cargo!
Easy there, Float Switch we’ve got more ice than most Hamlets already! How will the privileged puck crowd survive with only one arena?
Maybe, just maybe, council could skate past the luxury sports for once and kick a little funding toward something the whole community can use!
Maybe it’s time council thawed out some support for a turf field that everyone can use. Most towns would be thrilled with one rink we’ve got two! Let’s spread the budget beyond the blue lines for once!
A year-round turf complex with a running track would be a great addition to the community, especially with so many younger people taking an interest in their general fitness or preparations for their sports and the various summer and winter games people participate in.
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I bet overall more people are playing the various turf/track sports in town these days than hockey, so it would be a good use of funds to support that group.
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Anything that gets people moving or off one of the few treadmills in town would be a wonderful addition, especially if it’s designed in a way where the turf and track can be used for separate events at the same time – suspending the track over the turf for example.
Between IAHA and the KHL. There are 500+ skaters using the ice. Pretty sure ice hockey is the biggest activity in Iqaluit..
Let me guess, either you or your child aren’t very athletic. Probably more into the arts. Possibly even goes curling, softball, etc… Who hurt you? Why are you against the number one sport in the Territory? There should probably be a 3rd rink in Iqaluit. Boy do I hope you aren’t on city council, but if you were, that would explain alot.
Another clueless comment from the troll.
Uhhh ok, smart person. What is the location of the most used spaces in town for both youth, adults and older folks. Ding ding ding, the hockey rinks.
But it doesn’t fit your agenda now does it. In fact, oh megamind, both rinks are always busy and used, an argument could be made for a third!
Did I ruffle some feathers? Good. Council needs to get their act together and make sure the AWG rink opens ASAP.
A multipurpose field or turf would honestly be a better investment like the one in Yellowknife. Every summer I see way more people out at AWG when they run programs and turf time, and a flexible space would get used constantly not just for hockey and skating. Year round Turf or a multi-use field keeps things busy, open, and accessible for everyone at a low cost.
It’s a waste of infrastructure when the awg has been closed for so long waiting for ever for a part, all the while paying for a arena to be closed, the city could be doing much better on this one, yes we have another arena but that is besides the point, I sure hope you are not on the council based on your comment, that would be a waste too.
Stick to one store like north Mart or ventures. Profits will be high and less cost effective with population like Iqaluit. Takes a whole community to profit off one store and lower the cost of prices.