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2026 Sault Ste. Marie Police Budget Sparks $4.3M Levy Hike

The City of Sault Ste. Marie is entering a heated budget season with police spending at the center of debate.

The 2026 draft municipal budget proposes a 5.39 percent increase in the city levy, and the largest portion of that increase comes directly from the police budget. The Police Services Board has approved a nearly 11 percent rise in its spending, adding $4.3 million to the levy and making policing the single biggest driver of the tax hike.

Police Services Board Chair Nuala Kenny has defended the increase, calling it a “no B.S. budget” that reflects unavoidable costs tied to staffing, equipment, and operational needs.

City officials stress that council has little authority to reduce police spending, since the board operates independently under provincial legislation. This has left councillors and residents grappling with the reality that policing costs are reshaping the city’s financial priorities.

Chief Administrative Officer Tom Vair has warned that the levy hike comes at a difficult time. Economic pressures such as job losses at Algoma Steel and new U.S. tariffs add uncertainty for households already facing affordability challenges. While other city departments requested modest adjustments, policing costs have eclipsed them, dominating the financial outlook.

 

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