Residential property owners in Sarnia will see their tax rates rise for 2026, as the city implements a new budget to address municipal costs and infrastructure needs.
The city has set the 2026 residential property tax rate at 1.797234%, an increase from the 1.733719% rate seen in 2025. This represents an effective rate increase of approximately 3.66%. For residents living within the transit levy area, the city portion of their tax bill will rise by 3.95%, which equates to an additional $42 for every $100,000 of property assessment.
Sarnia City Council officially adopted the $196.4 million operating budget on December 22, 2025. During the budget process, Mayor Mike Bradley utilized provincial strong mayor powers for the first time to reduce what was initially projected to be a 13.5% increase. The mayor moved to veto $5 million in funding for a new police headquarters and $4.1 million for the Sarnia BACE project, helping to bring the final approved tax-supported operating expense increase down to 4.21%.
Property owners should note that their total tax bill also includes a separate increase from the County of Lambton. In February 2026, the county approved a 3.72% tax hike, which adds another $19.49 per $100,000 of residential assessment. These combined increases will be reflected in the remaining property tax instalments for the year, which are due in June and August. Payments can be directed to the City of Sarnia Tax Office.
The adjustment in tax rates comes as the city continues to navigate significant infrastructure challenges. According to the City of Sarnia, the municipality manages a $4.6 billion infrastructure portfolio. Current planning documents indicate an annual funding gap of approximately $20.8 million and a $251.8 million shortfall projected over the next decade.
