Residents in St. Thomas, Ontario, are raising concerns about non-profit tax exemptions following a recent property tax increase. Local taxpayers voiced concerns on February 21, 2026, about whether large institutions like hospitals and colleges are contributing enough to city costs as homeowners face higher bills.
The City of St. Thomas approved a 6.1 per cent property tax hike for the 2026 budget year. This increase means residents will pay an extra $96 for every $100,000 of property value to help the city cover nearly $80 million in total spending.
According to a local resident, large institutions like hospitals and colleges contribute through a provincial fee that is capped at $75 per bed or student. This fee has not been updated since 1987, even though the city must spend over $6.5 million this year to support new infrastructure and rapid growth.
The St. Thomas City Council is managing these costs to support industrial expansion, including the PowerCo battery plant and downtown projects like Project Tiny Hope. Residents argue that while these projects are important, the cost of providing municipal services is falling too heavily on residential property owners.
