Manitoba

Thompson City Hall Braces for Budget Pressures as U.S. Tariffs Drive Up Costs

By

boringnews
September 9, 2026 2:25 pm

Thompson City Hall is getting ready for a tough 2027 budget season, with Mayor Colleen Smook pointing to ongoing trade uncertainty with the United States as a key concern. The mayor says upcoming paving work could cost more because of asphalt oil prices, and other essential city operations rely on products coming from the U.S.

The full 2027 budget process will begin after the October 28, 2026 municipal election, when the newly elected council sets the parameters. Smook says tariffs could also raise the cost of major equipment, but the Thompson Regional Aquatic Centre avoided some potential impacts because many materials were ordered before the tariffs took effect.

Thompson councillor Kathy Valentino, who is also president of the Association of Manitoba Municipalities, says construction costs are already 30 to 50 per cent higher than before. She notes that Manitoba announced $100 million in tariff relief measures in August 2026, but municipalities were not specifically included in that assistance.

Western Canadian municipal associations have asked the federal government for a tariff exemption for municipal governments. Valentino says all increased costs will directly affect municipal budgets and will ultimately be paid by local taxpayers. Thompson’s current municipal mill rate is 27.85 for 2026, meaning a property owner pays $27.85 for every $1,000 of the taxable portion of their property’s assessed value.

The city is urging residents to stay informed as the new council prepares to set budget priorities for 2027.

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