Township of Muskoka Lakes Adopts 2026 Municipal Budget

MUSKOKA LAKES, ON, November 28, 2025 – The Township of Muskoka Lakes (“Township”) has adopted the 2026 Municipal Budget, the first to be introduced as the Mayor’s Budget under Part VI.1 of the Municipal Act, 2001.

The Township’s budget has been developed with a commitment to ensure the maintenance of existing levels of service while also building for the future by investing in infrastructure renewal and community services.

The approved 2026 Municipal Budget includes an 8.6 per cent municipal tax rate increase, which translates to approximately $13.85 more per $100,000 of assessed residential property value on the municipal portion of the tax bill.

Of this total increase, 3.6 per cent or $5.87 per $100,000 of assessed residential property value will be allocated to day-to-day operations and programs including administration and fire and emergency services. The additional 5.0 per cent or $7.98 per $100,000 of assessed residential property value will be directed toward Township investments to upgrade to roads, bridges, and facilities that have served the community for decades, helping build a stronger Muskoka Lakes for years to come.

Of the property taxes paid annually by Muskoka Lakes residents (based on 2025):

    • 55 per cent is directed to the District of Muskoka (tax and rate supported)
    • 22 per cent supports Education Property Tax (Provincial Tax)
    • 23 per cent remains with the Township of Muskoka Lakes

“This year’s municipal budget is more than just a financial plan, it’s a story.” said Mayor Peter Kelley. “A story shaped together by Council, staff, and the Muskoka Lakes community reflecting shared values and collective goals, while committing to responsible financial planning that protects our unique character and prepares us for the future.”

Mayor Kelley confirmed he would not exercise veto authority on any of Council’s approved amendments. This confirmation completed the annual budget process, deeming the 2026 Municipal Budget adopted under Ontario’s strong mayor framework.

“This budget continues to focus on building a stronger foundation for the future,” said Mark Donaldson, Director of Financial Services and Treasurer. “By making strategic, priority investments in capital renewal in a responsible way, the Township aims to ensure that assets remain safe, functional, and serviceable.”

Key 2026 investments include:

    • $8.7 million in road repairs and rehabilitation across the Township, including road surface repairs and rehabilitation, roadside brushing, ditching and drainage improvements.
    • $3.9 million to maintain Township indoor and outdoor facilities and equipment supporting the expected level of service, including replacement of docks and playgrounds, maintenance equipment and plow trucks, and preparing design concepts for a new Minett Fire Station.
    • $3.6 million to provide fire and emergency services, including investments to modernize equipment and support critical training.

Residents are encouraged to review the 2026 Municipal Budget to learn more about planned investments, service levels, and financial highlights.

For more information on Township plans and reports, visit: Plans, Reports and Studies | Township of Muskoka Lakes

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For questions regarding the budget, please contact: 
Mark Donaldson
Director of Financial Services
(705) 765-3156 x210
mdonaldson@muskokalakes.ca

For general or media inquires, please contact:
Mia Palantzas
Communications Advisor
(705) 765-3156 x360
communications@muskokalakes.ca

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Infographic of 2026 Municipal Budget

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