Fernie 2026 Budget and Five-Year Financial Plan has been formally adopted by Council, setting the financial direction for the community through 2030 and outlining how municipal services and infrastructure will be funded in the coming year.
The 2026 budget is built around maintaining existing service levels while responding to rising costs, infrastructure demands, and Council’s strategic priorities. According to the City’s budget overview, decisions were guided by inflationary pressures, contractual wage increases, and the need to sustain core services such as snow removal, public safety, and facility operations.
A key outcome for residents is a 6.68 per cent increase in residential property taxes. For an average Fernie home assessed at $990,108, this represents an increase of approximately $205 on the City portion of the annual tax bill. City taxes make up roughly half of the total property tax collected, with additional amounts going to other public agencies including the Regional District and School District.
The City’s revenue model continues to rely primarily on taxation, which accounts for about 37 per cent of total revenues, supplemented by mine revenue sharing, user fees, and grants . On the spending side, the largest portions of the budget are directed toward parks and facilities, protective services, public works, and corporate administration, reflecting the cost of maintaining infrastructure and delivering day-to-day services .
Council also approved increased contributions to reserves, including a new policy directing 25 per cent of certain new revenues—such as mine tax sharing—into long-term savings. These reserves are intended to fund future infrastructure renewal and reduce the need for sharp tax increases in later years .
The 2026 capital plan includes approximately $13 million in new projects alongside $2.8 million in carry-forward work. Major investments include the start of construction on a new fire hall, budgeted at $8 million in 2026, along with road upgrades, bridge repairs, facility assessments, and continued work on the Official Community Plan update .
Additional funding has been allocated to community organizations and partnerships, with more than $800,000 directed toward arts, culture, and community development initiatives. At the same time, Council chose not to approve all funding requests, reflecting ongoing prioritization within a constrained budget environment .
Utility services, including water and wastewater, remain separate from property taxation and are funded through user fees. Rate increases in 2026 are intended to support system maintenance and upgrades to aging infrastructure .
Overall, the 2026 budget reflects a continuation of Fernie’s current service model, with incremental increases to address cost pressures, invest in infrastructure, and build financial reserves. As with most municipal budgets, the balance remains between maintaining service levels today and planning for the long-term sustainability of the City’s assets and operations.
