2026 Budget

Strong Mayor Powers and the Municipal Budget

As of May 1, 2025, the Government of Ontario expanded strong mayor powers to the Municipality of Strathroy-Caradoc. With these powers, the Mayor is required by the Municipal Act, 2001 and Ontario Regulation 530/22 to prepare a budget for the Municipality and provide it to the Clerk and each member of Council on or before February 1st each year. This is known as the "Mayor's Budget."

The process for adopting the budget is outlined by the legislation. 

  • Once proposed, Council has 30 days to pass resolutions to amend the Mayor's Budget. If there are no amendments passed within the 30-day period, the Mayor’s Budget is adopted.
  • If Council passes resolutions to amend the Mayor's Budget, the Mayor can decide to veto Council’s resolutions within 10 days of the expiry of the time period for Council to pass a resolution.
  • If the Mayor doesn’t veto any amendments within the 10-day period, the budget as amended by Council resolutions is deemed adopted.
  • If the Mayor vetoes Council’s resolutions to amend the Mayor's Budget, council can vote to override the veto within 15 days of the expiry of the time period for the Mayor to veto a resolution. In the vote to override a veto, two-thirds of the members of Council must vote to override the veto or the vote will fail.
  • If Council overrides the Mayor’s veto, the amendment passed by Council will continue to have effect.
  • If Council does not vote to override the Mayor’s veto, then the budget is adopted by the Municipality after the expiry of the time period for Council to override the Mayor’s veto.
  • January 13, 2026:  Mayor will formally propose the 2026 Budget 
  • *Additional dates will added following the direction of Council*
  • February 16, 2026: Prescribed deadline for amending the proposed budget

Capital Budget

A capital budget accounts for long-term investments such as infrastructure and facility projects. A capital budget includes investments in areas such as water and sewer infrastructure, roads, and arenas and parks. Examples of capital expenditures include road reconstruction projects, fire truck procurement, water treatment facility upgrades, and more.

Operating Budget

The operating budget consists of all the funds spent on day-to-day operations of the municipality. That includes police and fire service; road maintenance including winter plowing, salting, and sanding; operation of infrastructure like sewer, water, and storm sewer service; a wide array of recreational and cultural programs; and various administrative activities such as planning and economic development. It also includes debt repayment on loans taken out in previous years to pay for projects and purchases.

Budget FAQ

Before Strong Mayor Powers: The municipal budget was developed by staff and approved by Council
as a whole, often through a committee process with multiple rounds of review and amendment.

Under Strong Mayor Powers: The Mayor is required to prepare and propose the annual budget for the
Municipality, rather than Council or a committee.

Council may amend the Mayor's proposed budget, but to do so, it requires a two-thirds majority vote of
all Council members (not just those present at the meeting). This high threshold limits Council's ability
to alter the Mayor's budget once it's presented.

If Council fails to pass a version of the budget (either the Mayor’s original or an amended version) by
the statutory deadline (usually February 28), the Mayor's budget is deemed adopted by default. This
ensures a budget is in place even in the case of a gridlock.

The budget must be aligned with prescribed provincial priorities, particularly housing targets. This
alignment reinforces the provincial government's goal of increasing housing supply and is a key
justification for the Strong Mayor framework.

Only applies to 'Strong Mayor' designated municipalities; Strathroy-Caradoc received designation in
May of 2025.

Within 30 days after receiving the proposed budget, Council may pass resolutions to amend the
proposed budget. The prescribed deadline for amending the proposed budget is February 16, 2026.
The Budget Deliberations meeting is scheduled for January 13, 2026.

At the conclusion of the Budget Deliberations meeting, after all amendments have been made, it is
recommended that Council adopt a resolution to shorten the 30-day timeline to amend the proposed
budget.

If Council does not wish to shorten the 30-day timeline to amend the proposed budget, then Council
should be prepared to call another meeting for the purpose of considering further amendments to the
budget.

The process for the Budget Deliberations meeting will follow the same process as the past budget
cycles. Council will be guided through the proposed budget and may introduce motions to amend the
proposed budget.

A motion to approve the overall budget is no longer required due to the deemed adoption provisions
contained within the Act.

Unfunded items and items that were referred to the 2026 budget by Council will be itemized in a
separate report and presented to Council for consideration at the Budget Deliberations meeting.

Members may make motions to add unfunded items to the budget. 

The Community Safety and Policing Act sets out the process by which budget estimates are provided
by the Strathroy Caradoc Police Service Board to the Municipality for review and approval. The
Municipality does not have the authority to approve or disapprove specific items in the estimates, but
the Municipality does have the authority to establish an overall police budget amount. 

The Mayor may veto a resolution passed by Council within 10 days after the expiry of the timeline for
Council to pass resolutions. The veto must be provided in writing to the Clerk and Members of
Council and outline a reason for the veto. The 10-day timeline for the Mayor to veto amendments to
the proposed budget may be shortened by the Mayor by providing the Clerk and all Members of
Council a written document identifying the shorter period.


If the Mayor vetoes a resolution passed by Council, the resolution shall be deemed not to have been
passed by Council.


If the Mayor does not veto a resolution within the timeline, the budget shall be deemed to be adopted
by the Municipality.

Council may override a veto if two-thirds of the total number of members of Council vote in favour of
overriding a veto within 15 days after the expiry of the timeline for the Mayor to veto a resolution (6
votes to override).


The 15-day timeline for Council to override a veto on budget amendments may be shortened via a
Council resolution.


If an override vote carries, the resolution to amend the budget shall be deemed to be passed by
Council.


After the expiry of the timeline for Council to override a veto, the budget is deemed to be adopted by
the Municipality.

Strong Mayor's Budget Process Graphic

Strong Mayor's Budget

Council Meeting Links:

Dec 15 Council Meeting: Guide To Strong Mayor's Budget

Contact Us

52 Frank Street,
Strathroy ON N7G 2R4

Phone: 519-245-1070
Fax: 519-245-6353