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Humboldt budget

Humboldt Council passes 2026 budget with tax and utility rate increases of over 5 per cent

Dec 3, 2025 | 5:11 PM

Property owners in Humboldt will have to dig a little deeper to pay their tax bill this year.

Council has approved the 2026 Budget, which will see an average tax increase of 5.01 per cent. There will also be a 5.19 per cent increase in water and sewer rates in 2026.

Mayor Rob Muench admits they would have liked to have had a smaller tax increase, but several factors led to the numbers being what they are. He said some of the tax increase is related to the cost of expanding residential areas in Humboldt’s north and south sides, and the infrastructure costs associated with that expansion.

“There were a number of things that were on the bill this year that maybe other years weren’t part of our budget,” Muench explained.

The mayor refers to this year’s document as a “growth and development budget” that has many items that will set Humboldt up for growth that they expect to experience in the coming years from the BHP project in Jansen to expanded local manufacturing opportunities.

The wastewater treatment plant is another project that has a high cost, according to Muench. The plant required the city to hire another individual, while the aeration and power consumption are also leading to higher than anticipated utility costs.

“We need to cover those things off so that we’re ready for growth,” Muench said. “Once that growth starts happening, I’m hoping that the tax base is going to increase accordingly and we’ll be able to ease up on some of the expenses and have more revenue coming in from tax.”

Everyday costs are going up for municipalities as they are for individuals, according to Muench, who said the prices of water mains and other infrastructure have “gone through the roof,” especially since the pandemic.

Muench said they have an aggressive capital budget of over $8 million. However, that is dependent on getting government funding for some of the projects. He cites housing growth as the main trigger for the capital budget.

“If those things all line up, I think we’re going to be getting ahead on a lot of those projects in the next number of years,” he said.

There was a significant discussion on several items, including the replacement of vehicles, and whether some budget items could be postponed for future years. Muench said some items or projects cannot wait any longer, and there is a fine line between trying to maintain a vehicle to get the most out of it while you can and throwing money away to prolong the inevitable.

An unseen cost to the City of Humboldt relates to lower interest rates. Muench said they have a lot of money they hold in reserves for projects, but the money they have made off interest has dropped significantly due to the lower interest rate.

cam.lee@pattisonmedia.com