The City of Moose Jaw wants homeowners to pay more next year, the city administration says it will need to significantly increase taxes just to keep the status quo.

A preliminary budget for 2018 was put forward at Monday's city council meeting that would see Moose Jaw homeowners pay an extra 4 per cent on their property taxes.

The increase would prevent any cuts in services, but it also wouldn't allow for any additional spending.

Budgeted revenues are down 0.4 per cent, while expenditures are up 2 per cent, resulting in a loss of just over $1 million. The city manager attributes the shortfall to a reduction in provincial funding.

The city says the decrease in revenue is unusual for Moose Jaw, and to make up for it there are really only two options, a reduction in services or a tax increase. In the end, city council will decide, but city administration is recommending the tax increase.

In addition to the city budget, the waterworks utility is also looking at $134 million in planned spending over the next five years and the city says the only way it will be able to fund those projects is with what they are calling "significant rate increases."

"This past year we've invested 10 times the amount of capital in infrastructure upgrades than what we did three years ago," said Fraser Tolmie, mayor of Moose Jaw. "The money's being used wisely, but obviously we're looking to reduce the burden as much as we can on the taxpayers."

Utility rate increases are not up for discussion at Monday night’s meeting, a separate proposal will be brought to council at a later date. 

Moose Jaw city council will deliberate on the proposed budget in the New Year.