The planned fifty million dollar upgrade to the Tribute Communities Centre in Oshawa will be partially funded through property taxes, despite previous city claims that the modernization project would have no impact on the municipal tax rate. The revelation has sparked significant discussion among Oshawa residents about transparency and fiscal responsibility in how the city communicates major spending decisions to the public.
The Tribute Communities Centre Oshawa property tax impact was confirmed by City Councillor Derek Giberson, who also serves as chair of the city’s corporate and finance services committee. Giberson clarified that the majority of the upcoming fifty million dollar cost of the upgrades to the facility will be paid by property taxes, not by private investors, partnership agreement contributions, or anticipated increases in venue revenues as had been previously suggested by the city.
On March 23, Oshawa City Council enacted a by-law authorizing the issue of twenty million dollars worth of debentures by the Regional Municipality of Durham for a term of thirty years on behalf of the City of Oshawa. The official minutes of the council meeting stated that the money required to repay the principal and interest obligations in respect of the debentures would be raised by a tax levy in accordance with the act.
Councillor Giberson emphasized that once interest is factored into the repayment schedule, the city anticipates paying at least ninety million dollars over the full thirty-year term. He stated unequivocally that the debt is carried by the city and ultimately all payments come directly from Oshawa’s existing tax base, placing the financial burden squarely on local property owners.
The Tribute Communities Centre Oshawa property tax discussion has been particularly contentious because the city had previously and repeatedly claimed that the modernization would not impact the tax rate. As recently as last week, an official city announcement stated that funding would be sourced through new agreements with the Oshawa Generals and OVG, the Municipal Accommodation Tax, and additional seat revenue, without mentioning the tax levy.
Giberson revealed he had raised concerns about the tax levy in 2025 that went largely unheeded by his colleagues on council. He noted that the city was on the cusp of finally paying off the original 2006 construction debt on the building, and with these new upgrades, Oshawa will continue to pay approximately the same amount each year with a new thirty-year repayment schedule rather than freeing up those annual funds for other important community needs.
Combined, the original construction debt and the new upgrade financing add up to over two hundred million dollars in property taxes across half a century to fund the arena. Giberson stressed his belief in the importance of transparency and good fiscal stewardship, noting that people in Oshawa work hard for their money and deserve clear and honest financial information about how their tax dollars are being spent on major municipal infrastructure projects.
The twenty million dollar debenture issue will finance the first phase of the Tribute Communities Centre Oshawa property tax funded upgrade, with construction scheduled to begin in spring of this year at the popular downtown Oshawa entertainment and sports venue.
