Ahead of what could be the toughest budget deliberations yet, London Mayor Joe Fontana says he is still looking for a tax freeze and police, fire and other city agencies must make cuts.
Fontana believes tough choices will need to made to get the tax freeze back on track, but says "I continue to have that message that I am driving to zero."
Next week's budget season kicks off on Tuesday afternoon with the release of the draft 2014 budget.
Elected on a four-year tax freeze promise, the mayor's drive hit a speedbump last year when council approved a 1.2 per cent tax increase, or about $30 more for the average home.
But it's unclear whether Londoners still want a tax freeze, with some still in favour and others not opposed to an increase.
The path to balancing the budget has few options for council. They can cut services, increase revenue, raise taxes or some combination of those three.
Sources tell CTV News the draft budget will contain a three to four per cent budget gap, meaning that $14.2 to $18.9 million must be found.
Fontana suggests the budgets of outside boards and commissions will be scrutinized for savings.
"Fire has a big request, police we know what that is, the boards and commissions continue to believe they don't have to do much of anything but ask for more."
But Councillor Paul Hubert sees a lot of work ahead and suggests the drive to zero must be flexible.
"We have to drive those costs down, but we have to be very pragmatic and principled. Maybe zero is always the target but lets not make it a die on the sword target."
He points to council's long wish list of projects yet to be funded, including new industrial land, downtown redevelopment and job creation strategies.
"We have 15 to 20 top priorities," Hubert says. "They can't all be funded."
And that leaves a tough task for councillors entering an election year.
"It is unacceptable for me to say I will do three per cent or 3.8 per cent. That is not on the table," Fontana says.
Deliberations are expected to heat up in January and the 2014 budget will be finalized February 27th.