The city's proposed 2022 utility operating and capital budgets will not include any increases for water and sewer rates for the third straight year.

The city's proposed utility operating budget for 2022 is over $6.6 million, up five per cent from 2021.

City treasurer Nancy Gorman said this budget increase can be attributed to a surplus of over $200,000 from 2020.

The city's proposed utility capital budget is $2.2 million, and will be spent on seven projects, including $600,000 for phase 2 of upgrades to the Newcastle water system being carried out over five years.