Saskatoon's growing pains could translate into the biggest property tax increase in decades, the city's preliminary budget shows.

According to budget documents released Wednesday, the city portion of property taxes could go up 8.6 per cent this year, translating into an increase of about $70 a year for anyone owning a home with an assessed value of $100,000.

Any increases to school board taxes would be extra.

The jump would be the largest one in property taxes in 26 years.

City officials said most of that budget increase would go to pay for the rising cost of servicing land for new construction.

"Growth is expensive," Saskatoon city manager Phil Richards said.

"While the continuing argument of that is don't grow ... that's not good for any city or any corporation, so you have to grow."

Saskatoon has experienced a major building boom in recent years and the demand for new housing has been skyrocketing.

"There clearly is a lag between the pressure for growth, the delivery of services and when the revenue gets in," Richards said.

Saskatoon's Mayor Don Atchison said the proposed increase is too much and he expects city council will pare down the budget.

Regina's preliminary budget was released last week and proposes a 3.9 per cent increase.