Re-Imagine Property Taxes

Over June, it was a great privilege to cross the province with the incredibleAlberta Municipalities Board and staff teams for our Summer Municipal Leaders Caucuses. We met with local leaders to discuss how we can work with provincial colleagues to improve financial oversight and water systems, and heard about the incredible impact preventative social services are having locally.

But my favourite part of each meeting? Talking Property Taxes Re-imagined.

Right now, municipalities are primarily funded through property taxes. More than any other tax, property taxes directly challenge resident affordability and business investment. As municipalities navigate increased costs, decreased revenues, and rising provincial property taxes, it would be irresponsible to just let those tax bills keep climbing. But municipalities have no significant revenue levers beyond property taxes.

So something needs to change.

When municipalities were first formed in Alberta, they were only responsible for roads and fire breaks. These were limited duties directly linked to the land, so property tax made sense.

Today, however, municipalities care for the majority of public infrastructure and deliver the daily services residents and businesses rely on most. Yet we are expected to do all that while collecting just ~10% of total tax revenue through a challenging system. Our 1800s financial model is struggling with 2026 realities. It simply cannot manage local needs for decades to come.

To be absolutely clear: this isn't just about municipal governments just asking for more money. It's about a fundamental shift in how we fund the communities where Albertans live and work. The current system is unsustainable.

That's the problem. So what's the solution?

I don't know yet. But that is the work we are doing over the next nine months. Starting at our Fall Convention, we will be exploring potential new systems. We'll be diving into this conversation with our members through to next spring, when we will propose concrete, structural changes.

I'm looking forward to this important work! Municipal governance in Alberta is 143 years old. Over that time, incredible communities have grown up here. We need to make sure they are properly fuelled for the next 143 years of prosperity.