With few revenue sources beyond property taxes and licensing fees, municipalities say the funding shortfall from the province leaves them with few options
Published Sep 29, 2023 • Last updated Sep 29, 2023 • 3 minute read
You can save this article by registering for free here. Or sign-in if you have an account.
Premier Danielle Smith speaks at the 2023 Alberta Municipalities Convention and Trade Show, in Edmonton Friday Sept. 29, 2023. Photo by David Bloom /Postmedia
Article content
The organization that represents 265 municipalities across Alberta closed its annual convention in Edmonton Friday with newly-elected president Tyler Gandam reiterating its $1-billion ask of the province for more infrastructure funding.
This advertisement has not loaded yet, but your article continues below.
THIS CONTENT IS RESERVED FOR SUBSCRIBERS ONLY
Subscribe now to read the latest news in your city and across Canada.
Exclusive articles by David Staples, Keith Gerein and others, Oilers news from Cult of Hockey, Ask EJ Anything features, the Noon News Roundup and Under the Dome newsletters.
Unlimited online access to Edmonton Journal and 15 news sites with one account.
Edmonton Journal ePaper, an electronic replica of the print edition to view on any device, share and comment on.
Daily puzzles, including the New York Times Crossword.
Support local journalism.
SUBSCRIBE TO UNLOCK MORE ARTICLES
Subscribe now to read the latest news in your city and across Canada.
Exclusive articles by David Staples, Keith Gerein and others, Oilers news from Cult of Hockey, Ask EJ Anything features, the Noon News Roundup and Under the Dome newsletters.
Unlimited online access to Edmonton Journal and 15 news sites with one account.
Edmonton Journal ePaper, an electronic replica of the print edition to view on any device, share and comment on.
Daily puzzles, including the New York Times Crossword.
Support local journalism.
REGISTER / SIGN IN TO UNLOCK MORE ARTICLES
Create an account or sign in to continue with your reading experience.
Access articles from across Canada with one account.
Share your thoughts and join the conversation in the comments.
Enjoy additional articles per month.
Get email updates from your favourite authors.
Sign In or Create an Account
or
Article content
Gandam echoed those sentiments in a question to Premier Danielle Smith Friday, saying that resolution was “one that sticks out in my mind.”
“I’m not looking for answer,” he said to Smith. “I’m just letting you know this is going to be something we are going to be working on.”
ABmunis claims the province’s spending on local infrastructure has dropped from 3.7 per cent of total spending a decade ago to just 1 per cent, leaving municipalities with $1.3 billion less investment in community infrastructure each year.
With few revenue sources beyond property taxes and licensing fees, municipalities say the funding shortfall from the province leaves them with few options.
Smith acknowledged the issue saying, “we’ve got to find a way to get more dollars coming through so that you can reduce your property tax burden.”
She added that she wanted to work on a funding model with municipalities for one-time surpluses.
Headline News
Get the latest headlines, breaking news and columns.
By signing up you consent to receive the above newsletter from Postmedia Network Inc.
Thanks for signing up!
A welcome email is on its way. If you don’t see it, please check your junk folder.
The next issue of Headline News will soon be in your inbox.
We encountered an issue signing you up. Please try again
Article content
Advertisement 3
This advertisement has not loaded yet, but your article continues below.
Article content
“I’ve watched it happen many times that (the government is) very generous (and) increase the funding when times are good. And, then when times turn the other way, we asked you to take a pretty big haircut and that puts a lot of a lot of extra pressure on you.”
Municipal Affairs Minister Ric McIver said LGFF funding will be launched next year and is tied to provincial revenue, something municipalities have asked for in the past. He added that it is expected to grow by 14 per cent the year after next.
“The formula you asked for will start working for you right away.”
Wetaskiwin mayor new ABmunis president
Gandam, the mayor of Wetaskiwin as well as a former firefighter and funeral director, was elected as new ABmunis president with just over 60 per cent votes cast early Friday, defeating Legal Mayor Trina Jones and Calgary Coun. Andre Chabot.
“I know that many of us are having a tough time, and my hope is that I can support you as you navigate this very interesting time,” he told delegates in his pre-vote speech.
City of Wetaskiwin Mayor Tyler Gandam was elected as new president of Alberta Municipalities on Sept. 29, 2023.
Gandam, who will serve a two-year term, is the second straight ABmunis president from the Edmonton area, succeeding St. Albert Mayor Cathy Heron.
Advertisement 4
This advertisement has not loaded yet, but your article continues below.
Article content
Delegates also heard Friday from Opposition leader Rachel Notley, who began her speech by attacking the government’s potential Alberta pension plan and calling on Smith to better fund municipalities.
“The government is reporting a surplus, so I believe it is the perfect time to be have a face-to-face negotiation … about what our incredible cities, towns and villages need to continue thriving.”
She added that a decision about her political future remains pending and she is “still thinking about what’s next.”
No plans for parties
Delegates voted on resolutions on Thursday, including two strongly-supported motions calling on the province to take steps to block political parties entering municipal politics.
Smith said Friday her government is consulting on introducing parties at the local level as well as potentially having run-off elections in certain races, citing low voter turnout in municipal elections, saying she found it “a little frustrating.”
“We want to try to find a way to support you, give transparency … if we can find a party system that you’re amenable to,” she said, adding any local parties would not be offsprings of existing provincial or federal parties.
Earlier in the week, delegates expressed wariness of bringing party politics in municipal government, noting low public support and desire of most local politicians to remain non-partisan.
The 2024 ABmunis convention is scheduled for next September in Red Deer.