Over the next six weeks, the RMA will share how the Government of Alberta policies have impacted municipal tax revenue.
In recent years, the Government of Alberta (GOA) has implemented several policy initiatives to reduce oil and gas industry costs at the expense of municipal revenue. Below the Drill will share information on lost municipal tax revenue as a result of provincial government policies.
Reductions in municipal revenues are of significant concern for the RMA as municipalities have limited abilities to generate their own revenue, and provincial government grants are declining. Rural municipalities require sustainable and sufficient revenue to fund their operations and capital projects, such as constructing and maintaining the roads and bridges that provide access to Alberta’s oil and gas resources. Unpredictable changes in this funding, including GOA policies that reduce municipal revenue, create significant financial uncertainty for rural municipalities.
Following the introduction to the campaign, each week will introduce a provincial government policy and detail its impacts to RMA members. The four policy areas to be explored are:
- Removal of the well drilling equipment tax
- The ongoing non-payment of municipal taxes by the oil and gas sector
- The holiday on assessment for newly drilled wells
- The 35% assessment reduction for shallow gas wells
During the final week of the campaign, the RMA will share a report that will tie together the impacts of the policies and demonstrate the total loss to rural municipalities. Watch for information shared through Contact, social media, and updates at rmalberta.com/belowthedrill.
Warren Noga
Policy Advisor
825.319.2285
warren@RMAlberta.com
Wyatt Skovron
General Manager of Policy & Advocacy
780.955.4096
wyatt@RMAlberta.com