A resolution for advocacy on the new provincial carbon levy was unanimously supported at the Alberta Urban Municipalities (AUMA) Mayors’ Caucus today. The City of Red Deer put forward the resolution asking the AUMA Board to advocate for a revenue neutral impact on municipalities, easing the burden on taxpayers at a local level.
“The City of Red Deer continues to have concerns about the details of the carbon levy. It is not yet clear how this new tax will impact municipalities financially or how it supports climate action towards local and community environmental sustainability,” said Mayor Tara Veer. “We have asked the government for this new levy to be revenue neutral for municipalities and not impact municipal taxes. This would enable municipalities to work towards environmental sustainability and climate change mitigation and adaptation based on local priorities.”
On Tuesday, the Provincial Speech from the Throne confirmed that a carbon levy, previously called a tax, will be included in upcoming climate change legislation. The resulting revenue will be used to fund projects that reduce carbon intensity of our economy including public transit, renewable energy, and innovation.
Depending on the details of the carbon change legislation, the carbon levy could have a significant financial impact on municipalities, likely several million, which may result in a tax increase of several per cent for our citizens or impact our ability to finance local priorities.
“It is critical to minimize the municipal financial impact while encouraging meaningful climate change action, efficient operations, and reduced greenhouse gases. Municipalities have a strong leadership role to play at the local level towards a sustainable future,” said Mayor Veer. “The City of Red Deer is playing a meaningful role in local climate change through our environmental master plan and the development of a climate change mitigation strategy.”
The AUMA Mayors’ Caucus brings together Mayors and administrators from municipalities across the province to discuss municipal issues. At the Caucus, members heard from Premier Rachel Notley; Brian Mason, Minister of Infrastructure and Minister of Transportation; Danielle Larivee, Minister of Municipal Affairs; Deron Bilous, Minister of Economic Diversification; Lori Sigurdson, Minister of Seniors and Housing; and Kathleen Ganley, Minister of Justice and Solicitor General.
For more information, please contact:
Mayor Tara Veer
The City of Red Deer
Communications & Strategic Planning
The City of Red Deer