MOUNTAIN VIEW COUNTY - Mountain View County is fully in support of new efforts aimed at ensuring rural municipalities receive taxes owed by oil and gas companies in their jurisdictions, says reeve Angela Aalbers.
Alberta’s government announced last week it is putting together a working group with municipal leaders to find “potential solutions” to help municipalities collect millions owed in unpaid oil and gas property taxes.
The Rural Municipalities of Alberta (RMA) issued a call for the establishment of the working group the week before.
“We fully endorse the RMA’s call for a Property Tax Accountability Strategy,” Aalbers told the Albertan. “By collaborating with municipal, provincial, and industry stakeholders, we hope to develop enforceable solutions that ensure accountability and transparency in tax obligations.
“Mountain View County believes that it is imperative to advocate for a regulatory framework that empowers municipalities to recover these taxes effectively.”
The RMA represents 69 rural municipalities, including Mountain View and Red Deer counties.
As of December 31, 2024, Mountain View County has $144,477.09 in unpaid taxes from the oil and gas sector, which, Aalbers notes, is “significantly lower than other rural municipalities who are experiencing unpaid oil and gas taxes in the millions of dollars.”
The county has been working with oil and gas companies operating in the municipality to address the issue of unpaid taxes, she said.
“We thank our administration for creating good working relationships with our oil and gas companies, as well as thank most companies that operate in Mountain View County for being responsible operators with respect to paying their taxes” she said.
Since 2015 the county has written off $1,878,248.69 in unpaid oil and gas taxes, she said.
“This revenue loss impacts our ability to maintain essential services such as roads, bridges, and other infrastructure in the county and puts an additional financial burden on other rate payers,” she said.
“It should be noted that in 2024, $19.3 million – representing 59 per cent of municipal taxes collected for municipal services – was generated from the tax class of linear, machinery and equipment, which is predominantly from oil and gas operations.”
RMA president Kara Westerlund says she believes the creation of the property tax accountability strategy could be helpful for all stakeholders.
“As we work to address the ongoing issue of unpaid oil and gas taxes, a collaborative approach between government and municipal stakeholders is essential,” Westerlund said in a release.
“We recognize that a path towards accountability requires buy-in from both levels of government and we are hopeful this approach is the way forward.”
According to a recent RMA survey of its members, more than $250 million of municipal property taxes are unpaid as of Dec. 31, 2024.
