Alberta towns rally for new revenue tools for tourism and infrastructure

In Stettler, Alberta, municipal officials say the time has come for broader support on a range of community services that extend well beyond local property taxes. Across the province, towns and cities are urging the provincial government to consider how airports, tourism, libraries and other public amenities are funded and sustained.

In a Nov. 8 CBC news article, Mayor Gord Lawlor of Stettler emphasised that communities like his are facing an unusual set of pressures: “We’re seeing more visitors, more expectations for services, and yet our tax base hasn’t grown in a way that reflects that,” he said. According to Lawlor, Stettler is part of a larger collective of municipalities pressing for new options. He added that “when people come through our region, they use our airports, they come into our libraries, they walk into our visitor centres — and those all cost us to operate.”

The issue is not only urban; small and rural municipalities say they are bearing costs tied to tourism and visitor traffic without necessarily receiving dedicated funding to support them. For example, libraries are described as “community hubs” that provide job-searching resources, newcomer assistance and educational programs, all of which are expanding in demand. Yet, per‐capita provincial grants for libraries have remained virtually unchanged for years, even as inflation and population growth have increased the strain.

Airports, especially in regional locales, also figure prominently in the discussion. Some smaller community airports support emergency medical transfer, firefighting operations and other critical regional services — yet their infrastructure is aging and funding remains limited.

Mayor Lawlor pointed out the practical reality that these services are interconnected: “If we don’t have strong visitor infrastructure, or if the library can’t keep up with changing needs, the whole community feels it,” he noted. He went on to say the conversation is about more than new amenities: “It’s about whether we can keep the basics strong while adapting to changes in how people live and how people visit our town.”

Provincial policy changes under discussion include potential revenue‐tools that would let municipalities generate funds linked to tourism activity rather than relying solely on property taxation. One such mechanism is the so‐called “visitor tax” or “municipal accommodation tax,” which has been used in other provinces and cities to have visitors contribute to the cost of infrastructure and services they use. Proponents say this helps ensure the burden does not fall disproportionately on residents.

For towns like Stettler, the broader economic picture is relevant. The visitor economy in Alberta is viewed as an engine of growth and diversification. Local governments contend they must be empowered to participate in that growth in a sustainable way. Lawlor added: “We don’t want to hamper growth. We want to manage it so our residents and visitors both benefit.”

As the provincial government evaluates its next steps, municipalities are awaiting clearer pathways and frameworks. For now, the message from towns like Stettler is consistent: service expectations are evolving, and funding mechanisms must evolve too. The question is how to balance ambition and capacity in communities of all sizes.

In the end, the conversation reflects a modern reality for Alberta’s towns: the services that once served only local residents are now part of a broader network of regional, provincial and even global flows. Ensuring that the network is adequately supported may require rethinking long‐held funding models and policy assumptions.