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Photo by Curtis Galbraith.
City Hall

City council approves 2026 budget

Dec 9, 2025 | 6:00 AM

City council approved the 2026 budget at its last meeting of 2025 on Monday.

The budget calls for a 4.34 per cent property tax increase. Of that, 2.42 per cent is for city services and 1.92 per cent for the police service; both down from 5.78 and 2.42, respectively, at the start of budget talks

Mayor Jackie Clayton explains how the police number was lowered

“Through further conversations with the police commission, there were some found savings, as well as council took one of the funding sources as Strategic Initiatives, which didn’t have a tax impact as it was a reserve (fund).”

Clayton says that 1.92 per cent works out to over $2 million.

We asked Clayton what kind of feedback the city has gotten from the public since budget deliberations ended.

“The feedback so far is, as council anticipated, it’s unfortunate to see an increase.”

“I can tell you that over the last 10-year average, council has been less than half of the rate of inflation in our increases, so for 10 years running, we’ve been under the rate of inflation in our increases, and we continue to work hard to have that budget number be as affordable as possible.”

Clayton says the city makes decisions to try to be fiscally responsible every day.

“As we understand the impact that any increase has on residential (taxpayers) and businesses and so, it’s never our intent to increase the budget; however, things continue to cost more every single day. Just like they do for you in your household, they do for the city.”

Also with the budget, council approved removing funding from an Avondale Redevelopment Plan and cancelled a second floor project at Keyera Place.

A new Fees & Charges bylaw that includes price increases for some city services and facilities has also been approved.

Council also approved borrowing $7.2 million for the new sports dome, plus adding another $2.8 million for the dome from what are called “other government sources.”

That includes $2.8 million in Intermunicipal Collaboration Framework funding from the County of Grande Prairie.