Homeowners in Chestermere could see a noticeable increase in the provincial portion of their property tax bills this year, as the amount the city must collect on behalf of the Government of Alberta rises significantly.
City officials say the provincial requisition for Chestermere has increased by approximately 31 per cent. The change means the average homeowner in the community may pay roughly $300 more this year toward the provincial share of their property tax bill.
While property tax bills are issued by municipalities, not all of the money collected stays in the community. A portion is sent to the provincial government through what is known as the Education Property Tax, commonly referred to as the education requisition. Municipalities are required by provincial law to collect the tax and remit it to Alberta to help fund the province’s K-12 education system.
Because the requisition is set by the province, local councils have no authority to adjust or reduce that portion of the tax bill. Instead, municipalities must include the amount determined by the province when calculating overall property taxes for residents and businesses.
The provincial government announced the increase as part of its most recent budget. Education property tax rates will rise to $2.84 per $1,000 of equalized assessment for residential and farmland properties and $4.17 per $1,000 for non-residential properties beginning in 2026.
The province says the additional revenue will help support Alberta’s rapidly growing education system. Funding from the education property tax is pooled into the Alberta School Foundation Fund and distributed to school boards to help cover operating costs such as teacher salaries, classroom materials, and other day-to-day educational expenses.
Across Alberta, the provincial education property tax is expected to increase by roughly $500 million overall under the new budget. The higher rates are intended to help the province cover a larger share of school operating costs as enrolment continues to rise.
However, the increase has raised concerns among some municipal leaders, who note that rising provincial requisitions can limit the portion of property tax revenue that remains available for local priorities such as roads, recreation facilities, emergency services, and infrastructure.
In high-growth communities like Chestermere, the impact can be especially noticeable. With a rapidly expanding population and housing market, the city’s assessment base has grown quickly in recent years. That growth can influence how provincial requisitions are calculated and distributed among municipalities.
Mayor Shannon Dean has acknowledged that the increase will affect residents, particularly at a time when many households are already facing higher costs for housing, utilities, and groceries. City officials say they want residents to understand that the provincial requisition is separate from municipal tax decisions.
Chestermere City Council has not yet finalized the city’s 2026 municipal property tax rates. The municipality is currently operating under an interim budget while council continues deliberations on the final financial plan for the year.
Final property tax decisions are expected in April, when council will determine the municipal tax rate needed to fund local services and infrastructure.
For homeowners, the total property tax bill will ultimately reflect two components: the municipal portion set by city council and the provincial portion set by the Government of Alberta.
As the budgeting process continues, city officials say residents will have an opportunity to review the proposed rates and understand how both levels of government contribute to the final tax bill.
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