GOLDBERG: Council’s plans to send Calgarians’ water bills soaring needs second look

Article content

Water bills for the average Calgary resident are poised to soar under the plan laid out by Mayor Jeromy Farkas and city council to tackle the city’s water infrastructure backlog. Between 2027 and 2030, Calgarians would see their water bills rise by 74%, meaning the average customer would pay about $1,053 more each year by 2030 compared to this year. All the while, Calgary city council is also said to be weighing a 15% property tax increase for 2027.

At a time when nearly 50% of Canadians say they’re $200 away from not being able to pay their bills, that’s an increase Calgarians can ill afford.

Article content

Recommended Videos

Article content

Article content

‘Cost to our infrastructure’

Farkas seems to think Calgarians will get on board with such a significant increase due to the scale of the infrastructure problem.

“I think Calgarians realize there’s a cost to our infrastructure,” said Farkas. “And we could artificially lower the amount of money that’s being spent, we could artificially lower the rates that are being charged, but that pushes down the road a future cost that only snowballs.”

But Farkas and his fellow politicians may not be thinking about the full scale of the cost of such an increase.

Calgary has seen its population boom as one of Canada’s fastest-growing cities. Alberta’s tax advantage, coupled with the province’s strong economic growth, has made Calgary an attractive place for Canadians to relocate.

All of that could change if taxes and fees start rising at rates newcomers and current residents alike simply cannot afford.

And then there’s the impact that moves beyond residential.

Article content

Article content

Large-scale businesses like brewers, the construction sector, hotels, restaurants, and the beverage industry all use a significant amount of water to operate. A cost increase this dramatic in scale could drive businesses out of Calgary, send tourism costs soaring, and make it more expensive for Calgarians to even dine at a restaurant.

And according to the city’s Executive Committee, large-scale businesses will be hit even harder than the average household, with the average large-scale customer expected to see monthly water bills rise by 95% within three years.

If property taxes are at risk of being raised 15% in 2027, imagine what politicians are going to have to do if businesses start shutting their doors because they cannot afford increased costs.

Higher taxes and fees aren’t just a recipe to drive away residents; they’re a recipe to drive away businesses, tourism, and future investment.

Councillors raise concern

Thankfully, the sentiment on council doesn’t appear to be unanimous. Coun. Dan McLean, who represents Ward 13, noted while there is investment in infrastructure that does need to be made, it’s also necessary to “find some savings on the other side.” Coun. Jennifer Wyness, who represents Ward 2, also talked about the “need to keep it affordable” and pointed to the possibility of more senior levels of government stepping in to assist with infrastructure funding.

Article content

Whether Calgary’s politicians can convince other levels to step in and help the city upgrade its aging water infrastructure remains to be seen. But either way, imposing such a steep increase on residents and businesses cannot be the path forward.

Council will vote on the proposed water rate increase by the end of October, with council’s executive committee already having approved the plan in an 8-2 vote.

If you don’t want to see water rates soar, businesses leave, and tourism decline, the time is now to reach out to local politicians and make your voice heard. Farkas and the rest of council need to know their plan is unaffordable for residents and businesses and cannot be allowed to stand as-is.

Jay Goldberg is the North American Affairs Manager at the Consumer Choice Center

Article content