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Airdrie’s city council has set several dates for deliberating the 2025 budget over the next few weeks. On Tuesday afternoon, city administration officials presented critical highlights of the proposed operating and capital budgets, outlining their potential impacts on households and businesses. The city’s 2025 operating budget is projected at $228.7 million.
Horacio Galanti, Airdrie's Chief Administrative Officer, said that the proposed budget had been designed to support the financial requirements needed to preserve the high quality of services and the city's infrastructure while also remaining cognizant of the city's financial resources.
"The primary goal of the proposed budget is to manage growth responsibly, inflation and the current global volatility with prudent expenditures while maintaining the high service levels our community expects at the same time, this budget includes key investments such as funds," Galanti said.
He added that the 2025 budget for Airdrie includes funding for the opening of Inspire Airdrie, the new multi-use facility and library, completion of the Southwest Recreation Center design, and upgrades to road infrastructure and water and sewer systems as part of a comprehensive 10-year capital plan.
"This budget can be broken down into two categories: tax-supported and utility-supported operations. During deliberations, the administration will present these two categories separately as changes to the tax-supported operating budget will affect property tax rates. In contrast, changes made to the utility-supported operating budget will primarily affect utility rates," stated Meghan Bigney, Manager of Finance for the city.
Bigney explained that the $14.3 million initially needed to balance the 2025 budget was reduced to $6.2 million. She emphasized that this year's tax revenue will help lessen future requirements.
Airdrie's rapid growth—averaging an additional 5,000 residents each year—is comparable to adding the entire population of Carstairs annually, which brings broader expenses.
This growth presents challenges in expanding and maintaining infrastructure like road networks, transit, and water management systems. While developer levies cover initial infrastructure, once these assets transfer to the city, Airdrie bears the responsibility, adding approximately $30 million in operating costs annually.
"Adequate social support, such as affordable housing, emergency response, and crime prevention become a higher priority, and there’s added pressure for the recreation and cultural facilities that make our city enjoyable and livable," she noted. "It is simply not possible to grow the equivalent of the entire town of Carstairs every year and operate within the same dollars as in prior years."
The 2025 budget proposes a $6.2 million tax adjustment, equating to a 7.5 per cent increase to balance the city’s financial needs.
"This can be broken down to 4.2 per cent required to maintain municipal services, considering growth, and 3.3 per cent for capital investments. It is important to note that this is the starting point for council deliberation in November; the council will have the opportunity to deliberate this tax adjustment and make any changes you see fit."
The 4.2 per cent for municipal services includes the RCMP policing agreement and maintenance of roads, pathways, and parks.
"Capital investments include funds for the lifecycle of the city's $1.3 billion asset base, including buildings, roads, bridges, water, sewer and storm systems, machinery, equipment, and vehicles, as well as the costs associated with bringing on new facilities such as Inspire. The capital investment makes up 3.3 per cent of the total tax adjustment for deliberations."
For the average household in 2024, assessed at $556,000, property taxes will total $3,628. Of that amount, $2,373 will remain with the municipality to fund services for Airdrie residents.
"The remaining $1,255 is paid to the province for education taxes and to Rocky View Foundation to provide low-rental housing units for seniors. Based on growth plus inflation, the average household will pay $2,551 in municipal taxes in 2025."
Those entities determine the amounts for the provincial and Rocky View Foundation taxes. The city collects and passes these taxes on, which will be reflected in the 2025 tax notice to residents in May.
Residents can expect a monthly increase of $17.91 due to municipal tax and utility rate adjustments, reflecting growth and inflation. However, the administration is preparing a range of options for the council to review, with final decisions to be made in November.
Businesses may see changes in municipal taxes, ranging from $403 per year for smaller enterprises to $1,008 per year for larger ones.
The city’s capital budget, including major infrastructure projects like the Southwest Regional Recreation Center and Yankee Valley Boulevard expansions, requires $175 million for 2025, with a total forecast of $1.2 billion over the next decade.
Bigney noted that Airdrie’s 10-year capital plan allocates 11 per cent of its investment to renewing existing infrastructure, while 89 per cent focuses on new projects. Major developments in the next three years include the Southwest Regional Recreation Center and regional land initiatives in 2025, the expansion of Yankee Valley Boulevard, and a wastewater force main to Calgary by 2027.
The city’s per capita debt is expected to peak at $3,391 in 2030, with $1,457 covered by developer levies, leaving $1,934 per resident. As outlined by Alberta Municipal Affairs, the debt levels will stay within provincial limits.
Shannon Schindeler from the city emphasized that the budget was based on the spring economic forecast for the Calgary region but will be reviewed with the fall forecast.
If significant discrepancies arise, they will be addressed during deliberations. She added that the council directed the administration to ensure the tax adjustment reflects growth plus inflation and is communicated to show its impact on homeowners and businesses.
Airdrie is expected to grow at an average rate of 4.7 per cent annually, with solid economic growth and stable inflation around two per cent next year. The council will begin budget deliberations on Wednesday, November 13 and will continue deliberations for several days.
"At the conclusion of deliberations, the council will approve the final 2025 operating and capital budgets along with the associated bylaws," Schindeler added.
The 2025 Budget process, including the Council Deliberation package, will be publicly available starting Wednesday, October 16.
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