City of Lloydminster Council Chamber (File photo/battlefordsNOW)
MUNICIPAL MATTERS

Lloydminster approves 2026 budget with 4.08% tax hike and major infrastructure spending

Nov 26, 2025 | 5:00 PM

Lloydminster city council has approved its 2026 municipal budget, passing a 4.08 per cent property tax increase that city officials say is needed to maintain services, fund water and road upgrades, and keep long-term infrastructure plans on track.

The $119.3-million operating budget and $29.9-million capital plan were adopted Monday. According to the city’s budget presentation, nearly 40 per cent of operating spending goes toward salaries and benefits, while inflation, higher construction costs and aging infrastructure continue to put pressure on day-to-day expenses.

Environmental Services — which manages water, sewer and waste — represents the largest share of the capital budget at 53 per cent, followed by Transportation Services at 27 per cent.

“The approved 2026 budget positions us to maintain essential services while continuing to invest in the infrastructure our community relies on every day,” City Manager Dion Pollard said.

“This year’s budget reflects careful planning, collaboration, and a commitment to meeting both immediate needs and long-term priorities.”

What the tax increase means for residents

The approved 4.08 per cent municipal tax increase will result in the following estimated monthly impacts:

Residential

  • $250,000 home — $6 per month
  • $350,000 home — $9 per mont
  • $500,000 home — $13 per month

Non-residential

  • $500,000 commercial property — $24 per month
  • $1 million commercial property — $48 per month

The city notes these estimates do not include the impact of new 2026 assessment values, which will be applied when the mill rate bylaw is finalized in the spring.

Key capital projects in 2026

The top five capital projects include:

  • $4.5 million — Central Business District Replacement Program (Phase 1B)
  • $3 million — 2026 Water and Sewer Replacement Program
  • $3 million — Replacement of 14 fleet units
  • $2.7 million — 2025 Street Improvement Program
  • $1.5 million — Clarifier structural repairs

Stormwater upgrades, planning for future growth areas, photo-radar-funded playground improvements and transportation network work are also included.

The city’s 10-year capital plan identifies $474 million in unfunded projects, something administration says will require steady reserve contributions and long-term financial planning.

Administration will begin implementing the budget January 1. The mill rate will be finalized in the spring once assessment notices are issued. Council also accepted the operating plans for 2027–2029 and the 10-year capital plan in principle.

cjnbnews@pattisonmedia.com

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