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Canmore Livability Tax Program


Today, we’re diving into a story that has sparked debate not just in the mountain town of Canmore, but across Alberta about the scope of municipal authority and the role of taxation in shaping communities.


For several years, Canmore has faced a housing crunch. Sky-high real estate prices, limited rental availability, and an influx of second-home owners have put pressure on local residents and municipal services alike. In response, the town introduced what it calls the Livability Tax—a levy aimed at properties that remain largely vacant, with the goal of encouraging more homes to be lived in year-round and raising revenue to support affordable housing initiatives.


But the tax hasn’t been without controversy. Opponents have argued it’s discriminatory, unfair to property owners, and possibly beyond the town’s legal authority. In fact, multiple parties—including developers and individual homeowners—challenged the bylaw in court, claiming Canmore overstepped its jurisdiction by creating a subclass of residential properties subject to this levy.


The legal battle went all the way to the Alberta Court of Appeal. On Thursday, the court issued its ruling: Canmore’s Livability Tax stands. The three-member panel concluded that the town had acted within its authority, rejecting claims that the bylaw improperly delegated powers or exceeded municipal jurisdiction.


For Canmore’s mayor, Sean Krausert, the ruling is a validation of a policy designed to tackle one of the town’s most pressing challenges. He describes it as “solid legal ground” for a program intended to increase housing availability for average residents while supporting the community’s long-term sustainability.


But the debate is far from over. Critics maintain that the tax could divide the community and question whether it will truly achieve its stated goals. And beyond Canmore, municipalities across Alberta are watching closely, because the ruling underscores a larger principle: the discretion local councils have to address the unique needs of their communities, even amid provincial oversight.


Today, we’ll talk with Mayor Sean Krausert about the road to this court ruling, what it means for Canmore residents, and how municipalities can responsibly innovate when it comes to taxes, housing, and local policy.


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