Chestermere residents have been left bewildered as the city faces another investigation, this time following the city council’s persistent efforts to grant a substantial tax refund exceeding $100,000 to a landowner. Concurrently, city employees are executing cleanup operations on the privately owned land, with the property owner asserting that he bears no cost for these services.
Calls for Transparency
Official Administrator Doug Lagore, highlighting the absence of responses from city officials to requests for clarification, has quashed council’s latest endeavor to initiate the $110,000 tax refund. This refund was intended to cover approximately 25 percent of the owner’s payments spanning the past 12 years.
In response, Lagore has taken the step of requesting Municipal Affairs Minister Ric McIver to appoint an impartial third-party investigator to delve into this complex matter. McIver’s office has confirmed that the minister is presently reviewing Lagore’s request.
City in the Spotlight
Should this investigation proceed, it would mark the second provincial probe launched since Mayor Jeff Colvin and his council assumed office in 2021. The first investigation, a rare municipal inspection, is currently a subject of legal contention initiated by the city. This initial investigation culminated in the province issuing a dozen binding directives to Chestermere in March, mandating compliance. Failure to adhere to these directives could potentially result in the removal of the mayor, councillors, or city officials.
The Contested Land
At the heart of this ongoing controversy lies a property that formerly housed a defunct waterpark in Chestermere. Situated beside a Highway 1 interchange on the city’s eastern fringes, the land has remained unused for the better part of the past two decades. Allegedly, this dormancy is due to restrictions imposed by Alberta Transportation, which has earmarked the site for an upcoming highway realignment.
Taxation Troubles
Jarnail Sihota, the property owner in question, has voiced his concerns over soaring property taxes despite his constrained ability to develop the 18-acre parcel. In 2009, when the city annexed the land, Sihota’s property taxes amounted to just under $4,000 annually. By 2010, this figure had surged to $20,000, and in 2022, he was required to pay a staggering $37,000.
Sihota contends that he brought this matter to Mayor Colvin’s attention earlier this year, leading to meetings with the mayor and deputy mayor, which set the wheels in motion for the potential refund.
City Response
Kim Wallace, Chestermere’s City Director of Corporate Services, commented, “The owner came to our council and asked for this injustice to be looked into. Council determined they had been severely overcharged.”
“Unfortunately, the (official administrator) has put a stop to the partial refund,” she added.
An Unresolved Issue
Throughout the summer, council made three attempts, including two in closed-door meetings, to pass resolutions authorizing the refund. However, each of these resolutions was vetoed by Lagore, adding to the growing controversy.
Demands for Clarity
Lagore, who was appointed by the province over a year ago to monitor the council’s decision-making, suggests that the new investigation focus on council members’ actions concerning the property. This would encompass dealings with the landowner, participation in administrative meetings, and the city’s undertaking of remedial work on the property.
As this investigation unfolds, Chestermere residents await clarity on this complex matter, alongside ongoing inquiries raising questions about the city’s governance and decision-making processes.
