Lacombe County approves 2026 operating and capital budgets

By Lacombe County - Nov 27, 2025

General

Lacombe County Council has approved the County’s 2026 operating and capital budgets, following a detailed review at the November 25, 2025, Budget Meeting. The 2026 budgets focus on maintaining strong service levels, planning for long-term growth, and keeping tax rates stable for residents and businesses.

“The 2026 budget keeps Lacombe County on a steady and responsible financial path,” said Michael Minchin, Director of Corporate Services. “We are able to maintain our services, invest in important infrastructure, and support our communities while carefully managing inflation and rising costs.”

Council emphasized that the budget reflects the County’s commitment to financial responsibility and service excellence.

“We are proud of this balanced budget,” said Reeve John Ireland. “Each year, Council collaborates with Administration to establish spending priorities that align with the County’s 2022–2027 Strategic Plan and its long-term financial framework. We are confident this budget supports the needs of our residents today while ensuring we continue to plan wisely for the future.”

2026 Operating Budget

The $80.3 million operating budget covers the day-to-day services residents rely on—such as road maintenance, fire services, enforcement, parks, water and wastewater services, and community recreation supports. It also includes $16.8 million in provincial requisitions for education, seniors housing, and Designated Industrial Properties.

Key points from the operating budget:

Continuation of 2025 service levels, adjusted for a 2% inflation factor (excluding labour), including operational support to urban and rural recreation facilities.
A one-time $1.08 million contribution to the Water/Wastewater Reserve for future projects.
Change in air photos updates from a four-year cycle to a three-year cycle.
Implementation of Records Management initiatives – supports Information Governance and SharePoint implementation.
Wastewater servicing study on the south shore of Sylvan Lake.
Collaborating with our urban partners in the development of a Lacombe Lake Management Plan, Gull Lake Water/Wastewater Feasibility Study, and Labour Market Partnership study.
Annual provincial grants through the Local Government Fiscal Framework and Canada Community Building Fund.

2026 Capital Budget

The $29.0 million capital budget represents a 1.49% increase from 2025 and continues the County’s emphasis on road improvements, bridge replacements, recreation projects, and utility upgrades.

Highlights from the 2026 capital plan include:

$16.8 million in road infrastructure, including new paving in two country residential subdivisions.
Three bridge replacement projects totalling $2.35 million.
$3 million for the Tees Truck Fill Station (continued from 2025).
$2.5 million in recreation capital projects.
$750,000 for the Aspelund Industrial Park storm pond.
$500,000 for new accounting software implementation.

Capital funding sources include:

$16.97 million from capital reserves
$7.92 million from tax-supported operations
$3.74 million in capital grants
$392,040 in equipment trade-ins

More than 58% of capital funding comes from reserves that the County has built over time, reflecting long-term planning and a commitment to avoiding debt.

UNDERSTANDING THE BUDGET PROCESS

Lacombe County uses a two-stage approach to finalize its budget each year. This means the approval of the 2026 budget does not set tax rates. Property tax rates will be set in the spring.

Stage 1 – Budget Approval (November/December)

The Council approves the operating and capital budgets, allowing the County to begin work on January 1, 2026. These budgets are based on preliminary assessment information and estimated requisitions.

Stage 2 – Tax Rate Bylaw (April/May)

Council sets the year’s municipal tax rates in the spring, once:

· Final assessment values are confirmed,

· Requisitions for Provincial Education levy and Seniors Housing are received, and,

· Any required budget adjustments are known.

You can see the 2026 Capital and Operating budgets on our website.

Budget and Finance

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