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CITY HALL

Medicine Hat council to consider $4M electric generation funding request and business fee change

Aug 17, 2026 | 1:50 PM

Medicine Hat City Council is set to consider a funding request of more than $4 million for electric generation at its meeting on Monday, as well as business licensing fees and revisions to the dates of upcoming council budget meetings.

During the public portion of the meeting, council will consider a recommendation to reallocate $4.005 million in working capital for electric generation.

The money would go toward high-pressure steam system valves on units 10 and 11, upgrades and inspections at Pumphouse 7, and the replacement and overhaul of a combustor on Unit 11.

The Unit 11 work is already underway after a crack was found during a routine inspection, while the Pumphouse 7 work is intended to address aging equipment and prevent potential disruptions to plant operations.

Council will also consider proposed changes to Medicine Hat’s business licence fees.

Administration is recommending the current fee structure remain in place for the rest of 2026, with changes taking effect Jan. 1, 2027.

The proposal would remove Tier 4, move businesses in that category into Tier 3 or Tier 2, and reduce fees across the remaining tiers.

Also, in the recommended 2027/28 proposed Business License Fees, Tier 1 would have no fee, $190 to $225 for Tier 2, $390 to $450 for Tier 3 and $2,500 for the highest tier, formerly Tier 5.

The non-resident fee would be $500, with a $50 administration fee in specific circumstances.

The changes follow complaints from some businesses after the city introduced a new tiered licensing system for 2025 and 2026.

Fees would be tied to the level of work and regulatory checks required for different businesses, simplifying the overall fee structure.

The city has about 3,500 active business licences, as business licensing revenue increased from about $667,000 in 2024 to more than $1 million in 2025, while the 2025 budgeted revenue target was about $854,000.

Administration said the proposed changes would reduce the city’s licensing revenue but keep it within the projected 2027/28 budget, so an amendment to the 2026 budget would not be required.

The proposed changes would require an amendment to the city’s Licensing Bylaw, with council being asked to direct administration to prepare for the changes as part of the 2027/28 budget cycle.

Council will also consider changes to its upcoming budget meeting schedule, including cancelling the Oct. 13 meeting and adding one for Oct. 27.

Another item on the agenda is the first reading of Bylaw 4893-2026, which would address the city’s Subdivision and Development Appeal Board.

Councillor Chris Hellman has submitted a notice of motion concerning the protection of water, source water and water quality.

The meeting follows a series of summer committee meetings, including budget, governance, public services, energy, land and environment, and development and infrastructure discussions.

The closed session is expected to include discussions on the city budget, a legal update, a land matter and a potential shelter site.

Council is to begin the closed session at 2:45 p.m., with the public meeting starting at 6:30 p.m.

— August 17, 2026 Council Meeting – City of Medicine Hat YouTube