A new provincial sales tax would be very detrimental to Fort MacMurray according to local leaders and business owners. Many in the local Fort MacMurray community are warning that the proposed tax could cause the entire Wood Buffalo area to see higher living expenses and make it very difficult for small businesses and lower income residents to survive. In recent months the treasury of Alberta has seen an increasing shortfall because oil prices have been steadily dropping, and Premiere Jim Prentice floated the idea of a provincial sales tax in order to make up for the millions in losses for oil revenue. In fact Prentice warned that failing to pass the proposed sales tax could leave Alberta with a shortfall of $7 billion.

When discussing the provincial sales tax Fort MacMurray Mayor Melissa Blake said “I recognize change is imminent during challenging times but I am not sure if a tax on sales is the way to go. When I think of a new tax, I think about the wage gaps in our community from low-income earners, such as in the hospitality and service sector, compared to those in the oilsands and higher paid industries.” Blake continued by stating “If there is a recessed economy or serious slowdown, that has fewer people going to local businesses. Certainly, considerations become more dire for anyone purchasing goods.” Nick Sanders, the President of the Fort McMurray Chamber of Commerce, told the media that “Before we go down that road, let’s look at our provincial expenditures. We definitely see it as an absolute and desperate last resort. Not having a sales tax seems to be something Albertans hold sacred. There are just other levers available for the province right now.”