Kneehill County council approved the cancellation of $63,269.66 in tax arrears on industrial and linear tax accounts for five companies during the regular Tuesday, October 11 council meeting.Along with cancelling the tax arrears, council also directed administration to apply for the Provincial Education Requisition (PERC) and Designated Industrial Requisition (DIRC) credits to recuperate the provincial portion of these levies, which were already paid to the province by the municipality, when applications open in January 2023.
“In anticipation of this situation, the (Kneehill County) Operating Budget for 2022 provided for a $1 million cancellation budget,” explained Property Tax officer Caroline Siverson during the meeting. “Completing this cancellation prior to October 31 will avoid any penalty accrual, which artificially inflates the year-end surplus, if any.”
Ms. Siverson noted the four companies to which the industrial accounts belonged-Manitok Energy Inc., Lexin Resources Ltd., Arrow Point Oil and Gas Ltd., and Canyon Oil and Gas Corporation-have all been dissolved and their remaining assets have been turned over to the Orphan Well Association (OWA).
The 2022 levies for these accounts total $33,813.35, including $5,140.87 in provincial education requisitions and $134.76 in designated industrial requisitions.
Administration also requested to cancel $29,456.31 in 2022 tax arrears for three Trident Exploration sites. PERC and DIRC credits were applied for and collected in 2021 on these tax rolls; however, Ms. Siverson noted levies were incurred on an additional 30 active sites which have also been turned over to the OWA. Administration requested approval to apply for these credits, totalling $2,788.99, in January 2023.
Ms. Siverson noted Trident Exploration has gone into receivership and administration has been working with its legal counsel to collect a portion of these funds from the receiver on behalf of Trident. However, despite their efforts, no tax payments have been made since the receiver took over management in May 2019 and administration is currently waiting for advice and direction from the courts.
Council acknowledged its appreciation for the efforts administration has put in to clear these uncollectable arrears from its ledger. Cancellation and application of provincial credits was unanimously approved by council.

Kneehill County council passed an amendment to its Land Use Bylaw to redesignate a portion of Agriculture farmland south of Linden to Country Residential and Recreation district to allow the landowners to begin development process at the regular Tuesday, October 11 council meeting.
A public hearing regarding the proposed redesignation was held on September 13 before it came back before council for second and third reading consideration at the September 27 meeting. Although second reading was passed, third reading was initially defeated until later in the meeting when Division 1 Councillor Faye McGhee moved to reconsider the motion and table it until the next council meeting.
“(The landowners) are looking to create two specific uses on the (property),” Planning and Development officer Brandy Hay-Morgan shared during the meeting.
Ms. Hay-Morgan explained the land being proposed for the Country Residential use, located approximately one mile south of the Village of Linden, is currently cropped, but is rated as “quite poor farmland.”
The land has also been rated as a Level 5 significant historic site for archaeological reasons and, as such, would also require permits from the Alberta Culture and Status of Women prior to development.
During the public hearing, adjacent landowners expressed concerns about the development-particularly the Country Residential development-and how it would impact their existing confined poultry feeding operation.
Ms. Hay-Morgan noted minimum setback requirements for poultry is “considerably lower” than it is for other types of livestock, such as cattle. She further noted there are other residences closer in proximity than the proposed Country Residential development and who would be considered adjacent landowners if the confined feeding operation ever applied for expansion.
Along with the proposed Country Residential development, the landowners are also hoping to develop a 7.2 acre Recreational development with Airbnb cabins, a common kitchen area, and the potential for some RV hookups.
There are also some historic looking buildings on the property which are being proposed to be relocated for this purpose.
Councillor McGhee lifted the tabled motion to allow third reading, which passed with a vote of three opposed and four in favour.