2026 Potash Tax Sharing estimates show big increases for some municipalities, decreases for most due to changed area of influence
December 8, 2025, 10:57 am
Nicole Taylor, Local Journalism Initiative Reporter
The 2026 Potash Tax Sharing estimates have been sent to municipalities in the Esterhazy and Rocanville area of influence, and while some municipalities will see significant increases in potash tax sharing dollars—including one increase as large as 165 per cent, and another as large as 99.62 per cent—the majority of municipalities in the area will see decreases, in some cases resulting in no potash tax sharing dollars going to those municipalities at all in 2026.
Municipal potash tax sharing is a redistribution of municipal tax levies on potash mines among eligible rural and urban municipalities.
Municipalities were made aware that effective Jan. 1, 2026, overlapping areas of influence for potash mines will no longer be applicable. Instead, there will be an area of influence for each potash mine where ore is brought to the surface.
Potash tax sharing calculations are being based on the areas of influence for each producing mine. In the Esterhazy area, the mines are Mosaic K3 mine (which includes the operations at K1 and K2) and Nutrien Rocanville mine (which includes the operations at Scissors Creek).
As a result of this, eight municipalities will see increases in the amount of potash tax dollars they receive in 2026. The largest increase is for the Village of Spy Hill, which will see their potash tax share go up 165.30 per cent in 2026, resulting in an additional $15,610 for the village for a total of $25,054.40.
The second largest increase is for the town of Rocanville, which will see an increase of 99.62 per cent, resulting in an additional $193,375.60 for the town in 2026 for a total of $387,493.30.
The RM of Spy Hill will see a 28.77 per cent increase, resulting in an additional $496,827.51 for a total of $2,223,842, and the RM of Moosomin will see a 20.19 per cent increase, resulting in an additional $56,492.22 for a total of $336,316.74. The RM of Rocanville will see an increase of 2.52 per cent, which results in an additional $55,169.64 for the RM, for a total of $2,248,587.04 in 2026.
Other municipalities that will see increases are the RM of Langenburg (3.8 per cent), the Village of Gerald (15.59 per cent), and the village of Tantallon (15.59 per cent).
Eighteen municipalities will see decreases in potash tax sharing dollars, and two municipalities—the RM of Silverwood and Town of Wapella—will no longer receive any potash tax sharing dollars in 2026, with decreases of 100 per cent.
Some of the biggest dips in potash tax sharing dollars are to the RM of Fertile Belt, which will see a decrease of 14.54 per cent or $205,696.99, the RM of Martin which will see a decrease of 53.8 per cent or $142,945.39, and the town of Esterhazy, which will see a decrease of 34.32 per cent or $127,319.70.
What changed
The Ministry of Government Relations explained in an email last week how things have changed for calculations in 2026.
“ Currently, there are three overlapping areas of influence used to determine potash tax sharing, each containing several mines. Starting in 2026, each potash mine will have its own distinct area of influence. This change will result in some municipalities having increases/decreases in their potash revenues,” said the ministry in an email.
“The Municipal Potash Tax Sharing Administration Board collects the potash mine property taxes remitted by the taxing rural municipalities and distributes these funds among eligible rural and urban municipalities (except cities) within an area of influence of 32.2 kilometres of a potash mine.
“In 2025, potash tax sharing totaled $21.1 million, distributed among 107 municipalities. In 2026, the estimated potash tax sharing is expected to increase to $22.2 million, to be shared among 105 municipalities, down due to changes to eligibility. There are currently 11 potash mines in the potash tax sharing areas operated by Nutrien, Mosaic, and K+S Potash.”
