Alberta
Door opening for fan increase for minor-sports?
No surprise that the COVID pandemic has eliminated many high-profile sports in the last 100 days or so, and that promoters are struggling to get back to work. What may be a shock is that many officials tied to low-profile sports see an opportunity to fill the gap with events that normally receive only limited space on the back pages – if they get any media attention at all.
One of those who sees the opening, and welcomes it, is a man intimately connected with university, junior and age-class versions of his sport at all levels.
Enthusiastic comments are part of the Tim Enger personality; he played and coached this game before stepping into administration and ultimately becoming executive director of Football Alberta. It’s a big plus that he tempers his optimism with the basic understanding that the NHL, NFL, NBA, MLB and others are sure to draw the bulk of fan and media support as soon as massive problems with border access, real or feared boosts in infection totals and growing disputes between players and ownership are settled. The Canadian Football League cannot be added to this list because there has been no clear indication that any games will be played in 2020.
The timing of Enger’s comments is commendable. So is his understanding that a lot of professional supporters are reluctant to watch unknown amateurs do their thing. “We know that not every game is a thriller,” he conceded. “But most of our games provide a good level of excitement.”
Obviously, the major difficulty right now is tied to coronavirus reduction. Grid schedules will not be settled for quite awhile. “In Alberta (Step 2 of the recovery process), junior teams have permission to practice in cohorts of 50. Basically, that’s an offensive group and a defensive group. They haven’t been approved for larger numbers, so there are no full-team workouts at this point.
“We (Football Alberta) stay in contact with the health minister and Alberta Health Services,” said Enger, happy that his small staff is back at headquarters in the Percy Page Centre after two months of working almost exclusively at home. “There has been no sign of when Tier 3 will go into effect, so all we can do is wait.”
Tentative schedules have been designed. Obviously they’ll be adjusted as necessary.
He anticipates at least a partial junior schedule this season, perhaps starting in August with the Edmonton Huskies, Edmonton Wildcats and Calgary Colts filling some dates. Clashes with Saskatchewan and Manitoba teams are iffy these days because provincial rules vary on border access and possible isolation.
“There has been talk of a Manitoba-Saskatchewan connection, with a possible playoff between the two groups. We’ll have to wait and see.”
The Prairie Junior Conference outlook changes radically from high school programs,” he said. They deal with school boards, principals and the ASAA (Alberta Schools Athletic Association.) Their road to competition might be quite a bit longer than ours.”
Already, the University of Alberta decision to give the Golden Bears a year off has negatively affected provincial football. For those concerned that they may be done for good, it’s pleasant to recall what happened when athletic director Dale Schula announced the sport had been chopped in 1991. The Bears alumni stepped up to raise enough money to keep the program alive. Two years later, then-coach Tom Wilkinson – one of Canada’s leading sports heroes, in many opinions — led a drive to raise another $400,000 when tight university economics threatened a final end to Golden Bears football.
From the Fraser Institute
By Spencer Gudewill and Tegan Hill
Last November, Premier Danielle Smith announced that her government will give up to $1.8 billion in subsidies to Dow Chemicals, which plans to expand a petrochemical project northeast of Edmonton. In other words, $1.8 billion in corporate welfare.
And this is just one example of corporate welfare paid for by Albertans.
According to a recent study published by the Fraser Institute, from 2007 to 2021, the latest year of available data, the Alberta government spent $31.0 billion (inflation-adjusted) on subsidies (a.k.a. corporate welfare) to select firms and businesses, purportedly to help Albertans. And this number excludes other forms of government handouts such as loan guarantees, direct investment and regulatory or tax privileges for particular firms and industries. So the total cost of corporate welfare in Alberta is likely much higher.
Why should Albertans care?
First off, there’s little evidence that corporate welfare generates widespread economic growth or jobs. In fact, evidence suggests the contrary—that subsidies result in a net loss to the economy by shifting resources to less productive sectors or locations (what economists call the “substitution effect”) and/or by keeping businesses alive that are otherwise economically unviable (i.e. “zombie companies”). This misallocation of resources leads to a less efficient, less productive and less prosperous Alberta.
And there are other costs to corporate welfare.
For example, between 2007 and 2019 (the latest year of pre-COVID data), every year on average the Alberta government spent 35 cents (out of every dollar of business income tax revenue it collected) on corporate welfare. Given that workers bear the burden of more than half of any business income tax indirectly through lower wages, if the government reduced business income taxes rather than spend money on corporate welfare, workers could benefit.
Moreover, Premier Smith failed in last month’s provincial budget to provide promised personal income tax relief and create a lower tax bracket for incomes below $60,000 to provide $760 in annual savings for Albertans (on average). But in 2019, after adjusting for inflation, the Alberta government spent $2.4 billion on corporate welfare—equivalent to $1,034 per tax filer. Clearly, instead of subsidizing select businesses, the Smith government could have kept its promise to lower personal income taxes.
Finally, there’s the Heritage Fund, which the Alberta government created almost 50 years ago to save a share of the province’s resource wealth for the future.
In her 2024 budget, Premier Smith earmarked $2.0 billion for the Heritage Fund this fiscal year—almost the exact amount spent on corporate welfare each year (on average) between 2007 and 2019. Put another way, the Alberta government could save twice as much in the Heritage Fund in 2024/25 if it ended corporate welfare, which would help Premier Smith keep her promise to build up the Heritage Fund to between $250 billion and $400 billion by 2050.
By eliminating corporate welfare, the Smith government can create fiscal room to reduce personal and business income taxes, or save more in the Heritage Fund. Any of these options will benefit Albertans far more than wasteful billion-dollar subsidies to favoured firms.
Authors:
Alberta
Official statement from Premier Danielle Smith and Energy Minister Brian Jean on the start-up of the Trans Mountain Pipeline
-
Business2 hours agoUN plastics plans are unscientific and unrealistic
-
Brownstone Institute5 hours agoThe Teams Are Set for World War III
-
Education1 day agoSupport a young reader through the Tim Hortons Smile Cookie campaign
-
Opinion3 hours agoThe Climate-Alarmist Movement Has A Big PR Problem On Its Hands
-
Addictions4 hours agoWhy can’t we just say no?
-
Automotive2 days agoVehicle monitoring software could soon use ‘kill switch’ under the guise of ‘safety’
-
Opinion2 days agoClimate Murder? Media Picks Up Novel Legal Theory Suggesting Big Oil Is Homicidal
-
Addictions2 days agoCity of Toronto asks Trudeau gov’t to decriminalize hard drugs despite policy’s failure in BC