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Alberta

Equalization Program grows to record $20.9 Billion – Fairness Alberta looking to Ontario and BC for support

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This article submitted by Fairness Alberta

FAIRNESS ALBERTA: RECORD EQUALIZATION PAYMENTS IN BUDGET ARE UNFAIR, UNAFFORDABLE, AND UNNECESSARY

Fairness Alberta has released an analysis highlighting how this year’s federal budget allocates a record $20.9 billion to the Equalization program and plans to hike payments to so-called ‘have not’ provinces by 20% over the next four years.

Fairness Alberta Executive Director Dr. Bill Bewick is calling on Canadians in British Columbia and Ontario in particular – who will pay roughly $2,400 per family of four this year into payments for others – to join Albertans in demanding Equalization reform.

“The $20 billion-and-growing price tag for Equalization payments to 30% of the country is not just unaffordable, it is totally unfair and unnecessary given how much the gap between the ‘have’ and ‘have not’ provinces shrunk since 2015,” said Dr. Bewick. “When you consider the higher costs and budget struggles in places like Ontario, B.C., and Alberta, it is unacceptable to take so much from them to fund other provinces’ budgets, and outrageous that this would increase by 20% over the next four years.”

Fairness Alberta used the most recent Library of Parliament breakdown of federal revenues by province to estimate the share of Equalization funding that comes from each province, and broke it down to a per capita basis.

Alberta families are contributing about $2,700 to cover this year’s record Equalization payments, and Ontario and B.C. families are on the hook for about $2,400 each at a time when every provincial government is under tremendous strain.  Fairness Alberta recently called for a rebate to contributing provinces until a new formula is worked out or Equalization is scrapped altogether.

“The 67% of Canadians in the contributing provinces were struggling with their own provincial services even before COVID-19,” said Dr. Bewick.  “Given the collapse of the wealth gap between provinces, the ‘have’ provinces should get the share of Equalization that came from their taxpayers rebated until serious reforms are made.”

As Dr. Bewick outlined recently in the National Post, even a 50% rebate would mean a bump to provincial budgets of $4 billion in Ontario, and $1.5 billion being returned to B.C. and Alberta as provincial responsibilities like health care come under strain.

Fairness Alberta is a grassroots, non-partisan, and non-separatist association of concerned citizens, aiming to increase awareness across the country related to Albertans’ major contributions to Canada, while also providing clear, factual information on unfair federal policies that are anticipated to undermine the prosperity of Alberta and other contributing provinces further.

Fairness Alberta previously released analysis and recommendations for reforms to Equalization and the Fiscal Stabilization program, with an overview of fiscal federalism as well at fairnessalberta.ca.

Our previous releases, interviews, columns, and presentations to the House of Commons Standing Committee on Finance can be found in the NEWS section of our website. For more information on Fairness Alberta, its mandate, and future plans, please visit our website at www.fairnessalberta.ca.

For further information or to arrange interviews, please contact:

Bill Bewick, Ph.D.
Executive Director
Fairness Alberta
Cell: (780) 996-6019
Email: [email protected]

Background Calculations:

Ben Eisen and Milagros Palacios recently published a reportshowing the “Great Convergence” in provincial fortunes since the 2015 energy downturn.  While the gap between the median ‘have’ and ‘have not’ fell from $5000 per person in 2015 to only $1600 now, Equalization payments grew by 23%. This year’s $20.9 billion windfall to 5 provinces with one-third of the population is budgeted for $25.1 billion in 4 years.

Using the contribution rates to federal revenues by province last updated here we broke down Equalization funding per capita as follows:

Alberta

From Cafe Owner to Political Activist at the heart of the Alberta Prosperity Project

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The COVID pandemic has turned Central Alberta Cafe Owner Chris Scott into nothing short of a lightning rod.

Many business owners grumbled and suffered through a couple years of mayhem due to wave after wave of COVID and the various restrictions affecting day to day operations.  Where most business owners zigged, Scott, as they say… zagged.

Chances are you know something about his story as he’s been in the news and seemingly on a never ending speaking tour ever since this all started.

You likely won’t be surprised to know Chis Scott is still operating his cafe, still facing court charges, and heavily involved in trying to influence Alberta politicians.

No matter what side of this discussion you fall on, no matter what you think of the business owners, doctors, and religious leaders who stood in defiance of covid restrictions, this conversation will help you understand where those who have emerged as leaders of those who stood up to the health restrictions are putting their attention in the summer of 2022.

If you’re interesting in learning more about the Alberta Prosperity Project.

If you’re interested in WS Full Steam Ahead

 

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Alberta

Voting deadline looms in race to replace Jason Kenney as Alberta UCP leader, premier

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EDMONTON – It’s deadline day to buy $10 Alberta United Conservative Party memberships to vote for the next leader and premier.

The party is accepting drop offs by 5 p.m. and online memberships until midnight.

The party will then go through the memberships and confirm information and expects to have the final tally ready in two weeks or so.

Seven candidates are on the ballot seeking to replace Premier Jason Kenney in the party’s top job.

Kenney announced in May he was quitting after receiving a lukewarm 51 per cent support in a party leadership review.

The next key date in the race is the second debate, slated for Aug. 30 in Edmonton.

The candidates have been proposing a range of policy ideas from health care to education reform, but the focus of debate has been on how to leverage Alberta’s relationship with the federal government to get a better deal in areas such as equalization.

This report by The Canadian Press was first published Aug. 12, 2022.

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