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Alberta

Location for Red Deer Recovery Centre revealed. First clients will be accepted late this year.

Published

3 years ago

13 minute read

News Releases from the Province of Alberta and the City of Red Deer

Red Deer recovery community moving ahead

A 10-acre parcel of land in north Red Deer will be the new home of the 75-bed recovery community.

Alberta’s government and the City of Red Deer worked together to pick the location within the Chiles Industrial Park, directly adjacent to Highway 2A. Construction of the recovery community is anticipated to start this fall.

“Supporting people to find their path to long-term recovery remains a commitment of our government – but we can’t reach this goal alone. Thank you to the City of Red Deer for their dedication to working together to find a site that considers the needs of those seeking support, businesses, local residents and the community as a whole.”

Jason Luan, Associate Minister of Mental Health and Addictions

“Thanks to the work of officials at Alberta Infrastructure, in partnership with the City of Red Deer, we are another step closer to having a new home to better support Albertans suffering from addictions on their path to recovery.”

Prasad Panda, Minister of Infrastructure

Recovery communities, also known as therapeutic communities, are a form of long-term residential treatment for addiction and used in more than 65 countries around the world.

“The identification of the location of the future therapeutic community marks an important next step towards a solution to many of the health and social challenges our community has contended with for years due to lack of comprehensive health and social infrastructure and programming in our city and region. This project will help respond to the long-standing need for local residential addictions treatment to help address community impacts of the national drug crisis.”

Tara Veer, mayor, City of Red Deer

“This announcement means we are one step closer to adding this life-saving support to our community. While new to Alberta, recovery communities have proven to be effective in helping individuals reach long-term addiction recovery. I look forward to the positive difference this new support will have.”

Adriana LaGrange, Minister of Education and MLA for Red Deer-North

“Addictions have the capacity to disconnect our wills and rob us of the power to decide, inflicting suffering on ourselves, our families and communities. I’m proud to be part of a government focused on supporting Albertans seeking to become free from addictions. Recovery communities are special places, where individuals love and serve each other in their individual journeys to recovery. These are places of miracles, blessing and healing our neighbours, families and communities. This is very exciting news!”

Jason Stephan, MLA for Red Deer-South

Alberta’s government is committed to a recovery-oriented system of care that provides easy access to a full continuum of services. A $140-million investment over four years is supporting the addition of new publicly funded treatment spaces; the elimination of daily user fees for publicly funded residential addiction treatment; and services to reduce harm, such as the Digital Overdose Prevention System app, the introduction of nasal naloxone kits and the expansion of opioid agonist therapy.

This $140-million commitment is in addition to the more than $800 million Alberta Health Services spends annually to provide mental health and addiction services in communities across the province.

Quick facts

  • Alberta’s government is investing in mental health and addictions:
    • $140 million over four years to enhance the mental health and addiction care system and create more publicly funded treatment spaces. This funding includes $40 million specifically to support the opioid response.
    • More than $53 million to implement more online, phone and in-person mental health and addiction recovery supports to make it easier for Albertans to access services from anywhere in Alberta during and after the COVID-19 pandemic.
  • For anyone using opioids, naloxone kits are available free of charge at pharmacies across the province. Call 911 in an emergency.
  • The Addiction Helpline, a 24-7 confidential toll-free service, at 1-866-332-2322, can provide support, information and referral to services. Treatment can also start right away by calling the Virtual Opioid Dependency Program (VODP) seven days per week at 1-844-383-7688.

From the City of Red Deer

Province finalizes site for future therapeutic community

The future location for a therapeutic community in Red Deer was announced today, with the Provincial Government identifying 10 acres of land within the Chiles Industrial Park as the future site in Red Deer. The facility, announced on June 18, 2020, will be home to 75 treatment beds and will provide long-term residential treatment to individuals struggling with addiction.

  1. Where will the future therapeutic community be located?The 10 acres of land identified for development of the Provincial residential treatment community is located approximately one kilometre north of Highway 11A and Gaetz Avenue, in the Chiles Industrial Park, directly adjacent to Highway 2A in north Red Deer.
  2. How was the location chosen?The Province of Alberta and City of Red Deer worked collaboratively to select a location that responds to the long-standing need for residential treatment in Red Deer. The site was selected as there is enough available land for the self-contained facility, it is away from the urban core but still accessible to community services such as health care, and is vacant and able to be temporarily developed within the timeframe needed.

    Ten acres of land located in the Chiles Industrial Park in north Red Deer was identified as the future site for the facility. This site respects the needs of future clients, businesses, residents and the entire community in mind.

  3. Who owns the land, which is designated for the future therapeutic community?Formerly owned by The City of Red Deer, the Province of Alberta signed an agreement to purchase the land from The City of Red Deer with the intent to build a therapeutic community. The agreement is in place for five to ten years, and if the Government of Alberta chooses to move the facility to another site, the land will return to The City of Red Deer.
  4. When will the land be developed?The transfer of the land will occur on or before fall of 2021, with the Province currently indicating it plans to start accepting clients by the end of the year. Development is expected to begin this summer.
  5. What zoning and approval processes are needed before development can proceed?The Province of Alberta has indicated they intend to get the facility up and running as quickly as possible, and will be responsible for zoning and policy considerations. Citizens with questions or concerns about approvals and development processes can reach out to the Ministry of Infrastructure, or to our local MLAs (Mr. Jason Stephan, MLA for Red Deer South or the Honourable Adriana LaGrange, MLA for Red Deer North: www.assembly.ab.ca/members/members-of-the-legislative-assembly).
  6. Who will operate the future therapeutic community?The site will be owned by the Province, and operated by an accredited agency. The Provincial Government will be launching a formal request for proposal (RFP) process to select an agency to operate the facility.
  7. How much will the future therapeutic community cost?The estimated cost for the future facility is still to be determined, with all funding coming from The Province of Alberta as part of its economic recovery plan. There is no City of Red Deer operating investment into this facility. The City, however is contributing in-kind capital contributions through a utility connection to bring water and sewer servicing to the development as well as providing some additional landscaping for the area.

 

From The Mayor of Red Deer

Mayor Veer responds to Provincial therapeutic community announcement on behalf of City Council

“The future location for a new therapeutic community in Red Deer was announced today, with the Provincial Government identifying 10 acres of land located in north Red Deer as the future site for the facility.Formerly owned by The City of Red Deer, the Province of Alberta has signed an agreement to purchase land from The City with the intent to build the new therapeutic community. The agreement is in place for five to ten years, and if the Government of Alberta chooses to move the facility to another site, the land will return to The City of Red Deer. Once built, the new facility will be home to 75 treatment beds and will provide long-term residential treatment to individuals struggling with addiction. As this is a Provincial project, there is no operating investment from The City, however The City is contributing in-kind capital contributions through a utility connection to bring water and sewer servicing to the development as well as providing some additional landscaping for the area.

The identification of this land marks the next step towards a solution to many of the health and social challenges our community has contended with for years due to lack of comprehensive health and social infrastructure and programming in our city and region. This project will help respond to the long-standing need for local residential addictions treatment to help address community impacts of the national drug crisis.

Located approximately one kilometer north of Highway 11A and Gaetz Avenue in the Chiles Industrial Park, directly adjacent to Highway 2A and outside the urban core, this site respects the anticipated needs of future clients who are being treated for their addictions, while considering the needs of businesses and the entire community in mind. This location also repurposes underutilized public lands.

Development is expected to occur this summer, with all further development processes and approvals now under the jurisdiction of the Province of Alberta.

On behalf of my fellow members of Council, I would like to extend our thanks to the Government of Alberta for hearing us and fulfilling this long-standing imperative for our community, and for supporting us in our call for securing a residential treatment site in Red Deer.

Citizens with questions or concerns about approvals and development processes can reach out to the Ministry of Infrastructure, or to our local MLAs (Mr. Jason Stephan, MLA for Red Deer South or the Honourable Adriana LaGrange, MLA for Red Deer North: www.assembly.ab.ca/members/members-of-the-legislative-assembly).”

 

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Alberta

Alberta government should create flat 8% personal and business income tax rate in Alberta

Published on April 23, 2024

By

From the Fraser Institute

By Tegan Hill

If the Smith government reversed the 2015 personal income tax rate increases and instituted a flat 8 per cent tax rate, it would help restore Alberta’s position as one of the lowest tax jurisdictions in North America

Over the past decade, Alberta has gone from one of the most competitive tax jurisdictions in North America to one of the least competitive. And while the Smith government has promised to create a new 8 per cent tax bracket on personal income below $60,000, it simply isn’t enough to restore Alberta’s tax competitiveness. Instead, the government should institute a flat 8 per cent personal and business income tax rate.

Back in 2014, Alberta had a single 10 per cent personal and business income tax rate. As a result, it had the lowest top combined (federal and provincial/state) personal income tax rate and business income tax rate in North America. This was a powerful advantage that made Alberta an attractive place to start a business, work and invest.

In 2015, however, the provincial NDP government replaced the single personal income tax rate of 10 percent with a five-bracket system including a top rate of 15 per cent, so today Alberta has the 10th-highest personal income tax rate in North America. The government also increased Alberta’s 10 per cent business income tax rate to 12 per cent (although in 2019 the Kenney government began reducing the rate to today’s 8 per cent).

If the Smith government reversed the 2015 personal income tax rate increases and instituted a flat 8 per cent tax rate, it would help restore Alberta’s position as one of the lowest tax jurisdictions in North America, all while saving Alberta taxpayers $1,573 (on average) annually.

And a truly integrated flat tax system would not only apply a uniform tax 8 per cent rate to all sources of income (including personal and business), it would eliminate tax credits, deductions and exemptions, which reduce the cost of investments in certain areas, increasing the relative cost of investment in others. As a result, resources may go to areas where they are not most productive, leading to a less efficient allocation of resources than if these tax incentives did not exist.

Put differently, tax incentives can artificially change the relative attractiveness of goods and services leading to sub-optimal allocation. A flat tax system would not only improve tax efficiency by reducing these tax-based economic distortions, it would also reduce administration costs (expenses incurred by governments due to tax collection and enforcement regulations) and compliance costs (expenses incurred by individuals and businesses to comply with tax regulations).

Finally, a flat tax system would also help avoid negative incentives that come with a progressive marginal tax system. Currently, Albertans are taxed at higher rates as their income increases, which can discourage additional work, savings and investment. A flat tax system would maintain “progressivity” as the proportion of taxes paid would still increase with income, but minimize the disincentive to work more and earn more (increasing savings and investment) because Albertans would face the same tax rate regardless of how their income increases. In sum, flat tax systems encourage stronger economic growth, higher tax revenues and a more robust economy.

To stimulate strong economic growth and leave more money in the pockets of Albertans, the Smith government should go beyond its current commitment to create a new tax bracket on income under $60,000 and institute a flat 8 per cent personal and business income tax rate.

Author:

Tegan Hill
Associate Director, Alberta Policy, Fraser Institute
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Alberta

Province to stop municipalities overcharging on utility bills

Published on April 22, 2024

By

Making utility bills more affordable

Alberta’s government is taking action to protect Alberta’s ratepayers by introducing legislation to lower and stabilize local access fees.

Affordability is a top priority for Alberta’s government, with the cost of utilities being a large focus. By introducing legislation to help reduce the cost of utility bills, the government is continuing to follow through on its commitment to make life more affordable for Albertans. This is in addition to the new short-term measures to prevent spikes in electricity prices and will help ensure long-term affordability for Albertans’ basic household expenses.

“Albertans need relief from high electricity costs and we can provide that relief by bringing in fairness on local access fees. We will not allow municipalities – including the city of Calgary – to profit off of unpredictable spikes in electricity costs while families struggle to make ends meet. We will protect Alberta families from the extreme swings of electricity costs by standardizing the calculations of local access fees across the province.”

Danielle Smith, Premier

Local access fees are functioning as a regressive municipal tax that consumers pay on their utility bills. It is unacceptable for municipalities to be raking in hundreds of millions in surplus revenue off the backs of Alberta’s ratepayers and cause their utility bills to be unpredictable costs by tying their fees to a variable rate. Calgarians paid $240 in local access fees on average in 2023, compared to the $75 on average in Edmonton, thanks to Calgary’s formula relying on a variable rate. This led to $186 million more in fees being collected by the City of Calgary than expected.

“Albertans deserve to have fair and predictable utility bills. Our government is listening to Albertans and taking action to address unaffordable fees on power bills. By introducing this legislation, we are taking yet another step towards ensuring our electricity grid is affordable, reliable, and sustainable for generations to come.”

Nathan Neudorf, Minister of Affordability and Utilities

To protect Alberta’s ratepayers, the Government of Alberta is introducing the Utilities Affordability Statutes Amendment Act, 2024. If passed, this legislation would promote long-term affordability and predictability for utility bills by prohibiting the use of variable rates when calculating municipalities’ local access fees.

Variable rates are highly volatile, which results in wildly fluctuating electricity bills. When municipalities use this rate to calculate their local access fees, it results in higher bills for Albertans and less certainty in families’ budgets. These proposed changes would standardize how municipal fees are calculated across the province, and align with most municipalities’ current formulas.

“Over the last couple of years many consumers have been frustrated with volatile Regulated Rate Option (RRO) prices which dramatically impacted their utility bills. In some cases, these impacts were further amplified by local access fees that relied upon calculations that included those same volatile RRO prices. These proposed changes provide more clarity and stability for consumers, protecting them from volatility in electricity markets.”

Chris Hunt, Utilities Consumer Advocate

If passed, the Utilities Affordability Statutes Amendment Act, 2024 would prevent municipalities from attempting to take advantage of Alberta’s ratepayers in the future. It would amend sections of the Electric Utilities Act and Gas Utilities Act to ensure that the Alberta Utilities Commission has stronger regulatory oversight on how these municipal fees are calculated and applied, ensuring Alberta ratepayer’s best interests are protected.

“Addressing high, unpredictable fees on utility bills is an important step in making life more affordable for Albertans. This legislation will protect Alberta’s ratepayers from spikes in electricity prices and ensures fairness in local access fees.”

Chantelle de Jonge, Parliamentary Secretary for Affordability and Utilities

If passed, this legislation would also amend sections of the Alberta Utilities Commission Act, the Electric Utilities Act, Government Organizations Act and the Regulated Rate Option Stability Act to replace the terms “Regulated Rate Option”, “RRO”, and “Regulated Rate Provider” with “Rate of Last Resort” and “Rate of Last Resort Provider” as applicable.

Quick facts

  • Local access fees are essentially taxes that are charged to electricity distributors by municipalities. These fees are then passed on to all of the distributor’s customers in the municipality, and appear as a line item on their utility bills.
    • The Municipal Government Act grants municipalities the authority to charge, amend, or cap franchise and local access fees.
  • Linear taxes and franchise fees are usually combined together on consumers’ power bills in one line item as the local access fee.
    • The linear tax is charged to the utility for the right to use the municipality’s property for the construction, operation, and extension of the utility.
    • The franchise fee is the charge paid by the utility to the municipality for the exclusive right to provide service in the municipality.
  • Local access fees are usually calculated in one of two ways:
    • (1) A percentage of transmission and distribution (delivery) costs, typically 10-15 per cent.
    • (2) A fixed, cents per kilowatt-hour of consumed power charge (City of Edmonton).
  • Calgary is the only municipality that employs a two-part fee calculation formula:
    • 11.11 per cent of transmission and distribution charges plus 11.11 per cent of the Regulated Rate Option multiplied by the consumed megawatt hours.

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