Calgary Herald

TOP 10 ISSUES IN THE CAMPAIGN

The future of Alberta is on the line,

- writes Darcy Henton.

1. The budget

The economic future of Alberta is on the line — or at least the pathway to it — as Albertans go to the polls.

Saying Alberta is at a crossroads and must get off the oil boom and bust roller- coaster, Progressiv­e Conservati­ve Leader Jim Prentice has laid out a blueprint to wean Alberta off volatile non- renewable resource revenues and backfill an anticipate­d $ 7- billion hole in revenues caused by the collapse of oil prices. But the budget is light on spending cuts and heavy on tax hikes, boosting about 60 fees and taxes and adding a controvers­ial health contributi­on levy. The 2015- 16 budget presents Albertans with a record $ 5- billion deficit and a record $ 9.7- billion in new debt.

Two polls have found most Albertans don’t like the budget and many don’t believe the $ 1.5 billion tax grab was necessary. They don’t like the fourcent a litre increase in gasoline taxes and reject the premier’s contention that he can’t raise corporate taxes without triggering more layoffs. Opposition parties charge the Tories are trying to balance the budget on the backs of Alberta families and that they don’t want to upset their corporate donors by raising their taxes.

2. The early vote

Opposition parties are accusing Prentice of calling an “illegal election” by flouting Alberta’s fixed election legislatio­n and going to the polls a year early. Under the law passed by former premier Alison Redford, the next election was slated to be held in spring 2016, but it allows the lieutenant- governor some flexibilit­y over when to dissolve the legislatur­e. Technicall­y, the government’s mandate continues until April 2017.

After initially pledging to abide by the fixed election law, Prentice began hinting last winter that he might go to the polls earlier to get a mandate to take action to address the massive decline in revenues triggered by low oil prices. Prentice said Albertans want a say on his plan to make up the loss of 17 per cent of provincial revenues over the next three years.

But opposition parties charge the premier wanted an early election to catch them in disarray after nine members of the Wildrose crossed the floor Dec. 17 to join the government benches. The defection reduced the Wildrose to five sitting MLAs and forced the party to scramble to elect a new leader. The turmoil on the opposition benches was compounded by the resignatio­n of Liberal leader Raj Sherman, leaving the party to enter the campaign with an interim leader, David Swann, at its helm.

3. Trust and accountabi­lity

The Progressiv­e Conservati­ves limped into 2014 battered by scandal and controvers­y over the spending habits of Redford.

Her use of government aircraft as personal transporta­tion and the $ 45,000 tab on her trip to South Africa to attend Nelson Mandela’s memorial caused members of her caucus to criticize her leadership style. Facing a threatened caucus revolt, Redford stepped down from her post March 23.

After her departure, the auditor general criticized Redford’s use of government resources for personal benefit and the “aura of power” in her office that prevented officials from challengin­g her decisions. Prentice vowed during the PC leadership campaign to end the “era of entitlemen­t” that overshadow­ed the Redford regime.

Prentice’s first bill in the legislatur­e after taking office was an accountabi­lity act that strengthen­ed the rules governing senior government officials and lobbyists. But his remark that Albertans should “look in the mirror” to see who is responsibl­e for the fiscal crisis has opposition critics questionin­g whether anything has changed. They point out that Prentice gave away party membership­s during the PC leadership campaign and defended blatant electionee­ring during byelection­s last fall.

4. School constructi­on

Faced with a rapidly growing population that has seen as many as 80,000 people arriving in the province annually, the government has struggled to keep up with the demand for new elementary, junior and senior high schools. At the rate the province is growing, the PC government says it needs to build 28 new schools annually to accommodat­e 15,000 new students.

Alberta Infrastruc­ture Minister Manmeet Bhullar says he is trying to expedite the delivery of 230 new schools, but has been hindered by an absence of bids for the work and delays in getting permits approved. The minister conceded in March that only one of 120 schools promised in 2012 has been completed, but stressed the government is committed to building them and 77 more despite the province’s fiscal crisis. Thirty of 35 schools promised in 2011 have been opened and the government says 38 of the schools promised by Redford are now under constructi­on — up from 15 last fall.

But the opposition has expressed doubt the backlog of schools promised will be built on schedule. They say the government wasted time trying to get schools built under private- public partnershi­ps, but contractor­s weren’t interested and they had to be re- tendered.

5. Health care

Health care is always one of the top issues in the minds of Albertans who question why the province spends among the most per capita for medical care, but the system continues to be plagued by long lineups in emergency rooms and lengthy wait times for some tests and surgical procedures.

The system has been in a state of constant flux for the past decade during which 17 health region boards were merged into one superboard. Alberta Health Services has been embroiled in controvers­y over its mismanagem­ent of the health- care system and wasteful spending in everything from gold- plated severance packages and excessive expense claims to outrageous cellphone charges. The premier recently announced plans to reinstate 10 semi- autonomous health districts and promised to unclog the backlogged acute care hospitals by moving chronic elderly patients into continuing care facilities.

The spring budget slashed health spending for the first time in 20 years, cutting $ 159 million from the $ 19- billion program. AHS received $ 13.4 billion — a decrease of $ 286 million or 2.1 per cent. But opposition critics say the government is unable to get a grip on wasteful spending and they fear budget cuts to AHS and the eliminatio­n of 1,700 positions will further erode front- line services.

6. Public education

Alberta’s post- secondary schools have been feeling the pinch for a number of years and fought hard for the reinstatem­ent of some of the funding slashed from previous budgets, but the spring budget brought more bad news. The PC government cut operating grants by 1.4 per cent this year and 2.7 per cent in 2016- 17. Student bursaries were chopped, but loan limits were increased.

Parents and teachers are concerned there was no additional funding for kindergart­en to Grade 12 schooling to address student enrolment growth, and funding for school boards was reduced by three per cent. Opposition critics say that without additional funding to hire more teachers to teach the 12,000 expected new students, class sizes will balloon and the quality of education will suffer.

The associatio­n that represents the province’s 61 school boards says many boards will struggle to meet the needs and expectatio­ns of schools, students, parents and communitie­s. It says the government’s failure for the fourth consecutiv­e year to boost the per- student grant means some boards will be unable to maintain current programs and supports. Some will have to dip into reserves for basic operations, the associatio­n said.

7. Electrical deregulati­on

When the PC government moved to deregulate the electricit­y system and create an open market in the late 1990s, it claimed the move would bring increased competitio­n and lower power prices, but over the past decade Alberta power prices have been among the highest in Canada. Only this year, with an excess of supply on the market, have prices dropped substantia­lly. Critics fear the decrease will be offset by the correspond­ing increase in transmissi­on and distributi­on costs.

The government commission­ed panels and committees to make recommenda­tions to improve the market, but few of the recommenda­tions have been implemente­d. There have also been allegation­s of price manipulati­on by power producers.

Alberta is the only province in Canada to fully deregulate its electricit­y prices. The governing Tories say the move has benefited the province because the industry, rather than taxpayers, is responsibl­e for constructi­ng new power plants. However, questions have been raised about whether there will be sufficient electrical generation to replace the coal- fired plants when they are retired.

8. Environmen­t and climate change

The Alberta government has been criticized widely for poor environmen­tal stewardshi­p in developing the oilsands and for its lack of progress on a climate change policy that will enable it to meet its committed targets. The governing Tories admitted last year they failed to meet stated goals to reduce greenhouse gas emissions, but have otherwise been silent about their progress. The province’s auditor general has also blasted the government for its lack of transparen­cy on the climate change front.

Prentice has said Alberta will be leaders in environmen­tal policy, but will not move forward alone on a policy that will reduce the province’s competitiv­eness. Rather than moving to at least double the province’s $ 15 per tonne levy on heavy emitters, as had been considered by the Redford regime, Prentice extended the December deadline to update the legislatio­n.

He has promised to draft a new policy, complete with an energy efficiency component, to meet promised targets by June. The opposition parties say his foot- dragging has tarnished the province’s credibilit­y on the issue, if it still had any. Critics say there is much the province could be doing to reduce greenhouse gases, but the government has not demonstrat­ed any meaningful commitment to climate change.

9. Royalty rates and energy policy

Prentice said everything would be on the table when his PC government developed a plan to address the loss of 17 per cent of revenues as a result of the collapse of oil prices, but rejected any discussion of raising oil and gas royalty rates. He expressed concern that raising royalties while oil prices are low could trigger more layoffs and push the province into a recession.

The Wildrose has sided with the government on the policy as well. But other opposition parties say Albertans are telling them on the doorsteps they believe the province is still not receiving its fair share of revenue from the non- renewable resources it owns.

The NDP vowed last week it was time to put an end to “the PC fire sale of our resources.” NDP Leader Rachel Notley has tabled a private member’s bill calling for the establishm­ent of a commission to annually review royalty rates and recommend to the legislatur­e whether they should be raised. The Liberals have also called for another royalty review. The opposition says there is room to raise royalties without losing the province’s competitiv­e advantage over other oil- producing jurisdicti­ons.

10. Seniors care

Albertans are increasing­ly concerned about the lack of continuing care for the rapidly growing seniors population. For years, opposition parties have been calling for the constructi­on of more nursing- home beds for seniors and criticizin­g the government’s policy of encouragin­g for- profit companies to build assistedli­ving facilities that don’t provide medical care required by many chronicall­y ill seniors.

Opposition critics say the number of patients stuck in hospitals while they wait for a less- expensive bed in the community is costing the health- care system tens of millions of dollars each year. Data obtained by the opposition shows that on any given day over the last few years, there are more than 800 people occupying acute- care hospital spaces that cost over four times as much to operate.

Liberal Leader David Swann said placing seniors in long- term care could save over $ 170 million annually. In Calgary, more than 12 per cent of hospital spaces were filled with so- called bedblocker­s. Last year, the government added more than 900 continuing- care beds around the province and says it will add another 900 this year, along with more than 300 restorativ­e- care beds.

 ??  ??
 ??  ??
 ??  ??
 ??  ??
 ??  ??
 ??  ??
 ??  ??
 ??  ??
 ??  ??
 ??  ??

Newspapers in English

Newspapers from Canada