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Alberta

Province commits $4 million for overdose response teams and 35 detox and pre-treatment beds in Calgary

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Expanding access to detox and recovery in Calgary

Alberta’s government is investing in detox, recovery and dynamic overdose response services at the Drop-In Centre in Calgary.

Every Albertan struggling with addiction deserves the opportunity to pursue recovery. As part of building a recovery-oriented system of care, Alberta’s government is providing more than $4 million to the Calgary Drop-In Centre to create dynamic overdose response teams and establish 35 medical detox and pre-treatment beds, capable of supporting up to 1,000 Calgarians every year.

This partnership stems from the efforts led by the Calgary Public Safety and Community Response Task Force to improve public safety while treating addiction and mental health as healthcare issues.

“We’re continuing to treat mental health and addiction as health-care issues by building recovery-oriented systems of care to ensure every Albertan has the opportunity to pursue recovery. Whether it’s rapidly responding to an overdose, accessing medical detox or pre-treatment, the impact of this funding will be life-saving and life-changing for so many Albertans.”

Nicholas Milliken, Minister of Mental Health and Addiction

“Our government’s focus on addiction recovery and supports for those facing homelessness is bringing positive change for Calgary. The Calgary Drop-In Centre does incredible work to provide services for many individuals facing homelessness. With more access to addiction recovery treatment, more Albertans will be able to get the help they need to overcome their challenges.”

Jeremy Nixon, Minister of Seniors, Community and Social Services, and chair, Calgary Public Safety and Community Response Task Force

With this funding, the Calgary Drop-In Centre will significantly increase its treatment capacity. This includes:

  • 15 medical detox beds and 20 pre-treatment beds: Albertans struggling with addiction will be supported to safely withdraw from drugs or alcohol under medical supervision. They will also be provided with pre-treatment support to prevent relapse and better understand treatment options as they continue their pursuit of recovery.
  • Dynamic overdose response teams: To keep communities safe while treating addiction as a health-care issue, the Calgary Drop-In Centre will work in conjunction with local paramedics, first responders and community organizations to respond to overdoses both at the Drop-In Centre as well as in the community.

“People struggling with mental health and addiction deserve compassion and support, and at the Drop-In Centre they receive both. We’re pleased to work with Alberta’s government to deliver critical services to those in need and help more vulnerable people in our communities pursue recovery from addiction.”

Sandra Clarkson, executive director, Calgary Drop-In Centre

These additional medical detox and pre-treatment beds, capable of supporting up to 1,000 Calgarians every year, will be life-saving and life-changing for countless people in the years to come. All publicly funded detox, treatment and recovery spaces are free for Albertans, with no user fees.

Alberta’s government is continuing to build a recovery-oriented system of care, where everyone struggling with addiction and mental health challenges is supported in their pursuit of recovery. This includes initiatives like eliminating fees for residential addiction treatment, launching the Digital Overdose Response System (DORS) app and expanding access to opioid agonist treatment.

In December 2022, Alberta’s government established two new cabinet task forces to bring community partners together to address the issues of addiction, homelessness and public safety in Calgary and Edmonton. The two Public Safety and Community Response Task Forces are responsible for implementing $187 million in provincial funding to further build out a recovery-oriented system of addiction and mental health care. The initiatives being implemented are part of a fair, firm and compassionate approach to keeping communities safe while treating addiction and mental health as health-care issues.

Quick facts

  • Alberta’s government is providing $3.8 million per year, with $1.6 million for dynamic overdose response services and nearly $2.2 million to offer 15 detox and 20 pre-treatment beds, capable of supporting up to 1,000 Calgarians annually. There was also a one-time investment of about $450,000 for capital improvements.
  • Clients with opioid addiction will also be able to immediately start on evidence-based opioid treatment medications like suboxone and sublocade through Alberta’s Virtual Opioid Dependency Program.
  • Alberta spends more than $1 billion annually on addiction and mental health care and supports, including prevention, intervention, treatment and recovery.
  • Any Albertan struggling with addiction can contact 211 Alberta to connect with local services and virtual supports. 211 is free, confidential and available 24-7.
  • The Virtual Opioid Dependency Program provides same-day access to addiction medicine physicians and life-saving medications to Albertans across the province. Albertans can call 1-844-383-7688 seven days a week, from 8 a.m. to 8 p.m. daily.

This is a news release from the Government of Alberta.

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Alberta

Alberta’s fiscal update projects budget surplus, but fiscal fortunes could quickly turn

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From the Fraser Institute

By Tegan Hill

According to the recent mid-year update tabled Thursday, the Smith government projects a $4.6 billion surplus in 2024/25, up from the $2.9 billion surplus projected just a few months ago. Despite the good news, Premier Smith must reduce spending to avoid budget deficits.

The fiscal update projects resource revenue of $20.3 billion in 2024/25. Today’s relatively high—but very volatile—resource revenue (including oil and gas royalties) is helping finance today’s spending and maintain a balanced budget. But it will not last forever.

For perspective, in just the last decade the Alberta government’s annual resource revenue has been as low as $2.8 billion (2015/16) and as high as $25.2 billion (2022/23).

And while the resource revenue rollercoaster is currently in Alberta’s favor, Finance Minister Nate Horner acknowledges that “risks are on the rise” as oil prices have dropped considerably and forecasters are projecting downward pressure on prices—all of which impacts resource revenue.

In fact, the government’s own estimates show a $1 change in oil prices results in an estimated $630 million revenue swing. So while the Smith government plans to maintain a surplus in 2024/25, a small change in oil prices could quickly plunge Alberta back into deficit. Premier Smith has warned that her government may fall into a budget deficit this fiscal year.

This should come as no surprise. Alberta’s been on the resource revenue rollercoaster for decades. Successive governments have increased spending during the good times of high resource revenue, but failed to rein in spending when resource revenues fell.

Previous research has shown that, in Alberta, a $1 increase in resource revenue is associated with an estimated 56-cent increase in program spending the following fiscal year (on a per-person, inflation-adjusted basis). However, a decline in resource revenue is not similarly associated with a reduction in program spending. This pattern has led to historically high levels of government spending—and budget deficits—even in more recent years.

Consider this: If this fiscal year the Smith government received an average level of resource revenue (based on levels over the last 10 years), it would receive approximately $13,000 per Albertan. Yet the government plans to spend nearly $15,000 per Albertan this fiscal year (after adjusting for inflation). That’s a huge gap of roughly $2,000—and it means the government is continuing to take big risks with the provincial budget.

Of course, if the government falls back into deficit there are implications for everyday Albertans.

When the government runs a deficit, it accumulates debt, which Albertans must pay to service. In 2024/25, the government’s debt interest payments will cost each Albertan nearly $650. That’s largely because, despite running surpluses over the last few years, Albertans are still paying for debt accumulated during the most recent string of deficits from 2008/09 to 2020/21 (excluding 2014/15), which only ended when the government enjoyed an unexpected windfall in resource revenue in 2021/22.

According to Thursday’s mid-year fiscal update, Alberta’s finances continue to be at risk. To avoid deficits, the Smith government should meaningfully reduce spending so that it’s aligned with more reliable, stable levels of revenue.

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Alberta

Premier Smith says Auto Insurance reforms may still result in a publicly owned system

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Better, faster, more affordable auto insurance

Alberta’s government is introducing a new auto insurance system that will provide better and faster services to Albertans while reducing auto insurance premiums.

After hearing from more than 16,000 Albertans through an online survey about their priorities for auto insurance policies, Alberta’s government is introducing a new privately delivered, care-focused auto insurance system.

Right now, insurance in the province is not affordable or care focused. Despite high premiums, Albertans injured in collisions do not get the timely medical care and income support they need in a system that is complex to navigate. When fully implemented, Alberta’s new auto insurance system will deliver better and faster care for those involved in collisions, and Albertans will see cost savings up to $400 per year.

“Albertans have been clear they need an auto insurance system that provides better, faster care and is more affordable. When it’s implemented, our new privately delivered, care-centred insurance system will put the focus on Albertans’ recovery, providing more effective support and will deliver lower rates.”

Danielle Smith, Premier

“High auto insurance rates put strain on Albertans. By shifting to a system that offers improved benefits and support, we are providing better and faster care to Albertans, with lower costs.”

Nate Horner, President of Treasury Board and Minister of Finance

Albertans who suffer injuries due to a collision currently wait months for a simple claim to be resolved and can wait years for claims related to more serious and life-changing injuries to addressed. Additionally, the medical and financial benefits they receive often expire before they’re fully recovered.

Under the new system, Albertans who suffer catastrophic injuries will receive treatment and care for the rest of their lives. Those who sustain serious injuries will receive treatment until they are fully recovered. These changes mirror and build upon the Saskatchewan insurance model, where at-fault drivers can be sued for pain and suffering damages if they are convicted of a criminal offence, such as impaired driving or dangerous driving, or conviction of certain offenses under the Traffic Safety Act.

Work on this new auto insurance system will require legislation in the spring of 2025. In order to reconfigure auto insurance policies for 3.4 million Albertans, auto insurance companies need time to create and implement the new system. Alberta’s government expects the new system to be fully implemented by January 2027.

In the interim, starting in January 2025, the good driver rate cap will be adjusted to a 7.5% increase due to high legal costs, increasing vehicle damage repair costs and natural disaster costs. This protects good drivers from significant rate increases while ensuring that auto insurance providers remain financially viable in Alberta.

Albertans have been clear that they still want premiums to be based on risk. Bad drivers will continue to pay higher premiums than good drivers.

By providing significantly enhanced medical, rehabilitation and income support benefits, this system supports Albertans injured in collisions while reducing the impact of litigation costs on the amount that Albertans pay for their insurance.

“Keeping more money in Albertans’ pockets is one of the best ways to address the rising cost of living. This shift to a care-first automobile insurance system will do just that by helping lower premiums for people across the province.”

Nathan Neudorf, Minister of Affordability and Utilities

Quick facts

  • Alberta’s government commissioned two auto insurance reports, which showed that legal fees and litigation costs tied to the province’s current system significantly increase premiums.
  • A 2023 report by MNP shows
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