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Alberta

Province to spend $92 million over next three years to provide mental health treatment for youth

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Expanding mental health treatment for youth

Alberta’s government is partnering with CASA Mental Health to expand youth mental health supports to ensure youth across Alberta can access treatment closer to home.

Supporting children and youth who are struggling with mental health is an essential part of Alberta’s recovery-oriented system of mental health and addiction care. If passed, Budget 2023 would invest $92 million over three years to provide critical mental health supports for children and youth in partnerships with CASA Mental Health.

This $92-million investment would include capital and operating funding for two new inpatient CASA House sites in Fort McMurray and Calgary, expanding youth day treatment programs provincially, and the rollout of new mental health classrooms across Alberta.

“Every young person in Alberta deserves the opportunity to access treatment and improve their mental health. If passed, Budget 2023 will dramatically increase access to mental health supports for youth to help families in crisis and provide kids with opportunities to improve their mental health across Alberta.”

Danielle Smith, Premier

“Our goal is to ensure that every young person in Alberta is supported in their pursuit of improved mental health. In partnership with CASA Mental Health, we’re expanding a range of treatment options for youth and their families that includes mental health supports in schools, day treatment programs and new inpatient programs to meet the diverse needs of youth in Alberta.”

Nicholas Milliken, Minister of Mental Health and Addiction

Supporting young Albertans with mental health challenges

With this funding, high-intensity services for children and youth will be delivered in community settings, reducing the need for hospital stays. CASA Mental Health will expand four programs that will help more than 700 additional young Albertans every year.

  • CASA House (for youth in grades 7 to 12): A live-in program for youth where parents and caregivers are still active participants in treatment, but the youth lives at a CASA facility. Treatment includes individual, group and family therapy, social and life skills training, and on-site schooling in small classroom settings.
  • Adolescent Day Treatment Program (for youth in grades 8 to 12): A daily program where youth with a mental illness diagnosis who are struggling in a conventional classroom setting can complete their schooling at a CASA facility while receiving ongoing support, including group, family and individual therapy.
  • CASA Mental Health Classrooms (for children and youth in grades 4 to 12): A classroom-based program where students with complex mental health needs receive individual and group therapy. Students are supported by a team of mental health professionals, including a therapist, psychiatrist and behavioural specialist.
  • CASA Core (for children and youth aged three to 17): Community-based services where families are matched with the appropriate level of service dependent on the complexity of mental health challenges. Therapy incorporates the child’s family, school and community network in treatment.

“CASA Mental Health recognizes a need for increased service to the ‘missing middle’ of mental health, particularly over the last few years. We see a growing need to provide specialized service to children and youth with mental illness, requiring more than low-intensity community-based services, but less than intensive hospital services. We’re pleased to partner with Alberta’s government to help close that gap and make mental health programming available and accessible to more children and families throughout the province.”

Bonnie Blakley, chief executive officer, CASA Mental Health

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 dramatically increasing access to mental health supports for children and youth focused on prevention and early intervention, including the creation of new mental health classrooms, expanding access to digital supports like 211 Alberta and Kids Help Phone, investing in affordable virtual and in-person counselling, and establishing youth mental health hubs across the province.

“CASA Mental Health is a leader in delivering youth-centred mental health services. This organization plays an important role in the Sherwood Park community, and this new partnership with Alberta’s government will help broaden their reach to support children and youth across our province.”

Jordan Walker, MLA for Sherwood Park

“Children in this province deserve the best care possible, and this funding reflects our government’s commitment to delivering on this promise. I’ve seen first-hand the difference CASA Mental Health makes in the lives of youth in our community, and expanding these services means more families will get the help they need and deserve.”

Nate Glubish, MLA for Strathcona-Sherwood Park

Budget 2023 secures Alberta’s bright future by transforming the health-care system to meet people’s needs, supporting Albertans with the high cost of living, keeping our communities safe and driving the economy with more jobs, quality education and continued diversification.

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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