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Alberta

Red Deer South UCP constituency board member resigns in response to COVID-19 restrictions

Published

4 years ago

10 minute read

A political firestorm is brewing in Alberta.  The province’s response to COVID-19 is leading to a growing rift amongst members of Alberta’s UCP.  In an effort to slow the spread of COVID the government’s approach has been to protect hospitals by limiting interactions between people. This has lead to thousands of job losses and months of painful uncertainty for small business owners.  Increasingly, individual UCP politicians and Constituency Associations are calling on the Premier to take a new direction. They want the province to shift focus to provide comfortable quarantine sites for vulnerable citizens and the people who work with them, while the rest of Alberta returns to normal.  In an effort to protect the fragile economy, a number of constituency associations are considering their strongest possible move.  They’re deciding whether they should call for a leadership review which would be a direct challenge to Premier Jason Kenney.

In Central Alberta, Calvin Goulet-Jones a member of the Red Deer South UCP Board has resigned.  In his resignation letter (below) Goulet-Jones says the UCP has abandoned the core principals which brought conservatives from different parties together.   Janis Nett, President of the Red Deer South UCP Board says other members of the board support the decision Goulet-Jones has made, but they also support Red Deer South MLA Jason Stephan and the party.  Nett says remaining board members are hoping a change in direction can be accomplished without fracturing conservatives into two more more parties in the next provincial election.  The Red Deer South Constituency Association meets later this week and a discussion about how best to convince party leadership to change direction will be on the agenda. 

Below is a post from the Facebook page of former Red Deer South Constituency Association board member Calvin Goulet-Jones.

Here is an excerpt of the my resignation letter to the local UCP board. I share this as a reminder of what the UCP was built on. For context, the content within the letter is relevant to the end of January. Please also note that this was not an admonishment of local board members, but a recognition that I can no longer be involved at this time for the reasons I state below.

It is no secret that times have changed and I strongly believe we have lost sight of the principles I feel we all hold dear. I am saddened when I look at the core principles that the UCP was built upon. I am saddened because it is so evident that the UCP has abandoned their foundation. They are no longer the party that Albertans elected.

Let me elaborate on the principles the UCP was built upon and where we find ourselves today.

Principle 1 – A robust civil society made up of free individuals, strong families, and voluntary associations.

We live in an era right now where individuals are not free. In fact, we live in an era where the freedom to earn an income is fined, where putting in an honest day’s work to put food on the table results in intimidation and strong families are being weakened as a result. This may not affect you, but it affects our society. When freedom is taken away from one individual it is taken away from all of us. Our society is neither robust, nor is it civil. In fact, it can be argued it is breaking down at the hands of our government.

Principle 2 – Freedom of speech, worship and assembly.

No one can take away the freedom to worship, including the government, however they certainly can put a major damper on it. Our government has intimidated and bullied churches severely beyond what could ever be deemed reasonable. Not only in Alberta but across this country the freedom to corporately worship has been taken away. The point is that this is a core principle of the UCP and the government seems to have not given it a second thought.

Principle 3 – Affirm the family as the building block of society and the means by which citizens pass on their values and beliefs and ensure that families are protected from intrusion by government.

The family is the building block of society, meanwhile families are suffering and children are bearing the brunt of the governments decisions. While the child help line has received an unprecedented amount of calls for help our government applies bandaids. This government is deconstructing the building block of society, mental health issues are rampant, and they have shifted the burden of covid and placed it upon the most vulnerable: Our children. They are affected by the very specific decisions that the government makes more than they will ever know.

Furthermore, the government’s logic is beyond reason. To say that a loved one may babysit your kids but that same loved one may not stay for dinner is absurd. To impose a fine to an individual who is struggling with loneliness and needs familiar company, yet allow a contractor to enter homes is mean spirited. I can go on, but I cannot imagine anyone can truly say that this government is busy ensuring that individuals are protected by the intrusion of government.

Principle 4 – Economic freedom in a market economy which encourages the creation of wealth through free enterprise, and protection of the right to own, enjoy and exchange property.

This government has shut down businesses and are bankrupting the individuals who own them. What’s more, this government has taken it further and has called those people who are soon to be homeless ‘selfish’. Alluding to the idea that they are greedy for wanting to earn an income. I find it very sad that the UCP has abandoned this principle as it is cornerstone policy that the UCP was built on. Free markets and private sector job creation. Instead, the UCP continues to actively work towards shutting small businesses down.

Principle 5 – Limited government, including low levels of taxation to help generate economic growth while allowing Albertans to enjoy the fruits of their own labour.

This government has given itself an unprecedented amount of power to intervene in any and every situation it deems fit. This is not limited government. The UCP speaks of low taxation while putting in policies that result in businesses and individuals earning a pittance. This government has literally made it a crime for certain people in our society to enjoy the fruits of their own labour by threatening fines and threatening prison.

Principle 6 – Fiscal responsibility, including balanced budgets, debt reduction, and respect for taxpayers’ money

The government has stifled growth and has ballooned debt. There was a reasonable point (back in March/April) where I can understand some of the decisions that were made. No one, including the government knew what was going on. We are well beyond that point though, yet the government continues to double down. Balanced budgets are a thing of fantasy, and we seem to live in a dream world that Trudeau himself would be proud of – that the government has an endless amount of money.

Principle 7 – Protecting public safety as a primary responsibility of government.

“Two Weeks to bend the curve.” “Stay home, stay safe.” “We are all in this together.” Three catch phrases used by our government to convince the public that abandoning your principles is worth it. Instead, this government is creating a never seen before amount of unrest. People are not happy. People are losing their homes and becoming desperate. It would be easy to say that this is because of the virus, but it is not. It is because of the specific decisions that our government is making.

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Alberta

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

Published on November 21, 2024

By

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.

Author:

Tegan Hill
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Alberta

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

Published on November 21, 2024

By

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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