Alberta
K to 12 students back in schools next week but all other restrictions in place at least two more weeks
From the Province of Alberta
K-12 students return to in-person learning
All students will return to in-person learning, as planned, on Jan. 11. Mandatory health measures will remain in effect across the province until at least Jan. 21.
The decision to return to in-class learning is based on the latest evidence which shows that before the winter break, new case rates in schools plateaued and then dropped in December, once restrictions on social gatherings and group activities were in place.
“I want to recognize the effort of school staff, teachers and parents to follow health measures and help us keep classrooms safe for Alberta students. I’m confident this effort will continue and we’ll see a successful return to in-person learning to the benefit of all students.”
“Schools play a critical role in supporting student learning as well as their emotional health and overall well-being. In September, the vast majority of parents chose in-person learning for their children during the pandemic and schools have been diligently following the extensive health measures in place. A return to school will provide our students with the familiar daily routine of learning in class and will restore some sense of normalcy for both students and families amidst these unusual times.”
While students return to in-person learning, all Albertans, businesses, organizations and service providers must continue to follow existing health measures until at least Jan. 21. Active evaluation of the latest public health data is underway and will be used to re-evaluate the current level of restrictions over the coming weeks.
Businesses, organizations and service providers will be given at least one week’s notice prior to changes to the current health measures that may affect them. Government will continue to consult with affected industries.
“The health measures that were put in place in December have helped to reduce the number of active cases, but it’s not enough. Case numbers, hospitalizations and testing positivity rates remain high. We will be carefully evaluating the data over the coming weeks to determine what options we have to give Albertans back more flexibility in their lives, and give businesses a chance to reopen. But the worst thing we could do would be to increase the chances of another surge, which would threaten our health-care system again and require more restrictions. We must be careful and deliberate, and avoid the roller-coaster of uncertainty that a new surge would create.”
“Our government will continue to engage with businesses to provide the necessary supports during this pandemic. To date, more than 35,000 small businesses have accessed over $232 million in funding through our relaunch grant and I encourage any eligible employers to apply today.”
“We cannot back off early and risk losing the gains we’ve made since restrictions were put in place in December. We are asking everyone to remain a part of the solution and keep following the public health measures until we see numbers come down to the point that we can start reopening the province.”
“These mandatory measures are in place to slow the spread of COVID-19 and we are not yet in a position to remove or reduce them. Keeping these measures in place means we are again asking Albertans to make sacrifices – but they are necessary to protect our province. We all have the power to make individual choices to follow the health guidelines and help protect our loved ones, colleagues and neighbours. We are asking you to keep making those good choices.”
Alberta’s government is responding to the COVID-19 pandemic by protecting lives and livelihoods with precise measures to bend the curve, sustain small businesses and protect Alberta’s health-care system.
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:
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.”
“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.”
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.”
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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