Alberta
Province trumpets $105 million in new health spending for Rural Health Facilities Revitalization Program

Strengthening rural health care
Budget 2023 expands rural health supports so Albertans can have additional access to modern health facilities and the care they need where and when they need it.
Alberta’s government is committed to expanding and modernizing rural hospitals and other health facilities across the province to protect quality health care, grow system capacity and support the best front-line health care workers in the world.
Having access to quality health care when and where Albertans need it includes expanding capacity to provide better access for Albertans living in rural and remote areas of the province.
“We are making sure we have the necessary funding in place to build and strengthen health care in our rural communities and address barriers to care for those looking for support and treatment close to home and family. This work includes programs that focus on how to recruit, retain and even train more physicians, nurses and other professionals in areas outside of the cities.”
Budget 2023 provides $105 million over three years for the Rural Health Facilities Revitalization Program, including $75 million in additional funding for capital projects in rural Alberta.
The program supports strategic renovations and developments in health facilities throughout the province, with an emphasis on emergency departments, EMS stations, surgical and dialysis clinics, and other clinical services to improve access to health care in rural Alberta.
Expanding capacity in the health care system also means having health care workers to fill those spots. In response, Alberta’s government launched the Health Workforce Strategy to attract and retain the health care workers needed now and create more training opportunities for local students and internationally trained medical graduates.
“All Albertans, no matter where they live, need and deserve access to our health system. Physicians are a critical part of that system, especially in rural areas where we are trusted to support the needs of neighbours, friends and colleagues during all phases of life. It is a special calling to work in rural health care, but it can be tremendously rewarding for those who pursue it.”
Rural Albertans are especially affected by the nationwide shortage of health care workers. To address this growing need, the Health Workforce Strategy provides $113 million to add 100 residency training spaces for newly graduated doctors, particularly in rural areas and specialist fields. Creating these new training spaces will provide more opportunities for Alberta students to learn, train and practise in their home communities.
In addition to this investment, a further $1 million will go toward exploring ways that regional post-secondary institutions, such as the University of Lethbridge and Northwestern Polytechnic in Grande Prairie, can help deliver medical education outside of Edmonton and Calgary.
“Whether it’s emergency care or surgeries, primary care or continuing care, Albertans deserve equitable health care services in their communities. I am proud of the investments government is making through Budget 2023, both with infrastructure funding and workforce planning strategies, to help support the future of rural health care in our province.”
This year’s budget also funds the new agreement with the Alberta Medical Association, further stabilizing the health system and focusing on Alberta’s rural communities. Under the agreement, more than $250 million over four years will go to addressing pressures, including recruitment and retention programs so more Albertans can access family doctors, and supporting physicians so their practices remain viable.
Budget 2023 secures Alberta’s 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.
Quick facts
- The Rural Health Revitalization Program provides capital funding for revitalizing select rural health facilities throughout the province.
- Budget 2023 invests $105 million over three years for the Rural Health Facilities Revitalization Program. This includes $75 million in additional funding for new capital projects in rural Alberta.
- To date, about $65 million has been committed to 22 projects across the province, including emergency department renovations, upgrades to EMS stations and new dialysis spaces.
- An investment of $237 million over three years towards the Alberta Surgical Initiative Capital Program will help reduce surgical wait times and help Albertans receive the surgeries they need.
- This includes $120 million in new funding for projects in 15 communities across the province to expand and modernize operating rooms in public hospitals.
- Budget 2023 includes $64 million over three years to continue the La Crete Community Health Centre capital project to provide increased access to maternity health services.
- $11 million over three years is part of a $23.5-million commitment to expand the renal dialysis program at the Chinook Regional Hospital in Lethbridge.
- This project will relocate the dialysis unit to provide additional treatment spaces and address patient and staff safety concerns with the current site.
- $3 million over three years in planning dollars is committed to the North Calgary/Airdrie Regional Health Centre.
- $3 million over three years in planning dollars is committed to expanding the Strathcona Community Hospital.
- Planning dollars are also committed for new or upgraded facilities in Bassano, Cardston and Whitecourt.
Alberta
Low oil prices could have big consequences for Alberta’s finances

From the Fraser Institute
By Tegan Hill
Amid the tariff war, the price of West Texas Intermediate oil—a common benchmark—recently dropped below US$60 per barrel. Given every $1 drop in oil prices is an estimated $750 million hit to provincial revenues, if oil prices remain low for long, there could be big implications for Alberta’s budget.
The Smith government already projects a $5.2 billion budget deficit in 2025/26 with continued deficits over the following two years. This year’s deficit is based on oil prices averaging US$68.00 per barrel. While the budget does include a $4 billion “contingency” for unforeseen events, given the economic and fiscal impact of Trump’s tariffs, it could quickly be eaten up.
Budget deficits come with costs for Albertans, who will already pay a projected $600 each in provincial government debt interest in 2025/26. That’s money that could have gone towards health care and education, or even tax relief.
Unfortunately, this is all part of the resource revenue rollercoaster that’s are all too familiar to Albertans.
Resource revenue (including oil and gas royalties) is inherently volatile. In the last 10 years alone, it has been as high as $25.2 billion in 2022/23 and as low as $2.8 billion in 2015/16. The provincial government typically enjoys budget surpluses—and increases government spending—when oil prices and resource revenue is relatively high, but is thrown into deficits when resource revenues inevitably fall.
Fortunately, the Smith government can mitigate this volatility.
The key is limiting the level of resource revenue included in the budget to a set stable amount. Any resource revenue above that stable amount is automatically saved in a rainy-day fund to be withdrawn to maintain that stable amount in the budget during years of relatively low resource revenue. The logic is simple: save during the good times so you can weather the storm during bad times.
Indeed, if the Smith government had created a rainy-day account in 2023, for example, it could have already built up a sizeable fund to help stabilize the budget when resource revenue declines. While the Smith government has deposited some money in the Heritage Fund in recent years, it has not created a dedicated rainy-day account or introduced a similar mechanism to help stabilize provincial finances.
Limiting the amount of resource revenue in the budget, particularly during times of relatively high resource revenue, also tempers demand for higher spending, which is only fiscally sustainable with permanently high resource revenues. In other words, if the government creates a rainy-day account, spending would become more closely align with stable ongoing levels of revenue.
And it’s not too late. To end the boom-bust cycle and finally help stabilize provincial finances, the Smith government should create a rainy-day account.
Alberta
Governments in Alberta should spur homebuilding amid population explosion

From the Fraser Institute
By Tegan Hill and Austin Thompson
In 2024, construction started on 47,827 housing units—the most since 48,336 units in 2007 when population growth was less than half of what it was in 2024.
Alberta has long been viewed as an oasis in Canada’s overheated housing market—a refuge for Canadians priced out of high-cost centres such as Vancouver and Toronto. But the oasis is starting to dry up. House prices and rents in the province have spiked by about one-third since the start of the pandemic. According to a recent Maru poll, more than 70 per cent of Calgarians and Edmontonians doubt they will ever be able to afford a home in their city. Which raises the question: how much longer can this go on?
Alberta’s housing affordability problem reflects a simple reality—not enough homes have been built to accommodate the province’s growing population. The result? More Albertans competing for the same homes and rental units, pushing prices higher.
Population growth has always been volatile in Alberta, but the recent surge, fuelled by record levels of immigration, is unprecedented. Alberta has set new population growth records every year since 2022, culminating in the largest-ever increase of 186,704 new residents in 2024—nearly 70 per cent more than the largest pre-pandemic increase in 2013.
Homebuilding has increased, but not enough to keep pace with the rise in population. In 2024, construction started on 47,827 housing units—the most since 48,336 units in 2007 when population growth was less than half of what it was in 2024.
Moreover, from 1972 to 2019, Alberta added 2.1 new residents (on average) for every housing unit started compared to 3.9 new residents for every housing unit started in 2024. Put differently, today nearly twice as many new residents are potentially competing for each new home compared to historical norms.
While Alberta attracts more Canadians from other provinces than any other province, federal immigration and residency policies drive Alberta’s population growth. So while the provincial government has little control over its population growth, provincial and municipal governments can affect the pace of homebuilding.
For example, recent provincial amendments to the city charters in Calgary and Edmonton have helped standardize building codes, which should minimize cost and complexity for builders who operate across different jurisdictions. Municipal zoning reforms in Calgary, Edmonton and Red Deer have made it easier to build higher-density housing, and Lethbridge and Medicine Hat may soon follow suit. These changes should make it easier and faster to build homes, helping Alberta maintain some of the least restrictive building rules and quickest approval timelines in Canada.
There is, however, room for improvement. Policymakers at both the provincial and municipal level should streamline rules for building, reduce regulatory uncertainty and development costs, and shorten timelines for permit approvals. Calgary, for instance, imposes fees on developers to fund a wide array of public infrastructure—including roads, sewers, libraries, even buses—while Edmonton currently only imposes fees to fund the construction of new firehalls.
It’s difficult to say how long Alberta’s housing affordability woes will endure, but the situation is unlikely to improve unless homebuilding increases, spurred by government policies that facilitate more development.
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