Finance Minister and GP-Wapiti MLA Travis Toews delivers the budget speech in the Alberta Legislature.

By Curtis Galbraith

Provincial Politics

New Alberta budget has money for new schools, maintains health care funding, no money for public sector pay increases

Oct 24, 2019 | 5:03 PM

Finance Minister and GP-Wapiti MLA Travis Toews repeated the province would be cutting spending by 2.8 per cent over four years when giving the budget speech Thursday afternoon in the Alberta legislature.

Toews asked public service workers to work with the government to bring spending back in line.

“Let me be clear. This budget does not contain any provision for wage increases and over the next four years, the size of Alberta’s public service will be reduced and management to staff ratios will fall. This will be accomplished mainly as employees retire, coupled with hiring restraint in the broader public sector.”

Nearly all of the province’s contracts with unions will expire next year.

He adds the new spending plan keeps the promise from the government to have the budget balanced in four years. The deficit for this year is $8.7-billion. Deficits are also projected for the two years after that before a surplus in year four of this government’s time in office.

Toews announced an extra $200-million for health care in his budget speech.

“Over four years, health will receive $100-million for a mental health and addictions strategy, $40-million to address the opioids crises and $20-million for palliative care. That said, we must recognize that health care is the single-largest government expense. We must stabilize health care spending to balance the budget by 2023.”

There is also $1.8-billion for new schools and modular classrooms.

Toews says the government has other things in mind for education as well.

“We will also act on a MacKinnon panel recommendation for Alberta’s K-12 system. Government will review and revise the education formula to address enrollment growth and provide incentives for sharing services and achieving better student outcomes.”

Toews says there is $15.5-million in the new budget for the school nutrition program that goes to schools and another $3-million for non-profit groups. There is also $11-million over two years for new playgrounds.

He added the five-year tuition freeze at colleges and universities would end, something he says will get these schools competing for enrollments. He says scholarships and endowments will be maintained.

Toews says the budget also “expands on the apprenticeship model.” There is $11-million for Careers: The Next Generation, a program that connects school kids to apprenticeships. There is also $10-million for another program called Women Building Futures, something designed to get more women into the trades and $2-million over four years for Skills Canada Alberta, something meant to help young people build skills and connections.

Other items in the budget, as reported by the Canadian Press, include:

A one-time payment of $1.5 billion to end the crude-by-rail shipment plan announced earlier this year by the former NDP government.

Support spending remains stable for those with special needs but programs such as Assured Income for the Severely Handicapped will no longer be indexed to inflation.

The cost of a driver’s licence is rising from $75.00 to $80.00.

The price of a carton of cigarettes is going up by $5.00 and there will be a tax on vaping.

– with files from The Canadian Press