Building a Better Alberta CENTRAL EDITION Summer 2011 A MESSAGE FROM Premier Ed Stelmach Listening to Albertans guided our intact, but strengthened in priority areas, government’s plan to weather the and ready for the growth we know is recession and prepare for the future. coming. All the signs are there: our province led the nation in job creation over the past We took a careful look at spending, and year – in June alone, Alberta added 22,000 tightened our belt where we could. But new jobs, more than were created in the we stayed strong in supporting the priority entire United States during the same areas of health and education – both of these month...provincial revenues are on the rise... areas have seen budget increases, even our deficit for last year was $1.3 billion during the darkest days of the recession. lower than expected and is covered by our savings...and a return to the days of surplus Infrastructure, too, has remained a focus. budgets is just around the corner. And by building during the recession, our dollars went much further than before, This Report to Albertans highlights actions Our plan is working. Alberta is on the move which allowed us to catch up – and even your government has taken to enhance again, after the worst global recession get a head start on meeting future needs public services to meet Albertans’ needs. since the Great Depression. in a province that is predicted to be among If you have any questions or comments, the fastest-growing in Canada in the please talk to your MLA or see the end The economic downturn tested us – made coming years. of this publication for where to find us consider what was most important and more information. what could wait. And Albertans were very I think Albertans can be very proud of how clear on their priorities: health care, we came through the recession – with education and local infrastructure projects. public programs and services not only In 2011-12, of every dollar spent by Health and education are the two biggest spending the Alberta government: areas in the entire Government of Alberta budget. • 41 cents goes to health • 23 cents goes to education A better bottom line Alberta leads Canada in economic growth during the past 20 years, with an average annual GDP growth of 3.2% per year. Careful management of spending plus higher in place a four-point plan for recovery by: financial assets of more than $28 billion than expected revenue means Alberta’s and enough money in our savings to see • preserving health care, education and deficit was cut by $1.3 billion last year. us through the economic recovery. other priority programs; Revenue from Crown lease sales, bitumen • protecting jobs and building for the After growing by an estimated 3.8 per cent royalties and investment income were all future by investing in infrastructure; in 2010, the Alberta economy is expected higher than forecast, while spending was • guarding the province’s fiscal position to increase by 3.2 per cent in 2011. Over down by $452 million. by managing our spending; and the next few years, economic growth is forecast to continue to remain solid, Alberta entered the recession in the best • enhancing our competitiveness. averaging around three per cent per year. shape of any province in Canada, with no Steady growth combined with careful debt and more than $17 billion in cash This plan worked. Alberta is in the strongest spending will help the province return to reserves in the Sustainability Fund. We put fiscal position of all the provinces, with net a balanced budget in 2013-14. Alberta’s Fiscal Results 2010-11 “Doubts that the Albertan economy could Expense reclaim its position as one of Canada’s faster Revenue $38.3 billion $34.9 billion growing provincial economies are dissipating $866 million $452 million quickly because the wheels of growth are higher than lower than Deficit estimated estimated $3.4 billion starting to spin faster in the province.” $1.3 billion lower than – Royal Bank of Canada, provincial outlook, June 2011 forecast Albertans have the lowest overall personal taxes in Canada: a low single-rate tax system, the highest basic and spousal exemptions in the country, no general sales tax, the lowest fuel taxes among provinces, and no health care premiums. “Alberta is blessed with an abundance of natural advantages, which have formed the foundation of our province’s thriving economy. The Alberta government has built on this by engineering an economic plan that ensures a positive business climate exists in our province. A climate that encourages investment, creates diversity, and empowers Alberta businesses to compete successfully around the globe. The result is one of the world’s most vibrant and competitive economies.” – Alberta Chambers of Commerce Savings and Infrastructure Investment SUSTAINABILITY FUND HERITAGE FUND CAPITAL PLAN (Savings) • Value on March 31, 2011: • Value on March 31, 2011: • Support in 2010-11: $5.9 billion for $11.2 billion $14.2 billion roads, schools, hospitals and other • Created in 2003 to be used • Long-term savings vehicle – not public infrastructure for unexpected declines in used to cover deficits • Alberta’s per capita investment in revenue or to offset the costs • Created in 1976 as a way to preserve infrastructure was nearly 35 per of emergencies or disasters Alberta’s resource wealth for future cent higher than the per capita • Offsets budget deficits, allowing generations of Albertans average of other provinces programs to be protected during • Since 2005, the Alberta • This will strengthen the economy, tough times without raising taxes government has deposited more help keep Albertans working and or borrowing than $7 billion into the Heritage support core public services to Fund and other funds maintain a high quality of life • Over the last five years, the Government of Alberta has invested $35 billion to catch up on needs Building the things we need Infrastructure Projects – Central In 2011-12, the Alberta government will invest $6.6 billion into priority public infrastructure (such as schools, hospitals, roads and long-term care facilities). This is part of a $17.6 billion investment over the next three years. Building and modernizing schools REPLACEMEnT Bawlf School, Bawlf MODERNIZE St. Anthony’s School, Drumheller John Wilson School/Innisfail Junior Senior Middle École Desrochers, Jasper and High School / St. Marguerite School, Innisfail Jasper Junior Senior High School, Jasper Ponoka Composite High School Phase I, Ponoka Griffiths-Scott Middle School, Millet Ponoka Solution, Ponoka Mundare School, Mundare Racette Junior High School, St. Paul New School, Penhold F. G. Miller Junior Senior High School, Elk Point École La Prairie, Red Deer Trochu Valley School, Trochu Two Hills Mennonite School, Two Hills Vilna School, Vilna Hilltop High School, Whitecourt Post-secondary institutions NEW More than 70 post-secondary projects worth over $2.7 billion are Shared Public/Catholic, Beaumont underway in Alberta. These projects will create about 11,000 new Aspen Ridge, Red Deer student spaces throughout the province, including: K-5, Red Deer Holy Trinity School, Olds Portage College, St. Paul Red Deer College, Red Deer Lakeland College, Vermilion Olds College, Olds University of Alberta Research Facilities, St. Albert/Kinsella Alberta is getting ready for the next decade of economic activity. Building infrastructure during the recent economic downturn kept Albertans working and allowed the province to take advantage of savings in construction costs. Over the next three years, the Alberta government will spend $17.6 billion on capital projects – health facilities, schools, post-secondary institutions, water treatment systems, roads and municipal infrastructure, to support core public services and prepare Alberta for strong future economic growth and a high quality of life. Alberta has a 20-year Capital Plan that ensures we are prepared for the next economic growth cycle. Increasing access to health care Highway 14 - repaving 48 kilometres from Bruce to east of Kinsella ($4.5 million) Central Alberta Cancer Centre, Red Deer - $46 million Highway 16 - repaving 49 kilometres from Minburn to east new cancer treatment facilities of Vermilion ($13 million) Health Care Centre, Edson - $108 million new hospital Highway 56 - repaving 24 kilometres between Highways 13 and 609 south of Camrose ($8.7 million) Community facilities Major ongoing projects in central Alberta include: new vehicle inspection station, Whitecourt new vehicle inspection station, Morrin Highway 2 - Highway 11A interchange in Red Deer to be complete by fall 2011 Highway 9 - Widening and reconstruction of 15 kilometres between Highways 21 and 840 west of Drumheller to be Improving roads complete by fall 2011 Major new projects in central Alberta include: Highway 13 - widening 19 kilometres between Highway 56 and Bawlf ($18.1 million) Highway 13 - repaving 39 kilometres between Killam and Hardisty ($6.4 million) Better access to health care Funding for Alberta Health and Wellness is budgeted at $14.9 billion for 2011/2012. Over the past five years, Health and Wellness spending has grown by 48.2% or $4.9 billion. Alberta’s health system caregivers are among and more addiction treatment beds with trusted health care information and the best anywhere and major health facilities and palliative/hospice care beds. services, other health tools and wellness are available in every area of Alberta. Work management tips. is underway to improve access to services More continuing care beds across the province. Alberta Health Services added 1,155 Taking action on wait times Alberta’s goal is to build the best-performing, continuing care beds in 2010-11 and is on The new Alberta Wait Times Reporting publicly funded health care system in Canada. track to add another 1,000 each year up website (www.waittimes.alberta.ca) shows With the 5-year funding commitment to Alberta to 2015.