UCP starves municipalities of vital funding
This shortfall is not just a number; it translates into real-world impacts.
Published Sep 12, 2024 in The Sherwood Park News • 3 minute read
Over the last five years, Strathcona County’s municipal funding from the provincial government has decreased by 46 per cent. This is the largest reason why there have been increases to our property taxes.
When the UCP government unveiled its latest provincial budget, I heard from many constituents that it seemed designed more to distract Albertans than to address the real issues impacting folks across the province. Declarations of a “balanced” budget come at the expense of the government’s failure to adequately fund municipalities, health care, wildfire response and public education.
Municipalities are unsung heroes managing our day-to-day lives in Alberta, from fixing the potholes on our streets to running community recreation centres. Municipalities are also being asked by the UCP to take care of things that are provincial jurisdiction like addressing housing affordability and helping unhoused people.
Consider any municipal service that you think needs to be improved and you may conclude that money has been mismanaged or there is a lack of money. The UCP wants you to think it’s mismanaged and passed Bill 20 to give them the power to go into any municipality in Alberta and overturn local decisions.
Calgary City Council just experienced this interference when the UCP unexpectedly pulled provincial funding for their Green Line transit project. Construction was already underway and over a 1,000 construction workers jobs are in jeopardy due to an erratic provincial government decision.
Funding from the provincial government to municipalities in Alberta has been steadily declining for many years. Before the UCP, Alberta provided $420 per person for municipal infrastructure. Fast forward to 2024, and that number has plummeted to just $151 per person — a $269 decrease. That’s a decrease from 3.7 per cent of the provincial budget to a mere one per cent of the provincial budget going to municipalities. If you wonder why your property taxes go up, this is the biggest reason.
If funding had kept pace with inflation since 2011, municipalities would have received a staggering $2.1 billion this year instead of the $712 million currently allocated. Alberta Municipalities has been very vocal in pointing this out and asked for the UCP government to restore funding for municipalities to $1.75 billion to help correct decreased support. This shortfall is not just a number; it translates into real-world impacts: More roads across our province remain bumpy and potholed, more public services are reduced every year, and critical infrastructure projects like the Green Line in Calgary or the Scotford overpass in Strathcona County get postponed.
Years of underfunding have forced municipalities to make tough choices resulting in fewer community programs, deferred infrastructure projects, and a heavier burden on local taxpayers. It’s a classic case of the provincial government passing the buck and expecting local governments to do more with less. Meanwhile, the province will ask you to please take your complaints to your local council. It is not fair or honest.
Instead of focusing on headline-grabbing policies and political stunts, the UCP needs to get serious about addressing the funding gap to Alberta’s municipalities like Strathcona County. Good governance means paying for less-than-exciting things, like pothole repairs, and knowing that a ‘balanced budget’ truly isn’t good news until it includes paying all of the bills owed.
The quality of our lives in Alberta depend on this.
Please reach out to me if you have any thoughts on this or other issues that are top of mind for you.
Kyle Kasawski is the MLA for Sherwood Park. If you have questions about this column or any provincial issues, he would like to hear from you. Find his contact information at meetkyle.ca