The Alberta government has introduced a new bill that would require provincial agencies and municipalities to receive approval before making a deal with the federal government.
The Provincial Priorities Act would prevent Ottawa from working directly with municipalities and Alberta agencies, such as universities, boards, health authorities, and housing management bodies without first receiving provincial approval.
Premier Danielle Smith said the move would prevent the federal government from putting “ideology before practicality.”
“Since Ottawa refuses to acknowledge the negative impacts of its overreach, even after losing battles at the Federal and Supreme Courts, we are putting in additional measures to protect our provincial jurisdiction to ensure our province receives our fair share of federal tax dollars and that those dollars are spent on the priorities of Albertans,” Ms. Smith said in an April 10 news release.
The legislation would make any agreement between the federal government and provincial entities “invalid,” according to the release.
Alberta’s current Government Organization Act requires intergovernmental agreements to be approved by the Minister of Intergovernmental Relations for Alberta, a position held by Ms. Smith. The current act only covers government departments and some agencies like Alberta Gaming, Liquor and Cannabis, Alberta Securities Commission, and Travel Alberta, the release said.
It says this requirement has “created gaps” where federal agreements could contradict provincial priorities and investments.
“For years, the federal government has been imposing its agenda on Alberta taxpayers through direct funding agreements with cities and other provincial organizations,” Minister of Municipal Affairs Ric McIver said in the release.
He added the federal money is often used for initiatives that don’t “align with Albertan’s priorities.”
“Albertans from all corners of the province expect our federal share of taxes for roads, infrastructure, housing, and other priorities—not federal government political pet projects and programs in select communities,” he said.
The legislation is being introduced a week after Prime Minister Justin Trudeau said he’d be willing to work with municipalities if the provinces do not commit to his conditions for funding from the newly announced Canada Housing Infrastructure Fund. Through it municipalities can apply for funding to cover infrastructure needs to develop more housing across the country.
Provinces Raise Concerns
Several provinces raised concerns about the conditional funding, saying Ottawa is stepping into provincial jurisdiction.“The announcement will only make it harder and more expensive to build homes and will also heavily limit the kinds of homes that can be built,” said a joint statement from Mr. McIver and Alberta’s Seniors, Community, and Social Services Minister Jason Nixon.“It is a continuation of the Government of Canada’s punitive green agenda by attempting to ban natural gas by 2030 and nationalize housing.”
Ontario Premier Doug Ford said it should be left to the municipalities to decide what types of buildings to construct.
New Brunswick’s Premier Blaine Higgs said he too was concerned about the government’s “take-it-or-leave-it” approach.
“I think that any relationship we have should be built on a rational discussion of what our program needs, not what the conditions are,” Mr. Higgs told reporters April 2 at the New Brunswick legislature.
Mr. Trudeau’s housing minister Sean Fraser indicated Ottawa would go around the provinces to work with municipalities directly if necessary.
He added that he was confident the government could find “partners” who were willing to agree with the conditions in exchange for federal funding.
“We will be making these investments,” Mr. Fraser said. “Who we deal with and on what timeline will be impacted through the discussions we have with the provinces.”
