Alberta can afford to maintain public services through downturn: AUPE President
EDMONTON – AUPE President Doug Knight cautioned the Alberta Government against contemplating public service cuts today after it announced the surplus had grown to $2 billion since last spring’s budget.
“Despite the turmoil in global financial markets, and significantly reduced investment income, Alberta’s surplus has still outpaced the government’s original budget forecast,” Knight said.
“This update shows that Alberta is well-equipped to come through this economic downturn without sacrificing the public services Albertans count on, and that AUPE members provide,” Knight added.
The government’s fiscal update documents outline a $2.8 billion increase in natural resource revenue, $152 million more in personal income tax revenue, and a $102 million increase in transfers from the federal government since the budget was released.
Those gains were offset by a $1.7 billion reduction in investment income, but total revenue still exceeded the budget forecast by $1.3 billion dollars.
“Finance Minister Iris Evans predicts that Alberta will escape the recession affecting other parts of the world and continue to grow next year, so there is no excuse for the government to slash public services in the coming year,” said Knight.
Government expenses have increased by $905 million since the budget was released. The largest growth was in Alberta Agriculture and Rural Development expenditures of $347 million, followed by $143 million in new expenses associated with Health Region deficits, and costs of the transition to a single “superboard.”
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