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Budget garners mixed reaction

Despite a $257 million increase to help cover a 4.
The province is expecting a $3.4-billion deficit in 2011-12
The province is expecting a $3.4-billion deficit in 2011-12

Despite a $257 million increase to help cover a 4.4 per cent increase in teachers' salaries, the 2011-12 provincial budget will be tough on school boards, claims local school trustee and Alberta School Boards Association (ASBA) president Jacquie Hansen.

"It's good that our salaries will be honoured for our teachers but at the end of the day, there is not a lot left over otherwise so we are seeing some cuts to some programs like the Alberta Initiative for School Improvement and that will be a hard hit," Hansen said Thursday.

The cuts to school improvement — about $40 million — will likely impact a number of school programs, including literacy, technology and math, and could also result in staff cuts, Hansen said.

"That's a big hit. Those programs are delivered by teachers and staff and when we don't have the funds to support that, that means that there is less staff to deliver those programs so there is a direct impact to our kids," said Hansen, a St. Albert school trustee for the Greater St. Albert Catholic board.

No money for Ray Gibbon Drive

While the province's three-year capital plan includes almost $10 billion for municipal infrastructure, roads and highways, there was no mention of Ray Gibbon Drive. The city is seeking funding to help complete the third and final stage, expected to cost around $43 million.

The news didn't come as much of a surprise to Mayor Nolan Crouse, who said the issue will be discussed during Monday night's council meeting.

"Basically I will be writing a letter to the minister and it's a combination of our decision on Monday night as well as expressing the need for the funding," Crouse said.

The province has committed to repaying the city for the total cost of building more than a two-lane arterial road.

"We've completed about two-thirds of construction and we've received about a third of the money," he said.

"Maybe when they finish off the year-end on March 31, they'll have some funds available."

Municipal Sustainability Initiative (MSI) capital funding increased slightly over last year's budget but Finance Minister Lloyd Snelgrove said Thursday the original plan — to spread $11 billion over 10 years — may be delayed by several years. There will be no changes in MSI operating grants in 2011 from last year's budget.

Mixed reaction locally

Local MLAs had mixed reaction to the budget.

Spruce Grove-Sturgeon-St. Albert MLA Doug Horner said the budget balanced the needs of Albertans with "prudent financial management."

"We're on the cusp of some great things in this province and I think this sets the stage for that and it's because of that sound financial management through a very difficult time that we now have a tremendous opportunity in our province to lead, not only Canada but the globe," he said.

Asked if he would have done anything differently, Horner, who is running for the PC leadership, said it's something he'll be looking at over the summer.

"We'll be bringing forward a number of things that I would like to see coming into the future," he said. "I think it's time that Alberta stood its ground on the world stage and that's where we should be taking it."

While he supported Thursday's budget, St. Albert MLA Ken Allred said he had several concerns.

"I am concerned that there is a major deficit," said Allred, but noted that "we've made some commitments and we've got to stand by them."

Allred said he also had concerns about the government's decision to hike fees for driver's licence applications and mortgage registrations. Referencing a court case several years ago, Allred said fees should be cost dependent.

"I guess I would question that because it seems like a tax as opposed to a fee," he said of the increase in mortgage registrations.

"I don't see how that fee could be cost dependent with that kind of an increase."

No new schools

While the budget increases overall education funding in 2011, there will be no increases on the operating side while funding for basic programs was cut. The budget also did not contain dollars for new schools not previously announced by the province.

Hansen said the lack of new money for school construction is another concern.

"We've got kids in this province who go to school in church basements at this time and when the throne speech references strong infrastructure for Alberta, schools need to be part of that, school buildings need to be part of that," she said.

Protestant school board chair Joan Trettler said the budget contained both good and bad news.

"Although there is an overall increase, there will be parts of our budget that will have been removed, or have been cut back," she said.

"The announcement here gives part of the story but the impact for our board will be not as positive as the budget would make it seem."

With the cuts, Trettler said the board will need to look at what they can accomplish in the next school year. "Parts of it are good news but parts of it are concerning."

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