EDMONTON: The Canadian Taxpayers Federation (CTF) today renewed its call on the Alberta government to pass spending control legislation to protect Alberta taxpayers. According to the First Quarter Fiscal Update released today, Alberta government spending on health, education, social services and other programs in Budget 2002-03 is 52% higher than it was six years ago, in contrast to only 12% population growth and 14% inflation.

"If Alberta had had spending control legislation in place, like the state of Washington, spending would have risen gradually to keep pace with inflation and population growth, but taxes would be lower today by about three billion dollars," stated CTF-Alberta director John Carpay.

"A three billion dollar tax cut would mean a provincial income tax rate of 4% instead of 10%. Or if the income tax rate stayed at 10%, a three billion dollar tax cut would mean the complete elimination of health care premiums, VLTs, and provincial school property tax," added Carpay.

In 1996-97, Alberta's total spending on government programs (excluding debt servicing costs) was $12.8 billion, Alberta's population was 2.769 million, and the dollar was worth 14% more than today. Budget 2002-03 contains $19.5 billion in program spending (excluding debt servicing costs) for a population of 3.102 million: a spending increase of 52% in six years, when Alberta's population grew by 12% and inflation was 14%.

If program spending these past six years had risen gradually to keep pace with Alberta's population growth and inflation, program spending would be $16.3 billion this year instead of $19.5 billion. Further, Alberta would be debt free, without having to pay $530 million in debt servicing costs.

"Are Albertans receiving better health care than six years ago Are children getting a better education than six years ago The onus is on the government to demonstrate that the 52% spending increase was really necessary," concluded Carpay.