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The Government of Alberta has unveiled draft city charters for Edmonton and Calgary that give the province's two largest cities a raft of new powers and responsibilities. Discussions between the three governments have been underway since 2014, when the then-Progressive Conservative government first proposed the sweeping change to the provincial-municipal relationship. Though the city charters recognize the unique challenges facing Edmonton and Calgary, and correspondingly bequeath more autonomy to the populous urban centres, the province has ruled out new taxation powers.
The Thursday announcement by the NDP government signals talks for an upcoming fiscal framework that will tie infrastructure money to provincial economic performance, rather than the piecemeal grant approach currently defined by the Municipal Sustainability Initiative, which asks cities for a list of proposed projects they would like funded. Though the exact formula has not yet been determined, the broad strokes of the plan mean that Edmonton can expect money for big projects when provincial revenues are strong. A double-edged sword, when the economy is in a recession, the two municipalities won't be spared from the pain.
Mayor Don Iveson said the new arrangement rejects the current "politicized grant cycle" that straightjackets cities. "It moves us in the direction of sustainable, predictable, guaranteed revenue sharing to support infrastructure. That's a much bigger, more positive development for us (than taxation powers) in the short term." Iveson said the proposed alteration to the funding system would make Edmonton "shareholders in the province's growth."
The charters will give Edmonton and Calgary a number of new powers, including the opportunity to adjust speed limits, angle parking and cycling infrastructure. The draft legislation also allows municipalities to create tribunals to manage transit and parking tickets, increase fines for serious bylaw breaches to $100,000, regulate the operating hours of licensed establishments, and provide clean energy loans to homeowners.
Another change — one the City has been asking for — introduces two new assessment sub classes for derelict and contaminated properties. This gives Edmonton the power to tax owners of disused properties at a higher rate, which the City hopes will encourage the redevelopment of the site. At the very least, the measure would allow the City to collect additional money to pay for the ongoing maintenance and beautification of the public realm around the property.
Edmonton and Calgary are beholden to the Municipal Government Act, a one-size-fits-all approach to governing Alberta's 344 municipalities. Home to half of the province's population, Edmonton and Calgary are constantly addressing and evolving a series of issues unique to large urban centres. Already in use across the country, city charters recognize the role of municipalities in providing services to their residents, and grant cities certain flexibilities and authorities in the form of modifications to the Municipal Government Act. The draft city charters regulation is now available for public review until October 10.
