Alberta Minute: Housing Starts, Physician Compensation, and a Very Merry Christmas

Alberta Minute - Your weekly one-minute summary of Alberta politics.

This Week In Alberta:

• Wednesday is Christmas, and we hope you have a wonderful time planned with friends and family. This season is a time to reflect on the people and moments that make a difference, and we are truly grateful for your support throughout the year. As we celebrate, we’re also in the middle of our year-end fundraiser, working to raise $50,000 by December 31st to continue the important work we do. If you value our efforts and want to see them grow, please consider making a donation today - every bit helps, and we deeply appreciate your generosity. From all of us at the Alberta Institute, Merry Christmas!
  
  
• Alberta leads Canada in housing starts per capita in 2024, with nearly 43,000 new homes built, a 35% increase compared to the previous year. This surge in construction is primarily driven by affordability, attracting people from provinces like BC and Ontario, as well as international immigrants. Despite the increase in supply, experts suggest that home prices are unlikely to drop. Instead, the influx of buyers could lead to bidding wars, pushing prices higher. Additionally, Alberta saw a record number of apartment starts in 2024, with over 9,900 new units built in the first half of the year, surpassing a 1977 record.
  
  
• The Alberta government is forming an advisory panel to guide its homelessness strategy, with a focus on rural and Indigenous communities. Co-chaired by MLA Justin Wright and Robin James of the Lethbridge Housing Authority, the panel will evaluate government actions and funding. Community and Social Services Minister Jason Nixon emphasized improving data accuracy on homelessness as a key priority. Additionally, the Province plans to change its grant process, shifting funding directly to front-line agencies instead of routing it through non-profits. The panel is expected to begin its work early next year.

Last Week In Alberta:

• Alberta has unveiled a new Primary Care Compensation Model aimed at improving physician pay and retaining family doctors. The model shifts away from fee-for-service payments, offering higher compensation for maintaining large patient panels, after-hours care, and hospital-based roles. To launch in April 2025, the program requires at least 500 participating doctors and includes a $100 million investment in its first year, increasing to $250 million in subsequent years. Health Minister Adriana LaGrange and Alberta Medical Association President Shelley Duggan emphasized its potential to attract and retain physicians while addressing long-standing healthcare challenges.
  
  
• Premier Danielle Smith says she is disappointed that the federal government’s pension report failed to provide an estimated share of the Province’s Canada Pension Plan assets. The report lacks a definitive number or even a range for calculating Alberta’s entitlement, despite prior assurances of detailed analysis. Smith said that a firm estimate is needed before a referendum can be considered. Our friends at the Free Alberta Strategy have started a petition, demanding the federal government release the number. If you agree that Ottawa needs to release the number, please sign here.
  
  
• Rob Miyashiro of the Alberta NDP has won the Lethbridge-West byelection, securing 7,239 votes compared to 6,089 for UCP candidate John Middleton-Hope and 233 votes for Alberta Party candidate Layton Veverka, according to unofficial results. NDP leader Naheed Nenshi called the win a signal that Albertans want change. In reality, the results represent a 2% shift toward the UCP compared to the combined NDP, Liberal, and Alberta Party vote in 2023. While that swing might seem small, a similar shift in Calgary could potentially flip five seats from the NDP to the UCP, so it might be a little early for Nenshi to be celebrating just yet.

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