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Preamble:
WHEREAS past decisions of the Government of Alberta (GOA) have negatively affected municipal financial planning and budgeting when prior consultation has not occurred; and
WHEREAS it is critical for the GOA to sufficiently inform municipalities of any legislation, regulation or administrative action that could decrease revenues or increase expenditures; and
WHEREAS all orders of government serve the same taxpayer; and
WHEREAS several provinces and territories have passed legislation requiring consultation with municipalities in advance of any policy change that may have a fiscal impact on municipalities; and
WHEREAS prior consultation is a procedural matter and would not in any way bind the GOA to act upon recommendations put forward by the Rural Municipalities of Alberta and ABMunis; and
WHEREAS meaningful municipal consultation would enhance the decision-making process and prevent unintended consequences of legislative changes;
Operative Clause:
THEREFORE, BE IT RESOLVED that the Rural Municipalities of Alberta advocate to the Government of Alberta to amend the Municipal Government Act to include the following statement:
Requirement to notify
(1) The Minister shall notify the Rural Municipalities of Alberta (RMA) and Alberta Municipalities (ABMunis) at least one year prior to the effective date of any legislation, regulation or administrative action undertaken by or on behalf of the Government of Alberta that would have the effect of decreasing the revenue received by the membership of RMA and ABMunis or increasing the required expenditures of the membership of RMA and ABMunis.
(2) Subsection (1) does not apply with respect to any legislation, regulation or administrative action applying to the Province generally and not specifically to municipalities.
Member Background:
This resolution will allow municipalities to work with the Government of Alberta (GOA) and be partners in achieving solutions that, while supporting the needs of the province, do not create negative financial extremes and hardships for municipalities.
This formal collaborative arrangement will enhance due process, which benefits both parties and, most importantly, the citizens of Alberta, which we both serve.
This resolution asks that a new section in the Municipal Government Act titled “Requirement to Notify Municipalities” be added that requires the GOA to provide one year’s notice to any action that will have the effect of decreasing municipal revenue or increasing our required expenses.
By voting for this resolution, we will achieve the meaningful consultation process necessary to achieve good governance and better provide essential municipal services to all Albertans.
The following provinces and territories all provide consultation in their legislation:
“The Minister is required to consult the executive of the Union of Nova Scotia Municipalities respecting any proposed amendment to the MGA” (S.518).
“The Minister shall consult with the Federation of Prince Edward Island Municipalities respecting any substantive amendment that the Minister proposes to this Actor the regulations under this Act.” (2016,c.44,s.9.)
“The Province of Ontario endorses the principle of ongoing consultation between the Province and municipalities in relation to matters of mutual interest and, consistent with this principle, the Province shall consult with municipalities in accordance with a memorandum of understanding entered into between the Province and the Association of Municipalities of Ontario” (2005, c. 8, s. 1).
“The minister responsible must provide the representatives of the municipal association with sufficient information respecting the proposed change and allow the representatives sufficient time to consider the proposed change and provide their comments to that minister” (S.276 of B.C Community Charter).
“The relationship between local governments and the Provincial government in relation to this Act is based on the following principles: (c) notice and consultation is needed for Provincial government actions that directly affect local government interests” (Part 1 Section 3 Local Government Act).
“The Government of the Yukon must consult with the Association of Yukon Communities on any direct amendments that a Minister proposes to this Act” (S.Y. 1998, c.19, s.11).
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RMA Background:
RMA has no active resolutions directly related to this issue.
Municipal Affairs
The Government of Alberta recognizes that municipalities prepare annual budgets, and use revenues to deliver infrastructure, services, and programs to Albertans. The government remains committed to consulting with RMA and working together to ensure that the needs of Albertans are being met.
This has been demonstrated by engagement with municipal associations on the Local Government Fiscal Framework (LGFF) program and formula. The engagement gathered feedback from municipal associations about proposed changes to the LGFF funding formula as well as alignment of municipal and provincial funding priorities.
The Government of Alberta values RMA’s input and will continue to engage and communicate with RMA as much as possible and prior to the effective date of legislation, regulation, or administrative changes that may decrease municipal revenues or increase expenditures, but there is no plan to commit to specific timelines or proceed with this type of legislation at this time.
The Government of Alberta recognizes municipalities and their associations as critical partners in building Alberta’s communities, providing for our economic future, and promoting the province’s prosperity. As a best practice, the province identifies and works with impacted stakeholders to inform options for potential legislative and regulatory change.
This goes beyond notification and invites stakeholder perspectives to inform potential policy and legislative changes. The Government of Alberta may provide support and change management resources to key stakeholders to help with implementing any changes or new requirements. Municipal Affairs will continue to advocate for the inclusion of municipalities in engagement processes across government, where municipalities are potentially impacted stakeholders, and act as a liaison to connect and coordinate provincial requests for municipal engagement with municipalities and their associations.
Development:
While RMA appreciates the Ministry’s commitment to continued collaboration, the intent of this resolution was to create certainty in association consultation. As seen with recent legislation, RMA is not always consulted prior to the release of bills which impact municipalities significantly. Despite promises to continue to engage with RMA as stakeholders, the RMA assigns this a status of Intent Not Met.
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