432-01062 (Economy and finance)

We, the undersigned citizens and residents of Canada, draw the attention of the House to the following:

Whereas, all of Canada's Premiers have called on the Government of Canada to remove the per capita cap on fiscal stabilization payments.

Whereas, in the 2020 Fall Economic Statement, the Liberals increased the per capita limit on fiscal stabilization payments to $170 from $60. This cap had not been changed since 1987.

Whereas, all provinces have received stabilization payments at one time or another. Since 1987, there have been 18 stabilization payments totaling nearly $2.6 billion. In 4 instances payments were capped by the $60 per capita limit.

Whereas, the Government of Alberta was requesting an additional $2.4 billion for fiscal years 2015-16 and 2016-17 when its revenue fell by $8.8 billion, or $2,114 per capita. This reflects the $2.9 billion that would have been paid without the cap, less the $500 million Alberta received with the $60 per capita cap.

Whereas, for fiscal year 2020-21, based on current revenue projections, Alberta would have qualified for an estimated $3 billion if there was no stabilization cap, but will now only receive about $750 million with the new $170 cap. This is a difference of $2.25 billion.

Whereas, without the cap, Alberta should be eligible for $5.9 billion in fiscal stabilization payments over the last five years, but will only receive $1.25 billion, a difference of $4.6 billion.

Whereas, the new Liberal fiscal stabilization cap of $170 per capita is a half-measure that does not go far enough to address the unfairness of fiscal stabilization payments.

We, the undersigned citizens of Canada, call upon the Government of Canada to remove the $170 per capita cap on the fiscal stabilization fund, pay the Province of Alberta the $4.6 billion it would have received without the cap, and establish fairness in federal fiscal stabilization payments.