Alberta proposes legislation giving it gatekeeping role on federal funding

Alberta is proposing a law that would allow it to veto any deal struck between municipalities and the federal government.

Premier Danielle Smith says the province has had long-standing concerns over federal intrusion into areas of provincial authority, and recent housing deals between Ottawa and some municipalities were the last straw.

Smith says the housing deals are unfair because they force cities to upend planning and zoning rules to get the cash, and some cities get the funds while others don’t.

Smith’s United Conservative Party government has tabled a bill that mandates any deal between Ottawa and a body regulated by Alberta must be approved by her government.

The law would apply to a sweeping range of provincial bodies, which also includes post-secondary schools, school boards, health authorities and Crown-controlled entities.

Smith says the legislation would also act as a defence against Ottawa muscling in to fund other ideological priorities that run counter to Alberta’s, such as safe-supply addiction treatment and green power mandates.