“For every two schools that you can build under the P3 model, if you built them all conventionally, you could build three,” said Hugh Mackenzie, an economic consultant who wrote the report titled, “Doing the math: Why P3s for Alberta schools don’t add up.”

Under a P3 deal, the province will contract out the design and construction of 18 schools to be built by 2010. The winning bidder will also have a 25- to 30-year contract for major maintenance and repair, such as replacing boilers and roofs.

School boards will retain ownership of the buildings.

Three companies have made the shortlist to bid on P3 contracts for nine schools in Calgary and another nine in Edmonton.

Using a mortgage analogy, Mackenzie questioned how private companies can build schools cheaper than the government could. “How could it possibly be cheaper for me to pay somebody eight per cent to go and borrow money to buy a house when I can borrow the money myself for six? How could it possibly be cheaper?” he said at a news conference in Calgary.

“The evidence is clear that relying on P3s to finance public infrastructure makes no economic sense.”

Minister dismisses economic study

Ron Liepert, Alberta’s education minister, said he hasn’t read the report and doesn’t plan to because final figures won’t be in until July.

“There are way too many assumptions being made on numbers that frankly, are not proven out yet,” he said.

“Going this model in a large centre like Calgary and Edmonton, we can get schools built more efficiently and we can get them built at less cost.”

But the Opposition Liberals disagree, predicting P3s will end up costing taxpayers millions of dollars in the long run.

“This is political opportunism at its worst,” said Liberal infrastructure critic Harry Chase. “Because the people who sign these deals for P3s won’t be around 30 years from now nor will they be liable.”

Chase claims the province originally planned to build the Calgary Courts Centre, which opened in September 2007, as a public-private partnership, but abandoned that plan when the full costs became clear.

from CBC

The 2007 royalty report goes a long way to describing many Albertans’ feelings about the fair share we must demand for the great sacrifices we are making as citizens. Of course, not all Albertan’s are sacrificing. Not all Albertans work in oil and gas and still choose to live in Alberta. Some Albertans don’t choose to drive gas guzzling vehicles and still choose to live in Alberta. Some Albertans don’t benefit from tax cuts, health care premium cuts, bus fee cuts, school fee cuts, private school subsidies, municipal tax cuts, increases in cost of living, increases post-secondary education costs, and lousy transportation infrastructure. They don’t benefit from these things that would result in a fair share for all Albertans, because our government historically chooses oil companies as winners and chooses all others to be losers.

For those that work in oil and gas in Alberta and receive 100% of salary bonuses and stock options perhaps they don’t need lower health-care premiums, lower school fees, and so on. We know they are paying taxes at the same rate as those not earning 100% of salary bonuses so they might not need the help or feel the same way about education costs, the environment, and health care. Many Albertans are doing much worse over the past 5-years and they are in fact working very hard for this province. Working hard to diversify the economy, raise families, and contribute to a sustainable future for Albertans, Canadians, and around the world.

When do all Albertans get a real benefit. One that levels the playing field, diversifies this province, and gives people that want to live here, after the boom, a reason to stay. Of course during the boom many people are suffering. Of course the poor will get poorer and the middle-class, outside of the chosen industry, will suffer. Choose to lead. Choose to diversify. Choose to strive for more for all Albertans.

Choose to take a stand with the royalty report and then call an election and let Albertans choose their future.

In fact with over 1/4 million Albertan’s responding, tax cuts scored below affordable health care, outstanding education, protecting the environment, investing in Alberta’s infrastructure and making long-term investments in priority areas.  Remember this is the survey were Albertans were asked if they wanted a refund if there was a windfall and Albertan’s said so. The preferred long-term investments in priority areas.

This the survey that also demonstrated that Albertans don’t differ in their opinions very much. People in Edmonton agreed with people in Calgary. People in rural areas and other urban regions also agreed. Rural Albertans agreed with urban Albertans about health care and education being most important. They agreed that helping Albertans that need help and protecting the environment are more important than refunds or tax cuts.

Will Ed raise taxes?