December 17 , 2009

Prioritizing oil & gas industry competitiveness, securing tax savings and improving fiscal management and accountability of Calgary City Council highlight the Calgary Chamber of Commerce’s policy and advocacy work in 2009

Each year the Calgary Chamber of Commerce surveys you, our members, to determine the most important issues facing your business going forward. We then work hard, through a combination of strategic initiatives, to develop innovative solutions that the Chamber advocates to all three levels of government on your behalf – including regulatory changes, sounder fiscal management, and greater transparency and accountability from our elected representatives.

Our aim and focus is simple – to improve the business environment so that our members are better positioned to grow, and improve and expand their markets.

Your support of the Chamber, through your membership, combined with the contributions of all our members and volunteers, has positioned the Chamber as a strong voice for the local business community.

In 2009, these were your top issue area priorities:

1. Weathering the current economic storm
2. Tax competitiveness
3. Energy industry competitiveness and environmental sustainability
4. Workforce development
5. Fiscal management and accountability of Calgary City Council

Based on these priorities, we developed Priority Area Themes to direct our efforts:

• Economic Competitiveness
• Workforce Development
• Municipal Affairs
• Land, Energy and Energy Environmental Futures

Through the contributions of our standing committee members and expert staff, we achieved significant results. The past year saw growth in the Chamber’s influence from 2008, and we anticipate an even larger number of deliverables in the coming year.

Highlights of 2009 include:

• Making the oil & gas industry competitiveness review a priority of government.
  
• Securing major tax savings in the 2009 federal budget ($20 billion in new tax relief over the next five years).
  
• Alberta’s budget featured the Chamber’s ‘smart spending bandwidth’ to limit operational spending to key economic measures to encourage greater fiscal discipline.
  
• Raising awareness of Aboriginal people as a valuable source of untapped labour and talent through the Aboriginal Workforce Initiative.
  
• As a participant on the Plan It Calgary Stakeholder Advisory Committee, we stressed the importance of housing affordability in the design of the City’s new land use and mobility plan.
  
• Presenting a low carbon energy vision to Canada's and Alberta's Minister of Environment. In major speeches and media comments, Canada’s Environment Minister incorporated many of the Calgary Chamber’s recommendations.
  
• Launched the Coalition for Property Tax Fairness, along with concerned business groups, to score the Mayor and Aldermen on key fiscal and expenditure management issues that are central to the interests of all taxpayers.
  
• Campaigned to improve fiscal management and accountability of Calgary City Council which resulted in:

• Reduction in the 2010 property tax increase from 6.1 per cent to 4.79 per cent.
• New campaign finance rules adopted by Council.
• Reduction of downtown parking rates.
• Limitations on the amount municipalities can charge taxpayers to file a compliant against their property tax assessment.
• Cutting down paperwork and red tape through the introduction of BizPaL, a new online tool designed to help entrepreneurs identify which permits and licences they need and how to obtain them.

These and many more policy and advocacy actions and results are detailed below.

As the world changes quickly, you are encouraged to visit the Public & Government Affairs section of our website from time to time, and to read Insight, our new monthly issues-focused newsletter, to stay up-to-date on emerging issues and our most recent work.

ECONOMIC COMPETITIVENESS

Chamber makes recommendations to improve oil and gas industry competitiveness

A Calgary Chamber of Commerce Task Force of oil & gas industry experts provided recommendations to the Department of Energy as part of the Government of Alberta’s investment competitiveness study underway.

“At the heart of the study is the opportunity to articulate a long-term vision of energy development in the province and create a forward-focused, stable, fiscal and regulatory regime that is globally competitive and responsive to technological change,” said Geoff Pradella, Vice-President of Public and Government Affairs with the Calgary Chamber of Commerce. “The key outcome is attracting investment, creating jobs and ensuring economic prosperity for all Albertans.”

Chamber advocacy results in major tax savings in 2009 federal budget

The federal budget contained $20 billion in new tax relief over the next five years, with major initiatives such as an increase in the basic personal amount and the threshold at which the two lowest personal income tax brackets take effect. It also includes substantive measures to lower the burden on small businesses, and improve access to credit. Planned and previously announced corporate tax reductions, reducing the rate from 22.12 in 2007 to 15 per cent by 2012, were continued, positioning Canada as the most competitive of the G7 countries.

"Our efforts to improve tax competitiveness on behalf of our members have paid off at a critically important time," says Geoff Pradella, Vice-President of Public & Government Affairs with the Calgary Chamber of Commerce. "We made a strong case in our 2009 Pre-Budget Submission, and were pleased to see the government implement almost all of our key recommendations."

Provincial budget adopts Chamber 'smart spending bandwidth'

After intense advocacy efforts by the Calgary Chamber of Commerce on behalf of membership, the Government of Alberta limited the operating spending increase to 3.7 per cent in Budget 2009, roughly the equivalent of population growth plus inflation.

In its pre-budget submission, the Chamber recommended a 'smart spending bandwidth', in which government should set a fiscal target that limits spending increases within a range delimited by population and inflation growth, and real GDP and inflation growth.

Greater competition needed in health system

The Calgary Chamber of Commerce urged the introduction of greater competition into a publicly funded health care system, as part of a presentation to the Minister’s Advisory Committee on Health. Lower costs and higher productivity through technological innovation are expected as providers compete for contracts.

“Health expenditures account for about 35 per cent of the provincial budget,” said Geoff Pradella, Vice-President of Public & Government Affairs with the Calgary Chamber of Commerce. “Realizing cost savings helps the government achieve greater tax competitiveness, a key priority of our membership. In addition, a high quality health care system with minimal wait times is an advantage to attract and retain talented workers.”

During the presentation the Chamber advocated that the Government of Alberta adopt the principle of competition into the legislative framework governing health care in Alberta.

Alberta looks to expand regional free trade agreement

The provinces of Alberta, B.C. and Saskatchewan will soon form a Western Canadian free trade zone after a joint cabinet meeting announcement.

“This is very positive news and will serve to streamline regulations and reduce regulatory and licensing costs for companies operating across the three provinces,” said Geoff Pradella, Vice-President of Public & Government Affairs with the Calgary Chamber of Commerce. “Our Chamber has consistently and strongly encouraged the Government of Alberta to aggressively push for elimination of all interprovincial trade barriers in Canada.”

Open skies open up opportunities for trade and tourism

Alberta has joined forces with Saskatchewan and British Columbia to urge the federal government to create more open skies air service agreements. The intent is to remove restrictions on air access between countries in terms of permitted airlines, specific ports of entry, price regulation and size of aircraft.

The Calgary Chamber of Commerce recently wrote to the federal Minister of Transport, Infrastructure and Communities in support of additional open skies agreements and to expand existing Air Service Agreements (ASA) by granting foreign carriers landing rights in airports in Western Canada, where market assessments and traffic volumes warrant such action.

Chamber helps defeat U.S protectionism

Chambers of Commerce across Canada united in a campaign to reaffirm to our American neighbours the importance of free trade to economic recovery, and in doing so, successfully altered a "Buy American" provision in the recently enacted U.S. stimulus package. Thanks to these advocacy efforts, the provision was modified to require that existing international trade agreements not be violated, essentially eliminating the protectionist threat to Canada.

As a partner in this initiative, the Calgary Chamber of Commerce urged its members to contact U.S. suppliers and friends and explain why such a measure could backfire. They were also asked to contact their Senators and House representatives to have the "Buy American" provisions removed, or an exemption added for Canada.

WORKFORCE DEVELOPMENT

Chamber Aboriginal Workforce Initiative reaches ‘action stage’

In the hectic past few years prior to the recession, Alberta companies searched far and wide for talent through international recruitment junkets, temporary foreign workers became common vernacular and Canada’s immigration system was pushed to brink. Things have slowed but workforce demands still remain.

“Long-term demographic changes and economic expansion will continue to drive demand for labour in Alberta,” said Ben Brunnen, Manager of Policy & Research at the Calgary Chamber of Commerce. “Smart companies will plan for the next wave of growth.”
A key part of this workforce strategy should involve the Aboriginal community, contends Brunnen, who authored a Chamber research report on the subject.

Access the Aboriginal Workforce Initiative website

Aboriginal Workforce Symposium links business to largest source of untapped talent

Aboriginal Workforce Symposium links business to largest source of untapped talent
Business and First Nations leaders, government officials and Aboriginal service providers gathered at a Calgary Chamber of Commerce symposium on March 25 and 26 to discuss how to improve labour market outcomes of Aboriginal people and fulfill businesses' need for a local and reliable workforce.

A major research report released by the Calgary Chamber of Commerce at the Symposium found that increasing Aboriginal employment rates to levels similar to the non-Aboriginal population may provide 14,000 additional workers to the provincial economy.

Symposium Resource Website

Career Show links present and future HR needs with prospective employees

Over the Halloween weekend approximately 2,500 people attended the Career Show, a two-day career information and preparation event, hosted by the Calgary Chamber of Commerce and the Talent Pool Development Society of Calgary.

“The economy is flat,” said Julie Ball, General Manager of the Career Show and Executive Director of the Talent Pool Development Society of Calgary. “We wanted to give Calgarians the information they need to make an impact in their career and prepare for future job opportunities.”

New foreign credential recognition initiative holds promise to better engage immigrants

Under a new federal-provincial accord signed in November 2009, foreign-trained workers who apply to be licensed or registered to work in certain fields will obtain an assessment within one year. Foreign-trained architects, nurses and engineers are among those who will benefit.

“Unnecessary barriers to foreign credential recognition exist in many professions and sectors,” said Julie Ball, Executive Director of the Talent Pool Development Society of Calgary, a Calgary Chamber of Commerce initiative to better utilize untapped sources of talent. “New Canadians need the shortest, most practical route to obtain Canadian credentials in their professions, without sacrificing standards, quality or safety.”

The Chamber identified foreign credential recognition as a major impediment to fully utilizing the skills of new immigrants in past meetings with government officials, and submitted a 2008 policy resolution that was adopted by the Alberta Chambers of Commerce, with recommendations on specific changes that would improve the situation.

Proposed CPP changes give older workers greater flexibility and increase talent pool for employers

Ottawa has proposed changes to the Canada Pension Plan (CPP) to make it easier for older workers to remain in the workforce and transition gradually into retirement.

"Older workers represent a significant source of underutilized talent and labour supply in the Canadian economy," said Geoff Pradella, Vice-President of Public & Government Affairs with the Calgary Chamber of Commerce. "However, federal government retirement programs do not reflect current and future demographic, retirement and life expectancy realities and create disincentives for older workers to participate in the labour force."

In 2007, the Chamber submitted recommendations to alter the CPP, Old Age Security (OAS), and RRSP programs. The Chamber estimates the changes could add 767,000 (3.5 per cent) workers in Canada, with 80,000 of those in Alberta.

MUNICIPAL AFFAIRS

Chamber efforts help City Council take a step in the right direction in 2010 budget deliberations

After one day of debate, City Council passed adjustments to the 2010 budget with a property tax hike of 4.79 per cent, down from the original projection of 6.1 per cent.

“We hoped to see additional spending restraint to reflect the reality that businesses and families in our city are struggling,” said Geoff Pradella, Vice-President of Public & Government Affairs with the Calgary Chamber of Commerce. “The central message to City Council was - do all that you can to reduce the tax burden on Calgarians. The work to minimize the tax increase did acknowledge these concerns.”

City Council agrees to campaign finance reform

Long-standing efforts by the Calgary Chamber of Commerce to encourage reform of campaign finance rules resulted in a win for taxpayers concerned with transparency and accountability.

In November, City Council agreed to new rules for alderman and mayoralty candidates. Campaign donation amounts will now be capped at $5,000. Candidates can also voluntarily sign a declaration to donate any campaign surplus to charity if they don’t run again and voluntarily disclose campaign contributions of $100 or more on nomination day, a month before the election.

Municipal Auditor General bill fails but key tenets remain

While new legislation to create a Municipal Auditor General was scrapped in November, the Municipal Affairs Minister has committed to initiatives that will improve fiscal accountability, oversight and transparency at the municipal level.

“Calgary’s business community has been a vocal proponent for the creation of a Municipal Auditor General,” said Heather Douglas, President & CEO of the Calgary Chamber of Commerce. “An independent office would have conducted value-for-money audits so that much-needed cost reductions and spending efficiencies could be realized, much like the Auditor General role at the federal and provincial level.”

Instead, the Ministry of Municipal Affairs said it will move forward with a four point plan to accomplish these same goals. Elements include reviewing the independence of existing municipal auditors, corporate reviews for municipalities below a set population, publishing the management letters of every municipal audit, and a website where municipal financial information is easily available to the public.

Reduction of downtown parking rates is a good first step

The Calgary Parking Authority (CPA) announced cuts to on-street rates and some surface lots and parkades after approval from City Council during the municipal budget discussions.

“The reductions were certainly a step in the right direction,” said Ben Brunnen, Manager of Policy and Research with the Calgary Chamber of Commerce. “Our members have been clear that parking rates are too high and are an impediment to greater business activity in the city centre.”

The Chamber has been a vocal proponent for parking fee reductions, supporting a City Council motion in June to reduce fees by 25 per cent and through media comments and opinion editorials. Calgary’s parking is some of the highest in North America.

New taxpayer coalition grades Calgary Mayor and Aldermen on key fiscal and expenditure management issues

The Coalition for Property Tax Fairness has released its first Calgary Municipal Report Card based on four criteria: taxpayer-friendly voting record, office budget management, initiative in policy making, as well as proactive stakeholder engagement and responsiveness.

View website
News Release
Municipal Report Card
Backgrounder

Chamber efforts ensure property assessment complaint fees remain fair

The Government of Alberta recently limited the amount municipalities can charge taxpayers to file a compliant against their property tax assessment. The move ensures the appeal system provides the widest possible access, while deterring frivolous appeals. The limit was placed after the Calgary Chamber and other business organizations raised concerns over the City of Calgary's recent changes to the fee structure.

BizPaL makes obtaining a business permit or licence more user friendly

Getting a business up and running got a whole lot easier last month with the introduction of BizPaL, a new online tool designed to help entrepreneurs identify which permits and licences they need and how to obtain them.

The partnership among the City of Calgary, Government of Alberta and the Government of Canada is designed to cut down on paperwork and reduce red tape.

"The Chamber is pleased to see BizPaL up and running in our city," said Geoff Pradella, Vice- President of Public & Government Affairs with the Calgary Chamber of Commerce. "Providing this innovative tool was a key recommendation of our Renaissance Calgary strategy released during the 2007 municipal election. It will improve the way we do business in the city."

LAND, ENERGY & ENVIRONMENTAL FUTURES

Chamber presents a low carbon vision to Canada's Minister of Environment

With federal climate change regulations expected, Chamber members, Directors and staff outlined key positions to Jim Prentice, Minister of Environment during a meeting in mid-May. Climate change actions have the potential to add significant compliance costs to Canadian businesses and are likely to be passed along to consumers. They could potentially divert financial resources to jurisdictions where they are least needed, in the case of a poorly designed cap-and-trade system, and could have the effect of making Canadian industries uncompetitive.
The Chamber outlined a vision of Canada becoming a leading low carbon energy user, producer and exporter.

Publication - Positioning Canada as a leading low carbon energy user, producer and exporter

Chamber climate change recommendation to be implemented

Alberta’s $2 billion carbon capture and storage (CCS) fund has begun to be allocated, marking an important new phase to develop technology to reduce greenhouse gas emissions in fossil fuel production. The province will provide $745 million to Shell Canada Energy’s Quest project to capture CO2 from an upgrader in the Industrial Heartland and $436 million to TransAlta to develop CCS in a coal-fired power generation station just west of Edmonton, with the federal government also contributing to the projects.

“For many years we have advocated for a joint industry/government energy research, investment and development initiative, focused on technological innovation that will reduce our environmental impact,” said Geoff Pradella, Vice-President of Public & Government Affairs with the Calgary Chamber of Commerce. “New technology is critical to our province reducing greenhouse gas emissions cost effectively.”

New federal $1 billion clean energy research fund critical to carbon challenged

The federal government plans to invest $1 billion over the next five years to develop clean energy technologies. The Clean Energy Fund, launched in May, will work in the same way as the Alberta government's $2 billion fund for carbon and capture and storage (CCS) demonstration projects. A substantial amount of the federal funding is expected to be spent in Alberta, as the province is the largest carbon producer.

The Chamber has advocated for a major industry and government energy research and development initiative similar to the Alberta Oil Sands Technology Research Authority (AOSTRA), created in the 1970s, that spurned the industry.

ADDITIONAL PRIORITIES

Pandemic Influenza Planning Toolkit for Business

As the number of human cases of H1N1 influenza ("swine flu"), a virus many experts believe has the potential to trigger a global pandemic outbreak, continues to rise around the world, businesses should be aware of the steps they can take to mitigate the threat of pandemic influenza. Scientists and health professionals agree that the effects of a pandemic on the public-at-large will be widespread and disruptive. The impact on businesses may also be severe as projected rates of staff absenteeism and death will reduce human resources and hinder key operations.

In response to this ongoing threat, the Chamber released A Pandemic Influenza Planning Toolkit to provide its members, and other interested organizations, with an easy-to-use guide for developing an internal pandemic influenza response strategy.

Visit the website
Pandemic Influenza Planning Toolkit
Op-Ed: Getting ready for the flu

Expanded our influence - Calgary policy on tax competitiveness, health care reform, climate change and other priorities adopted by Chambers across Canada

The Calgary Chamber of Commerce is a leader in developing positions that all Chambers in Alberta and Canada have adopted as policy resolutions. Through the invaluable effort of our committee volunteers, this year we successfully passed nine resolutions at the Alberta Chambers of Commerce AGM (May 29) and one resolution at the Canadian Chamber of Commerce AGM (Oct. 5).

Story - Calgary makes impact at Canadian Chamber AGM
View the resolutions

OPINION EDITORIALS

Economic Competitiveness

December 17, 2009
Our oilpatch needs Christmas miracle

December 3, 2009
When will Alberta learn its lesson?

October 22, 2009
Time to scrap unnecessary law

September 10, 2009
Playing chicken with royalties

July 30, 2009
Everyone loses in a trade war

April 23, 2009
Some debt is 'smart'

February 26, 2009
Wise spending order of day

Workforce Development

October 11, 2009
Employment trends meet talent crunch

October 8, 2009
World feels heat in Copenhagen

August 13, 2009
EI equality needed

July 16, 2009
Poverty cycle must be broken

March 26, 2009
We can't afford to waste talent

Municipal Affairs

November 19, 2009
What? No tax revolt?

August 27, 2009
Crossing street for democracy

August 14, 2009
No quotas on Hansom cabs

July 2, 2009
The public purse isn't bottomless

June 18, 2009
We're on right Plan It

June 4, 2009
Chamber led fight for reform

March 12, 2009
Great cities build affordable housing

February 12, 2009
Curbs needed on parking fees

Land, Energy & Environmental Futures

May 21, 2009
New approach to energy game

May 7, 2009
Low carbon conundrum

April 9, 2009
Cap and trade's a sucker punch

Additional Priorities

September 24, 2009
Getting ready for the flu

INFORMATION AND FEEDBACK