Alberta Finance Minister Joe Ceci says he’s “agnostic” about federal equalization payments following comments from Saskatchewan Premier Brad Wall that the program should be halved to better support national infrastructure.

On Monday, Ceci was asked for the NDP government’s position on the $17 billion equalization program shortly after meeting with the Edmonton Chamber of Commerce (ECC) to discuss the upcoming Budget 2015 and Budget 2016.

“We’ve contributed to this great country of ours and have been the recipient of many people who’ve traveled here to improve the quality of life in Alberta and become a part of our future. I’m kind of agnostic, I guess, in terms of the transfer payments that are currently in place and it’s not something as the Finance Minister that I’m focused on at this point in time,” he said.

Ceci said he hasn’t discussed equalization with Premier Rachel Notley and “Brad Wall can do what Brad Wall wants to do.”

Last week, Wall called the program “dated and not always efficient”, suggesting that the federal government half the program’s funding to “have not” provinces and use it instead for a combination of infrastructure work and tax cuts.

“Imagine what $8.5 billion to $9 billion more federal dollars could do in terms of national infrastructure,” he said. “Perhaps Canadians would rather see a split between infrastructure investment and permanent, sustainable tax relief to build the economy.”

Wildrose finance critic Derek Fildebrandt said his party supports the spirit of Wall’s comments, calling equalization a “permanent welfare program” for other provinces that has long translated to “a shake down of Alberta taxpayers.”

“This unfortunately follows through with Premier Rachel Notley’s view that other provinces are free to veto our economic development while still collecting billions in equalization payments,” he said. “At the end of the day, comments like this make you wonder who’s the home team.”

Ceci said he “doesn’t need to go looking for more work from other premiers” as his hands are full with budget consultations. He discussed both economic and social issues with chamber members in a closed-door meeting where insiders say he telegraphed a “hold the line” budget coming this fall.

Chamber members also discussed the government’s plan to increase Alberta’s minimum wage to $15 per hour by 2018, calling for a graduated increase for new employees or new subsidies to lessen the impact on small business. The minimum wage is set to increase by $1 to $11.20 this October.

“We feel that it needs to be looked at in a different way...It’s a matter of looking at the overall package of goods that employers are actually paying,” said Edmonton Chamber President and CEO Janet Riopel.

Riopel said employers are concerned about the “trickle up effect”, as a higher minimum wage puts pressure on employers to raise wages across the board. Riopel said they’re asking the government to consider it “on a slower basis”, recognizing that most employers also provide training, health care coverage, transportation costs and more.

matthew.dykstra@sunmedia.ca

@SunMattDykstra

5 concerns addressed by Finance Minister Joe Ceci

1. Low Oil

The continues decline in oil prices reached a new low last week when West Texas Intermediate crude closed below $44 per barrel US. Ceci said the government is building it's budget on a "realistic number" for oil prices. "Oil is what it is and we'll just have to take a good view on what we think it will be and plan accordingly," he said.

2. Investment

The Edmonton Chamber of Commerce said it wants to see the government grow Alberta's economic competitiveness. "People are talking a lot about investment, a lot about being able to have confidence," said Ceci. "(We're asking) 'what can the government do to ensure there's confidence going forward for investment in this province?'"

3. Taxes

One of the discussion points revolved around how the government can better fund public services. Some discussion was had about the NDP government's move to increase the corporate tax rate from 10 to 12 per cent. Ceci said he was "quite clear" that the NDP will not be bringing in a PST.

4. Minimum Wage

Ceci said several business leaders mentioned ways for the government to lessen the impact of minimum wage increases on small businesses. "Maybe there's some graduated increase for new employees...maybe there's a way to subsidize business, maybe there's a way to ensure the Summer Temporary Employment Program helps smaller businesses," he said.

5. Social Issues

Ceci acknowledged concerns that a higher minimum wage won't fully address social issues if there isn't a greater partnership between government, private contractors and the non-profit sector to tackle the affordability and availability of housing. "There's a challenge with approvals with the ability to have inclusionary zoning and I told them that was under serious consideration at the provincial level," he said.