Feds cut off 351M$ in BC Health Funding

[French Castanut]

Feds will start a per capita health funding system in 2014, meaning that Alberta will gain an extra 1,000,000,000$ annually.

Ontario will be losing out on $382 million annually, British Columbia will be down $351 million and Quebec will see $210 million less each year

http://www.castanet.net/news/Canada/727 ... -your-loss

I wonder why is it that BC gets cut as much as Ontario... but have only ¼th of it's population?
I mean... why does BC receives more per capita than the ROC?

[hobbyguy]

This seems to be part of the Conservative party philosophy of "I'm alright Jack". The notion of equalization and apportioning revenues is what makes us a nation, not a collection of provinces/territories.

The "you're on your own" sentiment reflects a short term appeasement of avariciousness. That is, at the moment Alberta is blessed with high oil revenues, and seems to be saying "all mine, none for you" to the rest of Canada. While that is an oversimplification, the danger is that we degenerate into less than a nation. There will come a time when the fostering of this kind of sentiment will come back to bite us all.

Just one example of this is the impact on the proposal to build the pipeline to the west coast. BC'ers can now genuinely say "we get the risks and you get all the benefits? - go fish!". Or maybe "we assume all these risks, so you put up $100 billion as a risk bond, and we want a 6% commission on every barrel".

On a smaller level, when I made good money in my working life, I never resented paying fair taxes because I could see that those funds were going to make life better for all, and my good fortune was a result of living in the country/province I live in. Heck, fate could have had me born in Somalia!

Beware this "all mine" sentiment!

[kamcut]

Feds will start a per capita health funding system in 2014, meaning that Alberta will gain an extra 1,000,000,000$ annually.


http://www.castanet.net/news/Canada/727 ... -your-loss

I wonder why is it that BC gets cut as much as Ontario... but have only ¼th of it's population?
I mean... why does BC receives more per capita than the ROC?

From what I understand, the old formula also took into account things like the age of the population so I guess our overall population was older than Ontario and considerably older than Alberta. It also took into account the realitive wealth of the Province. The new funding is strictly based on how many people live in your province, regardless of age, health etc. Everyone now gets the same amount per capita.

[NAB]

My understanding is that this is an agreement put together between the provinces and Ottawa around 5 years ago (to distribute federal health care funding on the basis of population), but left the details to be worked out, along with revamping the equalization formulas (now to be capped in line with economic growth, and growth in per capita health care funding now to be controlled the same way).

It certainly seems to be a quantum shift in the original intent of "equalization", but as I recall Alberta has been whining about the previous formula's for years (so no surprise they will be very happy with this change) - and Quebec seems to be always whining for more federal money at every turn to help fund their always over the top social justice programs. Still, as it applies to BC, it may turn out to be a mixed blessing (?), depending on how future funding/transfers (health and equalization) work out in balance against one another, ...and both against actual economic growth. Still, for provinces that will receive less compared to previous funding specifically related to health care, it remains to be seen how each, specifically in this case BC, ...will be forced to respond in the face of the very serious pressures that have been building up in our health care sector... ...and where the money to do so will come from. Or, alternatively, where there is fat that can be trimmed.

Fortunately, we appear to have until our provincial budget is balanced as promised in 2014/15 to figure it out. ;-)

Nab

[albertabound]

That is the way it should be, same amount for all and per population, provinces should look after the money they get, not blow it because they think they will get more.

[albertabound]

Provinces elect idiots and expect others to pay for their elected idiots. BC has always had some really
bad people elected, resourses have always been rich untill screwwed up.

[Homeownertoo]

As a system, equalization has been highly destructive of provincial economies and has excelled in stirring up inter-provincial animosities. Hopefully, this is a small first step in the wise direction of dumping the equalization system. BTW, it has nothing to do with defining us as a nation.

[hobbyguy]

I beg to differ. Equalization is very important to nationhood. Maybe not 100%, or you distort population areas, but without equalization to a reasonable degree, negative forces such as the PQ separitists gain ground.

Sooner or later the worm turns, and those provinces that are on top at the moment (and by moment I refer to historical context, i.e. decades and even centuries) may find that equalization wasn't such a bad thing.

By the way, albertabound, why are you here? And in the context of the medical cost structure, I have met lots of folks who came from Alberta/Sask/Man to B.C. to retire. I haven't known anyone that retired to Alberta/Sask/Man from B.C. (doesn't mean it doesn't happen...but). So B.C. gets higher medical costs with retirees... See how easily negative stuff can creep in without equalization of sorts?

Per capita funding reminds me of "average price". The old story, on my desk is a laptop, some felt pens, pad of paper, pencils, paper clips, etc. Average price of the items, if put up for sale, $4.00. Guess what, sell lots of laptops, no paper clips. So the per capita funding seems logical and fair, but as soon as you put it context and apply a bit of thought...not so much.

[erinmore3775]

Hobbyguy you are right on. While equal payments for medical for everyone seems to be the best policy it does not take into consideration the direct costs related to the age of the person receiving medical attention. The average medical costs per capita are significantly greater for those over 65 years of age than those under the age of 35.
The fairest payment system would take into consideration not only population but the distribution of population on an age basis. However, to do this you need a very accurate census, something that has been curtailed in the last year!

[Bestside]

I beg to differ. Equalization is very important to nationhood. Maybe not 100%, or you distort population areas, but without equalization to a reasonable degree, negative forces such as the PQ separitists gain ground.

Sooner or later the worm turns, and those provinces that are on top at the moment (and by moment I refer to historical context, i.e. decades and even centuries) may find that equalization wasn't such a bad thing.

By the way, albertabound, why are you here? And in the context of the medical cost structure, I have met lots of folks who came from Alberta/Sask/Man to B.C. to retire. I haven't known anyone that retired to Alberta/Sask/Man from B.C. (doesn't mean it doesn't happen...but). So B.C. gets higher medical costs with retirees... See how easily negative stuff can creep in without equalization of sorts?

Per capita funding reminds me of "average price". The old story, on my desk is a laptop, some felt pens, pad of paper, pencils, paper clips, etc. Average price of the items, if put up for sale, $4.00. Guess what, sell lots of laptops, no paper clips. So the per capita funding seems logical and fair, but as soon as you put it context and apply a bit of thought...not so much.

Good posts Hobbyguy... and we have a slew of Albertans that live year round in the Okanagan and keep a post office box in Alberta so they can buy cheap there and cut out the BC economy.

If it goes this way of each province on their own, then the Border between Alberta and BC will be the same as the Border between China and BC. It will then be more cost effective to welcome people from China/Asia, and kick the Alberta free loaders back east.