Alberta announces $8.6-billion school building program

Key Takeaways:

• Alberta’s government is investing $8.6 billion to create 200,000 new student spaces across the province over the next seven years. This initiative includes both the construction of new schools and the modernization of existing ones.
• Starting in Budget 2025, this program will fast-track the development of up to 30 new schools and eight modernization projects each year for the next three years. The program aims to deliver 50,000 new or modernized student spaces in three years, with more than 150,000 to follow over the next four years.
• The Calgary Construction Association acknowledges the ambitious goals but highlights challenges, particularly in procurement processes and addressing labour shortages. The CCA stresses the need for collaboration with the government to ensure timely and successful project delivery.

The Whole Story:

Alberta’s government is committing $8.6 billion to complete and open 200,000 new student spaces across the province in the next seven years.

Starting in Budget 2025, the new School Construction Accelerator Program will kick-start up to 30 new schools and as many as eight modernizations and replacement schools every year for the next three years.

“Every student deserves a quality education in a school that can meet their learning needs and set them on a path to success in the future,” said Premier Danielle Smith. “As hundreds of thousands of people are choosing to make Alberta their home, we are responding by funding and building the schools our fast-growing communities need. As we build, we’re asking school boards and municipalities to work with us so we can get shovels in the ground as quickly as possible.”

According to the province, the Calgary Metropolitan Area and Edmonton Metropolitan Region, along with other communities, have been feeling the pressures of strong student growth and aging school infrastructure.

The province stated that the School Construction Accelerator Program will result in 50,000 new or modernized student spaces over the next three years – and more than 150,000 new and modernized spaces over the following four years. In total, the School Construction Accelerator Program will mean approval for up to 30 new school projects and as many as eight new modernization and replacement projects every year over the next three years. In addition to the school projects, 20,000 new student spaces will be delivered through modular classrooms over the next four years.

Officials noted that the program takes immediate action to speed up the construction of schools by enabling school projects to be approved in-year for their next stage in the construction process without having to wait for the next budget cycle. This means all previously approved school projects currently in the planning and design stages can move forward to the next stage as soon as they are ready to do so. Through this change, 10 previously announced priority school projects are now approved for the next stage of project delivery, including six moving to full construction.

The Calgary Construction Association (CCA) stated that it welcomes Premier Danielle Smith’s ambitious School Construction Accelerator Program.

However, the CCA noted that there are challenges that lie ahead in ensuring the successful execution of this program. Key among these are the need for improvements in procurement practices and mitigating the ongoing labour shortage within the construction sector.

The CCA stated that it values its ongoing relationship with the Government of Alberta and is eager to collaborate in addressing these hurdles. They believe that by working together to enhance procurement processes and adopting balanced risk management frameworks, the association and the province can encourage more participation from industry stakeholders and ensure fair and competitive bidding. The CCA believes that without these reforms, Alberta risks delays and under-resourced projects, which would undermine the program’s potential.

In addition to procurement, the ongoing labour shortage is a shared concern that could impact the delivery of these large-scale projects.

“We acknowledge the Government of Alberta for prioritizing education infrastructure, and we are ready to collaborate on ensuring the success of the School Construction Accelerator Program,” said Bill Black, President and CEO of the Calgary Construction Association. “By working together with the Government to reform procurement practices and address the labour shortage, we can ensure these critical projects are delivered on time and to the highest standard.”