Ted Woynillt, of the Calgary chapter of the Council of Canadians, gives a presentation on the The Trade, Investment, Labour
Mobility Agreement (TILMA) between Alberta and B.C. at the Okotoks Public Library last week. photo by Don Patterson |
By Don Patterson
Staff Reporter
An agreement hailed to improve trade ties between Alberta and B.C. is coming under fire from critics who claim the agreement will reduce the powers of municipalities, putting more control in the hands of businesses and the Provincial governments.
The Trade, Investment, Labour Mobility Agreement (TILMA) is intended to remove barriers to economic trade between the two provinces. However, according to the Council of Canadians, it will have a profound impact on the ability of local governments to make decisions.
“Many Albertans have not heard about TILMA, but the consequences are significant,” said Ted Woynillt, with the Calgary chapter of the Council of Canadians. Woynillt gave a presentation on concerns about the agreement at the Okotoks Public Library on April 16.
The agreement expands on the national Agreement on Internal Trade (AIT). It will create the second largest single market in Canada with nearly eight million people and an economy worth more than $400 million.
The agreement was signed in April 2006 and was enacted for the two provincial governments a year later. Following a two-year transition period, TILMA will be in full force in 2009.
Mike Deising, Alberta Intergovernmental Affairs spokesman, said average Albertans will see benefits under the program. He said TILMA will make it easier for small, Alberta-based businesses to expand into B.C. or for professionals to work in both provinces without
having to recertify.
“For the average Albertan, TILMA will help that teacher who wants to move to Vancouver or the teacher who wants to move from Vancouver to Okotoks,” said Deising.
Woynillt said the Province doesn’t need to approve such a far reaching agreement to improve inter-provincial trade.
He argued the agreement will limit the ability of governments to make decisions and will see local government powers whittled away through TILMA.
In one example, if a town has a local purchasing policy, he said companies could challenge it under the agreement as not providing an open bidding process.
“Frankly, some communities prefer to use local suppliers and that should be an entitlement,” he said.
In a second example, he suggested affordable housing programs constructed with public dollars could be challenged.
Liberal MLA Harry Chase said the Liberal Party supports the development of an economic “Western Tiger.” However, he expressed concern about a number of elements of the agreement.
“There are aspects of provincial trade we support, but the idea of the lowest common denominator on labour issues, which is a large part of the TILMA, is a great concern to us,” said Chase, who represents the Calgary-Varsity riding.
He said the agreement will centralize more power in the hands of the provincial government and away from
local governments.
“That will erode the power of municipalities to make the local decisions that are absolutely essential to the
welfare of the community,” Chase added.
While the agreement was debated in the B.C.
Legislature, he said there wasn’t any discussion in Alberta’s before TILMA was signed.
Because TILMA is a bi-lateral agreement between provinces, Deising said it falls outside the regular legislative process and, as such, didn’t require a vote in the legislature.
“Two governments can enter into agreements like this… It doesn’t need to be amended to any statute to become an agreement,” he said.
However, Deising said the province will have to amend legislation with TILMA and this process will be done through the legislature.
The government introduced Bill C-1 last week to start the integration process for TILMA.
It will do such things as reconciling corporate registries, eliminating the need to register in both provinces, and allows Alberta to waive certain corporate requirements when energy regulators agree to an equivalent, higher standard.
Deising stressed social policies such as affordable housing, health, the environment, taxation, first Nations, water and other areas are excluded from the agreement.
As well, he said TILMA will not restrict the ability of municipalities to make bylaws regarding zoning, or height restrictions.
The agreement will affect municipalities, academic institutions, school boards and health authorities, what Deising referred to as the MASH sector. Each will be required to bring policies in a number of areas in-line with each other’s.
He said the government has already consulted with the Alberta Urban Municipalities Association and the Alberta Association of Municipal Districts and Counties and sent letters to municipalities.
“We’re open to hearing what all municipalities have to say, because we want to make sure we get this agreement right,” Deising added.
He said the Sustainable Okotoks Policy and the population cap shouldn’t be a concern as long as the Town treats parties from both Alberta and B.C. fairly.
“If that’s Okotoks’ law and their implementing it fairly for Alberta and B.C. investment, then that’s fine,” said Deising.
Deising said the biggest impact will be for purchasing and procurement policies. He noted municipalities have had to operate under the AIT since 1999, which requires open bidding for goods and services valued at more than $100,000 and for construction projects worth more than $200,000.
He said lower thresholds for procurement policies are being considered for municipalities, however, this hasn’t been decided.
Under TILMA provincial governments will be required to have an open process for the purchase of goods worth more than $10,000, services more than $75,000 and construction projects worth more than $100,000.
“The important thing is, it’s opening up more opportunities,” he said. “It’s a bidding process. It’s saying, ‘you have to open this up, just like you do under the AIT.”
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