Alberta Premier Danielle Smith said last week using taxpayer money for advertising materials related to the referendum was justified. 'I mean, they are government-sponsored questions, so I’m not going to just be a bystander in this.'Jeff McIntosh/The Canadian Press
Groups preparing to stake out their positions on Alberta’s fall referendum are concerned that Premier Danielle Smith’s government has an unfettered runway to spend public money on advertising ahead of the upcoming vote, calling it a “David and Goliath” battle for public opinion.
And with a vote on provincial independence potentially being added to the ballot, proponents and opponents of separation worry the government could use its vast resources to tip the scales depending on the position it takes.
Alberta’s referendum, scheduled for Oct. 19, will see residents vote on a range of nine proposals including immigration and constitutional issues. One suggestion would require non-permanent residents to live in the province for a year before qualifying for public social support programs. Another proposes requiring non-permanent residents – who pay taxes on income from Canadian sources – pay fees for health care and education.
The referendum may also include a tenth question on provincial independence, depending on the outcome of a campaign to get it on the ballot and an upcoming decision by a Court of King’s Bench judge.
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“We are going to be advocating for these positions,” Ms. Smith said last week, referring to the nine questions currently slated to be in the referendum. She was speaking after unveiling a government website aimed at persuading residents to vote in favour of her proposals.
She said using taxpayer money for advertising materials was justified.
“I mean, they are government-sponsored questions, so I’m not going to just be a bystander in this. We’re going to be out actively persuading the public that this is the direction we want to go.”
In a referendum campaign or during a general election, political parties and advertisers are subject to rules governing how much they can spend in the lead-up to a vote. Until recently, the law limited government advertising on referendums if they were held during a general or local election, but the rules around a standalone referendum were unclear.
Last spring, however, in the same bill that made it easier for citizen-initiative efforts to reach a vote, the province clarified that there are no restrictions on government advertising in a standalone referendum, such as the one scheduled later this year.
Alberta’s complex referendum finance rules have attracted substantial attention in recent months. Elections Alberta is investigating the Alberta Prosperity Project, a pro-independence group, for potentially flouting expense limits that would force it to disclose its donors.
And last weekend, Avnish Nanda, an Edmonton-based lawyer campaigning against Ms. Smith’s immigration proposals, filed a complaint to Elections Alberta arguing the government shouldn’t be allowed to spend public money on advertising during a referendum, describing the practice as “undemocratic and unfair.”
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The rules set by the government put it on different footing than political parties and third-party advertisers.
Last week, Ms. Smith’s government further changed election-finance rules, removing the $5-million advertising spending limit for parties, constituency associations and MLAs during referendums.
Meanwhile, third-party advertisers are allowed to spend up to $607,000 during a referendum period, which begins once a referendum question is approved through a government-issued order in council. Further, they are limited in how much they can raise from donors: individuals, corporations and unions can give $5,000 annually.
The government has not said whether it has an advertising budget for the referendum. Yonathan Sumamo, assistant deputy minister of communications and public engagement, said in a statement that the campaign is ongoing and final costs “will be reported through standard government disclosure processes.”
The government’s referendum website is administered under the executive council – Ms. Smith’s chief executive body – which has a $104-million budget for the current fiscal year.
Groups across the ideological spectrum have raised concern that the province can put its thumb on the scale, because it is both unencumbered by spending limits and doesn’t have to fundraise for its cause.
Mitch Sylvestre, leader of the pro-independence group Stay Free Alberta, said he’s concerned the government could use its financial firepower to advocate against separation. Ms. Smith last week said she believes Alberta should remain in Canada.
“They’re going to be able to spend unlimited amounts of money,” Mr. Sylvestre said.
Independence leader Jeffrey Rath recently told The Globe he had filed paperwork to establish a pro-independence group called the Alberta Prosperity Party to avoid being limited by third-party advertising rules.
Thomas Lukaszuk, the former deputy premier behind the successful Forever Canadian petition, to counter separation efforts, compared the situation to “David and Goliath,” suggesting the province may advocate for independence.
“Ironically enough, they will be spending Forever Canadians’ money on campaigning against Forever Canadian because Forever Canadians are taxpayers,” he said.
Stephen Carter, a long-time political strategist in the province, has recently been attempting to revive the Alberta Liberal Party – which hasn’t won a seat in the provincial legislature since 2015 – to be a vehicle for campaigns resisting Ms. Smith’s referendum proposals.
Mr. Carter said the government’s unlimited financial resources has given it runway to spend millions on campaigning to get the answers it wants.
“However you get your money, the Government of Alberta is going to raid your tax dollars just to spend on something you may or may not support,” Mr. Carter said.
Mr. Nanda, the Edmonton lawyer asking Elections Alberta to suspend Ms. Smith’s campaign, argued that the regulator should adapt referendum laws to prevent the province from advertising ahead of the vote.
“If the government can spend unlimited taxpayer dollars, use the full weight of the bureaucracy to support its position and then limit everyone else who is opposing it, how is that going to lead to results that are based on robust and open debate over these policy issues?”
Mr. Nanda said on Wednesday that Elections Alberta has declined to investigate his complaint.