Opinion: City council must prioritize infrastructure in November budget deliberations

via Calgary Herald by Bill Black and Frano Cavar

As Calgary’s population surges, city council’s upcoming budget discussions must prioritize infrastructure. Maintaining existing infrastructure is no longer enough; our city needs forward-thinking strategies to support its status as a resilient, prosperous hub. For too long, infrastructure has been regarded as a necessary but uninspiring expense to politicians and voters alike. Yet, with a strategic approach, these investments can become essential drivers of growth and long-term resilience.

Calgary’s recent growth numbers are striking: the metro area welcomed more than 96,000 new residents in 2023, and projections show similar growth ahead. This growth speaks to Calgary’s appeal and economic vitality but also brings strain on already aging infrastructure. The Calgary Construction Association experiences these challenges first-hand, as our members work across the city on projects from transit to water systems to critical infrastructure such as bridges and roads. Our network, largely built decades ago, is straining under a weight it was not designed to bear.

Last summer’s water main failure was a stark example of our infrastructure’s vulnerability. While the city’s response was swift, it’s clear that emergency efforts alone cannot deliver long-term resilience. Such disruptions affect public safety, quality of life and livelihoods and, without action, they risk eroding Calgary’s competitiveness as a city in attracting investment, innovation and talent.

City council cannot afford to overlook this wake-up call in their budget discussions. The water main failure illustrates the need to assess, and invest in, Calgary’s aging infrastructure.

As is the case with most cities, Calgary faces a significant infrastructure deficit — that is a gap between resources available and what is required. City administration estimates this deficit to be roughly seven per cent of Calgary’s total infrastructure stock, worth around $7 billion. Addressing this deficit is crucial; failing to do so could lead to higher maintenance costs, more frequent disruptions, a diminished quality of life for Calgarians and an inability to support continued population growth.

Infrastructure is not merely an expense or a sunk cost; it is an investment in Calgary’s future. Roads, bridges, transit, utilities and water systems are essential pillars that keep our city functioning and thriving. When well-maintained and future-proofed, infrastructure enhances productivity, drives economic growth and improves quality of life.

Beyond the upkeep of existing assets, Calgary also urgently needs investment in new infrastructure that meets the demands of its expanding population and evolving economy. Visionary projects including the reimagined Green Line LRT are essential not only for improving our transit network but also for attracting future development, creating jobs and reducing environmental effects. These forward-thinking initiatives help keep Calgary competitive on national and global stages.

Make no mistake, the responsibility to address Calgary’s infrastructure needs cannot fall solely on the city; it requires meaningful support from the province, especially considering the city’s limited revenue-raising powers. Legally, Calgary is a “creature of the province,” meaning it operates under provincial legislation and lacks the ability to generate revenue like higher levels of government. Despite Calgary’s economic contributions as Alberta’s largest city and a powerhouse of Canadian business and innovation, it faces restrictions that inhibit its ability to fund critical infrastructure independently.

Calgary’s economic health benefits Alberta and Canada alike, generating significant tax revenue and employment. Supporting Calgary’s infrastructure is not just financial aid; it is a strategic investment in the province’s future. By investing in Calgary, the province can help ensure that our city continues to grow, creating a ripple effect of economic benefits throughout Alberta and beyond.

With this summer’s water main challenges an all-too-recent memory, now it is time to see what happens when infrastructure is appropriately prioritized as a cornerstone of our city’s growth strategy.

We urge city council to take this opportunity to invest in Calgary’s future, work deliberately with the province and Government of Canada, and keep infrastructure at the forefront of decision-making.

Bill Black is the president, and Frano Cavar is the director of Public Affairs of the Calgary Construction Association.