Ralph Klein bids farewell to premiership
Dean Bennett, Canadian Press
Published: Thursday, August 31, 2006


EDMONTON -- Premier Ralph Klein bid his final goodbye from the legislature chamber Thursday but not before admitting his opponents were right and that his government didn't have a plan to deal with Alberta's skyrocketing petro-fuelled economy.

"They were right about not having a plan," Klein told a news conference. "The plan is being developed, but no one could anticipate the phenomenal growth that was taking place."

He said programs will be announced in the coming weeks to deal with high-stress areas such as Calgary and Grande Prairie, where rents are soaring and affordable housing is virtually nonexistent.

The province says 90,000 newcomers arrived in Alberta last year alone.

Klein said the growth over the last six months, propelled by the rapid rise in oil prices due to world demand, hit them as fast as the drop in oil cut the guts out of the economy in the early 1980s.

"We were prepared for sustainable growth, but not the kind of growth that occurred," he said.

"I've often said politics is about 99 per cent putting out brush fires and dealing with the situation."

Earlier in the day, Klein sat for an hour in his final question period.

At the end, all members gave him a one-minute standing ovation as Klein slumped back in his chair and wiped away tears.

"Thank you for the honour and privilege of serving this great province," said Klein, his voice breaking with emotion.

His caucus chipped in to buy him his green-backed leather legislature chair as a keepsake of the chamber he came to dominate and personify for more than 13 years.

This was the second goodbye from the legislature for the 63-year-old Klein, the longest-serving current premier, who will submit his resignation by the middle of next month.

There wasn't supposed to be another sitting of the legislature this year, but Klein was forced to recall the assembly for one week to OK $1.3 billion in emergency spending, most of it for schools and hospitals.

On the last day of the spring sitting on May 18, Klein was feted in a 35-minute tribute highlighted by standing ovations by politicians on both sides of the house.

Klein admitted he wasn't happy to be back.

"Leaving for the second time is pretty anticlimactic," he said Thursday.

The emergency spending session, which was to end Thursday night, saw Klein's Liberal and New Democrat opponents attack the Tories daily in question period, trying and failing to get emergency debates on health and housing crises.

The fallout from Alberta's white-hot economy is now affecting day-to-day life. Rents are soaring. Staff shortages have forced hospital wards to close and patients to be airlifted to other centres. Workers are in such short supply that businesses either close early or poach from rivals. Homes are being left unrepaired and schools are desperate for more space for legions of new students.

Even with the new spending, the province is still on track to rack up a $4.3-billion surplus this fiscal year.

Klein said he wants history to remember him as the man who got Alberta out of the red.

"I would hope the legacy that will be remembered is the legacy of eliminating the deficit first, then the net debt, then the gross debt during tough times."

With the end of the short session, the focus is expected to shift to Klein's departure and the leadership race to follow.

Klein decided to step down after he received only lukewarm support (55 per cent) from delegates in a mandatory leadership review in March.

Klein has said he'll submit his resignation as premier and member for Calgary-Elbow sometime between September 14 and 16, and then take three months off.

He plans to join the conservative think-tanks the Fraser Institute and the Manning Centre, and in the fall of 2007 will be a guest lecturer at the Woodrow Wilson International Center for Scholars in Washington D.C.

There are nine leadership contenders, six of whom are former Tory cabinet ministers.
© Canadian Press 2006

Klein admits government had no plan for boom

Last Updated: Friday, September 1, 2006 | 3:26 PM MT
CBC News

The Alberta government didn't have a plan to deal with the problems that came with the province's economic boom, Premier Ralph Klein says.

Klein made the admission at a press conference Thursday following his last day in the legislature. After leading the province for nearly 14 years, Klein is preparing to retire later this year.

The opposition parties have long claimed the government didn't have a plan to deal with the fallout from Alberta's sudden growth.

"They were right about [us] not having a plan," Klein said. "The plan is being developed, but no one could anticipate the phenomenal growth that was taking place."

'Kind of a vindication'

Alberta Liberal Leader Kevin Taft said he's pleased with Klein's acknowledgment.

"I suppose in some way it's kind of a vindication … of our position, which has been: Where's the plan?"

Klein was quick to say that his government did what it could to deal with the province's rapid growth by tackling issues such as infrastructure and affordable housing.

"I think that we've handled as best as we possibly can," he said. "Initially, we handled it by reacting to the pressure areas like Fort McMurray, Grande Prairie, Brooks and so on [and] now we're putting in place very specific plans to deal with the growth."

Klein said the plans will be unveiled this fall.

Gov't should have known: economist

Todd Hirsch, chief economist for the Canada West Foundation, a Calgary-based think-tank, said the government should have known for years that the boom was on its way.

"Of course we did not know in 2004 that oil prices were going to top $75 a barrel in 2006, but even then, prices were gradually rising," Hirsch said. "We should had some forethought on the part of the government saying if prices continue to rise, what are we going to do?"

That foresight might have helped solve the labour shortage problem or the need for increased education funding, he said.

Not all the blame can be put on Klein and the provincial government, Hirsch admitted, because aches and pains come with every boom.

Leadership race heats up

Attention will now turn to the candidates jockeying for the leadership of the provincial Conservatives, and their policies on labour shortages, housing and other issues.

The premier plans to send a letter to Alberta's Conservative party in a couple of weeks to declare his intention to step down as leader. Klein will retire from politics once a new leader is picked.

Earlier this year, Klein announced he will become a fellow with the Fraser Institute, a right-leaning think-tank based in British Columbia.

The premier also has accepted an offer to be a guest lecturer at the Woodrow Wilson International Center for Scholars in Washington, D.C., this fall.