Edmonton (Rajeev Sharma) — Alberta remains one of the two provinces yet to extend its childcare agreement with Ottawa, highlighting concerns over limited family choice, underfunding, and unequal treatment of providers. Saskatchewan has also not signed on.
The federal plan, which aims to deliver $10-a-day daycare nationwide by 2026 for families with children under six, has drawn criticism from some operators who call it unrealistic. Alberta replaced its childcare subsidy program earlier this year with a $15 daily fee for children up to kindergarten age, with the cost set to drop to $10 in 2026. The province also introduced a grant program to help childcare operators expand and modernize their facilities.
Krystal Churcher, chair of the Association of Canadian Early Learning Programs, said the rollout of the federal plan has created challenges. “The main issues we’re seeing are around accessibility, limited family choice, underfunding, and a lack of understanding that childcare systems differ from province to province,” she explained.
Alberta Education and Childcare Minister Demetrios Nicolaides defended the province’s stance, saying Ottawa needs to recognize Alberta’s priorities. “We need to direct funding in ways that reflect Albertans’ needs and ensure that both non-profit and for-profit providers have equal access to public support,” he said. The province’s proposal emphasizes an income-tested model to provide the greatest help to families most in need.
The debate comes amid scrutiny from Alberta’s Auditor General Doug Wylie, who found serious flaws in grant reporting among childcare operators. His audit revealed that some providers billed for hours never worked, failed to pass on wage top-ups, or withheld fee reductions meant for families. In one case, a provider was overpaid by $26,000 due to a false claim. Wylie warned that without stronger verification, federal and provincial funding could be misused, undermining the $10-a-day target.
Alberta officials said they are working on improvements to prevent overpayments and tighten the claims process. The current childcare deal remains in effect until March 31, 2026, giving both sides time to negotiate new terms.
