The Alberta government has proposed new legislation to overhaul the province’s health-care system. On Tuesday, a bill was introduced outlining the dismantling of Alberta Health Services (AHS) and the creation of four new provincial health agencies. Health Minister Adriana LaGrange will oversee this transition.
AHS, currently managing everything from community care to acute care, will focus solely on hospital care by the end of the year. This change is part of a multi-year transition expected to cost $85 million. If the bill passes, it will take effect in June.
Under the new structure, Minister LaGrange will manage the entire health system, including budgets and workforce placement. “We are poised to usher in an era of efficiency, accessibility, and patient-centered care,” LaGrange stated.
Recovery Alberta, the first new agency, will be led by Mental Health and Addiction Minister Dan Williams and is expected to be operational this summer. Three other agencies, responsible for acute care, primary care, and continuing care, will follow in the fall, each with its own CEO. LaGrange will oversee these agencies.
The restructuring aims to streamline operations, improve accountability, and better support front-line workers. About 10,000 staff members will transition to Recovery Alberta.
AHS will still handle public health functions, including restaurant inspections, but the new legislation does not specify which agency will eventually take over these tasks. The chief medical officer of health will remain under LaGrange’s ministry.
A single procurement office will manage purchasing for the entire system, a role previously filled by AHS.
Opposition health critic Luanne Metz criticized the plan, arguing it centralizes control in Premier Danielle Smith’s office without improving patient outcomes or staff support. “This Frankenstein of a bill will continue the dismantling of Alberta Health Services and stuff patients and providers into ineffective silos,” Metz said.
LaGrange assured that there would be no job losses for staff transitioning to the new organizations and that efforts are being made to avoid disruptions in patient care. Existing bargaining units will remain, but the United Nurses of Alberta has already raised concerns. They are currently in a dispute with AHS before the Labour Relations Board over the planned staff shift to Recovery Alberta.
