The province is increasing spending for health care, education and infrastructure, but it's taking money from the Sustainability Fund to do it.

Health spending is going up by $545-million or 6 per cent, infrastructure is going up by $642 million, an increase of 73 per cent and school boards will get a 4.7 per cent boost or $257-million.

Operating expenses are estimated at $33.9 billion, an increase of $720 million, or 2.2 per cent, while the 2011-14 capital plan supports $17.6 billion in infrastructure spending, including $6.6 billion in 2011-12.

The three-year plan includes:

• $5.1 billion for municipal infrastructure

• $4.6 billion for roads and highways

• $2.6 billion for health care facilities and equipment

• $1.2 billion for schools and post-secondary facilities

"As the province emerges from the worst global recession since the 1930s, it does so in good fiscal shape and with core services like health care and education intact," Premier Ed Stelmach said.

"We had a plan that got us through the recession and we will stick to it as government revenue now begins to recover. We'll continue to carefully manage our spending with a focus on preserving and enhancing our most important

Taxes will not go up.

Total revenue is expected to increase by $1.6 billion, or 4.7 per cent, to $35.6 billion in 2011-12. It is forecast to grow to $38.8 billion in 2012-13 and $42 billion in 2013-14. This follows large drops in overall revenue during the recession, including a drop in non-renewable resource revenue of more than $5 billion in 2009.

Non-renewable resource revenue is forecast to be $8.3 billion in 2011-12, $319 million higher than in 2010-11. It is expected to grow to $10.2 billion in 2012-13 and $11.9 billion in 2013-14, mainly due to increased revenue from bitumen produced in the oil sands. Natural gas royalties, meanwhile, are forecast to continue to decline as a share of Alberta's total non-renewable resource revenue.

Revenue from personal and corporate income tax is forecast to increase $1.4 billion to $12.3 billion in 2011-12, growing by $1 billion more in each of the following two years. This is the result of an improved economy, with more jobs, higher wages and higher corporate profits.

Continuing low natural gas prices, the high exchange rate, and ongoing economic uncertainty in the U.S. and abroad are expected to continue to affect revenue.

For more budget information, go the province's website.