Budget seen locally as election kick-off

2011-03-24 / Front Page

Local politicians see Tuesday’s federal budget from finance minister Jim Flaherty as a precursor to a federal election campaign, which appears almost certain after all opposition party leaders rejected it.

Meanwhile, the ruling Conservatives say it is a product borne of consulting with Canadians to forge a document that will address their needs and ward off an election that most Canadians don’t want.

“The big question, now, is when there will be an election,” said Dufferin- Caledon Conservative MP David Tilson. “We’re almost 100 per cent certain there’s going to be one.”

Mr. Tilson suspected that a non-confidence vote could come as early as tomorrow (Friday).

“We prepared a budget based on what we thought was best for the Canadian public. I’m sorry the opposition didn’t like it and I’m sorry that, as a result, we cannot put forward what’s in the budget.

“If we get re-elected, we will re-introduce the same budget,” he continued. “It will be a main part of our platform.”

Gary Goodyear, Conservative minister of state for the Federal Economic Development Agency for southern Ontario, said in an interview that the government “is not interested in an election, except for preventing one.”

Steve Elliott, president of the Greater Dufferin Area Chamber of Commerce, expressed his thoughts about a possible election by musing, “if they took the $300 million it will cost for this election and put it into stimulus spending, this country would be better off.”

Dufferin-Caledon Green Party candidate Ard Van Leeuwen, meanwhile, suggested the Tories were “ready for the budget to be rejected and they were offering bits and pieces for everybody.”

Mr. Goodyear countered that the budget proves the Conservatives are “the party of rural Canada and urban Canada,” suggesting that it addresses the needs of all

Canadians.

Bill Prout, the Liberal candidate in Dufferin-

Caledon, pointed out that some measures that would benefit the riding

– such as incentives to attract medical professionals and tax breaks for volunteer firemen – were on the Liberal platform eight months ago.

“In my personal opinion,” said Mr.

Prout, “the

Conservatives took their best ideas from the Liberals and the NDP, but they cheapened them.”

For example, Tuesday’s budget saw a tax credit equal to $450 a year for volunteer firefighters in rural areas.

In May 2010, Liberal leader Michael Ignatieff pledged to provide a $3,000 refundable tax credit to all volunteer firefighters with a minimum of 200 hours of volunteer service during the tax year.

Federal Minister of Labour Lisa Raitt explained in an interview that it shouldn’t be surprising that budget meas- ures mirrored opposition policy because the government made its budget decisions after talking to, and arriving at a consensus with, ordinary Canadians.

“We consulted with Canadians. We asked them what they wanted. They shouldn’t be surprised that they got it.”

Until the time when, and if, a non-confidence motion is tabled in the House of Commons, Ms. Raitt said the Conservatives will continue to work with the budget.

“Until that motion, we’re here to do our work and make plans to implement the measures.”

She also downplayed accusations that the budget was geared toward an election, since it contained many handouts to a number of different groups and organizations.

“The reality is that we have to make Parliament work,” said Ms. Raitt. “Nevertheless, we are conservative and we have to stick to our plan to eliminate the deficit.

“We concentrated on targeting specific areas and staying away from big infrastructures.”

While acknowledging the Conservative budget may be more focused on an election than on the economy, Shelburne Mayor Ed Crewson was nonetheless enthusiastic about some of its measures.

Of particular interest to him was the forgiveness of student loans of up to $40,000 for new doctors and $20,000 for new nurses in remote and rural areas. “That’s going to help attract doctors to Centre Dufferin,” said Mayor Crewson.

“Stephen Harper is the Mackenzie King of the Conservative party,” he continued. “He’ll do whatever it takes to get elected.

“If I was an MP, I would support this (budget).”

Both Mr. Van Leeuwen and Mr. Prout were highly suspect of the government’s sincerity in carrying out their budget promises, especially in light of a Commons committee voting that the Conservatives were in contempt of Parliament for holding back vital financial information.

“If the Tories win the next election, you can bet that all those tidbits they offered in the budget won’t be there,” said Mr. Prout.

As the Green Party finance critic, Mr. Van Leeuwen criticized the government’s decision to proceed with its plan to cut corporate income tax rates to 15 per cent by 2012.

“It makes no sense to have these corporate tax cuts when you have deficits to deal with. We already have the lowest corporate tax rates in the industrialized world.”

Tuesday’s budget mapped out plans for a balanced budget within six years through the combination of economic growth and spending restraints.

The end of the federal stimulus program will, by Tory estimates, cut the 2011-12 deficit from a revised $40.5 billion in 2010-11 to $27.6 billion in 2011-12.

Mr. Van Leeuwen remains skeptical. “The budget calls for a decrease in per capita spending over three years, but they haven’t said how they’re going to do that.

“The projections for deficit reduction are a little too rosy.”

As for the looming election call, Mr. Goodyear hinted that the opposition, particularly NDP leader Jack Layton, had an election in mind all along.

The budget included a $300-million injection of support for the lowincome elderly.

Seen as a move to win NDP support for the budget, it appeared to have fallen short. Mr. Layton was looking for $700 million, in that regard, and other NDP-supported measures, such as elimination of the HST on home heating fuel and a roll-back of corporate tax cuts, were not included.

Mr. Goodyear was not surprised by Mr. Layton’s reluctance to support the budget. He had “allowed the amount of time to read the budget. He then went out and said what he’s been saying all along; that he won’t support it.

“Let’s hope (the NDP) comes to their senses and votes for Canadians, rather than for themselves,” said the MP for Cambridge.

Another individual displeased with Mr. Layton is Orangeville Mayor Rob Adams.

For Mayor Adams, the most exciting aspect of the budget was the decision to pass the transfer of some federal gasoline tax funds to municipalities into law.

“Gas tax funding is important,” said the mayor. “We use the money to catch up on desperately needed infrastructure work.”

This year, the town has put $850,000 of federal gas tax rebates into its budget. While Orangeville has been regularly receiving the funds on an annual basis, Mayor Adams said it “was always tenuous if it would continue.

“With it passed into law, we could rely on it and plan ahead.”

Having heard Mr. Layton lambaste the budget on television on Tuesday, along with getting the word that an election is more and more likely, Mayor Adams said: “One minute, I was excited. The next minute, I was disappointed the (gas tax) funding is up in the air.

“Layton cut the feet from under it.”

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