More beefs than bouquets for Manitoba budget
Last Updated: Wednesday, April 9, 2008 | 5:31 PM CT
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There were more frowns than smiles among Manitoba business and community leaders Wednesday, following the NDP government's delivery of its ninth budget.
"I don't know what I'm going to tell my members," said Shannon Martin of the Canadian Federation of Business. "This budget is friendly to one group: the government."
The Winnipeg Chamber of Commerce also panned Manitoba's 2008-09 spending document, saying it lacked vision and commitment to helping the business community expand and create jobs.
"It's like the last nine budgets," chamber president Dave Angus said in the legislative building after the budget was tabled.
While Finance Minister Greg Selinger offered tax reductions to manufacturers and exporters that could be threatened by an economic downturn in the U.S., there was no movement on the much-hated payroll tax slapped on companies with a payroll of $1 million of more.
"We penalize growth here in Manitoba," Angus complained.
'Irresponsible' spending: Tories
Opposition leader Hugh McFadyen chastised the province for "record spending" at a time when it's relying on Ottawa for funding. Manitoba receives more than $3 billion from the federal government in transfer and equalization payments — a third of its budget.
"It's irresponsible," the Conservative leader told reporters. "There's $9 in new spending for every dollar in tax reduction."
Adrienne Batra, Manitoba representative of the Canadian Taxpayers Federation, said without equalization payments, the province wouldn't be able to pay its bills.
"Never in Manitoba's history have we relied so heavily on the prosperity of our neighbours to the east and west," she said.
David Northcott of Winnipeg Harvest, the province's largest food bank, said there was nothing but crumbs in the budget for the poor.
"There's no commitment to eliminate child poverty. There are small baby steps toward this [goal] but nothing more," he said.
Trying to help universities improve their buildings and faculties by lifting an eight-year tuition freeze may be too little too late, suggested Emoke Szathmary, president of the University of Manitoba.
"It's nice to get a little more than five per cent," she said of the government boosting university operating grants to seven per cent from five. "We needed 10.7 per cent."
The eight-year freeze has done a lot of physical damage, Szathmary added, noting the school faces bills to remove mould and asbestos from rundown buildings.
A smattering of applause for the budget came from Winnipeg City Coun. Dan Vandal, who noted the province increased its financial commitment to the city's massive wastewater upgrade project. The province added $100 million to its initial $200 million contribution to the project's $1.2-billion tab.
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