Coming to you at 6:00 on Wednesday, May 29. A debate with 4 participants on the PST increase. These were Jim Carr, CEO Business Council of Manitoba, Steve Ashton, Minister of Infrastructure, Earl Porter, Mayor of Portage la Prairie, Shannon Martin, PC Candidate for Morris. Hosted by Free Press journalist Dan Lett. The whole event was planned as part of the Community News Commons training. So I am trying to get coverage sort of like taking notes. The topic is the recently proposed 1% increase to Manitoba's Provincial Sales Tax.
Cloudy evening, threatening rain. Nice temperature, around 20c. About 20 people in attendance.
DL: Introduced the group and started by asking SA when the idea for the PST was created.
SA: Talked about the last 10 years of balanced budgets and sustained growth. Need to invest more into infrastructure, in particular, flood protection.
DL: Critics say that the money is not going just to flood protection, also into a pool for unspecified infrastructure.
SA: Today announced 250 million for Lake St. Martin. Need to work on highways but it would also include hospitals and schools.
DL: Yes. The premier indicated that he was not interested in a tax increase earlier in the year, the recent election the NDP campaigned on it. What changed, and when?
SA: Tough decision but the pressures of the 2013 budget made it necessary. They have a ten year plan that will address infrastructures needs. Rejected an austerity approach. Looking to 2016 to bring the budget back into balance. Need the revenue.
DL: Jim Carr the Business Council came out quite early recommending the increase along with a referendum. What is your perspective, you seem to have been surprised on budget day.
JC: There is no unified plan about spending responsibility for infrastructure, what level of government. The province needs to work in a coordinated way to address infrastructure concerns. They presented a plan earlier on a consumption tax.
DL: Other provinces increased taxes for debt reduction whereas Manitoba has been spending money. Were you surprised by the budget.
JC: Hundreds of millions of federal dollars available but province had no way of matching it, this was a concern.
DL: Never enough money for infrastructure. The mayors recently made an united effort to get money for municipal infrastructure. Is raising the PST an acceptable method of addressing municipal infrastructure.
EP: Wants the money spread out with a ten year plan. Problem is that it is difficult to plan. Small municipalities get left out.
DL: Municipalities consistently reject tax increases, but now seem to be supporting it.
EP: If the tax increase was per capita we would be all for it, but as it stands they may be left out.
DL: The conservatives are not in favor of a tax increase, where would they get the money. Austerity?
SM: Austerity is realistic, current government has problems in their budgets. Issue is twofold, raising the PST and also how. They are breaking the balanced budget law.
DL: The NDP are gutting the law. They are changing it legally.
SM: There is a process and the government is not following it.
DL: Conservatives came up with a 1% across the board spending cut. That would be very significant. How do resolve that type of austerity.
SM: The government is making those cuts now, they are paying 90 million more in financing costs than five years ago.
DL: What services will be cut.
SM: Growth in upper levels of government. Not all departments would be hit the same way, hard to know until you look at the books.
DL: Jim you have experience in government do you think the opposition has come back with a workable plan.
JC: In favor of 1% but the government should continuously review programs for savings. Those savings will not address the infrastructure issue. Our position is exactly the same as the mayors, the increase is ok as long it is just for infrastructure.
DL: So many groups have come out against the increase. Why not have the referendum.
SA: There is no way to cut across the board without affecting services. Have gone from 85 to 465 million on highway infrastructure. Need to spend 4 billion over 10 years.
DL: At least half a dozen groups are not supporting the increase.
SA: Addressing the need of the average Manitoban. Manitobans will see this increase all being re-invested in infrastructure.
DL: Lots of people agree but they are not supporting it.
SA: We have spent a lot of money on flood protection. We have had a lot of growth in the province. Lots of partnerships. Challenge is to connect with average Manitobans.
DL: In general elections NDP has had popular support and yet did not want to go to a referendum.
DL: Did you contemplate a referendum.
SA: We have made changes and the act allows to proceed without going to referendum.
DL: Did the government contemplate a referendum.
SA: The decision speaks for itself, decided to go with a ten year plan.
DL: Mayor Porter would you have preferred a referendum.
EP: Can be done with a dialogue with the community.
DL: Support the referendum.
EP: The government should follow the law, but could sell it if it was exclusively for infrastructure.
DL: The conservative felt that there shold have been more consultation, debate and referendum.
JC: The BB legislation indicates that no referendum is required if the total tax is not included. The government could reduce the business tax and then increase the PST.
SM: The government promised a BB by 2014 and they have changed their promises and are not following the law.
SA: The Conservative plan did not work
EP: While you guys argue our infrastructure is falling apart
DL; The municipalities want the money but are not supporting the increase.
DL: The majority of federal money will be spent on infrastructure.
EP: The municipalities have to pay PST on their projects.
SA: Province has to have funding in place to get federal money.
DL: Next referendum will be the election. Can the Bus. Council support the government.
JC: The government has the authority to change the law. Not in favor of Bill 20 which guts the BB bill. That will allow the government to spend PST on hospitals and schools instead of infrastructure. Will support the government with or without a referendum if the money is used for infrastructure.
DL: No one seems to believe that the conservatives can find this money. What is the most salient arguement that the conservatives have for not holding a referendum.
SA: We have had growth. Second highest growth in the country.
SL: When does money have to be on the table for Build Canada.
DL: Is a PST referendum winable.
JC: When should a government go to a referendum.
SA: We elect governments to make decisions. It was a tough decision and we made it.
DL: How much of the 280 million will not go into infrastructure.
DL: If the government could show where it is going they would have support. How much will go into hard infrastructure.
SA: Its all going to go to infrastructure but not all to municipalities.
SA: Want to be able to point to specific infrastructure tasks.
DL: Is the Bus Council satisfied with the way the government is implementing.
JC: Not our role. We are indicating our position and that's all.
EP: Seems that they have lost communication with the community. Rural Manitoba is being left out.
DL: Are you saying the Conservatives would never consider a tax increase.
SM: Too hypothetical. The government is talking accountability and yet going against the spirit of the law.
DL: Are you confident that the government has enough time to show people the value of this legislation.
SA: Quite happy with the government's record. Infrastructure from 85 to 468 million, etc.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment