 Navigate |
|
|
 |
| Opinion |
|
|
|
| Classifieds |
|
|
|
| Community |
|
|
|
|
|
| NEWS - March 9, 2010 |
|
MP applauds budget
Federal budget projects $53.8 billion deficit |
|
|
Kevin Berger
News Staff
|
|
While still following through on its economic recovery plan, Westlock-St. Paul MP Brian Storseth likened the new federal budget to the Conservative government "bringing its house in order" by showing restraint when it comes to spending.
On Thursday, Finance Minister Jim Flaherty presented Budget 2010, entitled "Leading the Way on Jobs and Growth." While this year's budget carried a projected deficit of $53.8 billion, it also presented a plan for virtually eliminating the deficit after five years.
One of the ways of accomplishing this goal was through generating $17.6 billion in savings via hiring freezes and pay cuts to the civil service, as well as capping foreign aid and lowering increases in spending for the military.
In an interview on Friday, Storseth stressed that the government is continuing to follow through on the second year of its economic recovery plan by putting an additional $19 billion into stimulus measures.
"We are not stopping that two-year plan; we are continuing the rollout of the stimulus package, just as we said we were going to," Storseth added.
However, the Conservative government is also dedicated to growing the economy by reducing taxes and demonstrating "restraint" when it comes to spending, such as freezing the salaries of MPs and senators over the next three years.
"Like any Canadian household over the last couple years, we need to look at our own house first," he said. "At the end of the day, we're looking at about $17.6 billion in savings over five years. That is a lot."
A year ago, Storseth said he agreed that going into a deficit position to stimulate the economy was a necessity and a sound economic approach. But with Canada beginning to emerge from the recession, albeit slowly, the time has come to "get our own affairs in order."
"We also recognize that once you go into the red, you have to balance those books eventually," he said.
Were the Conservatives to follow the Opposition or adhere to the wishes of certain municipalities, there would be a tax increase this year.
But Storseth said lowering taxes is about making the prospect of moving to Canada considerably more attractive, noting that in five years Canada will have the lowest tax rates in the G8.
While public servants will still get a 1.5 per cent wage increase this year, it will be the responsibility of government departments to find the necessary funding within their own budgets.
After that, salaries and operating budgets for the various departments of the federal government will be frozen. Storseth looked at this as necessary.
"I don't think anybody will lie to you and say that there is not a lot of redundancies within the public service of Canada," he said.
In the past, Storseth has been a staunch supporter of the Canadian military, which took a hit to the tune of $2.5 billion.
Storseth stressed the cuts won't come for two years, and when they do, it is less a matter of slashing spending as lowering an increase to funding.
"We all know that in the '90s, the last government balanced the budget on the backs of national defence," he said.
"So we've had to put billions of dollars back in the Department of National Defence in our first four years."
Storseth noted that some measures he fought very hard for are still contained within the budget.
"It's sometimes about what you manage to keep on the books as much as the things you eliminate in it," he said.
While the budget did not contain any huge announcements for agriculture, Storseth noted the government will spend $65 million to reduce and eliminate the regulatory burden facing farmers and particularly cattle producers.
Storseth expressed support for the creation of a national securities regulator, which will be established through legislation introduced to Parliament this spring. Both Alberta and Quebec have voiced opposition.
Stressing that he didn't intend this as a "shot at the province," Storseth said he didn't understand Premier Ed Stelmach's opposition when the lack of strict securities regulation was generally regarded as one of the causes of the recession.
"That's going to be good for industry," he said. |
|
| Email your comments here |
|
|
|
|
|
|
|
|
|
