Reaction from Stakeholders
2006 McGuinty Liberal Budget

The following are quotes from stakeholders immediately following the presentation of the 2006 “Pay More, Get Less” Liberal Budget on March 23, 2006. The sources for quotes are news releases issued by organizations on the evening of March 23, 2006 and media articles of March 24, 2006.

Economy

Ontario's Finance Minister, Dwight Duncan, yesterday invented a new fiscal concept: the compulsory deficit. Come hell or high water, no matter how many billions in new revenues roll in, the government of Ontario will not under any circumstances abandon its unwavering commitment to operate in the red. Premier Dalton McGuinty has finally found a promise he can keep. Terence Corcoran, columnist, National Post, p. A1

“Budget sticks it to us. With $3 billion in extra cash, the Liberals blew it all and increased the net provincial debt … rather than return money to taxpayers’ pockets he [McGuinty] is keeping our money for an election war chest next year.”
-- Linda Leatherdale, money editor, Toronto Sun, p. 63

Shop 'til you drop. That's what Finance Minister Dwight Duncan's first budget was all about.
What he introduced in the legislature yesterday wasn't so much a budget as spending frenzy. Awash in cash -- revenues are up more than $6 billion since 2003 -- Duncan chose to spend, spend, spend rather than eliminate the deficit or cut the hated $2.4-billion health-levy tax grab introduced by his predecessor, Greg Sorbara.
-- Christina Blizzard, columnist, Toronto Sun, p. 5

“Give us our @#$! Money! McGuinty thinks he knows how to spend your cash better than you do” Editorial headline, Toronto Sun, p. 25

“Is this deception or incompetence? Obviously the spending projections for ’06 should not be given much weight. The government says its spending will increase by less than 2 per cent this year, but based on its spending record, I do not believe this target will be met, certainly not in an election year.”
-- John Williamson, federal director of the Canadian Taxpayers Federation, News Release

“If the resolve existed to restore Ontario’s fiscal house, the books could have been balanced in 2005. This is a tax-and-spend budget from a high tax and high spending government. Since the Liberals assumed office in 2003, program spending has jumped over 20 per cent. The deficit will be $1.4-billion in ’05 and another $1.4-billion in ’06. The government will wait until next year’s budget before balancing because it will be an election year. Premier McGuinty’s fiscal record is hurting economic performance. Over the next two years the province’s growth rate will lag behind the national average.”
-- John Williamson, federal director of the Canadian Taxpayers Federation, News Release

“Ontario taxpayers are being fleeced like never before. Personal income tax revenues are way, way up and the government will not balance its budget. This is a reckless fiscal record. The bottom line is Ontario must reduce its spending, balance the books, and repeal the health tax.”
-- John Williamson, federal director of the Canadian Taxpayers Federation, News Release

"We are somewhat disappointed that the Liberals have consistently chosen to increase spending rather than putting money back into the pockets of Ontarians."
-- Ashley McClinton, director of government relations for the Retail Council of Canada, Toronto Sun, p. 64

“The McGuinty Liberals just keep spending.”
-- Jeffrey Simpson, columnist, Globe & Mail, p. A21

"Ontarians have made conservation the top priority, and they were looking
to the government for support. This budget has let them down."
-- Chris Winter, Executive Director, Conservation Council of Ontario, News Release (CNW)

"The Liberal budget document actually admits that their energy policies have caused the loss of countless manufacturing jobs in Ontario. This is the biggest loss of manufacturing jobs since the 1990's. This budget document has no strategy, no plan or any indication that the government intends to take any kind of an active role in dealing with the crisis of the countless loss of jobs and livelihoods here in this province. We know the government has the money. Why aren't they using it to handle this job loss crisis?"
-- Wayne Samuelson, Ontario Federation of Labour, News Release (CNW)

"Government coffers are overflowing because of record corporate profits,
but Premier Dalton McGuinty is missing in action when it comes to helping our
crucial manufacturing and forest products industries."
-- Wayne Fraser, Ontario Director, United Steelworkers, News Release (CNW)

"The small retailer is particularly damaged by this tax regime. Already struggling for survival in a world of big-box stores, a small retailer paying tax of many thousands of dollars on modest size premises is facing extinction.”
-- John Wakulat, President of the Toronto Association of Business Improvement Areas (TABIA), News Release (CNW)

"I am surprised they didn't chip away at the deficit.”
-- Deb Haswell, Owen Sound City/County Councillor, The Owen Sound Sun Times, p. A1

“With a few exceptions, the budget was largely a reiteration of previous spending promises."
-- Ed Miles, Windsor Chamber of Commerce, The Windsor Star, p. A5.

“Ontario Finance Minister Dwight Duncan was sent to Queen's Park to represent local constituents but appears to have deserted them in favour of new-found friends in Toronto, judging by the budget he delivered Thursday.”
-- Editorial, The Windsor Star, p. A8.

“During bad times, you run deficits to stimulate the economy. During good times, you pay down debt to be ready for those times when you need money. That might be the primary problem with the budget Ontario Finance Minister Dwight Duncan released yesterday. The province produced $83.9 billion in tax revenues last year, about $2.25 billion more than expected. That's a sign of good economic times. But what does Mr. Duncan do? He raises the accumulated deficit, or debt, by $500 million to a whopping $159 billion. That results in $9.4 billion in interest charges. You can do a lot with $9.4 billion. And while one budget in one year will come nowhere near eliminating Ontario's accumulated deficit, someone sometime must start to chip away at it before an economic downturn occurs, bringing diminished tax revenues and increased payments. The province would then be in serious trouble.”
Editorial, The Ottawa Citizen, p. F4.

“Duncan has set a potentially troubling precedent for future budgets. He could deliberately underestimate revenues and overestimate interest payments -- as Paul Martin used to do when he was federal finance minister -- and cry poor when faced with demands for more social spending. Then he could spend the resulting windfall on one-time programs without ever addressing underlying social needs.”
Ian Urquhart, Toronto Star, p. A6

“The question is not how Ontarians will feel tomorrow. It is whether they will be hungover two or three years after consuming the premier's effervescent fiscal fermentation. To be sure, the Liberals' third provincial budget reinforces the positions adopted by the party after the 2003 election in which they promised everything -- then found to their horror they could only deliver some.”
– Editorial, The Kitchener, Cambridge and Waterloo Record, p. A14.

"The total amount of tax relief in this budget is $23 million (for all taxpayers, not just corporations). That's very small for a province this size."
Mary Webb, senior economist, Bank of Nova Scotia, Toronto Star, p. F1.


Transportation

The subway expansion is a mirage. It relies on the feds and municipalities each kicking in a third of the cost. And the city has already said it's not interested.
It's easy for the province to promise to build a subway line. If the other two levels of government don't play along, you still look like a hero.
Christina Blizzard, columnist, Toronto Sun, p. 5

"By the time you divvy it all up there isn't enough to do anything. On the surface, it doesn't look like it's a get rich scheme for the county."
– Neal Cathcart, Cavan-Millbrook-North Monaghan reeve,
The Peterborough Examiner, p. A1.

“Cities in the GTA already have expansive transit systems and we expected there would be a greater recognition of the need to expand services in other centres such as Windsor."
Ed Miles, Windsor Chamber of Commerce, The Windsor Star, p. A5.

“How are they justifying giving this to the TTC? They're the only public transportation service in Ontario that is still provincially funded. I don't get that."
Joyce Zuk, Ward 1 councillor, City of Windsor, p. A5.

“This [Vaughan subway] project should not be built at the expense of absolutely critical funding for existing public transit infrastructure."
Dan Hammond, President of Transport 2000 Ontario, News Release (CNW)

“There are some worrying aspects to his manoeuvring. First of all, the subway extension and other transit improvements are dependent on the municipalities and Ottawa providing matching funding. What if they don't? Duncan wouldn't answer that question directly. He just said that he was confident that they would.”
Ian Urquhart, Toronto Star, p. A6


Health Care

“We know that family members of residents in long term care homes are going to be deeply disappointed with today's budget, and the government will likely be hearing from them. They were looking for government to increase long term care operating
funding to add more staff so that their mothers, fathers and relatives could
get the care they need that is delivered with the dignity they deserve and the
respect they have earned. Obviously, they don't see that.”
-- Karen Sullivan, Executive Director of the Ontario Long Term Care Association.
News Release (CNW)

"Without targeted funding geared to this effort (70% of RNs working fulltime), we will not reach this goal and quality of patient care will suffer."
-- Doris Grinspun, RNAO executive director, News Release (CNW)

"We're disappointed and, quite frankly, very frustrated. With the province recording higher-than-anticipated tax revenues, we expected the government to make good on its commitment to revolutionize long term care. The fact remains that funding to provide the level of care needed by residents remains woefully inadequate."
-- Donna Rubin, CEO of the Ontario Association of Non-Profit Homes and Services for
Seniors, News Release (CNW)

"We've seen more and more healthcare dollars going to hospitals, physicians and prescription drugs, while other components of the healthcare delivery system, such as physiotherapy, languish. … Hospitals, physicians and prescription drugs are, by far, the most expensive components of the healthcare delivery system. We also have a
physician shortage and lengthy waiting lists for hospital care. If the healthcare system is to be sustainable in the long run, we think more emphasis needs to be put on care that reduces the demand for hospitals, physicians and drugs. Physiotherapy provides one of the answers.”
- Christina Boyle, President of the Ontario Physiotherapy Association,
News Release (CNW)


Education

'When I close my eyes, it's almost like 10 years ago. We've got a crisis in labour disputes and the education sector . . . and at the same time we don't see any action to deal with things like a child-care program.'
-- Wayne Samuelson of the Ontario Federation of Labour, Globe & Mail, p. A9

'Whatever financial aid improvements are being made, they're being undercut heavily by tuition-fee increases.'
-- Jesse Greener, chairman of the Ontario wing of the Canadian Federation of Students,
Globe & Mail, p. A9

"Despite the cash injection from the federal government, the financial plan set out in last year's Ontario Budget and reiterated this year hasn't increased by even one cent...Unless those federal dollars are actually added to the training, colleges and universities budget, then there will be no 'reaching higher.' Unless, of course, you're talking about the potential 36% increase in tuition fees."
-- Jesse Greener, Ontario Chairperson of the Canadian Federation of Students,
News Release (CNW)

"At a time when 150,000 college students have been forced out of their classrooms and learning environment due to a province-wide faculty strike, the government has not announced significant investments in colleges...This is unacceptable to college students and their families."
-- Matt Jackson, president of the College Student Alliance, News Release (CNW)

"Recent student financial assistance changes are positive, but they are just band-aids for a severely broken system. The government needs to implement a long-term, sustainable student financial aid plan that improves access and reduces graduate debt."
-- Scott Courtice, Executive Director of Ontario Undergraduate Student Alliance
(OUSA), News Release (CNW)

"The province could be doing more to help children...Schools continue to lose librarians and tech programs and thousands of students continue to wait for special education support. We are not serving our newcomer students and we are not providing adequate programs for at risk youth."
-- Annie Kidder, spokesperson for People for Education, News Release (CNW)

"Ontario still has the worst student-faculty ration in all of Canada...University students are being asked to pay higher tuition with no guarantee of smaller classes. Our students deserve better."
-- Michael Doucet, president of the Ontario Confederation of University Faculty
Associations, News Release (CNW)

"We are concerned, however, that the education priorities identified in today's provincial budget announcement do not include an increased ability for school boards to pay teachers what they are required to pay. As a result, we expect that a number of school boards will face serious challenges in balancing their 2006-07 budgets."
-- Paul Whitehead, President of the Ontario Catholic School Trustees' Association
(OCSTA), News Release (CNW)

“General inflation is two per cent, and then we need funding to continue these new initiatives like reducing class sizes. I have a pretty big concern about (the budget). (The liberals) have put in a lot of really great initiatives recently, but my problem is I have to balance the board's budget."
– Penny Allen, superintendent of business, Greater Essex County District School Board, the Windsor Star, p. A1.

"They're putting post-secondary on auto-pilot and it needs a firmer hand. We remain concerned about a looming faculty shortage."
– Michael Doucet, president, Ontario Confederation of University Faculty Associations, The Toronto Star, p. A8.

“…But would I say education was a top priority? I wouldn't agree with that.”
– Al Pierce, Chair, Hamilton Public School Board, The Hamilton Spectator, p. A10.

"At first glance there doesn't seem to be any money to close the salary gap.”
Louise Ervin, trustee, Waterloo Catholic District School Board, The Kitchener, Cambridge, and Waterloo Record, p. A4.

"We're extremely disappointed there's no new funding for colleges.”
Matt Jackson, president, Conestoga Students Inc., The Kitchener, Cambridge, and Waterloo Record, p. A4.


Agriculture

'There's nothing there for the future – nothing – and the money that's been handed out now is chump change. They don't want us here. All they want is our land to go build houses on.'
Kosto Popovic, a cattle farmer from the Lindsay area, near Peterborough, Globe & Mail, p. A9

“The big loser is McGuinty – he hasn't realized that yet, (but) it's going to cost him dearly."
Allan Thompson, a cash-crop farmer from Peel County, Ottawa Sun, p. 7

"There's a concern and dissatisfaction that our funding was cut. The commitment to agriculture is not there. They don't see it as a place they would like to invest. We're not all that high up on the totem pole, I guess. We were looking for at least the status quo. It's a considerable cut."
Albert Witteveen, chairman of the Niagara North Federation of Agriculture, The St. Catharines Standard, p. A1

“That doesn't sound real good. There are certainly lots of problems in agriculture right now. It takes a lot of money to grow a crop.”
– Ron Oswald, Bruce County Warden, The Owen Sound Sun Times, p. A1.

“Go ahead and challenge Ottawa to step up to the plate, but don't say how important struggling farming, forestry and other rural industries are and then do nothing yourself. Critics believe the provincial government will pull out all the stops in next year's budget and use the taxpayer windfall from this year to throw around a few more goodies. Will any of it be focused on rural Ontario? Don't hold your breath. This government's track record isn't very good.”
Editorial, The Owen Sound Sun Times, p. A4

"Obviously, we're not a priority to our provincial government. We are on a breaking point right now. I don't know what more we can do. You're going to see farmers disappear. They're disappearing as we speak, even around here."
Tammy Hart, Newington-area dairy farmer and director, Stormont-Dundas Landowners Association, Cornwall Standard-Freeholder, p. 4.

"I know for sure it's not what we would like."
Ron Wilson, Morrisburg beef farmer, Cornwall Standard-Freeholder, p.4.


City of Toronto / Municipal Affairs

"The bad news is that the government has failed to address the fiscal imbalance between municipalities and the province."
Roger Anderson, Chairman – Assoc. of Municipalities of Ontario, Globe & Mail, p. A15

"One time funding announcements help the symptoms of downloading - but
they do not protect the municipal property tax payer from the ongoing burden
of downloaded provincial costs."
Roger Anderson, President, Assoc. of Municipalities of Ontario, News Release (CNW)

The Board of Trade was … disappointed that the unfair provincial property taxes on Toronto businesses (28% higher than in the 905 region) were not reduced.
Toronto Board of Trade News Release

The McGuinty government's lavish budget spending on the Toronto area was not lost on Ottawa's top politician. “(Toronto) got the lion's share. Again.”
Bob Chiarelli, Ottawa Mayor. Ottawa Sun, p.7

“It falls way short of what municipalities were hoping for.”
Roger Anderson, President, Assoc. of Municipalities of Ontario, Ottawa Citizen, p. A1.

“It sounds like a budget that's really focused on Toronto and the GTA. Once again the rest of the province is playing second fiddle to the GTA. It's not a lot of money for the balance of the province. They're only really starting to scratch the surface.”
Deb Haswell, Owen Sound City/County Councillor, The Owen Sound Sun Times, p. A1

“It's seems like Toronto is the big beneficiary. Agriculture seems to be taking a hit.”
Bob Pringle, Grey County Warden, The Owen Sound Sun Times, p. A1

“Jokes referring to Toronto as the centre of the universe have been around for years, but Thursday's budget should worry Ontario residents outside Cabbagetown that the provincial Liberals think it's true.”
Editorial, Niagara Falls Review, p. A4.

"If you live in Toronto or the GTA, it's like Christmas Day for you. If you live in northern Ontario, you're doing very well. But in between? We got almost zip."
Ron Stevens, Mayor, Orillia, The Orillia Packet & Times, p. A1.

“Th[is] is the fastest growing region in Ontario, and it demanded a higher order of recognition.” – Doug Craig, Mayor, Cambridge, The Kitchener, Cambridge and Waterloo Record, p. A4.


Justice
“The Liberals also missed a chance to help municipalities outside Toronto with more cash for police. Premier Dalton McGuinty gave Toronto cops $5 million in January to combat the city's gun and gang violence. Later that month, Niagara Regional Police Chief Wendy Southall said cities outside Toronto - especially in border communities - needed financial assistance to counter the infiltration of the same problems plaguing Toronto. It was a good point then and still is. But Southall's submission apparently didn't register. Police weren't mentioned at all in the budget speech. The way the Liberals dealt with infrastructure and didn't deal with police Thursday suggests the rest of Ontario should watch how closely focused the Liberals are on Toronto.”
Editorial, The Niagara Falls Review, p. A4.


Assistance for Vulnerable Ontarians
'The money to alleviate poverty is there now. What's missing is the political will, and that's always been the missing ingredient with this government. Poor families have never been a priority for this government despite their rhetoric.'
Sarah Blackstock, policy analyst at the Income Security Advocacy Centre in Toronto, Globe & Mail, p. A9

"The money to alleviate poverty is there. What's missing is the political will – that's always been the missing ingredient for this government. Clearly, poor families are still not a priority for the current government."
Sarah Blackstock, policy analyst at the income Security Advocacy Centre,
News Release (CNW)

"The McGuinty government says it cares about poor people, but I don't believe them. They're still going to take the majority of my child benefit away from my family for the sole reason I am disabled and receive ODSP."
Beverly Halls, a single mother on the Ontario Disability Support Program,
News Release (CNW)

"You can't be healthy if you live in poverty. The two per cent increase announced today will do little to help struggling families put food on the table."
Joan Lesmond, Pres., Registered Nurses Assoc. of Ontario, News Release (CNW)

"After three years in power the McGuinty government owns the welfare system. While a two per cent increase is a welcome nod, it does nothing to change the system that makes it almost impossibly difficult to make the leap out of welfare and into a job."
Gail Nyberg, executive director, Daily Bread Food Bank, News Release (CNW)