B.C. endorses Ottawa’s balanced budget

Ottawa's tax cuts cost B.C. treasury too; Industry Minister James Moore defends Coast Guard changes for West Coast

Industry Minister James Moore (left) and B.C. Finance Minister Mike de Jong

Industry Minister James Moore (left) and B.C. Finance Minister Mike de Jong

VICTORIA – The federal government has joined B.C. in the balanced budget club, but it comes at a cost to provincial revenues.

Federal Finance Minister Joe Oliver delivered his first budget Tuesday, featuring increased defence spending and a new public transit fund that wouldn’t take effect until after the federal election scheduled for this fall.

B.C. Finance Minister Mike de Jong said changes in the federal budget such as reducing small business tax and allowing personal income splitting for couples have a flow-through effect on provincial revenues. That could be between $18 million and $30 million to B.C., he said.

De Jong said the B.C. government supports the reduction in federal small business tax rate, which is to decline from 11 to nine per cent by 2019.

A new federal fund to help pay for transit doesn’t take effect until 2017, but de Jong said he expects current federal infrastructure programs to continue until then.

Federal Industry Minister James Moore said the Conservative government is still distributing funds from the $70 billion infrastructure fund that was included in last year’s budget, and the new fund is in response to cities’ demands.

The mayors of Vancouver, Toronto, Montreal and the national and provincial municipal associations have all endorsed the budget, Moore said.

B.C. NDP finance critic Carole James said the federal budget seems to have missed B.C. priorities, and it was frustrating to see Ottawa balance its books on the same day as the Canadian Coast Guard closed another West Coast facility.

The Coast Guard’s marine communications and traffic centre at Ucluelet is closed, with the function transferred to Prince Rupert. A similar station in Vancouver is to close May 6, with traffic monitored from Victoria, and another monitoring station at Comox is set to close this year, according to Unifor, the union representing Coast Guard employees.

Moore said the rationalization and modernization of ship tracking systems on the West Coast will improve safety, and has already been done on the East Coast.

Business Council of B.C. president Greg D’Avignon said balancing the national budget, investing in transit and providing investment incentives for industries such as liquefied natural gas and forestry will help offset the effects of a slump in oil prices and weak commodity markets.

 

Just Posted

O.K. Industries is building a quarry next to Capital Regional District land, as shown in this map from the rezoning applicaiton. (Photo courtesy District of Highlands)
Millstream Quarry wins again in court against Highlands community’s appeal

Judges rule province not obligated to investigate climate change before issuing permit

Kidspace, which took over the YMCA-YWCA childcare centre at Eagle Creek Village, plans to reopen the Y’s fitness centre as the Eagle Creek Athletic Club in September. (Photo courtesy of Kidpsace)
Former Y fitness centre in View Royal aims to reopen in September

Kidspace taking over both the gym and the childcare facility at Eagle Creek Village

Saanich Volunteer Services Society volunteers head out to deliver this week’s meals to local seniors. (Megan Atkins-Baker/News Staff)
VIDEO: Weekly meal deliveries help brighten the day for Saanich seniors

Seniors are delivered nutritional meals by a group of volunteers every Wednesday

Cheyenne, six, Savannah, three, and Jeremiah Sinclair, 8, were out on walk with their mother on June 4 when they discovered the first of several hundred fish that died after bleach leaked into Reay Creek. (Wolf Depner/News Staff)
Spill in Sidney’s Reay Creek turns into ecological lesson for local children

Federal-provincial investigation ongoing into what appears to be a bleach spill

The stretch of trail north of Royal Bay Secondary connecting to Painters Trail at Murray’s Pond will be closed temporarily this week for invasive species removal. (Black Press Media file photo)
Colwood trail behind Royal Bay Secondary temporarily closed for invasive species removal

Cloure in effect from 9 a.m. Wednesday to 10 a.m. Friday this week

The border crossing on Highway 11 in Abbotsford heading south (file)
VIDEO: Western premiers call for clarity, timelines on international travel, reopening rules

Trudeau has called Thursday meeting, premiers say they expect to leave that meeting with a plan

Two Lotto Max tickets sold on Vancouver Island were winners, though nobody won the $70-million jackpot in Tuesday’s draw. (BCLC image)
Vancouver Island lottery players win $1 million and $500,000 in Lotto Max draw

$1 million ticket sold in Campbell River, $500,000 ticket sold in Nanaimo

St. Joseph's Mission site is located about six kilometres from Williams Lake First Nation. (Photo submitted)
Williams Lake First Nation to search residential school site for unmarked graves

St. Joseph’s Mission Indian Residential School operated from 1886 to 1981

Tuesday’s Lotto Max draw went unclaimed. (Photo courtesy of BCLC)
Tuesday’s Lotto Max draw went unclaimed. (Photo courtesy of BCLC)
Lotto Max jackpot goes unclaimed again

42 of the 64 Maxmillion prizes of $1 million were won, the majority were sold in Ontario

FILE - This July 6, 2017 file photo shows prescription drugs in a glass flask at the state crime lab in Taylorsville, Utah. (AP Photo/Rick Bowmer, File)
Contaminants in generic drugs may cause long-term harm to DNA: B.C. researcher

Scientist says findings suggest high volume overseas facilities require strict regulation

Restaurant patrons enjoy the weather on a patio in Vancouver, B.C., on April 5, 2021. THE CANADIAN PRESS/Jonathan Hayward
Labour shortages, closed borders major obstacles to B.C. restaurant, tourism restarts

Industry expert says it won’t start to recover until international travellers can visit

(Black Press Media file)
Dirty money: Canadian currency the most germ-filled in the world, survey suggests

Canadian plastic currency was found to contain 209 bacterial cultures

(pixabay file shot)
B.C. ombudsperson labels youth confinement in jail ‘unsafe,’ calls for changes

Review states a maximum of 22 hours for youth, aged 12 from to 17, to be placed in solitary

Most Read