Dear Editor:
Finance Minister Kevin Falcon uses the word "prudent" a lot to describe his first budget. The contents, however, suggest that prudence is not a strategy but, rather, is an euphemism for doing nothing.
Think about it. The personal income tax increase is not budget induced. It's a consequence of a return to the PST. Falcon avoids the question of a rollback of tax cuts, as well as the larger issue of tax reform, as a means to deal with the revenue vs. expenditure crunch.
Think about it. There is no real commitment to increase corporate taxes. Instead, it's offered as a possibility (and then limited to one per cent) if expectations in economic growth fail to materialize between now and 2014. Given that this government has repeatedly lowered the corporate rate since 2001 (from 16.5% to 10%), and given that there is at least one more budget before 2014, it's difficult to think of this as a serious possibility.
Think about it. A thousand dollars toward renovations that help seniors stay in their homes won't go very far. Moreover, home renovation is not an item one normally includes in a retirement budget, so it will come as no surprise if only the more affluent seniors are able to take advantage of this tax credit, as little as it is.
Think about it. Money allotted to education won't even keep pace with expected cost of living increases, thus ensuring yet another cut to that crucial public service for the next three years as school boards are subjected to the cascading effect of more budget pressure. The only funding increase is the previously announced three-year, $165 million fund for special needs students.
There is no mention of a program to assist in meeting the needs of inner-city children whose ability to learn is eroded by daily hunger. To not address that issue in a positive and meaningful way is to perpetuate the condition of, as one teacher puts it, "have and have-not schools."
Think about it. Our health plan also will not keep pace with inflation. Already staggering under a spending cap of 4.8 per cent over the last three years, Finance Minister Falcon has reduced this to 3.2 per cent over the next three years. Partial relief will come with yet another (the fourth?) jack-up of our MSP premiums, but only to the tune of $109 million for 2012/13. It spells serious trouble for health care.
Think about it. Falcon and his government are not doing economic battle; they're raising the white flag.
Bill Brassington, Burnaby
