Chamber praises budget’s tax cuts

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This article was published 07/03/2023 (973 days ago), so information in it may no longer be current.

While a Brandon University professor describes the Progressive Conservatives’ tough-on-crime talk as based in fear mongering, a number of Westman leaders say they found positives among the pages of the latest provincial budget announced in the Manitoba legislature Tuesday.

One person who liked what she saw was Brandon Chamber of Commerce president Tanya LaBuick, who praised an increase in the income tax exemption threshold to $15,000 and other adjustments to tax brackets.

“I think it’s good news for small business because, again, the more money people have in their pockets, the more money they have to spend,” LaBuick said. “I think overall, those tax improvements are very, very good.”

The Tories say the tax adjustments will remove 47,000 low-income Manitobans from tax rolls this year and save an average two-income family more than $1,000 this year compared to last.

LaBuick was also pleased to see $50 million added to the venture capital fund to improve access to capital for businesses, and a rise in the payroll tax exemption that means employers with payrolls less than $2.25 million will no longer pay payroll tax.

Finance Minister Cliff Cullen touted the budget as providing relief for Manitobans who are dealing with inflation and the “cost shock of the federally imposed Liberal-NDP carbon tax” and an economy recovering from the pandemic.

“We’re helping Manitobans make ends meet, and historic new funding will lead to safer streets, stronger communities and the healing of our health-care system,” Cullen told the legislature as he delivered budget highlights.

The budget results in a $363-million deficit, but Cullen said the province is on track to balance its budget. He previously stated that would happen by 2028.

In his budget speech in the legislature, Cullen pointed to the recent delivery of “affordability cheques” to Manitobans, the largest funding increase to education in more than a quarter of a century, restored operating funding increases for municipalities, a carbon tax relief fund, and lower Manitoba Hydro rates as the Progressive Conservative government’s accomplishments.

Cullen also credited Premier Heather Stefanson for the recent boost in federal health-care funding.

“She has galvanized premiers across the country to finalize a deal adding over $46 billion to Canadian health care over the next decade.”

The minister’s speech referenced the federal Liberal carbon tax several times, a tactic provincial NDP Leader Wab Kinew described as “desperate” on the part of the PCs.

“It has been seven years of cuts and chaos with them, first under Brian Pallister and now under Premier Stefanson,” Kinew said in an interview with the Sun on Tuesday afternoon. “It’s an election year. It seems like they’ll try anything with this election-year budget … I just don’t really think Manitobans are going to trust the PCs when it comes to these important issues like health care and affordability.”

Kinew pointed to cuts to health care under the PC government, which he said has used out-of-province consultants in setting its health-related policies.

“We should be empowering the local health-care leaders who definitely have solutions for the issues at the bedside in our province.”

Rather than re-announcements for Westman projects, Kinew said he would rather have seen specifics on staffing of remaining health-care facilities and how health care can be guaranteed for residents here, and plans for infrastructure that would support Brandon’s growth.

Brandon was mentioned twice in Cullen’s speech. Once regarding the city’s planned sobering centre, which received previously announced provincial support, and also renovations to the Brandon Regional Health Centre and the Western Manitoba Cancer Centre. Neepawa was mentioned as the province is funding a new hospital there. And the budget allocated $600,000 for flexible-length community residential withdrawal management beds in Brandon.

Cullen referenced the government’s prior announcement to thaw the freeze on the municipalities operating grant, which Association of Manitoba Municipalities president Kam Blight didn’t mind hearing again.

“One hundred per cent, we’re pleased to say that officially the freeze is over for municipalities, which is great news,” Blight said. “We received a $47-million increase in funding.”

Blight said he was also happy to learn on Tuesday that a freeze on the capital projects funding basket has been lifted too, adding 17 per cent, or about $23 million, to that fund which helps municipalities pay for things like wastewater projects.

“There’s a lot of shovel-ready projects that are ready to go,” Blight said. “We know that our membership has identified over 270 water-wastewater projects, for instance, that are ready to get going to he tune of $750 million. But, you know, this is a great top-up to that capital project fund and something we’re certainly appreciative of.”

Blight added that increased funding to the Water Services Board and libraries outside of Winnipeg was also positive.

Brandon University professor Chris Schneider, who has written extensively on policing, said the Tories’ focus on crime and police investment is in line with tactics typically used by governments to play on voters’ fear of crime.

“They are playing the same card that many governments play, including conservative governments … and that’s the fear card,” Schneider said. “That’s going to win them votes, but as a long-term strategy in actually reducing or preventing crime and violent crime, it’s not going to work.”

Will Goodon, Southwest region representative for the Manitoba Métis Federation, said he was disappointed that Métis people weren’t specifically mentioned in Cullen’s speech, while the finance minister’s frequent references to federal Liberal policies wasn’t helpful.

“The beginning of the speech seemed like they were running against the federal Liberals rather than doing a budget for Manitobans,” Goodon said.

However, he was pleased with specific funding for diabetes patients because many MMF citizens suffer from the disease. The budget included $120 million for the Manitoba Pharmacare program, including the extension of coverage for insulin pumps for eligible adults.

“That announcement would be quite welcome for a lot of our folks who live in the rural areas knowing that there’s some funding available for them,” Goodon said, adding he also welcomed news of funding for the Churchill rail improvement as MMF citizens live in Churchill, and MMF has plans for housing initiatives in that community.

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