Pharmacare
Deductibles
Mr. Gary Doer (Leader of the Opposition): Madam Speaker, my question is for the First Minister.
Yesterday when we tabled the letter from the Manitoba seniors organization and quoted the fact that many seniors felt betrayed, we asked the Premier questions about his own election promises. Since those questions, it has been drawn to our attention by other seniors and other people affected by the drastic cuts in Pharmacare that during the last election campaign the Conservative Party handed out orange brochures wherein they stated that there is a better way, a Gary Filmon way to deal with Pharmacare, and Pharmacare deductibles were promised at $230 per family.
Many people feel that this was a promise made to them during the election campaign, and they want to know directly from the Premier, why has he broken his word to them during that campaign?
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Hon. Gary Filmon (Premier): Madam Speaker, as I have indicated publicly and as has certainly been commented on, this province has experienced a reduction in transfers of $116 million from Ottawa this fiscal year. That is a very significant reduction in transfer payments from Ottawa, a reduction that obviously has to be dealt with by our government.
In making changes such as we have, we have taken great care so that seniors, for instance, are not impacted by the changes in the regular check-ups for seniors to do with their eye care. We have ensured that those over 64 are protected by those changes.
With respect to the changes in Pharmacare, they are done on an ability-to-pay basis, an ability-to-pay basis that I might indicate still treats them better than they would be treated in NDP Saskatchewan. That is the way in which we have tried to choose priorities and, in doing so, we have done so with obvious regard to the fact that those who have the ability to pay will be asked to pay because that is the fairest system that we could bring in.
New Democrats opposite have often argued that things should be done on the basis of income, that those with higher incomes should pay more to the tax system, more to the support of our programs. Well, that is the basis on which we have evaluated the changes that we have made, and that I think is a fair system.
Mr. Doer: The promises made to Manitobans last year were well after the federal budget. The Premier knows that, Manitobans know that, we know that.
The question I ask the Premier is, why is he not keeping his word? Why does he have organizations like the Manitoba Seniors Society saying that they feel betrayed by the Premier?
I would like to ask the Premier a further question. He makes a statement about $230 per family. He did not say it would be income tested after the election and that there would be some kind of $25-million cut. The Premier also paid tribute to the sacrifices seniors made to build our province strong and that he will maintain spending for health now and in the future along with his election promise on the deductible for $230. What does he tell the Manitoba seniors about his promise of a deductible of $230?
Mr. Filmon: Madam Speaker, I point out that low-income families will be paying even less than $230 deductible for their Pharmacare. The fact of the matter is that this administration, this government spends a greater portion of its budget on health care than any other province in Canada. We are spending virtually 34 percent of all the dollars we spend. That is a greater commitment than any other province in Canada makes to health care. It is certainly much greater than it was when the New Democrats were in office here, and it is certainly much greater than that which is being spent by other New Democratic administrations such as our neighbours next door.
Mr. Doer: Madam Speaker, the Premier will know that there is $69 million in the budget in Saskatchewan, compared to somewhat--I think it is $38 million in the budget here in Manitoba. But that is not the question. The question is, why did the Premier promise to maintain spending in Manitoba after he knew about the federal cuts during the election campaign?
He reiterated that in his platform. He reiterated that all the way through the campaign, including the last press release he released in the campaign, and he made a specific promise: The Gary Filmon way is to have a family have a deductible of $230 for Pharmacare.
Will we now see the so-called Gary Filmon way, and will he overrule his Minister of Health (Mr. McCrae) and keep his word to Manitobans that was released right across this province in pamphlets that were placed in individual mailboxes during the election campaign?
It is his word; let us see him keep it.
Mr. Filmon: Madam Speaker, we are maintaining the greatest commitment to health care of any province in Canada. We spend 34 percent of our budget on health care, higher than any other province. The member opposite knows full well that there are impacts from reductions of transfers from Ottawa. He knows that when you have a reduction of over $116 million from one year to the next you have to deal with it as part of living within your means--[interjection]
The member for Crescentwood (Mr. Sale) is chirping from his seat. He is one of the best examples, of course, of people with selective memory, Madam Speaker. He is the one who was set up by the former Pawley government with a budget of $300,000 of taxpayers’ money to do one thing and one thing only, and that was to complain to Ottawa about their transfer payment cuts. That is what he spent his entire time at. In fact, the joke that went around in those days was: How do you know that an airplane has landed in Ottawa with Howard Pawley or Tim Sale aboard, of course, and the answer was that the whining does not end when the engines are turned off.
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Mr. Tim Sale (Crescentwood): I have never travelled to Ottawa with the former Premier of this province and the minister has no right to put that information--
Madam Speaker: Order, please. I would remind the honourable member for Crescentwood that if indeed you are standing other than being directly responsible for asking a question, would you please indicate it is on a point of order?
Independent Schools
Funding Formula
Ms. Jean Friesen (Wolseley): Madam Speaker, my question is to the Minister of Education, and I want to quote briefly from the government’s press release of two days ago.
“Over the next two years,” it says, “the province will honor its commitment to bring independent schools per pupil grant support equal to 50 per cent of the average actual public school per pupil operating expenditures, with a 46 per cent level of support in 1996-97.”
I wonder if the minister could tell the House when this new commitment was made, and will she table a copy of the new agreement she has made on behalf of the people of Manitoba?
Hon. Linda McIntosh (Minister of Education and Training): The member should be aware that some many years ago an agreement was struck with the independent schools in an out-of-court settlement to avoid litigation based upon the remedial order that came out of the Manitoba Schools Question of 1870. There is a long history there. I think she knows it, but that agreement to eventually raise independent schools to 50 percent of the funding of private schools has been in place for some years. That is not a new thing.
Ms. Friesen: I would like table a document indicating there is a new agreement and that there are dramatically higher levels of funding for private schools.
I want to ask the minister again in a responsible and accountable manner to tell the House what the financial implications of this are for Manitoba.
Mrs. McIntosh: I have been on the radio, I have been on television, I have been in groups with people in the last few weeks recounting this very question. Perhaps the member has not heard the radio or television or news broadcasts or all of those things, but I would be glad to repeat it for her, as I have for all Manitobans.
The government of Manitoba, as a result of the out-of-court settlement to honour the legal obligations that came from Manitoba’s entrance into Confederation, will over time raise the amount of money given to independent schools to 50 percent of the cost for private schools, not including capital, of course, because we do not fund buildings, and then once it reaches the 50 percent level, it will remain there. This is not anything new. This has been known for some time.
I have been telling people that if the students currently registered in independent schools came into the public system tomorrow and became fully funded instead of only partly funded students, we would have to raise $8 million overnight, or roughly the equivalent of about four days of interest on the debt that we pay every day, because of the debt they left us, to accommodate them in the public system.
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Ms. Friesen: Madam Speaker, I am interested to hear the minister deny that there is a new agreement.
I want to ask the minister to confirm that what she has done this year in school funding is to take away $75 from every child in the public school system--that is what the minus-two amounts to--and under her new agreement with private schools she will be adding this year alone $260 for every child in the private school system.
Mrs. McIntosh: Madam Speaker, I appreciate that the member philosophically feels that government should only support public schools and that she is willing to have the costs for all of Manitoba rise exorbitantly in our tax bill to accommodate those parents who now pay user fees for the privilege of religious-based schooling.
Madam Speaker, 83 or 85 percent of our independent schools are religious-based. Our Jewish schools, for example, which are in the constituencies of the members opposite, for example, have the right because they are independent to observe, to change the school calendar to observe their own holy days, those kinds of things. Eighty-five percent of our schools that are independent are like that. Those people pay full taxes, and on top of that, they pay a user fee.
Madam Speaker, our indication that we would accommodate this out-of-court settlement in this way is not new. This is known. I do not know why she is implying this is something that is new. It saves the system great monies ultimately.
Independent Schools
Funding Formula
Ms. MaryAnn Mihychuk (St. James): My question is for the Minister of Education.
This government claimed to be open and honest in their throne speech. Tuesday’s budget shows that they are exactly the opposite. By obscure references and deliberate manipulation, this government has tried to hide from the people of Manitoba the fact that they have made a new sweeter-than-ever deal with private schools.
My question to the Minister of Education. Will this Minister of Education immediately release the actual grants provided to private schools, either on a per-pupil basis or actual dollars?
Hon. Linda McIntosh (Minister of Education and Training): Madam Speaker, we will be going into Estimates very soon, I would imagine. If we want to go through line by line, I do not have everything here with me--
Some Honourable Members: Oh, oh.
Madam Speaker: Order, please. Are the honourable members ready to assume Question Period?
Ms. Mihychuk: My second question to the Minister of Education: Can the minister confirm that the actual increase to private schools is at least 15 percent this year, with another huge increase next year?
Mrs. McIntosh: Madam Speaker, just in response to the first question which I did not get an opportunity to answer, I will be pleased to go through line-by-line detailed questions such as she wants in Estimates.
In regard to the question she has just asked now--
An Honourable Member: They want a list of every school.
Mrs. McIntosh: Well, they want a list of every school, every student, and he thinks I can do that off the top of my head. I can tell you that in your constituency you have the Laureate Academy, which is an alternate learning model. I am sorry you do not support them, but I am telling you that if you want a detailed breakdown student by student, we have some 12,000 students in privately funded schools in Manitoba. I do not have those exact figures here.
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Ms. Mihychuk: My final question to the Minister of Education: Why has this Minister of Education not told Manitobans about the new deal, while the government briefed private schools in February on their new plans?
Mrs. McIntosh: Madam Speaker, I was on the radio two weeks ago, I was on the radio three weeks ago, I was talking to the public many days ago and each time I told them exactly what the member has just told me. She is telling me as if it were some secret. I have been on the radio broadcasting to anybody in Manitoba who would listen, so I do not know what she is referring to or why she is trying to imply there is something sinister here. This has been something that has been clearly expressed to the people of Manitoba publicly via the media.
Madam Speaker, I do not know what she is implying, and I have given the answer.
Home Care Program
Privatization
Mr. Dave Chomiak (Kildonan): Madam Speaker, the government has never been able to explain the rationale and policy reasons behind why they are privatizing home care except to have companies like We Care go out and defend this policy. Now we know why.
Can the Premier (Mr. Filmon) explain why the 1993 proposal from We Care incorporated to privatize home care is exactly the proposal that has been adopted by this government?
Hon. James McCrae (Minister of Health): Madam Speaker, I know the honourable member showed up at the Seven Oaks Hospital to help discuss the experiment that was conducted there with respect to early discharge for patients and to get patients comfortably in their homes. The evaluation of that particular contract was an extremely positive one from the point of view of the patients as well as the medical profession.
I remember the honourable member that day and how he moved back from his initial position that he was just dead against it but, because he happened to be there in the Seven Oaks Hospital that day, he could not sound quite so negative about it, so he measured his words quite carefully.
Now he is back on his old track, because I think his union boss friends must have got to him in the meantime.
Mr. Chomiak: Madam Speaker, now that the home care workers have voted over 80 percent to strike, when is the government going to realize the idiocy of its position, its home care, We Care position? Will they do the right thing for the patients, the right thing for the workers and the right thing for the public of Manitoba and stop this privatization plan that has been foisted upon them by their friends at We Care?
Mr. McCrae: I think the more prudent course for anyone who says that they are here to represent the interests of the clients of our home care system would be to be asking one’s union boss friends why it is they are conducting votes like that in the first place and asking them what they hope to achieve for vulnerable people in our society by turning their backs on them and withdrawing services.
Mr. Chomiak: Madam Speaker, if the minister will not listen to the public or the workers or the patients, I would like to table two letters for the minister from patients of home care who have asked the minister not to have--
Madam Speaker: Order, please.
Hon. Gary Filmon (Premier): Second follow-up.
Mr. Gary Doer (Leader of the Opposition): Are you the new Speaker?
Mr. Chomiak: Maybe the Premier will answer the question, then, if he is talking from his seat.
My question to the Premier or the Minister of Health (Mr. McCrae): Will they listen to the patients whose two letters I have tabled who have had bad experiences with private care, do not want private care and say, keep government home care in the public hands? Will he at least listen to the patients of Manitoba if he will not listen to anyone else but his friends at We Care?
Mr. McCrae: I think the honourable member should be reminded about whom it is that he claims to be speaking for when he and his colleagues come into this House. He wants to table in the House letters today from people who have concerns about the private sector. Does he not recall all the letters he and his colleagues brought forward back in 1992, 1993, 1994 from people complaining about the home care system under the public system that we have here in the province of Manitoba?
An Honourable Member: The cuts.
Mr. McCrae: The honourable member is talking about cuts. We are serving today, in 1995-96, 26,000 clients as opposed to 23,000 in ’88-89, and instead of almost four million units of service in 1988-89, today we are delivering 5.5 million units of service. This program is growing very, very rapidly and so are the costs associated with it. The budgets of each and every year demonstrate that.
The honourable member cannot have it both ways, as he so often does. He cannot be critical of the fact that spending has not been going in when it has and say that nothing is being achieved with all that spending and then try to criticize the government for trying to get something for the dollars we are spending. You cannot have it all those ways.
Seven Oaks General Hospital
Public Consultations
Mr. Kevin Lamoureux (Inkster): My question is for the Minister of Health.
The Urban Health management committee came up with the recommendation that if it in turn becomes reality, we are going to see the Seven Oaks Hospital converted into a geriatric centre.
There has been a public uproar not only in the north end of Winnipeg but across the province of Manitoba in terms of the benefits of keeping the Seven Oaks Hospital open as an acute care facility. In fact, I would ask maybe the Pages to deliver thousands of cards that were sent to us to deliver to the Premier (Mr. Filmon) and ask the Premier to receive these thousands of cards and put a specific question to the Minister responsible for Health.
In a letter that I received yesterday he indicated that before the government makes any decisions regarding these recommendations I believe further dialogue with health care providers and the public is necessary.
My question to the Minister of Health is, what form of public consultations is he talking about and when can we anticipate these public consultations to take place?
Hon. James McCrae (Minister of Health): Madam Speaker, that dialogue is very much underway right now as the design teams have been doing their work. There has been all kinds of consultation with medical professionals. The members of the public have been meeting with me. I have been meeting with organizations which are trying to put forward one position or another, and that process is underway now, as the cost-benefit analysis for the various recommendations is also underway.
The honourable member, I understand, may or may not have aspirations for permanent leadership of the Liberal Party, Madam Speaker, and if he ever achieves that, he is going to have to look at the whole health care system, which is what honourable members on this side of the House have to do, with due recognition for the concerns in each and every region, constituency and neighbourhood in our province.
I ask the honourable member and those who are making their positions known, which is quite a reasonable thing to do, by the way, but I ask them to remember that we have $1.8 billion to spend on health care in our province. It is the highest level as a percentage of spending anywhere in the country. The commitment is clear. We are trying to make sure that the health care services that people need are there when they need them, no matter where you happen to live.
Mr. Lamoureux: Madam Speaker, the Minister of Health should--
Madam Speaker: Order, please. Would the honourable member please pose his question now?
Mr. Lamoureux: Madam Speaker, can the Minister of Health indicate to Manitobans when he is going to be holding this so-called dialogue with the public members, given that he has recognized that there is a fundamental flaw to this whole process in which we will see the Seven Oaks Hospital and Misericordia Hospital closed down, that is, that there has never been a cost-analysis study done?
Mr. McCrae: As I told the honourable member, Madam Speaker, that analysis is underway right now. We are not wanting to make decisions that are not based on the kind of analysis that is required to make important decisions. That is what we have been trying to do with health care since 1992 and the plan being put forward, and we are trying to be consistent with that plan.
We hear people’s observations about the proper use of the tertiary health centres and the proper use of our community hospitals. We hear those things. We understand them; we agree with those things. We want to make sure that we design an integrated health system in the city of Winnipeg that makes sense. It makes sense to the honourable member and the people he is representing; it makes sense to all of them.
But the bottom line is, again, Madam Speaker, every patient who requires services has to be taken into account and their needs have to be taken into account as we go forward.
Pharmacare
Deductibles
Mr. Kevin Lamoureux (Inkster): Madam Speaker, my final supplementary goes to the Minister of Finance (Mr. Stefanson).
According to a report by the National Council of Welfare, Manitoba has the third-highest poverty rate in Canada--18.4 percent or 198,000 Manitobans. Yet, the minister maintains his budget is not an attack on the poor.
My question for the Minister of Finance is, if this is so, why did the minister choose to make $15,000 the magic number for deciding Manitobans pay 3 percent or 2 percent of their income on the Pharmacare deductible, and why not the $15,479?
Hon. James McCrae (Minister of Health): Madam Speaker, in our deliberations as we designed the changed Pharmacare program, it was felt that people whose family income is under $15,000 should be entitled to a little more protection under the new plan. Is the honourable member disagreeing with that?
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Brandon General Hospital
Funding Reductions
Mr. Leonard Evans (Brandon East): Madam Speaker, I too have a question for the Minister of Health.
During the past provincial election, both the Premier (Mr. Filmon) and the minister assured Manitobans that our health care system would be maintained. Yet, we constantly learn of serious cuts, Madam Speaker.
Can the Minister of Health confirm that as a result of the $2.4-million cut to the 1996-1997 Brandon General Hospital budget that the hospital is now cutting 10 senior nursing staff positions and that in addition there will be another 40 full-time nursing positions terminated by October 1 of this year?
Hon. James McCrae (Minister of Health): I think the honourable member for Brandon East should attend more meetings that have to do with health, because he should know if he does not know by now--I used to hear him when he was in opposition defending bed cuts at Brandon General Hospital and he talked about more day surgery going on. I have a distinct recollection of the honourable member for Brandon East talking about that, after he could be found, after a significant period of time after the cuts--[interjection] He did, it is true. He was unavailable for some period of time, but he talked about the changes in our hospitals.
Brandon General Hospital is unique in many ways, but there is an important way that Brandon General Hospital is the same as some of the other larger hospitals in Manitoba and that is that outpatient and not-for-admission surgery is on the rise very, very significantly and patient days are on the decline. Yet, overall, over the last number of years there has been an overall very significant increase in the spending going on at Brandon General Hospital.
Now, it is true that in the last year or two that things have levelled off or reduced slightly, but the point is, things are changing in our hospitals. The honourable member ought to make himself aware of that or should reacquaint himself with that, because I know he knew about it at one time when he was defending cuts at Brandon General Hospital.
Mr. Leonard Evans: Regrettably, we cannot debate misinformation that comes out of the mouth of the Minister of Health, but I will get on with my question, because he knows the hospital has just about been decimated. It has been cut in half since this government has been in office.
Can the minister confirm that as a result of his 6 percent cut to the Brandon General Hospital for 1996-97, 20 medical beds plus another 30 beds for patients awaiting placement, for a total of 50 beds, are to be eliminated? Of course, this is on top of a couple of hundred bed closures that occurred.
How does this improve the health care in Brandon and Westman?
Mr. McCrae: Madam Speaker, I think we have been attempting to address the overall issue of beds in the province of Manitoba, in the city, in the country and everywhere. It is generally agreed amongst all health experts that Manitoba has a relatively high ratio of acute care hospital beds per thousand population. There is no disagreement about that that I know of unless it is now a new point of view being assumed by honourable members opposite.
So if some of the bigger hospitals are looking at making a more efficient use of the services that they can provide to the population that results in reductions in the number of beds--the honourable members opposite did not mind cutting beds at one time. I do not understand why all of a sudden it has become a different story because, actually, if you want to look in the first reference to the words “health care reform,” I recall the honourable member for Thompson back in 1987 making reference to health care reform when we were talking about massive bed cuts in places like Brandon, Manitoba.
Madam Speaker: Order, please.
Point of Order
Mr. Steve Ashton (Opposition House Leader): On a point of order, Madam Speaker, Beauchesne Citation 417 is very clear. It states that “Answers to questions should be as brief as possible, deal with the matter raised and should not provoke debate.” I realize that the minister constantly, day in, day out, violates all three of those, and it is tempting to get up virtually every time he answers a question to raise this matter in Beauchesne, but after now hearing about 10 answers which all violate Beauchesne very clearly, I would ask you to bring the minister to order and ask him to answer for once some of the very serious questions that are being asked on health care.
Madam Speaker: On the point of order by the honourable member for Thompson, indeed, the honourable member for Thompson does have a point of order. I would caution that the honourable Minister of Health make his comments relevant to the question being asked.
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Madam Speaker: The honourable member for Brandon East, to pose a final supplementary question.
Mr. Leonard Evans: Will the Minister of Health advise this House and the people that use the Brandon General Hospital that there will be 70 fewer beds at that hospital because of the cuts made by his government?
Mr. McCrae: I cannot at this moment confirm or deny, as the honourable member would like on that point, but I know that with respect to the nursing management at Brandon General Hospital some changes are happening, and those changes are decisions made by the Brandon General Hospital and approved by the Manitoba Health.
Home Care Program
Privatization
Ms. Diane McGifford (Osborne): Ninety-eight percent of the approximately 1,500 home care workers who will be laid off in July are women. Furthermore, privatization means that women hired in the private sector will suffer wage reductions ranging from 40 percent to 60 percent of their incomes, making many of them paupers. Clearly, government policy to privatize home care targets a vulnerable and recognizable group and violates the principles of women's full and equal participation.
I would like to ask the Minister of Health a no-frills question, and we ask in return the courtesy of a no-frills answer. How can he explain his blatant disregard for the lives, livelihood and rights of these Manitoba women?
Hon. James McCrae (Minister of Health): I have no disregard for contributions made by my fellow citizens to their fellow citizens in the Home Care program or any other program. I do have clients that have to be looked after today, and there will be many more in the future as we address the appropriate use of the acute care system and as we address the projections that have our population aging over the next number of years.
Those are real problems, Madam Speaker, those are real issues that have to be addressed. I am not a New Democrat. I cannot just pretend they do not exist.
Ms. McGifford: Madam Speaker, I would like to ask the Minister for the Status of Women (Mrs. Vodrey), whose sworn duty of course is to promote the full and equal participation of women, if she could tell this House what advice either she or the Women's Directorate gave the Minister of Health regarding the implicitly sexist decision to privatize home care.
Mr. McCrae: If I was like the member for Thompson (Mr. Ashton), I would raise a point of order about that particular kind of comment. That is uncalled for, Madam Speaker. Many, many of our clients are women, elderly women who require care, require treatment. I do not want to say to them five, six, three, four years from now, sorry, no more home care because we mismanaged things back in the earlier days. I do not want to be able to do that or have to do that.
Does the honourable member not remember that the clients of the home care, many, many of them, perhaps a majority of them, probably a majority of them are women and require services and are very vulnerable too? Does the honourable member not realize that?
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Northern Patient Transportation Program
User Fee
Mr. Steve Ashton (Thompson): Madam Speaker, my question is to the Minister of Health.
If there is one thing that is missing from this government's health care policies it is an understanding of what impact it is having on many Manitobans. Nothing could typify that more than yesterday when I received a call from a family, the husband of whom is a heart patient, the wife is a home care worker. They were not phoning on their own circumstances; they were phoning in regard to one of her clients who could barely scrape together the $50 user fee that was necessary to come to Winnipeg to have her second leg amputated. This woman, by the way, is a former neighbour of mine, someone I know personally.
I want to ask the Minister of Health, in regard to one of the user fees they imposed a few years ago, Northern Patient Transportation, whether he has finally listened to northern Manitobans and whether there is any change to Northern Patient Transportation that will relieve the burden on women such as this person I talked about yesterday who could barely scrape together the $50 to come to Winnipeg to have her leg amputated.
Hon. James McCrae (Minister of Health): Madam Speaker, the honourable member knows that no one would feel anything but sympathy for a person in that sort of a circumstance who has to face that kind of a surgical procedure. It would not matter where you live. Anyone facing that is in a difficult circumstance, and no one would deny that. In fact, everyone here would understand that.
There are people in other parts of the province too who pay more than the person in northern Manitoba to access services. The honourable member knows that and ought to remember that when he is asking these questions.
Mr. Ashton: Will the minister answer the very simple question I asked? Has he made any changes to the Northern Patient Transportation Program user fee?
Mr. McCrae: No, we have not made any changes to that fee.
Inflation Rate
Government Forecast
Mr. Tim Sale (Crescentwood): Over the past year, Manitobans have experienced relatively high rates of inflation by comparison with the rest of the country. Winnipeg, in particular, has had quite a high rate of inflation, I think at various points during the year the highest in the country.
I wonder if the Minister of Finance could tell the House what level of inflation he expects Manitoba will experience during this next year.
Hon. Eric Stefanson (Minister of Finance): I believe the estimates for inflation, both Manitoba and Canada, are in the 1.5 to 2 percent range.
Mr. Sale: I wonder then why the minister would use the figure of .4 percent in his budget, thereby deliberately misconstruing the possible revenues to this province, making it appear to Manitobans that we would not have the revenues to support programs like Pharmacare and Home Care when he tells the House the truth of the story is, we will have 1.5 to 2 percent, not .4 percent as he puts in his budget.
Mr. Stefanson: Madam Speaker, the member for Crescentwood clearly shows a lack of understanding of how the budget is prepared. I would be more than prepared to take whatever time is required to teach him how the budget is prepared, along with his Leader, because particularly his Leader and some who have been in government should know that in the current budget year in 1996-97, what we are using are the best estimates available.
We get estimates from the federal government in terms of the transfers from the federal government. We get estimates from the federal government in terms of the estimated actual personal income tax, corporate income tax. We use the base of our current retail sales tax and build an adjustment to that.
What he is referring to, where we use the economic model of economic growth, that is for 1997 and beyond. It is not for 1996. So for 1997 and beyond we do run an economic model based on economic growth.
I will admit, for that model, based on today, we are using the lowest projections because we feel the most prudent thing to do is to be cautious in terms of what those economic growth figures might be, unlike members across who will build in artificially high numbers , then find out the revenue is not there and then need to scramble to either run deficits or increase taxes, things that we do not do.
Mr. Sale: Madam Speaker, would the minister then explain why, on page 8 of the financial review and statistics the year 1996 appears, not 1997, and the inflation assumption is .4 percent, not even within the range of any of the assumptions made by any forecasters, far below, and below any level reached in Manitoba since the Depression of the 1930s? How is that a reasonable revenue expectation?
Mr. Stefanson: It does not matter what page it is on. Obviously the member for Crescentwood--the member clearly did not listen to my previous answer. Based on his subsequent question, he could not have listened at all. I explained to him how the 1996 figures are arrived at in terms of our budget. Information on economic growth, employment growth, all of those numbers are provided as information in a document, but in terms of preparing our revenue numbers, they are based on the actual projections provided both by Revenue Canada and the federal government and our own analysis. We do not run the economic model.
He did not seem to either listen or understand, and both of those are a problem.
Madam Speaker: Order, please. The time for Oral Questions has expired.
MEMBERS’ STATEMENTS
Rural Communities
Mr. Mervin Tweed (Turtle Mountain): Madam Speaker, I rise today to affirm in this House a feeling of energy and excitement that is building in our rural communities.
Over the past two months, I have had the pleasure of co-chairing the Working for Value task force, of meeting with rural Manitobans from all parts of our great province. These meetings confirmed for me a feeling that I have long held that our rural residents are the backbone of our province’s economy and are vital to the future prosperity.
In tabling its provincial budget yesterday, this government reaffirmed its commitment to our rural communities and recognized the important role it plays in Manitoba’s future. By increasing funding for rural economic programs by 10 percent, we are providing the means for the momentum that is evident in our rural economies to be built upon.
Madam Speaker, rural Manitobans have embraced such programs as the Rural Economic Development Initiative and the Grow Bonds Program and have used them to create jobs and generate investment in their communities. They have embraced this government’s effort to give them a more direct role in the direction of programs, and this is reflected in the tremendous success of the Community Works Loan Program.
The other day’s budget also outlined an irrigation initiative that will help develop water supply for an expanded agricultural development in our province and, together with a new Enhanced Crop Insurance Program, gives our producers the tools and security they need.
Madam Speaker, this government made a commitment to work with rural Manitobans to help strengthen their communities, and they have responded in an overwhelming way. We have created a climate of confidence where their ideas and initiatives can be built upon, and we are seeing and feeling the positive results.
The commitment that this government continues to make to rural Manitobans will ensure that the energy and vibrancy that was so apparent only gets stronger and will provide our young people with a prosperous future in their home communities.
* (1430)Mining Industry in Manitoba
Ms. MaryAnn Mihychuk (St. James): Madam Speaker, mining has long been a major industry in the province of Manitoba. In 1988, for example, the value of production exceeded $1.7 billion. The previous NDP administration, through the Manitoba Mineral Resources and working with industry was able to preserve communities and open new mines. Sadly, the Filmon government, which took office that year, saw the North and mining purely as a source of revenue.
In 1989, over 4,600 people worked in the industry. By the end of the year, Puffy Lake and Lynn Lake gold mine were both shut down. Three mines shut down in Snow Lake between ’92 and ’93. The Tantalum mine also closed in Lac du Bonnet in 1992 for some time. In October of 1992, Inco itself shut down for three weeks. Now, today, we see 3,353 people working in the industry--over 1,000 jobs lost.
The increase in commodity prices, Madam Speaker, has resulted in the reopening of four mines in the past few months. This year, contrary to the misinformation of the Premier (Mr. Filmon), the industry has far to go to regain the strength that it had during the previous administration. This year, exploration expenditures are estimated at $40 million less than 1988. The Filmon years have been years of declining jobs, revenue, exploration and the closing of mines. World-wide increases in commodity prices is resulting in increased mining activity in northern Canada and in Manitoba. It is time the Premier and his ministers stopped misinformation and acted in the public interest.
Public Safety
Mr. David Newman (Riel): Madam Speaker, the issue of public safety has long been a priority for us. During the election last year, we promised to support initiatives which would keep Manitobans safe, and a key commitment we made was to provide additional funding to the City of Winnipeg to put more police officers on city streets. Our latest budget will allow Manitobans to rest assured that we are keeping that promise. The budget reaffirms that this government will be providing the city with $2 million to put additional police officers on the streets of Winnipeg. This will translate into 40 new police officers.
Our efforts to keep Manitobans safe also extends to our continued support of Winnipeg’s Downtown Watch civilian safety teams. These teams help deter crime and create a more secure environment in the city’s downtown. This benefits all of us--business people, people who work downtown and even those who shop, eat or go downtown for entertainment. Personal security extends beyond feeling safe on our streets, however, Madam Speaker. That is why the honourable Minister of Justice (Mrs. Vodrey) is working to ensure that the victims of stalkers are protected. By allowing for the removal of their names from voters’ lists, their privacy is ensured and a greater degree and sense of security is achieved.
It is important to recognize that it is just as important to work to prevent crime as it is to deal with its effects. For this reason, we have initiated the Urban Sports Camp Program which will provide Manitoba’s youth with a positive alternative to gangs, violence and criminal behaviour. This is our latest program in a series of positive steps to help our youth become healthy, productive and active members of their communities.
However, Madam Speaker, we all have a role to play as MLAs in making our communities safer. In fact, in my home constituency of Riel I will be hosting a curling bonspiel April 20 intended to raise funds for the creation of a youth centre for at-risk teenagers. It will provide a safe haven, positive role models and programming and a supportive atmosphere for our youth. I would like to thank everyone who has worked very hard to get this event off the ground, people who have volunteered their time, their efforts, their financial support, in order to make this worthwhile project a reality. Thank you very much.
Potential for Spring Flooding
Ms. Marianne Cerilli (Radisson): I want to raise an issue and draw the attention of members of the House to an issue that affects many residents in Manitoba but dramatically affects about 200 families in the constituency of Radisson, and that is the potential for flooding this spring and the damage that it will cause to many family homes.
I was pleased to see that the government brought forward a statement to the House that they are preparing to open the floodways to deal with the anticipated high levels of water. I also want to remind the government that they have made a commitment to consider cost-sharing, on a 50-50 basis, flood protection for the area of south Transcona. In the government’s statement today they said that preparation is the best defence against flooding, and I hope that they will put that into practice in the area of south Transcona and ensure that they work with the city and the federal government to provide the necessary funds to protect this area which has seen many disastrous springtimes, as well as other times of the year for flooding.
I want to remind the government that it will save money in the long run if they invest in flood protection. It does not make sense to have to pay disaster assistance to a number of families when they could save that money by creating jobs in infrastructure development. I find that it is a problem that this government and the federal government currently have no program in place to fund infrastructure for flood protection, and I want to urge them to create such a fund so that families are not inconvenienced and bear the financial cost of flooding.
In closing, I want to encourage them to live up to their commitment and work with the city and not play games with waiting for the city to present a proposal and approach the city immediately to work together to create a proposal that will meet the needs that are affecting Transcona. With increased development on Dugald Road they are seeing worse flooding each spring. Thank you, Madam Speaker.
Statistics Canada Report Release
Mr. Edward Helwer (Gimli): The theme of our ninth budget was one of building confidence. This confidence has been--
Madam Speaker: Order, please. I wonder if I could ask the co-operation of all honourable members to either take their seats or sit in the loge so that the honourable member for Gimli will be given the respect he deserves in giving his member’s statement.
Mr. Helwer: The theme of our ninth budget was one of building confidence. This confidence in Manitoba’s economy was further emphasized by the Conference Board of Canada which indicated Manitoba’s economy is steamrolling ahead. Our government is committed to ensuring long-term employment opportunities exist for Manitobans so that our prosperity and security can be passed down to all our children. Our province has been recognized repeatedly as having a strong and vibrant economy. We heard that 10,000 new jobs were created in 1995 alone, that our province had the lowest youth unemployment rate in all of Canada and that we had the largest drop in the unemployment rate in a generation.
The successes emphasized in our budget have been reaffirmed today with the release of Statistics Canada’s report. The Statistics Canada report states that March was an excellent month for job growth in Manitoba. Total employment reached 525,000 persons on a seasonally adjusted basis, up 2,000 from the 523,000 the previous month. This follows very strong gains in February, when total employment rose by 7,000. Our March increase in employment was concentrated in full-time private sector positions. Our gains are in sharp contrast to the national performance, and, for the first three months of 1996, full-time employment in Manitoba is up 6,000 or 1.6 percent over the same period last year. This is four times faster than Canada’s .4 percent rate of full-time job growth so far this year.
So Manitoba’s seasonally adjusted unemployment rate was 7.2 percent in March ‘96, down from 7.6 percent in February ‘96 and, once again, second lowest among all other provinces. So our government laid the foundation for economic prosperity when we came to office eight years ago, and we have been and continue seeing the significant gains made as a result. These gains have clearly impacted a significant number of Manitobans in a positive manner, as the numbers I have mentioned attest to.
I am confident that given the strong gains in full-time employment posted in just the first three months in ‘96, Manitoba is set to once more lead the provinces in all economic indicators. Thank you, Madam Speaker.