Taxpayers should be giving the thumbs down to the BC Liberal government’s budget because it cuts taxes for the wealthy and increases regressive tax fees. While there appears to be a surplus, there is the hidden $15.5 billion BC Hydro debt that is not being paid off because borrowing continues to pay for dividends to the province, new transmission line cost overruns and the smart meter fiasco.
Lowering taxes is a subterfuge for the increase in medical premiums, camping fees, Hydro rates, post-secondary tuition and BC Ferry fares that hurt working people. B.C. has the lowest corporate taxes in Canada and yet these corporations are either hoarding the money or investing elsewhere, like the three largest forestry companies that own more sawmills in the U.S. than in B.C.
Although the budget finally provides relief for single parents on income assistance by finally axing the controversial clawback, there is no plan to address B.C. having the highest rate of child poverty in Canada, one in five.
The BC Liberals used tax cuts to help them get elected and then used the excuse of lower revenues to cut services and reduce government oversight of industry. As a result, forest management suffers, pollution increases and a massive toxic tailings pond bursts.
The government uses P-3s to fund new infrastructure so although the over $100 billion in debt is held by private companies, the government ends up paying much more in servicing this debt than if it had borrowed the money.
And we face a similar situation with BC Hydro to cover the costs of private power projects, which means our rates increase and the money flows into the hands of private companies.
And watch out if the court cases cannot halt the Site C dam, our hydro rates will go through the roof.
Jim Cooperman
