Sunday, March 18, 2007

Watching Ottawa for signs of Gateway support


The Conservative Government of Stephen Harper brings down what many suspect will be a pre election budget on Monday. A financial template of goodies destined to win favour and secure a much desired majority government, should the opposition force the Conservatives and the nation to the polls.
To that end, the Finance Minister is preparing to deliver his plans to the House of Commons and the nation, while making sure that the Conservative troops are ready to take to the hustings.

Finance Minister Jim Flaherty is tasked with delivering the groceries for the provinces, all of which have their own particular shopping list of desired favours. In Quebec, the federal budget is expected to be a life line tossed to Liberal leader Jean Charest, as equalization payments are expected to be increased to that province in a bid to sandbag the separatists and show how federalism is fluent and receptive to needs, playing on what is perceived in that province as a fiscal imbalance.

The worry in BC is that with the province’s economy firing as well as it is in the southern and north eastern reaches, that BC will be barred from equalization payments, their concern based on reports that the feds may use BC’s sky high property values as a way of measuring provincial wealth, reducing or eliminating BC’s right to receive the payments in an economic downturn.

And while they keep a worried eye out for any financial sleight of hand, there is one real need that BC wants addressed. Gordon Campbell’s government wants a larger federal commitment to the Pacific Gateway strategy, the blue print for foreign trade that has brought Prince Rupert a container port and stokes the dreams of further expansion.

It will be with interest that both Victoria and the northwest watch the developments from Ottawa on Monday, BC is hoping for larger financial contribution to the West Coast, Prince Rupert perhaps hoping for a sign that funding for phase two and three of the Container port and maybe even more will be not only promised but eventually delivered.

The BC Liberals are not so quietly floating a figure of six billion dollars for Pacific Gateway initiatives, which is a far cry from the 591 million promised thus far over eight years.

The problem with election budgets as past Liberal governments have shown over the years, it it’s rather easy to promise the best of all worlds to every corner of the nation prior to the election, but somehow more difficult to actually deliver on all of them as a government.

What the Conservatives promise Monday and how that will resonate in any election campaign will be interesting to follow, however, chances are that what they declare on Monday won’t necessarily translate into any actual monetary infusion into the province any time soon.
It will however, make for a day of much day dreaming for all parts of the country.

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