In order for there to be long term prosperity, we must balance our budget as we said we would by 2015, we must keep our taxes low and control our spending. These are conditions for success and in addition to getting this right, we need to make sure that business continues to grow by providing the human resources they need and the infrastructure they rely on. Continued cuts in departmental spending, reducing travel costs, closing tax loopholes, improving CRA compliance programs, and providing for a better and more efficient administration are positive steps to ensure our budget is balanced by 2015.
This budget does not reduce health care, education, or social service transfer payments to provinces in order to balance the budget, as was the case in previous Liberal governments, in fact it increases them. It does not impose any tax increases like the NDP would surely introduce if they were to gain power. The NDP proposes to raise $21 billion on what can only be seen as a tax on carbon. This would certainly kill our job creation efforts, stifle growth, and increase the price of everyday essentials that families need. Their position opposing the Keystone XL pipeline and leader Mulcair's view that the high loonie and resource development is a "Dutch Disease" only adds to that.
Since we have taken office, we have reduced taxes 150 times, and today an average family of four is able to keep over $3200 that otherwise would go to taxes of one kind or another.
The budget continues to build on the success we have seen in the economy in Canada. Our employment is now at 7%, a four year low, and we have created over 950,000 net new jobs since July 2009. However, we cannot be complacent if we, as most Canadians, wish to see an increase in jobs, growth, and long term prosperity.
This is why the budget provides for long term infrastructure programs with provinces and municipalities worth over $53 billion over 10 years. Municipalities were looking for long term, sustainable, and predictable funding, and the budget goes a long way towards that goal. This includes: $32.2 billion over 10 years for a Community Improvement Fund consisting of an indexed Gas Tax Fund and the incremental GST rebate for municipalities, $14 billion for a new Building Canada Fund to support major economic projects of national, regional, and local significance, $1.2 billion for the renewal of the P3 Canada Fund, and $6 billion under current infrastructure programs for provinces, territories, and municipalities in 2014 - 15 and beyond. This long term, predictable funding represents the largest and longest federal infrastructure investment in Canadian history.
There is no doubt that over the last number of years, our government has put more dollars into infrastructure than has been the case in the past. This creates jobs and builds the local conditions for new economic growth.
As Chair of the Human Resources committee, I have heard time and time again that labour shortages exist, particularly in the skilled trades, and especially in the mining, oil and gas extraction and construction industry. I am pleased the budget addresses this in a bold and direct way. The budget creates the Canadian Job Grant which could provide $15,000 or more per person, including a maximum federal contribution of $5000 matched by provincial/territorial and employer funding, to help Canadians get the skills they need for in-demand jobs.
This budget creates opportunities for apprentices by supporting the use of apprenticeships in federal construction and maintenance contracts, in projects under the Building Canada Plan, and through investments made in affordable housing. It invests in training for First Nations youth by providing $241 million to help them access the skills and training they need, including funds to help with post-secondary education. It provides support to underrepresented groups such as persons with disabilities, young Canadians, new Canadians, and Aboriginal peoples.
Additional items of interest to the constituents of Souris - Moose Mountain:
Extending the Temporary Accelerated Capital Cost Allowance for new investments in machinery and equipment;
Extending and expanding of the Hiring Credit for Small Business;
Increasing the Lifetime Capital Gains Exemption to $800,000 from $750,000 with indexing going forward;
Doubling the current deduction limit under restricted farm loss from $8750 to $17,000;
Upgrading Canada's North Portal border station;
Investing over $1.25 billion to support investments in affordable housing;
Investing nearly $600 million to the Homelessness Partnership Strategy;
New tax relief for Canadians who give to charity, adopt a child, or rely on homecare services;
Enhancing the Funeral and Burial Program by simplifying it and more than doubling the current funeral services reimbursement rate from $3600 to $7376.
All in all, it is a good budget that will ensure continued economic prosperity, not only in the short term, but for future generations as well. As the Honourable Jim Flaherty, Minister of Finance said, "We will remain focused on what matters to Canadians - jobs and economic growth, and ensuring Canada's economic advantage today will translate into the long term prosperity of tomorrow."
