May 11th, 2021
In the House:
Jack Harris, NDP MP for St. John's East made this statement in the House of Commons today:
Newfoundland and Labrador’s fiscal situation is not sustainable.
A bad situation has been made worse by the pandemic and major changes are recommended.
There are revenue, debt and other issues to be addressed by the province, but the government of Canada has a role to play, too.
We support four measures proposed in the Greene Report that can help greater federal-provincial fairness:
Signification improvements need to be made to the Fiscal Stabilization program including removal of the per capita cap.
Health Transfers must increase. Health care costs now dominate provincial budgets and Ottawa only pays 22% instead of the 50% at the outset of Medicare.
We need to fix the equalization formula to remove non-renewable natural resource revenues.
And provinces need access to Canada’s credit standing and borrowing rates through a new bond program.
The Federal government has a vital role to help ensure there’s a sustainable financial path forward for Newfoundland and Labrador. So far, this Liberal government has simply not done enough to hold up its side of the bargain.
Watch the statement here.