Selinger forced to defend decision not to release full pre-election budget

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This article was published 24/02/2016 (3507 days ago), so information in it may no longer be current.

Manitobans will know the state of the province’s finances before they go to the polls on April 19, although revenue and spending estimates will be far less detailed than in a spring when a budget is unveiled, the government says.

As the legislature reconvened Wednesday, Premier Greg Selinger defended the NDP government’s decision to provide a “fiscal update” rather than a full-blown budget before facing voters. The update will occur March 8.

The premier said there was no time this year for a detailed financial blueprint given the timing of the election and the absence of information on planned federal stimulus spending. (The federal Liberals will deliver their budget on March 22.)

Selinger said Manitobans will receive projections on the size of the government deficit, not only for the coming year but for the “future couple of years as well.”

Government departments will know how much money they will be able to spend, and expenditures in “key areas” within departments will be identified. But detailed revenue and expenditure estimates for each department will not be available.

“All the background detail won’t be prepared yet. They (Finance Department officials) just simply haven’t had time to do that,” Selinger told reporters after question period. “But we’ll give a very robust fiscal update and outlook for how we’re going to keep the economy going in Manitoba, make sure we have a low unemployment rate and a very strong job creation record.”

Selinger said the update will also detail any proposed tax changes. In late December, the premier said he was considering a surtax on high-income earners, but no final decision had been made on the idea.

Earlier Wednesday, Opposition Leader Brian Pallister demanded the government table a full budget to reassure bond rating agencies the province is on a solid financial footing.

Pallister said that with an election coming up, Manitobans also deserve to know how the NDP government plans to pay for all the promises it has made since the November throne speech.

The province saw its credit rating fall for the first time in decades last year, due in part, Pallister said, to the government’s financial “mismanagement.”

“The government is jeopardizing… whatever remains of our reputation as a province that can manage its fiscal affairs properly by not tabling a budget,” he said.

“This is risky. This is a dangerous strategy. We need to see a budget.”

Selinger said MLAs will be given the opportunity to question, debate and vote on the government’s mini-budget.

He also promised that government commitments made in the November throne speech and subsequent announcements earlier this year will be “costed out.”

Meanwhile, Selinger faced questions in the house Wednesday about a former top political staffer he hired in November 2014 when members of his cabinet resigned and his leadership was challenged.

Heather Grant-Jury, who became the premier’s principal secretary, recently parted company with United Food and Commercial Workers union Local 832 amid allegations of missing funds. She was Selinger’s top adviser for five months during her secondment from the union and was later rewarded by the government for her service with an appointment to the board of directors of Manitoba Public Insurance. She has since resigned from the MPI board and cut ties with the provincial NDP.

“This is an example of problems that happen when you use taxpayers dollars to reward your friends,” Progressive Conservative house leader Kelvin Goertzen told Selinger in the legislature.

larry.kusch@freepress.mb.ca